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Laws and Ethics Considerations in Marketing, Product Safety, and Intellectual Property

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Legal and Ethical Considerations in Marketing, Product Safety, and Intellectual Property

Review the PharmaCARE/CompCARE scenario in Assignment 2 to complete this assignment.

Write a ten to twelve (10-12) page paper in which you:

1. Research three to five (3-5) ethical issues relating to marketing and advertising, intellectual property, and regulation of product safety.

a). Ethics related to the PharmaCARE’s treatment of the Colberia’s indigenous population and its rank-and-file workers versus that of its executives.

According to Labor ethics every company should respect their employee in the right way, and they should handle their issue with respect and in an appropriate manner. Ethics are rules that are intended to direct employers in performing what is right and what is fair towards its employees. Employment ethics expect every executives of any company or firm to treat its stakeholders as well as employees within the set standards. This applies to the entire community. For instance, ethics look ahead to the boss to hire, select, employ, and even take care of employees in a satisfactory way. Ethics are destined to guarantee that the manager do not misuse employees by taking advantage them.

The approach in which PharmaCARE’s is handling Colberians undoubtedly shows that the firm does not pursue the ethical conducts expected from any company. In regard to the case, it is obvious that the PharmaCARE is mistreatment the Colberians by deliberately taking gain of their low information level and misusing them for their own benefit. In regard to this case, a fact that ought to be noted is that Colberians are uninformed. They cannot differentiate aspects related to copyrights and assets rights. Nonetheless, Colberians have healing talents. The corporation deliberately took gain of the fact that “Healers” in Colberia generously share essential data without considerate the intellectual property rights. The code of ethics is against any company taking advantage of the lack of knowledge of another company. This suggests that PharmaCARE is deliberately going against intellectual property rights.

PharmaCARE is obdurate in rendering a helping hand to the Colberians in any way, in spite of the fact that the survival of the company is partially related to their effort. In a more serious note, it is obvious that the company is informed to the letter about the tribulations that the Colberians are undergoing. Conversely, PharmaCARE does not help whatsoever and instead, increase the challenges by paying them miserably. According to ethicists the company should help the Colberians to improve their standard of living. This is through awarding them cash in exchange of the information they share in regard to the healing herbs. With this payment, the Colberians possibly will have the power to obtain most of the essential needs. The firm is also expected to give them recommendation accordingly as well as constructing schools for the surrounding communities, with the aim of improving the literacy level. However, the company to date has not done anything to meet this expectation. This is mainly because the case suggests that larger part of the population take shelter in poor conditions. This drastically contrasts the type of shelters that is used by the PharmaCARE’s executives.

b). Ethics related to rank-and-file workers and executives

Similar to the association among the PharmaCARE and Colberians, the associations amid rank-and-file workers and executives shows that PharmCARE has unsuccessfully handled the rank-and-file workers in the expected ethical manner. It is the objective of administrative to recognize the part performed by the rank-and file employees and uphold their rights to service and rights to privileges such as rewarding and promotion. The managerial and the rank-and –file workers should work as a team towards achieving organizational goals and missions. Executives are in no way expected to fire the rank-and-file staffs for the reason that they have lower ranks. In order for this to happen, the two groups of staffs should interact freely and share things within the workplace environment. From this case the managerial could use the power they hold to infringe the rights of the staffs. According to the set standards, and the laid ethics, this is is not ethical.

c). Ethics related to employee relations

The approach in which the administrative connected to staff shows that the administrative have unique self interest within the organization. This interest does not match to the staff’s hopes. As a result, the executives are working hard in order to achieve their own goals, even if this will led to firing some of the employees who may pose as obstacle to the organization. From this case, some staffs such as Donna took a step to file the grievances for the workers reimbursement. However, since the executives are in no way keen to reimburse them, they instruct Allen the employee supervisor to sack them. Compensating workers is one of the legal rights accorded to the employees. This is especially to those workers who toil overtime. From this case, it is a fact that the staffs were actually forced to work through extra hours; hence, they were legally responsible for compensation. Using force to infringe employee’s rights is ethically off beam.

Promoting staffs is another right accorded to employees. This is something every executive must recognize. In most cases, employees who served for a given period of time are entitled for promotion. However, this is opposite within PharmaCARE. This is justified by the case of Ayesha. As a matter of fact, Ayesha has worked for the company for numerous years; hence, she is entitled to a promotion. After unproductive labor, Ayesha makes a decision to file complait. According to the case, she is not promoted as a result of her faith in Muslim. Ethics and employment are against any form of discrimination. Any executive who engages in any form of discrimination is acting illegally and unethically. This situation suggests that the executives are merely working to make sure that they meet up their own selfish interests. They are not going with the set procedures.

