Analyze an ethical dilemma many multinational corporations face which they often have to deal with foreign government officials in order to obtain contracts. Even if managers are personally offended at the idea of paying bribes, keep in mind that American companies have to compete with companies from other countries that are more than happy to pay a bribe. A recent case involved Hewlett-Packard (HP) when their affiliate in Russia was busted for a paying a bribe to a government official in order to obtain a contract.

The notion of duty or deontological ethics is many ways the opposite of the utilitarian ethics you learned about in Module 3. It is often the case that completely different decisions will be made if you use a deontological approach rather than a utilitarian approach. For this assignment, you will be applying the concepts of utilitarian and duty ethics from Brusseau (2012) and “Duty-based ethics” (2014) to some real-world ethical dilemmas faced by corporations.

Apple has gotten a lot of criticism for having iPhones and other products manufactured in China. However, iPhones would cost dramatically more (as much as $2,000 for a low-end model) if they were produced in the United States. See the following articles:

Mielach, D. (2012, February 12). Is it ethical to own an iPhone? Business News Daily. Retrieved from: http://www.businessnewsdaily.com/1979-owning-iphone-ethical.html

Smith, S. (2014, May 20). How much would an all-American iPhone cost? Marketplace. Retrieved from: https://www.marketplace.org/2014/05/20/business/ive-always-wondered/how-much-would-all-american-iphone-cost

discuss an ethical dilemma many multinational corporations face is that they often have to deal with foreign government officials in order to obtain contracts. Even if managers are personally offended at the idea of paying bribes, keep in mind that American companies have to compete with companies from other countries that are more than happy to pay a bribe. A recent case involved Hewlett-Packard (HP) when their affiliate in Russia was busted for a paying a bribe to a government official in order to obtain a contract. For purposes of this assignment, forget that this is illegal. Instead, think about whether this is ethical. Remember that HP has had financial struggles and has had to lay off many American workers, and obtaining foreign contracts can save jobs back in the United States. See the following articles for more information:

Garside, J. (2014). Hewlett-Packard to pay $108m to settle scandal over bribery of public officials. The Guardian. Retrieved from: https://www.theguardian.com/business/2014/apr/09/hewlett-packard-108m-corruption-government-it-us-bribery

Heater, B. (2016, Oct 13). HP plans 3,000 to 4,000 job cuts over the next three years. TechCrunch. Retrieved from: https://techcrunch.com/2016/10/13/hp-layoffs/

First, make sure you are clear on the distinction between duty/deontological ethics and utilitarian/consequentialist ethics from the readings in Modules 3 and 4. Then think carefully about the ethical dilemmas faced by Apple and HP using the articles above as well as your own research. Then write a 4- to 5-page paper addressing the following issues:

  1. Analyze Apple’s decision to have their iPhones built in China based on a utilitarian/consequentialist approach. Use the Utility Test and discuss which stakeholders benefit and which ones are harmed by having their iPhones manufactured in China rather than the U.S. Should they keep their manufacturing in China based on the Utility Test?
  2. Now analyze Apple’s decision to have their iPhones built in China based on a deontological/duty-based approach. Are there any categorical imperatives violated by Apple choosing to manufacture their phones in China? Is your ethical assessment different for you when you use a deontological/duty-based approach rather than a utility approach?
  3. Analyze HP’s use of bribery to obtain foreign contracts based on a utilitarian/consequentialist approach. Use the Utility Test and discuss which stakeholders benefit and which ones are harmed from HP’s use of bribery. Was more harm done than good, or vice versa?
  4. Finally, analyze HP’s use of bribery to obtain foreign contracts based on a deontological/duty-based approach. Are there any categorical imperatives violated by HP’s use of bribery? Is your ethical assessment different for you when you use a deontological/duty-based approach rather than a utility approach?

Assignment Expectations

  • Follow the guidelines in The Student Guide to Writing a High Quality Academic Paper.
  • Don’t forget to properly cite your sources—both in-text and as end references! Using APA citation guidelines
  • You are expected to demonstrate evidence of critical thinking—as defined in the background materials and the grading rubric. Don’t just summarize information. Instead demonstrate your ability to come to a conclusion and support your conclusion using logical arguments.

Times new roman – 12 font – Using APA citation guidelines

At least 4 references are required.

4 pages of info are required.  I don’t need anymore than that.

Background readings:

Module 3

Required Reading

UT McCombs School of Business. (2017). Ethics defined: Utilitarianism. Ethics Unwrapped Video Series. Retrieved from: https://www.youtube.com/watch?v=TuZ7_ivZeHQ

Baron, P. (2017). Business ethics and utilitarianism. Peped. Retrieved from: https://www.youtube.com/watch?v=26lY0qKD-Mg

Brusseau, J. (2012). Chapter 3: Theories of consequence ethics: Traditional tools for making decisions in business when the ends justify the means. Business Ethics. Lardbucket Books. Retrieved from: https://2012books.lardbucket.org/books/business-ethics/s07-theories-of-consequence-ethics.html

Velasquez, M., Andre, C., Shanks, T., & Meyer, M. J. (2008). Calculating consequences: The utilitarian approach to ethics. Markkula Center for Applied Ethics. Retrieved from: https://www.scu.edu/ethics/ethics-resources/ethical-decision-making/calculating-consequences-the-utilitarian-approach/

Hamilton, B. (2012, June 7). Utility test. Ethics Ops. Retrieved from http://ethicsops.com/UtilityTest.php

Utility Test examples:

http://ethicsops.com/LessSugarMarketing.php

http://ethicsops.com/PhantomExpenses.php

Brusseau, J. (2012). Chapter 13: The responsible office: Corporations and social responsibility. Business Ethics. Lardbucket Books. Retrieved from: https://2012books.lardbucket.org/books/business-ethics/s17-the-responsible-office-corpora.html

Optional Reading

Legum, R. (2015). Utilitarianism 1-4. Rich Legum’s Business Ethics Course. Retrieved from: https://www.youtube.com/watch?v=sHI6u78acKs&list=PLEHmI0Qx0uPmwW7f5UizqP-SnlgfMWVP1&index=9

Sinnott-Armstrong, W. (2015). Consequentialism. Stanford Encyclopedia of Philosophy. Retrieved from: https://plato.stanford.edu/entries/consequentialism/

Module 4

Required Reading

UT McCombs School of Business. (2017). Ethics defined: Deontology. Ethics Unwrapped Video Series. Retrieved from: https://www.youtube.com/watch?v=jorMWgBlyqU

Leonard, O. (2016). Beginner’s guide to Kant’s moral philosophy. Philosophy Tube. Retrieved from: https://www.youtube.com/watch?v=mQ2fvTvtzBM&t=127s

Brusseau, J. (2012). Chapter 3: Theories of duties and rights: Traditional tools for making decisions in business when the means justify the ends. Business Ethics. Lardbucket Books. Retrieved from: https://2012books.lardbucket.org/books/business-ethics/s06-theories-of-duties-and-rights-.html

Duty-based ethics. (2014). BBC. Retrieved from http://www.bbc.co.uk/ethics/introduction/duty_1.shtml

Optional Reading

Philosophers 101. (2013). Kant’s ethics (deontological) and the categorical imperative. Retrieved from: https://www.youtube.com/watch?v=eQcC1qYP08s

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