Business Ethics.pp2.pptxBusiness Ethics.pp2.pptx

Business Ethics.pp2.pptx

1. Business Ethics 6 th Semester Lecturer: Hidayat Ullah Sharif

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3. What is Ethics? 3 Definition : Ethics is a branch of social science. It deals with moral principles and social values. It helps us to classifying, what is good and what is bad. It tells us to do good things and avoid doing bad things. So, ethics separate, good and bad, right and wrong, fair and unfair, moral and immoral and proper and improper human action. in short, ethics means a code of  Atitude .

4. Religion ( Islamic point of view) 4 R eligion: plays a central role in shaping business ethics, as Islam integrates faith with all aspects of life, including commerce and business conduct. Key principles that define Islamic business ethics include: Honesty (Sidq) and Integrity : Islam emphasizes truthfulness in all dealings. Misleading others or fraudulent practices are strictly forbidden, as honesty is seen as a sign of faith. Justice (Adl) and Fairness: Business transactions must be conducted with fairness, ensuring that no party is exploited or treated unjustly. Islamic teachings advocate for equitable treatment of employees, partners, and customers. Prohibition of Interest (Riba): Earning money through interest (riba) is prohibited in Islam. Business dealings should focus on shared risk and reward, promoting profit-sharing models like Musharakah (partnership) and Mudarabah (profit-sharing).

5. Religion ( Islamic point of view) 5 Social Responsibility (Maslaha): Islamic business ethics also emphasize the welfare of society. Business should not harm the community but instead contribute positively, such as through charity (Zakat) and avoiding activities that damage public well-being. Halal and Haram: Business activities should only involve permissible (halal) goods and services. Activities related to haram (forbidden) items such as alcohol, gambling, and unethical products are prohibited. Accountability to God (Taqwa): Muslims believe they are ultimately accountable to God for their actions in business. This sense of responsibility ensures that individuals maintain ethical conduct, even when unsupervised.

6. Framework for Studying Business Ethics 6 Framework for Studying Business Ethics are : - Ethical Principles: Honesty, fairness, respect, responsibility - Decision-Making: Making choices based on core values - Impact Assessment: Evaluating personal, social, and legal consequences - Outcome: Is the decision legitimate, ethical, and beneficial?

7. 7 1. Overview of Business Ethics : Business ethics explain how companies, leaders, and employees should act in a fair, responsible, and proper manner. 2. Definition of Business Ethics: Business ethics are the principles and values that guide proper, fair, and human behavior in business. These principles define what should and should not be done.

8. 8 3. Development of Business Ethics : In the past, business ethics were based on religious and philosophical principles. - Later, due to social and legal needs, it became a formal field of study. - Today, companies view ethics as part of strategy, law, and reputation . 4. Why Study Business Ethics ? To learn the difference between right and wrong. To build trust, credibility, and lasting relationships- To reduce legal risks - To develop responsible leaders and ethical organizations

9. Assignment 9 Compare Business Ethics in Local Companies vs. International Corporations Instructions?