The commonsense and immediately obvious definition of business ethics has to be something clearly along the lines of “The moral standards which guide the running and transactions of businesses”. The subject matter of ethics is concerned with establishing linkages between individual good and social good. Face to face ethical issues happen between the employees of an organization in their day to day organizational life. They happen all the time because they are ultimately of great importance to the bottom lines of businesses.
Your company ethics also apply internally to how you treat your employees and contractors. Lending slowed dramatically and this affected U.S. businesses, individuals, and other countries around the globe. The types of personal goals an individual aspires to and the manner in which these goals are pursued have significant impact on that individual’s behavior in an organization.
Unethical companies – we would have a lot fewer of them. That is to recognize that continued public trust is based on the commitment to high ethical standards within the company and that speaks to the equally high standards of the individuals within the company.
And when it comes to business ethics, the same thing applies, because some businesses have great ethics while others have poor. The organisation being ethical will provide certain social responsibilities such as they do not harm the stake holders, the general public and the society as well.
The organisational culture emphasis on ethics but as it grows it may change, as in the case of tyco where its organisational culture supports unethical practices. If the business earns social sanction of the society, where it exists then it would be able to survive, develop and excel in activities, because only through earning social sanction the business can get loyal customers.