Impact Of Ethics In International Business

Globalization and International trade have been around since silk and spices were being traded along the Silk Road. We have come a long way since then due to the growth in technology, communication, and transportation. With handheld computers allowing us to facetime across the world and transportation making it easy to travel from one side of the world to the next in a matter of days, the idea of doing business globally has changed drastically—including the impact of management. The International business field includes managers across many different cultures. With this being so, managers may experience a culture shock when traveling abroad, deal with different ethical issues, and have to adapt to diverse managerial styles in different countries.
It is very common for a company or business to send representation overseas when handling business internationally. When traveling abroad, you are more than likely going to experience the world in a light you’ve never seen it. This means you’ll run into different languages, foods, styles of clothing, and also ways of handling business. Managers may experience culture shock when traveling to places that are very different …show more content…
When unrealistic performance goals are forced and a lack of leadership and bad organizational culture exists, managers may behave in unethical manners. This is why it is important to have a strong ethical background. When a manager has a strong ethical background, they’re less likely to behave unethically. When determining ethics across cultures, the Cultural Relativism is a common business approach discussed. Where ethics are seen to be culturally determined, and no more than just a reflection of the culture. Hence the phrase, “When in Rome, Do as the Romans Do.” When adapting to the culture of different places, managers may find themselves challenged by differing ethical standards. (‘International Business’, Ch. 2,