Introduction
The key ethical issues that were presented in this case study were quality control, lack of customer care, responsiveness, and harming the customer. The Johnson and Johnson case may have been seen as a turning point due to many things the company did right. However, there were many ethical issues in this case which will be explored more throughout this paper.
Background
The situation that was presented to us occurred in September of 1982, where seven people in the Chicago area were killed when they ingested Tylenol, a painkiller produced by Johnson and Johnson. The Tylenol that ended up killing the seven had been laced with cyanide, but the extent of the damage and whether it was internal or external was not known for several weeks. However, upon investigating it was found to have been an external sabotage.
In terms of Johnson and Johnson handling the situation, they first pulled all Tylenol for the shelves in the Chicago area before recalling the product nationwide, costing the company over 100 million dollars. Second, Johnson and Johnson found that it was necessary to let doctors, hospitals, and distributors know by explaining the situation and the recall via mailgram messages. Third, the company had created a toll-free phone line
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They were affected by Johnson and Johnson blatantly not giving them important information related to the case. For example, it was kept secret for a very long time that cyanide was found in one of the company plants. Whether it was related to the cyanide poisoning in the Chicago doesn’t matter, the consumer has the right to know of all the information that has been found throughout the investigation of the case. In relation to Johnson and Johnson, they were putting consumers at risk when they didn’t tell the consumers of the cyanide found in the company plant, which is said to have no relation to the Tylenol contamination according to the
Introduction Many people have taken the world's trusted Tylenol but that trust was tested during the Chicago Tylenol Scandal. The Chicago Tylenol Scandal consisted of many deaths, thorough investigation, and skeptical customers. Till this day, the mystery is still unsolved. The unsolved Chicago Tylenol Scandal of 1982 is the world’s worst case of medicine tampering that has since changed the way products are packaged. Chicago Tylenol Scandal Victims and date.
On addition, had to pay the ACCC’s costs. Primary stakeholders: o Health professionals and buyers who have been informing and guiding parents and children on responsible use of the medication would affected the most. The Specific pain case would have resulted in losing trustworthiness and honesty between the health professionals and the patients. The buyers in situation would have lost faith in the company and might prefer choosing another brand.
Seven people died minutes after taking Extra-Strength Tylenol. The Tylenol was tampered with and laced with potassium cyanide. A man by the name of James Lewis is considered to be the culprit for the numerous amounts of deaths. This event happened a few weeks before the beloved holiday of Halloween.
Tylenol tablets with cyanide in them killed seven people in 1982 (Lerner & Learner, 2007). This was a tragic part of history. In downtown Chicago victims bought cyanide injected tylenol bottles at five stores and 2 more bottles were found at another store (Lerner & Learner,
Despite their ethical issues, how has the ethical culture of Lululemon impacted its relationship with customers and employees? Lululemon recognizes that community involvement will not only help gain new customers, but will also promote its mission of creating a healthier lifestyle (pg. 513). Thus, Lululemon takes its responsibilities
Case Study #1 Case 1: In the past, Monsanto has had many ethical issues like high performance standards that can cause employees to make unethical and illegal decisions and not owning up to hazards around them. However, Monsanto has been striving to enforce their code of ethics and has spent more time trying to become more socially responsible to the environment. For Monsanto to create an ethical culture, he would have to be proactive in anticipating, planning and acting to avoid potential ethical crisis’ (Thorne, Ferrell, & Ferrell, 2008).
