2.2 Ethical and environmental considerations Flashcards
Ethics
Ethics refers to whether a business decision is thought to be morally right or wrong. An ethical decision is made on the basis of what is judged to be morally right.
Profit
Profit measures the difference between the values of a business’s revenue (sales) and its total costs.
What is a fair trade product
Fair trade products are those for which customers pay higher
prices and offer better trading terms, such as payments with orders. The aim is to improve the living standards of people
in poorer countries where the products are produced.
What is social responsibility?
Social responsibility is an approach to managing businesses in which the interests of all groups in society are taken into account when making decisions.
What is the enviroment
The environment is the natural world in which we live. It is the landscape and its natural features such as the seas, rivers,
forests and mountains.
What is external costs?
External costs of production arise when a business’s activities
result in harmful effects on other people not directly involved in
production.
What are non renewable resources
Non-renewable resources are those of which only a limited
amount exists such as coal and oil.
What is global warming?
Global warming is the gradual heating of Earth’s surface, oceans and atmosphere
What is sustainability?
Sustainability refers to methods of production which can be continued in the long term without damage to the environment.
What is recycling?
Recycling is the reuse of raw materials used in making products, often for many times. Examples include the reuse of glass, paper and metals.
What is environmental reporting?
Environmental reporting is the publication of a business’s environmental performance to the general public
What is a pressure group?
A pressure group is a group of people with a common interest
who influence public opinion and decisions by businesses and
governments.
What is environmental responsibility?
Environmental responsibility refers to the taking of decisions by businesses, consumers, governments and other groups with the intention of protecting the environment.
