Business Ethics and Responsible Management: M&S Case Study

This report provides a comprehensive analysis of the business ethics of Marks & Spencer, focusing on the ethical challenges presented by the gender pay gap. The report examines the impact of these issues on the company's image, stakeholders, and overall performance. It explores the role of the company within society and its corporate social responsibility. The analysis incorporates ethical theories such as utilitarianism and deontology to propose recommendations for addressing the gender pay gap and fostering ethical leadership within the organization. The report also reflects on the qualities of ethical leaders and managers, and the personal and organizational factors that can contribute to unethical practices. The study concludes with a call for Marks & Spencer to prioritize ethical behavior and create a diverse and equitable workplace to ensure long-term success.

Business ethics and responsible management

Table of Contents
INTRODUCTION...........................................................................................................................1
Part 1................................................................................................................................................1
Ethical issues faced by company.................................................................................................1
Impact on companies image in society due to ethical issues.......................................................1
What are the role of company within a society...........................................................................1
Impact of ethical problems on the stakeholders of the company.................................................1
Recommendation.........................................................................................................................1
Ethical theories in the context of organization............................................................................1
Part-2................................................................................................................................................1
what makes ethical leaders, managers to manage business.........................................................1
Personal ethics and condition that brings aboutthe unethical organisation and practises...........1
CONCLUSION................................................................................................................................1
REFERENCE..................................................................................................................................1

INTRODUCTION
Business ethics is an study of the business practises and policies that are regarding to the
potentiality controversial subjects that include insider training, discrimination, corporate
governance, fiduciary responsibilities as well. It is necessary for companies to understand there
business tactics so they can effectively lead their business toward the success.
This report will cover the case study Marks & spencer's That is one of the top leading
company within a UK market. They are selling varieties of products such as clothing,Food,
kitchen appliances and grocery products. On the other side this company is facing gender pay
gap problems at their workplace. Female employees who are working for the M&S are getting 2
percent lower wages as compare to the man.
This report will analyse how gender gap problems affecting the workplace of Marks & spencer's,
with an explanation that how it is an big issue for them and affecting their growth. It will discuss
about ethical problems faced by employees who are working within a company and how it is
affecting employees and performance of Company itself first stop. This report will apply two
ethical theories Utilitarianism and Deontology to overcome from this problems and how
company can sort the gender gap. In another part of this report it will write reflection on the
ethical leaders managers and their role within the organisation and how they help company to be
successful p within market.
Part 1
Ethical issues faced by company
Marks & spencer's Companies facing gender pay gap problems within their workplace according
to the report on the gender pay gap we have hourly wages of the employees are different on the
basis of gender MARKS AND SPENCER P.L.C. Gender pay gap report ( 2020). according to the
reports wages earned by the Female employees par hour Is around 96p And man get £1 for
working every hour. It means that the woman is getting 4% lower wages As compared to the
male workers who are working within a workplace of Marks & spencer's (Laasch., 2018). If it
comes to the Quarter wages then woman occupy 62.4% of the highest paid jobs and 79% of the
lowest paid jobs. on the basis of bonus paid by the company woman on around 70p And man
earn around £1 when comparing to the medium bonus pay. There medium pay bonus is 30%

slower as compared to the man first stop. This is how it is affecting the motivation of female
employees because on the same job they are getting lower wages as compared to the man. It is
demotivating female employees an it is also affecting they’re working efficiency within task. It is
necessary for companies leaders and managers should understand and take this problem seriously
because it is directly affecting the growth of company and also affecting their image within a
society.
Impact on companies image in society due to ethical issues
Ethical issues faced by employees of the Marks & spencer' It’s not only affecting the
performance of employees but it is also affecting the companies image Within society. This
company is having a huge reputation within a market an if this thing will come out in front of
everyone then it will affect their image highly and they will also lose their trust from the
customers. most of the customers buy the product from companies who are having good image
within a market. they always trust companies the cause of good ethical behaviour (Nonet, Kassel
and Meijs., 2016). It is necessary for the leaders of Marks & spencer's to overcome from the
gender pay gap issues and they should provide equal wages to the men and women both.
Otherwise it will affect their image within a society and they will not able to grow their business
rapidly. It’s take time for every company to build a good image within a market and Marks &
spencer's Is also working from the years to build there reputation within a market where they are
operating their business. Unethical behaviour can affect their image in a minute So those they
should take this issue seriously and work on it. An integral behaviour from the top retailer
companies like Marks and spencer’s cannot be tolerated Anne it will affect the buying decision
of the customers. it is necessary for this company to understand the value of their Image within a
society because they are the only buyer of their products. One of the best example within the
retail industry is Tesco, who have committed to carry business toward the society and also and
also in An ethical manner. Tesco practise is CSR and their business dealings taking
responsibility of the society and it feels that CSR is not an additional burden on company nor it is
a distraction from proving companies product and services to the customer.
What are the role of company within a society
Marks & spencer's Have huge role within a society Is to understand the needs and demands of
the customers and satisfy there needs by selling and providing the product and services. They

