The idea of ethical behavior in business is also to protect the company from attacks by unethical employees and competitors. High ethical standards protect employees too. If people are working in a highly ethical company, the firm attitude to them, from the standpoint of fairness and dignity, returns in highest ethical level of the employees themselves and the increase of productivity.
In other words, the ethical behavior of firms in the long run can be achieved only through collective efforts.
Unfortunately, the conditions of perfect competition and the implementation of contracts, which does not require costs represent a perfect business environment, not really feasible in the existing market economy. And that means that ethical behavior is a prerequisite for a functioning market economy.
Members of the American Marketing Association agreed to respect ethical behavior in their professional standards. They signed a code of ethics includes a number of provisions.
Opinion polls have shown that in the opinion of the general public the commitment to ethical behavior in the U.S. is declining. Only 7% of Americans believe that it increased.
Thus, economic ethics helps organize the social institutions activity in the way to make ??possible their ethical behavior, but not to destroy the competition, as well as rules of the game, which are respected market, and according to which the moral obligation of companies is a long-term profit maximization.
According to opinion polls, the general public in the United States believe in declining of the ?? ethical behavior values.
Another approach used by organizations to improve the performance of ethical behavior is to teach it to managers and staff. Such training assumes familiarizing of the employees with business ethics and increasing their sensitivity to the ethical issues that may arise before them. Embedding ethics as a subject in business courses at the university level is another form of teaching ethical behavior, so that students begin to better understand these issues. While daily newspapers are replete with examples of unethical and illegal behavior of employees of organizations of any type, however, we believe that the organizations have no shortage of examples of opposite ethical actions of their employees. Continuing to implement various programs and methods described above, and ensuring that senior leaders served as role models of proper ethical behavior, organizations should be able to improve their ethical standards.
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