BUSINESS ETHICS

Business Ethics

Outline

Introduction

Discussion

Business Ethics

Factors that effect Business Ethics

Moral Responsibility

Strategic Ethics

Code of Business Ethics and Conduct

Ethics And Social Responsibility Role In Strategy

Integrating Disparate Corporate Values

Organizational Performance Ethics and Social Responsibility

Business Ethics and organizational efforts

Business Ethics on Stakeholders

Conclusion

References

Bibliography

Business Ethics

Introduction

Businesses have power through their ability to spend vast amounts of money. They have the ability to enhance or change situations that the common individual does not. As organizations affect many people, they have obligations to their employees, consumers, community and the world. They have a responsibility to conduct business in a way that is not harmful and which positively benefits as many people as possible and themselves. Although this sounds simple, it is easier said than done! There will always be a conflict of interest between various groups of people. Any decisions made by businesses need to be made with an informed awareness of the specific situation and then act according to some sort of system of principals which is Business Ethics (Meznar et al, 1997).

Ethics and social responsibility are a part of everyday life around the globe. From the time a business begins, ethics and social responsibility play an important role in deciding what direction that business will take, and how the company will turn a profit. Ethical behavior is critical to strategic planning for businesses. In order to be successful, businesses must consider themselves a part of the business community, as well as society. Making money is not unethical; however, money cannot be the driving force of ethical thinking within a business.Ethics is not an easy term to define. In a general sense, ethics is the code of moral principles and values that govern the behaviors of a person or group with respect to what is right or wrong. Ethics sets standards as to what is good or bad in conduct and decision making.

Discussion

Businesses in general are working on the basis of an ethics that settles different interests. The standards and values within companies can be characterized as mutual respect. In this respect it is in everyone's interest, and is considering people as an end in themselves, not as a means, reciprocity and fairness. This ethics is passed down and filtered to a group of stakeholders who have an interest in the company. These parties usually are: personnel, customers, suppliers, subcontractors, shareholders, society and those who speak on behalf of the environment and future generations. Ethics can be more clearly understood when compared with behaviors governed by laws and by free choices. Human behaviors fall into three categories. The first is codified law, in which values and standards are written into the legal system and enforceable in the courts. In this area lawmakers have ruled that people and corporations must behave in a certain way, such as obtaining licenses for cars or paying corporate taxes. The domain of free choice is at the opposite end of the scale and pertains to behavior about which law has no say and for which an individual or organization enjoys ...