B. OVERVIEW OF SMALL BUSINESS 2.00 Explain the basic concepts leading to success in small business entrepreneurship. 2.03 Discuss the importance of ethical.

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B. OVERVIEW OF SMALL BUSINESS 2.00 Explain the basic concepts leading to success in small business entrepreneurship Discuss the importance of ethical behavior in business.

Ethics Guidelines for human behavior; the study of moral choices and values; choosing between right and wrong.

Ethical behavior Knowing the difference between right and wrong and consciously choosing to do right.

Code of ethics A systematic set of rules and procedures used to guide the behavior of an individual, a business, or a culture.

Business ethics Applying principles of right and wrong to situations in the workplace.

Ethical responsibility towards customers Treat all customers with respect. Be honest. Do not exaggerate the merits of your products/services. Inform customers of possible dangers of your products/services. Handle all disputes fairly.

Ethical responsibility towards employees Establish an ethical workplace. Create a written code of ethics to set guidelines to help the business owner and employees make ethical decisions. Establish company policies and procedures to let business owners and employees know how to act in certain situations. Treat all employees fairly.

Ethical responsibility towards the community Contribute money to charities, cultural institutions, and other reputable causes. Get involved. Donate products and services.