BUSINESS ETHICS

Group 5
 GROUP PRESENTERS

Smarika Shakya(18789)

Sakar Khatiwada(18750)

Aakriti Sanjel(18783)

Grivani Shrestha(18796)

Anusha Poudel(18770)

Russal Maharjan
INTRODUCTION

-Smarika Shakya(18789)
 ETHICS

Ethics or moral philosophy is a branch

of philosophy that involves systematizing, defending,
and recommending concepts of right and
wrong conduct.

The field of ethics, along with aesthetics, concern

matters of value, and thus comprise the branch
of philosophy called axiology.
EXAMPLES OF ETHICS
 BUSINESS ETHICS

Business ethics is the study of proper business policies

and practices regarding potentially controversial
issues such as corporate governance, insider trading,
bribery, discrimination, corporate social responsibility
and fiduciary responsibilities.

Law often guides business ethics, while other times

business ethics provide a basic framework that
businesses may follow to gain public acceptance.
Business ethics ensure that a certain required level of trust exists
between consumers and various forms of market participants
with businesses.

Example: a portfolio manager must give the same consideration

to the portfolios of family members and small individual
investors. Such practices ensure the public receives fair
treatment.
EXAMPLE OF BUSINESS UNETHICS

Cheating the Company

Abusive Behavior and Actions

Taking Undue Credit

 RELATION BETWEEN BUSINESS ETHICS AND
SOCIOLOGY

In long tradition of sociological theorizing, which focus

upon enduring social problems and which deal with
particularly twenty-first century issues. 

The structure of the discipline of sociology, deeply

embedded within universities across the world, has
produced approaches with specific audiences, theoretical
and methodological frameworks, and organizational
dynamics that often do not sit well with an interest in
business ethics. 
 STAKEHOLDERS AND
THEIR ETHICAL VALUES
-Sakar Khatiwada (18750)
 STAKEHOLDERS AND
THEIR ETHICAL VALUES
The people and groups that supply a
company with its productive resources
and have a claim on its resources

A common view of the firm

holds that employees,
customers, shareholders,
and suppliers are key
organizational stakeholders.
OWNERS OR SHAREHOLDERS

To ensure that managers are behaving ethically and

not risking investors’ capital by engaging in actions
that could hurt the company’s reputation

Primary objective too maximize their return on

investment
 MANAGERS 

Responsible for using a company’s financial capital

and human resources to increase its performance 

Have the right to expect a good return or reward by

investing their human capital to improve a
company’s performance
 EMPLOYEES
Employees are responsible to work according to the
need of the company, and abide the rules of the
company

Companies can act ethically toward employees by

creating an occupational structure that fairly and
equitably rewards employees for their contributions
SUPPLIERS AND DISTRIBUTORS

Supplier- To supply the required materials for

production in a favorable cost and time.

Distributors- To sell the produced goods to

consumers in allotted price and not affect the quality
of the product
 LOCAL COMMUNITY

Provide employment, safe working environment,

minimize pollution and negative externalities –
provide external benefits
CORPORATE SOCIAL
RESPONSIBILITIES
And its issues
 SOCIAL RESPONSIBILITY AND CORPORATE
CITIZENSHIP

• Social responsibility is the idea that a company should not just

focus on maximizing profits, but also act in such a way that
benefits society. 

Corporate Citizenship refers to the extent to which businesses

are socially responsible for meeting legal, ethical and economic
standard.
 CORPORATE SOCIAL RESPONSIBILITIES

•
Also called as corporate sustainability, sustainable business, corporate
conscience, corporate citizenship, conscious capitalism, or responsible
business

•
It is a self-regulating business model that helps a company be socially
accountable to itself, to its stakeholders, and the public. 

