Course Code:21ODMBT612 UID: D21MBA12387

Section –A(10 Marks)

Q1. Explain the stages of choosing the best alternative in decision making.
Ans: there are several steps
Step 1: Identify the decision. You realize that you need to make a decision. ...
Step 2: Gather relevant information. ...
Step 3: Identify the alternatives. ...
Step 4: Weigh the evidence. ...
Step 5: Choose among alternatives. ...
Step 6: Take action. ...
Step 7: Review your decision & its consequences.

Q2. What does one mean by group decision making?

Ans: Group decision-making (also known as collaborative decision-making or collective decision-
making) is a situation faced when individuals collectively make a choice from the alternatives before
them. The decision is then no longer attributable to any single individual who is a member of the group.
This is because all the individuals and social group processes such as social influence contribute to the
outcome. The decisions made by groups are often different from those made by individuals. In
workplace settings, collaborative decision-making is one of the most successful models to generate buy-
in from other stakeholders, build consensus, and encourage creativity.

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Q3. Explain the idea generation tools.
Ans: Use tools like these when you want to create new ideas or organize many ideas:
Affinity diagram: Organizes a large number of ideas into their natural relationships.
Bench marking: A structured process for comparing your organization’s work practices to the best
similar practices you can identify in other organizations, and then incorporating the best ideas into your
own processes.
Brainstorming: A method for generating a large number of creative ideas in a short period of time.
Nine windows technique: When you’re looking for ways to break out of a mindset and spark innovation,
use nine windows.
Nominal group technique: A structured method for group brainstorming that encourages contributions
from everyone.

Q4. What are the qualities required in a leader?

Ans: Five Qualities of Effective Leaders are-
They are self-aware and prioritize personal development.
They focus on developing others.
They encourage strategic thinking, innovation, and action.
They are ethical and civic-minded.
They practice effective cross-cultural communication.

Q5. Note on Ethical Corporate Behavior.

Ans: A person who demonstrates ethical behavior has evidence of a strong moral code and a consistent
set of values. Ethics can be rooted in belief or the pursuit of making the world better. Those who
exemplify ethical behavior do the right thing regardless of whether they get credit for it. This sort of
behavior is not limited to the workplace; it can be present in every facet of life.
In a business setting, ethical behavior applies to any employee, team lead or supervisor. They should
display behavior that is honest and fair in their relationships with coworkers and their clients.
Displaying good ethical behavior has an effect on company morale and client relations. It's easier for a
business to retain employees when they work for a company that they believe in. Employees want to
work for companies that treat everyone and their clients fairly and have good and ethical business
practices.

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Q6. Explain the 4V-Model of Ethical Leadership.
Ans: Ethical leadership training must be a part of the education of today's students, the leaders of the
future. Students should be trained in group processing and facilitating skills, oral and written
communication, conflict management, shared decision making, and team management. These future
leaders should also be able to understand the symbols and ceremonies of different cultures and be able
to realize the importance of context, identify and promote values, utilize motivational techniques, and
articulate a vision. The 4 V Leadership Model incorporates all these crucial elements in leadership
development. They are: values, vision, voice, and virtue. To help students develop a value system, the
model includes ego development, self awareness training, moral development, social perspective taking,
and service learning. The program imparts a sense of vision through campus and community leadership
experiences. The ability to communicate and accomplish goals, or the "voice" element, is taught through
exercises developing both interpersonal and intergroup communication skills, and utilizes mentoring
and role-models to help student development. Finally, the program teaches about virtue, or the
commitment to the common good, by providing students with the sense that society needs their input
and that this input must be intertwined with an established value system. (MAB).

Q7. How is EI connected to decision making?

Ans: Decisions, especially decisions involving risk, are often guided by emotions, such as anxiety,
that in fact emerge from completely unrelated events. Emotionally intelligent leaders are less likely to
make a mistake with “incidental” anxiety because they recognize the irrelevant source of their emotions.
Leaders can also help others reduce the impact of incidental anxiety by simply pointing out the true
source of their emotions.
Emotional intelligence — the awareness and understanding of emotions — has a variety of workplace
applications and benefits. Leaders who perceive and relate to the emotions of those they direct are going
to be seen as more caring and understanding leaders. Leaders who can better manage their own
emotions will also develop more positive relationships with subordinates and superiors. Finally,
emotionally intelligent negotiators have been proven to be more effective.

Q8. Explain the importance of idea generation tools.

