Anglo-American and Primark are among the world’s leading companies. In this paper, I will analyze their application of ethics and then utilize “A Model of Business Ethics” to help describe the two companies ethical practices. The paper will provide a discussion of the costs and benefits of an organization as well as define ethical business. Introduction
Anglo-American and Primark are two multinational organizations with different Code of Conduct ethics. However, the rapid economic changes of the world have interconnected global organizations and it is evident that regardless of organizations operative procedures one thing is for certain; the global businesses have engaged in this organizations labor modules to meet the consumer demands of the world forgetting their Code of Conduct in which they based their company on.
Laws are established for a reason; therefore, in the business market it is no different. Laws, whether foreign or domestic are the key point for starting any business. Although, businesses establish their own principles, each organization defines their own values differently. Ethical Business
Business ethics are based on the same principles that determine an individual’s character; therefore, business ethics relate to organizations moral principles that guide what is relatively right and wrong within an organization. An example of a business ethic is following the International Code of Conduct, which states that companies should not utilize child labor. Codes of Conducts are established by the United Nations for the purpose of protecting an individual’s choice of employment and to ensure that the labor conditions are hygienic and safe for all employees; therefore, it is relatively easy to identify unethical business behaviors in organizations. Although organizations have created their policies, it is difficult for all organizations to establish good ethical behaviors. Organizations such as Anglo-American and Primark must make a competitive return for their shareholders but treat their employees fairly and with justice. In addition, organizations have the social responsibility to ensure that the environment is unharmed and that the surrounding communities are not damaged because of their operative. These examples prove that businesses have a wider responsibility toward communities and the global environment because they are some of the world’s most prominent organizations and in which societies respect and admire. Anglo-American
Businesses should always follow and practice their codes of conduct because such practices became regulated in their industrial sector in consolidation with local communities, governments, stakeholders, and employees. Anglo-American was no exception to this rule and since then has played an important role with the United Nations Global Compact, the Global Reporting Initiative, and with the Extractive Industries Transparency (Singer, 2004).
In addition, Anglo-American has contributed with the “Voluntary Principles on Security and Human Rights (Singer, 2004).” Such codes have set out practices and principles that ensure an employee’s health and safety where local governments have no laws that protect the health and safety of their local population. Anglo-American aims at protecting local people and the rights of their employees where they operate because they believe and support the “Universal Declaration of Human Rights (Singer, 2004).”
Although Anglo-American is an organization that believes in the need of making a profit, they also recognize their employee’ s objectives and take into account business ethics because they believe that it is a corporate responsibility to provide a profit to its shareholders but without the expense of environmental, social, and moral consideration. Primark
According to Primark, their key concern is to source their business in the best ethical source. The organization is very clear as to where it stands and...