Factors influencing business ethics:Leadership, strategy and performance, individual characteristics, corporate culture and environment.

* Leader canbe good or bad, great or small they arise out of the needs and opportunities of a particulartime and place. Not all leaders are considered to be perfect in their decision makingbecause each and every decision they make will depend upon the character of personwhich differ from person to person. Leaders are models and mentors to their followers therefore they follow the path way setby their leaders. In a large organisation the top level managers or CEO are considered tobe the executive and supervisory leader. The CEO should have strong commitmenttowards ethics and ethical conduct and should give a constant leadership in renewing thevalues of an organisation. They play a key role in creating, maintaining and changing theethical culture. It is necessary for the leader to set good examples, and follows ethics. Where there are good leaders there will be good ethical practices in business.Corporate governance: is the set of systems and processes that a company follows toensure that it is in the best interest of the stake holders. *Organisational culture: is the set of shared values, beliefs, goals, norms etc that prevailswithin an organisation. The organisational culture emphasis on ethics but as it grows itmay change. *Organizational FactorsCan affect influence participants behavior. One of the key sources of organizational influence is the degree of commitment of the organizations leader to ethical conduct. This commitment can be communicated through a code of ethics, policy statements, speeches, publications, etc. * Individual FactorsFactors affecting ones ethical behavior include:-Stages of moral development, Personal values and morals,Family influences,Peer influences, andLife experiences. *Environmental perspective relates to the exploitation of natural resources in business. Thecompany should make sure that the natural resources are not exploited; it should sustainthe resources so that the future generation can also enjoy them as we did. *Therearemanyreasonsforanorganizationtofollowunethicalpracticestheyarepe rsonalgainandselfishinterest,competitivepressuresonprofits,businessgoalsand personalgoals,crossculturalcontradictions. *Whenanemployeegivesmoreimportancetohisgreedorconcernforhispersonalg ainratherthananyotherconcerns,irrespectiveoftheharmitcanbringtotheorganiz ationistermedasunethicalpracticesthatariseduetopersonalgainandselfishintere

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