Ethical Issues in Driverless Cars

Ethical Issues in Driverless Cars

Table of content

1.0    Introduction. 2

2.0 Ethical Analysis. 2

2.1 Ethical issues associated with automated vehicles. 2

2.2 Key stakeholders of the ethical issues. 4

2.3 Relevant ethical views of the stakeholders. 5

2.4 Assessment of personal values. 6

3.0 International Codes of Ethics. 6

3.1Evaluation of code of ethics. 6

3.2 Comparison of the ethical codes of conducts. 8

4.0 Conclusion. 8

References. 10

 

 

1.0    Introduction

Furlan, Cabigiosu, and Camuffo (2014) argue that technological changes in the past decade have brought numerous transformations in the lives of people in different aspects. In the early 1960s, the idea of the driverless car was considered as an interesting idea to be implemented by mechanics. However, companies such as Tesla have been able to develop the driverless cars. This enhancement in the industry has however raised ethical concerns on the issue revolving around the driverless cars. Taking this into account, this paper focuses on a conceptual analysis of the ethical issues surrounding driverless cars. As such, the paper discusses the ethical analysis and the code of ethics upheld by different organisations regarding the case of developing automated cars and the control systems used in governing the cars.

2.0 Ethical Analysis

2.1 Ethical issues associated with automated vehicles

Irrespective of the fact that there are a variety of benefits of driverless cars, there are as well ethical considerations that need to be taken into consideration. As elucidated by Maurer and Winner (2016), the precise calculations that are made by driverless cars have been useful in saving lives since human error has been blamed for the death as a result of accidents. Nonetheless, there is ethical issue involved with the automated vehicles. For instance, in cases of an accident, who should be deemed responsible, does the car company needs to take responsibility for the accident? Is the software application the one to blame or the driver is liable? As such, one of the issues is that it is difficult to ascertain the main algorithm that is used for avoidance of an accident. Besides, the drivers as well may not be in a position to distinguish the expectations that are required of them when a decision on the accidents is faced. The ethical issue of what is known and not known involves a dilemma such that when an accident occurs, the case of negligence of the driver is vague since there is lack of a standard position that the driver stands.

Secondly, the organisations involved in the manufacture and processing of automatic vehicles are obligated to ensure that their franchises are secured. In this consideration, the companies will be forced to hire individual mechanics with the knowledge on the development of the automatic vehicles. In light of this, Goodall (2014) adduces that the mechanics should be able to understand the operation and the manufacturing of automatic vehicles. The ethical issue in this regard is the increasing cases of loss of jobs. Moreover, there will be a reduced need for drivers and hence add to the burden of the loss of jobs in the community. The other ethical issue is on the financial resources that will be needed for the development of an innovated infrastructure. This is attributed to the fact that the government will need to develop roads and highways that can accommodate the normal cars as well as the driverless cars. Moreover, there will be a financial need for the building of the cars as well as for the provision of the technology.

2.2 Key stakeholders of the ethical issues

The stakeholders in the three ethical issues can be enumerated as the government, the drivers, the community, the auto companies, and the mechanics. In relation to the ethical issue of the loss of jobs, drivers who are currently working as drivers for non-automatic vehicles are put in a position that compromises their standard of living due to the reduction in their income. Along these lines, the drivers may appreciate the availability of a software application to help in driving cars and hence reducing the risks of accidents but are in dilemma for their losses. On the other hand, the community that makes use of vehicles in their day to day operations is appreciative on the invention but there are ethical issues in relation to the cost of using the available modes of automatic vehicles.

The government has an obligation of ensuring that the services that are offered in the transport industry are delivered in the right way to the community. However, Lin (2016) asserts that there are countries like the United States of America that have specific law necessitates an individual should be in control of their vehicle. As such, the government is tasked with deciding on issues such as motivating the manufacturers of driverless cars or should it motivate the companies to manufacture more cars requiring drivers to help in improving the employment rates of the people. Furthermore, the mechanics with the knowledge of the operation of the software application installed in the driverless cars are tasked with a responsibility of eliminating the others in their work capacity. As such, their employment is dependent on unemployment of the other individuals without knowledge of the complex operation of driverless cars.

