Question

In the modern business ethics reality, Canadian corporations - and those in most English - speaking countries - are increasingly accountable for their actions (and inactions) to a broad range of stakeholders. Moreover, because the support of stakeholders is now generally regarded as essential for a corporation to reach its strategic objectives, measures to gain and keep this support are now expected to be integrated into governance procedures, policies, strategies and actions in the workplace. Discuss.

Answer 1

Ethics : It means principles, values, code of conduct that are observed from person to person and which governs the fundamental behaviour of human being. It differs from person to person. What is considered as ethical for one person might be unethical for some other person. Ethics in general sense means that how a human being is taught to live his or her life, how they behave with other and what they do when no one is observing them. It tell us that what is good and what is bad, what is right and wrong. Honesty , responsibility , accountability, respect, good communication behaviour reflects some examples of ethical behaviour.

Three factors that might affect the good ethical conduct are :

1) Individual approach : Whether to behave ethically or not is a person own call. He or she will behave as per the situation, there personal thinking.

2) Conflict of interest means personal and public interest. A person need to differentiae between personal and Public interest base on there ethics

3) Opportunities : When a person have opportunity to do fraud but it depend on his or her ethical behaviour To stop business fraud and related financial frauds ,

Sarbanes Oxley Act 2002 is created to stop the corporate world fraud. It is there to protect the whistleblowers,investors , to bring transparency in the entities , to strengthens the independence and financial position of the corporates. There are set of rules and regulation set by the board. The law was made specifically for Public listed company but it grabs the non profit making entitles also

It is mainly to protects the shareholder interest, employees and public from the fraudulent financial activity. Due to big fraud of Enron Corp. public , employees and investor loss the trust as there were many fraudulent activity was conducted by the firm. They conducted the fraudulent financial activity due to the unethical behaviour of management and due to there personal benefit.