CAE01-ACTIVITY 4

ESSAY:
Direction: Explain the following statements/question
in not less than 5 sentences.

1. Describe the principles and or values that are related to:

A. PERSONAL ETHICS — Personal ethics are ethical concepts that a

person applies in both personal and professional situations while making
judgments and acting. These ethics have an impact on many parts of a
person's life, including work ethic, personal and professional objectives,
and values. Individuals utilize ethics to identify what is right and wrong, as
well as to influence how others act in difficult situations. Although
everyone's code of ethics is different, many people share basic values like
honesty and respect. For example, Due to their own ethic of honesty, a
person chooses to return a wallet found on the ground to lost and found
rather than retain it for themselves.

B. PROFESSIONAL ETHICS — Employees must follow a professional code

of ethics to guarantee that they behave in a socially acceptable and polite
manner. It develops behavioral guidelines and communicates to all
employees that universal compliance is required. It also lays the
framework for a forewarning in the event that employees violate the code.
A code of ethics can be useful both internally and externally as a
declaration of a company's ideals and commitments. A code of ethics
might be implemented freely in different businesses. A company that isn't
necessarily concerned with climate change, for example, could yet state
its dedication to sustainability. In the workplace, an example of
professional ethics might be someone returning a wallet to a coworker
owing to a no-stealing code of conduct guideline.

C. BUSINESS ETHICS — The moral standards set by a corporation as a

whole and individual personnel within an organization are referred to as
ethical principles in business. These principles consider the values,
standards, legislation, and industry conventions that govern how people
behave in the workplace and how a company functions in the community.
 People are becoming more conscious of how businesses operate. Clients
and employees gain trust and credibility when firms operate on a strong
moral foundation. A devoted client base is built on a good reputation. A
more durable, solid strategy to long-term achievement is achieving
success lawfully and morally.

2. Describe the inherent conflict between ethics and pursuit of profit.

We all know that increasing profits is a company's ultimate purpose. While many
businesses increase profits in an ethical manner, some increase earnings unethically by
cutting personnel costs, decreasing product quality, or negatively hurting the
environment.

Consumers may lose trust and respect as a result of unethical company activities. A
company's level of trust should correspond to the level of trust it seeks from its
customers. If customers are urged to place their whole trust in a product or service, firm
employees must do the same. This internal procedure must be led by management.
Increased trust means less risk and uncertainty, which keeps the income generation
process moving along smoothly. Internal flexibility and innovation are also advantages
of leading a high-trust organization. Instead of being continually observed, the individual
who is given a task can complete it as efficiently as possible. Because the team shares
trust, the outcome is never in doubt. Operating within the confines of the law isn't
enough for ethical profitability. While legal compliance helps to prevent unethical
behavior, it does not define it. The fundamental test of ethical profitability is if the
business sets a good example for its employees, customers, and even competitors.
These businesses demonstrate true leadership by example. They aim for a higher
standard.

3. Explain how business managers could act ethically.

Managers can take initiatives to create ethical teams. They can have their teams review
the codes of ethics or conduct of their companies on a regular basis, or they can urge
their teams to build their own codes of ethics for department-specific scenarios.
Managers should promote open dialogue about ethical concerns within their teams and
create channels for employees to report concerns without fear of reprisal. Managers
may help team members grow as individuals while also improving the team by taking
time to examine their team's business ethics on a regular basis. Each manager is
responsible for management ethics. The consequences of managerial decisions are far-
reaching. Of course, managers must make ethical decisions in every situation that
arises; yet, when a manager makes an ethical or unethical decision, far more than
individual results are at stake. Top executives can set the tone for ethical leadership,
and managers can set the tone for their staff' conduct.

4. Explain the economic impact of observing business ethics.

To build excellent and pleasant interactions between company and society, business
ethics are essential. As a result, society will receive a consistent supply of high-quality
goods and services at reasonable rates. It will also benefit enterprises, leading in
economic growth. Since economic activities are among the engines of economic
growth, it may be concluded that business ethics may impact on the growth
performances of economies. Running a business with ethics at its core from the top
down is essential for company-wide integrity. Behaving in a consistently ethical manner
can lock in a solid reputation and long-term financial rewards for companies.