Ethics in Business and the Bhopal Gas Tragedy

Business Law

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
Bhopal Gas Tragedy....................................................................................................................3
Ethics in Business.......................................................................................................................4
Ethical issues that lead to Bhopal Gas Tragedy..........................................................................4
Corporate social responsibility (CSR) and Bhopal Gas Tragedy................................................5
CONCLUSION ...............................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Business law is that branch of law that helps in the regulations of business and its
activities. The law defines standards for the company which suggests the behaviour expected out
of any business. To achieve success by the company it is important that business carry out its
activities ethically and make sure that such activities are not adversely affecting environment and
the society at large. The main purpose of ethics in business is to make sure that the business is
consistent with its moral attitude (da Costa, 2017). The business practices must be such that it
has good and positive impact upon the society. This report consist of the Bhopal gas Tragedy
that happened in 1984 at the pesticide plant named: the Union Carbide India Limited in Bhopal,
Madhya Pradesh, India. This report also explains the ethical issues at the union carbide which
lead to this industrial disaster.
MAIN BODY
Bhopal Gas Tragedy
The major gas leak incident that ever took place in the history of world is popularly
known as “The Bhopal Gas Tragedy”. This disaster is world famous industrial Catastrophes.
This disaster took place on December 3rd,1984 at the Union Carbide India Limited (UCIL)
pesticide plant which was located in the city of Bhopal, Madhya Pradesh, India. Union Carbide
company (UCC) is the parent company of UCIL which is situated in the united states (US). The
plant of UCIL was involved in the production of pesticides. To produce the persticide the main
component needed was methyl isocyanate (MIC). It is the most harmful gas and the reaction to it
with water causes explosion.
The situation at the UCIL was such that the company was not generating any profit and
the management of the company was constantly trying to cut the cost and save money. There
were many improvements and repair needed at the industry but the management paid no
attention to it and no repairs were done. This unethical behaviour of the company lead to many
uncertainty at the plant and the workers could not work properly.
The coolant of the MIC gas tank was not functioning properly which resulted in the
leakage of the gas. Soon the gas started causing irritation and burning sensation in the body and
eyes of the people working at the industry (Ashton and Trapeznik, 2019). Soon the MIC gas
came in contact with the water kept in the water tank. The reaction or mixture of both water and