Executive summary Ethical investment is well known as socially responsible investment and sustainable investment. Nowadays, Ethical plays an important position in financial performance. Especially, when investors evaluate the performance, Ethical investment analysis quite important for the business. There are also have some benefits when the investors investing in the ethical organizations for the performance. For the investors, ethical investing can ensure safety of their cash and appropriate deal of interest. On the other hands, for the employees, it can supply of affordable possibilities in some special offers and training and appropriate deal of earnings. For the customers, the complete details of the service and product should be made available. For the government, guideline regarding taxation, obligations, limited and trade techniques. According to research ethical investing performance, it can be seen that business ethics are more than moral values and some principles that determine the conduct in the business world. Especially, it can indicate that business uses the society for its resources and functioning. There are also some factor will effect the ethics investing performance. For example, company’s asset, funds and records, conflict of interest, company’s management and employee practices and information on competition. On the contrast, there are some companies that performed unethical behaviour on their practice. And their activities might cause unethical practice and performance. For example, Resorting to dishonesty and deception, manipulating people emotionally by exploiting their vulnerabilities, greed to amass excessive profit, avoiding penalty or compensation for unlawful act. Through discussed these points on e... ... middle of paper ... ... of inception until 31.12.1998. Ethical is a dummy variable taking a value of 0 for funds investing ethically and 1 for funds ignoring non-financial issues. W is a random disturbance term. The fund characteristics are reported in Table 2. These tests represent a comprehensive analysis of the financial performance of these funds over a recent 3-year period and enable us to investigate whether these funds offer investors returns which are significantly less than those available from investing in a broadly-based market portfolio that is not restricted to the selection of ethical securities. The tests also allow us to compare the performance of ethical with similar non-ethical funds and to study whether the fund managers attempt to time the market. Finally, some preliminary analysis on what determines ethical fund performance is conducted. The pairs analysis as follows:
Moncrief Company agreed to pay Jim Lester 20% of the gross profit made from the 2013 sales of the Zelenex. Between January 1, 2013 and December 28, 2013, Moncrief’s total available units for sale were, 50,000 units of Zelenex for $30.00 per unit ($1,500,000). Also in addition to the former activities, Moncrief sold 35,000 units for $60.00 per unit ($2,100,000). Moncrief Company uses periodic LIFO inventory method as a result, Jim Lester was to receive $210,000. (Textbook pg.469)
Ramona faces a difficult decision after her trip to the headquarters of Next Step Herbal Health. Next Step offered her a lucrative starting salary plus commissions, and a junior manager position. Ramona should not take the position with Next Step due to its questionable business practices, the dismissiveness of the Next Step recruiter when questioned regarding the company’s ethics code and the CEO exhibiting non-ethical and immoral behavior.
Article title: “The ‘Do Whatever It Takes’ Attitude Gone Wrong” published by the Huffington Post
Verschoor, CMA, Curtis C. "Ethics: Do The Right Thing." Strategic Finance (2006). Retrieved on 18 September 2006 .
Here, the Narrator tries to justify that morality need only stretch so far and “beyond that point” that there is nothing to be done. Whereas that point where “common sense bids the soul be rid of it” does not exist for the authentic George Bailey, the Narrator’s Wall Street ethics are artificial and self-serving. As such, the Narrator’s overtly pragmatic approach to morality on Wall Street counters George Bailey’s self-sacrificing approach Capra conveys in Bedford Falls. Through this pragmatic approach, the Narrator sees charity as an opportunity for protecting himself: “Aside from higher considerations, charity often operates as a vastly wise and prudent principle – a great safeguard to its possessor” (Melville 93). While the Narrator recognizes
Ethical behavior, in a general sense, is a definition of moral behavior in regards to lawfulness, societal standards, and things of that nature. In the business world, ethics commonly refer to acceptable and unacceptable business practices within the workplace, and all other related environments. The acceptance of colleges regardless of ethnicity, gender, and beliefs, as well as truthfulness and honesty in relation to finances within the company are examples of ideal ethical business conducts. Unethical business behavior would include manipulating procedures based on bias or discrimination, engaging in activities that promote political gain, as well as blatant fabrication of monetary factors within the company and “can affect organizational performance and is costly to employers, employees, shareholders, and other organizational stakeholders” (Cox 263). When a corporation practices proper ethics, it is representing not only itself in a positive manner, but its partners, shareholders, and clients as well. On the other hand, when an organization partakes in unethical activities, all parties are negatively affected. The collapse of Enron is a major case of unethical conduct in the corporate world, because the circumstances surrounding the firm’s chaotic plunge where so scandalous that it left “creditors wrangling over Enron's skeletal remains” (Helyar) long after the company had seen its demise. There are numerous instances to be mentioned, including deliberate failure to properly report fiscal losses, insider trading, and overall relentlessness. The inclusive purpose of this paper is to further explore the underlining factors that contributed to the downfall of the once powerful Enron, and how a new way of approaching business ethi...
