The relationship between business and ethics is very similar to the relationship between ethics and individuals. We have ethical and unethical individuals and there are ethical businesses and unethical businesses as well.

There are ethical businesses that try to do the right thing for everyone as much as possible. They try to pay a fair wage; produce a product or service for a fair price; pay all of their taxes and suppliers in a timely manner; and limit harm to the environment.

Unfortunately, ethical businesses are often at a disadvantage in the marketplace when unethical employees, customers, and other businesses try to take advantage of them or undermine them. They do not get government contracts because they will not lie, use substandard materials, or pay bribes like unethical competitors. They may unknowingly sell faulty products; because they believed an unscrupulous supplier; then discover they are the only ones liable; because the supplier "disappeared". They run an increased risk of being forced out of business at some point; through hostile takeovers and the unethical tactics of their competition. Some ethical businesses will succumb to temptation and violate their own ethics. Once they succumb to temptation; it is a downhill slide - if the business can justify it once; they can justify it again.

The larger the business, the more likely unethical behavior becomes. The owner or CEO of a large company may be ethical; but they cannot watch every employee. As long as results are being accomplished and goals met; they may not be fully aware of HOW it was achieved. One unethical department can destroy a company's reputation; leaving the ethical owner/CEO holding the "bag".

An excellent example of of good intentions going bad is our government. A person may go into politics with strong sense of ethics; but, by the end of their term, they will either abandon their ethics or discover how ineffective one person can be when they stick to their ethics and all the rest are willing to "do whatever it takes" to benefit themselves and their constituents. If they weren't able to "get the job done"; their own constituents will replace them.

So there is no clear cut relationship between ethics and business; it is really the age old relationship between ethics and individuals just moved into a bigger, more public arena.

Learn more about this author, Ginger Kazay.
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