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A code of ethics or conduct is a statement of ethical practices or guidelines to which an enterprise adheres There are many such codes some related to industry at large and others related directly to corporate conduct These codes cover a multitude of subjects ranging from misuse of corporate assets conflict of interest and use of inside information to equal employment practices falsification of books and records and antitrust violations These codes of ethics can promote positive behavior among corporations in a variety of ways Recognizing and trying to solve the problems involving equality the environment and consumerism represent the major part of the social responsibility of business Business ethics are standards that govern business behavior Many have found that they believed that a code of ethics was the most effective way to encourage ethical business behavior Sometimes these codes are written down or a code of ethics is communicated orally or even through the overall climate or cultural values of the organization A stated expectation about ethical behavior often implies a broader standard For example when management tells its salespeople We do not allow kickbacks this statement probably covers more than just giving customers money under the table in return for placing orders It probably refers to giving customers anything that might be construed as a bribe or an attempt at influence no matter how small its value The reverse applies to employees who do business with outside vendors From an Utilitarian perspective a corporate code of ethics gives the greatest happiness to the greatest population if the code supports environmentalism Corporations who encourage their employees to follow environmental laws in their actions at substantial costs to themselves are preserving our environment which transcends into happiness for all and future generations In many companies a manager who accepts an expensive gift from a supplier is subject to reprimand and possible dismissal A code of ethics can promote good
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