The auto companies as well are tasked with the decision making regarding the teaching of communities on the operation of driverless cars. As such, the auto companies rustle with the idea of focusing on their revenue improvement or training users on the complexities and operation of the cars. Furthermore, the auto companies are tasked with the dilemma of deciding on who should be employed and who can be unemployed. This is an ethical issue regarding the employments and job availability for the operators. Furthermore, the organisation tussles with the fact that there is individual driver who will be unemployed as a result of their innovation. Nonetheless, the companies are obligated to follow the advancement in technology and hence take on with the manufacturing of driverless cars. On the other hand, the government takes the decision of allocating resources for the development of roads and highways to accommodate the driverless and the normal cars to operate. Moreover, the community, drivers, and mechanics are obligated to take the initiative of learning on the new technology for reducing the cases of accidents.

2.3 Relevant ethical views of the stakeholders

The auto companies have the obligation of adhering to the technological advancements including the use of driverless cars. The Manufacturing of driverless vehicles by companies like Tesla is an ethical principle that is referred to as deontology. As elucidated by Reynolds (2003), the deontological view means that the there is a difference between what is right and what is wrong and does not lead to the change in the consequences. As such, the decision of the auto companies to develop the driverless cars will help in increasing the revenue of the organisation as well as the helping in reducing the number of accidents involving cars that are not driverless.  The companies as well have used the relativism. In this regard, the companies have made the decision of following the process of developing the cars to help in improving the revenue. In regard to the employment of drivers and mechanics, the companies consider that there no single ethical truth and hence each of the undertakings is considerably true.

On the other hand, the government has used the view of justice ethics and hence ensures that the alternative that is taken allows the parties involved to have equal benefits as well as the risks. The government as well makes use of universalism and hence there is a single truth and taking the initiative of developing the infrastructure is one way of ensuring that the community and the companies benefit from the decision made. Furthermore, the government has employed the view of ethical pluralism. In this consideration, the government has made a decision on varying views and pressure from different viewpoints among the community and companies. Regarding the drivers and the mechanics, the view used is on virtue ethics where the focus is mainly on the individual actors as well as the character traits of the actors. From the analysis, it can be deduced that the companies are right in their view. As such, the considerations made may not be ethically correct but are considered as the contingencies.

2.4 Assessment of personal values

The ethical issue in the case of jobs that are lost by the mechanics and the drivers is one of the critical issues that should be taken into consideration before the final decision to fully adopt the driverless cars. Personally, the issues can be resolved by having the view of justice ethics. As such, there is a need for consideration of the fairness regarding the organisation revenue that will be earned, the percentage of reduction of accidents and the level of standards of living of the drivers and the mechanics.  In relation to the issues on the logical understanding of the way that the driverless vehicles operate, the view taken is on relativism. As depicted by Reynolds (2003), relativism view eludes to the fact that there is no single ethical truth. As such, the process of making a decision on the software application’s logical operation supports the necessity for one to consider all the available options before making a conclusion.

3.0 International Codes of Ethics

3.1Evaluation of code of ethics

The Australian Computer Society (ACS) upholds a variety of ethical conduct behaviours that are followed by the employees in the organisation. As such, the organisation has a responsibility of ensuring that there is a peaceful coexistence of the community and the body. In this consideration, as a professional, the members are obligated to act in a professional manner while undertaking different actions that affect the clients, employer and the employee. This implies that the members of the body will always act in accordance with the interests of the clients as well as the employees. Moreover, the community is taken into consideration while making a decision on conducting the different actions. Furthermore, the members of the body are obligated to act diligently and aim at making improvements on the quality of life of the affected people. In regard to the use of automated vehicles and control systems governing them, the industrial body views it as a way of improving the quality of life of the affected individuals as well as an enhancement to the professional development.

