BUSINESS

Global Business Ethics

Global Business Ethics

Contradictions are the elements which form the world of business these days, and due to those we are able to find the success and failure in different proportions. In the current age of competiton, the dishonesty, disloyalty and treason also occurs in every form. Therefore, it has become a necessity ofr us to formulate the code of conduct and laws of good behavior for everything we do.

There are two main styles in which the businesses are conducted: capitalism and socialism. If talking of it with sincerity, the prevailing dishonesty imposes adverse effects on the behaviors of managers, employees and owners. Nowadays, the concept of business ethics has become a subject of utmost importance in the organizations all over the world. In fact, this not only maintains the importance of morals in the lives of people, but is also managed to keep the business away from unethical behaviors. This could, in turn, lead to various economical, social and political problems including suicide, bankruptcy, price rises, economic recession, unemployment, level of living deteriorating, etc.

This paper will discuss on the importance and application of business ethics. It will elaborate upon the unethical behavior dominating many businesses, and will also explore the meaning and sense of business and ethics involved in it.

Speaking in a narrower sense, business means an activity in which is undertaken to earn money for livelihood or gain. For instance, producing, buying, selling goods, or providing services for people or companies, are all included in the definition of business. Partly, ethics means a collection of ideas and rules which influences the behavior of people. So, the definition of ethics is different from one country to another and isbased on the ideas of right and wrong in each country.

Every organization has its organizational code for desirable conduct and ethics which aid its employees make decisions which are founded on good conduct, trust and integrity. The corporate codes of ethics can ensure less wrongdoing in the organization and enhance organizational commitment. The presence of ethical decision making in the organization enable the employees gain self-control and balance work and personal life. The organizations today need to achieve a lot in lesser time to counter the competition.

Organizations that develop structures that foster ethical conduct and institutionalize ethical practices can go a long way towards reducing the temptation for employees to misbehave (Grant, 1993). An organization can enforce a code of ethics by punishing those who break it. This can discourage employees to behave unethically. A result will be a more consistent behavior in the organization that will give fewer problems.

According to Trevino, Weaver, Gibson and Toffler (1999), many ethics managers believe that part of their job is to assure an environment of candor and safety in an organization. Employees should be able to deliver "bad news" to management without fear of repercussions. If employees are afraid of management, they may be unwilling to inform them of potential risks and problems that may affect the organization ...