Ethics and Business Practices: Big Pharma, Whistleblowing, Tech Issues

This assignment delves into various facets of business ethics, commencing with a critical examination of the pharmaceutical industry, particularly focusing on the ethical considerations surrounding Big Pharma, including patent manipulation, pricing strategies, and the extent of regulatory oversight. The assignment then navigates the complex terrain of whistleblowing, providing a framework for ethical decision-making when witnessing unethical or illegal activities within a company, emphasizing the importance of evidence gathering and legal counsel. Further, it explores the ethics of advertising, specifically the exploitation of children and vulnerable populations, and the need for stricter regulations on product marketing. It extends to ethical boundaries in manufacturing processes, including the role of multinational corporations (MNCs) in adhering to universal ethical practices versus local cultural norms. The assignment also addresses the ethical implications of emerging technologies, focusing on bias, data breaches, and the formulation of new ethical standards to protect public interest. Finally, it examines privacy concerns, using a data breach case study to analyze its impact and propose improvements in data security and privacy measures. The assignment utilizes provided materials to support arguments and positions on these multifaceted ethical dilemmas.

All Questions:
1. Big Pharma Discussion
The pharmaceutical industry is an area of high scrutiny, but many still believe they go
unregulated and engage in unethical practices if they can. Read the materials associated
with Big Pharma and offer a logical rationale on what else should occur. Are they really
being monitored like they should? Do 'Products of Liability' protect the consumer or not.
Patents are granted to individual to protect their inventions from being copied by others. In the
pharmaceuticals industry, patents are granted to a country or a particular company for the greater
good of society. However, the same intention of creating patents has lost its credibility with
numerous pharmaceuticals companies buying the patent and subsequently increasing its prices
for making profits. (Pearl, 2017) For instance, a pharmaceutical company patented their product
for 20 years for the R&D purpose. However, by the time the period is over, other generic
companies might enter the market and pose a threat to copy the patented product. In order to
maintain the exclusivity of the patented product, the inventing company might produce second
patent on the same. The result is escalating price of the same medicine, and it is the end
customers who have to bear the brunt of the manipulation and shell out escalated price for a
simple medicine. There is little monitoring done of this kind of manipulation, and stricter laws
are required to be formulated so that the customers are not at loss. Hefty fine should be imposed
to those who are copying a previously patented product or issuing a second patent on the same
product again. This will discourage any malpractices, and the interest of the society will be
saved.
2. Whistleblowing Debacle
As a junior manager of a company, you observe unethical and illegal practices being
conducted by a senior manager. The more you think about it, the more it bothers you. You
just wished it would go away, but it appears to be growing worse. You like your job, but
you worry you will get fired if you report the acts. You then decide to become a
'whistleblower'. Using course materials, decide on what you will ethically or legally base
your steps and actions on.
Whistleblowing is a crucial tool in the hands of employees to expose any wrongdoing in their
organization. The whistleblowing is often done to protect the interest of the larger group.
(Matthewson, 2012) However, any mistake done in reporting a wrong practice in an organization
can lead to grave consequences for the whistleblower, and he could even lose his job. The first
thing one should consider while deciding to whistle blow a malpractice is that the concern raised
is genuine. A false claim could render the whole exercise futile and also spoil the reputation of

the individual. One should weight every pros and cons and then decide whether they want to
whistle blow. Next, all necessary evidence will have to be gathered for proving the wrong
practices, as without the same it will be difficult to prove the allegations. The right authority
should be approached with the claims and evidences, as the concerned team will have the
authority to precede over the proceedings over the case. Additionally, the legal expertise of an
associate is highly recommendable as the same can save the individual of any repercussion or
retaliation related to the whistleblower process. Following the due process of whistleblowing
will ensure that no cross accusations are levelled on the whistle blower. Further, if possible the
whistleblower could urge to maintain anonymity, so that he or she can lead a peaceful life after
the proceedings are over. This will also ensure that no harm is projected in their career or family
or whistleblowing the wrong practices of an organization.
3. Exposing Children to Potential Harm
In Theme 1, there are articles specific to allegations of exploiting children or other
vulnerable minors. After reading all the articles, take positions on at least 2 of the areas
mentioned in the readings. What is unethical or is it? Should there be additional regulation
on these products? If so, how so? Use course materials to present facts as the basis for your
arguments.
As per the articles, children are moist exploited by companies while advertising for their
products. Children are vulnerable towards advertising gimmicks, as they are easily persuaded
and often hold soft corners in their parent’s hearts. Most companies take advantage of this fact,
and feature them in most of their advertisements, in order to increase their visibility and appeal.
Additionally, these ads also take the attention of the children, who then keep pestering their
parents to buy the products for them, no matter how unhealthy it is. Another unethical thing
about these ads are that they target the children for products which are detrimental to their health.
Products like Monster energy drinks contain high levels of caffeine which might disrupt the
normal clock of the children’s body, and have grave repercussions in the future. (Harris, 2014)
However, the company is often seen marketing the product in close vicinity of children and also
engage them in promoting the same. Such practices should be stopped as the children gets
influenced very fast, and may inherit the same in their lifestyle leading to unhealthy eating
habits. The e-cigarettes are also an unethical product to market to children as the same can lead
to smoking habits for these children as they grow up. Companies often use flavor to enhance the
appeal of these e-cigarettes (Thompson, 2016). A prime intent for doing the same is to attract
children to buy it. A regulatory body should time and again supervise these advertising gimmicks
of organization, and direct them from using children as a pawn for marketing their products.
4. Ethics in Manufacturing

