Bogdan Ana Maria, Group 957

Apple and business ethics I will begin with stating the Apple Inc. Vision and Mission because I consider it to be very interesting fir this case study.
VisionMan is the creator of change in this world. As such he should be above systems and structure and not subordinate to them. Mission statement Apple is committed to bringing the best personal computing experience to students, educators, creative professionals and consumers around the world through its innovative hardware, software and internet offerings

In the Apple code of ethics the company ensures that the workers from the lower stage of the production process are treated with dignity and respect and the manufacturing process is environmentally friendly in full compliance in the law, as well as for the Suppliers carrying out activities in other countries. Apple has regulation for: labor and human rights, antidiscrimination, fair treatment, prevention of involuntary work, prevention of underage labor, juvenile labor, working hours, wages and benefits, freedom of association, health and safety, occupational injury prevention, prevention of chemical exposure, emergency prevention, preparedness and response, occupational safety procedures and systems, ergonomics, dormitory and dinning, communication, worker health and safety committees, hazardous substance management and restrictions, waster and solid waste emissions, air emissions, environmental permits and reporting, pollution prevention and resource reduction, corruption, extortion and embezzlement, disclosure of information, no improper advantage, fair business advertising and competition, whistleblower protection and anonymous complaints, protection of intellectual property etc.1 So, we have a big company with a long list of regulations and rules for both internal and external environment. This is what happened to Apple, a company known for being incredibly controlling, but it could happen to any firm using outside suppliers. They had been accused of ignoring labor abuses. First, suppliers that had been using a chemical, n-hexane, which had poisoned 49 workers and then that suppliers are using children as labor force. The first case has a great chance to be ignored because it doesnt have a great impact on the society or consumers and it is more likely to be considered just another case of working place accident. Child labor is particularly problematic because involves underage employment, who may be the only wage earners in their families. The whole problem may be artificial because I dont believe I phone users care so much about children building their gadgets and if they have one bad thought about this they still couldnt give up buying Apple products. People will buy these apple products no matter what. What basic concepts and principles from business ethics are involved in this case?
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Source :Business Ethics in Apple inc., The University of Lahore, 2011

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Bogdan Ana Maria, Group 957

In the legal vs. ethical battle I believe Apple is right Once our standard of living improvedand universal, public education became a realistic objectivewe passed child labor laws that prohibited this practice. I believe that is hypocrisy to
blame companies from the poverty in some countries and for child employment. Each country has it s own system, its own history and each of us are responsible for our acts. Companies are being opportunistic in this matter and I can say if this is a bad thing yet. Taking advantage of a chance given by certain the situation at my age I see it as a way to develop. Survival of the fittest in this case is a basic instinct, children have no means of living decent in their own country but they are given a chance to earn their living by these multinational who have the power of reaching them directly. Unless we enjoy seeing children starving to death I believe this is an ethically correct even though its all about profits. And as Dalai Lama said if you cant help them, at least dont hurt them.

But, Apple has a second and third ethical problem: conflicts of values, enlightened selfinterest The Problem of 'Dont Ask, Dont Tell'2 happens when companies tend to know who violates these guidelines, but often adopt a "dont ask, dont tell" stance with these suppliers to optimize margins and assure profits. In the solving this Apple could have taken the risk assessment depending on the area where the components are build or risk mitigation if the problem is not extreme(like physical abuse, death or suicide) because in this case it would make it worse being directly responsible for the unfortunate and image damaging acts. Wrapping Up Too many companies with strong ethical values close their eyes when coming to these kinds of practices from their partners because they are all cost-driven. Even if governments dont take action, competitors and activist groups are more than capable of making these unsavory practices visible. The caution is that if Apple, one of the most image-conscious and controlling firms on the planet, has a problem with its suppliers, it is likely you do as well. At the same time, the problem dont ask, dont tell I consider it to be morally ambiguous, typically for shady businessman, graft politician or one involved in illegal activities. Meaning, if you accept it you are a part of it. Personally, I was surprised to find out that Apple was dealing with suppliers accused of exploiting children and using substances that had poisoned a number of workers. I understand that for businesses being ethical could be very expensive and generate lots of costs for the
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Source: Article posted by Rob Enderle Mar 1, 2010 4:15:23 PM named Apple and the Ethical/Business Problems of Child Labor and Other Unsavory Practices

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Bogdan Ana Maria, Group 957

company in the short run. However, on the long run, the companys reputation and status within the market will grow attracting consumers, employees as well as suppliers for the company. This all contributes in generating profits for the company. Taking a look at the beginning of this project we see a set of values, rules clearly broken by Apple Inc. After analyzing all the aspects of the specified case study we could state that their vision is wrong and not in accordance with their mission. Mainly because people rely 100% on computers now and we are doomed without them. Im not saying we cant survive without them but we are totally dependent of them. Apple has changed systems, structures in the consumers mind they had implemented a new trends, tastes and I believe this is called subordination and what is disastrous is not being aware of this mentally slavery. Thats why I think that Apple as well as other companies should always take an ethical approach in their activities in accordance with their culture, values, vision and make sure to stress the importance of ethics and morale within the companys culture with a practical action like closure the contracts with suspicious suppliers.

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