Showing posts from July, 2020


BUSINESS ETHICS   Business being a social organ shall not be conducted in a way detrimental to the interests of the society and the business sector. The business as social establishment, should follow certain ethical values and rules. These can be called business ethics. The term ‘Business Ethics’ refers to the system of moral principles and rules of the conduct applied to business. It applies to all aspects of business conduct and is to be followed by all individuals and organizations in the business. However, there is no unanimity of opinion as to what constitutes business ethics. There are no separate ethics of business but every individual and organization in society should abide by certain moral orders.   Definitions of Business Ethics Business ethics can be defined as the systematic study of ethical matters pertaining to the business or related persons and their activities. “Business ethics is the systematic handling of values in business and industry.” —John Dona


SOURCES OF BUSINESS ETHICS   In every society there are three sources of business ethics- Religion, Culture and Law.   Religion: Religion is considered the oldest source of ethical inspiration. These are considered the ethical base of majority of people in the world. It is believed that nearly one lakh religious groups are existing across the whole world, with their own cultural and ethical practices and values. Every religion gives an expression of what is wrong and right in all walks of life including business. However, all of them are in agreement on certain fundamental principles of ethics. The Principle of reciprocity towards one’s fellow beings is found in all the religions. Religions preach the necessity for an orderly social system and emphasize upon social responsibility with an objective to contribute to the general welfare.   Culture: Culture is the set of important understandings that members of a community share in common. It consists of basic set of values


ETHICAL PRINCIPLES FOR BUSINESS   Ethical principles are universal standards of right and wrong. These principles prescribe the kind of behavior an ethical company or person should engage in. Business people and business executives should practice the principles in their personal life also.   Principles of an ethical business can be explained as follows:   Honesty Be honest in all communications and actions. Ethical business should be trustworthy. It should not deliberately mislead or deceive others by misrepresentations, overstatements, partial truths, selective omissions, or any other means.   Integrity Maintain personal integrity. Integrity refers to a wholeness of character demonstrated by consistency between thoughts, words and actions. Ethical business should be principled, upright and positive. It should not sacrifice principles for convenience and for the sake of practicality. Promise-Keeping Keep promises and fulfill commitments. A business is worthy


BENEFITS AND ADVANTAGES OF BUSINESS ETHICS   Ethical behavior is essential for long term success of business, both from micro and macro perspective. If a business organization follows business ethics then it will result in certain benefits: -   ·       Ethical business can give better service to the society. ·       Such a business creates goodwill in the minds of customers and public. ·       It creates good environment in organization. ·       Ethical environment helps to increase productivity and positivity of employees. ·       Ethical business follows legal formalities and therefore such a business can enjoy freedom from legal and other issues. ·       Management of an ethical business is respected by the whole people both inside and outside the business.   Create Value and Better Image Business functions among different groups of people, like employees, owners, suppliers, creditors, customers, pubic etc. Everybody like to be associated with an establishmen


TYPES OF BUSINESS ETHICS             It is very difficult to classify business ethics into certain definite types. However, certain attempts have been made to classify them on the basis of values and responsibilities.   On the basis of Values   On the basis of Values, Business Ethics can be summarized under three heads. They are Equality, Respect and Freedom   Equality : Equality means - avoiding all kinds of discrimination against any person. Any discrimination on the basis of gender, race, religion etc. should be avoided inside the business. The business should be able to treat all persons inside and outside business equally. It should provide a work environment which is suitable to all types of people. The business should ensure that all groups of people are happy and satisfied inside the business. Similarly, all customers should get equal consideration especially in times of seeking redressals on complaints. There should not be any kind of price discrimination. Ther


CORPORATE SOCIAL RESPONSIBILITY Corporate social responsibility, often abbreviated as "CSR," is the responsibility of corporates towards society. It includes a  corporate's   initiatives and efforts to assess and improve environmental and social wellbeing. It includes all steps taken by the corporates to promote positive social and environmental changes in addition to legal requirements. Corporate social responsibility (CSR) is a business approach that contributes to sustainable development by delivering economic, social and environmental benefits for all stakeholders.


