Critically evaluate the significance and the relationship between ethics and Business as explained by the author.
With suitable examples (at least 2) discuss the importance of trust in business. What happens when trust is lost?
Discuss how ethics could be incorporated in education, particularly for business students.
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Introduction:
In the field of business, it is essential to understand the importance of ethics and trust. The relationship between ethics and business is a complex one, and it requires a critical evaluation. The significance of trust cannot be underestimated in the business world. It is an essential aspect that determines the success or failure of any business venture. Incorporating ethics in education, particularly for business students, is crucial. It provides a foundation for the students to understand the ethical implications of their actions in the business world.
Answer for question 1:
The relationship between ethics and business is evident in the impact it has on the stakeholders, including employees, customers, investors, and the society at large. Ethics refers to the moral principles that govern behavior, whereas business pertains to making a profit. The author stresses the significance of ethics in building a sustainable business venture. Unethical practices such as fraud, corruption, and exploitation tend to attract negative attention and damage the reputation of the business. Therefore, incorporating ethical practices in business enhances the moral standards of the organization, and it forms the basis for trust and reliability.
Answer for question 2:
Trust is an integral part of any business transaction. It enables the stakeholders to have confidence in the products or services they receive. Two examples that highlight the importance of trust in business include the banking sector and e-commerce. In the banking sector, customers entrust their money to the bank. If the bank engages in fraudulent activities, such as diverting customer funds to personal accounts, customers lose confidence, and the bank’s reputation is tarnished. In e-commerce, customers rely on the business to deliver quality products. Failure to deliver the products as per the customer’s order results in loss of confidence and can even lead to legal action against the business. When trust is lost, customers shy away from conducting business with the company, causing a decline in revenue and damaging the reputation.
Answer for question 3:
The incorporation of ethics in education, particularly for business students, is crucial. It provides a foundation for understanding the ethical implications of their actions in the business world. Ethics could be incorporated through case studies, where students analyze ethical scenarios and provide recommendations on the best course of action. Another method is incorporating ethics codes and guidelines into the syllabus. The codes provide guidelines for ethical behavior and help students understand the significance of ethical considerations in business decision-making. Finally, ethical training sessions conducted by professionals from various disciplines could be held to enlighten the students on the ethical considerations that arise in business. Incorporating ethics in education equips the graduates with ethical principles to guide their behavior in the business world.
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