Occupational licensure and business ethics in China: Pros, cons, and corporate responsibility

¶ … Licensing and Laissez Faire

In viewing the case study at hand, one can begin to fully understand the pros and cons of occupational licensure in viewing each in the context of the study. Occupational licensure -- the requirement that one obtain a license from a recognized authority in order to engage in any occupation -- restricts entry into the field of medicine as noted within the case study at hand (Shaw, 2010, p. 157). In viewing the pros and cons of such licensure, one can see that the debate largely comes down to one of economics vs. safety concerns.

In first understanding the pros of such occupational licensure, one can understand -- and oftentimes be relieved -- by the fact that professionals in fields that follow licensing standards have therefore asserted themselves to be capable of practicing within their field at a level which has been deemed acceptable by the licensing board at hand. In viewing the case study at hand in terms of the medical field, patients who interact with doctors that have received their license are often provided sound peace of mind in knowing that the doctors they have enlisted as patients meet standards which are deemed acceptable with the U.S. medical field. In this fact it can be said that many of the pros of occupational licensure lie in safety, but in viewing the situation from an economic standpoint, the tables begin to turn.

Economically speaking, occupational licensure does nothing but provide a monopolistic setting within the medical field, increasing prices and leaving all decisions up to the national board which licenses individuals into their respective fields. In this sense, patients are restricted to seeking medical attention within a smaller more select field that does not offer them the economic freedom or ability to "shop around" that many fields without such licensure allows. However, despite these essential setbacks to the system, the fact remains that the system set in place within the United States does not appear to be going anywhere for the foreseeable future.

Case 5.1: "Yahoo in China"

In looking at the case study, "Yahoo in China," one can understand how to better answer the question of whether American companies do more good by refusing to operate with Chinese authorities -- and risk not being able to do business in China -- or by cooperating and working gradually to spread Internet freedom. In looking at the question in the context of the case at hand, it would appear that American companies, such as Yahoo in this case, actually do more good by refusing to operate with Chinese authorities in such cases as that of Mr. Shi. In Yahoo becoming involved with the case against Mr. Shi in China, Yahoo bends the standards of its own ethics in a manner that complies with that of the Chinese government which is largely against free speech and the call for democracy, both of with Mr. Shi was involved in.