Business Ethics
Business Ethics
Introduction
Business ethics is an important aspect of any organization, and all successful organizations adhere to business ethics. Business ethics ensure that organizations adhere to moral and ethical principles as they undertake their day to day operations. Business ethics ensure that organizations and employees conduct business while following ethical principles. It also enables organizations solve challenges they experience while following moral principles. Corporate social responsibility is a component of business ethics and it involves a commitment by organizations to follow ethical principles while at the same time contributing to social and economic development to both their stakeholders as well as the neighboring communities (Goree 43-47). Corporate responsibility entails following regulations and rules which govern specific industries and fields as well as empowering local communities through economic assistance. Business ethics has been linked to long term success by businesses which have operated over time. It is important to analyze the various ethical issues which may affect organizations in order to understand how to cope with ethical challenges. In order to do this effectively, an organization which has a corporate or ethical responsibility to a specific market or region should be studied and various issues which affect it analyzed. This will enable us to make recommendations on how businesses should deal with ethical challenges which face them and the importance of taking up ethical responsibilities. This paper will focus on Enron Corporation, a firm which faced one of the largest fraud scandals ever witnessed in history. The role of ethical and corporate responsibilities by companies on stakeholders will be analyzed with regard to this company and appropriate recommendations made at the end of the paper.
History of Enron Enron Corporation was founded in 1985 after two natural gas companies, Internorth
Introduction
Business ethics is an important aspect of any organization, and all successful organizations adhere to business ethics. Business ethics ensure that organizations adhere to moral and ethical principles as they undertake their day to day operations. Business ethics ensure that organizations and employees conduct business while following ethical principles. It also enables organizations solve challenges they experience while following moral principles. Corporate social responsibility is a component of business ethics and it involves a commitment by organizations to follow ethical principles while at the same time contributing to social and economic development to both their stakeholders as well as the neighboring communities (Goree 43-47). Corporate responsibility entails following regulations and rules which govern specific industries and fields as well as empowering local communities through economic assistance. Business ethics has been linked to long term success by businesses which have operated over time. It is important to analyze the various ethical issues which may affect organizations in order to understand how to cope with ethical challenges. In order to do this effectively, an organization which has a corporate or ethical responsibility to a specific market or region should be studied and various issues which affect it analyzed. This will enable us to make recommendations on how businesses should deal with ethical challenges which face them and the importance of taking up ethical responsibilities. This paper will focus on Enron Corporation, a firm which faced one of the largest fraud scandals ever witnessed in history. The role of ethical and corporate responsibilities by companies on stakeholders will be analyzed with regard to this company and appropriate recommendations made at the end of the paper.
History of Enron Enron Corporation was founded in 1985 after two natural gas companies, Internorth
Cited: Collins Denis. Behaving Badly: Ethical Lessons from Enron. Washington: Dog Ear Publishing, 2006 p 25-31. Dharan Bala & William Bufkins. Enron: Corporate Fiascos and Their Implications. New York: Foundation Press, 2003 p 101–103. Goree Keith. Ethics in the workplace. Washington: Thomson/South-Western, 2006 p 43-47 McLean Bethany &Peter Elkind Massachusetts: Harvard University Press, 2008 p 55-58