Business Ethics Essay examples

839 Words Dec 31st, 2012 4 Pages
Business ethics represents all the principles and standards that guide behaviour in the world of business. Therefore, all this set of principles applies in any of the fields of business (marketing, finance…) and people inevitably face ethical decisions in their every day working lives.

The aim is to make every employee adhere to these standards because obviously, it is more profitable for a company to be ethical in business. But, as ethical issues are linked to decision-making, how can all decisions be ethical and above all whose responsibility is it?

Therefore, we could wonder if business ethics is a personal responsibility or a group responsibility. We are going to divide this essay into two parts, the thesis and the antithesis, in
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In decentralised organisations, the power is decentralised so the decision-making authority is delegated as down as possible in the hierarchy. Since there are few formal rules and control over the employees, the level of ethics is mainly determined by individuals. That is due to the fact that the notion of leadership is impoverished as every body has power among the organisation. It is more difficult to motivate others, enforce laws in the organization for instance. Leadership influences decision-making but the structure of the organisation plays an important role in leadership.

On the other hand, business ethics and social responsibility are closely related. Actually, social responsibility refers to the company’s obligation to maximise its positive impact on society and it has to minimize its negative impact as well. Business ethics is one of the dimensions of social responsibility. The company has to respond to what expect the society even if it is not written in the laws. Many companies have strong sense of ethics because nowadays, it is a way to perform in a globalizing economy. Body Shop is an interesting example of how business ethics could become a strategy. In selecting natural ingredients in their products, Body Shop responds to the demand of its customers for instance. Without being ethical, the company would not have been so successful.

In addition, in centralized organisations, the power is concentrated in the hands of top level…

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