Business Ethics


DEFINITION of 'Business Ethics'

The study of proper business policies and practices regarding potentially controversial issues, such as corporate governance, insider trading, bribery, discrimination, corporate social responsibility and fiduciary responsibilities. Business ethics are often guided by law, while other times provide a basic framework that businesses may choose to follow in order to gain public acceptance.


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BREAKING DOWN 'Business Ethics'

Business ethics are implemented in order to ensure that a certain required level of trust exists between consumers and various forms of market participants with businesses. For example, a portfolio manager must give the same consideration to the portfolios of family members and small individual investors. Such practices ensure that the public is treated fairly.

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  1. Who are Fiat Chrysler Automobiles' (FCAU) main suppliers?

    Fiat Chrysler Automobiles, commonly known as FCAU, designs, manufactures and sells passenger automobiles. It is the world's ... Read Full Answer >>
  2. Why are business ethics important?

    Several factors play a role in the success of a company that are beyond the scope of financial statements alone. Organizational ... Read Full Answer >>
  3. How important are business ethics in running a profitable business?

    A number of factors play a part in making a business profitable, including expert management teams, dedicated and productive ... Read Full Answer >>
  4. How do business ethics differ among various countries?

    Business ethics is the study of business policies and practices, such as corporate governance, insider trading, bribery, ... Read Full Answer >>
  5. How have business ethics evolved over time?

    Business ethics refers to how ethical principles guide a business's operations. Common issues that fall under the umbrella ... Read Full Answer >>
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    The system of moral and ethical beliefs that guides the values, behaviors and decisions of a business organization and the ... Read Full Answer >>

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