Unethical practices in research studies:
1. The application of the Institutional Review Board is to determine the level of participant involvement in the researcher's study and select appropriate forms. This involves human subjects, may not involve humans, analysis of secondary data, and analyzes biological specimens." "assistants are expected to carry out the sampling plan, to interview or observe participants without bias, and to accurately record all necessary data. Each researcher handling data should be required to sign a confidentiality and disclosure statement.
Professional code of ethics would be important in the area of high frequency trading. This occurs when an institutional trade from a hedge fund skims capital gain from the average trader due to speed of completion. High frequency trading will not be outlawed anytime soon. Most of the reason is the capitalistic economy of the United States. Inventors that have the expertise are working on a way to level the playing field.
"A stop order, also called a stop loss order, is an order to buy or sell a security as soon as it hits a given price, known as a stop price." "The order sits dormant in the broker's computer until the market price hits the stop, and then the order is executed." "This automated action helps the investor to lock in profit or cut a loss"
2. Even if a researcher's proposal is reviewed it does not necessarily mean that it will describe what is ethical or unethical. In reference to Milgram Experiments, it seems unethical to shock someone with such high voltage that they may die to the naked eye observer, but in that situation, is it more ethical or unethical to follow a superiors command? When a proposal is submitted it is based on what ifs and it does not describe how someone's feelings affect that situation. All of these are factors that are determined through the study. In reference to the Stanford Prison Experiments, the proposal to do the study may have laid out the terms that were told to the prison guards but according to the study those prison guards became their own character to resemble what they felt a prison guard's personality and actions should portray. This is something that could not necessarily be put into a proposal and is a determining factor in the research. In business research I think this could also have an effect. Basic business data and statistics are something that can be obtained without any personal emotions or influence. However, if research is being done based on a work environment or career development and are using employees or the work force to determine this study, then personal feelings, experiences, etc. are then produced and can alter the study which is unexpected. A person's response to a theory is based on their individual thought process, a proposal can be made based on the experiment done to human subjects but only the starting layer can be determined. The experiment will develop further once reactions and findings start being exposed.
3. The main point to get across was how both researchers(observers) did not continue to believe in the code of ethics in the name of research. Both researchers Stanley Milgram and Philip Zimbardo failed to give participants the right to safety. It's the researchers responsibility to design a project so that the safety of all being the interviewers, surveyors, experimenters, or observers is protected.
The Institutional Research Board (IRB) or what is also called Institution Review Board (IRB), responsibility is to engage in a risk assessment and benefit analysis of proposed research. Its sole purpose is to keep ethical compliance of research benefit, deception, and informed consent. In both experiments research ethics where not applied as required in the cases, in the case of Stanford Experiment participants where instructed by Zimbardo they where allowed to leave anytime during the experiment. Eventually they where not allowed to leave and held against their will.
The participants where subjected to harsh unethical treatment, physical, and mental abuse by the observer and researcher assistants. Zimbardo insisted on scientific control was no longer labeled as a neutral observer and the lines of ethics where crossed. During the experiment the subjects inherited the role of prison guards demonstrated genuine sadistic tendencies. The subjects that inherited the role of prisoners demonstrated emotionally traumatized. The Milgram Shock Experiment demonstrated a willingness and unwillingness to follow orders, that inflicted harm on test subjects. Pumping 450-volt shock treatment into humans left emotional scares on all involved.
Business Research will face similar issues concerning ethics in business dealings. In the daily dealings of professional standards various standards of ethics exist for the professional researcher. Basically the text states there are 51 officials codes of ethical, issued by 45 associations in business, health and law.