Ans: Idea Optimization is refining a pool of ideas and identifying the specific elements of an idea
which generates the greatest impact. We believe that once the range of ideas has been expanded (Idea

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Generation), it’s essential to understand which of the ideas has the highest relevance, importance and
persuasion for your brand or product.
Idea Optimization is important because it focuses your pool of ideas down to the most impactful ideas.
“The diamond” is a metaphor for how we think. Idea Generation is part of the expansion phase, giving
us many more ideas to consider and develop. Idea Optimization is part of the reduction phase, giving us
the sub-set which maximizes the desired outcome … such as “purchase intent.”

Q9. Explain the ethical decision-making model in detail.

Ans: Ethical decision-making models provide a suggested mechanism for critical thinking and
planning for the resolution of ethical dilemmas. An ethical decision-making model is a tool that can be
used by health care providers to help develop the ability to think through an ethical dilemma and arrive
at an ethical decision. A number of models are presented in the ethics literature, most of which are
similar in design and content. The goal of each model is to provide a framework for making the best
decision in a particular situation with which the health care provider is confronted.

Q10.Explain various types of workplace collaborations.

Ans: Types of Collaborative Working :
1.Team Collaboration. This is one of the most common types of business collaboration in the
workplace.
2.Community Collaboration.
3.Network Collaboration .
4.Cloud Collaboration.
5.Video Collaboration.
6.Internal Collaboration.
7.External Collaboration.
8.Strategic Alliance.

Section –B(20 Marks)

Q1. What are the types of forces that impact businesses?

Ans: External Forces That Shape Business Activities
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Businesses do not operate in a vacuum, and they are influenced by forces beyond their control. How
they respond—and how quickly they respond—to these external forces can make the difference between
success and failure, especially in today’s fast-paced business climate. We can organize the external
forces that affect business into the following six categories:

1.Economic environment
2.Legal environment
3.Competitive environment
4.Technological environment
5.Social environment
6.Global environment

Businesses operate in all of these environments simultaneously, and factors in one environment can
affect or complicate factors in another.

1.Economic Environment :
The economic environment of business has changed dramatically in recent years. After decades of
growth and dominance, the U.S. economy is now challenged by the developing economies of other
nations, which are jockeying to be number one. Since the financial crisis in 2008, the U.S. economy and
businesses have struggled to recover from the greatest economic crisis since the Great Depression of the
1930s. Long-established companies have closed their doors, costing workers their jobs, retirement
savings, and even their homes. Thus far the U.S. economy has proven resilient, and since the Great
Recession in 2008, progress has been made to stabilize the housing industry, maintain low and
affordable interest rates, and provide additional incentives for businesses to open and/or expand. These
economic events have all had a direct impact on businesses, regardless of size.
2.Legal Environment :
The legal environment of business is by far the most complex and potentially dangerous external factor
a business faces. There is a minefield of regulations, laws, and liabilities that companies must cope with
in order to stay in business—just turn on the TV or listen to the news to verify this fact. Volkswagen
teeters on the brink of ruin because it falsified data about its cars’ emissions. Tide is airing commercials
not to promote the marvels of its laundry detergent but to warn parents to keep the Tide pods away from
children, who may be tempted to eat them. These days it takes five minutes and a sharp instrument to

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open a bottle of Tylenol—the result of Johnson & Johnson’s move in 1982 to make the product more
difficult to open after a tampering incident in 1982 caused a spate of deaths and illness. Legal
developments in our culture at large—for instance, the legalization of marijuana and same-sex marriage
or the strengthening of privacy laws—can and do have an enormous impact on the way companies do
business, on everything from what companies sell to how their products are manufactured, labeled, and
marketed.
3.Competitive Environment
How do businesses stay competitive and still maintain a level of profitability that allows them to be
successful? The competitive environment has intensified with the development of new technologies, the
opening up of foreign markets, and the rise of consumer expectations. The local hardware store now
finds itself competing with “big box” stores such as Lowe’s and Home Depot. These larger stores have
enough clout with suppliers that they can often sell a product to the consumer for less than an
independent store can purchase it. Customers of these large chains can order online, get their items the
same day, and receive loyalty rewards, free delivery, customization, and even service and installation.
Staying competitive is a challenge for every business, and business owners are finding that benefits such
as customer service, employee knowledge, and high quality can help them survive.