•
companies can have positive kind of impact on all aspects of society including
economic, social, and environment.
CSR covers a broad spectrum of issues that must
be taken into account in business conduct.
ISSUES AND SOLUTIONS OF CSR
This includes:

Market relations

Environmental issues

Human rights

Bribery and corruption

 ISSUES AND SOLUTIONS OF CSR

Market relations:
Employee relations
-Safe workplace
-Adequate pay
-Fair treatment to the employees
Consumer relations
- Respecting the rights of consumers
- Providing them with safe and satisfying products
Community relations
-Work for the general welfare of the community
 ISSUES AND SOLUTIONS OF CSR

Environmental issues
-Animal rights
-Pollution control
-Global warming

Human rights
-operate under the human laws of united nations
-Treating employee regardless of gender and race

Bribery and corruption

-Combating Corruption
-Disclosing information
 ISSUES AND SOLUTIONS OF CSR

Corporate governance
-Transparency
-Responsibility
-fairness
-Accountability

Poverty
-philanthropic incentives
-job creation
-Skills and technology empowerment
WHO IS RESPONSIBLE FOR
ETHICAL BEHAVIOR
AND
BENEFITS

- Grivani shrestha ( 18796 )

WHO IS RESPONSIBLE FOR ETHICAL BEHAVIOR?

The employees and supervisors of a company are

both responsible for the ethical behaviour in a
business.
 EMPLOYEES ROLE
Treat all colleagues with respect

Be honest

Knowing the difference between right and wrong

Do not cheat the organization

Know what is expected of you and perform

Employees of an organization are responsible for their

own behaviour and decisions.
 SUPERVISOR’S ROLE

Respect the employee, including his or her family responsibilities, and

religious beliefs.

Value employees as well as workers

Consider needs and rights of all employees in decision making.

Acknowledge that how things are achieved is just important as what is

achieved

Don't play psychological games with others, blaming and playing favorites
Demand the same fair, objective standards from
every employee

As managers or supervisors you have a

responsibility to not only determine if you are doing
the right thing but how you as a managers are
enforcing and encouraging good behaviour.
The Benefits of Business Ethics

Ethics contribute to Employee Commitment

Ethics contribute to Investor Loyalty

Ethics contribute to Customer Satisfaction

Ethics contribute to Profits

Among the rewards for being more ethical and socially
responsible in business are:

increased efficiency in daily operations

greater employee commitment

increased investor willingness to entrust funds

improved customer trust and satisfaction

better financial performance

UNETHICAL PRACTICES IN
BUSINESS

By Anusha Poudel(18770)
WHAT ARE UNETHICAL PRACTICES?

Unethical behavior is an action that falls outside of

what is considered morally right or proper for a
person, a profession or an industry. Individuals can
behave unethically, as can businesses, professionals
and politicians. An individual goes beyond what is
legal and does every thing that he or she wants it to
be done.
 THE MOST COMMON 5 UNETHICAL BEHAVIORS IN THE
WORKPLACE

Misusing company time

A very common issue in almost all the offices. The employees tend to be very
late in offices and tentatively leave earlier as well.

Abusive behavior

Too many workplaces are filled with managers and supervisors who use their
position and power to mistreat or disrespect others. Unfortunately, unless the
situation you're in involves race, gender or ethnic origin, there is often no
legal protection against abusive behavior in the workplace. 
 Employee theft

According to a recent study , one out of every 40 employees in 2012

was caught stealing from their employer. Employee fraud is also on
the uptick, whether its check tampering, not recording sales in order
to skim, or manipulating expense reimbursements.

Lying to employees

The fastest way to lose the trust of your employees is to lie to them,
yet employers do it all the time. One of out every five employees
report that their manager or supervisor has lied to them within the
past year.
 Violating company internet policies

There is specific term that is used to define the people

who surf internet when they should be working. It is
cyber slackers or cyber loafers. It is very common in
most of the offices in Nepal as well. The employees surf
facebook, youtube and the other popular apps and do not
work sincerely. A survey conducted recently by
Salary.com found that everyday at least 64 percent of
employees visit websites that have nothing to do with
their work.
WHY STUDY BUSINESS ETHICS

Even granting that business ethics is important, many

seem to believe that there is no point in studying the
subject. Ethics is something you feel, not something you
think. Finance, marketing, operations, and even business
law lend themselves to intellectual treatment, but ethics
does not.

Ethics is in fact a highly developed field that demands

close reasoning.
 CONCLUSION

Ethics are important not only in business but in all

aspects of life because it is an essential part of the
foundation on which of a civilized society is build.

A business or society that lacks ethical principles is

bound to fail sooner or later.