Ethical Issues and Business Ethics: A Case Study of Thai Union

This case study examines the ethical issues faced by Thai Union and the role of business ethics in society. It explores factors such as environmental damage, slavery, and human trafficking. The report discusses the company's approach to ethics and the impact on its performance and public image. It also analyzes the role of stakeholders and the application of ethical theories, including utilitarianism and Kantian ethics. Additionally, it highlights the importance of ethical leadership in maintaining integrity and compliance.

Case Study

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
CONCLUSION................................................................................................................................9
REFERENCES................................................................................................................................9

INTRODUCTION
It is very important for a company to conduct its business operation by considering
ethical practices. This is very helpful in develop as well as enhancing performance of
organisation (Crane and et.al., 2019). This will lead to development of organisational image in
market as ethical practices will help in overall development of society. Business ethics will lead
to provide a way to organisation in which they can perform business activities in effective
manner. The chosen company for this report is Thai Union. This report includes different ethical
issues as well as role of business in society. In this impact of stakeholders has been identified.
There are different ethical theories that will be applied in respective case. Apart from this
different qualities of leader has been identified in order to develop an ethical organisation.
MAIN BODY
PART 1
Part A
Number of factors including the case
Environmental damage: This is said to be one of the crucial factor, which consists with
different elements and these could be anything from habitat destruction, the extinction of wildlife
and so on. These effectively considered as elements that impacted upon environment and raised
degradation related situation in regards water species. If it is talked about the case study that has
been given within the assignment, there are 35 canned tuna companies that are operating within
the Pacific Ocean and are also consists with an appropriate response to workers rights. Here,
somewhere somehow all the business organisations has breached the different governmental
policies, which were developed. In the same way, Thai Union company was also got affected due
to the same reasons.
Slavery: Another crucial factor, where migrant workers within the company i.e. Thai
Union is particularly was trying to resolve the issues in relation to abuse due to lack of official
documentation, language barriers, diminished safety nets, reduced bargaining power and so on.
This led organisation to deal with high turnover employment ratio and so on.

Human trafficking: This is also being considered as one of the crucial factor which was
specifically dealt with forced labour where traffickers where organisation i.e. Thai Union was
also obliged with the same. Along with this, situation also raised problems in regards to different
number of issues faced by Thai Union.
Company be looking at this issue from the perspective of ethics
If it is talked about any business organisation performing in a particular sector or in any
other sector, there are number of factors that are linked with ethical aspects. Here, considering
the case in relation to tuna spam, where around 35 big companies were involved, it was pretty
much required to focus on different slavery related policies and develop various tuna supply
chains management related programmes. Due to this, company i.e. Thai Union would not have
gone through or face different legal obligations that society has applied on it. Here, it was
necessary for the company to look into ethics related aspects so that right amount of
modifications could be managed and made. Through this, all the legal aspects were specifically
needed to be managed so that different goals and objectives can effectively be attained in
specified time frame. Here, in order to prevent the company from all the issues, Thai Union took
a decision in related to MSI engagement, where firm started sharing the information from one to
another.
This issue will lead to have negative impact on organisation as this will directly impact
over the performance as well as sales of company. Unethical practises conducted by respective
company will lead to affect the negative influence over the public image. This will lead to
promote the negative publicity of organisation and affect the overall sales of organisation. This
company will not be able to gain trust from its employees as well as customers. Protection of
employees against the slavery will lead to have impact over the performance of employees as
they will not be able to work in effective and efficient manner. It is very important for Thai
Union organisation to follow all rules and regulation which is set by government. By following
the all rules and polices company will be able to meet with the requirement of customers. By
considering ethical practices respective company will be able to meet with the requirements of
customers. It is essential to company is performing corporate social responsibilities in order to
develop positive image of company. Thai Union has developed a separate policies which are not
that not only required suppliers to prohibit the force or compulsory labour. Business play a
crucial role in society as it leads to distribute product and services as per need and want of

customers. There are different ways though which respective company will be able to provide
benefits to society as well as play a crucial positive role in organisation. It is essential that
company is considering human rights while performing task of organisation (Pearson, 2017).
This company needs to consider moral values while take business decisions. Thai Union
organisation has develop public commitment to respect human rights that is helpful in addressing
the modern slavery as well as applies throughout the supply chain of organisation.
Stakeholders will have huge impact on company and they will affect the overall process
of business. The main stakeholders of Thai Union are suppliers, government, non government
organisation and business partners. This stakeholders of respective company will lead to
development of polices of organisation. In this suppliers support that it is essential for this
organisation to provide right to freedom of association as well as collective bargaining. This will
lead to have positive impact over organisation as through this company will be able to converting
human rights into practice. This company is using digital traceability program with the use if
satellite connectivity. Mobile application will help in enhancing the digital traceability with the
help of electronic catch data as well as traceability system (Werhane, 2019). This is ia a very
good example of Thai Union organisation and no other company was using this tool and
techniques in order to collect data. In this initiative, there is a important parts which is known as
Fish Talk. This is a chat application which is helpful for connecting the workers at sea to onshore
operations. With the help of this application crew members will be able to communicate easily.
This is a great initiative as well as example to enhance the moral of employees as well as help in
retailing staff member for longer time frame.
There are some examples which represent the good choices as well as bad choices of
organisation. For this organisation good choices will lead to have positive impact over
organisation where as bad choices will lead to have negative influence. Example of better
practices that has been identified though this survey was that the Thai Union company has robust
human rights due to diligence procedure which lead to provide details about specific action in
due to diligence process.
There are some recommendation for this organisation which will help in perform
business functions in effective and efficient manner. This company needs to develop an effective
complaints as well as whistle blower mechanisms. By providing training to employees this
company will be able to perform better.

