ETHICS AND
ENTREPRENEURSHIP
What Are Ethics?
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A set of principles outlining a behavioral code;
what is good and right or bad and wrong.
Obligations and appropriate moral actions for
both the individual and the organization.
It does not just apply to business.
It may be difficult for individuals or groups in
society to agree upon what is right and wrong.
Legal vs. Ethical
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The law provides boundaries for defining
what activities are illegal.
The law, however, does not necessarily outline
what is “ethical.”
The law sets out a basic minimum acceptable
level of behaviours.
Just because a decision is just doesn’t mean
that it is ethical.
Ethics Within Businesses
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Many businesses develop their own codes of ethics or
conduct.
This code outlines what employees are to do to carry
out what the company sees as “right” in various
circumstances.
Venture Case Study
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1.
Read the Venture – Blueprint for a Mutiny, found on
page 296.
Questions:
What possible ethical problems might have been
faced by Tupper and the other employees during
the process of switching companies?
The “Ethics Check”
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3.
Is it legal?
Is it balanced/fair/win-win?
How will it make you feel about yourself?
- will it make you feel proud?
- would you feel good if your decision was
published in the local newspaper?
- would you feel good if your family knew about
it?
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Mad Men – How has business ethics changed in the
last 50 years? Why?
Mad Men - Are there moral limits to emotional
manipulation? Is an ad firm which uses love,
happiness, freedom and similar virtues to motivate
sales of products ethical? If so, what are the limits?
If not, is it realistic to expect businesses to adhere to
strict ethical standards?
Outline for a Code of Ethics
Over all, a code of ethics should be a formal statement of a
business’s values concerning ethics and social issues. It commonly
speaks to acceptable norms of behavior, guided by six areas of
concern:
1. Honesty: to be truthful in all your endeavors; to be honest and
forthright with one another and with customers, communities,
suppliers, and other stakeholders.
2. Integrity: to say what you mean, to deliver what you promise,
and to stand up for what is right.
3. Respect: to treat others with dignity and fairness, appreciating
the diversity of the people you deal with and their uniqueness.
4. Trust: to build confidence through teamwork and open, candid
communication.
5. Responsibility: to speak up — without fear of retribution —
and report concerns in the workplace and elsewhere, including
violations of laws, regulations, and company policies.
6. Citizenship: to obey all laws of the countries where you do
business and to improve the communities where you live and work.
Being Socially Responsible
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It’s not enough just to be ethical, or do the right thing
anymore.
Businesses now are expected to act in a socially
responsible manner – they need to be good citizens as
well as give back to the societies (including global) in
which they exist.
Can you think of a company that is socially
responsible? One that is not?
There are financial benefits to being a “socially
responsible” company or organization. What might
some be?
Hmmm…
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Q: who do you think American consumers voted to
be the most “socially conscious/responsible
company?
A: Wal-Mart
The retail giant trounced second-place McDonald's (yes,
McDonald's). In fact, 28 percent of consumers picked
Wal-Mart Stores as the most responsible company,
compared with 17 percent for McDonald's and 16
percent for third-place Microsoft.
Movie – The Pursuit of Happiness
This film is based on a true story
It’s a story of how a business man
Chris Gardner chooses to reach
success based on his ethics and hard
work, rather than cutting corners and
unethical actions.