Question

Deep your view on the relationship between corporate culture (ethical standards) and a company's effort to comply with laws and regulations.

Answer 1

There is very close relationship between culture (ethical standards) and a company's effort to comply with laws and regulations.because when a Company have organizational culture with ethical standards then they make decisions in business which do not violate laws and regulations. They do business with honesty, transparency and legally.

There are many businesses who have ethical organizational culture like TOMS shoe company which is focus on doing business socially like One for one model to donate one pair of shoes with every purchase of pair of shoe to poor children. it is great example who company is working legally as well as with ethical standards of honesty. fairness, benefit to society, integrity etc.

When in an organization, the culture involves unethical standards like bias, unfairness to employees, customers and society,only profit making by breaking rules and regulations then business start to face legal issues and cases towards it.

for example- If a company make policy and culture where only it hires male employees or provide promotion to male employees then it is unfair and biased decision so it attracts discrimination legal suits for not complying with EEOC laws.

So, ethical standards help companies to form a effective organization culture as well as make sure laws and regulations are followed effectively by everyone.