In this assignment I will be explaining the ethical issues a business needs to consider in its
operational activities.
Business ethics
Business ethics is how businesses should act in terms of having morals, also the business should
have values which will allow them to think of the people and the planet. Which means even though
the business wants to make profit they will need to think about the people and the planet for
example they should ensure their products are recyclable if that’s what their business relates to, in
order for the planet to be safe. If the business has good ethics , customers are going to want to
shop with them as they know the business is think about them and the planet. Also the business will
need to be honest and compete fairly and not lie about other businesses in order for customers to
come to them instead. Business shouldn’t lie about their products or service for example if a
business is selling shoes and they say it’s comfortable, it should actually be comfortable. Also they
should protect the environment and not harm others; a business that sells drinks should make sure
their ingredients are safe for customers to drink. Also if a business is selling clothing they will need
to buy it from manufactures in other countries and usually these factories there hire children which
is wrong , however if the business does not buy from the factories the children will not earn money
and the business may have to go and buy from somewhere more expensive.
Corporate social responsibility
CSR is about the fact that businesses have an impact on the people and the planet , the business
will have to fix where they damage for example if a business is causing pollution by not making their
bottles recyclable, they can make it recyclable which will help the environment. If a business has
branches in other countries and taking space in other countries, to help the community they can
build a school for the children in the area which could stop people from complaining.
Corporate Governance
Corporate governance is about how the senior managers deal with the assets and resources;
whether they misuse it, take advantage and use it unfairly. Some senior managers may give shares
to their family members without making them pay for it which is why senior managers need to have
procedures to check their choices and if they can be trusted with assets and resources. Some
senior managers do not have the intention of benefitting the company and they will rather only care
for the interests of themselves and not the companies. Procedures may consist of someone writing
what is being said in their meetings and also rotating their job roles which means they cannot stay in
the same position for more than 3 years.
Sustainability
This about how businesses should not use up the natural resources and also not damage it, so it
can be there for the future generations. People will not deal with the business unless they are
thinking about the people and the planet when they make their decisions. For example their
products should be recyclable, be able to be re used, reduce what they use, restore which means
they will try and fix what is broken instead of replacing it and in terms of renewable a business can
use a wind turbine to create electricity instead of using direct electricity. Also the resources a
business uses should not affect the people and the planet and rather they should help keep the
planet un polluted.
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operational activities.
Business ethics
Business ethics is how businesses should act in terms of having morals, also the business should
have values which will allow them to think of the people and the planet. Which means even though
the business wants to make profit they will need to think about the people and the planet for
example they should ensure their products are recyclable if that’s what their business relates to, in
order for the planet to be safe. If the business has good ethics , customers are going to want to
shop with them as they know the business is think about them and the planet. Also the business will
need to be honest and compete fairly and not lie about other businesses in order for customers to
come to them instead. Business shouldn’t lie about their products or service for example if a
business is selling shoes and they say it’s comfortable, it should actually be comfortable. Also they
should protect the environment and not harm others; a business that sells drinks should make sure
their ingredients are safe for customers to drink. Also if a business is selling clothing they will need
to buy it from manufactures in other countries and usually these factories there hire children which
is wrong , however if the business does not buy from the factories the children will not earn money
and the business may have to go and buy from somewhere more expensive.
Corporate social responsibility
CSR is about the fact that businesses have an impact on the people and the planet , the business
will have to fix where they damage for example if a business is causing pollution by not making their
bottles recyclable, they can make it recyclable which will help the environment. If a business has
branches in other countries and taking space in other countries, to help the community they can
build a school for the children in the area which could stop people from complaining.
Corporate Governance
Corporate governance is about how the senior managers deal with the assets and resources;
whether they misuse it, take advantage and use it unfairly. Some senior managers may give shares
to their family members without making them pay for it which is why senior managers need to have
procedures to check their choices and if they can be trusted with assets and resources. Some
senior managers do not have the intention of benefitting the company and they will rather only care
for the interests of themselves and not the companies. Procedures may consist of someone writing
what is being said in their meetings and also rotating their job roles which means they cannot stay in
the same position for more than 3 years.
Sustainability
This about how businesses should not use up the natural resources and also not damage it, so it
can be there for the future generations. People will not deal with the business unless they are
thinking about the people and the planet when they make their decisions. For example their
products should be recyclable, be able to be re used, reduce what they use, restore which means
they will try and fix what is broken instead of replacing it and in terms of renewable a business can
use a wind turbine to create electricity instead of using direct electricity. Also the resources a
business uses should not affect the people and the planet and rather they should help keep the
planet un polluted.
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