4.2 The role of business in relation to Ethical Practice in a global business

Question 1

Define ethical Practice

Answer 1

the principles, values, and standards that guide business’ behaviour and decision-making.

Question 2

The role of business in relation to ethical practice in a global business, including:

Answer 2

• minimum standards of labour by the International Labour Organisation (ILO), including the use of child labour
• corporate social responsibility
• environmental sustainability

Question 3

how can ethical practises be measured

Answer 3

It can be assessed through how a business complies with legislation and upholds other relevant societal values.

Question 4

corporate social responsibility(CSR)

Answer 4

the ** commitment by businesses to conduct themselves ethically and responsibly.**

Question 5

CSR Refers to what?

Answer 5

Actions and decisons Taken by businesses which has positive effects on the society around them.

Question 6

examples of Actions and decisons made by Businesses in CSR

Answer 6

1.Environmental decisions such as
* reducing carbon emissions
* implementing sustainable practises
2.Social actions such as
* supporting local communities
* promoting diversity & inclusion
* contributing to economic development

CSR is about businesses going beyond profit-making to contribute to the well-being of society and the environment

Question 7

A company looking to engage with CSR will look beyond the demands of shareholder and be ……?

Answer 7

motivated by the needs of the broader range of stakeholders such as employees, customers, the environment and people in the local community. 

Question 8

A company may sacrifice time and money to comply with CSR for the long term goal of sustained growth.What doe this do?

Answer 8

This reflects the concept of valuing long term progression over short term profit.

Question 9

IMAGE ON CSR

Answer 9

Question 10

How Do Businesses implement CSR?

Answer 10

• Creating a safe and healthy workplace 
• Encouraging work/life balance 
• Maintaining high standards of ethical business practice 
• Take responsibility for business operations 
• controlling carbon footprint

Question 11

How do Business benefit from CSR?

Answer 11

• Improved financials (Revenue, Profit, Expenses)

*** Improved public image and market share **

• Increased sales and customer loyalty (especially socially minded consumers)
• Improved relations with government (preferential treatment, minimised penalties in recognition of ‘good behaviour’)
• Increased investment (especially socially minded investors)

Question 12

how to build CSR

Answer 12

Invest in charities (and promote investment)

Build positive relationship with the local community

Invest in staff wellbeing and progression

Source materials and services from ethical providers

Reduce waste and emissions

Comply with relevant legislation

Fund initiatives that improve employee lives

Support initiatives that improve employee lives

Question 13

What do companies committed to CSR Build?

Answer 13

positive reputation and public image that can help them **increase brand awareness and customer loyalty.  **

Question 14

role of CSR

Answer 14

allows business to conduct themselves ethical and manage their impact on the quality of life of of employees and the local community and society when making business decisions.

Question 15

minimum standards

Answer 15

International Labour Laws implement a standard for workers who may be exploited by business owners. E.g. setting standards for pay and working conditions

Question 16

why are International Labour Laws Important?

Answer 16

• They reduce exploitation in labour
• Ensure fair treatment and increased prosperity for everyone around the world

Question 17

How do we implement International Labour Laws? 

Answer 17

Through the use of the International Labour Organisation (ILO) that has been setting standards for employment to ensure economic growth is accompanied by social justice, prosperity

They play an important role in defining minimum work standards around the world to reduce exploitation, while encouraging international trade and cooperation

Question 18

Which organisation doe the International Labour organisation fall under?

Answer 18

The ILO is a United Nations agency dealing with issues like interenational Labour standards.it brings 186 member states representatives to aim to set minimum standard in the world of work.

Question 19

International Labour(ILO) Organisation Standards

Answer 19

ILO Standards” are either conventionsor recommendations

Question 20

Convetions in the ILO

Answer 20

Legally binding international treaties ,signed by the ILO’S member nations(188 in existence)

C182 - Worst Forms of Child Labour Convention, 1999

Question 21

recommendations in The ILO

Answer 21

**
non-binding guidelines which provide detailed suggestions on how conventions could be applied.

199 in existence

**

Question 22

Minimum Standards of Labour:

There are four aspects of labour standards that are considered to be fundamental to social justice and prosperity:

Answer 22

1.Elimination of Discrimination towards employment and occupation
2.abolishment of child labour
3.abolishement of all forms of forced /compusory labour
4.Freedom of association and the effective recognition of the right to collective bargaining 

Question 23

The worst Forms oof Child Labour Convention requires member nations to do what?

Answer 23

eliminate the worst forms of child (under 18) labour (akin to child slavery), including;
* sale & trafficking of children
* forced or compulsory labour
* debt bondage **(Child forced to work to repay a family debt)

Question 24

after being freed from unethical work ILO members are required to do what?

Answer 24

to ensure that free basic education and vocational training is widely available to child workers.
This is an attempt to offer children an opportunity to break the cycle of poverty and define prosperous futures for themselves

Question 25

Define Environmental sustainability

Answer 25

Businesses Making decisions that aim to maintain an ecological balance and conserve natural resources for the future.

Question 26

why are companies motivated by protecting the enviroment & society?

Answer 26

It creates Goodwill for their brands amongst customers

Question 27

what makes environmentally sustainability business practices important ?

 

Answer 27

the fact that business decisions and activities are increasing and impacting other countries .

Question 28

why are Green initiatives effective?

Answer 28

they save money by reducing packaging materials ,minimising transportation emmission and using energy efficient lighting $machinery.

Question 29

how can the use of Green initiatives help businesses ?

Answer 29

They decrease business expenses **
increase public image(which can lead to increased revenue,market share ,brand loyalty** )

Question 30

an example of environmentally sustainability business practice is……?

Answer 30

responsibly sourced inputs/supplies