...y analysis of ethical behavior that surrounded the financial events of Bernie Madoff, and the events that surrounded Enron.
Ethical issues in business arise because of conflicts between an individuals personal moral philosophies and values and values or attitudes of organization in which a person works and a society in which one lives. Ethical issues can be identified in terms of the major participants and functions of business. Ethical issues related to ownership include conflicts between manager’s duties to the owners and their own interests, also separation of ownership and control of business. Financial issue includes, for example, the accuracy of reported financial documents. Ethical issues can acquire between manages and employees, then employees are asked to carry out assignments they consider unethical. Consumers and marketing issues are related to providing safe desired products for a fear price and not harming people and an environment. Accountants also face ethical dilemma, they have to deal with competition advertising commission. All of this places the accounting profession in situation of ethical risk.
Business ethics simply can be defined as the application of business values in the business practice of a company (Seawell 2010, p. 2). For a multinational company, business ethics is one of the critical aspects need to be taken into account in business decision-making processes. Failure to give attention on ethics may bring consequences on company’s reputation (Meyer & Jebe 2010, p. 159). The company is expected not only to pursue its own profits but also contributing to the environmental and social welfare of the community where it operates (Svensson & Wood 2008, p. 308).
Economic activity always has an ethical aspect. No matter what type of business is taking place there is always an aspect of ethics. A business transaction occurs when people exchange a product or service for money. If the exchange is fair then both parties benefit and therefore both parties’ interests are served. Therefore this interaction between parti...
An 'economic cost-benefit analysis' approach to reasoning sees actions favoured and chosen if the benefit outweighs the cost. Here, the benefits and costs are in the form of economic benefits and costs, such as, monetary loss or profit. One who is motivated by such an approach will deem a course of action preferable if doing so results in an economic profit. Conversely, actions will be avoided if they result in an economic loss (Kelman 1981).
In 1995 The Bayou Hedge Fund Group, referred to as the fund, was founded by Samuel Israel III in Stamford, Connecticut with the intention to produce high returns for investors. Good intentions were not enough when the fund began to experience losses almost immediately and Mr. Israel resorted to fraudulent activities to keep the appearance of success alive. The resulting life of the fund was filled will illegal, fraudulent, and unethical activities that finally brought the fund to bankruptcy and landed Mr. Israel and some of his key associates in prison. The objective of this paper is to overview the history of the case and to highlight some of the major issues that should have alerted investors and other outside parties to the wrongdoings being perpetrated.
The field of ethics (or moral philosophy) involves systematizing, defending, and recommending concepts of right and wrong behavior (Fieser, 2009). Many of the decisions one faces in a typical day could result in a multitude of outcomes. At times it can be hard to determine whether or not the decision you are making is an ethical one. Many philosophies have been devised to illustrate the different ways of evaluating moral decisions. Normative ethics focuses on assessing right and wrong behavior. This may involve reinforcing positive habits, duties we should follow, or the consequences of our behavior (Fieser, 2009). Of the many normative philosophies two stand out to be most accepted; teleology and deontology. Although they oppose each other in how actions are evaluated, they uphold many similar characteristics under the surface.
Additionally, the bonus money can be fairly divided between the two. Employees have the responsibility to follow and maintain business ethics and the code of ethics in the workplace. Employees have to be honest, communicate at all levels of the organization, deal with issues at the lowest possible level, and avoid conflict of interest that would lead to unethical decisions. Also, employees should be educated about the policies and regulations set by the company in order to maintain ethical practices in the workplace. Jacob and employees in general are bombarded by ethical issues and by abiding by their roles and responsibilities will guide them in making ethical decisions.
Because of the strong ethical component of this designation, its principles should be adopted by financial professions everywhere in the world, especially in post-2007 financial crisis days, partly started by a lack of moral principles and diligence. While for chocolate-lovers Switzerland is synonymous with a yummy heaven, for me the country, being the banking center of the continental Europe, equals to well-established traditions in the financial industry. If you want to learn something excellent, gain the knowledge from the best. Switzerland is one such place that will give me the opportunity to combine the values of both the highly-regarded education in finance and hands-on analysis of theories, applied in Swiss banking and financial systems.