Ethics has originated from ‘ethos’, meaning character or manners.
Definition : Ethics is relating to morals; treating of moral questions, morally correct; honourable.
I t is the study of morals and moral choices. It focuses on standards, rules and code of conduct that govern the behavior of individuals and groups.
Business ethics are moral principles the define right and wrong behavior in the world of business.
Other dictionary meaning of ethics is that –
1) It is the science of morals,
2) It refers to the code of conduct that guides an individual while dealing in a situation.
3) It is that principles of behavior that distinguish between the right from the wrong. Business ethics is the evaluation of business activities and behavior as right or wrong.
What is Ethical Performance?
Ethical business performance means adhering to society’s basic rules that define right and wrong behavior.
1) Johnson & Johnson protected its customers by recalling stocks of Tylenol Capsules twice within five years period when poison was found in some Tylenol bottles on store shelves.
2) HMT Ltd. In India voluntarily withdrew its all time best selling toys when it was found that two children were chocked to death by swallowing some of its parts which they never anticipated.
Code of Ethics :
Marketers must accept responsibility for the consequences of their activities and make every effort to ensure that their decisions recommendations and actions function to identify, serve and and satisfy all relevant publics, consumers, organizations and society. Marketers professional conduct must be guided by –
1. The basic rule of professional ethics; not knowingly to do harm.
2. The adherence to all applicable laws and regulations.
3. The accurate representation of their education, training and experience and
4. The active support, practice and promotion of this code or ethics.
HONESTY & FAIRNESS