Business Ethics

Business Ethics

Ethical values are not only important in our personal lives but equivalently in the workplace. Organizations are concerned about the behavior of their workers because of the consequences involved; either good or bad. People are rational and make decisions based on moral and economic factors. Morals dictate sound ethical business decisions. Ethical and moral values are fundamental in the reputation of organizations. Formal ethics start at home, in school, in church, and in clubs or associations. Ideally, society rather than business is accountable in teaching ethical behavior. In the corporate world, several studies reveal how executives influence the behavior of their workers. Managers and supervisors could be the role models of sound ethical behavior; however, they cannot keep an eye on every action of their workers as to its ethical consequences (Davis/Welton, 1991). Varied pressures or work related stressors could make individuals behave unethically and bend standards or rules to get ahead of the power curve.

Ethical Issues in Business

Today, there are several ethical issues in today's corporate world and its complexity make decisions more challenging than ever. One example of a business ethical issue arising from good corporate practices is providing customers with consistently good quality goods and services with emphasis on complete customer satisfaction. This practice builds customer trust and loyalty for the business which also boosts its reputation and its relation with the community. A company whose workforce is known for their professionalism and good ethical behavior creates a strong public image. Most businesses, especially in these tough economic times, focus solely on profitability and success (Patil, 2011). Making good profits is the main objective of any organization, adhering to sound ethical business practices; however, with the recent cases of irregularities, scandals, and frauds of some top level executives, one would wonder where ethics come into play (De George, 2010). Not only the peoples trust on these individuals and organizations are compromised but also the companies' reputation, resulting to significant decrease in investments and revenues. The predominance of unethical culture in an organization also affects the quality of goods and services provided. Another example of an ethical issue in business is the diversification in the workplace. Having a diversified workforce not only promotes cross-cultural relations among employees and the community but also allows corporate executives to tap on the different skills and traits unique to some minority groups which could be beneficial to the organization. The employment of disabled persons is an ethical issue arising from companies complying with the Americans with Disabilities Act of 1990 (ADA). Companies not only hire persons with disabilities because they are