On the other hand, the Association for Computer Machinery (ACM) could render an evaluation on the use of automated vehicles as well as the control systems governing them as well in the view that the actions of the process should not affect the others. As elucidated by Wolf (2016), the group upholds that one of the codes of conduct that should be respected is avoiding harm to others in any of the actions of the members. In addition, the groups support that there is a need for clients, to be honest and trustworthy in the actions during their operations. Along these lines, there is a need for all the stakeholders affected by the manufacturing of the new driverless cars should be well informed of the repercussion of the actions as well as the advantages that are foreseen. Besides, the body argues that the other code of conduct that is upheld is the need for all members to be fair and avoid any discrimination.

The other international group that is considered is the British Computer Society (BCS). O’Leary (2016) argues that the code of conduct of British Computer Society (BCS) is a professional standard that is necessary for all the members to uphold and is applicable to members in all positions. One of the codes of ethics that is upheld in the organisation is the requirement of developing a professional knowledge and ensuring that there are respect and value for the available differing points of view. Along these lines, it can be deduced that the organisation could render that the use of automated cars and the control systems governing them should improve the knowledge of the members and should not affect the living standard of others. Furthermore, the implementation should have minimal cases of conflicts.

3.2 Comparison of the ethical codes of conducts

The major similarity between the three ethical codes of conducts for the three organizations is that all the organisations take into consideration the impacts of their actions on the quality of life of the affected clients. As such, the actions that are undertaken should not affect the quality of life of the employees or the employers. Moreover, the actions undertaken by all the organisations uphold the fact that the knowledge of its members should be improved. Nonetheless, there are differences between the ethical codes of conduct of Australian Computer Society (ACS), Association for Computer Machinery (ACM), and British Computer Society (BCS). Although British Computer Society (BCS) supports the improvement of knowledge of its members, it is worth mentioning that the organisation further requires that the members are needed to undertake an activity for developing their profession. On the other hand, Australian Computer Society (ACS) takes the initiative of allowing the members to create the necessary awareness regarding their actions and hence allowing the members of the community to have knowledge on the different aspects of the operation. These differences are attributed to the different standard of services that are offered by organisations as well as the differences in goals and missions for each of the organisation.

4.0 Conclusion

In conclusion, it is deducible that technological advancements have brought features that have been useful in the car manufacturing industries. As such, there have been enhancements that include the development of driverless cars. However, this has called for different ethical questions. From the discussion, the ethical issues that have been nominated include the fact that there are cases of loss of jobs by the mechanics as a result of the need for companies to employee mechanics with knowledge in the complex operation of the automated cars. Moreover, drivers are affected due to the introduction of the cars. The other ethical issue put forth is the lack of enough knowledge on the operation of the driverless cars. In addition, the ethical issue of the necessary financial resources is as well critical. As such, the companies tussle with the idea of making use of resources available to develop new models.  The companies using the idea of relativism is considered correct in the ethical issue on deciding between the implementation of automated cars could be beneficial.

 

 

 

 

 

 

References

Furlan, A., Cabigiosu, A., & Camuffo, A. (2014) When the mirror gets misted up: Modularity and technological change. Strategic Management Journal, 35(6), 789-807.

Goodall, N. J. (2014) Machine ethics and automated vehicles. In Road vehicle automation (pp. 93-102). Springer International Publishing.

Lin, P. (2016) Why ethics matters for autonomous cars. In Autonomous Driving (pp. 69-85). Springer Berlin Heidelberg.

Maurer, M., & Winner, H. (2016) Autonomous driving: technical, legal and social aspects. Springer Publishing Company, Incorporated.

O’Leary, D. E. (2016) Ethics for Big Data and Analytics. IEEE Intelligent Systems, 31(4), 81-84.

Reynolds, G. (2003) Ethics in Information Technology, Thompson Course Technology,  Boston, Ma.

