Following the company's reported intention to develop a nearby property adjacent to Owen’s property, ethical issues have emerged on the best approach that ensures that all the parties involved benefit fairly. The ethical dilemma presented involving Luke, who acts on behalf of the company in overseeing project developments, and Owen, a neighboring property owner, who also doubles as Luke’s brother. The ethical issues require careful reasoning to make an appropriate choice. Luke is split between staying true to the corporate ethical obligations of privacy, by not disclosing the company’s intentions to develop the nearby property, and in the process subjecting his brother to huge losses, or following moral obligations, the utilitarian ethics and the golden rule that will save his brother from losing the value of his property.
The approach to this ethical dilemma requires Luke to be guided by moral values, societal values, religious principles an ethical principle. He has a moral and ethical obligation to help his brother to make a good decision to sell or retain his house. He is also under an obligation not to disclose the company dealings to third parties. Ethical principles that apply in the case scenario are virtue ethics, Golden rule, universal ethics, and utilitarian ethics. All the ethics are aimed at achieving one objective, which is doing what is best for everyone. I will advise Luke on how to approach the issue based on the above indicated ethical principles.
Utilitarianism theory is part of a consequentialist theory that asserts that only the consequences of action matter and determine whether the action is morally right or wrong. It recognizes an action as morally right if it maximizes the good or reduces the bad. It considers the consequences of an action to all the stakeholders in terms of benefits or harm (Hayry, 2013). Utilitarianism does not recognize the moral code of conduct set by society, such as taboo, cultural beliefs, traditions, or customs. Instead, the theory asserts that moral actions are only right if they positively contribute to both humans and non-humans. Consequences of Luke withholding the information from his brother has negative impacts that utilitarianists would consider it morally wrong. From another lens also, it can be seen that the consequences of Luke disclosing the information may lead to negative impacts such as loss of investors. From my point of view, I advise Luke to choose an approach that would result in less suffering and more benefit, and that is to inform Owen that the ABC intendeds to develop the land for him to sell the land sooner before it depreciates. Although Luke will have violated the company's privacy policies, the company is not likely to suffer any significant losses as a result of Owen getting the information and selling his property.
Universal ethics entails the generally accepted principles. Unlike the consequentialist, the theory requires that actions be acceptable to all people irrespective of social classes, gender, age, race, or any other social differences. It is considered a form of moral constitution that forms the backbone of a set of specific ethical principles. All other social groups maintain their unique principles that are considered ethical (Mele & Sanchez, 2013). Universal ethics are common, self-evident, and cut across social, cultural, and political contexts. In this scenario, it is more logical for Luke to inform his brother, Owen, that the company will soon develop a project that would lower the value of the property he intended to sell.
On the other hand, it appears to be morally wrong for Luke to violate the company's privacy by informing Owen about the company's plans. The magnitude of the problem is profound if all company employees shared company information with their friends, relatives, and colleagues. The consequences would be highly damaging to the company as it may lose a competitive edge and possibly lose potential investors. However, as a consultant, I will consider using a combination of the practical and universal ethics to support the decision for Luke to inform his brother on the possible losses that would befall him if he does not consider selling his property before the beginning of the company project.
The Golden rule is a popular rule that states that "do unto others as you would have others to do unto you," which has been regularly used in business literature (Mattingly, 2012). The rule requires that we do the good that we expect others to do it to us. It asserts that every person is worthy, has the same dignity, and deserves fair treatment. Applying the Golden rule demands that you put yourself in the shoe of the other person on the receiving end. After putting yourself on the other person's shoe, you vividly imagine what the person feels. Before making a decision, I would advise Luke to put himself in the shoe of other stakeholders and take their point of view. However, he should also put himself in Owen’s shoes and ask himself what could have Owen do if he was on his position. If he chooses to inform his brother about the company's decision to start a project, he will be doing good to his brother and the surrounding neighborhood.
On the contrary, he will be harming the company's reputation. As one of the company's senior employees, he should be a good representative of the company. Luke will harm the company and the stakeholders but do good to Owen and the community surrounding the company. I believe that it is necessary to consider an action that would benefit more people in this situation. In regards to utilitarian theory, I would advise Luke to help his brother make a good decision to better his life. When handled well, the information will help the neighborhood make informed decisions regarding the future value of the property in the area. Although Luke will harm the company and the stakeholders by revealing the company plans, he will be doing what is best by informing his brother. Besides, one should always do what is good and right (Carrol & Buchholtz, 2014).
Virtue ethics is an umbrella of other virtue such as compassion, integrity, prudence, and integrity. It emphasizes respect for moral virtues such as honesty when approaching a situation or making a decision. Virtue ethics focuses on moral character instead of obligations to duties or consequences of actions (Mattingly, 2012). Virtue is a positive character trait widely accepted in society and makes a person a good human being. The virtue of honesty necessitates that Luke informs Owen on the company plans to build an entertainment center in their neighborhood. As indicated earlier, the main objective of ethics is to achieve the best solution that benefits all. The virtue of honesty supports the universal ethics that is aimed at actions that are acceptable to all. It is also related to the utilitarianism theory that focuses on the outcome of an action to determine if the action is morally right or wrong. Luke should express compassion towards his brother, who is on the verge of losing his property's value. Although he is obliged to protect the company's interest and privacy, he should note that a company does not have human attributes, and the virtues cannot apply to it. It cannot express gratitude for the good things he does to the company. Moreover, it cannot suffer as a result of losing their money, and just the way humans will be affected. Basing on virtues, it is easy to decide that Luke should disclose the company information to Owen and save him from financial losses.
Recommendation
The ethical ideologies analyzed above indicates that Luke should make an appropriate decision that will benefit most people. He should strike a balance between the outcomes of revealing the company information and dutiful obligation to keep confidentiality on the company activities. However, Luke has a moral obligation to help his brother get the best deal for his property by advising him to sell it before the commencement of the project, which has the potential of lowering the property value. Consequently, Luke should advise his brother to sell his property now at the ‘okay’ price of the current real estate price because it is likely to depreciate after the project is established.
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