Analysis of Apple Inc.'s Ethical Issues
The assessment for this module is similar in style and format to that used in previous years and is based on 2 individual assignments. The first constitutes 40% of the final marks for the module, with the second contributing the remaining 60%. This document should be read in conjunction with other supporting materials that are discussed in the first lecture and tutorials throughout the module. Tutorials in the second week of the semester will focus on assignment 1 and clarify any issues that you may have with the assignment. As the module progresses, we will spend some time focusing on the specific requirements for the second assignment and re-emphasise the information in this document.
Assignment 1 Individual Assignment (development of a video) 40%
This assessment allows you to explore in detail the ethical responsibilities of an industry, an organisation, business issue or topic of your choice and to develop your analysis and response in video format. You can adopt a local, national or international perspective; for example, you might choose to focus on the recent concerns with human rights abuses and modern-day slavery in specific supply chains, or bribery and corruption issues in financial institutions or ethical challenges with the use of AI (artificial intelligence). You could, for example, focus on the lack of trust in the banking industry, or the problems with pricing of drugs in the pharmaceutical industry worldwide, or the concerns raised about poor management behaviour in the UN. You might want to evaluate a specific issue/topic, such as the effectiveness of whistleblowing policies, or the problems in Oxfam with the sex-for-aid scandal, or the scandal at Theranos, or the recent problems faced by Boeing and 737 Max crashes, or the ongoing issues with Johnson and Johnson talcum powder which has led to a recent decision to discontinue globally from 2023, or global food security, or the governance and ethical lapses at Wirecard or Satyam or Luckin Coffee, or the use of child labour in the supply chain etc. Alternatively, you could focus on a more positive side to business ethics and social responsibility, and there have been some excellent examples of business for good during the pandemic and beyond. You can be as broad or specific as you wish; you might choose to evaluate the ethical implications of advertising in general, or, more specifically, the ethical implications of advertising to children, or the ethics of advertising alcohol, or ethics and social media influencers etc. Or you could focus on a very contemporary issue, for example, understanding the role ethics in the development and use of autonomous vehicles, or data privacy and security, or issues relating to lapses in corporate governance or some of the accounting scandals etc. You could focus on one specific organisation; for example, Boeing, or NHS and the consequences of children not getting the MMR jab; or JB Sports and zero-hours contracts, or the working environment in Amazon; Coca Cola and Land Grabbing; Leadership and Ethics in the CoOp or FIFA; or FoxConn, Apple and i-phones in China, or Facebook and Cambridge Analytica and issues around data security, or the sacking of McDonalds CEO Easterbrook because of an alleged affair in November 2019, or whistleblowing, including, for example, the recent (September 2020) case of a whistleblower exposing problems in England with the test and trace system for coronavirus positive cases, or modern day slavery in the Business Ethics Assessment Overview supply chain (such as that exposed in Leicester, July 2020), or the very recent concern re financial irregularities in Garda Siochana, or data security breaches in PSNI, or the PWC ‘tax scandal’ in Australia and US (May 2023) These examples are just a snapshot of the breadth and depth of the topics, industries, and issues that you could explore. Please note that your topic MUST have a business (public, private and/or third (voluntary) sector) focus. You should refrain from choosing more broad-based ethical issues such as the legalisation of abortion in (N) Ireland or the ethics of euthanasia etc. These are obviously very important ethical issues but they do not necessarily have a ‘business-based’ dimension. You are, of course, welcome to focus on a health-related topic but it would then have to be rooted in, for example, the NHS, or have some sort of government or NGO angle etc You CANNOT choose to develop a topic that you have already been (or is about to be) assessed on in a different module. For example, if you are completing MGT3013 Supply Chain Management and choose to study the supply chain in the palm oil industry; or transparency in the garment industry in the developing world, you cannot rejig this and use it again in this module. The same applies to any report/project that you might have developed for a module in Level 2, for example, in Leading for Change or in Level one MGT1012 Business, Government and Society module. You must choose a new topic/area/issue. It is a serious academic offence (and is penalised accordingly and could result in a mark of zero for one or both modules) to present work which has already been (or is about to be) considered and awarded marks in another module and, it is very easy to find this out! Your focus must be within the last 10 years. To help you get started, outlined below are some examples of recent undergraduate Business Ethics topics that students have developed. You are NOT expected to choose a topic from the list overleaf – the titles are for illustrative purposes.
ANALYSIS OF APPLE INC.'S ETHICAL ISSUES
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Apple Inc. Introduction
Apple Inc., a technology giant known for its ingenuity and iconic products, is admired and scrutinized. Apple's evolution and complex worldwide supply chains may be understood from its 1976 founding to its current status as a technology giant. As technology firms operate in various countries and continents, ethical concerns, particularly labor practices, have grown. Apple's Supplier Code of Conduct and public remarks express its ethical and Corporate Social Responsibility (CSR) values. Although these principles have been declared, Apple Inc.'s capacity to implement them has been criticized, particularly in labor rights. Apple's ethical issues are examined through Foxconn, its primary manufacturer. This essay examines Foxconn's labor rights transgressions in China, a distinct ethical challenge for the corporation. The goal is to analyze labor rights breaches in its supply chain and touch on privacy and environmental issues to give a complete picture of Apple's ethics.
