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ETHICS IN BUSINESS
INTERNAL AND EXTERNAL
ENVIRONMENT
RESPONSIBILITY IN
BUSINESS
Business
Importance of business environment
• Determining opportunities & threats.
• Giving Direction for Growth.
• Continuous Learning
• Image Building
• Meeting Competition
• Identifying Firm’s Strength & weakness
Business include everything from a small owner-operated company such
as a family restaurant, to a multinational conglomerate such as general
electric.
Business Influenced by…
Business decision are influenced by two set factors
• Internal Factor (The Internal Environment)
• External Factor (The External Environment)
Framework to Understand Environment Influences
Technological
Factor
Sociocultural
Factor
Economic
Factor
Political
Factors
Types Of Environment
Micro
Macro
Internal
Employees
Cash flow
Capital Assets
Materials
Structure
Political
Environmental
Social & Technological
Stakeholders
Competitors
Suppliers
Intermediators
Consumers
Case Study 1
Starbucks Coffee Company, the largest coffee chain in the world generated billion
single-serve cups as waste each year that ended up in landfills or as litter. The
company had to work overtime to solve this problem as its customers and other
stakeholders wanted it to do something about the problem.
In 2008, Starbucks took up the target of serving 25% of the beverages in its
company-operated stores in reusable cups by 2015. It also committed itself to
making 100% of its paper cups in company-operated stores in North America
recyclable by 2015. However, tackling the problem was anything but easy and
straightforward.
Case Study 1 Conti…
Cup Summits
• To come up with a solution to the cup problem, Starbucks hosted a series of
Cup Summits. Starbucks hosted the first Cup Summit with representatives
from its paper and plastic cup value chain. The goal of the summit was to
prioritize and address the obstacles and opportunities of coming up with a
recyclable cup. The company through the summit strove to achieve its long-
term commitment to reduce the environmental impact of its cups......
• Low Cost Reusable cups
Case Study 1 Conti…
The case is structured to achieve the following teaching objectives:
• Understand issues related to corporate sustainability and in being a globally and
environmentally responsible company.
• Understand the importance and need for environmental sustainability for a
company like Starbucks.
• Approach toward environmental sustainability particularly its initiatives to address
the issue of waste generated by disposable coffee cups.
• Understand issues and challenges in convincing consumers to adopt reusable
cups and problems in recycling paper cups.
• Explore ways in which Starbucks can address these issues effectively.
Case Study 2
In November 2013, the managing editor of Indian weekly news magazine
Tehelka, Shoma Chaudhury was shocked when she received an e-mail from her
subordinate and woman journalist, Nina, accusing Tarun Tejpal, founder and
Editor-in-Chief of Tehelka, of sexually assaulting her on two occasions during
THiNK Fest 2013. In the e-mail, the victim provided a detailed and graphic
account of the alleged sexual assault and demanded an official written apology
from Tarun, an acknowledgement of the assault to be circulated among the
staff and bureau of Tehelka, and the setting up of an anti-sexual harassment
cell at Tehelka to probe the matter.
Case Study 2 Conti…
Though known for her feminist leanings, Soma's handling of the situation came
in for severe criticism from various quarters, with critics calling her response
legally questionable, inadequate, and flawed. She was criticized for her delay in
setting up an independent committee to look into the matter and for allegedly
trying to cover up the issue. In fact, she faced more criticism than Tarun, the
perpetrator of the assault. According to Shoma, her integrity was subsequently
repeatedly questioned by people from her fraternity and by the public at large.
Defending herself, she said her actions were based on solidarity and feminist
principles. Eventually, Shoma resigned 10 days into the crisis. The case allows
for the discussion of key questions, such as – Was Shoma made a scapegoat by
the media? What was at stake for her? Were her actions justified? What could
she have done differently?
Case Study 2 Conti…
The case is structured to achieve the following teaching objectives:
• Understand issues and challenges related to the issue of sexual misconduct
at the workplace that manifest as sexual harassment.
• Identify perpetrator resources and strategies used for sexual misconduct.
• Examine actions to be taken when an employee experiences any kind of
sexual harassment at the workplace; and
• Recognize the need to implement norms to prevent sexual harassment in
organizations.
