Question

Reasons 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 above

Answer 1

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

Corporate Ethics is much needed to stress the importance of sustainability, social development, stakeholders and consumers satisfaction. It is an orientation to provide a valuable service instead of displaying more orientation for profits. Ethics, point out what is good and what is bad and also what is right or wrong. It brings to the notice of the business community the importance of honesty, sincerity and fairness which makes them alert and socially conscious. It reconciles conflicting interest of various sections of the society such as workers, shareholders, consumers, distributors, suppliers, competitors and government and thus, expedite a better relation between business and the society.