Ethical Considerations in Business: Fyre Festival Case Study Report

This report examines the Fyre Festival case study, a luxury music event that collapsed due to unethical business practices. The report analyzes the perspectives of the organizers, customers, suppliers, and legislators regarding business ethics. It highlights the CEO's disregard for ethical considerations, leading to unmet promises, poor services, and legal liabilities. Customer dissatisfaction stemmed from inadequate services, while suppliers like caterers and security staff failed to perform ethically. The report emphasizes the importance of ethical business practices for maintaining goodwill, customer satisfaction, and avoiding legal issues. Recommendations include adhering to ethical guidelines, improving management, and using transparent advertising. The Fyre Festival's failure serves as a cautionary tale, demonstrating the critical need for ethical conduct in business operations to ensure success and avoid negative consequences.

Academic and
Professional Skills

Table of Contents
INTRODUCTION......................................................................................................................3
MAIN BODY.............................................................................................................................3
CONCLUSION..........................................................................................................................5
RECOMMENDATION.............................................................................................................5
REFERENCES...........................................................................................................................7

INTRODUCTION
Business ethics can be defined as the basic level of trust which exists between the
customer and organisation within the market practices. Business ethics is the study of
appropriate business politics and practices regarding different subjects including the
corporate governance bribery discrimination corporate social responsibility and other kind of
responsibility of the business towards the market and the customer so that it can perform
ethically by following the guidelines (Ameen, Batool and Malik, 2017). Business ethics are
the important part of business because they help business in maintaining the Goodwill within
the market as well as achieving the profitability level by fulfilling responsibility towards the
society. Society provides different kind of resources to the business which is essential for
business to perform its various functions. If business perform by following the guidelines of
within business ethics then it can easily return the favour of resources provided by the
organisation to get perform its operations.
In this current report the case study of fire festival is used. Under this case study fyre
festival is a luxury music event which was launched by Bill McFarland. for organising this
event he used to promote it at mass level where it attract large number of customer by
offering the ticket price range from $500 to 250000. This party is organised at the Iceland of
Bahamas. In this case study there is recognition of a problem related to the services offered to
guest who paid for the tickets where it is found that there are various kind of
misunderstanding as well as unethical practices within the business which cause problem to
various customers as well as the satisfaction among the customer because of improper
services and unethical practices (Baytiyeh, 2017). In the present report there is discussion
about various factors related to the case study where in the beginning is consist of discussion
about the organiser of the fyer festival, about their thinking related to the ethical practices and
should it be the main priority of the organisation. There is also a discussion about the
thinking of the customer, suppliers and legislators about the thinking of the organisation
related to priority to the ethics.
MAIN BODY
Business ethics important part of business and must for organisation to follow for
achieving its goals and objectives. Business ethics help the organisation in building the good
image was in the market so that it can achieve its objectives by the use of various business
resources which are available in a society. In this present report there is discussion about the
views of different parties related to the business ethics which should be followed by the
organisation while performing its business activities in a market (Beagon, 2018).
After detailed analysis it can be identified that fyre festival CEO Billy McFarland
does not think that business it should be the priority of the organisation because it can be seen
from the above mentioned scenario where he failed to fulfil different kind of business ethical
practices while launching this event. They also fail to fulfil the promises which we made
before selling the tickets of the event to the customers as well as the services offered by the
organisation are also not perfect where the security terms and other services offered by the
organisation are not fulfilling the ticket amount and promises made by owner while

marketing the event. Included in the above mentioned study is that there are various kind of
claims and legal liabilities arise because of unethical practices done by the organisation
behalf of the event (Cottrell, 2017). some of the legal shoots are related to the failed in
budgetary properly as well as booking luxury accommodation and no services are available
according to the tickets and the amount which organisation used to sell the ticket. This clearly
help in analysing the perspective of so that they are not following ethical practices within the
organisation which can also impact negatively on the performance of organisational operation
in future time.
According to customer perspective business ethics are important to be followed by the
organisation for saving the interest of the customer as well as serving the customer in better
way so that it can retain them for longer period of time as well satisfy their needs related to
organisation product. According to the current a study it can be seen that customers of the
organisation are not satisfied with the event arrangements made by the organisation (Hancock
and Walsh, 2016). According to the research it can be seen there are various kinds of
problems which are faced by the customer while getting the services of the organisation.
original full screen from the above mentioned case study that festival get postponed which
because of some emergency decisions related to improper infrastructure and improper
Service management by the organisation. This also cause problem to the customers and
reduce their satisfaction.is directly impact on performance of the organisation and reduce the
customer satisfaction it is important for the organisation to follow business ethics.
After concluding the research on the above mentioned case study it can be concluded
that supplier of organisation also have different perspective related to ethical. Supplier at the
core of every business organisation and business ethics are important suppliers of the
organisation because it helps in maintaining the relationship between the supplier and the
organisation. In the case study of fyre festival, it can be seen that there are various kinds of
investor as well as suppliers within the event were directly related to the performance of the
organisation like caterers and security staff are among those supplier who are responsible for
performing various kinds of business ethics (Keevy and Mare, 2018). In the current case
study it can be seen that they are not performing their duties effectively as customers are not
feeling secure because of theft related to their luggage and personal item. catering staff is also
not performing their function effectively which can be seen from the complaint raised by
different customers related to the food products where they provide already packed food to
the customer not the fresh food. This can be seen that they are not performing ethical
practices effectively which impacted on the closure of operations and dissatisfaction among
the customer related to the event. Important for all these suppliers to perform their duties in
an ethical manner so that well managed system can be established their organisation can
achieve its objectives related to profitability and productivity within the event (Keevy, 2020).
They follow their duty in an effective manner where fulfilling the requirements of customer
and fulfilling their promise which they made while marketing the event then there is no legal
liability against the organisation and all practices are in ethical manner by which event
organiser in productivity as well as no legal issue.

