Why Do We Study Business Ethics?

In every business, there are principles and a code of conduct that govern and guide its operations. Business ethics is a set of morally acceptable behavior and principles that determine how an individual should behave when carrying out business operations. Business ethics outlines ‘right’ from ‘wrong’ in a business setting, and this is done to curb the rise in illegal and unscrupulous business practices that may cause harm to consumers and other competitors. Business ethics is a highly significant concept in the operation of businesses as it ensures the consumers’ safety, fairness, equality and legitimate operation of businesses. Therefore, business ethics is studied in schools as a unit under business related subjects. The following essay discusses the importance of studying business ethics in schools.

Business ethics is among the most vital business subjects taught in our schools today. It comprises of a broad scope on the operation and management of a business. Businesses are the largest contributors in terms of the economic growth today. Every aspect of business and leadership is visible in society. Therefore, in order to answer the question why it is crucial to study business ethics in school, it is essential to emphasize that firstly, it is taught with the aim of equipping the young people with adequate knowledge and skills needed to become successful business people and leaders in the future. In terms of a career path, becoming a successful business person and a good leader is pivotal in order to understand the code of conduct and morals acceptable in the society so as to uphold other essential virtues such as honesty, integrity and self discipline. A study conducted on the most important characteristics of a good leader, manager or business person revealed that knowledge in business ethics is the most favorable essential characteristic hence indicating the need to study business ethics.

Secondly, studying business ethics in schools allows one to develop as an individual and human being. This is because business ethics covers a wide scope of moral conducts and behaviors that are not only applicable in business operations, but also on a personal level. Knowledge on the morality and a proper conduct in relation to other people helps one in understanding and appreciating the role played by other people and in turn develops good attributes such as respect for others, responsibility, interfered, self discipline and awareness. Moreover, a study in business ethics enables one to have an open mind, make sound decisions and judgments based on lessons learnt. It also incorporates a sense of social responsibility among people, which is a considerably significant aspect in the society today.

Thirdly, a clear understanding and knowledge of business ethics allows one to gain practical knowledge and skills, which plays a significant role in improving the reputation of one’s business. As a business person, one is morally obligated to deliver goods and services without infringing the rights of consumers. Consumers and even suppliers like being treated right. A proper customer care, which includes giving consumers truthful information regarding purchased products, fairness, and honesty, will increase the good reputation of a business. Consequently, the word of mouth is substantially important, resulting in a good reputation of a business, which makes it able to grow and attract more stakeholders.

Business ethics covers the essential principles of how a business should behave when carrying out its operations. It entails doing the right thing and avoiding wrong doing. Schools emphasize on learning business ethics. This is due to the fact that it helps in nurturing successful future leaders and business people, who will be required to uphold the essential virtues and morals in the society. It is interesting to note how business ethics can directly lead to the success or failure of a business and even of an individual at any particular level. Therefore, this concept gives a clear understanding of why it is crucial to study business ethics.

About the Author

Nancy Bauman is a financial analyst and accounting expert. She is also an expert on business ethics and is constantly participating in university conferences as a member of the Educated Youth Movement. She regularly contributes articles related to business and loans at advanced-writer.com