Ethics in Business: Making Ethical Decisions and Approaches

Business Ethics
Business ethics in a global
perspectives
Student Name

Ethics in business 1
Ethical theories assist in making ethical decisions:
Ethics are the bunch of beliefs that actually deals with the ideologies of morality with
well-defined principles of right and wrong behavior in terms of responsibilities, rights,
guidelines, benefits to society etc. In another words, ethics is the word that is derived from
the Greek word “ethos” which highlights characters, routine and norm (Ho, 2015).
Ethical theories and principles are the basis of the ethical analysis, which highlights
certain viewpoints that helps in guiding and can obtain a pathway to the decisions. There are
certain steps that help in making ethical decisions.
Observation and facts
Appeal to principles or ideas
Consideration of basic obligation, duties and rights
Consideration of consequences
Conclusion
The above process highlights that how ethical theories help in making better ethical
decision making: To making ethical decisions, first and the foremost thing is to gather the
facts. Even facts generates two results one will be positive and another one will be negative.
If business houses attract good then the outcomes will be positive and if the facts are wrong
in the beginning then moral judgement can lead business towards the wrong path.
Second step highlights to make prediction, a guess about the future. In concern to
business houses, there is always an element of uncertainty. Yet, the organisations have to take
guess and select the action, which they like the most to cause good.
Third step, highlights to identify the feeling, make consideration regards duties,
obligations and rights. In this, they highlight what is rational and conscious and feelings are
the way to check whether an individual is rationalizing.
Fourth step displays, consideration of consequences are seen for the longer run.
Business houses duty is to see the consequences in a long run. Lastly, fifth step focuses on
the conclusions in which company builds the hypothesis and then test it, reach the conclusion

Ethics in business 2
and summit it. Hence, this process helps in employing a sound process in making the ethical
judgements within the organisation (Tenbrunsel, & Smith‐Crowe, 2008).
A large portion of ethics helps in dealing with the approaches of the principles or
standards that are used for making the ethical decisions’ making in the business houses.
Certain approaches like utilitarian, virtue ethics, Deontological ethics and lastly Kantism
ethics (Tenbrunsel, & Smith‐Crowe, 2008).
In utilitarian approach, ethical actions produces the greatest good and does least
harm for all the clients, stakeholders, colleagues and the entire community. In this approach,
everyone deals with the consequences and tries their best for both- to increase the good done
and to reduce the harm done. In this, the decisions making done within the business house
will be fair enough because it that kind of approach which thinks of both the harm and the
goodness of the individuals (Ethics unwrapped, 2018a).
Deontology ethical theory determines that what is ethically right which is more
significant that what is for the larger good. In this theory people’s right are the most
imperative over their body, labour and talent. It is the duty-based ethics. In this, they give
emphasis on giving equal respect to all human beings. However, in decision making concern,
there is a high degree uncertainty to ethical decision making because the future is
unpredictable (Ethics unwrapped, 2018c).
In virtue approach, ethics focuses on attitude or character traits that enables to an act
that develops the individuals highest potential likewise, honest, courage, compassion,
generosity, integrity, fairness and lastly, self-control. Virtues are like habit when once it is
being acquired it becomes characteristics of a person. Hence, there major focus is on
attitudes, dispositions and the character traits that help in developing the human potentials. In
business decision making concern this kind of approach to ethics are the best approach
because it highlights the moral virtues that assist in making the ethical decisions in
organisations (Ethics unwrapped, 2018b).
Can an ethical business be a profitable business?
Business ethics displays the appropriate business guidelines and practices regarding,
resolving the controversial issues like corporate governance, insider trading, subornation,
discernment, corporate social responsibilities. Law often directs the business ethics, while at