The article reveals some bad examples of business ethics displayed by big international companies including McDonald’s, Nestle, Walmart, CitiBank and Mattel. Each of those companies have been revealed to be performing acts that breach the code of business ethics through various methods for the sake of increasing company profits.
McDonald’s in this context has breached the code of business ethics by being able to pay teenage employees a wage rate 20 percent lower than the minimum wage. This legislation was invoked after the founder of McDonald’s made a donation to Nixon’s reelection. Towards McDonald’s the lower wage rate will serve as a means of reducing costs increasing profits. However this is unfair to teenage workers who will be at a disadvantage with less spending power and ability to consume.
Another example of abusing employees will be Walmart where they force overtime onto workers without paying them extra or provide health insurance. They even force suppliers into selling for unfavorably low prices and indulge in self defeating practices.
Both of these companies act on the sole reason of increasing profits, even if that were to be achieved, the well being of the company is always put ahead of the stakeholders. If more similar acts were to be conducted, both companies may face a worsened reputation which may lead to their downfall.
http://www.brighthub.com/office/entrepreneurs/articles/115557.aspx