In a capitalist market, the goal of a business is to sell a product to satisfy demand. In this context, a company's objective is to maximize profits. However, there are industries where the social good should take precedence over profits and the pharmaceutical industry is an example of such an industry. Recently, an incident of arbitrary pricing by a pharmaceutical company has come to light. After years of research, the concerned company released a medicine for the treatment of a rare disease. It holds the patent for the medicine and has spent considerable R&D resources to produce the medicine. But the extraordinarily high price it has fixed for the medicine has not only dashed the hopes of patients suffering from the rare disease but has also shocked the conscience of the public at large. However, there are also some who are arguing that forcing the company to cap the price of the medicine will disincentivize pharmaceutical firms to conduct research and produce treatments for rare diseases in the future. In this context, answer the following:

Linked PYQ

Subash is Secretary, PWD in the State Government. He is a senior officer, known for his competence, integrity and dedication to work. He enjoys the trust and confidence of Minister Incharge of PWD and Programme Implementation. As a part of his job profile, he is responsible for policy formulation, execution of projects relating to infrastructure initiatives in the State. Besides, he oversees the technical and administrative aspects relating to planning, designing and construction etc. Subash's Minister is an important Minister in the state and significant growth in urban infrastructure development and road network has been registered during his tenure. He is very keen for launching of ambitious road construction project in the near future. Subash is in regular touch with the Minister and is working various modalities of road construction project. Regular meetings, interactions and presentations are made by him to the Minister before a formal public announcement of the project is made by the Minister. Subash's only son Vikas is in real estate business. His son from his own sources is aware that a mega road project is on the anvil and announcement in this regard is expected anytime. He is very keen to know from his father the exact location of the upcoming project. He knows that there would be quantum jump in the prices of land in the vicinity. Buying land at this stage at cheaper prices would pay him rich dividends. He is pleading with him (his father) day in and day out to share him location of the proposed project. He assured him that he would handle the matter discretely as it would not attract any adverse notice as he in the normal course, keeps on buying land as a part of his business. He feels pressurised because of constant pleadings by his son. Another significant aspect of the matter pertained to the extra/undue interest in the above project by the Minister PWD. His nephew was also having big infrastructure project company. In fact, the Minister has also introduced his nephew to him and indicated to him to take care of his nephew's business interest in the forthcoming project. The Minister encouraged him to act fast in the matter as early announcement and execution of mega road project would enhance his status in the party and public life. In the above backdrop, Subash is in a fix as to the future course of action. (a) Discuss the ethical issues involved in the case. (b) Critically examine the options available to Subash in the above situation. (c) Which of the above would be most appropriate and why ?