Ch1 Business ethics is a specialized study of moral right and wrong => concentrates on the application of ethical principles

to business practices, policies, and institutions. Skepticism arises about applied ethics in business since some argue that business is amoral. It is easier to deal with economic and legal judgments than moral ones. Most business people are ignorant ethically. Ethics must be linked to business performance to be taken seriously by business people. 1- The importance of definitions and terminology in ethics One can draw moral conclusions from ethical principles. 2- Philosophy: Divided in 3 parts = the metaphysical (explain the ultimate nature of the world), the political and ethical (study of human beings, their nature, place in the world, and relations with others), and the philosophy of knowledge (determine what knowledge is, what it is ultimately based on and what correct mental processes). A philosopher is a person with the conviction that beneath the apparent chaos, multiplicity, confusion, and change in the universe, there exists an underlying permanence, unity, stability, identity, and fundamental truth that reason may discover. A philosopher seeks that truth. 3- Moral philosophy: Study of morality, or application of philosophy to moral thinking, moral conduct, and moral problems. It offers ethical theories that provide a theoretical framework for making, asserting, and defending a moral decision. The aim of moral philosophy is to answer socrates fundamental question: how one should live. 4- Ethics: reasoned attempt to determine what is morally right or wrong. It tests the moral correctness of beliefs practices and rules. 5- Morals and morality: