Four reasons for why ethics is
relevant to business:
I.
Customer
equity of the Ethical Issues
Customer equity
and loyalty have great importance for organizations. Customers get attraction
towards the organizations which have ethical practices and morality. Of course,
frauds and unethical decisions are unacceptable for customers. Thus to keep
customers in touch and loyal with the company, business ethics are essential.
In the case study, if Michael will use information extracted or obtained from
illegal and unethical way then the company would face negative response from
customers also (Ethicaladvocate.com, 2016).
II.
Attract
investors of the Ethical Issues
Companies ensure ethical practices
to get the attraction of the investors. Definitely, investors would not take
interest to invest in a company which does not have ethical policies and
practice. Unethical practices will cause to make their investment risky. In
case, the investors of Michaels Company get an idea about their illegal action
they would defiantly alter their mind about investment.
III.
Development
of partnership contracts
The partnership also gets negative
impact when a partner realize that the other one is involved in the unethical
practices and actions. In this case study, Michaels Company would also face the
same situation in case they work on unethical policies and plans of their boss
regarding the use of illegally collected information about competitor companies (Clarkson,
Miller, & Cross, 2010).
IV.
Better
reputation in society
Better reputation in society is
the prime requirement of the companies concerned with expansion and sustainable
growth. Reputation gets influence when a company apply unethical policies. In
the case of Michael’s company, Michael was confused because in his knowledge use
of illegally obtained information about competitors could ruin the overall
reputation of the company. In the world of digital technologies and social
media companies need to be focused on ethical practices. Otherwise, the
company's reputation can get negative impact.
Conclusion of the Ethical Issues
The whole discussion concludes
that ethical issues are critical to the success and sustainable growth of the
companies. Case study projected an example of unethical practises by the boss
of Michael who collected information about the competitor company by taking
illegal access to their data storage systems. Confidential and important data
about the production system of competitor firm could benefit the organization
in which Michael was working in financial terms however Michael was not ready
to work on that information to avoid illegal actions and unethical practices. Case
analysis conclude that Michael should blow whistle.
References of Ethics relevancy to Business
capsim. (2018). Five Ways To Shape Ethical
Decisions: Fairness Approach. Retrieved from www.capsim.com:
https://www.capsim.com/blog/five-ways-shape-ethical-decisions-fairness-approach/
Clarkson, K. W., Miller, R. L., & Cross, F. B.
(2010). Business Law: Text and Cases: Legal, Ethical, Global, and
Corporate Environment. Cengage Learning.
Ethicaladvocate.com. (2016, 09 02). Manager’s
Role in Ethics. Retrieved from www.ethicaladvocate.com:
https://www.ethicaladvocate.com/managers-role-ethics/
Gupta, A. (2018). THE EVOLUTION OF FRAUD: ETHICAL
IMPLICATIONS IN THE AGE OF LARGE-SCALE DATA BREACHES AND WIDESPREAD
ARTIFICIAL INTELLIGENCE SOLUTIONS DEPLOYMENT. International
Telecommunication Union Journal, 1(2), 0-7.
Gurnani, R. M. (2015). Globalization and ethical
challenges. The Business & Management Review, 5(4), 116-124.
Mill, J. S. (2017). Utilitarianism. Coventry
House Publishing.
Scarre, G. (2002). Utilitarianism. Routledge.
Retrieved 2019