Introduction
Business is one of the most important phenomena of the modern world. Its fast evolution stimulates the development of society by providing individuals with numerous changes to succeed and generate stable income. At the same time, the globalization of most modern processes contributed to the growing importance of the global economy and international firms. It also created the basis for fierce rivalry and the need to acquire a competitive advantage to succeed. For this reason, in trying to overcome competitors, companies might engage in unfair schemes that might guarantee fast and high revenue. Under these conditions, ethics acquires the top priority as the code of conduct that should be observed in modern business to avoid conflicts or undesired outcomes.
Discussion
In general, ethics is an extremely broad concept that emerged in ancient times. It evolved with humanity to consider new values and behaviors accepted by society. Nowadays, its meanings differ regarding the sphere and perspective applied to it. Speaking about business and the global economy, ethics can be determined as the code of morally right and wrong behavior (Ferrell et al., 2021). It is critical to realize that these unspoken rules do not have the same power as the law as they are not controlled by the government. However, business ethics establishes the framework by outlining acceptable actions and behaviors that should be accepted by most companies that focus on fair and just competition.
The concept has two broad areas that include most problems employees and managers face today. The first one, managerial mischief, focuses on illegal, unethical, or questionable approaches managers or organizations employ to achieve specific goals (McNamara, 2022). The second one, moral mazes, implies moral dilemmas managers have to resolve daily to ensure the company evolves (McNamara, 2022). Both these areas are essential regarding the global economy perspective as they ensure that fair competition and distribution of resources will be established at the international level. This factor is essential for the future development of business in various regions and the preservation of equal opportunities for all companies or entrepreneurs.
Although it might seem that ethics introduces barriers limiting companies’ development, it offers numerous benefits to all parties existing within the business sector. First of all, managing ethics contributes to improving society and controlling markets (McNamara, 2022). This factor is essential for the global economy as it helps to avoid price fluctuation or one-sided rivalry. Moreover, ethics helps to ensure that most policies are legal and observed by all stakeholders (McNamara, 2022). From the international business perspective, it is one of the fundamental aspects of stable companies’ growth. Additionally, from a global perspective, ethics is necessary to ensure that resources are used fairly and that there is no exploitation or discrimination in the distribution of revenues or benefits (Ferrell et al., 2021). In such a way, the existence of the code of accepted behaviors simplifies interactions between various companies and helps them cultivate trust relations.
Conclusion
Altogether, ethics is one of the core elements of the modern business world. It helps to determine morally right or wrong decisions or actions and avoid unfair practices. It establishes the framework for interacting with numerous partners globally. The increased attention to ethics might help companies acquire numerous advantages, such as better work of employees, trust relations with partners, and interaction with local communities. For this reason, ethics is an integral part of the global economy, which helps to avoid critical outcomes and support the desired sustainability levels.
References
Ferrell, O., Fraedrich, J., & Ferrell, L. (2021). Business ethics: Ethical decision making and cases (13rd ed.). Cengage Learning.
McNamara, C. (2022). Complete guide to ethics management: An ethics toolkit for managers. Management Library. Web.