Business ethics refers to the moral principles that determine the activities of a company or business. Common issues that fall under this umbrella include employer-employee relations, discrimination, environmental issues, bribery, insider trading, and social responsibility. Although many laws establish basic ethical standards in the business community, developing an ethical code largely depends on the company’s management. Strict compliance with ethical standards allows people to conduct business within the law but can also help strengthen the reputation and capital of the brand.
The 1960s brought the first major wave of changes in business ethics. Cultural values were changing, and individualism and a fierce commitment to social issues such as environmental protection and world peace became fashionable (Ferrell et al., 2019). While young workers in the 1960s were idealists and wanted to make the world a better place, employers found that their work ethic was lacking compared to previous generations. Drug use was rampant, and the new emphasis on individualism caused many workers to look down on their employers with disdain.
Companies have responded to the changes by strengthening the HR department, developing mission statements, and outlining codes of conduct. However, in response to the changing desires of their employees, companies have also begun to realize social responsibility at a level never seen before. Hovewer, in the 1960s, businesses first declared their concern for the environment, and companies were also looking for new ways to return benefits to their communities.
During the 1970s and 1980s, two events influenced changes in business ethics: scandals by contractors, widely publicized during the Vietnam War, and the aggravation of tension between employers and employees. In response, the government has imposed stricter policies on defense industry contractors, and companies have revised employee contracts to focus less on strict compliance and more on values (De Bakker et al., 2019). The popular philosophy of management has shifted from pure authoritarianism to greater cooperation and work as equals.
The 1990s witnessed the revival of environmentalism, the achievement of new heights in social responsibility, and more serious legal ramifications of ethical errors. For example, tobacco companies and junk food manufacturers have faced increased scrutiny, along with several important lawsuits related to the public health implications of their products (Ferrell et al., 2019). Oil and chemical companies have had to face increasing public pressure demanding responsibility for environmental damage.
Since 2000, business ethics has spread to the online sphere. The big ethical dilemmas of the 21st century are mainly related to cybercrime and privacy issues (Ferrell et al., 2019). Crimes like identity theft, almost unheard of 20 years ago, pose a threat to anyone doing business online. As a result, companies face social and legal pressure to take all possible measures to protect confidential customer information. The popularity of data mining and targeted marketing has forced companies to walk a fine line between respecting consumer privacy and using online activities to collect valuable marketing data.
In conclusion, in professional activity, business etiquette is of great importance, which is important for maintaining an image, building business relationships, and moving up the career ladder. Certain principles and rules of behavior are important for understanding and studying. A person who wants to build a good career should know the rules of decency and be able to behave in a team and in any situation to earn respect and not offend anyone. Modern business etiquette helps to avoid mistakes and smooth out conflict situations with the help of available methods.
References
De Bakker, F. G., Rasche, A., & Ponte, S. (2019). Multi-stakeholder initiatives on sustainability: A cross-disciplinary review and research agenda for business ethics. Business Ethics Quarterly, 29(3), 343-383.
Ferrell, O. C., Harrison, D. E., Ferrell, L., & Hair, J. F. (2019). Business ethics, corporate social responsibility, and brand attitudes: An exploratory study. Journal of Business Research, 95, 491-501.