Question

PLEASE I AM NOT SATISFIED WITH THE ANSWERS .I NEED TO KNOW THE REASON WHY ETHICAL DECISION MAKING IS ESSENTIAL IN AN ORGANIZATION

Answer 1

Ethical decision making is very important in any organization for long run.

Let us have an example to understand- Suppose there is a hotel which is facing huge competition. The management decided to lower their cost to lower their prices of the product. The management had taken an unethical decision by buying near to expired spices from the grocery stores. Thye will get 70% off on the spices because the grocery store will sell it out on heavy discount to clear their stock because of near to expiry product.

Now if they are usng it and lowering their cost buy this way then it is not good for long run. The time will come when any customer or government will catch them doing so. Or it may possible that their internal staff may leak the information and the restaurant face issues.

So from the above example it is clear that ethical decision making is very important for long run.

There are many companies which advertise their product falsely. For an example few days ago I bought a Semolina toast thinking it will not contains whole wheat floor which is harmful for health but later when I inspected the ingredients then Semolina was only 2% available in 100 gm quantity and while wheat flour was 45% available.

So this was totally unethical branding.

The ethical decision making of the companies connect the customer with them. Not only it is helpful in asking new customers but also helpful in retaining them. The faith and believe of the customer is increased in the brand and they prefer the brand over competitors.

So these were some practical examples of unethical decision makings of the companies.