Aveneu Park, Starling, Australia

The that do not have good business

The world has undergone a huge transformation which led to the modernization and globalization. Companies nowadays follow the transformation and are not so profit-oriented as compared to the past. Many companies carry out business ethics and corporate social responsibility (CSR) in order to protect the environment and contribute to social welfare (Anonymous, n.d.). Before defining business ethics and corporate social responsibility, we should firstly understand the meaning of ethics and social responsibility. Chan and Shenoy (2010) state that ethics refers to the moral principles and are from the Greek word ‘ethos’. Ethical behavior is an aspect concerning the goods and rights. Ethics focus on the goods and bads as well as the rights and wrongs. Social responsibility is the framework that individuals are accountable for fulfilling their civic duty and one’s actions must benefit the whole society.   According to Ferell and Hirt (2016, p.30), business ethics are what the society determines as right or wrong based on an individual or a group’s commitment. Applying ethics in businesses means that the company must follow the right behaviors to benefit the good of each individuals, entailing the shareholders and the stakeholders, Although making profits is the most essential in businesses, they should have good business ethics to benefit the entire community or society. Business activities should benefit the people instead of harming the people. Businesses that do not have good business ethics are sentenced by the law.   To explain the definition of Corporate Social Responsibility (CSR), we would like to  clarify the term comprehensively. ‘Corporate’ means the business institution that formed under the status of various companies and corporation acts while ‘social’ means the obligation towards the society whereas ‘responsibility’ refers to the accountability, duty or trustworthy behaviors (Allan, Cockery& Mikalsen,2015). Social responsibility is a wider concept which the implications of the whole business activities on society are concerned (Ferell&Hirt, 2016, p.30). Humans are social animals and the behaviors that men portray must be according to the acceptable norms of the community or society. Businesses are alike to men’s behaviors. Businesses should perform their social obligations by performing activities that are according to the norms of society or community. It is more of an obligation or a duty towards the people that the business affects. Businesses should carry out business ethics and Corporate Social Responsibility by adapting humane practices, preserving and reserving forests, promoting ethical advertising and selling as well as achieving sustainable development.   First of all, businesses should adapt humane practices for the benefits of stakeholders. This means that they should emphasize cares for their employees as well as the society. Well organized businesses are those companies that the employers are caring for the welfare of their employees. In Malaysia, an ethical business should go beyond the labor decree established by the government, which are to include maternity leaves of 60 days for female employees, not exceeding eight hours of working time, minimum wages of RM920 for Sabah Sarawak workers and RM1000 for Peninsular Malaysia workers and declaration of KWSP for employees. According to the labor decree, employers should carry out Confucius theory with its Golden Rule by providing basic welfare to their employees and expecting them to repay with loyalty and diligence. For example, Google provided its employees with free access of on-site health care and treatment, discounted legal services associated with free legal advice, on-site cafeteria and nursery (Anonymous, n.d.). Therefore, Google has created the sense of belonging to their employees and thus, making the employees to work harder and be more loyal to the company as they feel the appreciations from their employers. Next, companies should ensure the integrity of society through the effort such as organizing campaigns, giving talks or running seminars. Employers should uphold Virtue Ethics by helping people out of morality such as donating money, products or services to the society and participating in voluntary actions. For instance, Disney has donated 23.1 million books to school children since 2012 and positively impacted more than 16.3 million children and families through programs like the Disney Hospital Care Package program (Anonymous,n.d.).  Hence, it is important to know that humanity should be practised by businesses.  