principles of business

A basic moral precept that governs any good company is business ethics. It enables company partners to carry out their responsibilities in a socially sound way. Because of their diverse cultures and social identities, businesspeople have varying points of view and perceptions on a variety of business-related topics. Since various individuals have different views of the essence of ethics, diverse understandings contribute to difficulty in comprehending the sense of ethics. Morality is a guideline that ensures businesspeople act with dignity. It includes moral standards such as equality for all, fairness, and openness. Ethical behaviors are significant since they translate to law. For instance, taking someone’s property without his/her consent is viewed as unethical and is a violation of justice.

Ethics in business administration and management encourages companies to perform duties responsibly to all the shareholders. Moral values provide a sound method of making decisions, offering a significant meaning of ethical concept to the employers, business managers and employers in any business activity in all situations. Business ethics may seem irrelevant in the short term progress of the business, but it results in substantial benefits to the company in the long-run(“Principles Of Moral Business Values Business Essay”). This is the cause of the success of many firms which heavily invest in ethical business procedures. Many industries today are facing many different moral issues because they are only concerned with increasing profits. They disregard ethical practices in their dealings because they grow the cost of operations. However, unethical actions benefit individuals and not all the people involved in the company.

Ethics in learning a business

Business ethics stresses on carrying out business operations in compliance with the company, local, national and international laws. Business operations that attain the required standards while paying close attention to the objectives of the industry but are not satisfying all the participants cannot be said to be ethical. Organizations should at all times take into account the demands and interests of the suppliers, consumers, employees, market trends and the general business environment and public because these are the pillars that support the existence of the business. Various shareholders may have varied opinions and interests, but they should always have dialogue and come to a consensus and lay a ground for similar interests to benefit everyone and see the success of the entire business.

The major challenge facing many multinational businesses in following ethics is the misuse of their power. The great companies search for opportunities to operate in the developing countries. In the process, they bring low waged experts from their country to work in the newly established businesses in the developing countries to reduce costs on labour. The multinational companies furthermore utilize the resources in the foreign country where they make significant profits and then eventually leave the host country without assisting it in any way. Ethically, the multinational industries should create job opportunities for the people of the host country and help them elevate their living standards by paying them substantial wages. Companies such as Nike have been taken to court of law for misusing children. They used children to reduce costs and increase benefits as their techniques of developing football which adversely affected their publicity and their name.

The other issue on business ethics is misguiding the customers with false information on particular goods or services. With the vast innovations and inventions in technology, the customers have extensive access to details about the markets of various products and services. Nevertheless, many companies have developed a tendency of offering false messages that are highly profitable to them to cheat the consumers to buy their goods. Such information can destroy the consumers physically and emotionally and later lead to negative impact on the business. The adverse effects to the industry can result to decreased benefits due to lack of customers, destruction of the brand and being sued in a court of law(“What’s the Point of a Business Ethics Course?” 121-138).

Generation of the black market is another issue of ethical concern. Black trade is an illegal market that emerges for instance, when the prices of particular goods increase or when some products have been prohibited. The black business acquires benefits by establishing prices of products beyond the reasonable price. Such operations are unethical as they disturb the economic equilibrium. If the black markets are allowed to operate, the markets that sell those goods legitimately will be adversely impacted since they will be making less profit.

Different perceptions exist on how actions of businesses can be made ethical. Applying the point of view of the customers, companies should ensure that the customers are accessing safe products. The safety of goods can be done by testing products before releasing them to the markets to identify the results of using them. Also, there is need to establish the correct price level of the goods, ensuring the products are of high quality, offering after-sale services and investing some resources in conducting researches on various trends in consumers demands and interests. Business researchers will enable the companies to develop the quality of their goods to ensure that the consumer acquires improved and safe products and services. Treating the employees equally with dignity and offering them appropriate wages is an upright habit that should be adopted by all businesses. The companies should establish the right prices for goods and services to enable the suppliers to obtain the correct payment.

Works Cited

“The Principles Of Moral Business Values Business Essay.” UKEssays, 23 Mar. 2015, www.ukessays.com/essays/business/the-principles-of-moral-business-values-business-essay.php.

“What’s the Point of a Business Ethics Course?” Issues in Business Ethics, pp. 121-138.