BUSINESS ETHICS

Business Ethics

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[Name of the Institute]

Date

Business Ethics

'Business is about making money and anything lawful and within reason that achieves that objective is ethical'. To what extent and why do you agree (or disagree) with this statement?

I agree on the notion that business is actually about making money; it is the first and the foremost goal of any business. People actually start business to earn some bucks for their pockets, and the best that they can provide the society, and the world is more money so that they could make the world a better place to live. However, a common view of this context is that it can be achieved by making more money; people could get more businesses, and employment, which ultimately could lead towards company's profit.

An economist claims that the corporate social responsibility is to increase the profits, however according to Friedman; organizations have no reservations in hiring people who are unemployed, or spending money for the wellbeing of the country, and doing all those which is actually a mandate by the law. However, this is also leading the organization towards making money, and earning profits.

However defining the corporate social responsibility (CSR), it can be called in many ways, the term corporate sustainability, corporate governance, are also used in this context. Corporate social responsibility can be explained in the context of doing voluntary actions for the betterment of the society, and help in improving the economic, social, and environment by the corporations, with their due responsibility, and aim for enhancing the competitive edge. However for the betterment of the public and the world, many companies are going for the social sustainability's, and emphasizing the people to use the alternate sources of energies. Some saving energies alternate has been emerged in the market, which can be used in the homes. Today, homes, buildings are being made with the use of planning and designing techniques which can preserve natural environment, efficiency in heating, along with cooling system. Appliances are being made with the material which is recyclable (Cannon, 2002, pp. 65).

Corporate social responsibility is a self induced activity which in other terms can be undefined as a voluntary action. These actions have the ability to even go beyond the regulation of the law (Martin, 2002, pp. 56). CSR is an activity of an organization, which provides profit maximization to the stakeholders of the organization. It provides a clear vision of the goal of the corporation and the purpose of its existence which helps the share holders to increase their interest. It provides a dedication of achieving the goals of the organization among managers and shareholders both. The main benefits for share holder from corporate governance are as follows:

It gives the opportunity to the shareholder to involve in decision making process. Shareholders remain informed about the company's performance and get knowledge of company's future goals and objective. It gives control to the share holders about the investment and equity related decisions. A corporate governance mechanism increases the chances of success and ...