Business Ethics: Importance and Implementation

This proposal discusses the importance of business ethics and the implementation of ethical policies in organizations. It highlights the role of trust and fair treatment in building relationships with consumers.

Running head: BUSINESS ETHICS
BUSINESS ETHICS
Name of the Student:
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Introduction
Public Relations are a strategic communication process which forms mutual beneficial
associations between organizations and their public. Public relations are recognized as a
discipline which upholds the repute and status of an organization with a purpose of attaining
comprehensive understanding and influence. According to Vieira Jr and Grantham (2014), with
the current competitive market, reputation is recognized as a major asset. Effective Public
Relations tend to assist manage reputation by conversing as well as establishing constructive
associations with all organisation stakeholders. PR is recognized as the way organizations,
business enterprises and individuals tend to communicate with the public and media (Mikáčová
and Gavlaková 2014). A PR specialist mainly communicates with the target audience directly or
indirectly by means of media with an intention to create as well as maintain constructive image
and further establish strong association with the audience. The following paper will aim to
analyse the public relations which aids an organization and the role of PR and in the relationship
between brand and consumer.
Discussion
Strategic Role of Public Relations
Number of businesses chiefly use public relations performances as another important
marketing tool. However, from a strategic management point of view such a strategic role can be
a mishandling of resources. Kiráľová and Pavlíčeka (2015) have noted that for public relations to
have tactical roles in organizations, entrepreneurs have to have a distinct vision as well as
organizational objectives as well as obligation to utilize PR tools in a dynamic role with an aim

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to accomplish them. Such a role primarily comprises of two direct benefits. Lee and VanDyke
(2015) have noted that the PR experts primarily help organizational leaders to distinguish actions
in the strategic plan which show a propensity to influence key stakeholders, circumventing
actions. Furthermore, as per the view of author, the strategic role of PR permits the PR
information to be shaped from the corporate arrangement guaranteeing that they are always on
the similar pages and evading the threats of miscommunication.
Mikáčová and Gavlaková (2014) are of the opinion that a well-positioned PR function
must have the ability to leverage collaboration with the Human Capital unit in order to coerce
organisational cultural patterns as well as values in the course of reliable internal communication
strategies that can interpret into agreeable customer knowledge at every touch point.
Comprehensive studies of Demir et al. (2015) have noted that whether organizations contract out
public relations obligations or perform them through their personal capacities or employ a staff
or PR representative, the responsibilities primarily incorporate information stating that some
stakeholders show greater decisiveness than others. The strategic role of human resources chiefly
focuses on identifying the degree of opinions and comments of employees and which comments
tend to have the most impact on the way organization is perceived and verify whether their
conversations have aligned to the organizational goals (Vieira Jr and Grantham 2014).
Ways to measure success of Public Relations
PR and corporate communication has accomplished the mounting requirements with an
inconsistent track record and thus is widely perceived as a major area for focus. It is important to
note that lack of measurement results to misinterpretation of an organization’s performance.
Kiráľová and Pavlíčeka (2015) have noted that marketing and PR practitioners requires to
demonstrate the value of PR activities in achieving business objectives. According to Hou and

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Lampe (2015), PR has conventionally struggled to measure its outcomes and quantify its
involvement to the definite business targets. PR measurement experts have criticized the
Advertising Value Equivalency (AVE), which tends to compare the importance of earned media
to endorse comparable size and placement, as an illogical metric. Recent times, PR has
developed advanced skills and tools at its disposal which aid organizations to assess its earned
media achievements with these metrics (Lee and VanDyke 2015).
Website referrals- Website referrals have been identified as efficient tools which offer primary
Public Relations measurement tool. While Google Analytics offers significant information
regarding own website of the organization, Website referrals tend to provide restricted value as
a measurement instrument for public relations. Vieira Jr and Grantham (2014) have noted that
the primary objective of PR does not aim to amplify website traffic. However, the primary PR’s
goal relies on setting up substantial brand awareness, augment reliance and exert a pull on the
accurate kind of traffic.
Mentions- Reports of Theaker (2016) have noted that often Google Alerts show unreliability and
fails to incorporate mass and social media monitoring. A subscription media monitoring
tool aims to precisely report which media channels and social media users mention products and
services. Implementing mentions in measuring PR outcomes enables PR to increase affirmative
media mentions through other owned media, social media in addition to other channels.
Furthermore, taking into consideration, brand mentions further known as implicit links permits
organizations to reinforce their SEO (Lee et al. 2015). However, Mikáčová and Gavlaková
(2014) have noted that if the websites which mention the brand tend to have robust domain
influence, communicate with the site webmasters which will convert implicit associations into
explicit links and improve the SEO.

