Question
Two Stanford classmates co-founded Juul Labs Inc. in 2017 (expanding as one of the divisions of Pax Labs). Juul Lab is headquartered in San Francisco-California
Two Stanford classmates co-founded Juul Labs Inc. in 2017 (expanding as one of the divisions of Pax Labs). Juul Lab is headquartered in San Francisco-California and is considered as a company at the frontier which invented the ground-breaking e-cigarettes, leading a billion-dollar industry (read https://www.businessinsider.com/juul-timeline-from-startup-to-tobacco-company-challenges-bans-2019-9). It took only a few years for Juul to grow from a company of 200 employees to a company with a multibillion-dollar annual revenue and more than 4000 fulltime employees in 2019. However, the corporation has faced with existential struggles over the past two years because of its controversial marketing strategies, allegations of teen vaping epidemic, and social concerns regarding the health and safety of its products (watch https://www.youtube.com/watch?v=AFOpoKBUyok and https://www.youtube.com/watch?v=3odfavdF07g). On the corporate website, Juul defines its mission as "Switching adult smokers and eliminating cigarettes." Nevertheless, it seems the business is now required to put so much effort to defend its mission and to overhaul its image as a criticized company dealing with unintended (or perhaps intended) use and consequences of its innovative product.
1) According to the provided videos (and your additional research), what are the ethical and legal concerns impacting Juul's business? Please explain these concerns according to Juul's responsibilities toward customers, public society, and governments. (20 Marks)
2) Do you think Juul's marketing practices were ethical? Please provide your analysis of Juul's marketing operations using ethical theories of consequentialism and deontology. (20 Marks)
3) Considering the uncertainty of the use and consequences of e-cigarettes, can we put the blame on Juul Lab? In your opinion, how innovative companies like Juul can mitigate the uncertain outcomes of their decisions at the frontier? (20 Marks)
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