This case portrays that most workers are striving hard with a goal of meeting their own expectations. This can be blamed on the executives who are the main cause. For instance, it is the duty of Tom to make sure that working conditions go hand in hand with set standards put forward by the existing law (OSHA). From this case, it is evident that Tom is meeting his errands in the right manner. Ayesha is also correct when she records complaints for not being promoted since she is a Muslim. Likewise, Donna is ethically correct when he exposes the issue of poor working environment. In relation to the three scenarios, it is obvious that worker’s intentions are ethically right. But the executives are not ethically right since they are trying to attain their self interests, through manipulating workers into doing whatever they wish them to do. They then punish those rebellious either by sacking or sidelining them from chances such as promotion.

Allen has a responsibility of ensuring that air quality is right. He has to make sure that the work environment within his department complies with the values set by OSHA. If it was not true that the workers are making propaganda complain with the aim of escaping daily duties, then it would have been lawful and ethical for Allen to terminate any employee who complains of the working situation (Hardman 2011). However, from the case it is true that the working environment is poor, and it does not meet the OSHA values. This shows that the administration of the business has been unsuccessful in ensuring that the working environment of the staffs is perfect. It is the Allen’s objective to enforce some of the workers’ rights. This shows that Allen needs to make sure that he is familiar with the set laws governing employment and workers rights. This fact will allow Allen to always take action in legal and ethical manner.

2. Argue for or against Direct-to-Consumer (DTC) marketing by drug companies

Prior to my argument for DTC, I will take this opportunity to first explain what DTC really means. DTC is a type of advertising where the drug industries are allowed to trade their drugs direct to the main consumers. This is without necessary going through diverse rules. DTC has some pros and cons. The main advantage of Direct-to-Consumer is that it helps in facilitating convenience of the drugs to the customers. This is mainly due to the fact that Direct-to-Consumer supports the development of many drug outlets. Nevertheless, the most horrible side of the Direct-to-Consumer is evident if one takes into consideration the quality of drugs allied with the DTC. DTC support materialization of dispensaries that are not licensed. This affects the type and quality of care presented through the Direct-to-Consumer. For instance, a number of dispensaries might be prescribing incorrect dosage while others may perhaps be prescribing low quality drugs. This is due to the fact that drugs sold through Direct-to-Consumer are not licensed by FAO. DTC promotion may also support the misuse of the consumers.

3. Determine who regulates compounding pharmacies under the current regulatory scheme, what the Food and Drug Administration (FDA) could / should have done in this scenario, and whether the FDA should be granted more power over compounding pharmacies.

Unfettered compounding pharmacies can be difficult and even demoralizing to the life of the consumers. This is without doubt evidence within the case of PharmaCARE. To make sure that the pharmacies recommend right quality services, the federal government came up with federal laws. These laws are meant to steer the allotment and management of manufactured drugs. Some of the main federal laws comprise the state board pharmacy as well as the FDA (Qato and Alexander 2011). State board of pharmacy is given the responsibility of controlling the compounding pharmacies.

FDA, in contrast, deals with the evaluation of the drug qualities and if they meet the required state. They make sure that a certain drug is in fact fit for consumption or not. FDA presents the drugs to the final consumer once they have been tested and clinically proven to be effective. Simultaneously, FDA withholds some drugs that fail to meet the required threshold according to FDA standards (Qato and Alexander 2011). As long as I am concerned, FDA should not be given more authority.  Additional authority would signify that the cost of compounded medications will go up (Qato and Alexander 2011). This will in sequence holdup getting such medications to the consumers. This in turn would lead to a huge decrease in their accessibility (Qato and Alexander 2011). 

4. Decide whether PharmaCARE’s use of Colberian intellectual property would be ethical in accordance with: 

a. Utilitarianism

Utilitarian’s urges that an action is ethically right when it benefits the most affected parties (Solomon, 1984). According to the PharmaCARE case, the Colberians is the most affected party. For this reason utilitarianism would recognize any action that profits the Colberians as ethically right. This is even if it goes against the needs of the PharmaCARE. This is due to the fact that Colberians than the PharmaCARE’s executives. Because of this utilitarianism would anticipate that the PharmaCARE pay compensation the Colberians consequently since they are utilizing their intellectual property to create profits. Even though the Colberians share their data generously, PharmaCARE should not take for granted the action. The motive why they are not asking for reimbursement is that they are uninformed about what the intellectual property is and its value.

b. Deontology

Deontologians are in addition referred to as rational ethicists. This is due to the fact that they use reasoning to reviewer situations. Deontologians would take for granted that the Colberians are making the normal conclusion for not asking for any compensation for their exchange of data. For this reason, deontologians are most likely to believe the use of Colberian’s property right as ethical.

