Business Ethics Report: Triple Bottom Line Analysis and Implications

This report examines business ethics, specifically focusing on the triple bottom line (TBL) approach. It addresses the responsibility for implementing TBL, arguing that the CEO should be responsible. The report also discusses the balance between economic prosperity, environmental quality, and social justice, suggesting that they should be weighted equally to enhance brand value and ensure long-term investment. Furthermore, it explores the disadvantages of using the TBL approach, such as its limitations within a monetary-based economic system, potential for conflicts, and the risk of becoming meaningless without clear guidelines. References from relevant academic sources are included to support the analysis.

Running head: BUSINESS ETHICS 1
BUSINESS ETHICS

BUSINESS ETHICS
Contents
Who should be responsible for a corporation adopting and implementing the TBL approach?3
Should economic prosperity, environmental quality, and social justice be weighted equally, or
should the pursuit of profits be the company’s highest priority? Explain.................................3
Triple bottom line proponents argue that using the TBL approach will help a company’s
financial bottom line. What might be the disadvantage of using the TBL approach? Please
explain........................................................................................................................................3
References..................................................................................................................................5

BUSINESS ETHICS
Who should be responsible for a corporation adopting and implementing the TBL
approach?
Triple bottom line is a methodology that is inclusive of three elements such as social,
environmental and financial elements. This differs from the conventional reporting
framework as it focuses its attention on ecological dimensions as well as social dimensions
which can be difficult to allocate. The triple bottom line dimensions are it is commonly
known as three core P’s: People, planet and profits. This includes CEO of the company and
hence, CEO shall be responsible (Gou & Xie, 2017).
Should economic prosperity, environmental quality, and social justice be weighted
equally, or should the pursuit of profits be the company’s highest priority? Explain
Economic prosperity, environmental quality and social justice are to be weighted
equally and at the same time profits also play a major role as the business is not carried away
by charity. Economic prosperity, environmental quality and social justice are also equally
important as it enhances the brand value. The profits on the other hand, are also required to
run the operations successfully so that investors must invest in the business collectively for
long term (Cubas‐Díaz & Martinez Sedano, 2018).
Triple bottom line proponents argue that using the TBL approach will help a
company’s financial bottom line. What might be the disadvantage of using the TBL
approach? Please explain
There are certain demerits and amongst them one of the core weakness is the ability
of the method to be used in monetary based economic system. It can also create conflict for
the business (Svensson et al 2018). At times this method can become meaningless when it
does not include guidelines. The term could also have a lack in its own powers because things
have now become meaningless as there is no movement to encourage social and
environmental progress.

BUSINESS ETHICS
References
Cubas‐Díaz, M., & Martinez Sedano, M. A. (2018). Measures for sustainable investment
decisions and business strategy–a triple bottom line approach. Business strategy and
the environment, 27(1), 16-38.
Gou, Z., & Xie, X. (2017). Evolving green building: triple bottom line or regenerative
design?. Journal of Cleaner Production, 153, 600-607.
Svensson, G., Ferro, C., Høgevold, N., Padin, C., Varela, J. C. S., & Sarstedt, M. (2018).
Framing the triple bottom line approach: direct and mediation effects between
economic, social and environmental elements. Journal of Cleaner Production, 197,
972-991.