Business ethics of mcdonalds

Share via Email British consumers believe that McDonald's is the least ethical of high-profile corporations, according to a new survey. The unwanted accolade follows sustained criticism of the burger giant's unhealthy fare and provides further evidence that McDonald's - for years the most successful retail brand in the world - is increasingly out of step with a body-conscious society. McDonald's tops the poll ahead of other 'bogeyman' companies such as Shell and Nestle, according to the Ethical Index compiled by market research firm The Fraser Consultancy.

Business ethics of mcdonalds

In the summer of McDonald's supplied polystyrene cups, a product they went away from in due to shareholder pressure for environmental reasons, to several of their restaurants in Chicago only.

The cups have not been put back into use at McDonald's in any other city than Chicago, so the issue is minor but could expand. Polystyrene material is styrofoam, and is mainly used for McDonald's tea cups at their restaurants.

McDonald's deserves credit for its many diverse efforts to help promote a better effort to help the environment, however a blatant error that is not corrected immediately is an ethical concern.

The redistribution of a environmentally unfriendly cup, also known as Styrofoam cups, sent a slight shock wave through shareholders who expected progression from the large restaurant chain.

The cup itself is made of polystyrene and it Business ethics of mcdonalds hard to recycle or even destroy this product totally. This of course has an adverse impact on the environment because it has a slow natural decay, leading it to join the many other trash items being buried in dumps or the ocean.

Business Ethics Case Analyses: McDonald's: Environmentally Unfriendly Cups ()

Cancer has been linked to constant usage of this material, hence part of the reason that it was banned in some cities. The sights of trash piling up, reading about global warming and the risk for a serious disease is disheartening.

Any action by a company that results in a negative effect on stakeholders will be considered unethical by most groups. The use of polystyrene can be traced to its cost savings compared to other recyclable plastics or paper products.


As the richest fast food restaurant in the world and a trend setter their actions can possibly have an impact on the choices of other fast food restaurants, or perhaps they lose consumers who do not agree with the message they send by taking a step backwards.

Honesty is an important integrity to consumers and business. Honesty is highly important in ethics and by showing dishonesty to stakeholders they have acted unethically. The dumps and landfills across the Earth are already filled in many areas and it is a constant chore to deal with the massive amount of trash, contributing to that with a cup that has great difficulty decaying naturally is a risk to human happiness.

The styrofoam cup in question. McDonald's faces backlash from the shareholders by seeming taking a step back in their efforts to be more environmentally friendly.

“McDonalds” likewise keeps up higher “business ethics” and accordingly perform its commerce with high moral guidelines (Colin & Lovell, ). The corporation directs its commerce through high sincerity, authenticity and decency for each of its regulars and dealers. McDonald's code of ethics is to conduct business ethically and within the letter and spirit of the law, according to the company's website. The McDonald's Corporation as a whole, from employees to the Board of Directors, is expected to abide by McDonald's values as stated in the company's written standards of conduct. Balancing the interest of three key groups- McDonalds trusts in the business model that depicts balancing among the owner, suppliers and employees of the company. Ethical business practice- the company is believed to engage in high business standards with fairness, honesty and integrity.

By either purchasing or not purchasing these cups it impacts suppliers who would profit from the business, and also has the opposite effect for suppliers that provide different material cups.

Instead of sticking with standard plastic products they went back to polystyrene, which is cheaper to make and more durable.

It is a win-win for supplier and consumer at first, but the long-term impact of that product has a negative impact on the environment. In the eyes of an Individualist the outside impacts are irrelevant, it does not matter what happens unless it falls outside of the law.

Business ethics of mcdonalds

The cost savings gives McDonald's the most immediate and effective benefit, whereas using plastic products or paper which better benefits the environment would cost them more money. As noted in the Ethics Controversy Case the savings are immense and could be in the ballpark of seventy-five percent.

Even if the savings were only two percent and the environment in jeopardy it would not matter. That is an impressive number, however it does not cover the other ninety-nine percent meaning, "the greatest good for the greatest number," has not been satisfied.

As society evolves and our impact on the environment is felt look no further than Hong Kong, China the pressure is added to companies to be more environmentally friendly. Companies are gaining more and more responsibility for the environment due to their large amount of assets.

Even still many will skirt trying to put too much into public appeal, especially if it takes away from profits.McDonalds also maintains high business ethics and thus conducts its business with high ethical standards (Fisher and Lovell, p). The company conducts its business with high integrity, honesty and fairness for all its customers and suppliers.

Are business ethics in danger? A report from the Ethics Resource Center found that "ethics cultures are eroding and employees' perceptions of their leaders' ethics are slipping." Employees. Sep 10,  · At McDonald's, CSR Is Everybody's Business.

Corporate governance and ethics became central to every departmental function, much like the graph on the left.

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everybody's business. Ethical Approach to Fast Food Product Contents and Their Advertisement Strategies Mustafa SOBA Assistant Prof. Dr. of business ethics is infinitely more complex in international marketplace, because value judgments differ widely McDonalds, KFC, and Pizza Hut etc.

Mcdonalds won = rainforest destruction, heart disease and cancer, food poisoning, starvation in 3rd world countries and bad working conditions. Ordered to pay £60, in damages = immediately refused, mcdonalds didn't question. Business Ethics and Social Responsibility Importance of Business Ethics According to the American Management Association, 56 percent of surveyed participants ranked ethical behavior as the most important characteristics of effective leaders.

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