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Concepts of ethics
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One can define ethics as a concept that constitutes what is good for the individual and for society, as well as establishes the nature of obligations, or duties, that people owe themselves as well as others. In the case pertaining to Tri-Star, specifically regarding the president of the company, there were various ethical issues that came into play. Looking at the legal aspects of this case, consumers of Tri-Stars' phones are indeed entitled to full refunds for their defective devices. On top of this, these phones are a liability to users, and their safety is put at risk by keeping these explosive devices. That being said, those who sustain injuries as a result of their phones exploding can potentially sue Tri-Star in a product liability suit …show more content…
Those who purchased the defective phones will likely be eligible to receive either a full refund or an exchange for a device of equal value. Product liability; although it is less strict in Canada, is a concept that attempts to hold a seller liable for a defective product that it sells. Even though this is not as strictly enforced in Canada, it is likely that Tri-Star would indeed be held accountable in this situation, and one can examine the case of Samsung's exploding Galaxy Note 7 devices to further confirm this. Anyone who purchased a Note 7 prior to Samsung issuing the recall of these devices was and is eligible to receive a full refund or exchange. There is also a legal theory known as implied warranty of merchantability. A breach of the implied warranty of merchantability occurs when a seller sells a defective product that was defective when it leaves their control. If this defective product then causes injury to the user, the user can hold the seller liable for the damage caused by that defective product. It is clear that Tri-Star would therefore have a lot of law suits being filed against them for any injuries sustained as a result of their explosive phones, and this poses many problems for the …show more content…
For one, the president should have known; as a reasonable person if her position would have known, the repercussions of doing so. Even though it is not illegal to do so, skipping the safety testing is dangerous, as the devices being released could be faulty in numerous ways. In this case, the batteries ended up overheating and exploding. These explosions can easily; and likely did; cause injuries to consumers. Therefore, the president knowingly put consumers at risk of injury. These consumers who suffered injuries would then be able to sue Tri-Star for causing these injuries as a result of negligence by skipping the safety testing, and they would likely win these law suits, especially if numerous people attempt to sue as well. Looking at this from an ethical standpoint, the president mistreated her legal staff by forcing them to either approve the skipping of the safety testing or face termination, putting them in a rather difficult spot. She also mistreated consumers by abusing their trust that they will be receiving a product that would be safe for ordinary use. Based on ethics alone, the president is clearly in the wrong in this case, as she placed the importance of the product itself over the safety and well-being of consumers, as well as the treatment of those who work for
Rehrig Pacific Company has been in business since 1913. Over 100 years in business, family owned and operated since then. Now on its 5 generation of owners. Rehrig Pacific has been in business since before the creation of OSHA and the OSH act of 1970. For years Rehrig worked and produced products and did their best to provide a safe workplace for their employees as they saw as extended family. There were many things done in the past that would not be okay to do in today’s safety world. Safety guards on machines were not used, at many times taken off to increase productivity and efficiency. Employees would climb on top of equipment was part of
The Massachusetts Supreme Court’s jury found that Toys R Us was liable for wrongful death, negligence, and breach of warranty and awarded t...
If the product was not the same as the sample product, the contract is breach. Therefore, they buyer is able to reject contract and ask for compensation for breach of contract. Seller have the responsibility to make sure that they product they sell or customers is free from defects for it to be reasonable examination.
It is obvious that executives and managers at both British Petroleum and Transocean have changed the civil right statement “by any means necessary” to reflect their desire to make profits. The unethical behavior that has been engrained within both business cultures calls in the question the ethics of all powerful oil based companies. Leaders must be attentive and adhere to all safety and maintenance concerns. The damage and loss that was incurred could have been avoided if executives would have made more logical and ethically based decisions. Leaders should be able to recognize their psychological tendencies and correct them when making ethical decisions for their businesses. Through striving to make ethical decisions, organizations can set the tone for company morale and success.
This turned out to be a serious safety hazard with the expected loss of life. But they labelled it as an Acceptable risk, instead of finding a solution.
The Apple Store is in a league of it’s own. By having the Apple Store, Apple is able to track the demand of products and adjust production forecasts by the hour. This instant diagnosis of Apple products allows Apple to find defects within hours of being sold. Competitors are fixed selling products in Best Buy and through other retailers, and while Apple sells through other retailers as well, the Apple Store is advantageous in relaying product feedback straight to Apple headquarters. Through a program named early field failure analysis, or EFFA, Apple can quickly and efficiently diagnosis problems with Apple products. Satariano explains that the EFFA came through in 2007 with the discovery that sweat from a person’s face could get into the earpiece of the phone and short the screen. Using serial numbers, Apple was able to see the origin of the phone and instruct the manufacturers to plug the leaky phones with glue. The EFFA is a program overseen by AppleCare. Typically viewed as the warranty center for Apple, AppleCare also assess the most common consumer complaints on a week-to-week basis and relays the data to Apple executives.
