How Business Ethics Is Important Parts Of The Market Economy

the purpose of this report is to define, describe and evaluate what responsible enterprise is. It will cover what business ethics is, how it has changed over time and what influence it has on businesses today. Lastly, this report will go over what role the government play in businesses and how they impact their behavior and to which extent the government intervention is a reasonable option, on the way to greater business responsibility. 2.0 responsible enterprise: According to Kenneth w. Johnson (1999-2015) responsible enterprise is one of the most important parts of the market economy. He said it is a responsibility to serve the needs of customers while making sure you make a profit for the owners. However Friedman (1970) stated that business do not have to be socially responsible and they should just concentrate on making the most profit. One of the essential disciplines of responsible enterprise is business ethics, which we will be covering in this report. There are three approaches to a responsible business, these are: corporate social responsibility (CSR), triple bottom line and finally stakeholder theory. These theories are the way organisations interact with the local community. CSR is made up of four obligations. Economical responsibility, ethical, legal and philanthropic responsibility. The economic and legal responsibilities are two simple and important factors in a business. (Jamali and Mirshak, 2006) stated that economic responsibility is the same, as anyShow MoreRelatedDiscuss the Importance of Ethics in Business in Light of the Recent Global Financial Crisis (Gfc)1119 Words   |  5 Pagesfinancial crisis has affected today’s economy severely based on the collapses on issues such as immoral practices, governance, regulations, enterprise ethics. 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