Wolf, M. J. (2016) The ACM code of ethics: a call to action. Communications of the ACM, 59(12), 6-6.

 

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Analysis of Aldi in the Grocery Retailing Industry in Australia

Analysis of Aldi in the Grocery Retailing Industry in Australia

Executive summary

This report has focused on Aldi in the grocery retailing industry in Australia. From this report, it has been established that Aldi has witnessed a significant growth in the grocery retailing industry in Australia (Mortimer 2016, p.39). This has been attributed greatly by its high quality products as well as low prices. This report has revealed that despite the fact that there are various external factors affecting Aldi, the stiff competition in the grocery retailing industry in Australia has presented a significant impact to the company. Taking this into consideration, it has been established that Aldi has been facing stiff competition especially from the two large supermarkets; Woolworths and Coles. For the purpose of increasing its market share in light of the stiff competition in the industry, Aldi has been offering its products at relatively lower prices.  When it comes to ethics and corporate social responsibility, Aldi had over the years engaged in various socially responsible ways including donation of foods and electronics and conservation of the environment. In relation to the organisation culture of Aldi, it established from this report that the company has developed a strong organisational culture where the needs of employees and customers are valued.

 

 

Table of Contents

1.0 Introduction. 2

2.0 Organisation purpose of Aldi 2

3.0 Specific external environment of Aldi 3

4.0 Aldi’ s corporate social responsibility and Ethics. 6

5.0 Aldi’s internal culture. 8

6.0 Conclusion. 9

References. 11

 

 

 

 

1.0 Introduction

Established in 1946 in Germany, Aldi is one of the leading global supermarket chains. In this view, the supermarket has more than 10000 stores in 18 different countries across the world. In Australia, Aldi is considered as the third largest supermarket after Woolworths and Coles. Despite the fact that it is a foreign supermarket, Aldi has witnessed a significant growth in Australia despite the stiff competition in the industry. Taking this into account, this report seeks to explore Aldi in the grocery retailing industry in Australia. The first section of this paper explores the organisation purpose of Aldi. The second section analyses the aspect of competition as a specific environment factor affecting the company. The third part of this report explores the ethics and CSR of the company. The fourth and last part explores the internal organisation of the company in terms of organisational culture.

2.0 Organisation purpose of Aldi

According to Robbins et al. (2016, p.93), every organisation usually has its own purpose, which is depicted in the mission statement. Defining the organisation’s mission plays a fundamental role in helping managers to ensure that business operations are in line with its scope (Hollensbe et al. 2014, p.1230). Taking the case of ALDI into consideration, the company has a well defined purpose which is depicted in its mission statement “To provide customers with incredibly high quality at impossibly low prices”. In this view, it can be noted from the mission statement that the purpose of ALDI is to provide its customers with quality products at significantly low prices. From this perspective, it is deducible that despite the fact that ALDI is dedicated to offer its products at low prices, it is profit organisation. Therefore, from the mission statement, it is with no doubt that ALDI has is determined to make profits. However, in order to attract more customers, ALDI is committed to provide high quality products to the customers at fair prices.  This explains why the company has become recorded increased profits over the last couple of years.

3.0 Specific external environment of Aldi

The external organisation environment usually takes into account the various factors, forces, events, conditions, as well as situations outside the organisational boundary can affect it considerably.  This is according to Robbins et al. (2016, p.34-38), who has added that the external environment is made up of two main components. These are general and specific environment.  The general environment normally consists of a wide range of broad political, technological, sociocultural, economic, and global conditions.  On the other hand, according to Jovanovic (2015, p.146), the specific environment of an organisation consists of groups, individuals, as well as organisations that an organisation interacts with at the business level.  As argued by Robbins et al. (2016, p.34-38), factors in the specific external environment have been seen to have direct as well as immediate impact on the operations and performance of the organisation.  In most organisations, Ebert et al. (2014, p.34) have argued that the specific environment usually includes suppliers, customers, competitors, government agencies, industry regulators, employees, as well as labour markets. Taking this into account, when it comes to the case of ALDI, its specific environment consists of the aforementioned stakeholders. Nonetheless, competitors have been seen to have one of the most significant impacts affecting the company.