4.Technological Environment
Almost daily, businesses are driven to rethink the business technology they use to reach customers,
produce their products, and provide their services. When we refer to business technology we mean
digital tools such as computers, telecommunications, and the Internet. The expansion of Internet access
to virtually every corner of the world has forced many traditional brick-and-mortar businesses into e-
commerce or online sales. The advantage to businesses is that their customers no longer have to live in
proximity to their stores in order to purchase goods and services. Consumers can conveniently shop for
products and services without leaving their home, their desk, or their phone. The disadvantage to
businesses is that consumers are also able to compare competitors’ prices, benefits, features, and
services (which shows how one environment—technology—can affect another—the competitive
environment). Today’s businesses have to be vigilant about spotting emerging trends not only in
technology but in the way consumers use that technology.
5.Social Environment
The social environment of business encompasses the values, attitudes, beliefs, wants, and desires of the
consuming public. The demographics that describe the American population by gender, age, ethnicity,

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location, occupation, education and income are constantly evolving. The American population is
steadily becoming more ethnically diverse: The U.S. Census Bureau estimates that the Hispanic and
Asian populations in the U.S. will double by 2050. At the same time, America is aging, and with the
current median above thirty-six years of age, it will not be long before the majority of Americans is
ready to retire. In addition to ethnic diversity and age, the social environment brings forces such as
Corporate Social Responsibility (CSR), which means that more and more consumers are demanding that
businesses be “good corporate citizens” by supporting charitable causes and contributing to local
communities, adhering to ethical standards in their treatment of workers and others, and adopting
environmentally responsible practices. Combine these factors with the whirlwind of changing fads,
trends, and “hot topics,” and you have some idea of why the social environment can present the greatest
challenge to business.

6.Global Environment
From a business perspective, it is a small world, and it’s only getting smaller. Free trade among nations
has allowed goods and services to flow across international borders more efficiently and cheaply.
Formal trade agreements among nations have forged unprecedented links and interdependencies among
economies. Look at the items on your desk, and you may see items from China, Mexico, Canada, or
Japan. It’s possible that you drive a car that was made in the U.S. but was produced in a plant owned by
a Japanese company. The growth of the Chinese economy has brought a flood of affordable goods into
the U.S. and, along with those cheaper prices, created a reliance on foreign goods and materials. Now,
when the Chinese economy slows down, the U.S. economy is affected. When the price of foreign oil
increases or decreases, businesses in the U.S. feel the impact. So, it’s not just the local economy or even
the national economy that businesses must track—they must also keep an eye on the world economy in
order to anticipate and adapt to changes that will impact their products and services.

Q2. Note on Porter`s Five Force Model.

Ans: What Are Porter's Five Forces?
Porter's Five Forces is a model that identifies and analyzes five competitive forces that shape every
industry and helps determine an industry's weaknesses and strengths. Five Forces analysis is frequently
used to identify an industry's structure to determine corporate strategy. Porter's model can be applied to
any segment of the economy to understand the level of competition within the industry and enhance a

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company's long-term profitability. The Five Forces model is named after Harvard Business School
professor, Michael E. Porter.
Understanding Porter's Five Forces
Porter's Five Forces is a business analysis model that helps to explain why various industries are able to
sustain different levels of profitability. The model was published in Michael E. Porter's book,
"Competitive Strategy: Techniques for Analyzing Industries and Competitors" in 1980. The Five Forces
model is widely used to analyze the industry structure of a company as well as its corporate strategy.
Porter identified five undeniable forces that play a part in shaping every market and industry in the
world, with some caveats. The five forces are frequently used to measure competition intensity,
attractiveness, and profitability of an industry or market.

Porter's five forces are:

1. Competition in the industry
2. Potential of new entrants into the industry
3. Power of suppliers
4. Power of customers
5. Threat of substitute products

KEY TAKEAWAYS:
Porter's Five Forces is a framework for analyzing a company's competitive environment.
The number and power of a company's competitive rivals, potential new market entrants, suppliers,
customers, and substitute products influence a company's profitability.
Five Forces analysis can be used to guide business strategy to increase competitive advantage.

Competition in the Industry:

The first of the five forces refers to the number of competitors and their ability to undercut a company.
The larger the number of competitors, along with the number of equivalent products and services they
offer, the lesser the power of a company. Suppliers and buyers seek out a company's competition if they
are able to offer a better deal or lower prices. Conversely, when competitive rivalry is low, a company
has greater power to charge higher prices and set the terms of deals to achieve higher sales and profits.

Potential of New Entrants Into an Industry:

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A company's power is also affected by the force of new entrants into its market. The less time and
money it costs for a competitor to enter a company's market and be an effective competitor, the more an
established company's position could be significantly weakened. An industry with strong barriers to
entry is ideal for existing companies within that industry since the company would be able to charge
higher prices and negotiate better terms.

