Final answer:
Utilitarianism encourages decisions that maximize overall well-being (option c) and happiness for the majority in the business context. This is often realized through cost-benefit analyses. However, utilitarianism can conflict with libertarian perspectives and faces challenges in balancing diverse stakeholder interests and measuring happiness.
Step-by-step explanation:
Utilitarianism can influence contemporary business practices by encouraging decisions that maximize overall well-being. This ethical framework suggests that an action is morally right if it leads to the greatest happiness for the greatest number. In business, this could lead to a focus on policies and actions that benefit the majority of stakeholders, whether that be employees, suppliers, community, or shareholders.
Applied to business decisions, utilitarian principles would prioritize the outcomes that offer the most positive impact, including financial, environmental, and social aspects. A utilitarian approach can lead to the use of cost-benefit analysis to ensure that the benefits of a business decision outweigh the associated costs. However, this approach might challenge business objectives when individual interests conflict with collective benefits. Libertarianism contrasts with utilitarianism by emphasizing individual rights over collective utility.
Despite its conceptual appeal, utilitarianism in business could also face challenges, such as how to measure happiness and how to balance short-term gains with long-term trust and stability, as mentioned in the act utilitarianism example involving vigilante actions or judicial decisions. Companies sometimes must navigate conflicting interests, such as maximizing profits versus considering the well-being of research subjects in clinical trials. Ultimately, utilitarianism promotes policies and practices that aim to increase the net happiness of society, yet the practical application may involve complex ethical considerations.