The Profitability and Social Responsibility of the Organization

Business Ethics
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May 21, 2021
Understanding the importance of business ethics in real-life situations is essential for any manager. It allows him to have a better insight into balancing between the profitability and corporate social responsibility of the organization. In this article, the author would like to focus on an article about Elon Musk's disobeying the law to re-open the production in his factory. The author believes that despite Musk's intention of obeying the law, he must have considered the potential implications of his decision to all stakeholders.
The article at hand discusses the case of Elon Musk disobeying California and Alameda County Authorities by restarting the production of Tesla Cars in Fremont Assembly Plant despite the dangers and risks of the Covid-19. It was shown that Musk wanted to join his men in the assembly line, arguing that restricting him to participate is a clear violation of his freedom. Nonetheless, Musk also said that PPEs and other health protocols were observed during the said event.
Ethical Effects of Musk's Actions
In line with this, the author believes that Musk's actions were clearly unethical when considering both models of Corporate Social Responsibility.
On the one hand, the Classical Model only states that it is the ethical responsibility of a corporation to earn profit and obey the law. Clearly, Musk's actions were not in line with the health protocols mandated by the authorities, despite the ultimate intention of improving profitability for its invest...