Professional Documents
Culture Documents
VII. Ethical Issues and Problems in Business and the Corporate World
• Sexual Harassments
• The Problem of just WageGift-giving and Bribery
• The Morality of Advertising Work place
• Romance Trade secret and Corporate disclosureWhistle Blowing
• Unfair competition
• Money laundering
• Conflict of interestTax evasion and Tax Avoidance
How does the hospitality and tourism industry aid in PERSONALITY DEVEOPMENT IS ALL
personality development? ABOUT....
Learning objectives:
At the end of the topics, the student will be able to:
1.Identify the origin and meaning of ethics, values and
business.
2.Explain the three main ethical theories
3.Analyze how unethical behaviour that can hurt a company
and entity
TOPIC 2: ETHICS, VALUES AND BUSINESS
It takes 20 years to build reputation and five minutes to ruin it. if you think about that, you’ll do things differently.-
Warren buffet
The importance of ethics on business cannot be overlooked and taken for granted. Without ethics, business will be chaotic
human activity. business is good and productive activity that is supposed to contribute to the enhancement of the quality
of life of people and the preservavtion of human society. However, bad motives and selfish personal ends of unscrupulous
businessmen who make business bad and counterproductive stymie this good end of business.
Some problems in business and business organization cannot be solved by using not only a quantitative approach but also
a qualifying ethical issues and moral dilemmas through philosophical analysis and logical resolution.
A. ETHICS
WHAT IS Ethics is the branch of philosophy that deals with
ETHICS? morality and how it shapes behavior.
It is also called moral philosophy,
the discipline concerned with what is morally
good and bad and morally right and wrong.
The term is also applied to any system or theory
of moral values or principles.
Morals
Morals are the prevailing standards of behavior that enable people to live
cooperatively in groups.
Moral refers to what societies sanction as right and acceptable.
Most people tend to act morally and follow societal guidelines.
Morality often requires that people sacrifice their own short-term interests for
the benefit of society.
People or entities that are indifferent to right and wrong are considered a
moral, while those who do evil acts are considered immoral.
Values are basic and fundamental beliefs that guide or motivate attitudes or actions. They help
us to determine what is important to us.
Personal values are personal beliefs about right and wrong and may or may not be considered
moral.
Cultural values are values accepted by religions or societies and reflect what is important in
each context.
Values are essential to ethics. Ethics is concerned with human actions, and the choice of those
actions. Ethics evaluates those actions, and the values that underlie them. It determines which
values should be pursued, and which shouldn't. As I discussed in last week’s blog, courage is one
such value. Those who value courage are willing to stand up for what they believe, even in the
face of strong condemnation.
Courage is a moral value when it deals with right and wrong conduct.
C. BUSINESS ETHICS AND ITS IMPORTNACE IN THE TOURISM AND
HOSPITALITY MANAGEMENT
“Those who climb the corporate ladder lies and deception will sooner or later fall of shaky steps.”-Khang
Kijarro Nguyen
Do you know the importance of ethics in business? A business without ethical standards won’t last for
long.
BUSINESS is a part of human society. and since it is a apart of the complex web of interactions among
institution and people, its activities mube viewd and examined from the perspective of morality. The
absence of ethics in business threatens the survival of human society and in some cases, destroys the
fiduciary relationship of people. the study of business ethics paved the way for our common
understanding of the fundamental concepts of what is right and wrong in our human conduct and its
implications to business as an important human activity.
Ehics in the tourism and hospitality industries is a crucial conceptvthat is much needed in driving
business, in that, it is a major element in formulating strategic goals both for short term as well as long
term, and objectives for business sustainability.
THE NATURE OF BUSINESS
Business is an activity that is part and parcel of human society. It is an integral part of society.
Society will not thrive without business. Its activities must be examined from an ethical perspective, in the same way, that
societies examines politics, econimics, governement, culture and religion from the moral point of view. The fundamental
reason for examining the activities of businesses from the moral perspective is form the promotion of the common good,
protection for the individual’s interests and preservation of the human society in general.
Business ethics is the set of moral rules that govern how businesses operates, how business decisions are made and how
people are treated. In business, there re many different people you have to answer to; customers, clients, and shareholders.
Major activities in business
1.Purchasing- is the act of buying the goods and services that a company needs to operate and/or manufacture products.
2.Manufacturing- is the processing of raw materials or parts into finished goods through the use of tools, human labors,
machinery, and chemical processing. (Investopedia, 2020)
3.Advertising- is a promotional activity which aims to sell a products or services to a target audience.
4.Selling- is any transaction in which money is exchanged for a good or a service. (Hutspotblog,2019)
5.Accounting- is the process of recording financial transactions pertaining to a business,(Investopedia, 2020).
Businessmen deals with:
A.Suppliers- entities that supply goods and services to another organitization. (accounting tools,2017)
B.Customers- individual and businesses that purchase goods and services.
