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Business Ethics and Responsibility

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Added on  2023-01-11

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This study material explores the concept of business ethics and responsibility. It discusses ethical issues, the role of business in society, stakeholders impacted, and provides recommendations. The material also includes a discussion on two ethical theories.

Business Ethics and Responsibility

   Added on 2023-01-11

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Table of Contents
INTRODUCTION...........................................................................................................................3
PART 1............................................................................................................................................3
A) Report.........................................................................................................................................3
Ethical issues involved in having loot boxes as part of business model................................3
Role of business within the society:.......................................................................................4
Stakeholders impacted due to the issues and how..................................................................5
Example of good and bad ethics.............................................................................................5
Recommendations..................................................................................................................6
REFERENCES................................................................................................................................6
B) Discussion on two ethical theories..............................................................................................6
REFERENCES................................................................................................................................8
PART 2............................................................................................................................................9
Reflective essay of ethical Leader..........................................................................................9
CONCLUSION..............................................................................................................................10
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INTRODUCTION
Business ethics are the set of rules which the company must follow so that they can
efficiently accomplish their goals and objectives in the specific time period. It offers various
advantages to the company as with this they can efficiently improve the operations of the
company as well contribute to the better organisational image. With the help of this the
organisation ensures the impact of their business activities on the environment by considering the
right and wrong in their activities. The unethical practices adversely affect the overall
performance of the organisation which also had direct influence on the profitability of the
company. In this report the case of EA Games: FIFA, Loot boxes and Whales is taken into
consideration which is an American gaming company. The report is divided into two parts, the
first part is based upon a case study on which a report is prepared by the middle managers to the
senior manager in context of the issues of business ethics which are faced by the company along
with its impact on the stakeholders. While in the other part various ethical theories are discussed.
In the next half of the report various factors related to the ethical terms in context of a leader is
discussed.
PART 1
A) Report
The system of ethics guides the behaviour of the people, values and the decision making of
the company as with the help they can ensure that performance of the company is better and in
favour of the society. It ensures the profitability of the company both for the long term as well as
for the short term because this makes the company responsible for their actions and operations
(Etzioni and Etzioni, 2017). Business ethics offers various advantages to the company such as
positive image of the company, fair market practices, satisfied stakeholders and many more.
Ethical issues involved in having loot boxes as part of business model
The company EA Games is an American company which is engaged in developing and
distributing games throughout the world. The case of EA Games is related to the loot boxes that
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attracts the players but has been creating issues for the parents. The participants took part in the
games with the aim for getting rewards through these loot boxes but they are unable to get so.
According to the companies officials it is for fun and quite ethical but because money is involved
due to which some believes that it leads to gambling that is unethical (Hemberg, Syrén and
Hemberg, 2018). To deal with this situation, UK Parliament decided to examine whether the
matter of loot boxes should be regulated or not and whether it is ethical or not. According to the
vice present of the company the act of loot boxes are quite ethical and are just for fun, with this
the company aims to provide rewards to play and to create interest in the games.
Role of business within the society:
All the activities which are conducted by the organisation must be systematic and ethical
so that various advantages can be taken by the company. But if the ethical issues are not focussed
then the companies may have to face legal proceedings. It is important to consider various
factors such as ethical codes with which the contribution to the society can be improved.
Ethical perspective of the issue: The ethical perspective of this issue from the view of the
company is that they have added this feature with the aim to attract the gamers and which is quite
ethical as with this they will get rewards due to which they will ask others to join the game. But
the parents and others are not in favour of this as the children spent a lot of money, due to which
the bank accounts of the parents are emptied by the children (Kaplan, 2017). This leads to the
opinion that it must be considered as a gambling activity.
Influence on the image of the company: This has affected the performance of the
company as the parents gave adverse reviews for the practices of the company as they developed
features such as loot boxes in the games which have affected the lifestyle of the children and
their psychology.
Alternative ways to think about the business role in society: It is important for the company
to rethink upon various features of the games and must let their customer know their perception
behind any innovative features while launching such game. With this they can ensure the ethical
practice of the company in context of the society. Another way could be to let them know that
with whales and loot boxes the company only aim fun for the gamers not and monetary benefits
rather it will lead to increase cost for them. If the company can efficiently make the public
understand the pro and cons of the features of the loot boxes and whales then they can clear the
Business Ethics and Responsibility_4

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