also should look at the issues faced by people within a society, there are many people who don't
have anything to eat and some of them are not able to walk and many problems are there. it is
necessary for the Marks & spencer's To understand their corporate social responsibility toward
the society and help those people who are facing problems within their life. they can do charity
work and help people which will affect the image of their brand an it will also help them to grow
their business rapidly. This will also help M&S Overcome from the issue of gender gap. they can
again create a good image within a society and bring back the trust they lost because of the
gender Pay gap problems. Corporation can enact CSR as the business practises in different
different ways (Haski-Leventhal, Pournader and Leigh., 2020). Marks and Spencer corporate
social responsibility as a business practises can involved donating certain funds toward the
organisations are people who are in need. They can also put some part of their proceeds toward
the programmes that feed the people who are hungry or who cannot afford food, They can also
give their support toward the environment and also encourage other people to give their support
to save the natural environment.
Impact of ethical problems on the stakeholders of the company
Ethical Problems within a workplace of Marks & spencer's will also influence on the
stakeholders of the company. stakeholders such as investors and shareholders are important for
company to get finance to run their activities and they provide financial support to the company.
Unethical behaviour Such as gender pay gap can affect the image of company within a market
and it will also affect on companies investors an shareholders. Investors and shareholders can
stop investing and purchasing the shares which will affect the performance of the company and
they will not able to achieve their goals and objectives.
According to the ethical investment research service, companies who are having a
higher and strong ethical identity tend to maintain higher satisfaction to their stakeholders, and it
also positively influence the companies financial results. Therefore, lack of professional and
personal ethics can lead toward the negative financial result. gender pay gap is also a new
behaviour which affect the companies financial result and each investor only invest in the
company if the financial result of the company is positive.
Similarly employees are also stakeholders who are most important part of the
organisation an ethical behaviour by the organisation will affect on their motivation and they will

not able to perform get us effectively. Marks & spencer's firm providing wages to Their workers
on the basis of the gender. (Moosmayer and et.al., 2019) They should fulfil the gaps and provide
equal wages and bonus to their employees both male and female because females are also
working equally and their contribution is also equal for the company to get a success and they
are helping company to achieve their objectives and making them successful within a business.
For example- Stakeholders are the people who have most of the interest within the business of
Mark’s & Spencer’s and it is necessary for the market Spencer create relation with the all
stakeholders of the company so they can get support from them and they can respect the decision
take by Marks and spencer’s.
Recommendation
Ethical behaviour from the Marks & spencer's which is an topleading global based company can
rune their imagine the global level. It is necessary for the company to overcome from the gender
pay gap problem otherwise it will affect there probability and also affect their image within a
market. To overcome from the problems leaders and manager of the company should take
responsibility and they should provide equal wages to their employees both men and women. To
motivate them again leaders should give higher responsibilities to the female employees so they
can take future positions within our organisation. most of the employees on the higher level our
men but this change will give chance to female employees you take higher position within a
company and represent themselves as the most important part of the organization (Parkes, Buono
and Howaidy., 2017.).Leaders of the Marks & spencer's should treat men and women equally so
they can create trust among the employees and it will create diverse workplace for the company.
A diverse workplace is helpful for organisation to achieve success and it also helped too increase
the flow of communication and employees get chance to create good relationship with each
other. Marks & spencer's Can overcome from this ethical situation by making their workplace
divers and promoting the female employees on the higher position.
It is necessary for the company to give importance to India stakeholders and employees are one
of them, if the companies leaders and managers will equally aspect both female and male
employees then they can Motivated and support company to achieve their mission.