According to Jovanovic (2015, p.146), competitors have been defined as individual or organisations that a particular organisation competes resources with.  Nonetheless, as Franz and Kirchmer (2012, p.56) argue, the most prevalent form of competition is usually for customers. This implies firms in the same industry competing for customers.  In light of this, Morgan (2017) has explained that over the last few years, ALDI has faced fierce competition in the retail industry in Australia. On this, it has been found that there are various firms that operate in the retail industry in Australia.  Despite the various firms in the industry, the main competitors of ALDI as at 2017 are Woolworths and Coles.  According to Li et al. (2017 p.13), the ongoing price war in the grocery retailing industry in Australia has continued to affect firms in the industry significantly the last one year. Notwithstanding the fact that grocery retailers have continued to be dominated largely by Woolworths and Coles, Aldi has over the last one year continued to challenge the position of these two large supermarkets.  In light of this, for the purpose of acquiring a considerably market share in the grocery retailing industry in Australia, Aldi has considered the use of low-price model which has included its comprehensive private label range. As such, a recent survey has revealed that the position of Woolworths and Coles has been contested formidably, with more consumers now shopping at Aldi. Consequently, most of the supermarkets in the industry have engaged in substantial price war during the better part of 2017. This has to a considerable extent affected the performance of the firms in the grocery retailing industry in Australia.  The figure 1 below shows the market share of the main players in the industry over a period one year.

Figure 1: Market share of Australian supermarkets

Source: Morgan (2017)

According to Li et al. (2017 p.13), stiff competition within a given industry typically influences the products as well as prices that an organisation offers. Therefore, when it comes to Aldi, the presence of large and powerful competitors in the grocery retailing industry in Australia has forced the company to adapt the competitive strategies aforementioned. Owing to the fact that price is one of the main considerations of consumers, Aldi had been in a position of attracting more consumers over the last one year. Despite the fact that low prices of products usually insinuate lower profit market, the large customer based that Aldi has gained has helped the company greatly increasing its profit margins. As Morgan (2017)  projects, with possible entrance with larger supermarket chains in the near future including Tesco, Aldi will have to put more competitive strategies into place. This will help the company to maintain or increase its market share in the grocery retailing industry in the country.

4.0 Aldi’s corporate social responsibility and ethics

According to Robbins et al. (2016, p.52), ethics and social responsibility have been considered to be key pillars in any organisation craving to have a competitive edge. This is owing to the fact that the society usually expects organisations to behave in ethical as well as socially responsible manners. According to Ebert et al. (2014, p.34), corporate social responsibility has been defined as the organisation’s initiative of assessing as well as taking responsibility for the company’s impact on social and environmental wellbeing. This sentiment has been echoed by Carroll and Shabana (2010, p.96-100), who has posited that corporate social responsibility typically takes into account the organisational efforts that go beyond what is required by the regulators. This, as illustrated in the figure 2 below is usually in form of community involvement, environmental action, as well as economic growth. For most organisations, the overall aim of corporate social responsibility is to achieve a positive impact on the society as a whole while maximising on the creation of shared value in relation to the business owners, shareholders, employees, customers, as well as other stakeholders. Therefore, despite the operational costs that are incurred in conducting various corporate social responsible activities, Franz and Kirchmer (2012, p.56) have explained that it is usually beneficial for the success of an organisation in the long run. Taking this into account, when it comes to Aldi, corporate social responsibility has become one of the core aspects of the company.