Furthermore, businesses can demonstrate their ethic and social responsibility in business by promoting ethical advertising and ethical selling. If you are operating a business, do emphasize on demonstration of ethical sales instead of merely trying to earn money from them. Businesses should apply Utilitarianism by maximising the goodness in society (Nathanson, n.d.). One example is that true information such as duration of warranties, the instructions of utilizing products  and the qualities of products should be given to customers honestly so that the product could be used up to its max. This will also help the brands earn the trust and loyalty of customers and strengthens their reputations. Businesses should apply ethical advertising by following the well-defined rules that guide the interaction methods between the seller and the buyer. Take as an example, when comparing the effect of their products with those of others, the brand of the others’ products should be covered up to serve as a respect for them. By this, Kant’s theory is applied as everyone would do the same by covering the logo of their competitors in the same situation. Therefore, it is necessary for businesses to practise ethical selling and advertising to build customers’ trusts and maximising the goodness in society to successfully attain Corporate Social Responsibility.  After that, businesses should care and protect the environment to fulfill Corporate Social Responsibility and business ethics by preserving and reserving the forests. Nowadays, the landscapes are becoming more competitive for urban construction. Many companies undergo deforestation in order to get more lands for eagerness of men to live in comfort. Forests are diminished for constructing houses, roads and high buildings to carry out human social lives without taking into account that this act will harm the environment and ruin the ecosystem as the habitat of flora and fauna lost. However, companies should preserve trees by reducing the amount of logging and deforestation and reserve trees by planting more for rehabilitation of lives’ habitat. Thus, a greener environment would be generated to protect our mother earth for the society. According to Aristotle’s theory which is virtue ethics, companies should carry out the act of protecting environment as a spontaneous goodness instead of being forced to perform. The companies should understand more deeply on the relationship between nature and human and be more grateful to our nature resources. (Mayled, p.235) For example, the packaging of the company Apple is now manufactured with 99 percent recycled paper products and the trees are preserved. Next, SHAKLEE Malaysia supported the reservation of the forests by organising a campaign “A Million Trees. A Million Dreams” working with the Forestry Department Peninsular Malaysia to plant trees at the Bukit Sungai Puteh Forest Reserve in Cheras (TheStar Online, 2010). These big companies know the importance of balancing relationship between human and nature. Instead of exploiting natural resources, they preserve and reserve natural resources. Hence, forests are vital to be preserved and reserved by this society to fulfill the Corporate Social Responsibility. Finally, businesses should achieve sustainable development to attain Corporate Social Responsibility by meeting the needs of the present without compromising future generations. Employees (Brundtland, 1987). The ‘needs’ that we are emphasizing here indicates the basic necessities of the economy. When the society is not developed sustainably, poverty is more likely to grow which may lead to homelessness and other more severe social problems. Simple intervention of companies like providing more opportunities to the poor handicapped persons or refugees could help develop a society of more competitive, amenable and well-built economy. By this, the standard of living of people would be upgraded by the improvements of the level of wealth, comfort, material goods, and necessities available. For example, Starbucks, the well-known international franchise coffee shop, plans to hire 10,000 refugees by year 2022 and 10,000 veterans by year 2018. Besides, KFC is one of the first companies to hire handicapped workers in Malaysia. They even have a branch that is fully staffed by the disabled employees which is specially designed for physically impaired customers. The 2 examples above have fulfilled ethics of care by supplying helps and cares to those that are in difficulties. Thus, it is significant that companies should do their best to achieve sustainable development especially in economic aspect.  In conclusion, we think that companies that carry out business ethics and corporate social responsibility (CSR) benefit more than they think. Many people argue that companies invest a lot of money to fulfill business ethics and corporate social responsibility (CSR) and may lose money. However, they could gain better reputations and build good and positive images which will eventually cause the consumers to buy their products or services. Furthermore, if companies constantly fulfill corporate social responsibility, it will boost employee engagement. With having good engagement, employees can happily do their work with full of effort and prevent absenteeism. Therefore, the companies will becomes well competed in the market as their sales increase. It is indisputable that businesses should act according to business ethics and Corporate Social Responsibility (CSR) for the welfare of the society and the protection of the environment by adopting humane practices, preserving and reserving forests, promoting ethical advertising and selling and achieving sustainable development. 


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