The paper "International Business Ethics - While in Rome, Do as the Romans Do" is a great example of management coursework. When it comes to business ethics, many people strongly disagree with the statement. This is because what managers should understand is that ethics are supposed to be international, not local. Ethics are a set of standards that govern a person’ s behavior or the behavior of a group or an organization. Basically, ethics refer to the distinction between what is right and what is wrong. However, in terms of business environment ethics, determining what is “ right” may not always be straightforward.
Most dramas in business settings relating to ethics are usually in the conflict between what one person thinks is right against what another person thinks is wrong depending on what seems to be effective at the moment. This brings about the ambiguity of ethics understanding. This is because some people believe that ethics are supposed to be guided by moral principles. On the other hand, other people believe that doing what is right is situational other than morally guided. Philosophers define ethics as the manner of the way a person behaves (Pellegrino, 2012).
For instance, according to John Pekel and Doug Wallace, ethics can be described as the basis through which we live our normal lives. Some ethicists furthermore believe that ethics becomes the guidelines of. Thesis: “ Ethics encompass the judgment on what is acceptable and what is not acceptable. In an organization, ethics are directed by the organization’ s culture and core values. Therefore, ethics are applicable in any region and they entail declining a path that is likely to bring about faster profits. ” Business ethics determine how people should behave in a business setting, or how they relate with the stakeholders.
When an organization is undergoing change, then the role of business ethics is manifested. According to Pekel and Wallace, change causes a close examination and analysis of the values that were regarded as insignificant in an organization (Sójka & Wempe, 2012). Business ethics are very important because they guide the leaders on how to relate to the workers and vice versa. Moral values also play a vital role in solving workplace problems and misunderstandings.
Managing ethics in business is useful because some people argue that doing what is right in certain situations causes more harm than lying and covering the wrong deeds. The importance of business ethics is that they draw customers because they enhance trust in the company’ s products and this improves sales. Ethics also uphold employees’ relationships with each other such that they are obliged to stay in the organization with reduced labor turnover. This in the long run results in improved returns. More importantly, business ethics attract potential workers in an organization and this reduces recruitment expenses which also ensure that the organization acquires the most appropriate employees for specific posts.
In addition to this, good business ethics are an attraction to potential investors because of the increased profits and they maintain the life of the business. Good ethics result in a good business and the outcomes are a success and increased profits. In contrary, unethical behaviors discourage stakeholders and investors because they lose trust in the company. Employees’ turnover is also high and this increases recruitment costs (Wilkens, 2011).
When production cost increases, returns are also reduced and the business is usually at the verge of falling. In conclusion business ethics are determiners of success.
Bowie, N.E. (2013). Business Ethics in the 21st Century. Springer Science & Business Media.
Kramer, D. (2014). A Question of Honour: How Codes of Ethical Conduct and Moral Dilemmas Impact Behaviour. Hamburg: Anchor Academic Publishing.
Morrison, J. (2015). Business Ethics: New Challenges in a Globalised World. London: Palgrave Macmillan.
Pellegrino, N. (2012). When in Rome. London: Orion.
Sójka, J. and Wempe, J. (2012). Business challenging business ethics: new instruments for coping with diversity in international business. 3rd ed. Dordrecht: Kluwer Academic Publishers.
Wilkens, S. (2011). Beyond Bumper Sticker Ethics: An Introduction to Theories of Right and Wrong. 2nd ed. Westmont: InterVarsity Press.