Ethical Considerations in Business

What is a key characteristic of an ethical business?

• Focusing solely on shareholder value

• Ignoring environmental impacts

• Acting in a socially responsible way

• Maximizing profits at all costs

Which of the following is an example of treating workers ethically?

• Offering no job security

• Ignoring employee feedback

• Providing good working conditions

• Paying below minimum wage

How can businesses benefit from behaving ethically?

• Receiving bad publicity

• Reducing product quality

• Increasing operational costs

• Attracting customers and increasing sales

What is a potential downside of sourcing materials ethically?

• Lower sales and reduced profit margins

• Improved supplier relationships

• Enhanced brand reputation

• Increased customer loyalty

What does treating suppliers ethically involve?

• Ignoring supplier feedback

• Demanding exclusive contracts

• Delaying payments indefinitely

• Paying fair prices and having reasonable expectations

What is a consequence for businesses that do not behave ethically?

• Gaining a positive reputation

• Receiving bad publicity

• Improving employee morale

• Increasing customer trust

What is an example of treating customers ethically?

• Ignoring customer complaints

• Providing misleading information

• Selling unnecessary products

• Exceeding customers’ expectations

What is the impact of ethical marketing decisions?

• Decreased brand loyalty

• Attracting customers through good publicity

• Increased negative media coverage

• Higher operational costs

Ethics relate to ​ (a)   , standards of behaviour and ‘doing the ​ (b)   thing’. An ethical business will act in a socially responsible way, doing what is right, even if it is not required to do so by legislation or in order to ​ (c)   profit. Most business activity involves ​ (d)   , suppliers and customers. The way that a business treats these three groups of ​ (e)   is a good sign of how ethical it is.

• principles
• right
• maximise
• workers
• stakeholders
• shareholders
• minimise
• wrong

When considering business ethics, we should preface the word supplier, customer or employee with the word ____________ of