Question

what makes business decision morally or ethically right or wrong ?

Answer 1

Ethics is defined as a system of moral principles that governs a person's behavior. It is differentiating right and wrong in the world and satisfying basic human needs. Ethics is the concerned with what is good for society and it describes moral philosophy.

In business, ethics has much importance and it inspects the ethical principles and problems that can occur in the field. Business ethics refers to current organizational standards, principles, sets of values that govern the actions and behavior of an individual in the organization.Good ethical standards of a firm can bring more benefits to business. It will attract customers to the firm’s product, more employees wanting to work for the business and more investors. Reputation of a firm is one of the most supreme asset that can be made by keeping strong ethical standards. Maintaining the promises it has made is important to maintaining that reputation. Unethical behavior may destruct a firm’s reputation and rebuilding the prestige is not a simple matter.

Ethical decision making in business provides the guiding requirements for right conduct. These requirements often come as the result of organizational definition and agreement. A proper decision should made by considering the moral rights,  fairness or justice,  principles of firm and cost-benefit. A good decision will make comfort condition to both workers and customers. Right decision and right action should be there to keep standards. A firm should take care to avoid the situation that, a person's morals come into conflict with the organization's ethics. The following are remarkable to make right decision:

• Decision should conform to the company's values and code of ethics and to meet legal requirements.
• Company should promote good and reduce harm to the society.
• Each decision should ensure our duties as a good corporate citizen.
• Respects should be given and rights of everyone should be preserved.
• Company should keep honesty and open communication.
• Each decision should be truthful.

Moreover, ethics of business is more complex than business.Having a method for ethical decision making is absolutely essential for good business environment.