Corporate Social Responsibility - Assignment Example

Merck Company is one of the largest and successful pharmaceutical companies in the world (Hassen, 2004). The company encountered some difficulties and almost lost the patent protection on some of the best selling medication drugs to the public. The dilemma occurred since the company had to make quick decisions that would save it from collapsing due to a lack of satisfactory funds within Corporate Social responsibility. The key economic issue was that Merck’s company did not want the economic situation to disintegrate from the previous one.

The economic implication was the appreciable focus on the methods of solving the problem the company had encountered. The implications suggested were aimed at aiding the company from collapsing. The ethical and philanthropic consideration argued that to run a friendly company to the customers, business ethics was esteemed (Gilmartin, 2003). The decision that fits the organization's values and principles of profitability are that is against the involvement of the drug business project. The company’s ethical values state that the company will only conduct business that is legal in the country and that it will not accept or involve in illegal business projects that may harm the company.

The drug business is illegal in many countries across the world; therefore, when the government realizes that an organization or a group of people is involved, they stop their operations (Pharma Ethics: Merck CEO Resigns, 2005). The project is tempting because of the immense profits realized in the period; hence, the Merck Company contemplated self-enrichment. According to the company, the stakeholders believe in trust as a significant virtue for a business to excel honestly without any guiltiness of their success.

The stakeholders and the company would be negatively affected in case the drug project failed since the money spent to start the business would go to waste and threaten the financial department. Mostly, the employees do not have a place to go if the company is closed (Finegold, 2005). The company would lack enough capital to run the company by investing in other profitable business ideas. The group of people who will be harmed will be the stakeholders who had invested their money in the company, and the workers and employees of the bank.

If I were the CEO of the Merck Company, I would stop the project immediately, think, and take affirmative action to solve the problem. The reason why I would stop the drug project is that it may later initiate monetary problems. There is no ground to contract with a project that is insecure and brings losses to the company, therefore, the best solution is to leave the project and concentrate on the developing and motivating projects, which abide by the stipulated regulations. I will be comfortable in sharing my opinion to the board or members and the stakeholders, since Carroll’s theory supports communication and honesty in the business sector for success to be realized.

ConclusionThe Merck Company has gone through business challenges, and the management decided to start a drug project for it to design quick wealth for the company. Most business organizations go through the same challenges, and therefore, other companies should learn as an example. A company is bound to realize appreciable success and esteem by the populace through the maintenance of proper ethical conduct. References