Business Ethics Essay Examples

Primbondh/ October 30, 2022/ business ethics

Indeed, most nations’ laws end at their borders and, as a result, so does any power behind enforcing each nation’s international business ethics code. Follow the link for more information on the problems facing the enforcement of international business ethics. The only body which can legitimately exert some kind of power over international governance is the United Nations, but its power is very much limited. Other than that, no government can implement some kind of law to enforce international business ethics and then expect that law to be obeyed by all other nations.

With legal scandals concerning insider trading and employee theft making the news, it is no wonder that businesses are increasingly giving attention to the ethical basis of their business and how to lead in an ethical way. At the end of the 20th century, public confidence in a corporation’s ability to self-govern was low. A number of scandals had shaken the landscape and rattled investor confidence. Concerns about possible economic fallout prompted the United States House and Senate to enact the Public Company Accounting Reform and Investor Protection Act.

Appropriate measures included having a code of ethics or of conduct, a high-placed officer in charge of oversight, an ethics training program, a monitoring and reporting system (such as a “hotline”), and an enforcement and response system. Fines that could reach up to $290 million could be reduced by up to 95 percent if a company could show bona fide institutional structures that were in place to help prevent unethical and illegal conduct. The seminal work of John Rawls in 1971, A Theory of Justice, had helped make the application of ethics to economic and business issues more acceptable to academic philosophers than had previously been the case. Whereas most of those who wrote on social issues were professors of business, most of those who wrote initially on were professors of philosophy, some of whom taught in business schools.

Sign up for our free webcast to learn how leaders can build trust within the organization. From a Christian perspective, we believe that the ultimate norm and ultimate standard of rightness is the character of God and his perfect righteousness. So biblical principles of ethics have great relevance for the business world.

Not only will they get complete information about what they are consuming, but their grievances can be redressed ethically. Business ethics is the system of moral and ethical beliefs that directs the behaviors and operations of an organization and its personnel. Business ethics inform a company’s values and goals, as well as how it runs its day-to-day operations. Individuals interested in expanding their knowledge of business ethics and other key leadership skills may benefit from pursuing an advanced education program, such as the online Master of Arts in Management and Leadership program from Maryville University. Of course, simply putting such programs in place isn’t enough; organizations need to find ways to measure their effectiveness. The AMA/HRI survey found that the best ways of doing this are through ethics surveys, customer complaints and ethics audits.

Other societies turned increasing attention to business ethics, including the Social Issues in Management Division of the Academy of Management, which had been established in 1976. Other societies emerged, such as the International Association for Business and Society. Still other societies, some specialized, and some general were formed as well. A number of European scholars became interested in the American developments and organized the European Business Ethics Network , which held its first meeting in 1987. Many individual European nations in turn established their own ethics network or business ethics society.

Ethical investing is another aspect of the movement, and mangers of ethical investment funds have begun proposing stockholder proposals as a means of encouraging more ethical behavior on the part of corporations in which they own stock. Although the law can guide ethical behaviour through Sarbanes-Oxely by laying out a framework, ethicists are quick to point out that the law should be thought of as the bare minimum of an ethical framework. Complying with the law and behaving ethically are not necessarily synonymous. While Sarbanes-Oxely and C-198 specifically state that destroying evidence or fraudulent behaviour is illegal, they do not state that the series of questionable decisions that led to the fraud is as well. To guide the behaviour of the corporation, management must turn to the field of business ethics. In the case of Volkswagen, the execution of the deceptive computer program at the EPA emissions test laboratory is where the law was broken, the act of which carries punitive fines and penalties based on the retributions of crime and punishment.

Consumers appreciate openness, as it provides them with insight into how a business operates and conceptualizes the work that they do. Employees also appreciate this quality in a business that they work for. Business ethics may seem like an abstract concept, but it carries a huge influence in the corporate world and beyond. Bring us your ambition and we’ll guide you along a personalized path to a quality education that’s designed to change your life.

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