Figure 2: Aspects of CSR

Source: Ebert et al. (2014, p.34)

According to Mortimer (2016, p.39), over the last couple of years, Aldi has taken its responsibility in the community with a lot of seriousness. Being one of the largest retailers in Australia, Aldi has considered acting upon its social obligations to the customers as well as to the wider community.  The company has been selling products that have been made responsibly and ethically in respect to the environment as well as workers (Aldi 2017). The corporate social responsibility principles of the company usually represent the binding framework for the various activities of suppliers, employees, and business partners in all the areas of operations.  A survey conducted by to Li et al. (2017 p.13) has revealed that Aldi has had a strong focus on corporate social responsibility over the last few years. As such, the company boasts of sustainable sourcing if products, which are free from additives as well as artificial colours.  Additionally, Aldi has considered partnering with community and local charity group across the country.  On this, the company has been donating products to food bank as well as similar organisations. The company has also been donating electronics and clothing to charity. In attempt to protect the environment, Aldi gas been recycling all plastics as well as cardboards from stores and warehouses (Aldi 2017). The company has also considered the use of reusable drink trays. This has greatly played a huge role in ensuring that non-biodegradable products are not disposed to the environment, which would otherwise present a substantial harm to the environment. Additionally, it has helped greatly in reducing waste, thus reducing the overall operational costs of the company.  According to Mortimer (2016, p.39), over the last few years, Aldi has also worked with suppliers for the purpose if ensuring that foreign workers are able to meet the minimum requirements of the company. It has been noted that the managers of the company have been personally participating in a number of CSR projects over the last few years. This has greatly helped the company in enhancing the CSR culture among its stakeholders.

According to to Li et al. (2017 p.13), Aldi have understood that long term success of a business is usually realised through operating responsibly. As an international company, Aldi has becoe obliged and committed to responsible as well as lawful conduct. Therefore, the operations of the company have been in line with the set rules of the industry including the ones set by Food Standards Australia New Zealand (FSANZ).

5.0 Aldi’s internal culture

According to Jovanovic (2015, p.146), organisational culture is usually inherent to the success of any organisation. In this view Robbins et al. (2016, p.42) has described organisational culture as the shared values, traditions, values, as well as ways  of doing things within an organisation, which influence members in that organisation behaves. This has deen depicted in the figure 3 below. Taking this into account, organisation culture typically reflects the mission as well as vision of the organisation founders. Therefore, organisational culture has been found to establish the internal environment of an organisation through defining for employees and managers the important behaviours within the organisation. From this point of view, Franz and Kirchmer (2012, p.56)  have explicated that organisation culture normally acts as the form of control system for the purpose of promoting the behaviours that the organisation considers important while discouraging the behaviours that the organisation does not entertain.

Figure 3: Aspects of organisational culture

Source: Franz and Kirchmer (2012, p.56)

When it comes to organisational culture of Alda, the company has developed its organisation culture over the years, and it has now become an integral part of the company. The organisation culture of Aldi has o a considerable extent been related to customer service, employees, and managers. In regards to customer service, the culture of high quality as well as strong customer orientation has manifested itself in the company. On this, over the years, the company has been committed in ensuring high levels of customer satisfaction. If a customer does not like a good, the company takes it back easily. This has helped the company in enhancing its relationship with the customers. In relation to employees, Mortimer (2016, p.39) has found out that over the years, Aldi had advocated for teamwork within the organisation. On this, most employees usually work as a team, which has helped the company realising its goals easily. However, in line with the Hofstede’s cultural dimension in Australia, there individualism levels stands at 90, Aldi usually assess individual contribution of employees. In addition to this, if job performance of an employee is inadequate, the effort made by the individual does not count.  When it comes to the managers, they have found to provide a conducive environment for the employees.  On this, the managers of the company usually provide detailed explanation for their decisions. This makes it easier for the employees to establish healthy working relations with the managers.

In reference to the personal insights quiz “What’s the Right Organisational Culture for Me? by Robbins et al. (2016, p.46), four of the aspects that I have scored 5 are in accordance to the organisational culture of Aldi.   From this point of view, it is with no doubt that Aldi is the best organisation for me. This is because its values tally with my beliefs and ideologies to a large extent. Therefore, integrating with the organisation culture of the company will be easy for me.

