Business Ethics Report: Snowden, Uber and Corporate Responsibility

This report delves into the multifaceted realm of business ethics, presenting a comprehensive analysis centered around two primary tasks. Task 1 offers a reflective account of a group discussion concerning the Edward Snowden case, examining the ethical implications of whistleblowing and the balance between professional and societal duties. Task 2 presents a case study approached through the lenses of corporate governance, corporate social responsibility (CSR), and sustainability, with a particular focus on the company UBER. Part 1 defines and analyzes these three aspects, while Part 2 applies descriptive and normative theories of business ethics to the case, offering insights into the ethical dimensions of UBER's operations. Part 3 delves into stakeholder perspectives on the business's conduct. The report incorporates Carroll's pyramid model to evaluate CSR, and employs the Triple Bottom Line (TBL) framework to assess sustainability, considering the impact on people, planet, and profits. This detailed examination provides a nuanced understanding of ethical challenges and responsibilities within a business context.

Business Ethics

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Introduction............................................................................................................................1
Main Body..............................................................................................................................1
Conclusion..............................................................................................................................2
TASK 2............................................................................................................................................2
Part 1................................................................................................................................................2
Corporate Governance............................................................................................................2
CSR.........................................................................................................................................3
Sustainability..........................................................................................................................4
Part 2................................................................................................................................................6
Approaches of chosen case to Corporate Social Responsibility in the light of descriptive as
well as normative theories of business ethics.........................................................................6
Part 3................................................................................................................................................7
Stakeholders’ perspectives on business behavioural conduct................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
APPENDIX....................................................................................................................................10
Preparatory notes and research done for the Group Discussion (TASK 1)..........................10

INTRODUCTION
Business ethics can be referred to as a form of applied ethics which is concerned with the
application of ethical and moral principles in the light of a business association. It is important
for a company to abide by the ethical principles in order to ensure its long term existence in
market place (Halevy, Jun and Chou, 2020). By taking into account the ethics and moral values,
a company seeks to operate in the interest of society at large as well as environment within
which it carries out its business operations. Business ethics form the base on which the
behavioural conduct and performance of companies as well as the employees functioning within
its bounds are dependent. It is the ethics that bifurcate the wrong and the right doings in order to
derive positive outcomes.
The following report is categorised into 2 tasks. The first task is a reflective account based upon
a group discussion on a case study. The second task is based upon a case which is studied in the
light of ethics. The second task is divided into 3 parts. The first part deals with 3 aspects named
corporate governance, corporate social responsibility and sustainability studied on the basis of
some theories and concepts. The second part is concerned with normative and descriptive
theories of business ethics applied to the case. The last part deals with stakeholder perspectives
on the behavioural conduct displayed by the business entity.
TASK 1
Introduction
The case study presents Edward Joseph Snowden, former CIA system administrator as well as
computer expert, became the American whistleblower. He leaked information of NSA in the year
2013 while being the CIA subcontractor and employee (Edward Snowden is a hero not a traitor,
2020). In his defence, he pointed out that the act was done in the light of societal good. The
following is a reflective account based on a group discussion done on this case.
Main Body
I took part in the group discussion done on the case based on the concept of whistle-blowing. In
this relation, I preferred to speak in the favour of the subject. I did all the research related to the
topic and prepared notes for the same so that I could speak sufficiently for the given period of
time. The overall information collected by me over the subject matter made me reach to the
conclusion that Edward Snowden was indeed a hero because the act done by him was in the
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favour of public. This was the point that was highlighted by me in the group discussion also
whereby I said that the intention behind the public revelation or leakage of information was not
evil. Instead it was done for the good of society so that it can be made aware of what is being
done right and wrong by the government in the interest of the citizens of the country. Further, I
defended my position on the topic by pointing out the names and claims of those persons who
stood out in past in the favour of Edward Snowden. It was further pointed out that Snowden
leaked the information as he considered his social duty to be over and above his professional
duty as being a part of the company which had knowledge of the trade secrets of NSA (Whistle-
Blowers Deserve Protection Not Prison, 2017). Even though whistle-blowing was done by him,
it was justified in the light that the act was done considering the good for public at large (Edward
Snowden, Whistle-Blower, 2020). The overall experience of the group discussion reflected that
my performance was good enough to appeal to the jury. My mates told me that I must have
impressed the jury members with the facts and findings presented by me. Also, the jury itself
appreciated me for the wide information collected on the subject matter and the manner in which
it was portrayed in front of the other members who were a part of the discussion so that everyone
could be ears to my opinion.
