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What are the factors influencing Business ethics?

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The factors influencing Business Ethics are :

 

1. Political and legal factors : Prominent political parties in the country and the government in power may also have influence on ethical values. They exert their influence through legislative enactments. Few examples of government regulation are safety in factories and mines, anti pollution measures, printing of weight etc.

2. Social values : Every society which has norms, values, customs and traditions to govern behaviours. The society has a powerful influence on the business community. It can compel the businessman to accept and follow ethical norms and desist from unethical business practices.

3. Cultural values : These are passed on from generation to generation. They have a long-lasting impact on the ethical norms the business managers have to follow. Institutions provides for values of persons and organisations which are interrelated and they reinfarce the values propagated by each other. These institutions prescribe what is good or bad for an individual or an organisation.

4. Personal values : Employees generally emulate the behavioural standards of their bosses. Far example, professional managers tend to focus less on profit maximisation than owner-managers.

5. Industry codes : The association of industrial and trading houses such as Chambers of Commerce and Industry and Trade Assocations have prescribed codes of conduct for the member firms.