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A2 External Influences

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A2 External Influences Business Ethics Business ethics The moral principles that should underpin decision making Decisions based on ethical grounds may reject the ... – PowerPoint PPT presentation

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Title: A2 External Influences


1
A2 External Influences
  • Business Ethics

2
Business ethics
  • The moral principles that should underpin
    decision making
  • Decisions based on ethical grounds may reject the
    most profitable solution in favour of benefiting
    society

3
Ethical stances
  • There are a number of approaches businesses may
    take to ethics
  • Task Read the handout provided (Page 407)
    highlight important information on the 4 ethical
    stances a business may make

4
Ethical companies
  • Look at web-sites of
  • Co-op bank www.co-operativebank.co.uk
  • BP www.bp.com
  • Vodafone www.vodafone.co.uk
  • Are they genuinely ethical? Why do they provide
    so much information on these issues?

5
Objectives
  • All students should understand about ethics and
    its links with delegation and control
  • Most students will understand the links between
    ethics and PR
  • Some students will improve their exam technique
    through a practice question

6
Student activity
  • Read the handout on Business ethics you must be
    able to answer the following questions.
  • 1. What are the benefits of ethical behaviour?
  • 2. What might be the disadvantages of ethical
    behaviour?
  • 3. How might a business culture influence the
    extent to which an organisation operates in an
    ethical manner?
  • 4. Why is there potential conflict between ethics
    and delegating decision making?
  • 5. How might a business solve this conflict?
    (pg408)

7
Ethics and PR
  • 6. What is PR?
  • 7. Is ethical behaviour just a source of good PR?
    Briefly discuss.

8
Student task
  • Unit 6 requires students to answer detailed essay
    style questions using a great deal of analysis
    and evaluation.
  • Unit 6 January 2005 question 4 only. (20 minutes)

9
Question To what extent do you agree with
Sohails statement that Roe Ltd. Is too small a
firm to be able to afford to implement an ethical
policy
  • Possible answers include
  • Agree with statement
  • The type of measures mentioned in Appendix A are
    financially based, such as the provision of
    grants, and so it may not be possible for a
    smaller firm to follow the lead
  • Roe Ltd appears to be vulnerable and not in a
    strong position - they are therefore likely to
    need to keep all their resources for their own
    use
  • Arguments against
  • There are many ways to contribute to society,
    some of which carry little or no cost to
    stakeholders, such as Danjon.s positive age
    discrimination
  • Does not seem to consider all the interests of
    stakeholders
  • On balance, the statement is probably
    short-sighted and unhelpful to Roe Ltd.s future
    survival.

10
Essay structure
  • Define ethics
  • Discuss the ethical situation of the firm in the
    case study (application)
  • Analyse by arguing both sides of the argument for
    a small firm having an ethical policy and apply
    each point to the situation of the company in the
    case study
  • Evaluate the argument by coming to a conclusion
    relating to the initial statement/question.
    Actually answer the question.
  • Consider the short and long term and what are the
    important issues for the company in the case study
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