Question

Reason why business should act ethically ____________________.

• A. To protect its own interest and of the business community as a whole.
• B. To increase its profitability
• C. To minimize loses
• D. All of the above

Answer 1

The correct option is A To protect its own interest and of the business community as a whole.

There is a kind of social contract between the society and business by which the society expects the business to work in its interest. Society creates and accepts business enterprises, hence it expects them to work in a manner which is not detrimental to its well being and interests. Technological advancements have to be made but their impact on the environment and mankind has he kept in mind.

Ethical business behaviour is not only about good business but about good citizenship as well.

Morally conscious businessmen have created names and built great business empires. They serve customers with good quality products at fair prices, treat their employees with great respect, reward their shareholders with good returns and pay their taxes honestly.