Ethics Theory and Business Ethics

Ethics Theory and
Business Ethics

Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY ..................................................................................................................................1
CONCLUSION ...............................................................................................................................9
REFERENCES..............................................................................................................................11

INTRODUCTION
Business ethics can be understood as implementation of appropriate policies as well as
practices in relation to arguable controversial subjects (Alzola, 2017). These subjects essentially
comprises of corporate governance, fiduciary responsibilities, insider trading and many more.
Business ethics ensures a specified level of trust exists among business organisations and their
customers. It is also concerned with ethical dilemmas as well as controversial issues that are
faced by an establishment. These ethics are considered as significant as they have long lasting
implications on numerous level. Due to increased awareness of environmental, social as well as
issues related to governance, business ethics plays an important role. Ethical theory aids in
making critical decisions in an ethical manner. It essentially improves confidence as well as
competence in order to make future decisions better. In order to better understand about business
ethics as well as ethical theory, ASOS Plc has been taken as an example for consideration. ASOS
Plc is an UK based online fashion as well as costematic retailers which primarily aims young
adults with their products. ASOS Plc has its headquarters at London, United Kingdom.
This project report highlights an understanding of ethical theories in relation with the
perspective of performing business operations in an effective manner. It also demonstrates real
life examples in relation to professional practice for portraying ethical dilemma.
MAIN BODY
Ethical theories
Ethical theories can be described as an attempt which provide a clear and unified account
in relation to obligations of an organisations (Arnold and Bowie, 2019). Ethical theories aid
business organisations for being socially responsible instead of indulging solely in gaining
profits. These also help organisations in attracting varied customers as people seeks to procure
goods from those brands which have adopted corporate social responsibility and viable practices.
These theories in organisational setting enhances the legislative practices in relation to
acceptable behaviours beyond government control. Organisational managers establish business
ethics which promotes integrity among their personnel as well as gain trust regarding their
significant stakeholders. These theories aid organisations in determining what is adequate for
them in regards with any given situation. Explanation of ethical theories in relevance with
examples in relation to professional practice are mentioned below:
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Utilitarianism theory
Utilitarianism theory is considered as widely used as well as most common ethical theory
which suggests that organisational managers should properly conduct their operations for the
greater good of an community (Blay and et.al., 2018). This theory proposed that good practices
can be assessed through the effect it has provided to specific parties in an effective manner. It
has been said that end should justifies the means which is considered a classic expression in
relation to utilitarian thought process. Utilitarianism essentially describes whether an attempted
action or consequences have a bad or good aspect. It considers happiness as well as pleasure as
good aspects whereas other elements are marked as bad. It can not be indulged in aspects
regarding feelings, emotions and culture.
Illustration 1: Utilitarianism theory of ethics
Source: Utilitarianism A Moral Theory.2022
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