Rewards and Punishment concerning ethical behavior

 An ethical code that plays a significant role in shaping and reinforcing

ethical behaviors within individuals and organizations. Here it focuses on
promoting and maintaining ethical conduct.
Rewards
 Once the ethical behavior has been followed in an organization a certain
group or individuals will be rewarded with benefits like promotions, raises,
bonuses, etc. This will inspire and motivate them to uphold ethical
standards.
Punishment
 When unethical behavior cannot be stopped it may affect other employees
to imitate the negative behavior. A management must always discipline
them for breaking the code in order to encourage ethical behavior which
lowers the employee's motivation to act unethically. Punishment like
demotion and deduction are enough to serve as a warning for them.

Importance:

 Ethical behavior in business relies on an inner desire to do the right thing.

Rewards and punishment may breed compliance but it can promote moral
behavior by fostering a culture that values teamwork and employee welfare.
Helping employees progress in their careers and encouraging improvement
fosters a positive attitude, making employees more likely to behave
ethically.