State your views on the ethical boundaries that an organization/company should have, if
any, in manufacturing their products. Should MNCs be able to decide on worker selection
based solely on the local culture or should a company be required to abide by universal
ethical practices? State your position clearly and take a stand.
As the world increasingly turning global, the business practices of companies that are going
international should also adapt themselves. As the international borders are meting across the
globe, it has become a necessity to take into account the sensitivity of other cultures while
formulating business policies. People from all sort of background, race and ethnicity come
together to work in a workplace. In such scenarios, it becomes the responsibility of the
management to oversee that none of their religious and cultural values are offended in the
organization. For companies going global, the cultural sensitivity becomes more significant as
they have to set up office in foreign lands. The recruitment done for these offices have to be as
per the local guidelines and recruiting local people will facilitate the smooth operation of these
branches since they have to deal with the local people and language. Further, adopting a
universal ethical practices will ensure a wider reach for these organizations. For instance,
McDonalds in Middle-Eastern countries omit pork items from their menu and include halal
meats in order to not offend the cultural values of the locals. As more and more people and
culture are able to relate to these organization and their policies, their market reach will expand
leading to increase in the clientele base. However, if a company has no intention of going global,
then it can stick to the local culture. Doing this, they could specialize themselves to a specific
market and customer needs, but also restrict their growth.
5. Technology Bias and Security Breaches
Emerging technology is the first theme of this week. All of us have heard about recent bias
and breaches that risk our personal identity and way of life. After examining the materials,
state your case as to how new ethical standards should be imposed and implemented.
Determine if there are ideas in the readings that make sense and should be implemented to
help protect the general public.
With the increasing technological advancements, the advent of cybercrime and identity theft has
become rampant in the digital world. The breach to these private information could cost the
company as well individual millions of dollars. Additionally, the breach of privacy of customers
information could also land the company is a lawsuit or have to pay a hefty sum as fine if proved
responsible. ("The cost of data security: Are cybersecurity investments worth it?", 2020) Hence,
the management should take caution and prevent the misuse of the information in their
possession. Keeping the sensitivity of the data of clients as well that of organizations in
consideration, it is important that they formulate policies and take precautions for securing their
cyber activities. Firewalls and cyber security polices need to be formulated and upgraded
frequently in order to seal the digital information and protect the data of clients. The

responsibility of protecting the data of customers lies in the management and are obliged to
ensure that the same is not leaked to hackers. Companies should treat the information of their
clients with confidentiality. To ensure that the information is not leaked to outsiders,
considerable measures has to be taken from time to time. Further, the security measures taken
should be appropriate to the technology used and the sensitivity of the information protected.
The company should mention the level of measures taken to seal-proof their digital information.
Further, they should also conduct audits from time to time to assess the effectiveness of their
information security. Implementing such measures will gain the trust of the customers and also
ensure that the anti-theft policies are effective and working.
6. Privacy
After thoroughly reading one of this week's articles
(https://www.insurancejournal.com/news/national/2018/02/13/480357.htm), summarize
what has changed recently and what the impact either is or should be. Decide if the end
result will be an improvement. If not, why not, and what else should occur.
Breach of around 145.5 million customers had been reported in the Equifax data breach.
Sensitive information such as Social Security numbers, date of births, including documents such
as driver’s license and credit card also leaked. The breach has exposed the minute details of the
customer’s information the companies maintain, which often poses the risk of the data theft and
undermines the cyber security of the organization. Such trend often leads to the lapse which is
responsible for cyber-crimes and breach of customer’s privacy. The spokesperson of Equifax has
said that only minimal portion of customers were impacted by the breach and more sensitive
information as that of the passport details were not violated. However, such a callousness on the
part of the company has left the customers furious, and they are disappointed by the gross nature
of the violation. Equifax took months to come out in the open about the breach, and once it was
announced they were unable to manage the situation. The customers faced jammed phone lines
and the website of the company mentioned inconsistent and unnecessary information about the
data breach. The company dealt in blame game, wherein it accused the online helpline problems
upon the vendors and tried to excuse itself after the same was hacked. Though the management
has taken a number of measures to rectify the wrong doings of the past, but it seems ineffective
in dealing with the bigger challenges that the faces the company. The company should take the
help of cybercrime experts to tackle the problem and implement a robust firewall and anti-theft
policy in place.
("Equifax Breach Exposed More Consumer Data Than First Disclosed", 2018)

References
Equifax Breach Exposed More Consumer Data Than First Disclosed. Insurance Journal. (2018).
Retrieved 18 February 2020, from
https://www.insurancejournal.com/news/national/2018/02/13/480357.htm.
Harris, J. (2014). Monster drinks: Are the energy drinks marketed to children?. Los Angeles
Times. Retrieved 18 February 2020, from https://www.latimes.com/food/dailydish/la-dd-
monster-drinks-marketing-children-20140115-story.html.
Matthewson, K. (2012). What's Ethical About Whistleblowing?. Csrwire.com. Retrieved 18
February 2020, from http://www.csrwire.com/blog/posts/280-what-s-ethical-about-
whistleblowing.
Pearl, R. (2017). Why Patent Protection In The Drug Industry Is Out Of Control. Forbes.com.
Retrieved 18 February 2020, from
https://www.forbes.com/sites/robertpearl/2017/01/19/why-patent-protection-in-the-drug-
industry-is-out-of-control/#6973a6778ca9.
The cost of data security: Are cybersecurity investments worth it?. Cloudmask.com. (2020).
Retrieved 18 February 2020, from https://www.cloudmask.com/blog/the-cost-of-data-
security-are-cybersecurity-investments-worth-it.
Thompson, D. (2016). Study eyes candy-flavored e-cigarette ads targeted to kids. Cbsnews.com.
Retrieved 18 February 2020, from https://www.cbsnews.com/news/candy-flavored-e-
cigarette-ads-appeal-to-kids/.