Ethics (STEEPLE)

Question 1

What are business ethics?

Answer 1

moral principles that guide how a business operates and makes decisions

Question 2

Weaker labour laws

Answer 2

Can lead to exploitation - poor working environments, an underpaid wage (cheaper labour), can bigger factories than western countries

Question 3

Examples of unethical choices

Answer 3

Tax avoidance
0hrs contract
Child labour
Discrimination (race, religion, pregnancy etc)
Bribery
Environmental damage (e.g due to wastage)
Animal cruelty
False advertising

Question 4

Results of brand being unethical

Answer 4

loss of company credibility - brand reputation
the negative association between employees
failure to maintain a long-term relationship with consumers - damaged brand loyalty
reduced employee productivity.

Question 5

Results of a business being ethical

Answer 5

enhanced reputation
stronger customer and employee relationships
increased trust
long-term sustainability
Better relationships with suppliers?

Question 6

PIGSS

Answer 6

Profit
Increase market share
Growth
Survival
Service (social + ethical)

Question 7

Benefits of being ethical

Answer 7

-attract new customers to the business
-attract new and better quality employees
-encourage employees to stay with a business
-encourage investment
-encourage positive publicity
-result in increased sales and profits