Wednesday, 18 May 2016

Benefits of ethical responsibilities in business


Image courtesy of winnond at FreeDigitalPhotos.net

Hello readers, today I will be writing about ethical responsibilities. These days some businesses are concerned with the legal implications of their decisions without considering the ethical implication of the decision. Whether they deem it wrong or right ethically as long as it is not supported by law they ignore the ethical implications.

At times businesses make decisions that may affect a group of stakeholders negatively because there is no law that governs such decisions, they able to rationalize it because they are far away from the stakeholders they cannot see the implication that it will have on those stakeholders. 

Personally, I will say you should be ethical in business whether or not its protected by law or it comes with benefits or not. However, the benefits of being ethical are explained for those that do care about ethical responsibilities.

Another thing is it could backfire, you may say let us use this very inferior quality to make this product and sell it 50% above cost of production but then customers buy and they become dissatisfied. This could lead to a lot of complaints, thus tarnishing the image of the products which will eventually lead to decreased sales.

- Being ethical could attract more customers. Some customers like to be associated with ethical companies. Being ethical could also serve as a competitive advantage in businesses. Thus, it could lead to an increase in sales.

- Being ethical also means that employees would be satisfied since they will treated well. Thus, the company will be able to attract and retain good employees.

Keep checking out my blog regularly, cheers!


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