Chapter 1 - Introduction To Ethics
Chapter 1 - Introduction To Ethics
Chapter 1 - Introduction To Ethics
Introduction to Ethi
cs
EIB20103
LECTURER:
PUAN AZIZAN BT MOHAMED ISA
Chapter Outlines
01 Definitions of Ethics
02 Nature of Ethics
03 Objectives of Ethics
Moral and ethics are closely related and are often interc
hangeable.
NATURE OF ETHICS AND BUSINESS ETHICS
Good or
Taken Bad,
Decided by Leads to Series of together Right or
Character Conduct
of a man of a person Actions Considered As wrong,
Moral or
Immoral
By which
we can
Known as
Judge
Moral
again
Judgement
Moral
Standards Requires
Continue…
Most businesses encounter two types of ethical proble
ms known as overt and covert ethical problems.
SEPARATIST
UNITARIAN INTEGRATION
UNITARIAN
Business & morality cannot be separated
and it must play by the rules of ethics
of the community.
Moral Structure
Business
Moral Ethics
SEPARATISTS
Business Ethics
INTEGRATION
Ethical behaviour and business should be integrate
d in a new era called business ethics.
Law
Government
Morality
Business &
Ethics
Business
Market Systems Society
Ethics
BUSINESS ETHICS
When business people speak about “business ethics” they usually mean one
of three things:
1. Avoid breaking the criminal law in one’s work related activity
2. Avoid action that may result in civil law suits against the company
3. Avoid actions that are bad for the company image
Businesses are especially concerned with these three things since they
involve loss of money and company reputation.
COMMON UNETHICAL BEHAVIOUR
stealing
falsifying records
Stage 4
Stage 6 Stage 5 Profit
Corporate Stakeholder Maximization
Citizenship Concept in the Long-
Term
NEED FOR BUSINESS ETHICS
a) Introduced Socialism in Business
- The concept of socialism in business say that workers shareholders, consumers al
l others who contribute to the success of the business must share its gain.
b) Interest of Industry
- Protect the interest of small business firms.
- By following code of conduct, small firms can fight for their existence and stay i
n the business for long.
c) Buyers Market
- Seller market to buyer market
- Importance of consumer satisfaction and service orientation over profit orientatio
n