The Failure Of Water Case Study: Thames Water

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Thames Water, as the biggest water company in England and Wales, has made unacceptable failure to control water leakages just months after pouring raw sewage into London’s main river. The companies’ behaviors bring a set of moral issues and is a right/wrong conflict. The most important moral challenge in this case is that Thames Water made profit at the cost of environment and public health while its primary obligation is to protect public health.
Thames Water is being investigated by regulator for its unacceptable failure to control water leakages with 180 liters a day leaking from every property the company supplies [1]. The company has made a commitment to its customers that the leakage would reduce by 47m liters per day in 2016-17, but
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Consumers have little power to decide prices or services, and often receive unsatisfying service with high price. This is easy to understand, when a company do not need to compete for attracting customers, it will neglect its corporate governance and the care for its customer. Because the firm can make profit no matter how it treats the customers. Consumers have no choice in monopolistic market and become the weak side in the relationship with companies. The role of government is very important under this situation. It can set strict laws to protect citizens and constrain the companies’ …show more content…
The fine would affect the company’s revenue and the bad reputation would affect its stock price. There are not only domestic investors, but also foreign investors such as the Abu Dhabi Investment Authority and the China Investment Corporation [1]. The influence is worldwide, these investors’ benefits are harmed by the moral issues.
Besides, those who are likely to use the polluted water are put in the risk of illness and the ecosystem has also been harmed. Because Thames Water’s action of pouring raw sewage, the river was black, there were flies all over it and there was lots of matted duckweed, which suggests there’s lots of nutrients in the water [2]. And because of the leakage, water resources were wasted. When billions of people are suffering from water scarcity and people are in an important period to strengthen awareness of water saving, the action of wasting water has really bad

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