Conclusion
It can be inferred that whistle-blowing is an activity whereby the information related to an
organisation is leaked in public or among the representatives of the entity. It can be considered
ethically right provided that the same is done for the good of public or employees of the
company.
TASK 2
Part 1
Corporate Governance
Corporate governance is defined as a collection of processes, rules or laws by which
business organisations activities get operated, regulated or controlled. In this there are number of
internal as well as external elements that are having significant impact upon interest of entity
stakeholders that include suppliers, shareholders, government, regulator’s, consumers and
management. In context with this, it is essential for UBER to have corporate governance in their
workplace structure as it effectively assure transparency through which entity can maintain
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strong and balance economic development. In addition to this it also ensure interest of the
stakeholders of entity. UBER is required to follow good corporate governance in which they are
responsible to disclose and be transparent to all the stakeholders and provide their regulator with
all the essential information related to organisation operation or financial aspect and any other
precise information in accurate manner. In terms with UK Corporate Governance Code UBER is
required to focus upon application of all the principles enforced under this aspect and disclose
how they complied their rules with having high level of transparency in their business
operations. Further, UK Corporate Governance Code directs UBER to allow their investors to
have explanation and information according to their right from company.
CSR
Corporate social responsibility is termed as a set of guidelines or social norms that are required
to be adopted by an organisation operating their functions in order to have concern towards
society and environment (Lashitew, Bals and van Tulder, 2020). This aspect play key essential
role and have significance impact upon entity business operations. Negligence of this may affect
company to ensure their long-term sustainability in market. It has been evaluated that in context
with present case scenario of that have UBER engaged in the process in which they have
neglected corporate social responsibility that have direct impact upon their profitability and
goodwill in respective industrial sector. Further it has been evaluated that failure of CSR in
company business operation also lower down overall sales revenue generation capability of
UBER. Many criticisms have been faced by UBER in which they engaged in neglecting CSR
which is one of the most essential elements for business growth and development. Mentioned
below some certain concepts being further defined with the assistance of Carroll’s pyramid
model:-
Carroll’s pyramid model
Economic responsibilities
Organisations operating their function in any business sector irrespective of the scope and
size have great responsibility towards economy, society expect that business organisation has
significant contribution economy to improve nation growth (Constantinescu and Kaptein, 2020).
In context with UBER, it has been evaluated that they bring number of jobs thus, company fulfil
economic responsibility towards individual and workers that further reduce country
unemployment rate.
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Legal responsibility
It is of the most essential responsibility that is required to be applied by an organisation
operating their function in an industry sector. In this, company is having number of legal
responsibility and are further required to maintain them in order to ensure their long run
sustainability (Soltwisch, Brannon and Iyer, 2020). In terms with UBER, it has been evaluated
that company have neglected many legal activities that create number of challenges in their
smooth running business.
Ethical responsibilities
In this organisation is required to have responsible in order to conduct their business
operations in appropriate manner. Ethics are set of guidelines, norms, values that are formed by
organisation with having a focus towards society development. In context with present case
scenario it has been determined that UBER is having their ethical responsibility towards security
of passenger in which they are required to make sure that every passenger have safe journey
from one place to other.
Philanthropic responsibilities
These are defined as a social responsibility that an organisation are allowed to abide in a
voluntary manner, these responsibilities are not been formed by government or any other
legislative body (Vidgen, Hindle and Randolph, 2020). In this entity is having emphasized
towards philanthropic responsibility in order to sure their formative connection with society. In
this they undertake activities in which they help other that effectively maximize their overall
goodwill. In terms with UBER it has been identified that company undertake philanthropic
responsibility by offering meals to poor, donation etc.
According to evaluation this has been identified that CSR play key essential role in
business sustainability. In relation to this, Carroll’s pyramid model is having four major
responsibility by emphasising on which organisation can play their role in ethical manage
towards society and country. This enhances their goodwill and market value in respective
industrial sector.
Sustainability
Sustainability can be referred to as the concept that is concerned with development meeting the
needs and demands of present generation without giving up on the ability of future generation to
fulfil their need. In other terms, it can also be alluded to as the conceptual framework that tends
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to describe an effective, dynamic and desired equilibrium amidst natural and human system.
Some of the authors in literature have also presented sustainability to be the system which is a
composite of the best practices, belief, policies and values that are aimed at protection of
biodiversity along with the richness of ecosystems of the planet, thereby leading to creation of
superior quality living for individuals. A well renowned model for demonstrating sustainability
is Triple Bottom Line.
