NGOC MINH VY TRAN- BUSI 601 ASSIGNMENT 2

docx

School

University Canada West *

*We aren’t endorsed by this school

Course

601

Subject

Business

Date

Feb 20, 2024

Type

docx

Pages

Uploaded by ProfWillpowerRedPanda32

BUSI 601 – ETHICS CASE STUDY ASSIGNMENT Ethical Dilemmas at Valeant Pharmaceuticals International Inc. Ngoc Minh Vy Tran (2114381) University Canada West BUSI 601: Ethics, CSR, & Business Analysis (HBD-WINTER24-18) Instructor: Keenan Anthony February 23th, 2024 Table of Contents 1

1. Introduction ............................................................................................................................ 3 2. Research Analysis: ................................................................................................................. 3 2.1. Background of the Ethical Business Case ................................................................... 3 2.2. Description of the Ethical Business Case ..................................................................... 4 2.3. Supporting Research ..................................................................................................... 4 3. Personal Reflections: ............................................................................................................. 4 3.1. Selection of the Case Study: .......................................................................................... 4 3.2. Value of the Case Study in Academia: ......................................................................... 5 3.3. Reasons Behind the Ethical Dilemma .......................................................................... 5 3.4. Strategies to Avoid the Situation .................................................................................. 6 3.5. Significance of the Ethical Dilemma ............................................................................ 6 3.6. Lessons for Future Executives and Decision-Makers: ............................................... 7 4. Conclusion .............................................................................................................................. 7 Reference(s) .................................................................................................................................... 8 2

1. Introduction In this research analysis, we will dive into the ethical issues surrounding Valeant Pharmaceuticals International Inc., a major Canadian pharmaceutical company. We will focus on one of the company's biggest ethical dilemmas and examine how it affects how the company is run, how it deals with stakeholders, and its overall approach to business ethics. By looking closely at this case study, we hope to understand why these ethical problems occurred and what lessons can be learned for other companies facing similar challenges in the pharmaceutical industry. Through the analysis, we aim to provide insights that can guide better decision-making and ethical leadership in corporate environments. 2. Research Analysis: 2.1. Background of the Ethical Business Case Valeant Pharmaceuticals International Inc. used to be seen as a big success story in the pharmaceutical world. They were praised for their bold approach to growing and buying up other companies to expand their range of drugs. This helped them become one of the biggest names in the global pharmaceutical market. However, their impressive growth was marred by accusations of behaving unethically, which caused a lot of controversy and led to investigations by regulators. 2.2. Description of the Ethical Business Case The ethical issues at Valeant are centered on accusations of unfair pricing, misleading advertising, and financial misconduct. They were criticized for hiking up the prices of their drugs, finding ways around regulations to maximize profits, and using 3

Your preview ends here

Eager to read complete document? Join bartleby learn and gain access to the full version

Access to all documents
Unlimited textbook solutions
24/7 expert homework help

aggressive marketing tactics. Also, Valeant's connections to specialty pharmacies like Philidor Rx Services LLC raised worries about conflicts of interest and shady billing practices. These ethical problems had serious consequences for Valeant. They faced lawsuits, fines from regulators, and damage to their reputation. This highlights how crucial it is for pharmaceutical companies to have strong ethical leadership and take responsibility for their actions. 2.3. Supporting Research A study by Kesselheim and colleagues in 2016 talks about how pharmaceutical companies pricing their drugs can have ethical issues. They say there should be more transparency and rules about it. Also, a report from the Center for Responsive Politics in 2016 shows how company interests can affect decisions about healthcare and rules. 3. Personal Reflections: 3.1. Selection of the Case Study: I chose the case of Valeant Pharmaceuticals International Inc. because it's a big example of ethical problems in the drug industry. It helps us understand the tricky parts of how healthcare money works, the rules that are supposed to keep companies in check, and how companies should behave responsibly. This case is important for academic research because it's a real-life situation that gives us a lot to think about. The Valeant scandal got people talking about how drug prices are set, who can get healthcare, and 4

how much control the government should have over drug companies. This adds to the ongoing discussions about what's right and wrong in business and government. 3.2. Value of the Case Study in Academia: The case study of Valeant Pharmaceuticals International Inc. is highly valuable in academic circles because it provides a compelling illustration of the ethical issues prevalent in the pharmaceutical industry. By delving into this case, scholars can engage in meaningful discussions about various aspects of business ethics, corporate governance, and regulatory oversight. Moreover, analyzing the complexities of Valeant's ethical dilemmas offers valuable insights that can inform academic research and enrich our understanding of the challenges faced by companies operating in the pharmaceutical sector. This case study serves as a pertinent example that stimulates critical thinking and fosters deeper exploration of ethical considerations in business and regulatory frameworks. 3.3. Reasons Behind the Ethical Dilemma The ethical challenges faced by Valeant Pharmaceuticals International Inc. were likely the result of several factors coming together. These include the pressure to meet financial targets, a lack of openness about their actions, and governance systems that weren't up to scratch. It's possible that the company's leadership put making money above doing what's right, which ended up hurting the people affected by their decisions. This 5