6.0 Conclusion

In conclusion, it is can be deduced that over the last few years, Aldi has witnessed a substantial growth in the grocery retailing industry in Australia. In this view, the company has been offering high quality products at fair prices. From the above, it has been seen that despite the fact that there are various external factors affecting Aldi, the stiff competition in the grocery retailing industry in Australia  has presented a  substantial impact to the company Precisely, despite the fact that there are various firms in the industry, Aldi has faced competition for Woolworths and Coles. In reiteration to this, Aldi has been offering its products at relatively lower prices.  In regards to ethics and corporate social responsibility, Aldi had over the years engaged in various socially responsible ways including donation of foods and electronics and conservation of the environment. When it comes to the organisation culture of Aldi, it has been seen that the company has developed a strong organisational culture where the needs of employees and customers are taken into account. As such, the organisation culture of the company is in line with my ideologies, and thus I feel that it is the most suitable company to work with.

 

 

References

Aldi 2017, Corporate Responsibilty. Retrieved from: https://corporate.aldi.com.au/en/corporate-responsibility/corporate-responsibility/

Carroll, AB and Shabana, KM 2010, ‘The business case for corporate social responsibility: A review of concepts, research and practice’, International Journal of Management Reviews, vol. 12, no.1, pp. 85-105.

Ebert, RJ., Griffin, RW., Starke, FA., & Dracopoulos, G 2014, Business essentials. Pearson Education Canada.

Franz, P., & Kirchmer, M 2012 Value-driven business process management: The value-switch for lasting competitive advantage. McGraw Hill Professional.

Hollensbe, E, Wookey, C, Hickey, L, George, G, & Nichols, CV 2014, ‘Organizations with purpose’, Academy of Management Journal, vol. 57, no. 5, pp. 1227-1234. Available from: 10.5465/amj.2014.4005. http://ezproxy.deakin.edu.au/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=heh&AN=98822522&site=eds-live&scope=site

Jovanovic, Z 2015, ‘Management and changes in business environment’, Ekonomika, vol. 61, no. 2, pp. 143-151. http://ezproxy.deakin.edu.au/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=bth&AN=103670794&site=ehost-live&scope=site

Li, Y., Gordon, BR., & Netzer, O 2017, An empirical study of national vs. local pricing under multimarket competition.

Morgan, R 2017, Aldi hits new high in supermarket wars. Retrieved from: http://www.roymorgan.com/findings/7234-woolworths-coles-aldi-iga-supermarket-market-shares-australia-march-2017-201705171406

Mortimer, G 2016, ALDI gives suppliers, as well as shoppers, greater choice: Retail expert. Journal of the Home Economics Institute of Australia23(2), 39.

Robbins, S., De Cenzo, D., Coulter, M., & Woods, M 2016, Management: the essentials. Pearson Higher Education AU.

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Environmental Sustainability of McDonalds, Subway, and Starbucks

Environmental Sustainability of McDonalds, Subway, and Starbucks

 

Table of Contents

1.0 Introduction. 3

1.1Background. 3

1.2 Purpose. 3

1.3 Criteria. 3

2.0 Description. 3

2.1 McDonalds (www.mcDonalds.com). 3

2.2 Subway (www.subway.com). 4

2.3 Starbucks (www.starbucks.com). 4

3.0 Evaluation. 4

3.1 How well does website meet criterion one?. 4

3.2 How well does website meet criterion two?. 4

3.3 How well does website meet criterion three?. 5

4.0 Conclusion. 5

 

 

 

 

1.0 Introduction

1.1Background

With degradation of environment over the last few years, many companies have considered the making products that are considered environment friendly (Carroll & Buchholtz 2014). While this has been for the purpose of ensuring that the environment is protected, it has been one of the ways of having a competitive edge in the industry.  Some of the initiatives that have been considered by most of the companies are related to recycling, efficient energy use, as well as waste management (Crane & Matten 2016).

