Business Codes of Ethics: Much Ado About Nothing, or the Real Deal “Starbucks Co

Question

Business Codes of Ethics:

Much Ado About Nothing, or the Real Deal “Starbucks Code of Behavior” discusses the approaches and provisions the company has utilized in its attempt to establish a credible ethical environment, and the “Strategic Leadership of Ethical Behavior in Business” article takes the position that ethical behavior involves a business strategy, and must be elevated to the upper echelons of business strategic planning. There seems to be a divergence of opinion on the value or lack thereof of a business code of ethics. Some have argued that business codes of ethics have little value or utility and are merely for public show and consumption. According to these proponents, corporations merely pay lip service to their codes of ethics. On the other hand, it has been argued that business codes of ethics are an essential and vital part of the ethical fabric of corporations.

Using the aforementioned articles as a starting point,

what is your perspective on the value or lack thereof of a business code of ethics?

Explanation / Answer

Business code of ethics is a set of rules and values to be followed by the employees of the organization to ensure compliant practices and avoid corrupt means that might result in negatively affecting one or more stakeholders.

Organizations have been creating a business code or ethics and sharing the same with stakeholders to promote goodwill and project a positive public image that would help in sustaining business.

But, recently firm's have been including business code of ethics in their business level strategy to ensure not only the firm but their business partners also comply to the code of ethics. Though this might not create a direct value to the organization, it helps in creating long-term value to the firm as it produces quality products at relatively lower costs by following the procedures and complying to the standards set by the regulatory authorities.

Related Questions

Navigate

• Browse (All)
• Browse B
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.