Lee, N February 10, 2022

Why is Business Ethics Important to Study?

Businesses are found all around the world and are being run by people from all walks of
life. In essence, businesses are organizations that supply the needs and wants of the people in
the form of products and services. In exchange for these products and services, businesses
earn profit from their consumers. Businesses are a great way to earn money, but only if it is
done successfully. Anyone can start a business, but not everyone can make a successful one.
Studying business ethics is important because every successful business operates in at least
some degree of business ethics. Business ethics refers to the standard that is morally right or
wrong in business actions, practices, and decisions. It helps generate employees and managers
that exhibit integrity, honesty, and an overall good moral character. It refers to the conduct that
all people in the business follow. Following this conduct prevents chaos, deceit, and greed to
become rampant in the business. Business ethics is a key element in a successful business.

Anyone can run a business, but some people do things with disregard for business
ethics. Their callous disregard harms the people around them. An example of this is the 2008
Chinese milk scandal. According to New York Times, toxic levels of melamine were found
present in Chinese dairy products like powdered milk for babies. Melamine is used to make
plastic which can seep into food from plastic packaging. Melamine can be tolerated by the body
to a certain amount, but the amount found in Chinese dairy products exceeded this limit (Wong,
2008). The milk powder has been tested to contain up to 500 times the maximum tolerance
level of the body for the chemical. The contaminated milk powder killed 6 babies and made
300,000 other babies ill (BBC, 2010). This clearly violates business ethics since it seems they
were just after profits and does not prioritize the safety of the consumers. If these Chinese
companies just produced powdered milk like they were supposed to, this would not have
happened.

Learning about business ethics is truly something students should give importance to.
The students now will become the next generation of businesspeople, managers, and
employees. Some students are already selling things like cookies and other baked goods in
high school or college to earn some extra cas. Values and ethics should be taught to the young
because it gives them a more solid foundation of moral character in the future. It is essential
also to the class of ABM because they have work immersion. They need to have a knowledge of
business ethics because they are going to start up a business. Without proper business ethics,
the business will end up disorganized and chaotic. There will be fights and discord within the
class. Although if proper business ethics are followed, the class will be more organized,
cooperative, and have a greater chance of being successful.

To wrap up, business ethics focus on doing the right thing in business and avoiding the
wrong actions. It also helps to establish trust and good relationships between the business and
consumers and also between the employees and managers within the business. Disregarding
business ethics will only harm the people around them and drive people away from them.
Business ethics is essential for students to learn because, at a young age, they can learn what
is ethically right and wrong in a business which may be carried with them for the rest of their life.
Lee, N February 10, 2022

Not to mention, a business that has a strong ethical culture is a very respectable one indeed. A
well-implemented ethics program in a business can generate a huge amount of customer loyalty
which increases profits. On the other hand, companies that do not really follow business ethics
may experience severed business partnerships, a decrease in popularity of the brand of the
business, and a decrease in stock price. All of which can reduce the profitability of the business
(Schroeder, 2021). And as a Christian, proper business ethics mostly align with God’s teachings
which makes it all the more important to follow.

References

China dairy products found tainted with melamine. (2010, July 9). BBC News. Retrieved
February 10, 2022, from https://www.bbc.com/news/10565838#:~:text=Chinese%20food
%20safety%20officials%20have,from%20a%20dairy%20plant%20there.

Schroeder, K. (2021, October 5). 3 reasons why business ethics is important. University of
Redlands. Retrieved February 10, 2022, from https://www.redlands.edu/study/schools
-and-centers/business/sbblog/2019/may-2019/3-reasons-why-business-ethics-important/
#:~:text=Business%20ethics%20enhances%20the%20law,become%20common%2C%2
0the%20quality%20varies.

Wong, E. (2008, October 8). Milk scandal pushes china to set limits on melamine. The New
York Times. Retrieved February 11, 2022, from https://www.nytimes.com/2008/10/09/
world/asia/09milk.html