c. Virtue ethics

Virtue ethics believe an act to be ethical or unethical through evaluating the actor. If, for instance, the actor did a thing that is bad as a result of accident, then the action would be considered ethical. Alternatively, when actor deliberately did the act to his advantage, then this action would be measured as unethical. The case of PharmaCARE, it is obvious that the corporation had information that the Colberians had the rights for their intellectual property. However, they further to breach it, this shows that the PharmaCARE made unethical move .

d. Ethics of care

Ethics of care, conversely, aims at making sure that both parties gain from the actions. From this believe, PharmaCARE violated the ethical rights, since they did something that benefited the company alone.

e. Your own moral / ethical compass

In my opinion, the PharmaCARE did what is immoral by taking advantage of Colberians lack of knowledge. Therefore, I support the three principles that is; virtue of ethics, the ethics of care and even utilitarianisms (Perle, 2004).

5. Analyze the way PharmaCARE uses U.S. law to protect its own intellectual property while coopting intellectual property in Colberia.

PharmaCARE is one of the numerous US firms that have failed to follow the laid laws and regulations. PharmaCARE is a conspirator since it is breaches the laws while at the same time advocating for other laws. The fact is that it is going against the intellectual property right while still advocating for the environmental inventiveness. Eventually, it becomes hard to reprimand the company.

6. Suggest at least three (3) ways the company could compensate the people and nation of Colberia for the use of its intellectual property and the damage to its environment. 

i. Improve staffs’ wages and salaries.

ii. Be part of the infrastructural developments

iii. Make the “healers” a key shareholders

7. Compare PharmaCARE’s actions with those of at least one (1) real-world company whose creativity in skirting legal technicalities led to ethical lapses and financial loss. 

A biotech firm from French, which holds various patent processes in extraction as well as purification of compounds with medical uses, has joined into a license and growth agreement with big pharmaceutical firms. This pharmaceutical firm had substantial know-how within the medical appliances for substance that are connected to the patents in custody of Biotech Company. Some years the biotech firm ended the contract. In relation to the Pharmacare arrangement, costs were to be divided among the involved parties. The Pharmaceutical Company claimed for considerable reimbursement from the Biotech Company in view of the fact that they ended their accord prior to the agreed time. Such moves by the Biotech Company ushered in a huge financial loss. This is because the majority of its clients feared the unethical conducts within the firm.

8. Determine the success PharmaCARE and WellCo shareholders would have in suits against the companies. 

As it is stated, it is obvious that PharmaCARE is misusing U.S. law to guard its own intellectual property while at the same time co-opting intellectual property within Colberia. The corporation is bending a number of laws at one end while on the other end coming up with environmental initiate by the name We CARE about YOUR world. The main role of this initiative is to advance the environment by utilizing recycling, change of packaging as well as utilizing green initiatives (Solomon, 1984). In the course of this initiative, the company will easily protect itself from lawsuit which may be filed against its operations. This suggests that Colberians make a decision to sue the company noting the infringement of their intellectual property rights, the company will be safely positioned since Colberians presented their data freely.

9. Determine whether or not PharmaCARE lives up to its brand. Support the response. 

I differ PharmaCARE has uphold its brand. This is due to the fact that brand was not legally acquired. Since PharmaCARE unlawfully obtained the data in relation to drugs from Colberians while it never played any part in building this data. For instance, presume the “healers” resolute to argue their property right as a result of their gathered knowledge? It is also obvious that were no defined advertising strategic plan, this due to the fact that the company was experiencing disorganization in its management. From my own argument, a firm that lives to its own brand is that firm that can lawfully protect all it is.

10. Recommend at least three (3) changes PharmaCARE can make to be more ethical going forward.

· Make stronger the connection among the rank-and-file personnel and management. This will allow the corporation to come up with good tactical plan which will boost the company in realizing its missions and goals.

· Contribute in various corporate social activities. This is though hiring Colberians and compensating them well. They should also work hard to improve Colberians’ standards of living.

· Follow the laid US laws to the letter, for instance, environmental laws as well as intellectual property laws.

References

Qato DM, Alexander GC (2011). "Post-Marketing Drug Safety and the Food and Drug Administration's Risk Evaluation and Mitigation Strategies". JAMA 306: 1595–1596.

Vendemiati, A. (2004). In the First Person, An Outline of General Ethics, Rome, Urbaniana University Press, 2004.

Newton J. (2000).. Complete Conduct Principles for the 21st Century. ISBN 0-9673705-7-4 .

Solomon, R.C.(1984). Morality and the Good Life: An Introduction to Ethics Through Classical Sources, New York: McGraw-Hill Book Company.

Perle, S.(2004). "Morality and Ethics: An Introduction". Retrieved 2007-02-13., Butchvarov, Panayot. Skepticism in Ethics (1989).