BUSINESS ETHICS PROGRAM 1
Introduction
The term “ethics” as derived from the word “ethos,” is defined as collection of moral
and legal principles, which serves as a guide for the rightful conduct in a situation. The
significance of the matters of ethics is not just limited to the individuals, but business
organisations too because of the varied stakeholders therein (May, 2017). The following work
is an attempt to understand the various aspects of ethics, in context of a case study.
Relevant Facts
Julie the brand manager is contemplating on the ways to maintain the margin of the
products, as the draught has increased the manufacturing costs by 25 per cent in direct
materials. The said price rise may not be perceived well by the customers, as the same can be
observed very easily on the packets. On the discussion with the Marketing Manager of the
entity and the analysis of the historical market prices, she finds out yet another way that is the
reduction of the quantity of product which generally remains unnoticeable by the customers.
Ethical Issues
The case study represents the ethical dilemmas on part of the Brand Manager of the
organisation Julie. The ethical dilemma is focussed on operational profitability of the potato
chips manufacturing in the company. As the company is sustaining losses in the core business
operations due to the draught, the Brand Manager is faced with the following two courses of
actions to ensure the profitability of the company for the period in concern. The first course
of action in order to maintain the margin is to increase the prices of the products. The second
course of action is to downsize the quantity of the chips in the packet to reduce the net weight
while prices remain the same as previous prices.
Identification of the Stakeholders and evaluation of the
Ethical Issues
The ethical implications of a business decision is not only limited to a single
shareholder group, yet the same effects various stakeholder groups of an entity in some or the
other way (Barry, 2016). The primary stakeholders in the concerned case scenario are
identified to be the customers of the entity. Whatever course of action is chosen by the

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