I have a question in regards to ethical business practices. Businesses are conce

Question

I have a question in regards to ethical business practices. Businesses are concerned with their profits, most directly sustaining and improving. One business comes to mind, Apple. Apple has a large amount of cash ($45 Billion held in U.S. and $100 Billion internationally) and yet they charge premium prices for their products. Now my question(s) is, could this be considered greed? and would greed be considered unethical? If greed is considered unethical, then are all businesses in violation of unethical practices?

Explanation / Answer

Hi,

Please find the answer as follows:

Charging premium prices cannot be considered as greed. Apple is engaged in a business that involves constant innovation and requires continous upgradation of techonlogy. It would be right to say that a lot of money is invested in the research and development of its products. All these activities require huge investments and to recover the cost and earn profits, Apple may have to charge premium prices for its products.

If greed results in harm to stakeholders. than it is unethical. For example, fraudulent practices to earn money can be considered as greed and hence unethical.

No, only those businesses which resort to unethical/fraudelent practices to earn money are in violation of unethical practices. Use of improper accounting practices and use of improper means to make profits are treated as unethical and businesses resorting to such measures often violate the principles of ethics.

Thanks.

Related Questions

Navigate

• Browse (All)
• Browse I
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.