The Better Business Bureau (BBB), the mark that we all look for when researching a business. We have come to trust this organization and most of us felt that the BBB was an impartial party that was formed and existed to help the buyer make an informed decision. The BBB, like any other company or organization has had its share of controversy over the years, whenever there is a human element, there is sometimes ethical challenges and people make the wrong decisions. Ethical issue intensity comes into play when an individual or a group must make a decision whether the action they are about to take is unethical, and if so, in their opinion, how unethical. We can bring morals into the equation. What kind of moral compass does the individuals or group have? We see that there are instances in the BBB that chapters have acted on their own and created unethical environments. Most notably, a Los Angeles area branch, specifically the Southland Branch, was the target of an investigation. It was alleged, and later proven that the branch was involved in pay for play activities. Brought to light by ABC news show 20/20, in 2010, the Southland branch, headed by Kiry Peng, was expelled by the parent organization this year. In pay for play, the concept is, if you pay dues, you have a better chance of receiving a higher grade than the company that is not a dues paying member. In this particular case, some disgruntled members formed a fictitious company named, Hamas. Not recognizing the name, a designated terrorist organization, the branch awarded the company an A-, just for paying the dues. This and other examples of blatant unethical behavior has led to the expulsion. The BBB does not condone this behavior, and has shown that it will do whatever is necessary to rid the organization of branches that deviate from the ethical path.
There are other organizations that are used by the public to gain insight. Yelp! and Angie's List are two popular web sites that give customer feedback on companies that are members. The BBB does not grade on feedback, but the companies are graded on the handling of customer complaints made about them to the BBB. Angie's List and Yelp! are driven on actual customer feedback about their experience, both positive and negative.
From big financial and ethical scandals like Enron to WorldCom, Wells Fargo may be the next big financial and ethical scandal. Wells Fargo used to be one of the leading banks and credit lending companies in America. Now, they’re on a slippery slope downhill to one of the worst—and most unethical—banking and credit lending companies in America, maybe even in the world. Wells Fargo has been in an ethical uproar, has questionable ethical values, and questionable principles and practices in culture due to their downhill ethical standards. The company also may have been influenced by bad stakeholder judgment, and are now struggling to maintain the company’s culture. To give a description of business ethics as described by John Fraedrich, “business
I have also learned that the automotive trade is in the top 3 for service for complaints, and top 10 for customers inquiring about automotive service businesses. I didn’t realize that a business had to pay fees to be in the BBB, and pass a set of regulations to be eligible.
...of ethical decision-making. There is not one aspect about this case that makes me feel that they aren’t doing their job. This company has demonstrated that when a company has great core values and beliefs they can be successful. They are a company that has cared not only for their quality of their product but for their customers/staff, and its environment. NBB has given back to the community through donation and sponsors. To add-on they have also innovated ways that help out the environment. Personally I agree with the following statement in which NBB “Defining itself as more than just a beer company, the brewer also sees itself as a caring organization that is concerned with all stakeholders, including the community, the environment, and employees.” (p.362)
When someone is unethical, they lose their moral way. Ethics is a “set of moral principles” (Merriam-Webster.com.) These principles guide our personal decisions. But when more than one individual loses sight of their moral judgement, a whole company can go down. Moral conduct can be applied to organizations. A good movie that shows the difference between an ethical, privately owned organization and a larger, sleazy franchise is Good Burger. Good Burger shows the difference between a small shop, Good Burger, and a larger franchise, Mondo Burger, and the way they do business.
The concept of business ethics refers to a set of guiding principles that encourage individuals in an organization to make decisions based on the company’s stated beliefs and attitudes toward business practices within its industry (Lisa McQuerrey., 2016). Ethical and Unethical business decisions have long been a predicament encountered by organisations, these practices are concerned with how the companies interact with the global business world, and to their one-on-one dealings with individuals (Garry Crystal, 2016.) The concept of ethics and social responsibility emerged into the business world in the early 1970s after the end of World War I, saw these organisations become more profit driven resulting in negative impacts on society at large.
