ethical issues in business

1. Ethical Issues
in Business

2. Ethical issues occur when a given decision, scenario or
activity creates a conflict with a society’s moral principles
which requires a business organization or a person to select
the choices that must be examined as an ethical or unethical
ways
Ethical issues in business management can be complex and
challenging
Ethical issues in business management circumscribe a broad
range of areas within an organization’s ethical standards
and sensitive decision-making, in compliance with the
organization’s core values

3. Managers experience ethical issues at the personal, organizational,
trade/professional, societal and global levels. These issues arise
between managers and their conflict with stakeholder groups such
as customers, suppliers, employees, competitors, law and
government, superiors, wholesalers, and retailers.
Organizations promote conducting business based on honesty,
integrity, and trust.

4. A. Ethical
issues in
Finance

5. 1. In accounting – window
dressing, misleading financial
analysis.
2. Insider trading, securities
fraud leading to manipulation of
the financial markets.
3. Executive compensation.
4. Bribery, over billing of
expenses, facilitation
payments.
5. Fake reimbursements.
6. Misappropriation of assets -
the use of company assets for
any other purpose than
company interests in the
practice of the profession.
7. Manipulations (direction and
control) of market and
share purchase transactions;
erroneous process of valuations
of companies and their share
prices; Unjust and unfair
outcomes for the shareholders;

6. B. Ethical issues in HRM
• Employment Issues such as Recruitment of favorable persons; Gender
discrimination in selection and promotion process; Not maintaining
confidentiality; Discrimination in salary or compensation fixation
• Issues related to Cash and Incentive Plans
• Issues related to Discriminations of the employees
• Issues related to Performance Appraisal
• Issues related to Privacy
• Issues related to Safety and Health
• Issues related to Restructuring and Layoffs
• Other issues like using forced labour, child labour, Longer working
hours, Increasing work stress, Sexual harassment
• Twisting and curving authentic trade unionism; using union leaders to
coerce employees

7. C. Ethical issues in Marketing
•1. Issues related to Poor customer service; and lack of responsiveness after
sale.
•2. Issues related to Targeting vulnerable Customers and Market
•3. Issues related to Pricing and Distribution like hoarding of products, impulsive
tactics, cartel pricing, creating unnecessary hype to raise demand and prices.
•4. Issues related to Advertising like ethical issues in environmental marketing,
green washing, consumerism
•5. Issues related to Promotion like promotion of sin products like cigarettes,
alcohol, fake endorsements misleading consumers
•6. Issues related to data Collection and Privacy of customer information using
them without prior permission for promotion of subsidiary brands.

8. D. Ethical issues in Production
1. There are ethical problems arising out of use of new technologies that are harmful
to health, safety and environment. This includes technological advancements like
genetically modified food, radiations from mobile phones, medical equipment etc.
2. Defective services and products or products those are innately deleterious like
alcohol, tobacco, fast motor vehicles, warfare, chemical manufacturing etc.
3. Animal testing and their rights or use of economically or socially deprived people
for testing or experimentation is another area of production ethics.
4. Ethics of transactions between the organization and the environment that lead to
pollution, global warming, increase in water toxicity and diminishing natural
resources.
5. Usually many manufactures are involved in the production of same degrade quality
of raw materials, technologies or processes

9. Other Ethical issues
Non-disclosure and corporate espionage:Many
business managers are at uncertainty of recent
and past employees take information comprises
customer data used by organizations in direct
competition with the organization
Technology and privacy practices:Monitoring
employees’ s use of technology, for instances
email, social media platforms and websites
history

10. THANK YOU