Triple Bottom Line (TBL)
Triple Bottom Line can be referred to as the accounting framework which tends to incorporate 3
main dimensions of sustainability performance, namely, social, economic and environmental.
Thus, TBL seeks to ensure that an organization runs on the path of sustainability while taking
into account the before mentioned dimensions. In accordance with this, the 3 elements of Triple
Bottom Line are acknowledged to be the 3Ps named People, Planet and Profits. These are
discussed in the light of UBER case as follows:-
People
This element of TBL is considered with people who consist of the employees engaged in
carrying out the tasks and activities of business along with the wide community wherein an
entity functions. The case presents that UBER does not operate in the interest of people. This can
be said on the grounds that one of its former employees pointed out to the culture of sexual
harassment prevailing within the company.
Planet
This is concerned with reduction of harmful effects to the environment so as to prove that the
entity is environmentally sustainable. The case does not present any instance whereby the
company breached this level of TBL.
Profit
This is concerned with the primary objective of an organisation which is to maximise its profits
while keeping the planet and people into consideration. Linking this to the case, it can be
identified that UBER installed software named “Greyball” to avoid regulators within the
geographic regions whereby it operates in an illegal manner. This was done for the purpose of
maximising profits however it breached the ethics as the aim hereby was to violate the law.
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Part 2
Approaches of chosen case to Corporate Social Responsibility in the light of descriptive as well
as normative theories of business ethics
Ethics is considered as one of the vital components of an organisation which guarantees that a
business behaves in the interests of society to which it is accountable. In this relation, it has been
identified that Corporate Social Responsibility is an important concept in the domain of ethics
which deals with the self regulatory initiatives undertaken by the company for proving its ethical
and moral conduct. In this regard, business ethics theories are mainly categorised into normative
and descriptive. While the former deals with the study of the manner in which people ought to
behave, the latter is concerned with the study of the manner in which people behave along with
the way they think they must behave.
Descriptive business ethics
Theory of Moral Instinct by Steven Pinker
This is a theory that put forth the premise that the behaviour of an individual or company is
driven by the moral instinct. It is this moral instinct that must hinder them from getting engaged
in any unethical or immoral activity. This theory is aligned with the concept of CSR which states
that the behavioural conduct of the company must be self regulatory (Yang and Tang, 2020).
Relating this to the case of UBER, it can be determined that the entity breached the theory,
avoiding its moral instinct related to the right and wrong doings. It engaged in sexual harassment
cases along with usage of Greyball software.
Normative business ethics
Social Contract Theory
This theory is based upon the view that people’s moral and political obligations are reliant on the
contract entered between them to develop the society within which they carry out their living.
Relating this theory to the concept of CSR, it can be said that social contract theory as well as
CSR support each other as both are in favour of execution of activities which are in favour of
society and environment. With respect to the case of UBER, it can be said that the company
violated this theory as the contract entered by them for the development of a sound society was
breached due to the unethical and/or immoral instances of sexual harassment, installation of
Greyball etc.
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Part 3
Stakeholders’ perspectives on business behavioural conduct
Stakeholders play key central role for every business organisation as they are having
direct impact upon entity decision making process. In this organisation is required to engage
their stakeholders and further make aware them about all the essential information, this is also
being defined under CSR practices that are essential for an organisation to implement in their
business operations and working structure (Halevy, Jun and Chou, 2020). It further provides
assistance to company by resolving unnecessary conflicts as well as issues that are expected in
future. By engaging stakeholders and considering different stakeholder respective organisation
can effectively able to turn their plan into action through which they can maximize their
profitability and positive image in market segment. Mentioned below different stakeholders
perspectives are being defined that are required to be consider by an organisation:
Government:
They are one of the most important and crucial stakeholder of entity and have interest in
organisational decision making process and other essential practices. Thus, entity is required to
provide maximum satisfaction to them in order to perform their operations in an effective
manner. In context to this UBER are having government stakeholders in the form of policy
maker, government official, legislature, local board members, government agencies, community
leader and more. Thus, UBER is requiring undertaking their decision properly and avoiding any
unethical practices as this can affect their relationship with government stakeholders (Yang and
Tang, 2020). According to case scenario it has been evaluated that due to many unethical
practices UBER have negative impact upon these stakeholders. Thus, in order to overcome this it
is essential for entity to engage them in company decision making process and provide all the
essential information to them in order to avoid any form of conflict. Government stakeholders
play key essential role in setting up objective and priorities and further assure appropriateness
and relevance thus, by involving them company can conduct their operation in a cooperative
manner.
