RSM100Y1 Chapter Notes - Chapter 2: Business Ethics, Peer Pressure, Organizational Culture
Document Summary
Chapter 2 business ethics and social responsibility. 2. 2 factors that influence business ethics: (individual & technology) 2. 1 concepts of business ethics and social responsibility. Firms have responsibilities to: customers, employees, investors, society. Ethical conflicts arise because business must balance doing what is right/wrong and doing what is profitable. Ethics compliance officer: who must discourage wrongdoing and ensure ethical standards are met. 3 approach to ethics and social responsibility. Engaging in traditional corporate philanthropy. Anticipating and managing risks. Identifying opportunities to create value by doing the right thing. Family, educational, religious, personal experience, peer pressure, organizational culture, family: on- the- job ethical dilemmas. Employee must choose between a business"s welfare and personal gain. Solution: avoiding them / disclosing them. Integrity: behaving according to one"s deeply felt ethical principles in business situations. Inspires trusts, help building long- term relationships. Disclosure to company officials, government authorities, or the media of illegal, immoral, unethical practices committed by an organization.