C.Workers/employees- individuals who work part-time or full-time under a contract of employment.
D.Competitors- business or companies that provide similar product or services.
Importance of Integrity
Integrity gives people moral and ethical clarity, ensuring that they only involve themselves in righteous actions.
2. Respect for Person- the ability to value and honor another person, both his/her words and actions.
3. Justice- refers to fairness. It is an expression of our mutual recognition of each other's basic dignity.
Justice is giving each person what he or she deserves.
It means giving each person what he or she deserves or in more traditional terms, giving each person his or her due.
“Give to ceasar what is due to ceasar”
III. Moral Values and Code of Ethics
PRINCIPLES OF JUSTICE
Aristotle’s principles -—is the principle that "equals should be treated equally and unequals unequally.
Different Kinds of Justice
1. Distributive justice refers to the extent to which society's institutions ensure that benefits and burdens are distributed among society's
members in ways that are fair and just. When the institutions of a society distribute benefits or burdens in unjust ways, there is a strong
presumption that those institutions should be changed. For example, the American institution of slavery in the pre-civil war South was
condemned as unjust because it was a glaring case of treating people differently on the basis of race.
2. Retributive or corrective justice. It is refers to the extent to which punishments are fair and just. In general, punishments are held to be
just to the extent that they take into account relevant criteria such as the seriousness of the crime and the intent of the criminal, and discount
irrelevant criteria such as race. It would be barbarously unjust, for example, to chop off a person's hand for stealing a dime, or to impose the
death penalty on a person who by accident and without negligence injured another party. Studies have frequently shown that when blacks
murder whites, they are much more likely to receive death sentences than when whites murder whites or blacks murder blacks. These
studies suggest that injustice still exists in the criminal justice system in the United States.
3. Compensatory justice refers to the extent to which people are fairly compensated for their injuries by those who have injured them; just
compensation is proportional to the loss inflicted on a person. This is precisely the kind of justice that is at stake in debates over damage to
workers' health in coal mines. Some argue that mine owners should compensate the workers whose health has been ruined. Others argue
that workers voluntarily took on this risk when they chose employment in the mines.
III. Moral Values and Code of Ethics
4. Compassion involves feeling another person's pain and wanting to take steps to help relieve their
suffering.
The word compassion itself derives from Latin and means "to suffer together."
It is related to other emotions such as sympathy, empathy, and altruism, although the concepts have some
key differences. Empathy refers more to the general ability to take another person's perspective and feel
the emotions of others. Compassion, on the other hand, is what happens when those feelings of empathy
are accompanied by the desire to help.
5. Beneficence is a quality that calls for one to act with generosity, love, and a genuine concern for the
welfare of others. In practice, it involves working to prevent harm from befalling others.
Ideal beneficence- allowing someone to go ahead in a long checkout line and donating money to help
someone in dire straits.
Obligatory beneficence- happen when someone helps others because they are required or obligated to do
so.
III. Moral Values and Code of Ethics
Beneficence Characteristics
As an integral component of ethics, beneficence includes these characteristics:
1. Engaging in activities that protect the rights of people and provide benefits.
For instance, speaking up about issues faced by refugees and working on their behalf by raising funds for
relief are deeds that foster beneficence.
2. Rescuing people in danger.
If a person is in a position to help another person without endangering themselves, it is beneficial to aid the
other person.
3. Preventing harm from befalling others.
As a characteristic of beneficence, this includes evaluating a situation and assessing any harm that could
befall a person or a community, then taking actions to avoid that harm. In many industries, both employees
and employers can act in ways that do not harm the environment, though this would often mean fewer
profits.
III. Moral Values and Code of Ethics
Nonmaleficence-means avoiding harming others.
It is an umbrella term that encourages one not to kill, commit crimes, or deliberately take away the
pleasures and joys of another person.
The Latin axiom primum non nocere forms the bedrock on which this notion is premised.
This phrase, which literally translates to "first, do no harm," stresses how not harming another person
should be of prime importance.
The maxim is traced to the Greek physician Hippocrates, who took utmost care not to harm his patients.
The English equivalent of this phrase, "above all, do no harm," was formulated by 17th-century
English physician Thomas Sydenham.
Nonmaleficence Characteristics
The idea that one must not cause harm to others means:
Refraining from acts that are offensive to others.
Avoiding acts that inflict unwanted pain on others.
Keeping away from negligent actions, such as rash or drunk driving that could cause harm to others or
generate fear among others.
III. Moral Values and Code of Ethics
CODE OF ETHICS
A code of ethics
is a set of guiding principles for professionals and organisations
to help them conduct business in a fair and honest manner. It
helps you align your behaviour with socially acceptable norms
and tells you how you are required to approach problems in your
professional life.
It can be described as a set of values that guides the behaviour
and decision-making process of an organisation and its people.
III. Moral Values and Code of Ethics