MID-TEST PAPER BUSINESS ETHICS FUNDAMENTAL

REVIEW: THE INSIDER

By Kathryn 0800766872 MA1

Jakarta, February 4, 2010

ISSUE The Insider movie (1999) tells the controversial true story of 60 minutes TV series that shows an interview with Dr. Jeffrey Wigand, a vice president of B&W tobacco company. This controversy interview had revealed a surprising fact that they were inserting ammonia into their cigarettes to provide consumers with a faster fix. As a common knowledge for decades, cigarretes are hazardous and addictive. In this case, problems showed up after Wigand who was convinced by Lowell Bergman, the producer, interviewed by Mike Wallace for CBS show 60 minutes. Many threats and problems occured had disturbed not only Wigands life, but also his family. Ethical concern that become the main issue Ethical problem that become the main controversy was the position of Wigand who had signed a confidential aggreement with Big Tobacco Company, B&W. Thus, it was very possible to Wigand being sued back. The interview itself then was later aired on February 4, 1996. Two main issues discussed in this movie are internal conflicts related to ethical concerns. First, Wigand was considerd to be disloyal as he had violated his confidential agreement with B&W, whereas he just tried to save many people from those killing cigarettes. Second, Brown and Williamson enhancing nicotine in cigarettes causing the addiction of smokers to buy more of the product and hiding the truth about their addiction.

ANALYSIS

A big Tobacco Company, B&W had enhanced nicotine addiction in cigarettes and covered up the truth about it. STAKEHOLDERS Tobacco company B&W tried to keep the nicotine truth under wrap to make more profit from cigarettes. CBS (CEOs) CBS tried to get the story for higher ratings while the CEOs were trying to make profit off the ratings. Jeff Wigand (Family) Jeff Wigand wanted to tell the truth on the enhancement of nicotine that the tobacco company is doing. On the contrary, his wife did not support him at all. Smokers Smokers want the right to know about their health. Insurance company Insurance company wants the insurance of the people to live longer. Second-Hand Smokers Second-Hand Smokers wants to know why they are affected by smoking chemicals when they dont smoke.

Despite the risks that Wigand had taken, the executives at CBS decided not to air the interview because of fear of litigation from Brown and Williamson. Key of ethical dilemma was CBS executives decision to air or not air the interview. Wigands decision to choose to adhere to his personal integrity rather than company loyalty Actually, CBS had the moral right and duty to broadcast the truth to the public according to the delivery of nicotine through cigarettes.

RECOMMENDATION

After Wigand met Bergman at the hotel room, he was considered as a whistle-blower from the company where he worked. His tough decision to reveal the truth had violated his agreement with B&W. Then, many threats came upon him. Bergman realized that Wigand had an explosive secret, thus he convinced Wigand to reveal the truth through a special interview in 60 minutes. CBS at the beginning had decided to cancel airing its controversy interview between Mike Wallace and Jeffrey Wigand according to the facts inside B&W tobacco Company. After risking everything (including his marriage and the possibility of going to jail), he learned that 60 Minutes had decided to cut the interview, rendering his sacrifices moot. Wigand had been betrayed, Bergman had been hung out to dry, and the Court of Public Opinion would not hear the truth about the tobacco giants. A year later, the interview was finally aired, followed by the unfolding of a number of surprising facts that B&W had committed a crime by using excessive nicotine in cigarettes produced.