Ethical Issues in Business Ethics

RUNNING HEAD: ETHICAL ISSUES
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Business Ethics
Essay
System 0032
[Pick the date]

Ethical Issues 1
Task A. Principle of Rights
Principle of rights states that every individual has right to access the maximum amount of
freedom. Principles of right mainly focus on providing or protecting individual rights related to
moral and legal rights. The right theory in business ethics clarify that all individual have the
freedom and rights towards their life and thus they should be treated with the highest respect and
dignity required in the workplace. This theory basically highlights that any business purpose
should not harm other person sentiments (Sulivan & Robison, 2017).
For example: In an organization, employer imposes many restrictions on the employees and
makes strict policies by banning the informal communication in between the colleagues during
working hours that is violation of rights of an individual as each one have right to communicate
with whomsoever the person feel comfortable. So that strict policies are not in the favor of the
organization and harm the working environment and brings negativity in employee’s behavior.
In respect of case of Gucci in Shenzen, Principle of rights is violated in many situation, Firstly
when top management imposed excessive restrictions on the employees including asking
permission for getting a drink in between work, and imposing limitation on toilet time as every
individual in personal or professional life have right to do what he/she wanted to do. These
limitations were considered if violating any ethical issue or policies otherwise these limitations
were the violation of principle of rights. Secondly in case of pregnant women it was her right to
get basic facilities or to get all the maternity benefits from the company during pregnancy.
Another situation that was violating the principle was when employed didn’t get the payment of
the overtime work or hours they dedicated to the Gucci. Each worker has right to get payment of
the extra or overtime work he/she delivered for the benefit of the company. So in the above case
mentioned following were the situations where principle of right was violated by the top level
management in Gucci.

Ethical Issues 2
Task B. Unethical Behavior of Top Management
Business ethics are important aspect in running an organization, it includes following of ethical
behavior and rules by the employees and manager in the workplace (Trevino & Nelson, 2016).
In Gucci store manager was not behaving in a professional way and the rules and policies of the
company was not according to the business ethics as it was violating the principle of right of an
individual. So it is analyzed from the case that store manager was not doing his duty in a
professional manner and its way of managing the staff was inappropriate as according to the
principles of management each employee have right to get the fair remuneration and the extra
pay for the overtime as under the law.
The store manager was not professional in managing the staff and store because of the following
reasons:
i. Not fulfilling his duties and responsibilities: The store manager of Gucci is not fulfilling
his responsibilities and duties as he was imposing lots of restriction and not able to
handle the staff in an ethical manner and that leads to resignation of the efficient
employees of organization that resultant in ruining of image of the company in front of
society as issue was viral on internet (Kopnina & Blewitt, 2018).
ii. Breach of policies: The organization goods exchange policy was dependent on the mood
of manager was totally an unprofessional thing. Organizations have set rules and policies
for each procedure to maintain the equality and ethical culture in the workplace and in
between employees but in case of Gucci it is not there as mood of manager decides the
goods exchange policies of the company.
iii. Lack of ethical behavior: Falsification and lack of trust between management and
employees due to falsification record of working hours and overtime of work in the
records. This manipulation by store manager was done in order to increase the
profitability of store and to achieve the target. This is not an ethical way to manage the
staff and work as per their benefits and requirement (Davies, 2016).
iv. Labor abuse: Another unprofessional behavior of the store manager was labor abuse as a
pregnant woman was forced to do overtime and restricted for toilet time. That is not at all
acceptable in the workplace.