COB 218 Chapter Notes - Chapter 3: Triple Bottom Line, Business Ethics, Profit Maximization
22 Sep 2016
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Profit maximization: resources flow to where they are most highly valued by society. The rise of corporate citizenship: expected to participate in bettering communities & society: triple bottom line: a corporation"s profits, its impact on people, & its impact on the planet. When making decisions, a business should evaluate: the legal implications of each decision, the public relations impact, the safety risks for consumers & employees, the financial implications. Moral minimum: the minimum degree of ethical behavior expected of a business firm, which is usually defined as compliance with the law. Ethical reasoning: the application of morals & ethics to a situation. Duty-based ethics: an ethical philosophy that says every person has certain duties to others, including both humans & the planet. Outcome-based ethics: focuses on the impacts of a decision on society or on key stakeholders. Principle of rights: (rights theory) belief that humans have certain fundamental rights.
