Business Ethics: A Critical Essay on CSR, Consumers and Environment

This essay provides a critical analysis of ethical concerns within the realm of business. It begins by establishing the importance of business ethics and its influence on organizational conduct and decision-making. The research incorporates an analysis of various academic journals to explore key eth...Read More

Ethical Concerns in Business
Assignment 1: Critical Essay
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Introduction
Business ethics have been becoming an increasingly important concern in business. It includes
set off moral principles that guides conduct within the scope of its business (Shaw, 2015). Ethics
includes making a distinction between right and the wrong for undertaking a correct course of
action. Ethics hence includes a branch of philosophy that answers moral questions concerning
good, evil, wrong and the right. Thus, incorporating in activities or decisions for addressing of
right or wrong is the course of business ethics. Business ethics can stem from individual
stakeholders action to organisational systems and can lead to legal systems within corporations.
Concerns regarding business ethics have risen considerably in the 1980s in order that
commitment of businesses to non-economic values can be accelerated to includes ethical codes
and social responsibilities (Labowitz, 2014). The scope of the current discussion of the essay
concerns the major ethical issues for businesses.
Research
With globalization there has been an accelerated activities and cross-border activities of
businesses (Banerjee, 2008). Such business activities though increasing revenues and
profitability of businesses have put immense pressure on resources that are used to conduct
business. Such activities have even impended certain impacts on the community and society
surrounding such businesses as well. Thus, the research here has been conducted by analyzing
several articles and journals of business ethics such that issues can be diagnosed deeply. Certain
integral articles that have been used for analysis are; K. Bakker (2007), “The “commons” versus
the “commodity”: Alter‐globalization, anti‐privatization and the human right to water in the
global south.” It is covered in the Antipode, pages 430 to 455 discusses various concerns of
common people as wthose against commodities (Bakker, The “commons” versus the
“commodity”: Alter‐globalization, anti‐privatization and the human right to water in the global
south, 2007). This journal is critical as it addresses a criticla ethical business questions
regarding whether commodities hold more value over human life.
In the second journal by D. Groenfeldt (2010), “The next nexus: Environmental ethics, water
management and climate change.” In Water Alternatives, page 575 analyses critical ethical
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concerns reagrding impact of conduct in business on water, climate and other enviromental
aspects (Groenfeldt, 2010). P. D. Yeow (2014), “Bags for life: The embedding of ethical
consumerism.” In the Journal of Business Ethics, pages 87 to 99 understands the odds of
consumerism in the conduct of business and its impact on consumers (Yeow, 2014). M.
Alzola (2008), “When urgency matters. On non-discretionary corporate social responsibility.” In
the Human Systems Management, pages 273 to 282 includes several discussion concerning
corporate social responsibilities application in businesses (Alzola, 2008). Thus, the scope of
research and discussion concerns four major areas of discussions pertaining to following research
areas as;
 Ethical conerns of business on general public
 Ethical conerns of business on environment
 Ethical conerns of business regarding corporate social responsibility
 Ethical conerns of business in regards to its impact on consumers
Discussion
Application of business ethics includes fairness of dealings in businesses with objective of
creating a win-win situation for the company and employee, consumer or society at general.
Ethics needs to be applied on every part of a business for the purpose of making profits
(Voegtlin, 2014). The key to incorporating ethics in business lies in inclusion of ethics into
individuals making it a part of organisational culture. It has been seen that ethics can have
significant positive impacts and benefits in a business conduct. Multidimensional impacts of
ethics are in attracting investors, consumers, employees and society at large towards the
corporation. As ethics implications and concerns can be of varied nature and innumerable in
number, four integral areas are discussed in the essay. Firstly, corporations in order to earn extra
ordinary revenues have often ignored public and society at large. There has been several cases
where high levels of toxicity have been found in consumable items, children have been sold toys
made from recycled plastics, disrupted labor rules leading to suicides and so on (Delaney, 2013).
Such implications of businesses are on the rise hence, corporations needs to figure out a way
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such that such issues can be solved by way of ethical commodities. Toys made from recycled
plastics around the world in China at cheap rates have known to have caused harm to numerous
children globally. While developing and manufacturing commodities on a large scale businesses
needs to be aware that consumers might not be able to forgive the firm for any kind of
misconduct found (Barrientos, 2007).
