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Ethics in Business: Key Issues and Cases

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10 views22 pages

Ethics in Business: Key Issues and Cases

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Subject specific Ethics

Gender as an exhibit
Diversity/discrimination
Workplace harassment
Sexual harassment
Liz case study
• Was company Liz well positioned for success?
• Why was he considering this EV project?
• What will be the pay back period?
• Conduct a sensitivity analysis: all things that could go wrong.
Marketing ethics
• Role of marketing
• Positive role it plays
• Negative role it plays
• Voluntary adhering to high marketing ethics
• Ethics due to market compulsions (move from let the buyer beware to let the
seller beware) Center for Science and environment, ITC witdrawing form
sponsoring cricket in India
• Give the customer what he wants and don’t judge what the customer wants
• What if customer wants something that is not good for him/her?
• What is the product is good for the customer is not good for the society or others
groups? (Cigarette, alcohol etc..)
• Shift from emphasis on product to process (product development,
packaging, branding, advertisements, promoting, selling, distributing,
pricing and customer servicing)
• Neighbor's envy owners pride..
• Children targetter marketing strategy misleading marketing strategy (an
innerwear branding as proskin technology)
• Intruding the privacy (direct marketing)
Defining marketing ethics
• Shall not do any harm knowingly
• Shall not knowingly promote conflicts of interests
• Is honest and fair
• Delivers products and services that are safe and fir for their intended
use
• Adheres to all applicable laws and regulations
• Product development (child locks)
• Pricing (discounts, captive customers and high prices, high service costs, selling
above MRP etc..)
• Placing (pushing slow moving products with fast moving products)
• Promotions (advertising is legalized lying –H.G Wells)
• surrogate advertising,
• using irrelevant attributes,(zyada jhaag, jyada safedi)
• False claims- 100% placements
• Use of deception (SEO)
• Advertising to children
• Racial stereotyping
• Affecting values of a society (portrayal of sikhs, Christians, Parsis etcc.)
• Use of sexual themes
• Use of fear appeals
The cola case in Kerala
• Extracting ground water
• Selling the sediments as fertilizers to farmers
• High level of pesticides in the water as farmers use it in their fields.
Ethics n HR
Ethical issues
• Discrimination
• Suppression of democratization at workplace
• Privacy issues
• Recruitment and selection
• Performance tracking
• Computerised employee records
• Electronics surveillance
• Safety and health
• Performance appraisals
Creating an ethical organization
• Creating an ethical culture

• ‘wherever God erects a house of prayer


• The devil always builds a chapel there
• An it will be found upon examination
• The latter has the largest congregation”
Phaneesh Murthy sexual harassment case
• A very senior Infosys employee
• Accused of sexual harassment by a fired female employee
• Fired from the company
• Started his own company-i-gate
• There again had an affair with his vice-president
• Fired from the board of his own company.
Ethical issues
• Ethics in financial markets (insider trading)
• Financial services industry (commercial banks providing huge loans to
companies, individuals without proper checks and balances) case of
Wahdwans,
• Frauds in banks (active involvement of staff, failure to followup on
defaulters, collusion among business men and bank officials, civil
servants and politicians)
• Unauthorised extension of credit facilities
• Opeing of bogus accounts, forged signatures of introducers

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