Question

Companies must explain when they have to walk away from an opportunity because it is contrary to their ethics policy....Boards and leaders must make firm decisions....They need to start with the values: how they want to do their business," says Philippa Foster Back, director of the Institute of Business Ethics. When it comes to financial targets, "the board needs to say, 'We will not reach the numbers at any cost'." With reference to the statement above, discuss the various ethical models that play a role in determining what is considered as ethical.

Answer 1

Several ethical models such as utilitarianism, deontology, and virtue ethics play a role in determining what is considered ethical in business.

Step-by-step explanation:

Several ethical models play a role in determining what is considered ethical in business. One such model is utilitarianism, which focuses on maximizing overall happiness and well-being. Under utilitarianism, an action is considered ethical if it produces the greatest overall happiness for the greatest number of people.

Another model is deontology, which emphasizes following moral rules and duties. An action is deemed ethical under deontology if it adheres to moral principles, regardless of its consequences.

In addition, virtue ethics considers an action ethical if it aligns with virtuous character traits. This approach emphasizes the development of moral virtues, such as honesty, integrity, and compassion.