Business Ethics - 1142 Words

Determine the impact of this event on ARC’s â€Å"benefits of business ethics† (employee commitment, investor loyalty, customer satisfaction, and bottom line). A survey conducted by NBES indicated that 79 percent of employees agree that ethics is important in continuing to work for their employer while approximately 20 percent of employees are not concerned about the ethical environment of the organization. According to Ferrell amp; Faedrich (2010), a commitment by the organization to goodwill and respect for its employees usually increases the employees’ loyalty to the organization. The misconduct by executives, slow responses to disasters, money mismanagement, and donation mismanagement issues caused a division between the organization†¦show more content†¦ARC was able to overcome a lawsuit that Johnson amp; Johnson filed which claimed that ARC was benefitting from confused consumers who thought the cross on the first aid kits, preparedness kits, and related products were actually being sold by Johnson amp; Johnson. Both parties dismissed their suits and countersuits and ARC’s reputation did not suffer any further damage as a result (Ferrell, Ferrell, amp; Fraedrich, 2010). ARC also implemented a Code of Ethics to give to all its employees, which cover conduct and business ethics. All employees are required to read all the material and give their signature as acknowledgement. There is still skepticism about the ethics and conduct at American Red Cross, however, they have taken steps in the right direction to improve their reputation and bottom line. Determine and discuss the ways in which ARC’s corporate governance failed to provide formalized responsibility to their stakeholders. Corporate governance involves formal systems of accountability, oversight, and control that remove the opportunities for employees to make unethical decisions. American Red Cross’ corporate governance failed to provide responsibility to its stakeholders because of organizational changes at the top. There was no consistency in management and therefore, no accountability. The lack of corporate governance was responsible for the organization’s slow response to September 11th alongShow MoreRelatedBusiness Ethics : Ethics And Business943 Words   |  4 Pagesdiscussions in Business is Ethics. Some people believe that the decisions businesses make in interest of the business has no place in ethics and that they are essentially amoral. These businesses believe that their main objective is to simply make a profit and that it does not a ffect the success of the business. Whereas some businesses believe that they have to take ethics into consideration, in order for their business to be a success. Richard T. De George (1999) states that ethics and business do notRead MoreThe Ethics Of Business Ethics1471 Words   |  6 PagesReview Nowadays, the concern for business ethics is growing rapidly in the business community around the world. Business ethics are focused on the judgment of decisions taken by managers and their behaviors. The issue regarding these judgments is the norms and cultures that shape these judgments. Business ethics are concerned about the issue, how will the issue be solved and how will it move ahead along the transition analysis as well (Carroll, 2014). Business ethics can be addressed at differentRead MoreEthics And Ethics Of Business Ethics1304 Words   |  6 PagesBusiness Ethics Varun Shah University of Texas at Dallas Business Ethics Morals are a crucial part of life. Without having principles one would never be able to distinguish the right from wrong and good from evil. Just as it applies to life in general, ethics is an integral part of doing business as well. When we here the term Business Ethics in our work place, we usually do not take it seriously and brush it off saying ‘it’s just a simple set of basic rules like not cheating and so on’. ThisRead MoreThe Ethics Of Business Ethics Essay1097 Words   |  5 PagesResource A discusses how ethics is crucial in business. There are three key ideas used to understand this. Firstly, making ethically wrong decisions tend to cause more upset than other general mistakes as purposeful unethical actions are not as easily forgiven or forgotten. Secondly, ethics provides businesses with a broader understanding of everything to do with their business. Business ethics is effectively just business it its larger human context. Thirdly, being unethical ca n tarnish the publicRead MoreThe Ethics Of Business Ethics1064 Words   |  5 Pages　　　　Business Ethics Ethics can be viewed as the rules and values that determine goals and actions people should follow when dealing with other human beings. However, business ethics can be defined as moral principles of a business. It examines moral or ethical problems that arise in a business environment. Generally, it has both normative and descriptive dimensions. Organization practice and career specialization are regarded as normative whereas academics attempting to understand business behaviourRead MoreThe Ethics Of Business Ethics757 Words   |  4 Pagesdeciding what to do in certain situations, ethics is what guides an individual to act in a way that is good, or right. Those involved in business settings apply ethics to business situations, known as business ethics. It is expected of businesses, small and large, to follow business ethics. There is a particular framework businesses are to follow. However, the reoccurring news headlines of poor business ethics prove differently. Poor busine ss ethics include bribery, corporate accounting scandalsRead MoreEthics And Ethics Of Business Ethics1200 Words   |  5 PagesEthics meaning in simple way for average person is what is right from wrong. According to Chris MacDonald (2010)† Ethics† can be defined as the critical, structured examinations of how we should behave - in particular, how we should constrain the pursuit of self-interest when our actions affect others. â€Å"Business ethics is the applied ethics discipline that address the moral features of commercial activity (Business ethics, 2008).Working in ethical way in business has a lot of benefits which can attractRead MoreBusiness Ethics Essay944 Words   |  4 PagesUnderstanding Business Ethics Unit 37: National Diploma Assignment brief TASK 1: Scenario: Business ethics - a study of a selected company With growing interest among consumers regarding the business ethics of the businesses brands that consumers buy, Westminster council wants to conduct an independent review of some of the organisations that sell their goods and services in the borough. You have been asked to select one of the following brands and conduct research into their business ethics. Read MoreThe Ethics Of The Business Ethics1431 Words   |  6 Pages BUSINESS ETHICS INTRODUCTION:- Presentation Ethics are exceptionally regular and essential good esteem that helps us to take the right choice where we think that it hard to pick between our own advantages and the correct thing to do. We are going to talk about three sections of morals Behavioral morals, Bounded ethicality and last one is irreconcilable situation. As from the names of these parts of morals, its verging on clarifying the significance of it. It clarifies why great individualsRead MoreThe Ethics Of Business Ethics Essay2711 Words   |  11 PagesBusiness Ethics Business ethics is a type of professional ethics or applied ethics which examines moral problems and ethical principles that come up in a corporate environment. It is applied to every aspect of conducting business. According to Milton Friedman, a company has the responsibility to generate as much revenue as it can while still conforming to the basic rules that society has set. These rules include the ones embodied in customs as well as in law. Similarly, Peter Drucker stated that