Business Ethics in Society

1153 Words5 Pages
. According to Velasquez, an ethic theory is one that evaluates the moral standards of a society. In other words, it evaluates whether actions are right or wrong. An ethical theory is developed within an individual while he or she is growing up. Furthermore, that child will develop moral standards of how to behave, talk and communicate because of the influence of his family, his religion and his community (13). 2. According to Velasquez, utilitarianism is a view where actions and policies are evaluated on the foundation of the costs and benefits it generates for the society. This view implies that actions taken have to produce the most utility for all members of the society, not only for one person. So, in the eyes of a utilitarian, child labor may be justified if it brings benefit for the society. For example, in Africa, where diamonds are predominant, and sometimes the only way that a small village can generate income, they will use all the labor they have available in order to generate the income, even children. In this case, child labor will be justified in the eyes of a utilitarian, because it will bring a benefit to that respective community (78). 3. Adam Smith invisible hand is pretty much defined as market competition, which forces business owners to act in such ways that best serve the society. By manufacturing a product that consumers want, and providing to the society at the lowest cost possible, almost to what its production cost is. Therefore, according to the
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