Part B
There are two different type of theories are used in order to analyse as well as evaluate
the impact of business ethics. It is essential that company is considering all ethical practices
while performing business activities (Dierksmeier and Seele, 2018). Ethics can be define as a
branch of philosophies that deals with the various principles of morality as well as ethical
standards. This will help business to take decisions after analysing what is right as well as what
is wrong. There are two different theories has been used in order to understand as well as identify
the ethical practices in organisation. Theories that are used in Utilitarianism and Formative
ethical theory. Both of these two ethical theories are mention below in detail.
Utilitarianism ethical theory – This is moral theory that leads to the avocation of actions that
promote the overall happiness or pleasure as well as rejection actions that will cause the
unhappiness or harm. This is also known as normative ethical theory that competently focus on
the right as well as wrong of the outcomes. This will help in choosing the one policy or action
over the other. This theory is developed by Jeremy Bentham and John Stuart Mill who is a
English philosophers and economist in late 18 th and 19th century. They believe that the action is
considered to be right when its outcome tends to promote happiness as well as action will be
wrong when it will lead to produce reverse of happiness (Wallace and Sheldon, 2015). So it is
essential for an organisation to promote business ethics in order to perform organisational
functions in effective and efficient manner.
The Utilitarian ethics is a normative ethical system which is primarily concerned with the
impacts of ethical decisions. This theory of business ethics focus on the aim of betterment of
society by directing to make social, political as well as economical decisions. Company should
perform business operations in such a manner that will lead to gain positive outcome from the
customers as well as society. All of the decision taken by organisation must lead to happiness as
well as welfare of society. Utilitarian is one of the most ethical choice as it will lead to produce
the greatest product and services for the greatest number of people. Greatest happiness of a
person depends upon the right actions (Robertson, 2017). Respective company needs to
understand as well as evaluate the impact on business activities on the customers as well as
society. It is very important that organisation is considering the impact of its business activities

on society as well as perform business operation in such a manner that it will directly lead to
promote happiness as well as pleasure to society.
Formative theory of business ethics
Formative theory of business ethics includes Kantian ethics. This is one of the crucial
theory which will help organisation to perform business functions in effective as well as efficient
manner. This is one of the crucial part of organisation as company have to take correct business
decision which does not have negative impact over the society. This theory refers to the ethics
which is deontological ethical theory (Medeiros and et.al., 2017). This theory is developed by
Immanuel Kant who is an German philosopher. Kantian ethics theory is developed with as an
result of Enlightenment rationalism. This theory is bases on the view that actions can only be
good when its maxim the principles behind it. It has assumed that good things as the a goodwill.
Kantian ethical theory is developed on the belief that it is essential to determining how a person
ought to act. This ethical theory will help respective company to perform business functions in
correct manner in order to achieve desired goals and objectives. By implementing the practices
of Kant model as well as principles of morality in the day to day working. Though this respective
company will not lead to have any negative impact on the society by its business operations. The
aim of Kantian ethics model is to provide framework as well as methods of moral philosophy.
There are two major aspects that needs to be considered and both of this is mention below in
detail.
Good will and duty – This is the concept of ethical law that should be be consider by
organisation in order to perform business task in effective manner. The only virtue in that can be
unqualified good is a goodwill. It has been analysed that no other virtue has this status as it is
achieved by immoral ends. This theory focus on that the good will is unique that is essential for
organisation.
Categorical imperative – Categorical imperative is the primary formulation which is
derived though further formulation. In this model Kant has has made distinction in between the
categorical as well as hypothetical imperatives.
PART 2
As a leader it is essential for me to consider ethical practices so that I can perform organisational
task in effective and efficient manner (Reinecke, Arnold, and Palazzo 2016). This is very helpful
in enhancing the overall performance of organisation as well as lead to development of positive