Power of Suppliers:
The next factor in the five forces model addresses how easily suppliers can drive up the cost of inputs. It
is affected by the number of suppliers of key inputs of a good or service, how unique these inputs are,
and how much it would cost a company to switch to another supplier. The fewer suppliers to an industry,
the more a company would depend on a supplier. As a result, the supplier has more power and can drive
up input costs and push for other advantages in trade. On the other hand, when there are many suppliers
or low switching costs between rival suppliers, a company can keep its input costs lower and enhance its
profits.

Power of Customers:
The ability that customers have to drive prices lower or their level of power is one of the five forces. It is
affected by how many buyers or customers a company has, how significant each customer is, and how
much it would cost a company to find new customers or markets for its output. A smaller and more
powerful client base means that each customer has more power to negotiate for lower prices and better
deals. A company that has many, smaller, independent customers will have an easier time charging
higher prices to increase profitability.

Threat of Substitutes:
The last of the five forces focuses on substitutes. Substitute goods or services that can be used in place
of a company's products or services pose a threat. Companies that produce goods or services for which
there are no close substitutes will have more power to increase prices and lock in favorable terms. When
close substitutes are available, customers will have the option to forgo buying a company's product, and
a company's power can be weakened.

Understanding Porter's Five Forces and how they apply to an industry, can enable a company to adjust
its business strategy to better use its resources to generate higher earnings for its investors.

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Q4. Note on Leadership styles.

Ans: Throughout history, great leaders have emerged with particular leadership styles in providing
direction, implementing plans and motivating people. These can be broadly grouped into 5 different
categories:

1.Authoritarian Leadership.
2.Participative Leadership.
3.Delegative Leadership.
4.Transactional Leadership.
5.Transformational Leadership.

Despite these definitions, questions still remain.

What is the meaning of each leadership style mentioned above?
What is the difference between the different leadership approaches?
What are the advantages and disadvantages of using each of the leadership styles?
By reading this article, you will discover more about the 5 leadership styles, along with their definitions,
advantages and disadvantages. Each of the leadership styles will also be differentiated.

1. Authoritarian Leadership:
Authoritarian leadership styles allow a leader to impose expectations and define outcomes. A one-
person show can turn out to be successful in situations when a leader is the most knowledgeable in the
team. Although this is an efficient strategy in time-constrained periods, creativity will be sacrificed since
input from the team is limited. The authoritarian leadership style is also used when team members need
clear guidelines.

Advantages:
Time spent on making crucial decisions can be reduced.
Chain of command can be clearly emphasized.
Mistakes in the implementation of plans can be reduced.
Using authoritarian leadership style creates consistent results.

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Disadvantages:
A very strict leadership style can sometimes lead to employee rebellion.
It kills employee creativity and innovation.
It reduces group synergy & collaboration.
Group input is reduced dramatically.
Authoritarian leadership increases employee turnover rate.

2. Participative Leadership :
Participative leadership styles are rooted in democratic theory. The essence is to involve team members
in the decision making process. Team members thus feel included, engaged and motivated to contribute.
The leader will normally have the last word in the decision-making processes. However, if there are
disagreements within a group, it can be a time-consuming process to reach a consensus.

Advantages:
It increases employee motivation and job satisfaction.
It encourages use of employee creativity.
A participative leadership style helps in the creation of a strong team.
High level of productivity can be achieved.

Disadvantages:
Decision-making processes become time-consuming.
Leaders have a high probability of being apologetic to employees.
Communication failures can sometimes happen.
Security issues can arise because of transparency in information sharing.
Poor decisions can be made if the employees are unskilled.

3. Delegative leadership:
Also known as "laissez-faire leadership", a delegative leadership style focuses on delegating initiative to
team members. This can be a successful strategy if team members are competent, take responsibility and
prefer engaging in individual work. However, disagreements among the members may split and divide a
group, leading to poor motivation and low morale.

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Advantages:
Experienced employees can take advantage of their competence and experience.
Innovation & creativity is highly valued.
Delegative leadership creates a positive work environment.

Disadvantages:
Command responsibility is not properly defined.
Delegative leadership creates difficulty in adapting to change.

4. Transactional leadership:
Transactional leadership styles use "transactions" between a leader and his or her followers - rewards,
punishments and other exchanges - to get the job done. The leader sets clear goals, and team members
know how they'll be rewarded for their compliance. This "give and take" leadership style is more
concerned with following established routines and procedures in an efficient manner, than with making
any transformational changes to an organization.

