Exploring Business Ethics: Stakeholder Analysis and Normative Theories

This essay provides an overview of business ethics, focusing on the moral principles and values that organizations should adopt to achieve success while adhering to laws and regulations. It emphasizes the importance of ethical conduct in various business areas, including finance, human resources, and research. The analysis includes a stakeholder analysis, identifying both internal (employees, managers, investors) and external (suppliers, customers, government) entities and their influence on the organization. Furthermore, the essay discusses normative theories, such as utilitarianism, egoism, ethics of duty, ethics of rights, and virtue ethics, which guide ethical decision-making. It also addresses ethical dilemmas and suggests a systematic approach for resolving them, highlighting the need for companies to follow ethical practices to improve performance and gain a competitive advantage. The document is available on Desklib, a platform offering study tools and resources for students.

Business Ethics

Introduction
Business ethics are related to moral principles and values which
should be followed by the organization. On the basis of these, the
firm will be able to know about that how they have to behave in the
environment so that they can achieve success. Corporate practices
should be based on code of conduct and along with this; companies
are bound to form some laws and regulations which are made by the
government (Crane and Matten, 2016). There are some of the
business areas where they have to perform their operations and
some of these are finance, human resource, and research as well as
so on. When any department perform their operations, then they
have to follow laws and policies so that smooth functioning can be
ensured in the market.

STAKEHOLDER ANALYSIS
Stakeholder can be any person, group and organization that have
some interest in the business. These people can affect activities of
organization and along with this they also get affected due to
operations and objectives of the company. There are some internal
and external stakeholders which may influence objectives of the
industries. Some of these internal stakeholders are employees,
managers, directors, investors and on the other hand suppliers,
customers, competitors, government are external bodies that may
affect performance of the business organization. When companies
make any policies and laws then all people who are associated with
the firm have to follow these regulations so that their overall
performance and growth can be improved in the country as compare
to other industries (Weiss, 2014).

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There are some of the ethical issues that are faced by people who are
working in the business organization. These issues are fundamental,
decisions, governance and compliance. Internal and external
stakeholders are:
 Employees
 Managers and leaders
 Investors
 Customers
 Competitors
 Government

NORMATIVE THEORIES
Normative is the study of ethical actions which are performed by
the organisation in their business environment. Through these the
companies will be able to know about the right and wrong and their
consequences which they have to face. Normative is related to the
moral philosophy and principles that should be followed by the
companies (Pies, Beckmann and Hielscher, 2010). This theory is the
combination of consequentialist and non consequentialist.

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Consequentialist is related to the right and wrong on the basis of the
consequences and results. Car manufacturing industries have to
follow these business ethics and also provide equal right for male and
female so that overall performance can be improved. On the other
hand, non consequentialist are related to the righteousness and
wrongness actions on the basis of the intrinsic features and
characters. Some of the theories are:
 Utilitarianism
 Egoism
 Ethics of duty
 Ethics of rights
 Virtue ethics

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There are various internal and external factors that may affect the
performance of the business organization. Along with this, when any
company perform its operations in the environment than they have to
deal with certain issues that may arise due to their weaknesses. Car
manufacturing industries can use certain expertise in order to solve
all dilemmas that business is facing in the country. In order to resolve
all issues experts can follow a systematic approach and some steps
are also involved in this approach:
In the first, the expert has to analyse the consequences of any action
and take decisions on the basis of the consequences. the second step,
the person have to analyse the actions on the basis of the
consequences. In the last stage, make decisions regarding to the
actions so that their overall performance can be improved and the
firm will be able to get the success in the market.

Conclusion
From the above carried out analysis it has been concluded that
organizations should follow the ethics so that they will be able to get
success in the market as compare to other market players. Ethics is
related to the policies, procedures and principles that can ensure the
smooth functioning in the business environment. There are certain
stakeholders that may affect the activities of the firm and they also
get affected due to operations of the enterprise. Some of the
stakeholders are customers, employees, suppliers, government,
competitors and so on. All staff members have to follow these rules
and regulations so that they can offer quality services to their
customers. There are some theories that are related to the business
ethics such as utilitarianism, egoism, ethics of duty, ethics of rights
and virtue ethics.

References
Albrecht, C. and et.al., 2010. Business ethics journal rankings as
perceived by business ethics scholars. Journal of Business
Ethics. 95(2). pp.227-237.
Brenkert, G.G., 2010. The limits and prospects of business ethics.
Business Ethics Quarterly. 20(04). pp.703-709.
Ciulla, J.B., 2011. Is business ethics getting better? A historical
perspective. Business Ethics Quarterly. 21(02). pp.335-343.
Crane, A. and Matten, D., 2016. Business ethics: Managing
corporate citizenship and sustainability in the age of globalization.
Oxford University Press.