The Purpose of Ethics and the Benefits of Paying Taxes in Business

Running head: BUSINESS ETHICS & GLOBAL PERSPECTIVES
BUSINESS ETHICS & GLOBAL PERSPECTIVES
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BUSINESS ETHICS & GLOBAL PERSPECTIVES1
The fact remains an ultimate truth that ethics play a vital role in business. It is important
for businesses to consider business ethics that are formed of applied ethics or professional ethics
examining ethical principles and moral problems (Carroll & Buchholtz, 2014). Ethics deals with
individual character and the moral rules that specify and limit human conduct. Certainly ethics
have a significant purpose in relation to business as well as human life. One of the concerns in
association with is paying taxes. The paper will aim at discussing the purpose of ethics and the
ways paying taxes benefit society. The discussion would be carried out considering and
highlighting the significance of ethics in business.
Ethics deals with individual character and values in regard to morality that limit human
conduct. In helps in understanding right deeds and wrong deeds a take actions accordingly.
Human conduct can go to any extend without considering the consequences or impact on other
lives. Business ethics are the principles that constitute right and wrong considering human
behaviour in context to business. In an organization there are several times when closely related
moral questions arise. Organizations aim for to make profit by providing goods or services. It is
important that business ensure that their work do not conduct any unethical work in order to
generate profits. Business ethics helps in providing guidelines that organizations follow when
they interact with entities internally as well as externally of the company. Business ethics helps
businesses consciously alter behaviour towards other companies and people (William et al.,
2016). Apart from the basic role of business ethics, there are some major roles that business
ethics play. A business is seen as a single entity by the community, the vendors and the
employees. Therefore, the action of any single person is not perceived differently but as an action
of the organization. Therefore, a code of conduct helps in maintaining the standardized positive
image among the external and internal environment. Business ethics helps to prevent causing

BUSINESS ETHICS & GLOBAL PERSPECTIVES2
bigger issues. Discrimination, sexual harassment, hazardous working conditions are regulated by
state and federal laws. Any company that violates these laws must endure the consequences of it.
The company may face fines, lawsuits and injunctions which may become barrier to carry on the
business. The strict business ethical practices help in making the company a place with only
positive environment, good business ethics create responsible business relationship with other
companies (Ferrell & Fraedrich, 2015). The business ethics makes each employee aware of their
action and limits their misconduct behaviour. Business ethics are helps in building business
relationship. A positive professional relationship is developed when a company has ethical
business practices. The good image of the business helps not only in lowering product costs but
also in repeat business and source of finance. When a company maintains good ethical practices,
it is certainly to sustain in the market compared to the companies that do not have good ethical
practices. Not to be ignored one of the most valid purposes for having ethical practices in
business is to reduce turnover in the company. Employee turnover is a big damaging factor for
the company. Company depends on its employees for reasons, specifically when it’s the old
employees they begin to rely on them. Therefore, it becomes highly damaging when old
employee leave the company which can be maintained and reduced through ethical treatment of
employees. Therefore, considering the role of business ethics, it is important to have strict
business ethics in every organization (Shaw, 2016).
Taxes have been introduced in order to develop the state and the nation for the benefit of
the citizens. It is a contribution that public or private companies as an investment or better future.
To foster economic growth and development there is a substantial amount of resources that
government needs (Dowling, 2014). Government use the funding for the purpose of social