Background of Research
Understanding Apple Inc.'s ascend to prominence and the technology industry's complexity is essential to analyzing its ethical challenges. Apple Inc., a worldwide technological giant, has been criticized for its ethical operations and supply chain practices. This research's background and context must be established first. Apple's history from 1976 to its current standing as a technology giant reveals its complex supply chain (Vliert, 2021, pp.1-2). The technology industry's growing globalization, complex supply chains, and substantial outsourcing contextualize Apple and other tech giants' ethical issues. The Supplier Code of Conduct and Supplier Responsibility Reports demonstrate Apple's commitment to ethics in its operations. Apple's code of conduct stresses labor and human rights, ethics, environment, and management systems (Rashid, 2021, p.150).
Organization/Industry Discussion
Steve Jobs, Steve Wozniak, and Ronald Wayne created Apple in 1976. Apple is a worldwide technology powerhouse recognized for its iPhone, iPad, Mac computers, and software and services (Naik and Pai, 2018, pp.68-70). Apple's products are popular globally due to their quality and innovation. China is home to Apple's main manufacturing partners, making it vital to its supply chain. Apple outsources and partners with Foxconn because its business philosophy is to make cutting-edge devices and maximize revenues (Clarke and Boersma, 2015, p.119). The IT industry, recognized for its rapid growth, global reach, and complicated supply chains, has prioritized labor rights. Apple's labor practices and supply chain treatment of workers have been under the ethical microscope, with Foxconn, a major Apple supplier in China, being the most documented example (Li, Haque and Chapple, 2023, p.2).
Key Issue Discussion, Analysis, and Evaluation
Labor Rights Violations at Foxconn
Foxconn, Apple's main manufacturer, is a prime example of the labor rights violations that have tarnished Apple's reputation. Even though it's vital for Apple's prosperity, the firm has received criticism concerning breaching employee rights numerous times. The most disturbing of these claims are the worker deaths in the late 2000s and early 2010s (Clarke and Boersma, 2015, pp.119-120). These suicides protested poor working conditions, low pay, and excessive stress. During this time, many Foxconn workers committed suicide, highlighting their poor working conditions (Chen and Lao, 2021, p.2682). Long hours, dull tasks, and cramped dorms plagued workers, resulting in a shocking and devastating suicide wave. After these occurrences, it became clear that technology industry labor rights, especially in low-wage countries, needed change. Apple responded to the Foxconn problem with comprehensive audits, investigations, and enhanced corporate social responsibility. Apple, a key Foxconn client, indirectly supervised factory labor conditions (Chen and Lao, 2021, p.2678).
Evaluation of Apple's reaction goes beyond utilitarianism to deontology. Deontologically, Apple was morally obligated to maintain fair labor practices in its supplier chain, regardless of the costs or repercussions. Apple, a business known for its principles and ethics, should fix labor rights issues in its supplier chain. The contract between the corporation, its suppliers, and the workforce implied a specific quality of labor treatment. However, Apple established "supplier responsibility" to improve the supplier's environment and fight against human rights and environmental violations (Sodhi and Tang, 2020, p.13). Virtue ethics emphasizes morality and character development. Apple's efforts to resolve labor rights breaches may constitute a moral gesture. The corporation took responsibility for its conduct and worked to improve labor conditions. Virtue ethics emphasizes morality. Foxconn also highlights accountability difficulties in complicated, globalized supply chains. Apple increased transparency as a CSR response. Supplier Responsibility Reports detail supplier audit results and demonstrate the company's labor rights commitment.
Privacy Violations
Technology businesses now prioritize privacy, and Apple's response to the 2015 San Bernardino shooting illustrates the delicate balance between privacy and national security. The December 2015 San Bernardino massacre by two terrorists killed 14 and injured 22 (Mukul, Rao and Kundu, 2021, p.17). An iPhone used by the attackers became vital evidence in the investigation. Apple declined the FBI's request to unlock the iPhone, stating it would violate user privacy and set a dangerous precedent (Miller and Bossomaier, 2021, p.139). Apple's San Bernardino position shows its dedication to customer privacy. The computer giant refused to help the FBI on deontological and rights-based grounds. Apple's decision is deontologically founded on individual rights and privacy. Consequentialist ethics also illuminates Apple's position. Apple's choice may be a consequentialist attempt to prevent backdoor usage. The fear was that establishing a backdoor to unlock the iPhone would present far-reaching implications, possibly compromising the security of all iPhones and risking user data (Macnish, 2021, p.159).
The case demonstrates how challenging it is for computer companies to blend security and privacy responsibly. The San Bernardino case trig...
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