Nature of Business Ethics

• Ensures legality of business • Avoiding artificial storage

• Customer Orientation • Meeting the claims
• Supplying good quality products • Avoiding harmful competion
• Price • Social welfare

• Following rules and regulations

• Employer - employee relationship
• Avoiding fraud and cheating
• Enviromental issues
The nature of business ethics is briefly described below :-

• Ensure the legality of business activities: Business

activities must be legal and a businessman should not
do any kind of illegal activity.

• Customer orientation: All of his operations must be

customer-oriented. He must bear in his mind that the
“customer is the kind” So, he should produce and
distribute those types of goods and services which
can satisfy the customers.
• Supplying good quality product: A businessman must have to
ensure the supply of good quality products and services. He
has to maintain the minimum standard of his product and
service.

•  Price: The businessman has to claim a reasonable price for

has products or services that are under the buying capacity
of the customers.
• Following rules and regulations: A
businessman must have to follow all
business-related rules and regulations that
are formulated by the government.

• Employer –employee relationship: This is an

important issue to build up a friendly
relationship between employers and
employees in an organization because the
successes of the organization largely
depend on it.
• Avoiding fraud and cheating: A businessman
has to avoid unfair means. He should not try to
cheat or fraud the customers or the general
public. He should always practice honesty and
sincerity in his activities.

• Environmental issues: In the present world,

environmental issues are considered a vital
matter. A businessman ensures a healthy
environment for the insiders as well as the
outsiders for running the organization smoothly.
• Avoiding artificial shortage: Some
dishonest businessmen create an 
artificial shortage of products and thereby
they want to gain more profit. This is not
acceptable.

• Meeting the claims: Claims of different

categories of people like workers,
executives, suppliers, etc. are not the same
but businessmen have to satisfy them as per
their requirements.
• Avoiding harmful competition: In order to survive
in the market successfully, each and every
business organization should co-operate with each
other. They should avoid harmful competition.

• Social welfare: Profit earning cannot be the sole

motive of business activity. Businessmen have a 
social responsibility that must be met. Moreover,
the business organization produces goods and
services to generate profit. At the same time, it
must have some impact on society as well as the
whole community.