...n when the manufacturer goes to great length to warn consumers against possible hazards of the product, these warnings are not always sufficient protection from failure-to-warn lawsuits. The manner in which each lawsuit is defended against can also provide a deterrent against such suits in the future.
Ethics, in any form, provides a detailed verdict on what is considered right or wrong. This means that it provides assertions of what ought to be done and what should not. Ethics is also universal and affects anything in relation to individuals. These matters keep businesses from abusing consumers. Laws have even been enacted to enforce principles set forth by ethics. But, in some cases, scrutiny of the laws or their enforcements may be too loose and ineffective. This is evident in the case of the Japanese manufacturer Takata and their faulty airbags. While in other cases there may not be laws clarifying how to act in a specific setting, as in Todd Rutherford and his online reviewing company. These circumstances depend on personal ethics and
Ethics in business is a highly important concept, as it can affect a company’s profits, salaries paid to employees and CEOs, and public opinion, among many other aspects of a business. Ethics can be enforced by company policies and guidelines, set a precedent when a company is faced with an important decision, and are also evolving thanks to new technology and situations that arise due to technology usage. Businesses have a duty to maintain their ethical responsibilities and also to help their employees enforce these responsibilities in and out of the workplace. However, ethics and the foundation for them are not always black and white. There are many different ethical theories, however Utilitarianism, Kant’s Deontological ethics, and Virtue ethics are three of the most well known theories in existence. Each theory is distinct in that it has a different quality used to determine ethicality and allows for a person to choose which system of ethics works best with both the situation and his or her personal ethical preferences.
Ethical behavior is behavior that a person considers to be appropriate. A person’s moral principals are shaped from birth, and developed overtime throughout the person’s life. There are many factors that can influence what a person believes whats is right, or what is wrong. Some factors are a person’s family, religious beliefs, culture, and experiences. In business it is of great importance for an employee to understand how to act ethically to prevent a company from being sued, and receiving criticism from the public while bringing in profits for the company. (Mallor, Barnes, Bowers, & Langvardt, 2010) Business ethics is when ethical behavior is applied in an business environment, or by a business. There are many situations that can arise in which a person is experiencing an ethical dilemma. They have to choose between standing by their own personal ethical standards or to comply with their companies ethical standards. In some instances some have to choose whether to serve their own personal interests, or the interest of the company. In this essay I will be examining the financial events surrounding Bernie Madoff, and the events surrounding Enron.
The final decision would then be to have the engineers and manufacturers are at the uppermost authority in aerospace decision making with regards to ethics. They should have the primary responsibility to inform the government, at any cost and at any concern as to the safety and well being of passengers who fly. Engineers and manufacturers are the ones who create aerospace vehicles, so they should be the ones to decide on the extent of their safety, and the safety of all who use them.
Ethics is a social, religious, or civil code of behavior considered appropriate, especially that of a specific group, profession, or individual. Business ethics is the analyzation of moral and social accountability in reference to procedures and the making of decisions in a company (Merriam, 2015). While every individual has their own value system in regards to ethics, there is a type
This case involves Ford and the Japanese tire manufacturer, Bridgestone/Firestone. The Ford Explorers which were prone to rolling over, came equipped with Firestone defected tires. The tire seemed to have a defect that caused the tread to separate from the whole of the tire and cause the vehicle to flip. Although Firestone knew about such defects, they continued to produce despite knowing the deadly consequences that lay behind their actions. The Explorer also had a bad reputation of rolling over and Ford knew it. As a result, fatal accidents occurred from these two combinations. Since this was a very serious safety issue, Ford and Firestone were ordering the recall of problem tires in Saudi Arabia, Venezuela and Asia but not in the United States. So, did the company act ethically in resolving this crisis? No, the companies failed to fix the problem in the United States. According to NHTSA, the tires have caused many deaths and injuries in the United States. In fact, these accidents would have not occurred if both companies have solved the problem immediately. Thus, despite the obvious safety issues, there were also fundamental ethical issues.
Ethics are the driving force behind good business. Every ethical choice made by a professional can and will have a much different outcome than any unethical choice. Bad ethics can ruin many aspects of a business and as (Gaye-Anderson, 2007) states how quite easily the lives and professional reputation of the employees can even be severally damaged (para. 3). Everything from morale to motivation can be severely affected by poor ethical choices. Customers will take their business elsewhere. Employees will abandon ship. Other, competing businesses reap the benefits of the bad moral choices. Ultimately, the entire business can be brought down by one poor ethical choice.
Ethics is the responsibility of each individual person, but starts with the CEO and the Board of Directors, setting the right tone at the top and moves down through the organization, including setting the tone in the middle. A company’s culture and ethic standards start at the top, not from the bottom. Employees will almost always behave in the manner that they think management expects them, and it is foolish for management to pretend otherwise (Scudder). One of the CEO’s most important jobs is to create, foster, and communicate the culture of the organization. Wrongdoings or improper behavior rarely occurs in a void, leaders typically know when someone is compromising the company