Ethics in business is important of everyday moral and ethical norms to business. Perhaps, the Ten Commandments from Bible come to mind as an example of morality that still used by many today. These commandments carry concept of being truthful and honest, and try to stay away from theft and greed. An idea of stewardship can be found in the Bible as well as many other religious literatures that can be and have been applied to business.
Beside religion, philosophy also carries similar ethical traditions. For example, Plato’s main theme of Republic is justice, and Aristotle in his Politics cares model of economic relations, business and trade.
Today, Business Ethics is the conduct that businesses carry in its daily dealings with the business partners, consumers and employees. However, the concept of ethics in businesses can be different for companies.
Many businesses got bad reputation just by being in business. For some people the idea of business is to make money and that is the only purpose. In other words, it could be called capitalism. Do not take me wrong, my attention is not to say that making money is wrong in itself. However, the manner in which some businesses behave themselves brings up the uncertainty of ethical behavior.
Every business should carry good business ethics and there are many factors to consider. When a company does business with another that has considered unethical, does this mean that first company act wrongly by correlation? Some people probably would think yes, the first business has a liability and it is now a relationship of unethical businesses.
However, many businesses, as well as famous brands that people use, do not have good business ethics. Many businesses have fined millions for unethical behavior. Money is the main deciding factor. As an example, which be presented below, is a big case about breaking ethical business laws in Washington Mutual.
FACTs of WA-MU
Washington Mutual Bank, aka WA-MU, was organized in September 1889 to help provide funds for rebuilding Seattle after the great fire. Washington Mutual became the largest thrift in the US, and one of its largest banks. From that beginning, Washington Mutual has grown into financial services company that offered services in mortgages, credit cards and retail landings. “But if its rise was storied, its fall was spectacular, ending in the largest bank failure in American history to date” (The New York Times, 2010). Sadly, Washington Mutual Bank, or WA-MU, was seized on Thursday, September 25, 2008.
In April 21, 1982, Washington Mutual acquired Murphey Favre, Inc. and Composite Research & Management Co. WA-MU decided to keep on the firm's executive vice president, Kerry K. Killinger. Kerry was elevated to the position of president in 1988 and chief executive officer in 1990 (The New York Times, 2010). Kerry’s leadership brought new strategies to the company. According to The New York Times (2010),...