Chapter 4 Slides
Chapter 4 Slides
Chapter 4 Slides
BUSINESS STUDIES
BUSINESS
OBJECTIVES
The importance of business objectives:
• Corporate culture
• The size and legal form of business
• Public-sector or private-sector business
• The number of years the business has been operating
• Divisional, departmental and individual objectives
Child labour?
Bribing?
Investment on harmful companies?
Harmful animal food?
Short term profit to cause less pollution?
Other employees paid more while others are made
redundant?
Save costs by closing factory?
Low wages could be paid if laws are weak in a country?
Evaluating ethical decisions:
Problems:
Business costs may increase having ethical suppliers
Significant sales might drop if bribes are not taken
Limiting advertisement of children toys, for example
can reduce ‘pester-power’
Accepting price fixing is wrong could reduce profit
Paying low wages may exploit workers by using them
more than required
Evaluating ethical decisions (cont.):
Benefits:
Expensive court cases can be avoided
Bad publicity can be avoided
Easy to work as CSR and gain ethical customers
Government contracts are awarded for being ethical
Being ethical can attract well-qualified employees