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Business Ethics Essay

In: Business and Management

Submitted By seasaidhbheag
Words 1108
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All businesses face ethical issues. Some, as they should, see them as an important aspect to be remembered when making a business decision, while others wrongly see them as an inconvenience.

Earlier this year, the news was released that the American pharmaceutical company GlaxoSmithKline were fined $3 billion (£1.9 billion) after bribing doctors to increase their drugs sales.
The company admitted corporate misconduct over the antidepressants named Paxil and Wellbutrin as well as the asthma drug Advair.
They also admitted to encouraging the prescription of these unsuitable antidepressants to children. Not only was this extremely unethical but also unsafe. Thus, generating profit for the company but also danger for those who were inappropriately prescribed the drug. In order to permit such an action, any moral values which the company may have had must have been ignored.
The company encouraged sales reps in the US to mis-sell three drugs to doctors as well as lavish hospitality and kickbacks on those who agreed to write extra prescriptions, including trips to resorts in Bermuda, Jamaica and California.
Psychiatrists and their partners were flown to five-star hotels, on all-expenses-paid trips where speakers, paid up to $2,500 to attend, gave positive presentations on the drugs. They could enjoy diving, golf, fishing and other extra activities arranged by the company.
GlaxoSmithKline also held eight luxurious three-day events in 2000 and 2001 at hotels in Puerto Rico, Hawaii and Palm Springs, California, to promote the drug to doctors for unapproved use.
Those who attended were given $750, free board and lodging and access to activities including snorkelling, golf, deep-sea fishing, rafting, glass-bottomed boat rides, hot-air balloon rides and, on one trip, a tour of the Bacardi rum distillery, all paid for by GSK.
Air fares were also covered for doctors...

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