Scandal DetailsEthical Issues and Supported Theories Friedman's PerspectiveMilton Friedman's view is that in a capitalist economy there is one and only one responsibility of businesses: to use their resources and engage in activities designed to increase their profits. Businesses do not have a social responsibility to promote desirable social ends. A corporation is an artificial person. The corporate manager is the agent of the individuals who own the company and their primary responsibility is to them. Company directors have a fiduciary responsibility to act in the best interests of shareholders. Managers are agents of the shareholders and therefore have a moral obligation to manage the firm in the interests of the shareholders, which of course is to earn as much money as possible and maximize the wealth of the shareholders. Shareholders are the owners of the organization and therefore the profits belong to them. In conclusion, Friedman believes that business is about maximizing profits. He suggested that a healthy company must not only be ethically good, but also economically good. Overall, as stated in the article, companies must earn profits without breaking the rules of the game (D. Murphy, Class Lecture, January 17, 2014) Friedman's desire for companies to maximize profits within the law has been damaged by these gigantic security data breach. The people who stole customers' information and identities not only broke the law, but also harmed Target's business. Thousands of customers were outraged by this massive security breach. Target has lost a lot of customers and finds all sorts of ways to keep them loyal. Even though Target has done everything it can, customers are still moving to other alternatives. According to… half of the document… according to Kant, the result that the systems were not fixed immediately, does not mean that Target has the intention of deliberately avoiding using the right information and technology to protect customers. Target has strived to maintain customer loyalty and meet their needs. So, from Kant's point of view, with the good intention of protecting customers and maintaining good customer relations, Target Company is ethically good. Utilitarian Perspective Utilitarianism aims at a goal of maximum happiness and justifies any act that achieves that goal. It is a consequentialism, which means uniquely, completely outcome-based. This ethical concept believes that the greatest good is for the greatest number of people. So the right thing to do is to bring the best and greatest happiness to the majority, and it is necessary to prevent the greatest amount of unhappiness.
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