Chapter 2 Flashcards
The discipline dealing with what is good and bad, right and wrong, or
with moral duty and obligation.
Ethics
The implied, enforced, or felt obligation of managers, acting in their official capacity, to serve or protect the interests of groups other than themselves.
Corporate Social Responsibility
focuses on the possible future impact of an organization on society, including social welfare, the economy, and the environment.
Corporate Sustainability
ascertain social, cultural, legal, and other economic limitations and safeguard the interest of parties involved. Further, it emphasizes moral and social values like consumer protection, welfare, fair business practices, and service to society.
Business Ethics
Types of Business Ethics
- Corporate Responsibility
- Social Responsibility
- Personal Responsibility
- Technology Ethics
- Fairness
- Trustworthiness and transparency
The organization works as a separate legal entity with certain moral and ethical obligations. Such ethics safeguard the interest of all the internal and external parties associated with the firm. This includes the employees, customers, and shareholder.
Corporate Responsibility
Making profits should not be at the cost of society
Social Responsibility
Employees are expected to act responsibly with honesty, diligence, punctuality, and willingness to perform excepted duties. Individuals should settle dues in time and avoid criminal acts
Personal Responsibility
includes customer-privacy, personal information, and intellectual property fair practices.
Technology Ethics
Personal beliefs and biases should not affect decision-making. The firm has to ensure fair chances of growth and promotion for all
Fairness
Carroll’s Pyramid of Corporate Social Responsibility
- Discretionary Responsibilities
- Ethical Responsibilities
- Legal Responsibilities
- Economic Responsibilities
Proactively seek opportunities to make a positive contribution to society beyond profitability, compliance and business ethics. Organizations have a responsibility to understand broad stakeholder needs and to address societal concerns though their business practice
Discretionary Responsibilities
Requires organizations to consider social and environmental impacts of their operations and, as far as possible, to do no harm while pursuing business interests
Ethical Responsibilities
Requires that organizations operate within the law at all locations in which they do business.
Legal Responsibilities
To deliver an acceptable return for shareholders (while contributing to local and global economies through their core business).
Economic Responsibilities