Business ethics of CVS Vows to Quit Selling Tobacco Products

Business ethics is an important thing that the companies must take consider of, as it influences not only the company but also the social welfare of the society.

For example, the CVS caremark stopped selling cigarettes and other tobacco products, instead providing miniclinics and health advice to aid customers visiting its pharmacies. Therefore it exerts positive influences on the consumers as health care is a merit good for them, reduce the possibility for the consumers to get health damage as well. (24% decline of cigarette consumption in Washington because of high tax rate.) However, on the other side, when reducing the amount of cigarettes production, the company suffers, as it had to cut down its selling, so less profit for the producers. (As shown in the article 2 billion decline of selling of tobacco products)

In conclusion, it is the company’s rights to aim at maximize its profit, but when it comes to the moral side, I think the enterprise should consider more aspects when producing goods and services. For example, the health effect on consumers, the influence to the environment etc. Hence, I think they should both take into account of their profit and the effects to the whole society.

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