ETHICS IN BUSINESS INTERNAL AND EXTERNAL ENVIRONMENT RESPONSIBILITY IN BUSINESS

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ETHICS IN BUSINESS INTERNAL AND EXTERNAL ENVIRONMENT RESPONSIBILITY IN BUSINESS

  • 1. ETHICS IN BUSINESS INTERNAL AND EXTERNAL ENVIRONMENT RESPONSIBILITY IN BUSINESS
  • 2. Business Importance of business environment • Determining opportunities & threats. • Giving Direction for Growth. • Continuous Learning • Image Building • Meeting Competition • Identifying Firm’s Strength & weakness Business include everything from a small owner-operated company such as a family restaurant, to a multinational conglomerate such as general electric.
  • 3. Business Influenced by… Business decision are influenced by two set factors • Internal Factor (The Internal Environment) • External Factor (The External Environment) Framework to Understand Environment Influences Technological Factor Sociocultural Factor Economic Factor Political Factors
  • 4. Types Of Environment Micro Macro Internal Employees Cash flow Capital Assets Materials Structure Political Environmental Social & Technological Stakeholders Competitors Suppliers Intermediators Consumers
  • 5. Case Study 1 Starbucks Coffee Company, the largest coffee chain in the world generated billion single-serve cups as waste each year that ended up in landfills or as litter. The company had to work overtime to solve this problem as its customers and other stakeholders wanted it to do something about the problem. In 2008, Starbucks took up the target of serving 25% of the beverages in its company-operated stores in reusable cups by 2015. It also committed itself to making 100% of its paper cups in company-operated stores in North America recyclable by 2015. However, tackling the problem was anything but easy and straightforward.
  • 6. Case Study 1 Conti… Cup Summits • To come up with a solution to the cup problem, Starbucks hosted a series of Cup Summits. Starbucks hosted the first Cup Summit with representatives from its paper and plastic cup value chain. The goal of the summit was to prioritize and address the obstacles and opportunities of coming up with a recyclable cup. The company through the summit strove to achieve its long- term commitment to reduce the environmental impact of its cups...... • Low Cost Reusable cups
  • 7. Case Study 1 Conti… The case is structured to achieve the following teaching objectives: • Understand issues related to corporate sustainability and in being a globally and environmentally responsible company. • Understand the importance and need for environmental sustainability for a company like Starbucks. • Approach toward environmental sustainability particularly its initiatives to address the issue of waste generated by disposable coffee cups. • Understand issues and challenges in convincing consumers to adopt reusable cups and problems in recycling paper cups. • Explore ways in which Starbucks can address these issues effectively.
  • 8. Case Study 2 In November 2013, the managing editor of Indian weekly news magazine Tehelka, Shoma Chaudhury was shocked when she received an e-mail from her subordinate and woman journalist, Nina, accusing Tarun Tejpal, founder and Editor-in-Chief of Tehelka, of sexually assaulting her on two occasions during THiNK Fest 2013. In the e-mail, the victim provided a detailed and graphic account of the alleged sexual assault and demanded an official written apology from Tarun, an acknowledgement of the assault to be circulated among the staff and bureau of Tehelka, and the setting up of an anti-sexual harassment cell at Tehelka to probe the matter.
  • 9. Case Study 2 Conti… Though known for her feminist leanings, Soma's handling of the situation came in for severe criticism from various quarters, with critics calling her response legally questionable, inadequate, and flawed. She was criticized for her delay in setting up an independent committee to look into the matter and for allegedly trying to cover up the issue. In fact, she faced more criticism than Tarun, the perpetrator of the assault. According to Shoma, her integrity was subsequently repeatedly questioned by people from her fraternity and by the public at large. Defending herself, she said her actions were based on solidarity and feminist principles. Eventually, Shoma resigned 10 days into the crisis. The case allows for the discussion of key questions, such as – Was Shoma made a scapegoat by the media? What was at stake for her? Were her actions justified? What could she have done differently?
  • 10. Case Study 2 Conti… The case is structured to achieve the following teaching objectives: • Understand issues and challenges related to the issue of sexual misconduct at the workplace that manifest as sexual harassment. • Identify perpetrator resources and strategies used for sexual misconduct. • Examine actions to be taken when an employee experiences any kind of sexual harassment at the workplace; and • Recognize the need to implement norms to prevent sexual harassment in organizations.