Business Ethics And Consumers

777 Words 4 Pages
Business Ethics and Consumers Business Ethics, a specific form of ethics, was not popular until the 1970s and has gained popularity in recent years in America; however, while being popular amongst businesses and consumers many are oblivious to what Business ethics stands for (Donaldson n. pg). Consumers often assume the businesses they are supporting are ethical; furthermore, they assume the businesses have genuine concern for the consumers well being. Business Ethics is the study of proper business policies and practices regarding potentially controversial issues, such as corporate governance, insider trading, bribery, discrimination, corporate social responsibility and fiduciary responsibilities. In the United States, consumers and the …show more content…
The business system is often a controversial subject to consumers and businesses alike; furthermore, consumers and businesses debate the role of government in business ethics. However, in an ideal world there would be no debate of such issue, and businesses with integrity would do their fair share as consumers would. Some theorists believe as long as there is free market there will be a flawed system, and there are many issues that contribute to the free market, such as the prisoner 's dilemma, persistent discrimination, sexual harassment, environmental pollution, false advertising, financial scandals, child labor, and bribery (Donaldson n. pg). Until the turn of the century there was not much focus on the environment, and now most businesses boast ethical treatment of the ecosystem. However, many businesses would not be as friendly to the ecosystem without regulation from an entity with power such as the EPA. Andrew Resiman, a consultant to companies on world issues, stated “[There is] only one place to start the process of nurturing a robust ethical ecosystem, and that 's with a robust ethical corporate culture” (Reisman n. …show more content…
When individuals pull responsibility from themselves, they often do things that are questionable for the better of the company. For instance, the individuals that made decisions on behalf of the fallen company Enron, likely made decisions behind the veil of the corporation; furthermore, those decisions negatively affected those that invest in the company and those that worked there. There are many insights gained by looking at Enron such as the vital role that top management leadership plays in the organizational culture. Ethics and ethical behavior in accounting, financial planning, and the decision-making process are used to ensure adherence to standards and practices. It shows that the best ethical behavior is to follow the International Accounting Standards. Following best ethical practices will lead to good moral conduct and increase profitability of the company. Enron and the leadership of the corporation negatively impacted the lives of many Americans when their stock and savings plans

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