13.1 Ethical Behavior

Small Business
NCVPS
Module 13

1. Ethical Behavior in Business

2. What is Ethics?
Ethics involves:
•Having guidelines for human
behavior
•Studying moral choices and
values
•Choosing between right and
wrong.

3. What is Ethical Behavior?
Ethical behavior means:
•knowing the difference
between right and wrong
•consciously choosing to
do right.

4. What is a Code of Ethics?
A Code of Ethics is:
•A systematic set of rules and
procedures used to guide the
behavior of an individual, a
business, or a culture.
•The code of ethics is in writing
and available to everyone who
is expected to abide by them.

5. What is Business Ethics?
Business ethics means
applying principles of right
and wrong to situations
in the workplace.

6. What is a Small Business’s Ethical
Responsibility Towards Customers?
•Treat all customers with respect.
•Be honest.
•Do not exaggerate the merits of your
products/services.
•Inform customers of possible dangers of your
products/services.
•Handle all disputes fairly.

7. What is a Business Owner’s
Ethical Responsibility Towards Employees?
•Establish an ethical workplace.
•Create a written code of ethics to set guidelines to
help the business owner and employees make ethical
decisions.
•Establish company policies and procedures to
let business owners and employees know
how to act in certain situations.
•Treat all employees fairly.
provided by Office of Government
Ethics, Washington, DC

8. How Can a Small Business Show Its Ethical
Responsibility Towards the Community?
•Contribute money to charities, cultural
institutions, and other reputable causes.
•Get involved.
•Donate products and services.
•Sponsor/support fundraising
for non-profit organizations
that support the community.

9. Ethics in the Small Business
Having a clear, understandable, fair code of
ethics is important to the success of a small
business.
Everyone involved in the business should be
aware of what is expected of them.
Many companies not only have a code of
ethics but require it to be signed by every
employee.
Failure to abide by documented, established
code of ethics can result in a job lost.