Customers:
It has been identified that customers are the most important stakeholder of an
organisation as without them it is impossible for an entity to survive. Thus, it is essential for
UBER to provide benefit to them by offering them good products in an innovative manner that
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value for them. Along with this UBER is also required to have having corporate responsibility to
provide all the necessary information to the stakeholders in order to conduct the operations in
ethical manner.
Shareholders:
Shareholders are defined as owner of company as they put their capital in organisation
with having expectation for good return, in terms with UBER, board of director in company acts
on the behalf of shareholders. Thus, it is essential for UBER to provide all the necessary
information in terms of revenue and profit holding of company to shareholders.
Suppliers:
These are most important shareholders of company thus, in this it is essential for an
organisation to collaborate with supplier’s business partners and distributors to run their business
operations. In order to well good long term relationship it is essential for UBER to make these
stakeholders aware about entity agenda and other essential aspects of company.
According to the above evaluation it has been evaluated that stakeholders play key
essential role in an organisation and are require to be engage in entity decision making process as
they are having direct as well as direct impact on entity operations. Thus, it is essential for
UBER to provide all the essential information and aware their stakeholders about their interest
and business plan to conduct their operations by considering their perspectives.
CONCLUSION
It has been concluded that business ethics a play crucial role for an organisation that not
only drives their success but also enhances their goodwill and image in respective industrial
sector. In this organisation is required to abide all the necessary elements prevailing in CSR as to
have responsible nature towards employees, consumers, society and government. In this, HR
manager of entity is having most responsible role to understand all the business ethics and CSR
that are required to be abide by organisation in order to ensure their sustainability in internal and
external environment. It has been evaluated that business ethics and CSR is having significant
impact upon stakeholders. Thus, organisation is required to abide all the essential norms and
guidelines through which they can enhance their profitability and long-term sustainability.
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REFERENCES
Books and Journals
Lashitew, A.A., Bals, L. and van Tulder, R., 2020. Inclusive business at the base of the pyramid:
the role of embeddedness for enabling social innovations. Journal of Business
Ethics, 162(2), pp.421-448.
Yang, Y. and Tang, M., 2020. Finding the Ethics of “Red Capitalists”: Political Connection and
Philanthropy of Chinese Private Entrepreneurs. Journal of Business Ethics, 161(1),
pp.133-147.
Halevy, N., Jun, S. and Chou, E.Y., 2020. Intergroup conflict is our business: CEOs’ ethical
intergroup leadership fuels stakeholder support for corporate intergroup
responsibility. Journal of Business Ethics, 162(1), pp.229-246.
Soltwisch, B.W., Brannon, D.C. and Iyer, V., 2020. The Ethics of Maximizing or Satisficing:
How Decision-Making Style and Ethical Ideology Impact Moral Judgement. Business
and Professional Ethics Journal, 39(1), pp.77-96.
Surdam, D.G., 2020. Overview of Business Ethics. In Business Ethics from Antiquity to the 19th
Century (pp. 15-37). Palgrave Macmillan, Cham.
Vidgen, R., Hindle, G. and Randolph, I., 2020. Exploring the ethical implications of business
analytics with a business ethics canvas. European Journal of Operational
Research, 281(3), pp.491-501.
Constantinescu, M. and Kaptein, M., 2020. Virtue ethics and CSR: The two sides of sustainable
organizational performance. In Intrinsic CSR and Competition (pp. 119-132). Palgrave
Macmillan, Cham.
Werhane, P.H., 2019. The normative/descriptive distinction in methodologies of business ethics.
In Systems Thinking and Moral Imagination(pp. 21-25). Springer, Cham.
Online
Edward Snowden is a hero not a traitor. 2020. [Online]. Available Through:
<https://www.amnesty.org/en/get-involved/take-action/edward-snowden-hero-not-
traitor/>.
Edward Snowden, Whistle-Blower. 2020. [Online]. Available Through:
<https://www.nytimes.com/2014/01/02/opinion/edward-snowden-whistle-blower.html?
_r=0>.
Whistle-Blowers Deserve Protection Not Prison. 2017. [Online]. Available Through:
<https://www.nytimes.com/roomfordebate/2013/06/11/in-nsa-leak-case-a-whistle-
blower-or-a-criminal/whistle-blowers-deserve-protection-not-prison>.
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APPENDIX
Preparatory notes and research done for the Group Discussion (TASK 1)
 Edward Snowden had been a discussion of debate in past for being the whistleblower
 He leaked trade secrets of NSA
 He defended his action by saying it was in public good
 Many people came forward in his defence
 Whistle-blowing when done in social good can be justified
 He considered social duty over organisational professional duty
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