Business Ethics of Innovation - Assignment Example

Business and Professional Ethics 1. hat are the main ethical issues raised by GlaxoSmithKline’s decision to promote and market drugs for unapproved uses? Do you think that such practices are morally permissible or unethical? Provide detailed reasons to support your conclusions. The ethical issues raised following the actions of GlaxoSmithKline include the unknown impacts the drugs may have on the users. The fact that GSK failed to report safety on the diabetes drug, Avandia, to the Foods and Drug Administration shows a height of compromise when it comes to the possible impacts it may have (BBC News, 2012). To add on, the company engaged in promoting antidepressants such as Paxil and Wellbutrin for some uses that were not approved (BBC News, 2012). Some of these uses involved consumption by children and adolescents. GSK failed to consider the concerns of the minor population who may have little information on the said drugs. This move was unethical because a company like GSK that is among the worlds largest healthcare and pharmaceuticals companies should prioritise the health and the concerns of the consumers. GSK is also accused of paying doctors to prescribe the products. Putting money and business growth over the health and life of individuals is the height of unethical actions (Hanekamp, 2007, p. 39). 2. Do you think it was morally acceptable for GlaxoSmithKline not to release relevant research data and to make unsupported safety claims for one of its diabetes drugs? It was not morally acceptable for the pharmaceutical company to fail to release all the necessary information. Giving unsupported safety claims is unethical because unapproved claims may pose life threatening impacts on patients consuming them. Diabetes patients are already sensitive individuals and any side effect that the drugs may cause may aggravate their deteriorated health. Research data gives a deeper understanding about a drug and this knowledge is very helpful in prescribing the said drug to a patient. Some patients may not be medically fit to use some drugs or may react to some chemicals used. Is there a moral difference between merely failing to provide relevant information and actively making false claims about the safety of a drug? Why/Why not? Merely failing to provide relevant information is not ethical since the information is necessary in the prescription process. It may affect this process hence lead to harmful effects on the patients. This may however, occur out of mere ignorance but is unethical if done intentionally. Making false claims about the safety of a drug is unethical because it shows selfish interests of selling the drug and ignoring the concerns of the consumer. Both of them are morally wrong in an equal level. 3. GSK’s activities were found to be illegal. Would it make a difference to your assessment of the case if such activities were not against the law? Why/Why not? It would still make a difference in my assessment of the case. I would still find the actions of GSK morally unacceptable. The interest of the patients should always be prioritised before business ambitions. Doctors should abide to the oaths they make and not compromise for the sake of financial gains. 4. Do large food and beverage companies have any moral obligation or responsibility to consider the consequences for public health of marketing and distributing certain kinds of food and drink products? Why/Why not? Answer this question using examples from the documentary to support your conclusions. Large food and beverage companies should consider the consequences for public health as they market and distribute some foods and beverages. This is very critical since some of the foods are leading to obesity as well as many life style diseases. Obesity usually leads to death or other conditions such as blood pressure, diabetes, and cases of heart attacks. Obesity is currently not a problem of developed economies such as UK and USA but is currently a global challenge (Altman, & Leitch, 2012). Few decades ago, hunger was a problem but currently, the foods and drinks introduced by the companies contain too much sugars and cholesterol leading to obesity. I find it a moral obligation for these companies to indicate warnings on their products or better yet limit the marketing of unhealthy foods to the vulnerable populace such as the children. The documentary shows the story of a family where their father died due to obesity related illness (Altman, & Leitch, 2012). Their father’s death steered Juan Luis alongside his brother to minimize their tummies by undergoing surgery. The main cause of manufacturing and marketing should be handled. 5. The program describes a range of marketing techniques used by food and beverage companies in different countries: the marketing of soft drinks to schools in Mexico; the door to door selling of snack foods fortified with micronutrients and marketed to low income families in Brazil; a snack food boat that visits small villages along the Amazon to promote and sell food and drinks. Do you find any of these marketing techniques morally problematic? Explain in each case, why or why not. I find these marketing techniques morally unacceptable because marketing is done to vulnerable populations such as children in school. Instead of supplying soft drinks to children, this can be alternated by supplying other drinks that contains less sugar or calories. Low income families in Brazil as well as those living in the small villages along Amazon are susceptible and tend to purchase these foods and drinks because it probably all that they can access affordably. Food and beverage companies should alternate these high calories foods with more healthy foods to supply to these groups of individuals that have a minimal range of choices to select. Compare your responses to the two cases. Do you apply the same principles and standards of conduct to pharmaceutical companies as you do to food and beverage companies? What are the morally relevant differences/similarities between the two cases? Some principles and standards of conduct apply to both the pharmaceuticals companies and to the food and beverage companies. This is in the case of minding the interests of the consumers before financial gain or popularity. Pharmaceuticals companies should make sure they provide all the relevant information needed to ensure proper prescription and avoid harmful side effects or deterioration of health. Food and beverage companies should ensure that they do not market and distribute goods that have harmful effects such as obesity especially to vulnerable populations such as children (Williams, 2013 pg.79). It is important to note that statistics indicate India where 100 people will have diabetes in the near future. To add on, Mexico, which is the largest soft drink consumer already, has diabetes as the number one killer and weight problems are rampant (Wolin, & Petrelli, 2009, p. 117). The two companies however morally differ when it comes to legality. Like in the case of GSK, failure to submit reports to the Food and Drug administration was against the law. That made it morally different to the case of food and beverage companies in the documentary that are marketing foods to vulnerable populations in Mexico Amazon and India. There acts are not against the law but are just harmful. References 2012. “GlaxoSmithKline to pay $3bn in US drug fraud scandal.” BBC News. [online] May 25Th. Available at: [Accessed 25Th April 2015]. Altman, V. & Leitch, M. 2012. Globesity- Fats New Frontier. ABC News. [online] May 25Th. Available at: July 24Th. Available at [Accessed 25Th April 2015]. Hanekamp, G. 2007. Business ethics of innovation. Springer Science & Business Media. Berlin, Springer. Williams, J. D. 2013. Advances in communication research to reduce childhood obesity. New York, Springer Verlag. Wolin, K. Y. & Petrelli, J. M. 2009. Obesity. Santa Barbara, Calif, Greenwood Press. Read More