Good Clothes Company, a United States corporation, buys clothing assembled by Beta, LTD., a foreign company that employs young children for long hours and low pay. Beta’s nation does not enforce its child labor laws. Beta and Good Clothes are aware of this.

Human International Politics (HIP), an international political activist organization, discovered Good Clothes’ connection to Beta, LTD. HIP plans to reveal this information to the press and on social media. Good Clothes hears about this proposed action by HIP. Before HIP can act, Good Clothes terminates its relationship with Beta. Good Clothes then publicizes this action in its advertising. The company’s sales and profits increase, apparently as a direct result.

1. Has Good Clothes acted unethically in any way(s)? Explain using one of the ethical philosophies from the text and facts from the scenario.
2. From an ethical perspective, is Good Clothes’ conduct in terminating its relationship with Beta more important than whatever its motive might be? Why or why not?