Business Ethics & Leaders

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RESPONSE:

1. What is meant by the term "business ethics?"

Business ethics is the branch of ethics that examines ethical rules and principles within a commercial context; the various moral or ethical problems that can arise in a business setting; and any special duties or obligations that apply to persons who are engaged in commerce. Those who are interested in business ethics examine various kinds of business activities and ask, "Is the conduct ethically right or wrong?" (1)

Thus, business ethics is moral principles concerning acceptable and unacceptable behavior by business people. Executives are supposed to maintain a high sense of values and conduct honest and fair practices with the public. (2)

In "What Do You Stand For?" Chairman of the Federal Reserve, Alan Greenspan makes clear, "I have found no greater satisfaction than achieving success through honest dealings and strict adherence to the view that for you to gain, and those you deal with should gain as well. Human relations - be they personal or professional - should not be zero sum games. "Trust is at the root of any economic system based on mutually beneficial exchange. In virtually all transactions, we rely on the word of those with whom we do business... Without mutual trust, and market participants abiding by a rule of law, no economy can prosper." If you value your reputation, and would like the trust of both clients and co-workers, a strong commitment to ethical values is essential. (3)

2. Compare and contrast business ethics to the actions of organizational leaders at Target Corporation.

Target Corporation is social responsible corporation and gives to a large varieties of charities (see article 2 at the end of this response). Target seems to be doing the right thing and high a high standard of business ethics: charge reasonable prices, support targeting the community, committed to diversity, and protecting the environment. (4) The following is taken from their website, which expands on each of these ethical areas:

Example: (excerpt)

EXPECT MORE PAY LESS
Expect more of everything: More great design, more choices, more convenience, more service and more clothes, housewares and designer-created items that you'll never find anywhere else. And pay less. It's as simple as that.

We team up with ...