Friday, January 30, 2015

Uber – Ethical Obligations to Consumers


Uber – Ethical Obligations to Consumers

Uber, a San Francisco based, alternative to tax services, is being sued for the alleged rape of a passenger that used their service in India. The suit states that Uber did not maintain basic safety procedures for its passengers. Uber advertises they have the best background checks available for its drivers; however the driver in this case had multiple arrests for rape and assault in his background. The case alleges Ubers business structure has allowed them in the past to not be liable for what happens from the time of pickup to drop off; any incidents are the driver’s responsibility alone.

What are the ethical issues at the forefront of this case? Does a company have an ethical responsibility to consumers of their product and/or service? Does profit matter more than safety? Do they have an ethical responsibility to advertise with truth and fact or with half-truths and fluff?

Corporations do have a responsibility to their shareholders; this is to turn a profit. Making money is the primary backbone of business. They have a responsibility to their employees to provide a safe non hostile workplace (Beauchamp, 1979, pg 232).  There is also a corporate ethical responsibility to consumers; this is to provide honest information that will allow them to make an educated decision (Beauchamp, 1979, pg 265). This company provided inaccurate and non-complete information to their customer, which allowed them to feel safe. The lack of concern for customer safety over profit is highly unethical and leans towards the utilitarianism school of thought, that there are no natural rights and all actions are motivated by pleasure.

I agree with the philosophy of John Locke, which is frank in its statement that there is a law of nature given to us that provides the morals we should abide by. Basic human rights are protected by the moral code given to us in the Bible, as well as the governmental laws that govern our lands. When a company offers a service, they should be held liable for the actions performed by agents of the company. The driver was not acting on his time, we was acting on the companies time.   Ethical Theory and Business discusses the reasonable expectations of a customer and the vulnerability of the customer, who does not have the full knowledge needed to make a crucial decision (Beauchamp, 1979, p265-267). It is unethical for a salesperson to withhold information that could be important to the decision a customer makes.

The company in this case is taking the necessary steps to repair the breaks in their system and ensure the safety of their customers. I believe that the strategy they are taking in this case will result in an improved product with stronger ethical implications. This is entirely contingent upon the fact that they follow thru with the plans they are making. We as human beings should feel safe in our daily lives, if we are unable to use corporations known worldwide for basic services, such as transportation, without being able to trust their advertising and claims, we are just contributing to the utilitarianism views taking over society.


 References:

Dunfee, T., & Donaldson, T. (2995). Toward a Unifed Conception of Business Ethics: Integrative Social Contracts Theory. The Academy of Management Review, 19(2), 252-284. Retrieved January 30, 2015, from http://www.tulevaisuus.fi/keko/KURSSITIEDOT/jo11_kalvot/DonaldsonDunfee_1994.pdf

Beauchamp, T. (1979). Ethical theory and business. Englewood Cliffs, N.J.: Prentice-Hall.

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