(Mallor, Barnes, Bowers, & Langvardt, 2010) Business ethics is when ethical behavior is applied in a business environment, or by a business. There are many situations that can arise in which a person is experiencing an ethical dilemma. They have to choose between standing by their own personal ethical standards or complying with their companies ethical standards. In some instances, some have to choose whether to serve their own personal interests, or the interests of the company.
In 1934 the Securities Exchange Act created the SEC (Securities and Exchange Commission) in response to the stock market crash of 1929 and the Great Depression of the 1930s. It was created to protect U.S. investors against malpractice in securities and financial markets. The purpose of the SEC was and still is to carry out the mandates of the Securities Act of 1933: To protect investors and maintain the integrity of the securities market by amending the current laws, creating new laws and seeing to it that those laws are enforced.
The movie “Glengarry Glen Ross” presented a series of ethical dilemmas that surround a group of salesmen working for a real estate company. The value of business ethics was clearly undermined and ignored in the movie as the salesmen find alternatives to keep their jobs. The movie is very effective in illustrating how unethical business practices can easily exist in the business world. Most of the time, unethical business practices remain strong in the business world because of the culture that exists within companies. In this film, the sudden demands from management forced employees to become irrational and commit unethical business practices. In fear of losing their jobs, employees were pressured to increase sales despite possible ethical ramifications. From the film, it is right to conclude that a business transaction should only be executed after all legal and ethical ramifications have been considered; and also if it will be determined legal and ethical to society.
In conclusion ethics governs everything we do, and every aspect we operate in. When ethics are violated in business the effects continue to run downhill and are absorbed by the consumer. The ways in which these are absorbed differ case by case, whether they affect us financially or physically. Memberships into organizations can be beneficial in showing credibility. Acting in regards to the organization or associations code of ethics seems to be a small price to pay for this kind of benefit.
Ethics are the driving force behind good business. Every ethical choice made by a professional can and will have a much different outcome than any unethical choice. Bad ethics can ruin many aspects of a business and as (Gaye-Anderson, 2007) states how quite easily the lives and professional reputation of the employees can even be severally damaged (para. 3). Everything from morale to motivation can be severely affected by poor ethical choices. Customers will take their business elsewhere. Employees will abandon ship. Other, competing businesses reap the benefits of the bad moral choices. Ultimately, the entire business can be brought down by one poor ethical choice.
To conclude business organizations do not have the right to deceive individuals and consumers in specific because Albert Carr’s claim that business is a game cannot be justifiable and supported with reasons that may harm or the community and its people. However, I do believe that business organizations should be socially responsible and that would help them maximize profits in the long run (Lauren, 2011)
...cker, Murphy, and Friedman questioned the legitimacy of connecting anamorphic characteristics, such as moral and social judgment and duties, to an intrinsic body. This is not to say that they promoted immoral conduct by company employees or owners. Rather, they offered a supplemental, more rational way to oversee their behaviors; they did this by laws and the utilization of professional codes of conduct (Murphy, 2009). Business ethics imply the concept of social responsibility through ideas that remain divergent. The moral analysis of business practices and activities come down to business ethics because in business ethics, businesses consider their actions and decisions as well as take into consideration moral principles and values, while questioning whether ethical motives in business actions could make business more responsible, ethical, or any more successful.
For example, the power of Yelp can also put a business on the map. Atlas Eats Kitchen and Bake Shop boasts a 4.5 star average, with nearly 100 reviews, though its hours are limited and the location admittedly odd. "This was supposed to be our small little,
Recently, three individuals were awarded $170 million for helping investigators gather a record $16.65 billion penalty against Bank of America. Based on their action of inflating the value of mortgage properties and selling defective loans to investors. By influencing the market falsely is unethical and wrong. That is also why their punishment was so harsh. Firms today warn their managers and employees that failing to report unethical behavior and violations by others, could get them fired.
...ollow them either. It is clear that there are many ethical violations and if a company were to act in a manner that this today they would strongly be looked down upon.