Maria Katrina Mangahas 27 March 2014 DFM7
Reconse – Research Work
1. Discuss why Ethics is important in business.
- Ethics concern an individual’s moral judgment about right and wrong. Decisions taken within an organization may be made by individuals or groups, but whoever makes them will be influenced by the culture of the company. The decision to behave ethically is a moral one; employees must decide what they think is the right course of action. This may involve rejecting the route that would lead to the biggest short-term profit.
Ethical behavior and corporate social responsibility can bring significant benefits to a business. For example, they may:
Attract customers to the firm’s products, thereby boosting sales and profits make employees want to stay with the business, reduce labor turnover and therefore increase productivity. Attract more employees wanting to work for the business, reduce recruitment costs and enable the company to get the most talented employees. Attract investors and keep the company’s share price high, thereby protecting the business from takeover.
Unethical behavior or a lack of corporate social responsibility, by comparison, may damage a firm’s reputation and make it less appealing to stakeholders. Profits could fall as a result.
Business Ethics means conducting all aspects of business and dealing with all stakeholders in an ethical manner.
2. Refute the businessman’s myth that “Ethics has no place at all in business” - Various arguments arise that caring about moral standards or following under the ethical criteria does not build profits. To pursue profits, a firm should only produce what the society needs and it should do it in an effective way. The second disagreement that occurs is that managers are only liable to serve the company. They should only be loyal to the company and work for its benefits exclusive of the ethical dilemmas. Furthermore, it...
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