Relationship Between Corporate Governance And Business Ethics

1460 Words6 Pages
Abstract
Questions of ethics, or the right way to run a are inherent in all aspects of corporate governance and in every board decision and action. Ethical choices are relevant within the core business strategies that boards pursue and the way that direct the business as a whole to achieve them. The present paper provides a brief account of Indian corporate governance, corporate governance Codes, guidelines, Business Ethics, benefits of Business Ethics. This article also analyses the relationship between corporate governance and business ethics.

1. Introduction
Corporate governance lies at the heart of the way businesses are run. Of ten defined as the ‘way businesses are directed and controlled’, it concerns the work of the board as the body which bears ultimate responsibility for the business. Governance relates to how the board is constituted and how it performs its role. It encompasses issues of board
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Ethics is the study of moral decisions that are made by us in the course of performance of our duties. is the study of characteristics of morals and it also deals with the moral choices that are made in relationship with others.

Business ethics comprises the principles and standards that guide behaviour in the conduct of business. Businesses must balance their desire to maximise profits against the needs of the stakeholders. Maintaining this balance often requires tradeoffs. To address these unique aspects of businesses, rules- articulated and implicit are developed to guide the businesses to earn profits without harming individuals or society as a whole.

4. Advantages of Business Ethics
More and more companies recognize the link between business ethics and financial performance. Companies displaying a clear commitment to ethical conduct consistently outperform companies that do not display ethical
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