Having an understanding to ethical consideration and accountability will improve customer satisfaction, employee performance, and the continuum for accountability ("Ethical Leadership: Fostering An Ethical Environment And Culture",
Introduction This case study explores the acquisition of the Body Shop, which is one of the largest franchise cosmetics companies in the world, by L’Oreal. The main concentration of the case study aims at investigating the impact on business ethics and corporate social responsibility by the concentricity of the Body Shop and L’Oreal and how the general attitude and buying behaviour is distorted in the course of this acquisition. L‘Oreal being the big conglomerate in the cosmetics industry acquired the Body Shop International which is comparably small but having iconic brand of environmental and socially responsible concerns, on 17 March 2006, through a covenant of $1.2 billion. The combination of two brands in a newly formed conglomerate implies a combination of values, principles and associations that might affect a company’s appeal. The verity that L 'Oreal 's acquisition of the Body Shop provides plenty of potential growth opportunities is undeniable; nevertheless the question of how well the acquisition sits in the group of the world 's largest cosmetics company is another matter.
Burke was able to use media resources to help manage the Tylenol crisis. He knew that by publically speaking and acknowledging the crisis Tylenol had leading to the possible deaths of several people in the Chicago would bring about public trust. He also was aware that it could be an outlet to show consumers that they were valued and the issues of Tylenol were being addressed immediately. That’s why Burke mad the immediate and drastic decisions to pull the medicine from the shelves and have it replaced. He spoke and did this publically because it let everyone know publically that J&J wasn’t concerned about the millions of dollars they would be losing or lost but more concerned for the people.
Figure 1: Ethical decision making. Source: (Vucaj, 2014) Introduction Ethics in general is about how we behave, encounter and treat one another. Without ethical principles applied in our world, injustice might take place.
Buffalo’s actions in the case are riddled with breaches of ethics, the lack of response by other employees of J. Buffalo Corp. may also be considered a dereliction of ethics despite not being implicitly stated in the case. As certain employees - specifically those with access to sales data and an awareness of Great Plains’ lack of success – could have raised suspicions about the intentions of Buffalo as employees transferred to work for Great Plains. A basic understanding of the sales record would be enough to deduce the imminent failure of Great Plains. The “tolerance of … unethical behavior” by employees with this knowledge is the “Condoning [of] Unethical Actions” breach of ethics. Although these employees may have rationalized their inaction as “just following [the] orders” of their supervisors, their passivity had serious repercussions for the employees of Great Plains who lost their jobs and the retirees who may have lost their only source of income.
• “Side Deals or Side Letters” : Every piece of business dealt by Apple must be in clear written form and should not be altered by means of mouth or writing after the day it goes into effect. Then aside from these specific laws, Apple’s Business Conduct also has sections detailing basic borders for legal behavior, like a section prohibiting corruption practices like “Money Laundering”. “Governments as Customers” In addition to their dedication to the customers as a stakeholder, Apple’s Business Conduct has an entire section dedicated to clarifying the ways in which business should be conducted between Apple and the governments and how to stay ethical in such transactions. • “Governments as Customers”: Before bidding for government business,
This impact can be reduced by the company by putting more efforts and investment in development and research to improve and eliminate the side effects of their products without much damaging the environment (Monsanto, 2018). Furthermore, Monsanto can employ a team to regularly check whether the negative effects are still being possessed by their products and if it so then the authorities can be alarmed about this and suitable actions can be taken against this
Business ethics also referred to as corporate ethics can be considered as either a form of applied ethics or professional ethics. Its purpose is to analyse ethical principles and also moral as well as the ethical problems that might arise in a business environment. Business ethic is applicable to all parts of business conduct and also takes into consideration the conduct of individuals and the business organizations as a whole. Business ethics can be divided into normative and descriptive discipline. For the purpose of this assignment, the Nestle Company has been chosen.
Basically, ethics are at their essence which is it is the moral judgments about what is right and what is wrong. Business ethics is focusing on examine the policies and conduct within the context of commercial enterprise in an organizational as well as in an individual level. In business, the ethics in business is an applied ethics where professionals and researchers use principles and theories to solve any ethical problems that exist in business. At the quarter of the 20th century, as technologies like internet have made world business or international business all more viable, the business ethics domestically have grown in importance along with the power and significance of major businesses. So that, international business ethics take center stage as a major concern of the modern era.