image in market area. A ethical leader always known what is the right manner of doing a thing as
well as believe in providing right opportunities to each and every employee. As a leader I
consider that it is my responsibility to set right and appropriate example for conducting ethical
practices in organisation. In order to create and ethical organisation as well as enhancing culture
of company I needs to set high standards of ethical behaviour. This will be helpful in
establishing corporate culture as well as support ethical values. As an ethical manager of an
ethical organisation I have to enhance the values of employees as well as company. For this I
have to be responsible towards my work, accountable in order to complete task in effective and
efficient manner. I am very honest for my work as well as trustworthy for my followers and
employees. As an ethical leader I have moral compass in order to explore the environment as
well as understand the what is wrong and right for organisation, employees as well as society.
There are different ways that will help me in maintaining integrity and compliance in an
ethical business environment (Javalgi and La Toya, 2018). It is very essential for an ethical
manager to identify various ways though which company can maintain as well as keep positive
organisational cultures. Ethical business practices will in meeting with the organisational goals
as well as achievement of set targets. I have used various ways for maintaining the integrity as
well as compliance for conducting business operations. It is essential to develop strategy which
is as per customer requirement as well as able to to offer valuable products and services to
customer. Ethical standards of organisation is developed for customer focus as well as committed
to providing high value to customers. As a ethical manager it is my responsibility that company
is selling and advertising products and services with truth. It is unethical practice of business
when it is false advertising the products and services in order to attract customers as well as
increase sales of organisation. Truth in selling will help in developing strong relationship with
customers as well as loyalty from the customers. There are several characteristics which will
help a leader to successful implement the business activities as well as ethical consideration in
organisation. It is essential that a leader is always fair towards each and every employees. This
is important in a leader is provide right and opportunities to employee irrespective to their
gender, background and other factors (Osibanjo, Akinbode and Falola, 2018). As a leader it is
important that I respect other and this will help in creating strong relationship with others. An
ethical leader will always show respect to all of its members and consider their point of view.
This will lead to provide value to its employees as they all will work in effective and efficient

manner in order to achieve desired goals. As good leader will always focus on building and
developing an effective team. Team work will lead to have significant impact over organisation
as well as lead to achievement of desired goals. It is important for an organisation to take
decisions by considering ethical and moral values. This will help in taking better business
decisions as well as achievement of desired objectives. Honesty of a leader will help in meeting
with the expectation of customers and well as full filling society requirements. An organisation
which have strong workplace will be able to gain competitive advantage over other rival
companies. It is essential that leader in analysing as well as evaluating all misconduct and
unethical practices in organisation. For correcting it and resolve organisational issues.
CONCLUSION
From the above report it can be concluded that it is essential for an organisation to
consider ethical practices in organisation. Business ethics play a crucial role in overall growth
and development of organisation. An organisation should develop effective policies and rules as
per business requirements in order to full fill corporate social responsibilities.
REFERENCES
Books and Journals
Crane, A. and et.al., 2019. Business ethics: Managing corporate citizenship and sustainability in
the age of globalization. Oxford University Press.
Pearson, R., 2017. Business ethics as communication ethics: Public relations practice and the
idea of dialogue. In Public relations theory (pp. 111-131). Routledge.
Werhane, P. H., 2019. The normative/descriptive distinction in methodologies of business ethics.
In Systems Thinking and Moral Imagination (pp. 21-25). Springer, Cham.
Dierksmeier, C. and Seele, P., 2018. Cryptocurrencies and business ethics. Journal of Business
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Wallace, M. and Sheldon, N., 2015. Business research ethics: Participant observer perspectives.
Journal of Business Ethics. 128(2). pp.267-277.
Robertson, D.C., 2017. Business ethics across cultures. The Blackwell Handbook of Cross‐
Cultural Management, pp.361-392.
Medeiros, K. E. and et.al., 2017. What is working, what is not, and what we need to know: A
meta-analytic review of business ethics instruction. Journal of Academic Ethics. 15(3).
pp.245-275.
Reinecke, J., Arnold, D. G. and Palazzo, G., 2016. Qualitative methods in business ethics,
corporate responsibility, and sustainability research. Business Ethics Quarterly. 26(4).
pp.xiii-xxii.
Strobel, M., Tumasjan, A. and Welpe, I., 2015. Do business ethics pay off?. Zeitschrift für
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Luetge, C., Armbrüster, T. and Müller, J., 2016. Order ethics: Bridging the gap between
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Vallius, S., Virtanen, A., Rautiainen, A. and Järvenpää, M., 2019. Goodwill and Ethics: Evidence
from Finland. Electronic Journal of Business Ethics and Organization Studies, 24(1).
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Cengage.
Javalgi, R.G. and La Toya, M.R., 2018. International marketing ethics: A literature review and
research agenda. Journal of Business Ethics, 148(4), pp.703-720.
Osibanjo, A.O., Akinbode, J., Falola, H.O. and Oludayo, O.O., 2018. Work ethics and
employees’ job performance. Journal of Leadership, Accountability and Ethics, 12(1),
pp.107-117.