ETHICS FINAL Assignment Example | Topics and Well Written Essays - 500 words

ETHICS FINAL - Assignment Example To others it is pivoting their institutions to greater heights of returns. Business ethics play a key role in establishing how such achievements are made. Quoting from the book â€Å"in the wake of the recent spate of corporate collapses in which management had engaged in questionable or illegal practices†¦Ã¢â‚¬ (Text, page 282), is an indication of some of the ways that managers opt to take to realize the goals of the organization. It is trivial knowledge that each decision made is subject to some consequences. A business that practices ethical business protocol, is guaranteed a good reputation with other firms. Furthermore the financial state of the organization is improved considerably. A firm with a good reputation boosts of a huge number of customers, this is as a result of increased confidence in the firm. Such a firm assures customers of good quality products and services, thus it is destined to be favored by the general public. Poor business ethics are a setback to the progress of a firm. Notably business ethics trickle down from the highest management level to the junior management level, managers are delegated to be the role models, and it is their responsibility to ensure that this conduct trickles down the management levels. There are two theories that explain business ethics, according to Milton Friedman, the management’s main objective is to ensure that it returns considerable profits to the shareholders. This should be done without deception or abuse of power. Generally Milton advocates for social responsibility, but another group of people advocates for corporate responsibility. Unlike the social responsibility concept that argues that business ethics should be