Advantages:
Leaders create specific, measurable and time-bound goals that are achievable for employees.
Employee motivation and productivity is increased.
Transactional leadership eliminates or minimizes confusion in the chain of command.
It creates a system that is easy to implement for leaders and easy to follow by employees.
Employees can choose reward systems.

Disadvantages:

Innovation & creativity is minimized.

Empathy is not valued.
Transactional leadership creates more followers than leaders among employees.
5. Transformational Leadership:
In transformational leadership styles, the leader inspires his or her followers with a vision and then
encourages and empowers them to achieve it. The leader also serves as a role model for the vision.

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Advantages:
It leads to a lower employee turnover rate.
Transformational leadership places high value on corporate vision.
High morale of employees is often experienced.
It uses motivation and inspiration to gain the support of employees.
It is not a coercive approach to leadership.
It places high value on relationships.

Disadvantages:
Leaders can deceive employees .
Consistent motivation and constant feedback may be required.
Tasks can’t be pushed through without the agreement of employees.
Transformational leadership can sometimes lead to the deviation of protocols and regulations.
It is important to recognize and understand different leadership styles including the situations in which
they work best. However, you are unlikely to be a successful business leader simply by mimicking these.
Leadership is not about providing a certain response in a certain situation. It's about using your natural
leadership strengths in an authentic manner to inspire and motivate others.

Leadership Styles:
Leadership training from a good business school can help you to understand and strengthen your own
leadership style. Good leadership courses teach you the dynamics of human behavior as well as raise
self-awareness and provide the chance to practise leadership in different situations. Depending on the
level, such courses can also include training on business and/or strategic leadership.

Leadership coaching is another way to identify your leadership strengths and weaknesses. Indeed, the
best leadership courses include personal leadership coaching for even greater impact on developing
authentic and effective leadership styles.

Q5.What are the advantages of ethical corporate behavior in businesses?

Ans: Ethical people are those who recognize the difference between right and wrong and consistently
strive to set an example of good conduct. In a business setting, ethical behavior is behavior that means
applies the principles of honesty and fairness to relationships with coworkers and customers. Ethical

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individuals make an effort to treat everyone with whom they come in contact as they would want to be
treated themselves.
The advantages of ethical behavior in business include helping your business to build customer loyalty,
avoid legal problems and attract and retain talented employees.

Build Customer Loyalty:

Consumers may let a company take advantage of them once, but if they believe they have been treated
unfairly, such as by being overcharged, they will not be repeat customers. Having a loyal customer base
is one of the keys to long-range business success, since serving an existing customer does not involve
marketing costs, whereas acquiring a new one does.

Enhance a Company's Reputation:

A company’s reputation for ethical behavior can help it create a more positive image in the marketplace,
which can bring in new customers through word-of-mouth referrals. Conversely, a reputation for
unethical dealings hurts the company’s chances to obtain new customers, particularly in this age of
social networking when dissatisfied customers can quickly disseminate information about the negative
experience they had.

Retain Good Employees:

Talented individuals at all levels of an organization want to be compensated fairly for their work and
dedication. They want career advancement within the organization to be based on the quality of the
work they do and not on favoritism. They want to be part of a company whose management team tells
them the truth about what is going on, such as when layoffs or reorganizations are being contemplated.
Companies that are fair and open in their dealings with employees have a better chance of retaining the
most talented people. For instance, employees who do not believe the compensation methodology is fair
are often not as dedicated to their jobs as they could be.

Positive Work Environment:

Employees have a responsibility to be ethical from the moment they have their first job interview. They
must be honest about their capabilities and experience. Ethical employees are perceived as team players
rather than as individuals just out for themselves. They develop positive relationships with coworkers.

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Their supervisors trust them with confidential information, and they are often given more autonomy as a
result.
Employees who are caught in lies by their supervisors damage their chances of advancement within the
organization and may risk being fired. An extreme case of poor ethics is employee theft. In some
industries, this can cost the business a significant amount of money, such as restaurants whose
employees steal food from the storage locker or freezer. One approach ethical companies take to avoid
this type of behavior is to take the time to train every member of the organization about the conduct that
is expected of them.

Avoid Legal Problems:

At times, a company’s management may be tempted to cut corners in pursuit of profit, such as by not
fully complying with environmental regulations or labor laws, ignoring worker safety hazards or using
substandard materials in their products. The penalties for being caught can be severe, including legal
fees and fines or sanctions by governmental agencies. The resulting negative publicity can cause long-
range damage to the company’s reputation that is even more costly than legal fees or fines.

