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Traidos Bank is a British financial institute that prided itself with being, “the world’s
leading ethical and sustainable bank,” (pg 143). Offering 13 different funds in which customers
could invest in, they chose these businesses in which to invest in by a strict criteria. Without
meeting each of the six criteria, you would not be one of their accounts. Roche, a Swiss
pharmaceutical company, met all six of the ethical criteria and therefore was added to Traidos’
portfolio of investments. Roche was doing research in China, testing a drug called CellCept. This
drug is used to prevent rejection of organs in transplant patients. However, Roche was
considered unethical by Traidos Bank because they could not account for where these organs for
transplants were coming from. It was believed possibly innocent prisoners were being murdered
so their organs could be harvested for money. Whether it was with consent or not, the company
believed it was under unclear thinking and bad circumstances they would have made this
decision and thus, they were removed from Traidos Bank’s investment portfolio.
1. Explain how utilitarianism might provide a defense for Roche and how a rights-based
ethic might instead condemn Roche’s drug trials in China. Which of these two
approaches is stronger or more reasonable? Explain the reasons for your answer.
Part 1: Utilitarianism is defined by the text on page 78 as “… a view that holds that actions and
policies should be evaluated on the basis of the benefits and costs they will impose on society.”
A utilitarian would argue that Roche was respecting the Chinese laws by first testing the drugs
on Chinese patients. One could argue that prohibiting the research that Roche was performing
could inhibit future Chinese patients from receiving a drug that could be necessary to sustain life.
Roche’s CellCept had a beneficial plan for the Chinese society in creating a drug to help sustain
life for their specific ethnicity. As a utilitarian, finding a resolution for the greater good is the
most ethical and just decision. The utilitarian might argue that Roche had no control over how
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the organs were harvested. Knowing or not knowing where the organs were originating from
wouldn’t be as important, as long as their end goal of saving lives would be completed.
Part 2: Rights are defined by the text as “individual entitlements to freedom of choice and well-
being, (pg 93).” This may lead a rights based ethic to say that the prisoners from which the
organs were being harvested could not be consenting because they were being held against their
free will. An ethic may also argue that there is no way to know under what conditions the organs
were being removed from such executed prisoners. However since ‘rights’ are up to the
individual, it cannot be determined if the individual is deceased. The conditions of this study are
questionable since there is no way of knowing if the prisoner would of volunteered or declined to
be a part of this study. More so, if the organs are being sold for a monetary profit instead of
Part 3: In reference to which viewpoint being the strongest and most reasonable, this is an
extremely controversial issue. Lives are on the line in both situations. Views differ from person
to person and legitimate arguments can be made for both utilitarianism and rights-based. When it
comes to the right-based ethic, Roche was in violation of the prisoner’s human rights. The
company knew that up to ninety percent of organs came from executed prisoners. The company
should have looked into why the prisoner were executed because some of the them were there
because of their religious belief and the different opinions between them and the governments.
One view is that of the rights based ethic. A utilitarian measures utility of the benefits produced
by an action (pg 78). An ethic could prove that many prisoners being held were not criminals.
They could also prove that many organs were being harvested only for money. The ethic has a
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strong and more reasonable case in this situation. Even though most people in China would have
benefited by keeping the drug, the process of testing the drug was tainted by the violation of
basic human rights that even the people using the drug would have despicable. However, on the
other hand, utilitarianism provides a defense for Roche because the company was looking to
benefit the country of China as a whole given that they were in favor of the medicine that
prevented patients from post-transplant organ rejection. This view would have been a strong
decision for society even though if you would only jeopardize the prisoners. The company felt
that “the greater good would be served by going ahead with its drug tests even though many of
the transplanted organs in its test patients were harvested from prisoners (pg 144)”.
As with the previous question, when you are dealing with rights and the betterment of people and
their rights, there is always more than one view. Both sides of the argument are made in this case
as well. In business we must evaluate decisions along ethical lines and we must address whether
it is worth something ethically questionable for the sake of a greater good. CellCept is a drug
designed to prevent the rejection of transplanted organs. In order to market CellCept in China,
Roche needed regulatory approval that would only be given after the completion of drug trials in
China Roche made a judgment call based on a utilitarian viewpoint of the situation. He was
aware that the patients he was testing CellCept on were possibly living with these harvested
organs. However, it is not Roche’s concern to understand whether these were innocent or
punishable people were killed for an unjust reason. If the drug was not tested on the Chinese
people, it could not be used on anyone of this country, even those receiving organs from family.
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Chinese legislation prevents pharmaceutical companies from determining the origin of the
transplant organ as in many countries. Even though a percentage of the organs of its test patients
had to have been harvested from prisoners, it was not possible for the company to find out the
source of its Chinese patients’ organs. The issue lies among the Chinese who are murdering for
money. The ethical standard of Roche being considered is almost insignificant considering the
ethical behavior of those who were harvesting organs from innocent people.
On the other hand, Roche was “concerned” of the growing controversy because of their
involvement with transplants operations. Despite this, it was not ethical for Roche to continue
testing. Because Dr. Schwan stated that CellCept was a medicine that had save thousands of
patients’ lives, they should continue using it? The fact that the company was violating peoples’
rights was and still is an unethical practice. When a company suspects that it may be acting
Ethics is genuinely a subject that has everything to do with the opinion of the person in
charge or the majority vote. We can all give and let our viewpoints be considered. It seems
almost a toss-up sometimes and the outcome is not always conclusive with our own view. The
best thing is to hold on to your morals and make choices to the best of your ability.
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Reference
Velasquez, M.G. (2012). Business ethics: Concepts and cases (7th ed.). Pearson.