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The role of PR
It is in the interest of every business enterprise to preserve and uphold a positive public
appearance. Regardless of the industry being a public sector business or a private sector
enterprise, both types of establishments can only gain benefits if they are able to establish
appropriate management their perceptions among the public. According to Mikáčová and
Gavlaková (2014) it is frequently misinterpreted that the establishments exercise public relations
only for the sole objective of gaining publicity. Nonetheless in its place, the domain of public
relations (PR) is associated with influencing and upholding the reputation and image of the
business.
In other words, PR is associated with a planned, deliberate, and continued determination
to maintain and foster a sense of shared understanding between the business, and its consumers.
Hence, PR utilises facts for influencing judgment that will facilitate development and
maintenance of goodwill. Taking into consideration the fact that PR helps in managing
communication between the public and the organization, it plays an imperative role in branding.
In addition, the public comprises of potential as well as current customers, potential employees,
vendors, investors, opinion leaders and media (Demir et al. 2015). Therefore, different aspects of
PR such as publicity, publication design, and event management are imperative in increasing
brand value.
The Role of PR in relationship between brand and consumer
The development and reputation of social media has altered the strategies of advertisers
as well as marketers. Kiráľová and Pavlíčeka (2015) have noted that as social media is identified
as a receiver-oriented means and mainly entails mutual conversations, it contradiction to the
conventional in one direction, sender-oriented idea of promotion as well as marketing

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interactions. The social media is identified as one of the several regions of corporate business
domains whereby public relations of organizations department show great support. However, it is
important to note that a brand can exemplify all areas of corporate business if there is an
informed inclination to expand its implication beyond product remunerations to unite with
stakeholders in a holistic approach. Hou and Lampe (2015) have noted that PR can facilitate that
connection in an extensive array of performances.
Folkingtons Artisan Drinks has implemented several steps in order to recuperate any
failure of standing it has experienced. Reports of Demir et al. (2015) have revealed that the
company with an aim of establishing its public relation strategies have emphasized on obesity
and has efficiently attempted to associate to non alcoholic beverages, the corporation and its
bottling associates has stressed on the choice of diet as well as other drinks. The company’s PR
strategies exhibited its strategies claiming that there must be an absence of overt advertising of
soft beverages for children who below 12 years (Valentini 2015). Theaker (2016) has noted that
authentic celebration is one of Folkingtons Artisan’s everyday messages. Mikáčová and
Gavlaková (2014) have noted that the role of PR in Folkingtons Artisan is not to resonant the
marketing meaning, but focus on forming on it in the course of array of narrations that may entail
local associations, marketplace advances in addition to corporate accountability along with
business outcome (Folkingtons.com 2019). Thus, PR of Folkingtons Artisan must attach the dots
among the product as well as citizenship, bottlers as well as social associations.

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Conclusion
Although public relations are implemented for an extensive range of principles in
organizational statement for improving the image of the organization, its objectives and its self-
understanding tactic has been more and more prominent with public.

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References
Demir, A.Z., Elioz, M., Cebi, M., Cekin, R. and Yamak, B., 2015. A strategic approach for
export: Improving country image through the Olympics. The Anthropologist, 20(3), pp.457-461.
Folkingtons.com 2019. Folkingtons Drinks. [online] Available at:
https://www.folkingtons.com/botanicals/ [Accessed 31 May. 2019]
Hou, Y. and Lampe, C., 2015, April. Social media effectiveness for public engagement: Example
of small nonprofits. In Proceedings of the 33rd annual ACM conference on human factors in
computing systems (pp. 3107-3116). ACM.
Kiráľová, A. and Pavlíčeka, A., 2015. Development of social media strategies in tourism
destination. Procedia-Social and Behavioral Sciences, 175, pp.358-366.
Lee, N., Sha, B.L., Dozier, D. and Sargent, P., 2015. The role of new public relations
practitioners as social media experts. Public Relations Review, 41(3), pp.411-413.
Lee, N.M. and VanDyke, M.S., 2015. Set it and forget it: The one-way use of social media by
government agencies communicating science. Science Communication, 37(4), pp.533-541.
Men, L.R., 2014. Strategic internal communication: Transformational leadership, communication
channels, and employee satisfaction. Management Communication Quarterly, 28(2), pp.264-284.
Mikáčová, L. and Gavlaková, P., 2014. The role of public relations in branding. Procedia-Social
and Behavioral Sciences, 110, pp.832-840.

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Theaker, A., 2016. The public relations handbook. Routledge.
Valentini, C., 2015. Is using social media “good” for the public relations profession? A critical
reflection. Public Relations Review, 41(2), pp.170-177.
Vieira Jr, E.T. and Grantham, S., 2014. Defining public relations roles in the USA using cluster
analysis. Public Relations Review, 40(1), pp.60-68.