WORK ETHICS   Work ethics is also called Work place ethics . It is about how the ethics is followed by people at their work place. It explains how one applies values to work in actual decision making. It is the duty of managers to ensure ethics in work place. Workplace ethics gives some guidelines to the mangers in implementing ethical practices in business. For this purpose, the manager must have an idea about the factors influencing work place ethics.   Factors Influencing Work Ethics   Three factors are influencing work place ethics. They are: ·       Individual moral standards ·       Influence of managers and co-workers ·       Opportunity to engage in misconduct   The first and most important factor of work place ethics is the individual moral standards. It means that, only good people - people who follow ethics in personal life - can behave well in work place. Here the duty of the manager is to find and appoint people with ethics. The other two factors a


HOW TO IMPLEMENT ETHICS IN BUSINESS?   A business should ensure fair dealing with everyone. It should be capable of protecting the interests of all stakeholders. The business is not a single man, but a group of people. Therefore, to implement ethics, there should be proper planning. Following steps can be taken to implement ethics in business.   Steps in Implementation of Ethics in Business ·       Code of conduct ·       Policies and procedures ·       Create ethical work environment ·       Proper orientation and training ·       Developing work ethics ·       Clear communication to all regarding ethical practices ·       Ethics should be fixed for everyone. ·       Deal ethical violations seriously   It is the duty of manager to develop ethical culture in the organization. It can be developed through code of conduct and policies. Employees should be informed the need and necessity of keeping work place ethics. Proper orientation and training should be giv


ETHICAL ISSUES IN BUSINESS   Business always face ethical issues in its day to day operations and strategy formulations. Business units are meant for profit and therefore the question is this, whether to compromise quality in certain areas with a view to make profit. Or is it possible to make profit by keeping all ethical, legal and environmental requirements. The answer is simple - the business should keep all ethical and legal aspects .   Business can create value and good image in the mind of people through ethical practices. It helps the business to survive for long time. Unethical business cannot survive for a long period.   Ethical management can solve many problems very easily. It Promotes work culture, self-discipline and consciousness among the employees. It helps the management to make use of valuable human resources very effectively. This environment brings in harmony and happiness in the business.         Ethical actions redefine human attitudes. It purifies


FUNDAMENTAL ETHICAL ISSUES IN BUSINESS   Business consists of a group of people inside the organization. When the orgainsation follows ethics, it means that everyone in the business is following ethics, both inside and outside business. Following are the fundamental ethical issues experienced by the business in common.   Creating Integrity and Trust - Integrity is the commitment of business in keeping promises, price and quality. Through integrity, business can build trust in the mind of customer. Integrity of business is the integrity of all inside the business. It is very difficult to expect it from all in the right spirit. Creating Value in The Employee Behavior - The world is diverse and therefore the employees may be with different nature and culture. Their educational and economical levels may be different. They all should be given proper training and practices to learn and follow the business culture. It is very difficult to make all these employees responsible and eth


ETHICAL ISSUES IN ADVERTISING Advertising means a mode of communication between a seller and a buyer. Ethics in advertising means practicing a set of well-defined principles which govern the ways of communication taking place between the seller and the buyer. An ethical ad is the one which doesn’t lie, doesn’t make fake or false claims and is in the limit of decency. Though there are many benefits of advertising, there are some points which don’t match the ethical norms of advertising. Nowadays, ads are more exaggerated and a lot of puffing is used. Sometimes the genuine consumers may get confused, whether to believe the claims in the ads or not. The advertisers usually claim that their product is the best, having unique qualities than the competitors, more cost effective, and more beneficial. But most of these ads are found to be false, misleading and unethical. According to Vatican, ads should follow three moral principles - Truthfulness, Social Responsibility and Upholding Hu


ETHICAL DILEMMA IN BUSINESS Ethical dilemma (ethical paradox or moral dilemma) is a problem faced by business managers in the decision-making process. It is the decision making from few options where neither of these are absolutely acceptable from an ethical perspective. It is also known as ethical paradox, and moral dilemma. Ethical dilemmas are extremely complicated challenges that cannot be easily solved. Therefore, the ability to find the optimal solution for ethical dilemmas is critical to everyone. In times of ethical dilemma, managers usually adopt certain strategies. Refute the Paradox (dilemma) : Under this strategy, the situation is carefully analyzed and the existence of the dilemma is be logically refuted. Sometimes, the dilemma may be just a feeling, or may not be so much complicated. If it is not so complicated, it is easy to solve. Value Theory Approach : Under this strategy, choose the alternative that offers the greater good and the lesser evil. Selecting a les


INTRODUCTION TO HOSPITALITY MANAGEMENT   Hospitality is the relation between guest and host. It is the friendly   and   generous   behaviour   towards   visitors and   guests , in order   to   make   them   feel   welcome . It is the act or practice of being hospitable to others, especially to the guests and visitors. In this way, hospitality is the relationship between guest and host, or the reception and entertainment of guests, visitors, strangers   or  tourists . Hospitality involves welcoming and treating the guests with respect and friendly way. Satisfaction of guest is the most important aim of hospitality management. The hospitality activities of people may vary according to the culture and belief of people. In India people give maximum respect to guests. There is a famous slogan in this regard – athidhi devo bhava, it means ‘Guests should be treated as God’.   Guest Guest is a person entertained at the home of another; or a visitor. He may also be a person e