Chipotle Mexican Grill: Norovirus outbreak in Virginia (2017)
|First Chipotle opened|
The first stakeholders that were affected by this issue were the stockholders who had invested into the company. Chipotles stock had dropped 6% percent because of this incident. The next group of stakeholders affected were the customers. Between 19 and 21 million people per a year are infected with this virus. The Virginia customers who caught the virus are the customers who suffered the worst from this issue. Aside from actually getting the virus, the bad publicity caused a domino effect to the company. Customers eating at a Chipotle in Boston no longer want to eat there because they heard about the issue that occurred in Virginia and this made them fear that they might get sick from the food. The customers trusted that Chipotle would serve safe and healthy food. Chipotle failed to do this which broke the customers trust in the company. The next group of stakeholders affected are the employees. Its clear that the employees caused the issue, but what about the ones that had nothing to do with getting the customers sick. Not only are they blamed by the customers but they get a negative reputation for something they didn’t even do. The managers who forced the sick employees to work and disregarded safety protocol are notable stakeholders in the norovirus outbreak.
Utilitarianism says that we ought to bring about happiness and pleasure in all beings capable of feeling it. The reason for this theory is that if happiness is the most valuable thing, then there is no difference between my happiness and yours morally speaking. Chipotle is ethically at fault under the utilitarianism theory. Chipotle should have been aiming to maximize long term happiness but they were only focusing on short term happiness. The only benefit from having an employee who is sick come into work is that the employee is working and the business won’t fall behind and Chipotle will be able to maximize their profits. Chipotle wasn’t thinking about all the long term things that could happen from bring a sick employee into work. For starters the consumers eating the food are going to get sick from the illness that the employee has. Chipotle was overlooking the long-term happiness of the customer and instead they were focusing on making Chipotle temporary happy. Breaking the company’s protocol cost them customers, money, and trust from everyone. The stockholders were also effected long term. Chipotles stocks once again decreased a big amount. This caused investors to lose a lot of money. In long term the best thing for everyone is to let chipotle work out their issues to make sure that employees are following company protocol and that no sick employees are coming into work serving food. It may take a while before consumers start to make there way back to chipotle and investors start to invest into chipotle. But this will only happen if Chipotle is able to following their protocol and get back to serving safe and healthy food.
|A meal at Chipotle|
In order to be considered ethical under the virtue theory one must act to embody a variety of virtuous or good character and avoid bad character traits. There are four virtues in business which are courage, honesty, temperance, and justice. Chipotle violates justice by serving food which was not healthy to eat. Chipotle failed to giver quality products to customers who got sick. They also violated the honest virtue. Managers weren’t allowing employees sick days which is a bad treatment of employees. Chipotle did have courage because they were taking the risk of combining fine and fast food, as you can see from their success it was good decision. They also showed temperance by starting from nothing and becoming the successful company they are. Chipotle can become virtuous they just need to reevaluate their managers and make sure that in the future the food is safe to eat and that protocol is always being followed.
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