Professional Practice in Accounting Case Study 2022

PROFESSIONAL PRACTICE
IN ACCOUNTING

Contents
Introduction................................................................................................................................2
Overviews of the companies......................................................................................................2
Ethical Implications...................................................................................................................3
Motivating factors for corporate behaviour...............................................................................3
Correlation between company’s performance and ethical approaches......................................4
Personal Inference......................................................................................................................6
Conclusion..................................................................................................................................6
References..................................................................................................................................8

Introduction
A business organisation is an aggregation of several resources derived from the
society that are the capital, manpower and the other natural resources, for the purpose of
rendering of goods and services to the society itself. Therefore, it is vital for the businesses to
consider the interests and aspirations of such stakeholder groups while formulating the
business strategies and carrying out the business operations. The legal framework, ethical
principles and the various theories together assist the management of the organisations to
efficiently serve the society together with the achievement of the profit earning goals.
The objective of the following report is to study the various aspects of the ethics and
governance in the context of modern global corporate scenario. The said study would be
facilitated by the review of the corporate culture of four globally renowned entities. While the
entity IBM and Tata Steel are known for their ethical conducts, the entities McDonalds and
Nestle are majorly in news regarding some or the other ethical issues. A comparison and
contrast would be drawn between the various aspects of business of the above mentioned
entities.
Overviews of the companies
Unethical Companies:
McDonalds: The Company McDonald’s Corporation renowned global food chain
headquartered at United States, which was founded in year 1948. At presently the company’s
global operations are expanded in approximately 119 countries in various continents and a
whopping employee base of 210000 employees.
Nestle: The company Nestle is a Switzerland based multinational engaged in the
industry of food and beverages. The company is a renowned brand name to about 2000
brands that include local products as well as the global products. The foundation of the
company dates back to year 1866 under the name of founder Henri Nestle.
Ethical Companies:
IBM: The entity is also a multinational corporation based out of New York and
having global operations in around 170 countries. The entity is engaged in the industry of
data analytics, artificial intelligence, and cloud and other incidental products and services to
the mobile, information technology and computing sector.