The university just wanted to solve the short-term brand headache of a faculty member’s controversial opinion, but it harms its brand in the long term. Each year, Ethisphere recognizes 100 individuals that have made a material impact in the world of business ethics and compliance through the annual 100 Most Influential People in Business Ethics list. Concern for others: Your business should be made up of caring, kind, compassionate, and benevolent employees. Ethics not only should be studied alongside management, but the two fields are closely related.
For instance, a small business owner may have his or her decision affect his or her customer base as well as his or her employee base. They are generally an individual or organization outside of the business, whose decision to buy from the business is independent.
But there are 3 additional reasons business ethics is important, reasons that are key ingredients in the formula of business success and competitiveness. Hsieh, N.-h, 2004, The Obligations of Transnational Corporations: Rawlsian Justice and the Duty of Assistance”, Business Ethics Quarterly, 14(4): 643-661.
According to him, bluffing in negotiations is permissible because business has its own special set of rules and bluffing is permissible according to these rules. The aim of ethics is develop a body of moral standards that a person feels reasonable to hold based on careful thought. As philosopher Joseph Heath has convincingly argued , this idea of constrained competition serves as a strong foundation for an ethics of business grounded in the goals of markets themselves.
Hsieh (2004) says that, even if we concede that firms do not have social obligations, individuals have them, and the best way for many individuals to discharge them is through the activities of their firms (see also McMahon 2013). Decisions and actions of the individuals who compose the business decide or to act, and not all decisions or actions are made in interests of the business. This website contains links and commentary on current issues in business ethics.