Essay on Unethical Practices : Unethical Business Practices

1123 Words Dec 14th, 2015 null Page
In the past 20 years, unethical practices caused business failures, corporate scandals, and out-of-control CEO’s. Enron, Worldcom, Hollinger International, Tyco, and Yahoo! suffered losses because of unethical business practices. Key factors, such as, productivity, retention of talented employees, business credibility, and legal issues decide whether a business will be successes or unsuccessful. The organization and its employee’s ethics, direct these factors to either increase or decrease. What are ethical business practices? Ethical business practices are activities performed and demeanors held by a business and its employees, which are considered professional and ethical. These practices advance the objectives of the organization without jeopardizing the benefit of every one of its employees, clients, and even competitors. Ethical practices do not guarantee success, but without them failure is assured. Corporate executives and business owners need to realize that there can be no compromise for ethics, and success has no shortcut. Ethics need to be sown into the fabric of their companies. Research suggests successful businesses must adhere to ethical practices because they increase productivity, promote employee retention, support credibility, and avoid legal issues.
Research shows that engaged employees are more productive (Ketvirtis, 2012). Engagement is a management approach created to ensure that employees are committed to their organization’s goals and values,…

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