Business Ethics

Dart Energy is a company who is currently fracking in Scotland to retract natural gas, specifically methane gas. This has been a huge ethical debate, getting the mayor of scotland involved due to so many protests including people starving themselves, tying themselves to fences, and refusing to come down from trees in areas they need to clear out. This is a prime example of a lack of corporate social responsibility as DartEnergy has not thought about the negative affects that this has on their company. Environmentalists will not choose DartEnergy as their energy source causing them to lose business. The constant news articles also gives the company a bad image which will cause a further decline in sales or potentially a ban on fracking in the area for an extended period of time which would obviously halt production and therefore sales. This example also relates to the stakeholder effect as many stakeholders (particularly stakeholders living in the areas that are being torn apart) are unhappy and therefore causing problems for the business. Also, employees are starting to leave, including the CEO, CFO and many admin workers (according to a source in the headquarters in Singapore) as they do not want to be associated with the business.

 

http://www.bbc.com/news/uk-scotland-tayside-central-26625385

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