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 CHAPTER 1:
FUNDAMENTAL
PRINCIPLES
1.1 DEFINITION OF BUSINESS ETHICS
1.2 IMPORTANT OF BUSINESS ETHICS
 CHAPTER 1: FUNDAMENTAL PRINCIPLES
1.1
DEFINITION
OF BUSINESS
ETHICS

1.2 :
IMPORTANT OF
BUSINESS
ETHICS
 1.1 : DEFINITION OF BUSINESS ETHICS

Refers to the standards for morally right and

wrong conduct in business. Law partially defines
the conduct, but “legal” and “ethical” aren’t
necessarily the same. Business ethics enhances the
law by outlining acceptable behaviors beyond
government control.
 1.2 : IMPORTANT OF BUSINESS ETHICS

01 Ethics in business helps them in making better

decisions timely
 It provides certain rules and guidelines that every business
needs to follow in its operations.

 Every decision will be based on the moral principles and

social values provided through these ethics.

 Every worker within the business is required to respect these

ethics, and those who break the rules will lead to a penalty.
 1.2 : IMPORTANT OF BUSINESS ETHICS

02 Help in building and maintaining a reputation

 To maintain a good reputation among your customers.

 One of the main things that customers will see when they
decide whether they trust or want to engage with a
business or not is the business's ethics.

 Each much better when we can brand ourselves explicitly as

an ethical business.
 1.2 : IMPORTANT OF BUSINESS ETHICS

03 An ethical business attracts investors

 Promotes ethics in its management and operations

and creates an investment-friendly environment.

 Investors like putting their money where they are

sure it is safe.
 1.2 : IMPORTANT OF BUSINESS ETHICS

04 Ethics create customer loyalty

 A reputation build on good ethics helps create a positive

image in the marketplace.

 Makes customers trust the products and services.

 Creating more customers for business.

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