1.2 Purpose

This report seeks to evaluate information provided in the websites of the three fast food companies regarding their environment. These are McDonalds, Subway, and Starbucks.

1.3 Criteria

The below criteria will be used in the evaluation of the websites of the three fast food companies;

  • How much information about recycling is provided on the website?
  • Does the company have efficient energy use?
  • What kind of waste management does the company have?

2.0 Description

2.1 McDonalds (www.mcDonalds.com)

Being one of the largest fast food companies, McDonalds has captured and recognises sustainability best practices across its entire system (McDonalds 2017).  In this light, the company has built a better business through implementation of effective environmental practices across the world.

2.2 Subway (www.subway.com)

Subway has for a long time been known to provide fresh ingredients as well as healthier food alternatives to the customers (Subway 2017). Over the last few years, Subway has been highly committed in making its operations environmentally responsible for the purpose of improving the health of the planet.

2.3 Starbucks (www.starbucks.com)

As one of companies that rely hugely in agricultural products, Starbuck have been aware that the environment has been the most important business partner. In this view, the comprehensive approach in regards to reducing environmental impact have implied considering all the aspects of the business, and integrating new solutions for the purpose of rearing a sustainable change (Starbucks 2017).

3.0 Evaluation

3.1 How well does website meet criterion one?

In relation to environmental conservation through recycling, McDonalds, as seen from its website has set priorities for the purpose of optimising the amount of packaging used. In this view, the company has ensured the use of only sustainably sourced materials that are recyclable. When it comes to Subway, the majority of the packaging used by the company is made with recycled content. Additionally 100 percent of the packaging can be recycled or composed.  For Starbucks, the company has also considered recycling its waste, and the materials used in making the cups are recyclable.

3.2 How well does website meet criterion two?

As regards to energy efficient use in McDonalds, information on the website has espoused that the company has considered installing power factor correction (PFC) equipment  for the purpose of reducing transmission losses and ensuring that every kilowatt of energy that is consumer produce useful work. In regards to Subway, all new as well as remodelled restaurants of the company now use energy efficient saving electricity.  When it comes to Starbucks, information from its websites has shown that the company has considered installing Energy Management Systems in most of the sores, which has helped in identifying additional opportunities when it comes to optimising heating and cooling.

3.3 How well does website meet criterion three?

In regards to waste management, information from McDonalds’ website has revealed that the company has become committed in increasing the amount of in-restaurant recycling in order to minimise waste. When it comes to Subway, it can be deduced from its website that the company is diligently working to reduce waste stream with the ultimate goal of having zero waste landfill.  In attempt to manage waste, Starbucks has considered the use of reusable cups, which has helped the company in reducing its waste.

4.0 Conclusion

Conclusively, it can be deduced that the websites of the McDonalds, Subway, and Starbucks has provided a lot of information regarding environment conservation. From the evaluation, it can be deduced that the three companies have considered the recycling their packaging and using packaging made of recyclable materials. The three companies also ensure efficient use of energy, which has helped in saving the overall costs of energy. Lastly, the three companies have put waste management strategies in place for the purpose of ensuring that harmful materials are not disposed off.

 

 

References

Carroll, A., & Buchholtz, A 2014, Business and society: Ethics, sustainability, and stakeholder management. Nelson Education.

Crane, A., & Matten, D 2016, Business ethics: Managing corporate citizenship and sustainability in the age of globalization. Oxford University Press.

McDonalds 2017, Best of Sustainable Supply and Best of Green. Retrieved from: http://corporate.mcdonalds.com/mcd/sustainability/signature_programs/best_practices.html

Starbucks 2017, Environment: Pioneering Sustainable Solutions. Retrieved from: https://www.starbucks.com/responsibility/environment

Subway 2017, Environmental Leadership. Retrieved from: http://www.subway.com/en-us/aboutus/socialresponsibility/environmentalleadership

 

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