Ethics Week 3

Philosophers Contribution
Questions / To do

1. When a business or organisation is economically viable and obeying the law it can be
considered to be ethical. Do you agree? Discuss in the context of ethics being based on
views about religion, relationships with other people and perception of ourselves.
2. Society can be seen as a voluntary contract among individuals in which some rights are
given up in exchange for peace and self-preservation. (B&D p.130). In other words
individuals act in their own self-interest. Is this ethical?

1. Discuss in the context of Adam Smith’s view that a person who promotes their own
wealth can improve the wealth of the nation
2. Discuss in the context of different countries having different laws and penalties

3. Distinguish between utilitarianism and consequentialism and explain why the difference
is important.
4. Discuss why the notion of “ the ends justifies the means” is not a legitimate ethical theory

CS: Dealing with Disappointed Apple IPhone Customers ( Learning Resources (B&D
p.173)
Prepare a chart summarising the different reasoning in utilitarianism, deontology, justice and
fairness and virtue ethics 4which shows where each theory provides arguments against the
other.
Use your arguments to discuss the marketing strategy of making an attractive offer to new
customers but is not available to existing customers.

Question 1: When a business or organisation is economically viable and obeying the

law it can be considered to be ethical. Do you agree? Discuss in the context of ethics
being based on views about religion, relationships with other people and perception
of ourselves.
Different people have different ethical beliefs that come from differing cultures and religions.
Many religions have long standing beliefs regarding ethics, including the ethics within
business which guide the actions of those who follow it. Many religions apply an ethical
barrier preventing harmful or unethical behaviour such as gambling and alcohol which may
have played a large role in shaping society as we see it today.
Being ethical can be seen as doing what is right and doing what one ought to do whereas
obeying the law is doing what one has to do to avoid legal consequences. In short, the law
outlays what a business has to do and ethics is what the business should do or the ‘right’
actions. Based on these definitions different people may have differing ideas of what is
ethical.
In the case of the law it lays out a business’s obligations and limitations however just
because a business is working within the scope of the law does not mean that they are
operating ethically. There are many situations where one can be dishonest, unfair, uncaring
and untrustworthy without breaking the law. It is unethical to use unrenewable materials in
manufacturing or to create a large amount of waste however there are cases where this is
not illegal. On the flip side, it may be ethical to feed the homeless your waste from a
restaurant however this can be illegal in many places.
Relationships with other people and perception of one’s self are likely to influence the
degree to which one is ethical. Within business relationships between the organisation and
stakeholders play a key part in the overall success and operation of the organisation
however many may have differing ethical beliefs which all need to be balanced to further
success. In the modern business environment just obeying the law is not enough to thrive,
corporations need to be ethical in their operations.
Question 2: Society can be seen as a voluntary contract among individuals in which
some rights are given up in exchange for peace and self-preservation. (B&D p.130). In
other words individuals act in their own self-interest. Is this ethical?

1. Discuss in the context of Adam Smith’s view that a person who promotes their own
wealth can improve the wealth of the nation

As members of society individuals do give up some wealth in the form of taxes in addition to
some rights which come in the form of that society’s laws in exchange for peace and self-
preservation. Ethical egoism is the idea that individuals only act out of their own self interest
and therefore holds that the actions which benefit the doer can be considered ethical in this
sense.
Adam Smith's view is that individuals mindlessly pursuing their own desires and self-
gratifications they unintentionally as If “led by an invisible hand” benefit society. This is as
individuals are more motivated to work hard when it benefits their goals and aspirations.
In Smiths view the general wellbeing of society and society’s wealth is important and the
best way to achieve this is for everyone to look out for themselves improving their wealth
and wellbeing.
Therefore, under this view acting out of your own self interest not only benefits you the most
but also society as a whole and is therefore ethical. However, this is not always true as
multiple people acting out of self interest may not come to the best solution.

2. Discuss in the context of different countries having different laws and penalties

Question 3: Distinguish between utilitarianism and consequentialism and explain why the
difference is important.
Utilitarianism is an ethical theory that tries to maximise happiness. The belief is that the
decision that creates the most happiness is the correct and ethical decision.
Consequentialism is an ethical theory that the consequences of one's conduct should be the
basis for any judgement of the rightness or wrongness of actions. Utilitarianism falls under
consequentialism.
Consequentialism does not have a desired outcome unlike utilitarianism which wants to
maximise happiness.

Question 4: Discuss why the notion of “ the ends justifies the means” is not a legitimate
ethical theory
The ends justify the means is a belief which creates the idea that the way something was
achieved doesn't matter because it produced results. It is a way of justifying horrible actions
that produced satisfactory outcomes rather than being a legitimate ethical theory.

CASE STUDY

CS: Dealing with Disappointed Apple IPhone Customers ( Learning Resources (B&D p.173)

Prepare a chart summarising the different reasoning in utilitarianism, deontology, justice and
fairness and virtue ethics 4which shows where each theory provides arguments against the
other.
Ethical utilitarianism deontology Justice and fairness Value
theory ethics

Belief The ‘right’ decision is An action is ‘right’ A fair distribution of An ethical

the one that not due to resources. People decision is
maximises consequences but should be treated one that
happiness due to the morality differently based on respects
of the action their circumstances. the rights of
others

Issues Focusses only on The rights of some are A persons

consequences of sacrificed for a more right vs the
actions not on the equitable distribution publics right
action itself. Does not
prioritise
the weight
of variables

iphone With the iphone as Was the decision as people originally What
more happiness itself ethical and paid 200 more they virtues
comes from those correct thought it was fair. does steve
who got it for 200 Now people also paid jobs want to
less compared to 200 less for the show.
those who overpaid product later and
do nothing therefor thought that
was fair.1

Use your arguments to discuss the marketing strategy of making an attractive offer to new
customers but is not available to existing customers.

By making an attractive new offer to new customers but not existing customers a company
can increase their customer base without losing out on as much revenue. These new
customers will also believe they are getting a more exclusive deal as others cannot get it.

Ethically as existing customers have already paid for a service they must believe it was
worth what they paid and should be happy and now others can also gain happiness from the
reduced price for new customers therefore being ethical under utilitarianism.

Deontology refers to the decision itself and the decision makers motivations so as long as
the decision was made to help others and did not have ulterior motives such as manipulation
or trickery it will be ethical.

The act also seems ethical under justice and fairness as the individuals who paid more
thought that was fair at the time and now others paying less are only doing it because they
now think the price is right. In this case those who wanted it more or who are more wealthy
got in early for more money and those who are less fortunate got a deal later on for less.

Under virtue ethics it depends on the morals of the decision maker.

This marketing strategy works well as it segregates the market whilst remaining moral and
maximising happiness for most.

Interesting web links

https://www.abc.net.au/radionational/programs/religion

https://www.khanacademy.org/partner-content/wi-phi/wiphi-value-theory/wiphi-
ethics/v/utilitarianism-part-1