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The fact that there are federal, state, and local departments of health demonstrates how seriously they

take the protection of public health and the creation of conducive environments for healthy living. The
mission statements of some state health departments, including those in Alabama, Oklahoma, West
Virginia, and Connecticut, indicate this emphasis on promoting healthy conditions. The question of how
far the government should go in upholding these obligations to preserve our health—and the related
responsibility to limit our liberty only to the extent necessary—is a perennial one in ethics.

The doughnut chain's decisions appear unethical because they lack responsibility and seem to lack the
hyper-norm values of compassion and justice. In the near run, it could make sense to ignore changing
consumer tastes and preferences, particularly if the chain has little competition and consumers have few
other options. However, when more details concerning sugar's harmful effects on the body become
accessible, consumer confidence in the chain starts to erode. Ignoring a key stakeholder as a long-term
strategy will likely be detrimental to the firm.

By assisting businesses in creating intangible, valued assets that can serve as sources of competitive
advantage, improved relationships with primary stakeholders including employees, customers,
suppliers, and communities may increase shareholder wealth. Without the participation of large or
primary stakeholders like consumers and employees, sustained profitability cannot be achieved. The
foundation of a corporation's reputation is made up of the characteristics that these stakeholders’ value
in a company, such as credibility, dependability, trustworthiness, and accepting responsibility. It shows a
lack of respect for its customers by disregarding their interests. Customers may decline an alternative
product if one is offered.

References:

Žukauskas, P., Vveinhardt, J., & Andriukaitienė, R. (2018). Corporate Social Responsibility as the
Organization’s Commitment against Stakeholders. https://www.intechopen.com/Chapters/58883.

Kass, N., Hecht, K., Paul, A., & Birnbach, K. (2014, May 0). Ethics and Obesity Prevention: Ethical
Considerations in 3 Approaches to Reducing Consumption of Sugar-Sweetened Beverages.
https://www.ncbi.nlm.nih.gov/pmc/articles/PMC3987604/

As consumers become more health conscious, fast food chains are offering new products and creating
health-related communication strategies. They should get ready by employing advanced media analytics
and measurement to analyze the conversation because they are entering a public conversation that is
intrinsically hostile to their industry. The World Health Organization claims that routinely consuming
sugary beverages is a major cause of obesity, diabetes, and dental cavities. Taxing sugary beverages is
one of the best ways to decrease their consumption.
The reasoning behind the ban's provisions is unclear. The ban does not apply to alcoholic beverages,
beverages with fewer than 25 calories, such as diet sodas, water, unsweetened coffee and tea, and
juices made from vegetables and fruits without additional sugar. Before creating this law, the worst of
the bunch was diet soda as an exclusion.

Since beverages are manufactured by mixing water and syrup, the profit margin on sugary drinks rises as
the size of the beverages decreases. A larger sugary drink has a lower marginal cost, which means the
profit is higher, and the company's owners and/or shareholders demand profitability. If diet drinks are
sold in units rather than on tap, for instance, the profit margin can be lower. Or, the chain might have
chosen one drinks vendor over another whose selection consists mainly of sweet beverages.

The restriction is intended to limit corporate harm rather than to threaten individual freedom of choice.
Limits on drink sizes become a very different kind of regulatory approach if we view supersized drinks as
a type of industrial pollution that is extremely concentrated in underprivileged neighborhoods rather
than as an individual's right to be foolish. The beverage business and corporate America are the goal,
not any particular person. Certainly, the restriction does not target every industrial company
determined to make money by supplying Americans with cheap, empty calories.

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