Business Ethics and Social Responsibility

Business ethics is a form of applied ethics that examines just rules and principles within a commercial context; the various moral or ethical problems that can arise in a business setting; and any special duties or obligations that apply to persons who are engaged in commerce. Generally speaking, business ethics is a normative discipline, whereby particular ethical standards are advocated and then applied.

It makes specific judgments about what is right or wrong, which is to say, it makes claims about what ought to be done or what ought not to be done. While there are some exceptions, business ethicists are usually less concerned with the foundations of ethics (meta-ethics), or with justifying the most basic ethical principles, and are more concerned with practical problems and applications, and any specific duties that might apply to business relationships.

Business ethics can be examined from various perspectives, including the perspective of the employee, the commercial enterprise, and society as a whole. Very often, situations arise in which there is conflict between one and more of the parties, such that serving the interest of one party is a detriment to the other(s). For example, a particular outcome might be good for the employee, whereas, it would be bad for the company, society, or vice versa. Some ethicists see the principal role of ethics as the harmonization and reconciliation of conflicting interests.

Ethical issues can arise when companies must comply with multiple and sometimes conflicting legal or cultural standards, as in the case of multinational companies that operate in countries with varying practices. The question arises, for example, ought a company obey the laws of its home country, or should it follow the less stringent laws of the developing country in which it does business?

To illustrate, United States law forbids companies from paying bribes either domestically or overseas; however, in other parts of the world, bribery is a customary, "accepted" way of doing business. Similar problems can occur with regard to child labor, employee safety, work hours, wages, discrimination, and environmental protection laws.

Business ethics should be distinguished from the philosophy of business, the branch of philosophy that deals with the philosophical, political, and ethical underpinnings of business and economics. Business ethics operates on the premise, for example, that the ethical operation of a private business is possible -- those who dispute that premise, such as libertarian socialists, (who contend that "business ethics" is an oxymoron) do so by definition outside of the domain of business ethics proper.

The philosophy of business also deals with questions such as what, if any, are the social responsibilities of a business; business management theory; theories of individualism vs. collectivism; free will among participants in the marketplace; the role of self interest; invisible hand theories; the requirements of social justice; and natural rights, especially property rights, in relation to the business enterprise.

Business ethics is also related to political economy, which is economic analysis from political and historical perspectives. Political economy deals with the distributive consequences of economic actions. It asks who gains and who loses from economic activity, and is the resultant distribution fair or just, which are central ethical issues.

Listed below are more articles related to the above article from the "Business Ethics" article category.

People interested in the above article "Business Ethics and Social Responsibility" are also interested in the related articles listed below:

Business Ethics: Managing Your Relationship With Competitors

As a business, your competitors are just that: competitors. However, the way you treat your competitors may affect how your customers and the media perceive your business, your ethics, and your friendliness. For those reasons, and more, it’s important that you carefully consider how you act with your competitors. In this article we provide guidance on how you can have a good relationship with competing businesses while limiting the impact this will have on your business success. When customers see you have strong ethics in how you deal with your competitors, they will know for sure that you’ll treat them right.

Joint Ventures: Do I Need A List?

A key element in successful joint ventures is to find someone who has a complementary product. Figure out what it is that you have that's unbelievable, that you know for a fact you do better than pretty much anyone else out there. Use your product to extend the product offering for someone else. You would be following a complementary product, and then you're going to go and say, "Add this to your product mix,” and you can put together a revenue share on that.

Joint Ventures With A Small Database

The first thing you need to know is that joint venturing isn't just limited to your database. Joint ventures are only limited by your creativity. You can use a joint venture for pretty much anything. Nothing is set in stone, and even if you start out as the middle person putting together deals and you don't have a database at all, you can still make it work.

Integrity First: Living the Honor Code in Business

Courage builds character. It’s the foundation of integrity. It gives you the thrust to make the correct choice and do what is right despite the consequences. Integrity First. It's core value #1 of the U.S. Air Force... embraced by our leadership, taught in our training programs, and a symbol of the commitment and character of the men and women serving our country.

Is Integrity Lost?

Is integrity lost? I think not... you just get what you think about the most and expect. If you deal with people with integrity, you will always get it in return.

Legal Thriller Author Dissects Con Man-Inspired Courtroom Scam

In bankruptcy, a competent judge will frown mightily on a con man style shell game, any spending pattern that does not add up.

Con Man's Legal Phone Scam - 900 Phone Line Offer

How to become your community's lonely hearts matchmaker, resident psychic, or neighborhood horn dog.