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Introduction
Business ethics is an umbrella term that refers to the usage and implementation of
suitable business strategies and practices, in relation to theoretically controversial topics such as,
insider trading, corporate governance, corruption, corporate social accountability, discernment,
and fiduciary duties (Crane and Matten 2016). Hence, the presence of business ethics ensures
that there exists a certain extent of trust between different types of market participants and the
consumers. This proposal will elucidate the important of introducing a code of ethics, besides the
company values.
Business ethics
The notion of business ethics originated during the 1960s, with an increase in awareness in the
corporations of the increasing consumer-based civilisation that presented apprehensions and
anxieties, in relation to the societal causes, environment, and trade accountability. According to
Ferrell and Fraedrich(2015) the augmented emphasis on supposed social matters acted in the
form of a trademark of the period. The perception of business ethics has progressed over time.
Business ethics extends further than the mere presence of a moral code that focuses on right and
wrong. In contrast, the concept attempts to settle what steps must be adopted by the businesses in
a legal manner, as opposed to upholding a competitive lead over other industries. Companies
demonstrate business ethics in more than a few ways (Hoffman, Frederick and Schwartz 2014).
The prime objective of business ethics is to ensure the presence of trust between the corporations
and consumers, while guaranteeing equal and fair treatment to the consumers. Furthermore, in
the words of DesJardins and McCall(2014) business ethics are typically based on two distinct
dimensions, namely, descriptive business ethics and/or normative business ethics. Hence, the

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field is generally normative, as a domain of career specialization and corporate practice.
Professional organisations and corporations- In particular licensing boards have a written
code of business ethics that govern the professional conduct standards, which help in maximising
returns of shareholders, and sacrificing the profits for different concerns.
Ethical policies of rationalisation and psychological distance
Rationalisation refers to the restructuring and reorganisation of a business, with the aim
of snow-balling its operating productivity. This kind of restructuring often brings about a growth
or decrease in the size of the corporation, an alteration of business strategy, or a modification of
tactic relating to certain products of the organisation (Savrul,Incekara and Sener 2014).
Comparable to a reformation, the presence of ethical policies within rationalization is more
prevalent, and comprises of strategies, in addition to structural changes in the business.
Therefore, rationalization is essential for a business to upsurgeits revenue, reduce the costs and
advance its bottom line.
In contrast, the concept of psychological distance in marketing and international business
settings refers to the professed variances between a home republic and a "foreign" nation
notwithstanding physical space and time factors, which fluctuate across dissimilar cultures. In
other words, business policies associated to psychological distance encompass different factors
that disturb or prevent the easy transfer of information between possible or definite contractors
and clients (Griffith and Dimitrova 2014).Therefore, the theory of psychological distance has
been found to create noteworthy consequences, under circumstances when implemented in
business procedures. Often it is implemented across export business that are less ethnically and
geographically detached.

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Steps for implementation
Ethical policies are typically issued by a particular organisation to the management and workers
and help them for conducting their actions, in relation to the ethical standards and primary
values. In other words, ethics implicitly controls ranges and particulars of behaviour that lie
further than administrative control. The major steps that are followed during the implementation
of ethical policies in business are given below:
1. Documentation of the code of ethics of the organisation
2. Promoting incessant communication and organising awareness drives
3. Teaching and strengthening action (Wagner and Svensson 2014)
4. Developing principled architecture with the aim of supporting code the environment and
culture
5. Developing process and arrangement for monitoring the operation of the organisation and
managing its liability

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References
Crane, A. and Matten, D., 2016. Business ethics: Managing corporate citizenship and
sustainability in the age of globalization. Oxford University Press.
DesJardins, J.R. and McCall, J.J., 2014. Contemporary issues in business ethics. Cengage
Learning.
Ferrell, O.C. and Fraedrich, J., 2015. Business ethics: Ethical decision making & cases. Nelson
Education.
Griffith, D.A. and Dimitrova, B.V., 2014. Business and cultural aspects of psychic distance and
complementarity of capabilities in export relationships. Journal of International
Marketing, 22(3), pp.50-67.
Hoffman, W.M., Frederick, R.E. and Schwartz, M.S. eds., 2014. Business ethics: Readings and
cases in corporate morality. John Wiley & Sons.
Savrul, M., Incekara, A. and Sener, S., 2014. The potential of e-commerce for SMEs in a
globalizing business environment. Procedia-Social and Behavioral Sciences, 150, pp.35-45.
Wagner, B. and Svensson, G., 2014. A frameworktonavigatesustainability in businessnetworks:
Thetransformativebusinesssustainability (TBS) model. European Business Review, 26(4),
pp.340-367.