HND Business and Finance
Unit 45: Business Ethics
The concept of business ethics applied in Pfizer, M&S and Shell Global Plc.
Name: Lul Mohamed
To: Pfizer Managers/Directors,
From: Lul Mahamed
Subject: Ethical perspective and corporate responsibility of Pfizer, M&S and Shell Global Plc.
Pfizer pharmaceutical company
According to recent studies, Pharmaceutical company that provide and innovate biopharmaceutical as a medicinal business such as Pfizer are subject on their ethical behaviour. Likewise, Pfizer is a Pharmaceutical firm that have recently been question on their ethical behaviour and ...view middle of the document...
According to the company website, Pfizer main objective is to "strive to set the standard for quality, safety and value in the discovery, development and manufacture of medicines" (Pfizer, 2007). The company Mission Statement is therefore to become a market leader in terms of their patients, customers, colleagues, investors, business partners, and the communities where they operate. In other words, it is the firms objective to strive, achieve and sustain its leading place as the world's premier research-based pharmaceutical company.
According to Business Organisation and Environment study, ethics is known as the moral judgements about right and wrong that can affect a firms decision making policy (Business organisation and environment, 2014). Behaving in an ethical manner brings significant benefits towards any com[any which includes Pfizer. For example, they may:
* Increases the attraction of the firm's products due to added value, thereby boosting sales and profits.
* Good reputation towards its main stakeholders, i.e. good public image with their customers.
* Employees are likely to stay with the business, reduce labour turnover and therefore increasing productivity.
* Attracting new employees to work for the business, thereby reducing recruitment cost and facilitating to recruit most talented employees.
* Avoiding legal institutions charges and huge fines such as Greenpeace, politicians and environmental groups.
* Improves external Audit Reporting; hence, attracting investors which keeps the firms share price high, thereby protecting the business from takeover.
In a mission objective Pfizer indicated that the company is dedicate to humanity's quest for longer, healthier, happier lives through innovation in pharmaceutical, consumer, and animal health products (Pfizer, 2007). Yet, reports showed that the firm were not in absolute achieving their mission objective. To achieve these mission objective set by the company, Pfizer should maintain its ethical standards which includes values of Integrity, Leadership, Innovation, Performance, Teamwork, Customer Focus, Respect for People and Community and meeting the needs and wants of its stakeholders.
Stakeholders are those who can affect or is affected by an organizations, business strategy or project. Some theorist suggest that stakeholders have the power to impact an organization or a project in some way. 'People or small groups with the power to respond to, negotiate with, and change the strategic future of the organization' (Eden and Ackermann 1998: 117).
They can be internal stakeholders such as employees, managers and shareholders (interested individuals working within the company) or external stakeholders such as government, suppliers, customers, local community, media, pressure groups, banks and association or third party (interested individuals/group that do not own or work within the company).
Likewise Pharmaceutical researchers, Pfizer have internal and...