Ethical theories in the context of organization
There are four ethical theories that Can be used to understand the importance of ethical
behaviour benefits and how it leads company to the success within the industry where they are
operating their business (Kolb, Fröhlich and Schmidpeter., 2017). Some of the tickle theories are
virtue theory, deontology, social justice and utilitarianism.
Utilitarianism
Utilitarianism is premised prospective on ethics, theory that align with the free market Outlook
an economics that has come to dominate much current thinking about the management
Economics and Business. This theory was founded by the Jeremy bantham, Jane another from
promoted it has a guide to what is good. This theory is based on the ability to predict the
consequences of an action. To a Utilitarian A choice that yield the greatest benefit to the most
people is the one that ethically correct. There are two type of Utilitarianism such as role as a
Utilitarianism and act as a Utilitarianism. Basically this theory of mortality, Helps to advocate
the action that foster happiness or the pleasure and opposed the action that cause unhappiness or
harm. it is not only aim for the betterment of employees But also aim to betterment of society as
whole.
For example- if leader of the Marks and spencer’s apply or act as a Utilitarianism And
they will try to provide benefits to the most of the people regardless of personal feelings or the
social concentrates such as Laws. Will help company to overcome from the ethical problem and
leaders will understand how gender pay gap problem is affecting the female employees (Storey,
Killian, and O'Regan., 2017). They will behave good with them and provide benefits to the
female employees as well. If the leaders use the rule Utilitarianism Then they will seek to
benefit the most people and they will provide the justice to the female employees at the same
time.
Pros
 Focus toward the happiness of society and employees
 helpful for the company to overcome from any unethical issues
Cons

 If leader of the M&S Will use this theory then they will not consider any other element
beside the happiness of employees.
 It can be unpredictable
Deontology
The Deontological class of the ethical theories shows that a person should adhere To there
obligations and duties when engaged in companies decision-making when it takes are in play
first up it means that the person will follow their obligations to another individual or the society
because upholding someone’s duty is what is considered ethically correct First of for the intense
Deontology Many positive attitude but they also contend flows within the theory. One flaw is
that there is no rational or logical basis for deciding and individuals duty or intense all business
person may decide that their duty to always be on the time of meeting.
In a simple word deontology duty suggests that the actions are bad and good according to
the clear set of rules. it is used to identify that the action take by a individual or the whole is
right or wrong. Mark and Spencer is having a good reputation within the market but still they
are discriminating the male and female implies on the basis of there gender. This theory focused
and suggest that it is necessary for the companies leaders and managers to understand good and
bad ethics. It is becausr what they are doing is wrong and affecting the employees. it is necessary
for the leaders to work according to the rules and provide equal benefits to both male and female
employees.
It will be not easy for them to Great employees again effectively but giving them chance to take
participate in decision-making can help to overcome from the situation and company can take
competitive advantages within a market where they are operating their business.Sometimes the
persons duties are in conflicts. For intense, of the business persons who must be on the time of
the meeting is running late, how they supposed to drive a speeding breaking the duty to the
society to uphold the law, or the business person supposed to arrive the meeting late not feeling
the duty on the time.Inn ethical theories based on right, the rights established by a societies are
protected and given the higher priorities in a society. Rights are considered to be ethically correct
an valued since a large possible endorses them. Individuals may also canowe Rides on others if
they have ability and resources to do so. theory that align with the free market Outlook an

economics that has come to dominate much current thinking about the management Economics
and Business (Borges and et.al., 2017).
Pros
 It gives any group of people a sense of functionality an understanding of right and wrong.
Cons
 Demanding conformity under their duty normative is a irrational.
Recommendations
Both theories are useful for the M&S to overcome from Gender pay problems And help
them to take higher growth with motivated employees. Utilitarianism is premised prospective on
ethics, theory that align with the free market Outlook an economics that has come to dominate
much current thinking about the management Economics and Business. on the other side This
Storey can be used to by Marks and Spencer company as well to overcome from the gender pay
gap problems First off they should ask their employees how they would rectify conflicting
obligations to arrive at and clean ethically correct resolution also ask them to bring into play the
consideration of welfare of others and result of the business persons decision. Leaders of the
Marks and spencer’s can communicate with the employees and ask them their problems they are
facing (Pirson and Steckler., 2019).
Part-2
what makes ethical leaders, managers to manage business
In my opinion, it is necessary for the leaders to be ethical , it means that behave fair, give respect
to the others, be honest with each and every employee who are working with them and always
committed to developing a sense of community and teams spirit including making decisions that
are based on value. If we are leader than we should always be a ethical leader because it reflects
a good image of the business an intern attract and retain the best talent within a company
(Funieru., 2016). They cultivate an honest work environment where employees can report
unethical behaviour without any fear of punishment it increased their confidence and employees
can trust us and support us as a leader.Ethical leaders always encourage workers to
communicate within a workplace of company freely an openly without any restriction and they

