Part 1
Amazon has been the world’s online retailer over the past few years. Its presence is felt through its business interactions at a global level. However, it is more prevalent in the United Kingdom. The Mega Corporation is pervasive, and consumers are yet to identify another better alternative. Amazon is at the peak of its operations. In the past, it was ranked the first position in performance and company rating. However, recently, there has been a change. The corporation is accused of gross ethical misconduct.
Ethical concerns are on the environment, employment practices, tax and politics, and lastly, animal rights.
Companies are expected to perform in a manner that promotes a safe and clean environment. In the 2019 sustainability report, amazon got poor environment rankings. The company filed to offer information on the environmental impact of electronic products. The corporation further failed to offer information on chemicals used in apparel production. The toxic chemical is hazardous and has a negative environmental impact. The company is thus considered as one environmentally irresponsible, which is against ethical considerations.
Tax remission is part of company expectations for the government. Each company remits a certain amount of tax depending on its operations and the amount of income generated from business operations (SSadiq and G Governatori 2014, pp 265-288). The government uses a generated tax to offer essential services such as education and quality healthcare to its citizens. Amazon is a serial tax avoider. The company has long been associated with failing to pay taxes. In some states, the company does not remit sales tax. Estimates have it that had the company been paying tax. It would have remitted a $ 20.4 sales tax since its inception to 2015. The company fails to pay federal taxes through its aggressive tax planning, where all profits are invested back to the business operations. Over the past five years, the company has paid 11.4% of $ 8.2 billion in profits. The figure is an estimate of a third of its total tax payment dues.
Companies should offer equal employment practices. The working environment and payment systems should abide by human rights stipulations and laws on salaries and wages. Despite amazon being a mega-corporation, the company is known for employee exploitation(J Boewe, and J Schulten, 2017 pp26-76). The company offers less than the stipulated average wage. For example, an average warehouse employee earns $40,000. At Amazon, the same employee is paid $23,400, which is way below the average. The employee’s working environment is harsh, which compromise employee’s health and rights. Chinese employees who were hired on a contract and temporary basis were subject to discrimination and mistreatment while at the workplace. All the mentioned misconduct is against ethical considerations that promote practice with dignity and respect for human rights. Thus, its misconduct remains an issue of unethical practice, which continues to influence company ratings.
Companies have different sources of raw materials. The sources should be environmentalfriendly (WH Shaw, V Barry, 2015.pp 337-343).
Amazon deals with a variety of products that are sourced from different areas. In August 2018, there was a consideration program which overlooked into amazon’s policy on materials. It was found that the company maintained its stand on the sale and use of materials such as angora, fur, silk, and merino wool. The company advocated for the sale of the mentioned materials even though the production of such materials involves killing and animal exploitation. Such practices make the company lose ratings under the animal rights category since it is considered unethical.
From the evidence provided, amazon is Mega Corporation earning considerable high profits. Despite its vast profits, the company engages in unethical practices through its employment practices, product sales, and failure to remit taxes as per the requirements.
Part 2
The public is an influential business stakeholder. The public has the power to build or damage a business empire. Through joint activities, the public acts as a guide in ensuring that business operations are run ethically and respectably. Amazon, a mega-corporation, is known for its exemplary performance and dominance in the business field. Its long term dominance makes some people feel that Amazon is the only shopping option (Aashutosh et al, 2015, pp. 5107-5110). Thus, they feel restricted to shopping options. Amazon operates its business operations in a manner that violates ethical considerations. Thus, it is their role of the public to ensure that the company operates primarily without violation of employees or consumers. Amazon should adopt new management practices that will help and guide its overall performance while aiming to improve its ethical practices.
One, Amazon should uphold the better public policy. Employment practices should be well enforced through the current laws. For example, the wage should be per the minimum wage requirement. The working condition should also foster productivity while focusing on personal and company objectives aligned with respect and recognition of equal human rights. The working environment should not promote discrimination practices irrespective of the country of origin or the employment terms. All the company operations should be guided by justice and the right performance.
Two, the company should maintain a better tax reporting program. Amazon should join other businesses that are on the frontline in campaigning for change. The company should embrace change and act in the right and just manner while upholding company integrity and fairness (Karl S, 2015, pp. 314-324) The Company should embrace transparent tax remission systems that will enable it to fulfill its requirements and expectations from the government and citizens. The change will enable the company to have better ratings that are considered more ethical.
Three, Amazon should promote support unions.
Consumers and employees are essential to the success and survival of any business venture. Their concerns directly relate to the company. Employees should be given the freedom to come up or join already exiting employee unions. The primary role of employee unions is offering employee representation in various forums. For example, unions advocate for the right working conditions and equal compensation. They further ensure that employees are not subject to any form of violation. Further, they provide better negotiation power and thus ensuring that employees receive human treatment and gain equal economic benefits to their efforts.
Lastly, consumers should boycott amazon. During product boycott, consumers should make the company understand their significant concerns, such as consumer’s exploitation through high pricing and sale of counterfeit products. Also, they should make the company aware of their union on tax avoidance and environmental negligence. Consumers should seek other alternatives that are at the local level or large shopping malls which adhere to ethical considerations. Product boycott should be a means of attracting the company’s attention (Usep, 2018 pp.87). Thus, the company is expected to change and adopt better business operations practices that foster human rights, perform in the right manner, and work under a framework of justice and fairness to all.
The objectives of any business operations are to provide goods and services and gain profit in return. Businesses have a set of conduct that they are expected to follow. However, some businesses fail to operate under set conditions. Instead, they operate in an exploitative manner that is likely to compromise some of its long term objectives. Misconduct leads to unethical practices that violate the set of ethical codes. Businesses are advised to carry o business operations that foster integrity, justice, fairness, and recognition of human rights. And thus foster a conducive working environment for the business and the community at large.