Essay about Business Ethics Issues in the Movie Boiler Room

Social responsibility is generally regarded as a duty of an organization’s management towards the benefit and well-being of the society in which it is engaged. The organization must behave ethically considering the social, cultural, economic and environmental issues.

To begin with, I want to clarify what is the role of business in society and social responsibility of the corporation. Destination of business has always been the same, to innovate and delivered products and services, to build and maintain the condition of well-being, to use resources effectively. What is different today is the social context in which companies are managing.

Social responsibility is the obligation a business has to its stakeholders. Stakeholders include: customers, employees,

In most businesses, stakeholders are the customers, investors, shareholders, employees, suppliers, government agencies, communities and others who have an interest in a company’s products, operations, and markets (Ferrell, Fraedrich, & Ferrell, 2011). Ultimately, they not only influence the course and direction of the company, but the company can influence them as well (Attend, 2015). Additionally, there are secondary stakeholders, such as: media, trade associations, and special interest groups who can have a positive impact, especially in times of corruption (Attend, 2015).

isions that businesses make are called stakeholders. Most decisions affect a number of stakeholders. Stakeholders have increased influence on company business activities in the early 21st century as community citizenship and social responsibility have been consistently integrated into business management. Customers, employees, communities and business partners are among key stakeholder groups that carry weight in company decisions and activities. Understanding the impact of these stakeholders on business is especially important for small businesses.

“The first step in the evolution of ethics is a sense of solidarity with other human beings”(Schweitzer et al., 1965) as quoted by Schweitzer, it is fundamental to work in harmony, and cohesion in order to yield moral adequacy. For a business to be considered ethical, it must perform ethically, meaning to be responsible for addressing and adhering to key moral principles, and abiding by societies deeply held values, such as; honesty, equality, justice, and rights. The ethical foundation of a business determines the future of its aptitude for success and is primarily built on trust and human decency. Although, if these ethical guidelines are not considered in a business place it often leads to ethical dilemmas, such as fraud and bribery. This is evidently presented in the French company Poly Implant Prothése, that produce silicone breast implants worldwide. This company’s actions demonstrated a great absence of moral integrity and professional confidence and due care by fraud and deception of their shareholders.

“Corporate social responsibility is the idea that a business has a duty to serve society in general as well as the financial interest of its stockholders (Pearce, J., Robinson. R).”

Throughout the movie, there are several business ethics dilemmas that occur in which the greater good is served by breaking rules and laws. Business ethics is defined as “organizational principles, values, and norms that may originate from individuals, organizational

Social Responsibility refers to operating a business in a manner that accounts for the social and environmental impact created by the business. It means a commitment to developing policies that integrate responsible practices into daily business operations. Social responsibility is not just about managing, reducing and avoiding risk, it is about creating opportunities, generating improved performance, making money and leaving the risks far behind. High performance workplaces that integrate the views of line employees into decision-making processes

Various stakeholders have the right to influence the decisions that the company makes since they directly command respect from these companies. Due to the influence exerted by shareholders, business policies must be formulated to fit the needs of most if not all stakeholders so as to have successful businesses. Stakeholders are all individuals and organizations that are related to the company in one way or another. The term stake is usually taken to mean a portion or share in the business. Examples include shareholders, employees, partners and investors. Stakeholders are further defined as those groups or individuals that affect the day to day running of the business and those that the business affects. It is at this juncture that the

Business ethics is a very extensive subject that is not easy to define. According to Andrew Crane and Dirk Matten (2004: 5), business ethics is the study of business situations, activities and decisions where issues of right and wrong are addressed. With an increasing globalization, environmental and social issues have amplified and therefore companies have to take full responsibility for the wrong impact their actions have. Gap pays a lot of attention to the social issues and challenges that large companies face, although it had some ethical issues in the past.

17. These social responsibilities are those that are voluntarily assumed by a business or organization. They include public relations activities, good citizenship, and full corporate social responsibility.

All businesses face ethical issues. Some, as they should, see them as an important aspect to be remembered when making a business decision, while others wrongly see them as an inconvenience.

Consumers and the general public view companies as greedy establishments looking only to maximize its profits at any cost to the consumer, the community and the environment. While historically this has been the case and even in today’s business environment there still exist organizations that follow this doctrine; organizations that are driven solely by the selfish interest cannot survive because stakeholders have certain expectations of organizations above their ability to generate profits (Vranceanu, 2015). The challenge business with regards to ethics is the concern on whether ethical behavior should be given more priority than making profits. Some organizations view ethics and the practice of ethical behavior to be a burden to

The definition of business ethics is described as a company’s attitude and conduct towards its stakeholders – employees, customers, stockholders, and so forth; ethical behavior requires fair and honest treatment of all parties. The word ethics is defined as “standards of conduct or moral behavior.” The movie Wall Street, was the exact opposite of these definitions. The movie shows examples of hostile takeovers, insider trading, greed and unethical behaviors in the attempt to build fortune on the all mighty dollar. The movie focuses on the stock market and the way inside information is used to make decisions to build cash and profits at the costs of others. It portrays the decisions one may make when faced with the temptation of green