The advantages of business ethics become crystal clear in these situations since companies that maintain
the highest ethical standards are very unlikely to find themselves in such situations.

Q6. State the ethical issues in business.

Ans: One of the greatest challenges for any business owner is navigating ethical issues in business.
Whereas some ethical issues in business are covered by laws, the requirements around others are more
murky. In these cases, it’s up to the business owner and managers to hold employees accountable for
unethical actions — and, of course, to behave ethically themselves.

Ethical issues in business today are just as widespread as ever, perhaps even more so. For instance, 40
percent of employees believe that their company has a weak or weak-leaning ethical culture. Plus, 30
percent say that they have seen misconduct last 12 months.

Ethical Issues in Business: The Definition

Ethics is a broad term. At its core, acting ethically in business means building a company around
integrity and trust as well as complying with regulations. However, there are many other issues that fall

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under the ethical issues in business definition, including empathy, diversity and acceptance, and carrying
out business in accordance to the company’s values.

Types of Ethical Issues in Business:

1. Discrimination
One of the biggest ethical issues affecting the business world in 2020 is discrimination. In the last few
months, many corporations have come under fire for lacking a diverse workforce, which is often down
to discrimination. However, discrimination can occur at businesses of all sizes. It applies to any action
that causes an employee to receive unequal treatment.

Discrimination is not just unethical; in many cases, it is also illegal. There are statutes to protect
employees from discrimination based on age, gender, race, religion, disability, and more. Nonetheless,
the gender and race pay gaps show that discrimination is still rampant. Other common instances of
discrimination include firing employees when they reach a certain age or giving fewer promotions to
people of ethnic minorities.

2. Harassment
The second major ethical issue businesses face is harassment, which is often related to racism or sexism.
This can come in the form of verbal abuse, sexual abuse, teasing, racial slurs, or bullying. Harassment
can come from anyone in the company, as well as from customers. In particular, it is an ethical issue for
the business if a supervisor is aware of harassment from a client and takes no action to prevent it.

In addition to causing a toxic workplace, harassment can cause employees to leave the company
prematurely — a second reason why some businesses lack diversity. Harassment can have a long-term
impact on employees: psychologically, in terms of earnings, and even impacting a person’s entire career
path.

3. Unethical Accounting
Publicly-traded companies may engage in unethical accounting to appear more profitable than they
actually are. In other cases, an accountant or bookkeeper may change records to skim off the top.

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4. Health and Safety
Another type of ethical issue that is often protected by law is health and safety. Companies may decide
to cut corners to reduce costs or perform tasks faster. As well as injuries, failing to take workers’ safety
into account can lead to psychosocial risks (like job insecurity or lack of autonomy), which can cause
work-related stress.

5. Abuse of Leadership Authority

Abuse of power often manifests as harassment or discrimination. However, those in a leadership role
can also use their authority to pressure employees to skip over some aspects of proper procedure to save
time (potentially putting the employee at risk), punish workers who are unable to meet unreasonable
goals, or ask for inappropriate favors.
In addition, abuse of authority can extend beyond the workforce. Managers can use their position to
change reports, give themselves credit for the work of a subordinate, misuse expenses, and accept gifts
from suppliers or clients.

6. Nepotism and Favoritism

Nepotism is when a company hires someone for being a family member. Favoritism occurs when a
manager treats an employee better than other workers for personal reasons.

Not only are nepotism and favoritism unfair, they are also disheartening to employees. Workers often
find they have to work much harder to receive a promotion or other rewards.

7. Privacy
Employees have recently found that the distinction between work life and personal life has become less
clear. This is mainly due to the advances in technology.

For one thing, employers may punish for posts on social media, particularly if they complain about work
conditions or the company as a whole. Employers may even fire workers who post controversial
statements that go against company values.

Another ethical issue surrounds the use of devices belonging to the company. Employers can now
monitor all worker activity on laptops and cellphones. Whereas this is supposed to check that employees

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are sticking to work-related activities during the business day, some employers take it further, tracking
keystrokes and reading emails. The question is where to draw the line between monitoring and spying.

8. Corporate Espionage
The opposite to the above can also happen: workers can misuse company data. An employee may steal
intellectual property or provide a competitor with information about a client. Usually, this is for
monetary purposes, but it can also help an employee secure a position at another firm.

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