Business ethics in the entails making critical decisions in business that are based on the right things to do in a circumstance rather than the most profitable action. It entails ensuring that the decisions made by an organization are morally upright. Businesses are commonly faced with the challenge of making the right decision especially when their profit margins are at stake.
In 1982, the Chicago metropolitan area experienced several murders that were linked to the use of Tylenol-branded acetaminophen capsules. These capsules had been laced with potassium cyanide. It initially led to the death of seven people with the death toll increasing due to copycat crimes (Market, 2014). Johnson and Johnson made critical business ethics decision involved distribution of warming to consumers about the use of Tylenol and halting the production of this drug. The company also issued a national recall of all Tylenol product to investigate the drugs, which had been altered. Other recalls made later by different companies were done after involvement in extensive lawsuits aimed at protecting their products. This differed from the 2016 issue related to J&J’s Baby Powder and Shower-to-Shower products when used in the vaginal area that arose in the company (Reuters, 2016). These products were associated with risk of ovarian cancer. The company handled this by fighting against the claims that their products increased the risk of ovarian cancer.
The actions taken by J&J to recall their product are similar to the recalls made by Toyota over the potential faulty airbags inflators that were produced by Takata. The airbags inflators had been linked to 16 deaths globally (Reuters, 2016). Volkswagen also recalled five million cars in China due to faulty airbags (Volkswagen Recalls Five Million Cars in China over Faulty Airbags Linked to Deaths, 2017). Although this recall contributed to losses in these companies, it illustrates their ability to apply business ethics. The companies illustrated their concern for safety and took responsibility of the deaths that had resulted from their products.
Business ethics entails making the right decision that uphold the moral s in the society as opposed to making decisions that are beneficial to the organization. The decision made by Toyota to recall their cars after being linked with 16 deaths globally, reduced the risk of more cases and ensured that the business focused more on their relationship with their customers and promotion of business ethics.
Market, H. (2014, September 29). How the Tylenol Murders of 1982 Changed The Way we Consume Medication. Retrieved from PBS NewsHour: https://www.pbs.org/newshour/health/tylenol-murders-1982
Reuters. (2016, November 7). Johnson & Johnson Hopes to Reverse Baby Powder Lawsuits. Retrieved from Fortune: http://fortune.com/2016/11/07/jj-talcum-powder-lawsuits/
Reuters. (2016, October 26). Why Toyota Is Recalling 5.8 Million Cars Worldwide. Retrieved from Fortune: http://fortune.com/2016/10/26/toyota-recall-takata-airbag-cars/
Volkswagen Recalls Five Million Cars in China over Faulty Airbags Linked to Deaths. (2017, September 14). Retrieved from Independent: https://www.independent.co.uk/news/business/news/volkswagen-car-recall-cihna-deaths-faulty-airbags-faw-vw-saic-takata-corp-a7946066.html