Ethical Business Behavior: Primark and Anglo-American Case Study
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Ethical Behavior: Primark and Anglo-American
Ethical business behavior and the costs and benefits for a company behaving ethically
In recent times there has been an emphasis on following business ethics, as it is believed to have an impact on the way business is run and how its prospects turn out. In the past, business ethics were often ignored, as entrepreneurs had other priorities that took the front seat to ethics, such as, profit-making and stakeholder interests. However, business ethics are a tool to improve the business image in the future if followed in the present. An adherence to business ethics can lead to returns in non-monetary terms such as increased customer loyalty, improved public relations and brand image, as well as high employee morale. The improved brand/business image can lead to a boost in the sales growth and can foster good public relations.
After scandals such as Enron in 2001 and Lehman Brothers in 2008, when consumers value transparency and ethical behavior from businesses, turning one's back away from business ethics can lead to the general public eyeing the business with mistrust. This can be a nail in the coffin for a business trying to thrive in the global market today, with an economic depression at its heels. Hence, it can be seen that more and more businesses, no matter their size, are recognizing their corporate social responsibilities and are investing their resources in serving for the greater good. This includes cleaning up of the