can also create a good relationship with each other. this quality shows that we are in ethical
leader and we are leading the employees effectively first up more importantly they take this idea
into a consideration when making a decision or plan for the company and organisation. it helps
to grow the business and provide proper support
To be any thicker leader we have to be mastered in it takes within a business First off we have
too focused on overall important San how it takes contributes two effective people management
and create benefits. High tickle standards And sound moral concept are the tents in the business
these days first up it is only through mastering your craft that you can really become a effective
ethical leaders who can lead their employees or team effectively and help company to achieve
their goals and objectives to be successful. (Haertle, Parkes, Murray, and Hayes., 2017) There
are many ethical programmes with which we can join and take training in those programmes to
be a ethical leader. It is more important that we practise what we need to learn and we should
apply this lessons in our every day to day activities and decisions as a leader.
Personal ethics and condition that brings aboutthe unethical organisation and practises
Personalethics are the wide category of philosophy that helps to determine that what an
individual person should believe about mortality and right and what is wrong. This is usually
disgust about business ethics or the legalistic. These branches of ethics come from the outside of
the organisation, government, not the individual consciences.
There are many conditions in which unethical practises can be run within a business or it can
create unethical by The business (Rhodes., 2016). Unethical behaviour and practises can be take
place within a workplace, it can be because of will see behaviour of Co leaders, employees theft,
Lying to employees, gender pay gap etc. The ethical leadership focus on the relation that rely on
the trust and respect, As a leader it is necessary for them to understand the quality Between the
male and female employees and pay equally. It will help the leaders of company to create a good
relationship with the both male and female employees and they were able to gain their trust and
support.
As my opinion it is necessary for the company to maintain the integrity and compliance, It means
that the upholding the value Of organisation, behaving ethically with the employees And
performing the duties with professionalism and honesty focusing on the solution rather than the

fault and blame an action with initiative. this can help company to overcome from the gender pay
gap issues and they can take competitive advantages.
Gender pay gap is in common problem that create I unethical behaviour and practises within a
organisation. Company pay their employees on the basis of their gender. most of the
organisations pay more wages to the male worker as compared to the female worker on the same
job. in my opinion it is necessary for the companies to give equal wages to the male and female
bought employs because they both are putting same effort. Similarly, most of the organisations
live with their employees which is also an unethical behaviour. it can be light why company
superiors who can promise with the employees to gain the trust but there does not fulfil their
promises on time. lying with the employees loss the trust from the workers which creates gaps
between superiors and subordinate’s (Rendtorff., 2019). In my opinion, company superiors
should always be go with their commitment and fulfilled the promises they have give to the
employees. it will create good image and employees will able to trust their superiors. creating a
good relationship with employees can help them to achieve goals and objectives and company
can at you success within their business. it is necessary for the companies to understand the
importance of employees and they should behave ethically with them. One more factor that
bring unethical practises within the workplace of company that is Misusing companies time.
whether it is covering for someone who show up late or altering a timesheet, misusing company
time tops the list. This category can include knowing that one of your co-worker is conducting a
personal business on company time. My personal business the survey recognise the difference
between making a cold cause to advance your freelance business and calling your spouse To find
out how you’re sick child is doing.Unethical behaviour and practises can be take place within a
workplace, it can be because of will see behaviour of Co leaders, employees theft.
CONCLUSION
As per the report has been covered the case study Marks & spencer's That is one of the
top leading company within a UK market. They are selling varieties of products such as clothing,
Food, kitchen appliances and grocery products. This report has been analysed how gender gap
problems affecting the workplace of Marks & spencer's and how badly their image within society
has been affected. It has beendiscussed about ethical problems faced by employees who are
working within a company and how it is affecting employees and performance of Company itself

first stop. This report has been apply two ethical theories to overcome from this problems and
how company can sort the gender gap. In another part of this report it has beenwrote reflection
on the ethical leaders managers and their role within the organisation.
REFERENCE
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Haertle, J., Parkes, C., Murray, A. and Hayes, R., 2017. PRME: Building a global movement on
responsible management education. The International Journal of Management
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Haski-Leventhal, D., Pournader, M. and Leigh, J. S., 2020. Responsible Management Education
as Socialization: Business Students’ Values, Attitudes and Intentions. Journal of
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normal: Responsible management education–From a private business school's
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