1 Becton Dickinson and Needle Sticks Essay Rayne Everage BUS 301 Legal and Ethical Issues in Business Gordana Micevski April 3, 2013 2 Becton Dickinson, a medical equipment industry giant, should have higher standards rather than simply earning revenue. Due to the fact that the products they distribute are in high demand, and used in very risky and high-stress situations, Becton Dickinson has an obligation to consider the ethics of care, which requires caring for the wellbeing of those we have relationships with and are dependent on us (Valasquez p. 121). One of Becton Dickinson’s major objections to government enforced regulations was to let the market decide. This is known as the market approach and is thought that government intrusion makes markets unfair and inefficient. According to Valasquez, “In a market, the price of safety and the amount sellers provide will be determined by the costs of providing it and the value consumers place on it. Sellers will provide safety if consumers demand it” (p. 306). This is clearly mistaken in this case because there is no denying demand for safety syringes, yet Becton Dickinson, Novation and Premier neglected to produce or provide high quality safety materials. Also, because these three companies had such control of the market through GPO’s (Group Purchasing Organizations), which deferred the entrance of organizations such as Retractable, whom were providing higher quality products, which actually meet the consumers demands for safety. Also, “The ‘due-care’ theory of the manufacturer’s duties to consumers is the view that because manufacturers are in a more advantaged position and consumers must rely on them, they have a duty to take special care to ensure that consumers’ interests are not being harmed by the products that they offer them” (Valasquez p. 314). The decisions Becton Dickinson made regarding the safety syringes, from the production and offering only one size, and charging higher price than it’s worth, refusing to adjust to any safety recommendations are all violations of the duty of care. Any reasonably prudent person would acknowledge that their product could 3 be improved. If Becton Dickinson had only invested in engineering, and implemented new manufacturing technology from the beginning, producing a product they could be proud of, a product that consumers would be comforted using, it would’ve saved the company time, money and their reputation. I believe if an organization purchases a patent, they should manufacture that product to its full extent. By purchasing that particular patent, the company is limiting the availability of that new technology to be exposed to the market. I find this to be ridiculous. Yes, organizations have the right to produce the products they choose, however, when there is a patent involved, and there is a high due care duty to customers, why would one not take full advantage in providing a product known to be in demand, and would increase safety for those high risk occupations. I feel that in this case, it is fair to hold Becton Dickinson reliable for injury because they intentionally limited the production of the new safety syringes, making it very risky for nurses to operate with two different types of needles and could potentially increase needle sticks. I feel that Beckon Dickinson, Premier and Novation were working with GPO’s in a monopoly. They had such control of the market that organizations whom had far better ranked products, were unable to enter the market at the level that would’ve been if the GPO’s didn’t exist. It was argued that because the GPO’s actually got paid by the manufacturer, rather than the consumer of the medical supplies, which increases my interpretation of this being characterized as a monopoly. It would’ve been too expensive for the consumers or the GPO’s to exit the contact, which caused them to stay in contracts with these companies who firstly, weren’t providing the best of the market products, secondly, increased the number of workers who were affected by work injuries due to the use of these “not recommended” products. 4 I find this whole situation to be disturbing. It is very unfair for such a large organization to take such little interest in the purpose their product is used for, the potential life threatening dangers associated with the use of it. I am pleased to know that they had to pay out such large sums of money to those who it caused harm to. I wouldn’t say it was personally potential, but any reasonably prudent person, especially management within an organization has to know the demands and risks incorporated with their product and the industry they are in. 5 References Velasquez, M. G. (2012). Business ethics, concepts and cases. (Seventh ed.). Upper Saddle River, NJ: Prentice Hall.