Importance Of Ethincs in Business

IMPORTANCE OF ETHICS IN BUSINESS…

There are many definitions of ethics, but, according to author Herbert Johnston, ethics is concerned with two things: human conduct and what ought to be done. It also involves people’s perceptions about what “should” be done. People have duties to do what is right and to not hurt other people. More or less, ethics involve obligations.
Johnston also defines ethics as “a practical, philosophical science by which we may reach conclusions concerning the rightness or wrongness of voluntary acts as related to our last end”

After the definition what’s important in any business is being ethical. Business ethics are becoming very important in today’s economy. In fact if you look more into detail, ethics can make or break a company. There is an old saying old saying: “cheaters never win.” If someone runs a business with honesty and integrity it will not only put you ahead in life, it will also move your organization forward to great success. Even Customers will recognize that they are being treated fairly and continue to return to a company that provides good, ethical services. People do not want to deal with someone whom they think are legitimate. Majority of people appreciate an honest, hardworking company with great ethics or mission statement hanging on the wall in the office. Today more and more companies are investing time and money into learning more about ethical business and an increasing number are attending workshops
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On searching on to the internet I also found out about a survey conducted by Ray Baumhart’s - on 1,031 businessmen, the most influential incentive for being ethical was a man’s personal code of behavior. Most people are ethical because of what they believe to be right. Most people want to take the credit for doing the right thing when they will be recognized or even rewarded. The true test is seeing what people do when no one is looking. The following list are the other top 5 choices in descending order of importance to the surveyed businessmen: 2. formal company policy, 3. the behavior of a man’s superiors, 4. the ethical climate of the industry, and 5. the behavior of a man’s equals in the company.

One can very well determine that ethics in business are like a backbone. Its always advisable for any new business in stage of planning for operation should have greatly examined their ethical holdings ,as that’s how they can outcome with the objective of getting new customers and gaining there loyalty.
Recently I have read the article about Travelocity – Michelle Peluso and how did she turned a company from 55 million dollar loss to 13 million dolor profit in a spam of one yes its recommended to the readers of this blog to definitely go through the article.

Travelocity's Michelle Peluso Changed the Business Model and the Company Took Offhttp://knowledge.wharton.upenn.edu/index.cfm?fa=viewArticle&id=1315