Unethical Practices in Business Environment

Running head: UNETHICAL PRACTICES IN BUSINESS ENVIRONMENT 1
Unethical practices in business environment
Student name:
Student ID:
Institution:

Unethical practices in business environment
2
Unethical practices are defined as behaviors that do not comply to the minimum standards of
operating a business in a particular environment. People do activities that are contrary to the
accepted standards and their behaviors has negative effects to the government and its citizens. In
Vietnam, various unethical practices have been reported to take place in the business
environment. These practices include corruption and workers’ exploitation among other
practices. Corruption is among the leading unethical business practice in Vietnam business
environment (Gueorguiev & Malesky, 2012). Corruption is a term that refers to inadequate
transparency and accountability in business operations where by people with authority take
advantage of their positions to benefit themselves from powerless individuals while in their line
of duty. In Vietnam, corruption accompanies activities relating to tax evasion, bribing and
negative political influences (Seagon et al., 2018). All these practices affect the economic growth
of Vietnam negatively. Through corruption, organizations are evading tax payment under the
influence of political leaders so that these leaders can receive the money that was meant for
paying taxes. This practice limits the ability of the government of Vietnam to carry out its role of
providing goods and services to its citizens.
The other unethical practice in Vietnam business environment is employee exploitation.
Workforce exploitation involves unfair treatment of workers for the benefit of their employers.
Employees are exploited in terms of low wage payment for the labor provided, poor working
environment where workers are exposed to poor working conditions including poor sanitation
and required working equipment and employees working for long hours without overtime
compensation. These practices do not conform to the labor laws that are put in place by Vietnam
government thus making employees to suffer at the expense of their employers.
Strategies for controlling unethical practices in Vietnam
In order to curb unethical practices relating to corruption, Vietnam government has put in place
anti-corruption laws that are meant to ban unethical practices in all sectors of the economy
(Fritzen, 2007). All person found guilty in corruption practices are subjected to payment of
fines. Fines for violating anti-corruption laws significantly varies depending on seriousness of
the committed offence by the people in authority. To ensure the effectiveness of anti-corruption
laws, Vietnam has signed various agreements with other countries like Malaysia in the year 2010
(Cooperation Agreement on Anti-Corruption Measures).