Download e-book for kindle: A Short Course in International Business Ethics: Combining by Charles Mitchell

By Charles Mitchell

ISBN-10: 1885073631

ISBN-13: 9781885073631

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Extra info for A Short Course in International Business Ethics: Combining Ethics and Profits in Global Business (The Short Course in International Trade Series)

Sample text

In addition, the development of strong ethics initiatives can greatly reduce the chance of fines resulting from wrongful, fraudulent, discriminatory or illegal activities. For example, the European Commission, which has the power to impose fines of up to 10 percent of a company's worldwide revenues, fined Volkswagen more than $90 million in 1998 for violating competition rules. • REDUCE OPERATING COSTS Practicing social responsibility and good ethics, especially dealing with the environment and workplace issues, can reduce costs by cutting waste and improving productivity and resource allocation.

Morality As part of the social contract between business and society, business has certain obligations to improve people's lives and the environment in exchange for the privilege to operate. Corporations act to fulfill this contract because, quite simply, it is the right thing to do. Compliance With more socially aware consumers, increasing government regulations on a global scale, and better enforcement, acting ethically avoids potential fines and even greater government interference and regulation that could prove costly.

Employees responded so strongly to Germany's Hugo Boss AG's partnership with the Guggenheim, that several unions stipulated in employment contracts that Hugo Boss continue the sponsorship. Ethics = Cost Control • MINIMIZE RISK Companies perceived to behave unethically toward shareholders, employees, the community or other stakeholders are more likely to find themselves the target of activist pressure, boycotts or even "denial of service" attacks on their Internet operations. • AVOID FINES, COURT-IMPOSED REMEDIES AND CRIMINAL CHARGES Companies and their employees are required to comply with national, international and local laws governing their operations.

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A Short Course in International Business Ethics: Combining Ethics and Profits in Global Business (The Short Course in International Trade Series) by Charles Mitchell


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