highlights the importance of balancing financial goals with ethical responsibilities to avoid harming those involved with the company. 3.4. Strategies to Avoid the Situation The problems Valeant had with ethics might not have happened if they had better leaders who cared about doing the right thing, were open about what they were doing, and made sure people were responsible for their actions. They could have set up strong rules and guidelines to make sure they followed the law and did what was fair when setting prices, promoting their drugs, and reporting their finances. Also, creating a work environment where honesty, making good choices, and involving everyone affected by their decisions could have stopped bad behavior from happening in the first place. These steps are important for making sure companies act ethically and don't do anything wrong. 3.5. Significance of the Ethical Dilemma The problems at Valeant Pharmaceuticals International Inc. show how hard it can be to do the right thing in the drug industry. They had issues with how they set prices for their drugs, making sure everyone could get healthcare, and making sure they did what they were supposed to. What they did hurt patients and doctors, and made people not trust drug companies or the healthcare system. This also showed that the rules and how companies are run need to be better, and leaders need to be more honest and responsible, so patients are protected and everyone can stay healthy. The ethical dilemma at Valeant has significant implications for society, particularly in terms of access to healthcare and 6

Your preview ends here

Eager to read complete document? Join bartleby learn and gain access to the full version

Access to all documents
Unlimited textbook solutions
24/7 expert homework help

public trust in the pharmaceutical industry. It highlights the need for greater transparency and regulatory oversight to protect the interests of patients and consumers. 3.6. Lessons for Future Executives and Decision-Makers: The circumstances and outcomes of the ethical dilemmas at Valeant Pharmaceuticals International Inc. can inform future executives, leaders, and decision- makers about the importance of ethical conduct, corporate governance, and stakeholder engagement in the pharmaceutical industry. By learning from the mistakes of Valeant and implementing measures to strengthen ethical leadership, transparency, and accountability, companies can mitigate the risks of unethical behavior and contribute positively to society's well-being. Moreover, fostering a culture of integrity, ethical decision-making, and social responsibility is essential for restoring trust, promoting innovation, and ensuring the accessibility and affordability of medications for patients worldwide. 4. Conclusion In conclusion, the ethical dilemmas at Valeant Pharmaceuticals International Inc. highlight the challenges and consequences of unethical behavior in the pharmaceutical industry. Through a comprehensive analysis of the case study, we have gained valuable insights into the complexities of healthcare economics, regulatory oversight, and corporate responsibility, emphasizing the importance of ethical leadership, transparency, and accountability in business operations. By learning from the lessons of Valeant and 7

embracing ethical guidelines and best practices, future executives, leaders, and decision- makers can navigate similar challenges with integrity and contribute positively to society's well-being. Reference(s) (1) Brian Calliou and Cynthia Wesley-Esquimaux. “A Wise Practices Approach to Indigenous Community Development in Canada (Chapter 1).” Restorying Indigenous leadership, wise practices in community development, 2015. https://www.banffcentre.ca/sites/default/files/Lougheed Leadership/Research/Indigenous/2_Chapter_1.pdf (2) Government of Canada (2018).” Indigenous history in Canada”. https://www.rcaanc- cirnac.gc.ca/eng/1100100013778/1607903934135 (3) Janet K. Viader. Globalization and Its Impact on Indigenous Cultures. https://leadthechange.bard.edu/blog/globalization-and-its-impact-on-indigenous- cultures (4) Robert B. Anderson, Leo Paul Dana, Teresa E. Dana. “ Indigenous land rights, entrepreneurship, and economic development in Canada: “Opting-in” to the global economy.” 8

Journal of World Business. Volume 41, Issue 1, February 2006, Pages 45-55. https://doi.org/10.1016/j.jwb.2005.10.005 (5) Robert B. Anderson (1997) . “ Corporate/indigenous partnerships in economic development: The first nations in Canada”. World Development, Volume 25, Issue 9, September 1997, Pages 1483-1503. https://doi.org/10.1016/S0305-750X(97)00050-8 (6) Sengupta, Ushnish (2015). “Indigenous Cooperatives in Canada: The Complex Relationship between Cooperatives, Community Economic Development, Colonization, and Culture”. Journal of Entrepreneurial and Organizational Diversity, Vol. 4, No. 1, (2015): 121-152. https://ssrn.com/abstract=2639146 9

Your preview ends here

Eager to read complete document? Join bartleby learn and gain access to the full version

Access to all documents
Unlimited textbook solutions
24/7 expert homework help

NGOC MINH VY TRAN- BUSI 601 ASSIGNMENT 2

Related Documents