RSM100Y1 Chapter 2: RSM Chapter 2 Review
Document Summary
C hap ter 2 business ethics and social responsibility. Business need to find a balance between doing what is right and what is profitable. Company need to consider its business ethics in order to do well over the long term. Ethics also goes beyond what is legal and what is not legal. Business need to act ethically and responsibilities to the society. S oci al responsibility priorities (4 broad categories) 1 - johnson & johnson -- 4th admired company in the world. Designed to protect the interests of workers and shareholders by requiring enhanced financial disclosures, criminal penalties for ceos and cfos who defraud investors. Required companies to publish their code of ethics. Where action that benefits one person or group have potential to harm another. Use company resources for personal purpose (use company internet to respond personal email) Employees may need to decide between loyalty to the company and truthfulness in business relationship.
