Question

please summarize the position taken by Professor Friedman on the question of whether coporations a should be considered to have an obligation to act eithically. what are his basic arguments? what example does he use to support thoes arguments?

Answer 1

Business ethics is over simply a thought accustomed enhance the image of a corporation; ethics are the terribly foundation of success. Business ethics ought to be applied from the terribly moment a firm opens its doors. Business ethics truly consists of the actions of people operating at intervals businesses. it's unfortunate that some workers within the higher echelons of the company ladder plan to act unethically, however it's a reality of business and of life. For this reason, it's vital for a business to use caution of United Nations agency they promote at intervals their company.

The social responsibility company have-

Corporate social responsibility may be a phrase heavily utilized in the business world. company social responsibility refers to business practices and initiatives that profit society, not simply the corporate. as an example, businesses that specialize in energy potency and initiatives that profit the setting the active company social responsibility. Thus corporations that follow philanthropic gift and have glorious labor practices. company social responsibility is an integral a part of business ethics and will be practiced by all entities, whether or not giant or little. company social responsibility involves every individual at intervals a corporation taking part in giving back to the community. during this manner, the complete company is contributory to society and acting ethically. to grasp the importance of ethics in business, it is important to appreciate however business ethics have an effect on those concerned. moral and unethical behavior directly impacts not solely the organization however the community and society at giant.

Examples of business ethics and why they're vital a part of the organization-

1- Govt Compensation and Layoffs- When the CEO of a corporation accepts a raise or doesn't take a pay-cut once many folks are being arranged off, this could be thought of unethical. The CEO incorporates a responsibility to try and do what is best for the complete corporation. once a corporation should lay off workers however the CEO does not share within the suffering, it shows an absence of take care of those within the organization.

2- Below commonplace Wages- Paying a good wage is AN moral follow, however some corporations or managers ask for to pay very cheap doable wages to spice up profits. However, this could backfire and hurt the business. If a store pays his or her workers but the going rate whereas knowing precisely what the going rate is, many things might happen to wreck the business.

The drawback of the business United Nations agency don't follow moral thought within the business-

1- Legal problems: Businesses that act unethically in ways in which break the law might face giant fines and different penalties.

2- Poor worker performance: an absence of ethics at intervals a corporation affects the manner workers do their job. folks will decide that as a result of leaders will break the principles, they will too. this could lead them to wreck the corporate.

3- Poor company credibility: once a corporation is unethical, it affects its name. Not solely can the leaders and company lose respect from workers,
they'll lose quality with the final public yet. this could end in reduced sales, lost customers, and important money hurt.