Second ethical concern in business is regarding impact of the same on the environment. It has
been often noted that corporations does not care about the environment surrounding them leading
to dumping of waste in the surrounding, which leads to pollution. Dumping into nearby rivers,
water bodies clogging drains and damaging water life, discharging waste into the soil hampering
quality of soil, factories emitting harmful gasses into the environment causing air pollution are
some cases of business impact on the environment. Such impacts lead to climate change
hampering life of humans, fish, plants and other animals as well (Stuteville, 2009). Deforestation
or clearing of land for industrial purposes have led to diminishing species across globally.
Beijing, China is said to have highest levels of air pollution from industrial emissions. Its air
quality is equal to breathing in 100 of cigarettes, such have not only harmed human lungs but
reduced overall life expectancy raising healthcare costs.
Thirdly, Corporate Social Responsibility is a code of ethics for business that evaluates every
business actions on the society. Corporations in order to undertake ethical conduct and balance
their wrong doing in the society balance off by undertaking CSR activities (Bakker, The
ambiguity of community: Debating alternatives to private sector provision of urban water supply.
, 2008). Such activities are aimed at efforts for society and environment that are beyond the
scope of a corporation. Planting trees, cleaning water of rivers, providing free elementary
education to school children and so on are some of the CSR activities that corporations
undertake. Such activities are not aimed at short term benefit for the corporation but provide long
term financial benefits by promotion of social change and environmental impact.
Lastly, consumers comprises of the most integral stakeholder for any corporation hence, ethical
impact on them needs to be analyzed. Unethical marketing behaviors and consumerism have
often impended lowering of costs to produce a product allocating resources to marketing,
advertisement and promotional activities. Such activities are integral for any business but needs
balancing as they might impend long term harm on the consumer. In order to gain more target
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consumers and increase market share, it has been noted that corporations involves themselves in
a varied type of consumerism activities. Incorporating in ethical code of conduct will allow
balancing of such act for greater good for the corporation such that it can develop long term
association with its consumers. This will in turn help create sustainability for the business and
benefit it over long term. Ethical codes of conduct needs to be encapsulated within organisational
culture and entrusted upon by stakeholders such that every aspect of the business covers the
same. This can have positive impact on the general business and help create a brand name for the
future of the business.
Conclusion
Analyzing ethical issues in businesses and integrating corporate social responsibility to address
the same has a sustainability impact on businesses. Ethics can help a business develop long term
sustenance and increasing profitability for its future endeavors. Rising awareness amongst
globalized consumers and society at large have led to further importance of ethics in day-to-day
conduct in businesses. It can be derived that it is integral to incorporate good ethical behavior for
greater good of the organisation. Best possible tactics in managing ethics across the organisation
is by avoidance of immoral behavior. Accommodating in moral management requires deciding
on what is right and what is wrong within framework of the organisational culture. Corporations
faces tremendous amounts of vulnerabilities in managing such moral conduct by establishing the
same across its board of management or key stakeholders. Moral behavior also incorporates
being sensitive to the issues of stakeholders within the organisation. Thus, an organisation has to
carefully plan and conduct its ethical management overcoming contemporary issues in its
management.
Reference Lists
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Alzola, M. 2008. When urgency matters. On non-discretionary corporate social responsibility.
Human Systems Management, 273-282.
Bakker, K. 2007. The “commons” versus the “commodity”: Alter‐globalization, anti‐
privatization and the human right to water in the global south. Antipode, 430-455.
Bakker, K. 2008. The ambiguity of community: Debating alternatives to private sector provision
of urban water supply. . Water alternatives, 236.
Banerjee, S. B. 2008. Corporate social responsibility: The good, the bad and the ugly. Critical
sociology, 51-79.
Barrientos, S. &. 2007. Do workers benefit from ethical trade? Assessing codes of labour
practice in global production systems. . Third world quarterly, 713-729.
Delaney, A. M. 2013. Regulatory challenges in the Australian garment industry: Human rights in
a post-Ruggie environment. Labour & Industry: a journal of the social and economic relations
of work, 69-88.
Groenfeldt, D. 2010. The next nexus: Environmental ethics, water management and climate
change. Water Alternatives, 575.
Labowitz, S. &.-P. 2014. Business as Usual is Not an Option. New York University Center for
Business and Human Rights.
Shaw, W. H. 2015. Moral issues in business. . Cengage Learning.
Stuteville, R. &. 2009. Global sustainability and service-learning: paradigms for the future. .
International Journal of Organizational Analysis, 10-22.
Voegtlin, C. &. 2014. Global governance: CSR and the role of the UN Global Compact. Journal
of Business Ethics, 179-191.
Yeow, P. D. 2014. Bags for life: The embedding of ethical consumerism. Journal of Business
Ethics, 87-99.
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