2. An Ethical dilemma is a complex situation that
will often involve an apparent mental conflict
between moral imperatives
This is also called an ethical paradox since in
moral philosophy, paradox often plays a central
role in ethics debates.
It is a moral situation in which a choice has to be
made between two equally undesirable
alternatives.
3. A production manager, when asked to produce a
commodity by his company may face an ethical
dilemma, when he knows that it will harm the
large number of consumers who buys and uses
the same.
People have no other alternative but to think well
and deeply before they make decisions and once
decided, to take the responsibility for such
decisions.
4. An ad agent may be asked by the director of a an
educational institute to draft an advertisement for
admission stating that since its inception, the
institute has 100 percent placement. Through the
advertiser knows it to be untrue, he or she may
be prompted to draft and release the blatantly
untrue advertisement due to extraneous factors.
5. His decisions would be results in
Either
Doing
what is
morally
right
Results
in
A bad outcome
or bad effects
Or
Doing
what is
morally
wrong
Results
in
Good or at least
better effects or
outcome
6. Ethical dilemmas in business affect
the stake holders
Share
holders
Business
balance
Employees
Society
and others
7. Sources of ethical problems
Failure of personal character: Recruiting
workers whose personal values are not
desirable, without knowing the workers’
background.
2. Conflict of personal values and organizational
goals: E.g. Bayer AG, in 2003, hatched a
conspiracy to overcharge for the antibiotic
Cipro. Mr. George Couto, a marketing
executive of the pharmaceutical giant opposed
the decision and informed the official about the
conspiracy.
1.
8. Organizational goals versus social values:
e.g. :Johnsons & Johnson cleared all retail shelves
of its Tylenol analgesic within days of the discovery
that some containers had cyanide poison traces and
had caused deaths
4. Personal beliefs versus organizational practices:
E.g. Religious celebration
5. Production and sale of hazardous but popular
products:
3.
e.g. : ITC ltd. Produces cigarettes and United
Breweries Ltd. manufactures and sells liquor.
The stopping its operation leads to mass
unemployment.
9. Walton’s six models of business
conduct
1.
2.
3.
4.
5.
6.
The austere model: Emphasis on ownership interest and
profit objectives
The household model: Emphasizes on employee jobs,
benefits and paternalism like a concept of an extended
family
The vendor model: Consumer interests, tastes and rights
dominate the organization.
The investment model: Emphasis as the organization as
an entity and thus on long term profits and survival
The civic model: Slogan is corporate citizenship. It goes
beyond imposed obligations, accepts social responsibility
and makes a positive commitment to social needs
The creative model: Emphasis the organization to
become a creative instrument, serving the cause of an
advanced civilization with a better quality of life.
10. How to resolve an ethical
problem
Utility: Does its benefits exceed cost
(Shareholder)
Rights: Does it respect human rights (Society)
Justice: Does it distribute benefits and burdens
evenly (employees)
Answer to these questions in the affirmative will
be the first step in the process of solving ethical
problems.
11. How to resolve ethical dilemmas
1. Analyse the consequences:
Who are the beneficiaries of your action
Who are likely to be harmed by your action
What is the nature of the benefits and harms
How long or how fleetingly are these benefits and
harms likely to exist
2. Analyse the action: Compare with moral
principles such as
honesty, fairness, equality, respect for the dignity
and rights others, recognition of the vulnerability
of people who are weak.
3. Make decision
