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Sarbanes-Oxley Act: Decision Impacts on Stakeholders

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Please help me gain some insight and help with the following question:.

1. Does the Sarbanes-Oxley Act affect ethical or legal behavior or both? Why?

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https://brainmass.com/business/business-law/sarbanes-oxley-act-decision-impacts-on-stakeholders-262942

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RESPONSE:

1. Does the Sarbanes-Oxley Act affect ethical or legal behavior or both? Why?

Business Ethics is defined as "a system of moral principles applied in the commercial world. Business ethics provide guidelines for acceptable behavior by organizations in both their strategy formulation and day-to-day operations. An ethical approach is becoming necessary both for corporate success and a positive corporate image. Following pressure from consumers for more ethical and responsible business practices, many organizations are choosing to make a public commitment to ethical business by formulating codes of conduct and operating principles. In doing so, they must translate into action the concepts of personal and corporate accountability, corporate giving, corporate governance, and whistle blowing." (http://dictionary.bnet.com/definition/Business+Ethics.html?tag=col1;rbDictionary)

From one perspective, Sarbanes-Oxley Act (SOX) was enacted mainly as a "solution to the criminality of a relatively small percentage of ethics ...

Solution Summary

This solution explores if the Sarbanes-Oxley Act affects ethical or legal behavior or both, including why. References are provided.

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