3.4.4 Business ethics

Question 1

What are business ethics?

1

Answer 1

• Moral principles that underpin decision making

Question 2

What are the benefits of being ethical?

3

Answer 2

• ^Motivation, clear moral purpose ^retention
• Differentiation, price premium
• Easier access finance ^rep

Question 3

What are the drawbacks of being ethical?

3

Answer 3

• > Profit, ^costs training, upset shareholders
• > Growth, opportunities turned down if no morality
• > Demand, ^prices to cover costs (PED)