After detailed analysis on the topic of business ethics it is also seen that in above-
mentioned case study there are various rules and regulations letters which thing that business
should be the main priority of the organisation this is because It helped organisation in
various ways where it increases the customer satisfaction as well as fulfil the liability of the
organisation toward the resources which it used while performing arts business operations
(Moore and Morton, 2017). In the current business environment organiser of fyre festival are
not fulfilling their business ethical practices which are impacting on the organisation and can
be seen from the complaint raised by various customer to different legal authorities regarding
their non-fulfilment of business ethics and improper services. legislator play important role in
solving these issues where the guide the organisation to fulfil the business ethics
responsibilities and perform in ethical manner within the market so that the interest of the
customer can be saved as well as maximum satisfaction can be derived from the services
offered by the organisation. For this there are various kinds of rules and regulations which
have to be followed by the organisation. These rules and regulation help in governing the
organisation in an ethical manner so that customer can be satisfied and they will not feel
cheated by the organisation in any kind (Pitkänen, 2018).
From the above it can be seen that there are various perspectives related to business
ethics within the environment. These all have direct impact of the firm on the business as
well as improve the profitability of the organisation. By the use of business ethics form can
increase its value within the market as well as remote functioning in an ethical manner so that
it can achieve its objectives (Sambamurthy and Cox, 2016 ).
CONCLUSION
It can be concluded from the above-mentioned analysis that there different
perspective of different people related to the organisation for business ethics. It can be seen
that majority of people think that business ethics are important for organisation to perform as
well as help firm in maintaining a Goodwill within the market so that it can achieve its goals
and objective by attracting large number of customers and selling the product at larger level.
It can also see that so of organisation is not taking responsibility related to the business ethics
within the organisation with different suppliers of organisation are also involved in an
accident practices which impacted negatively on the fyre festival. This also led to closure of
event as well as various legal liabilities against the event organisers and CEO. it can also
concluded that customer and legislators are in favour of business ethics which directly states
that according to their perspective it is important for the organisation to achieve its business
objectives by the help of business ethics so that profitability and productivity can be
maintained by effective Goodwill within the market and increase market share.
RECOMMENDATION
Business important part of the business functioning because they help business in
achieving objective to maintaining a goodwill and proper market position. There are some
recommendations to the organisation following the business ethics which are mentioned
below:

 It is recommended to the organisation that they have to follow this article practices
which will help in increasing the goodwill for this organisation has to maintain the
role and responsibility of each and every individual so that they can perform at fuller
efficiency and can provide effective services to its customers. Improper services and
dissatisfaction of customer is the mean and ethical practice which is done by the
organisation and can be improved by providing better quality services and fulfilling
all the promises related to event (Tan and Laswad, 2018)
 A proper management system is also important for fulfilling a different responsibility
of organisation it is recommended to the firm that have to immediately change its
management process where it has to hire to stand of managers who can fulfils the
responsibility related to ethics within the business and are hired according to their
ethical skills. This will help the organisation in objective as well as relating to it
current time to that business ethics can be meeting.
 Using ethical advertisement is also important for the organisation because it is seen
from the case study that produced various kinds of advertisements which are directly
related to functions which are not covered under the services offered by organisation.
According to the performance of the firm because these kinds of acts decrease the
chances of success within the organisation and build a negative reputation within the
market. So that it can be technical behaviour within the organisation and can promote
its services in an efficient manner by identifying it available resources. (Taraban-
Gordon and Page, 2017)
About this can be seen that fyre festival is not going in a direction which wanted to
buy the CEO of the firm and because an ethical practices company also get under some legal
liabilities so it has to follow the ethical practices.

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