Ethics are a collection of principles of right conduct that shape the decisions people or organizations make. In a market economy, a business put all possible effort in its own best interest in order to make the best profit. In other hand, businesses are involved each other in that process. It’s ethical in business to do the best possible for your own business without harm the interests or profits to other businesses involved. Ethical behavior is what all carrier people should have in all businesses. Differentiates between right and wrong exist in businesses, especially when sell a products for profit. There are certain rules to be followed in that meter. It’s unethical to send photographs or copyright of a company to a competitor without its knowledge of it. It was very unethical for Normandale to sell the alleged knock off products at a lower price, especially to a competitor. A counterfeit product is defined as a product that had been illegally duplicated to appear identical to the genuine product (Ha & Lennon, 2006). Normandale knew it was wrong to have someone else produce a counterfeit product and sell it for a lower price. Mathis has a right to complain, because the act was unethical regarding his own company, and was against business ethics rules. A violation is to break the law in certain way. A violation in business is to take actions against other businesses. The violation that Normandale did wasn’t only sending photographs and samples of the Mathis line to CLA (as a competitor). He instructed CLA to make an identical line in a lower price and to attach Mathis’s label on it. Also Normandile did another violation selling the knock-off products in a lower price to make their own profit. The counterfeiting crime is considering white collar crime. A white collar crime is a “crime committed by a person of respectability and high social status in the course of his occupation” (Edwin Sutherland, 1939). When people do things, consequences come shortly...
References: Don, Robert L., Recovery of Damages for Lost Profits, 5th edition, 1988
Edwin Sutherland, 1939
Ha& Lennon, 2006
University of Phoenix, 2007
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