Ethics Rubric: Exceeds Expectations 2, Meets Expectations 1,

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Conduct an ethical analysis of a situation in which a brand manager at a large food manufacturer is faced with conflicting scientific reports about a new healthy potato chip product. The company’s internal research denies adverse effects found by an independent lab, but the manager considers whether to delay product launch to address potential health risks, balancing business interests, consumer safety, and ethical principles.

Paper For Above instruction

The ethical considerations faced by a brand manager in the scenario revolve around the tension between safeguarding consumer health, maintaining corporate integrity, and fulfilling business objectives. This situation involves complex ethical issues including product safety, corporate transparency, stakeholder rights, and the potential consequences of concealment versus disclosure. To navigate these issues responsibly, the manager must evaluate the situation through multiple ethical frameworks and propose an ethically justified course of action.

Identification of Ethical Issues

The primary ethical issue concerns product safety—specifically, whether to release a product that scientific evidence suggests may cause adverse health effects such as dizziness and diarrhea. Ignoring such evidence could lead to harm to consumers, violating the ethical obligation to do no harm (non-maleficence). The dilemma is compounded by the pressure to launch quickly due to market competition and financial pressures, which might tempt concealment of the adverse findings to protect the company’s reputation and profitability. This raises questions about honesty, transparency, and corporate responsibility. Furthermore, there is a concern about the design flaw in the product itself, which may be inherently unsafe, and whether it is ethically permissible to distribute a potentially harmful product for economic gains.

Stakeholders and Their Stakes

• Consumers: At the core of the ethical concern lies the safety and health of consumers, who could suffer adverse health effects from the product. Their right to safe, truthful information about what they consume makes this a critical stakeholder.
• Company and shareholders: The company's financial success and shareholders' investments are at stake, as a delayed launch or product recall could harm profits and shareholder value.
• Employees: The production and marketing team, including the brand manager, face job security risks depending on the product’s success or failure. Ethical decisions may also impact their reputations and professional integrity.
• Competitors: The competitor’s potential market response and their own product strategies could be affected by how ethically the company manages this issue.
• Regulatory agencies and government: They hold an interest in ensuring public safety and enforcing product safety laws, thus potentially scrutinizing and intervening if harm occurs.

Analysis Using Multiple Ethical Principles and Theories

Applying various ethical principles provides a comprehensive view of the moral landscape. First, the Golden Rule — treating others as one wishes to be treated — suggests that the manager should consider how they would feel if they became ill from the product or if they found out the company knowingly sold a harmful product. Ethical conduct would call for honest transparency and prioritization of consumer safety.

The Categorical Imperative by Kant emphasizes that actions should be universalizable and respect for persons. If every company ignored adverse safety reports to maximize profits, the result would be a world where consumer harm is rampant and trust in corporations diminishes. Hence, it is imperative to act in a way that maintains respect for consumers’ welfare and prohibits deception.

The Virtue Ethics approach focuses on moral character and integrity. A virtuous manager would demonstrate honesty, courage, and responsibility by disclosing the health concerns and advocating for consumer safety despite financial pressures. Choosing transparency aligns with virtues such as honesty and integrity.

From a Discloser Rule perspective, withholding information about health risks violates principles of honesty and respect, as consumers have a right to make informed choices. Concealing the adverse effects would be ethically unjustifiable under norms of transparency and accountability.

The Utilitarian approach assesses the greatest good for the greatest number. While launching the product might benefit shareholders and boost profits temporarily, the long-term harm caused by consumer health issues and the erosion of public trust could outweigh short-term gains. Disclosing the health concerns and delaying launch could prevent harm and preserve the company's reputation and customer trust in the long run.

Recommended Course of Action

Based on the ethical analysis, the most morally sound decision is to halt the product launch until the health risks are conclusively addressed. The company should disclose the adverse findings from the independent lab to relevant stakeholders, including regulatory agencies, and voluntarily recall or delay the product. This demonstrates respect for consumers’ health and rights, upholds corporate integrity, and aligns with ethical principles of honesty, non-maleficence, and responsibility.

Specifically, the manager should advocate for a thorough investigation into the safety concerns, engage with the external lab for further testing, and be transparent about the potential risks. Communicating openly diverts from short-term business interests but upholds long-term trust and reputation. The company can explore reformulating the product to eliminate health risks or develop alternative products that meet safety standards. While this may delay profit, it assures ethical responsibility and preserves consumer trust, which are crucial for sustainable success.

Conclusion

In conclusion, ethical decision-making in this scenario dictates prioritizing consumer health and product safety over short-term financial gains. Employing multiple ethical principles reveals that transparency and responsibility are fundamental to ethical business conduct. The company’s reputation and consumer trust are invaluable assets that must be protected by acting ethically—disclosing the health concerns, delaying the launch, and ensuring the product is safe before release. Such actions uphold moral integrity, foster trust, and serve the long-term interests of the company and society.

References

• Beauchamp, T. L., & Childress, J. F. (2019). Principles of Biomedical Ethics (8th ed.). Oxford University Press.
• Ferrell, O. C., & Fraedrich, J. (2015). Business Ethics: Ethical Decision Making & Cases. Cengage Learning.
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• Kant, I. (1785). Groundwork of the Metaphysics of Morals.
• Mill, J. S. (1863). Utilitarianism. Parker, Son, and Bourn.
• Rawls, J. (1971). A Theory of Justice. Harvard University Press.
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• Shaw, W. H. (2016). Business Ethics: Moral Voices, Moral Dilemmas. Cengage Learning.
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