Business and Management
Submitted By byogol
The purpose of this assignment is to provide a critical analysis of the decision faced by the transistor Board of Directors through the lens of utilitarianism. This analysis will be accomplished by discussing the key utilitarian ethical problems confronted by the transistor company board of directors; by discussing what advice would Jeremy Bentham would have given the transistor Board of Directors; the author will apply the first four steps of the Utility Test in regard to the case; the author will discuss the Common Good Test and its implication on the case; the author will also compare and contrast the Utility Test and the Common Good Test; and finally the author will explain which of the two tests is most informative, and why.
The Case of the Sole Remaining Supplier
The decision faced by the Transistor Board of directors is one of many examples that are challenging the everyday decision making in the organizational ethics. In the year 1975, the transistor company boards of directors were faced whether to continue to sell its product to the pacemaker company. If the transistor company decides not to supply its product the consequences would affect the stakeholders that include patients, cardiologists, Pacemaker Company, and the transistor company. For example, many patients who are suffering irregular heartbeat would not live without pacemaker. According to Pacemaker Company, “Pretty soon, no one will be making heart pacemakers, and many people need them. Without the pacemaker, people don't even have a chance” (Thomas Shanks, 1996). In this case, the pacemaker company is not only concern for its business, but the suffering of the patients who depend on this lifesaving pacemaker. A utilitarian theorist would agree with Pacemaker Company for promoting happiness. If the Transistor Company board of directors decided not continue to supply the product,…...