BUSINESS ETHICS AND SOCIAL RESPONSIBILITY

Accountability- refers to the obligation to demonstrate that work has been conducted in
compliance with agreed rules and standards or to report fairly and accurately on
performance results vis-à-vis mandated roles and/or plans. of an individual or an
organization to account for its activities, accepts responsibility for them, and to disclose
the results in a transparent manner?
Pay wages/salaries and taxes
Responsibility of an entrepreneur to pay their employees of their business at least
the minimum hourly wage in their locality?
Enforce anti-discrimination law
Responsibility of an entrepreneur in which employees cannot be disadvantaged,
dismissed, or not given employment for any mentioned.
Give rewards and Benefits
Reward employees fairly and attractively is one of the responsibilities of an
entrepreneur to his/her employees.
Not to seek political patronage by unfair means
Responsibility of the entrepreneurs which is not to seek political patronage by
providing undue economic help to any political party or politicians during elections?
Responsibilities of an entrepreneur to the government
- Compliance of government Rules
- Payment of taxes
Group or stakeholders
- Customers, Employees , Suppliers
Department of Trade and Industry - government agencies below provide business
protection
Responsibilities and accountabilities of entrepreneurs to its customers
- Ensure quality products and services
- Honesty in advertising and promotion
- Provide free training
Provide jobs to the community is the utmost responsibility of a business organization
Right to be informed - gives consumers the freedom to review complete information
about the products they are buying.
Accountability and responsibility of entrepreneurs to its suppliers?
- Avoid Coercion
- Practice Fair Pricing
-Maintain Confidentiality
Fraud
It means intentional perversion of truth in order to induce another to part with
something of value or to surrender a legal right. It also means an act of deceiving or
misrepresenting.
Practices of a company in the protection of biosphere
- Minimize or eliminate the release of any pollutant.
- Minimize contributions to the greenhouse effect, depletion of ozone layer, acid rain and
smog.
- Safeguard habitats in rivers, lakes, wetlands, coastal zones, and oceans.
Communication - It is an important tool for a small business owner.
Fair competition - It is attaining success in business through the merits of its products
or services while unfair competition is unethical business practice. It is doing business
with the goal of profit without regard to others.
Article 168 of R.A. 8293 (Intellectual Property Code of the Philippines) is
specifically about unfair competition on the use of trademarks, service marks and trade
names. Under this R.A. and article. The following shall be deemed guilty of unfair
competition
- Any person who is selling his goods and gives the general appearance of the goods of
another, either in the goods of themselves or in wrapping of the packages, which would
likely influence buyers to believe that the products being offered are those of the
manufacturer or dealer other than the actual manufacturer.
- Any person who, by any artifice, or device, induces the false belief that such person is
offering the services of another who has identified such services in the mind of the
public.
- Any person who shall make false statements in the course of trade or shall commit any
other act in bad faith to discredit the goods, services or business of another.
Corporate Social Responsibility - acronym CSR
Ackerman Model - practices the use of the degree of social responsibility
Environmental Integrity and Community Health Model- famous in the U.S.
Corporations and is focused on the
proper treatment of the natural environment?
Social Responsibility - refers to the adoption by a business of a strategic focus for
fulfilling economic, legal, ethical and philanthropic responsibilities?
Philanthropic Responsibility - component of social responsibility dictates a business to
be a good corporate citizen and do charitable act?
Legal Responsibility - component of social responsibility would require the business to
obey laws and regulations?
Socially responsible investment- It is seen as an expenditure that will improve
environmental, social and economic sustainability.
Negative Screening - It means to refuse to invest in companies that do not meet your
social standards.
Positive investing - Choose companies to include in the portfolio specifically because of
approved their behavior.
Community Investing- Community spending concentrate on making cities more
sustainable by promoting initiatives such as renewable energy and smart development, a
form of urban planning designed to minimize sprawl and conserve green space.
Shareholder action - It is seeking to influence the actions of the businesses of which
they hold shares.
Alleviate poverty- is the importance of establishing and sustaining business
enterprises?
Socially responsible investment or SRI
- They require easily accessible, low cost, and amenable funds and technology that can
be sustained in the long-term rather than be some quick-fix solution.
Disadvantage population - will benefit more in socially responsible investment (SRI)
Habits that help achieve financial freedom
- Set life Goals
- Create Automatic Savings.
- Watch your credit
Banco de Oro- company has this theme in one of its advocacies, “Building dreams for
others, rebuilding lives”
Cut and Sew Livelihood Project - multi-awarded program of Nestle Philippines that is a
combination of an outreach and education program?

Promoting morality as one goal of SRI

- Socially conscious investors follow the time-honored tradition of avoiding 'sin
industries.'
An impact of SRI to companies
- People will patronize more their offerings and they will gain trust from them.
Action plan -It is a road map that outlines the path between the current situation and
the goal to be attained.
Measurable - An effective action plan has goals that can be quantifiable.
Implement and measure success- It means executing the action plan.

Utang na Loob - It is a technique of reciprocity of debt of gratitude to others within the

family circle or primary group, sometimes unlimited in nature, emotional rather than
financial or rational.
Mañana habit - One of the Filipino values which is used to indicate procrastination –
the action of delaying or postponing something.
Socrates - “Dare to disagree”
Confucius - The Golden Rule is a well-known principle

Buddhism - Mr. Fabillar millionaire was one’s peasant. When he was young, he
experienced what its like to be poor. Now he is now one of the great persons serving as
an inspiration to other entrepreneurs. And one of his principles and beliefs that amazed
the community was his avoidance such vices, such as greed, envy, hatred and anger,
derive from this ignorance and concentrated on his insight and goal towards
righteousness and success. Which belief system does it clearly describe?