1. ethics in business

Ethics in Business

Monsters Inc. What is business ethics: Here

Specification detail The meaning of the term ‘ethics’ in

business and the complexity of moral issues affecting organisations

Possible trade-off between ethics and profit

The importance of the potential effects of pressure group activity

Legal Vs Ethical Being legal means operating within the

law. Being Ethical means doing what is

right.

Example: Trading Standards : Here

Definition of Business Ethics

Businesses which follow moral principles.

Ethical behaviour covers every aspect of business including: Who they buy their supplies from How they treat its employees How they act toward their competition Their impact on the environment Their impact on the local community

TASK: What impact can businesses have

on the environment and communities? Here

Using the following examples, in pairs decide what you could do to make your business more ethical.

Cigarette company

Clothes store

Palmolive

Movie maker

Gymnasium

Green grocer

Hairdresser

Travel Agent

Cafe

Book shop

Trade off between ethics and profit

Go Ethical: An advertising company who refuse to work for cigarette companies or clothes stores who produce items in a sweat shop.

Go Profitable: An oil company, Total, had a fire which ignited 300 tonnes of petrol in the UK. Some residents received compensation (money for their loss), but many were left. 1,300 claims were left outstanding. £370million.

Go Both: By becoming more ethical, you will attract customers with a ethical conscience. Product trial and repeat purchase.

Body Shop

Body Shop: Here

The importance and effects of pressure group activities

Pressure group: An organised group that seeks to influence government, legislation or business behaviour. E.g. Greenpeace, Amnesty International, Searchlight

Nike suffered serious sales decline when its expensive trainers were produced by low wage far Eastern factories. Pressure groups lead consumers to boycott the business.

Here and Here

Revision clips Corporate social responsibility

(CSR) - selling water: Here Advertising online: Here

Healthy Business : Here