Presentation on theme: "Business Ethics and Social Responsibility"— Presentation transcript:
1 Business Ethics and Social Responsibility Chapter 4Business Ethics and Social Responsibility
2 EthicsEthics = A set of moral principles by which people conduct themselves personally, socially, or professionallyCode of Ethics = a professional’s or company’s set of guidelines for upholding ethical behavior.Business Ethics = rules that govern how we do businessExplain how bribery is expected in business transactions for some countries. Then ask students if U.S. businesses should resort to bribery to increase the GDP.
3 Unethical Business Practices Bad for businessAffects a business’s profits, customer base, and employee loyaltySweatshops = factories that pay poorly, have unsafe working conditions, and treat workers badlyExample: Triangle Shirtwaist Factory Company fire
4 Social Responsibility Social Responsibility = obligation to do what is best for the welfare of societyBusinesses have a responsibility to consumers, workers, and society
5 Making Decisions on Ethical Issues (do not need to write)Identify the ethical dilemma.Discover alternative actions.Decide who might be affected.List the probable effects of the alternatives.Select the best alternative.
6 Government’s Responsibility to Customers FDA (Food and Drug Administration) = a government agency that protects consumers form dangerous or falsely advertised productsSome others (you do not need to write)FTC (Federal Trade CommissionCPSC (Consumer Product Safety Commission)USDA (United States Department of Agriculture)Ask students to list the four government agencies identified in the slide and then see if the can explain the consumer protection role for each agency.
7 Business’ Responsibility to Employees Equal Pay Act = a federal law requiring that men and women be paid the same wages for doing the same work.OSHA = division of the Department of Labor that sets and enforces work-related health and safety rulesAsk students to list three responsibilities that employers have for employees. Then ask students to list three responsibilities employees have to the employer.
8 Business’ Responsibility to Society EPA (Environmental Protection Agency) = a federal agency that enforces rules that protect the environment and control pollutionConflict of Interest - when a business is tempted to put profits before social welfare. (When a person uses personal activities or actions to advance his or her career at the expense of another person)