It is a form of applied ethics that studies ethical principles and the ethical or moral problems that arise in a business environment. It applies to all aspects of business management related to the behavior of individuals and business organizations as a whole. Applied ethics is a field of ethics that deals with ethical issues in many areas such as medical, technical, legal, and business ethics.
Since the beginning of the 21st century there has been an increase in demand for more ethical business processes and procedures known as “ethics”. Meanwhile, pressure is being applied to the industry to improve business ethics through public sector initiatives and new laws (such as higher road taxes in the UK for high-emissions cars). Often times businesses can achieve short-term gains by operating unethically, but such behaviors tend to undermine the economy over time.
Business ethics can be normative and descriptive discipline. Like corporate practice and career specialization, the field is primarily normative. It is also taken in the descriptive academic method. The extent and extent of business ethics reflects the degree to which businesses view non-economic social values. Historically, interest in business ethics increased during the 1980s and 1990s, in both large companies and academies. For example, today most major corporate web sites affirm their commitment to promoting non-economic social values within a range of headings (such as codes of conduct, charters and social responsibility). In some cases, companies have redefined their core values in light of ethical business considerations (such as Beyond Petroleum).
Accounting information ethics
Creative Accounting, Revenue Management and Financial Analysis Misleading.
Market dealings, securities fraud, brokerage firms, forex fraud, about criminal manipulation of financial markets.
Executive Compensation: About exaggerated amounts paid to corporate executives and top management.
Bribes and payment for facilitation: While these may be in the (short term) benefit of the company and its shareholders, these practices are anti-competitive or inconsistent with society’s values.
Business ethics and human resource management
Human resource management ethics covers those ethical issues arising around the relationship between employers and employees, such as the rights and duties owed between the employer and the employee. The business owner does not have to be an individual, especially in the state-owned government sectors, as the employer is the state and represented in the management of public money owned by the people and upon which the legitimate authority in the state has been entrusted. The interest in business ethics has increased due to its association with the economic power of countries and institutions alike, especially since employee ethics play a fundamental role in supporting the reputation of state institutions and business sectors, and the collapse of employee administrative ethics may lead to the collapse of governmental institutions and organizations, especially in the long run. The importance of adherence to the ethics of the public office is no less important than the business ethics in the private sector because it is directly related to the quality of the product, whether it is a good or a service provided to the public.
Discrimination issues include discrimination based on age (discrimination against the elderly), gender, race, religion, disability, weight and attractiveness. See also: Affirmative Action and Sexual Harassment.
Issues arising from job performance evaluation
Issues arising from the traditional view of relationships between employers and workers, also known as employer-willing employment policy.
Issues surrounding employee representation and democratization in the workplace: Unions, Strike Break.
Issues affecting an employee’s private life: workplace surveillance, drug testing. See also: privacy.
Issues Impacting Business Owner Privacy: Exposing Corruption.
Issues related to the fairness of the employment contract and the balance of power between the employer and the employee: slavery, temporary servitude, and labor law.
Occupational Safety and Health.
All of the above is also relevant to the hiring and firing of employees. An employee cannot be hired or fired on the basis of race, age, gender, religion, or any other discriminatory basis.
Sales and Marketing Ethics
Marketing, which goes beyond simply providing information about (and reaching out to) a product, may seek to engage with our values and behavior. This is acceptable to a certain extent, but where is the moral line that can be placed? Marketing ethic is strongly intertwined with media ethics, because marketing is heavily used by the media. However, media ethics is a much larger topic, and extends outside business ethics.
Pricing: price fixation, price discrimination, and reduction.
Anticompetitive practices: These tactics include pricing to cover issues such as manipulation of loyalty and supply chains. See: Anti-competitive practices and antitrust law.
Specific Marketing Strategies: Feigning Environmentalism, Advertising Fraud, Shell, Viral Marketing, Spam (Email), Hierarchical System, Planned Prescription
Ad content: offensive ads, informative messages again, sexuality in ads, or products deemed unethical or harmful.
Children and Marketing: Marketing in Schools.
Black market and gray market.
Intellectual property ethics, knowledge and skills
Knowledge and skills are valuable but not easy ownership like things. It is not clear who has more rights to the idea: the company that trained the employees, or the employees themselves? The country in which the company grew or the company that was discovered placed in the potential medical station? As a result, attempts arise to assert moral ownership and disputes over ownership.
Patent infringement, copyright infringement, trademark infringement.
Misuse of intellectual property systems to stifle competition: abuse of patents, misuse of copyright, patent infringement of an invention, patent keeper.
Even the concept of intellectual property itself has been criticized for ethical reasons: see Intellectual Property.
Employee Attraction: The practice of luring key employees away from a competitor to make unfair use of the knowledge or skills they may possess.
The practice of hiring all the most talented people in a particular field, regardless of need, in order to prevent any competitors hiring them.
Bio-prospecting (ethical), and biopiracy (unethical).
Intelligence and industrial espionage work.
Cases: Private Sector versus Public Interest in the Human Genome Project
Ethics, computer technology, and the global network are two of the most important inventions of the twentieth century. There are several ethical issues that arise from this technology. It is easy to access information. This leads to data mining, workplace surveillance, and an invasion of privacy.
Medical technology has also improved. And pharmaceutical companies have the technology to produce life-saving drugs. These medicines are protected by patents and there are no other generic medicines available. This raises many ethical questions.