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Ethical Issues in Business

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  • Category: Ethics

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Ethics is an area of study that deals with ideas about what is better and worse behavior. McDonald’s business is being governed by a clear code of ethics. Their staffs are committed and follow on its implementation. It is a promise to abide by the standards of business conduct. They promise to uphold integrity. Ethics is about our actions and decisions, Right vs. Wrong. The code of ethics of McDonald’s also pledges to resolve any private or public issues related to that of economic, political, social, financial and environmental problems (McDonald’s Corporation, 2006)

Public ethics are what a person or a company claims or express publicly to others about its underlying values, intentions and motivations in a particular situation. Private ethics are the values, intentions and motivations of a person. Public and Private ethics may be the same, or they may be different. On the economic gains, McDonald’s has the ethical responsibility of declaring the returns to the shareholders correctly, punctual, transparent and in required depth. McDonald’s makes the right decisions and interpretations regarding in deliverance of the code of ethics.

The system of ethics also binds the employees to maintain vital corporation confidentiality. They have a promise that all employees will have a good flow of communication. They will be regularly updating the shareholders of any financial matter that impact on the business. They encourage the employees to work ethically and be accountable at all times during their employment with them. ( McDonald ‘s Corporation, 2006,Online The Case Study: Rewrapping the Big Mac) Ethical Mistake is a decision or action that is unintentionally unethical.

A case in McDonald’s business is as follows: Wiebe and Tessa Lowinger, 16 and 17 respectively, were employees at the Squamish McDonald’s restaurant; Lowinger had worked at McDonald’s for two years. The two girls had found that some managers in the restaurant used to scold employees for making mistakes. One employee was yelled and shouted at in front of customers and made to cry. Wiebe said that she once became sick at work and wasn’t allowed to leave until the next shift arrived. They spoke to other workers and noted that they had various other safety concerns as well.

On August 19th the union was certified by the B. C. Labour board. Once McDonald’s heard about the union they quickly held meetings to listen to complaints; they introduced new incentives, such as free meals; it fixed faulty electrical outlets; they bought a new stereo for the staff room. One of the employees later said, “If they were always like that, I wouldn’t be for the union” Tittle, Peg ( Apr, 13’ 2000) Broadview press Ethical Issues in Business: Inquiries, Cases, and Readings

The relationship between Ethics and Corporate Social Responsibility: The meaning of social responsibility is that it is an obligation or a duty towards the people. What is good for the society is sometimes not good for the business, and what is good for the management is sometimes not good for the society. The environmental responsibility of McDonald’s is to focus on energy efficiency, sustainable packaging, waste management and green restaurant design. McDonald’s as a workplace is recognized by the great place to work institute in over 30 countries where they operate.

Its web-based corporate social responsibility (CSR) report is a cutting-edge digital platform. It includes rich and informative embedded video and provides access to continuously updated CSR news items and the McDonald’s CSR blog and is open for discussion too. CSR involves the business practices that access and takes responsibility for the company’s effects on the environment and social issues. According to McDonald’s report, it leads in the green building leadership. It has a profit of $1. 9 billion on local economies due to investments in new and existing McDonald’s restaurants.

It has 82% of consumer packaging made from renewable materials. It has included energy management tools like energy audits, equipment fire-up schedules and energy management systems in the restaurants.


Tittle, Peg (Apr, 13’ 2000) Broadview press Ethical Issues in Business: Inquiries, Cases, and Readings retrieved from https://books. google. co. in/books? id=jOVgLysznOsC&dq=ethical+mistake++of+mcdonalds&source=gbs_navlinks_s https://cristinalleno. weebly. com/companys-ethics-and-social-responsibility. html

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