Business Ethics

Business ethics or corporate ethics is  define as all aspects of business conduct and is relevant to the conduct of individuals and entire organizations. (Wikipedia, n.d) Business ethics has both normative and descriptive dimensions. The dimensions are ranging of the business commitment to non-economic values for example, usually under company headings such as ethics codes and social responsibility manners. Business ethic’s aim is to determine the fundamental purposes of a company, which reflects the philosophy of business.

The importance of ethical business is for the organization to differentiate between right and wrong, often no clear-cut choices and often shaped by the orgaziation’s ethical climate. The ethical business acts as a lubricant that keeps the economy running. Without the lubricant, the economy would operate much less efficiently-less would be available to consumer, quality would be lower, and prices would be higher. Ethical behaviour and Corporate social responsibility could bring benefits to a company: attract customers to the business therefore higher profit or sales, attract investors and make the company share high price, attract the employees to work with the company and stay and grow with the company. On the other hand unethical behaviour and lack of coporate social responsibilities in business could lead to damaging the firm’s reputation and make it less appealing to stakeholders, therefore profit could fall as a result. As an American business philosopher and author, Peter Drucker (1909-2005) says, “Start with what is right rather than what is acceptable.” In an organization, individuals can make the difference in ethical expectations and behaviour. Either the individual do ethical or unethical business which can damage his/her reputation and the company. For example by putting own interest ahead of the organization by corruption, lying to employees/er, misrepresenting hours and so on.

Another example is a dishonest farmers, distributors, and grocers tried to sell rotten vegetable as fresh vegetables and that grocers refused to take back the rotten vegetables. What will we do as a consumer of vegetables? We realised the grocers cannot be trusted, even the suppliers and farmers. Plenty of customers dissatisfied and realised this then sales of vegetables will plummet. Everyone loses. Farmers, distributors, and grocers make less money; consumers enjoy fewer vegetables. The point is, without fundamental trust in the integrity of business, the economy would operate much less efficient. In a much bigger scale, this could happen to companies which in reality had gone bankruptcy because lack of integrity and not applying their good corporate governance. Companies such as Enron, Bernie Madoff, Lehman Brothers and Countrywide.

So is a profitable business organization means an ethical business? It all depends. Because an ethical business, as explained before gain more attraction to customers, employees and shareholders; on the other hand a profitable business can either be achieved from an ethical or non ethical business conduct. That is why a company core values influence its decisions throughout its value chain. In conclusion, stakeholders prefer to deal with company which they can trust.

Child Labour

Children or child is a person age from 5 years old until 14 years. The child world are commonly filled up with fun, education and plays. Children are the future citizens of our nations. That is one of the reason why we, as the adult or the parents are obliged and have the responsibilities of protecting their rights and making sure their environment and well being are taken care off. 

Unfortunately there are increasing number of child issues which we as a global citizen are facing today. From child abuse, child labour, child poverty, lack of access to education, and many other issues the children are faced with.

Child labour is defined as labour or work which deprived children of their childhood, their potential and their dignity, and it is not healthy for their mental, physical development. It often interferes with the child's mental, physical, social, moral life. Often children are forced or required compulsory work to get more income for their family's income with leaving school prematurely or if not doing partly work and school at the same time which make the children exhausted and lost their balanced life. The work the children are obliged to do are often heavy, long hours work. If not heavy it is usually involve harmful environment which are highly risky for the safety and belonging of them. In the end of their work, some children get little pay often are left out without any pay at all. The working environment are often suppressed of them not having freedom of move and speech.

The United Nations of International Labour Organisation (ILO) and United Nations Children Fund (UNICEF) reported that in some Asian countries, children works the longest hours and are worst paid of all laborers. According to the ILO again, an estimated of 211 million children age between 5-14 years old are working around the world. Of which 120 million are working full time, meaning they spend mostly of their time working to support their families. 

Children on child labour issues are often forced and coerced to work to either support their family daily life, some are even granted to pay debts of their parents. Often are also kidnapped from the streets. 

Children are often employed in formal or informal sectors.  Industry the children are working varied but mainly are high risk working environment such as  construction work, domestic work, small-scale industry,sweatshops and even can go as far as brothels. In one country, in a manufacturing of sports equipment, children are the main labour of that manufacturer. Considering the wages are low and less complaints of benefits and working conditions, employer are manipulating them as a main worker by hiring them to gain high return profit.

But is it really ethical to employ children for whatever reason? Considering the consequences of child labour, one cannot imagine. The negative impact of child labour are consequences on the children's mental state and physical growth. Majority studies from around the globe resulted in common conclusion on child labouring. Mostly children have poor physical health, fatigue, irritability, ear problems and skin problem. Mental well being is disturbed and turn out to be abnormal compare to those who are not forced to child labour.

It is a sad issue when we realised that we, as an adult who are supposed to be protecting children are often misusing them. Poverty and education is mainly one of the contributing factors in the child labour issue. Parents do not have much choice than to use the child for their own advantage, thinking parents "own" the children, so they have the rights to also coerced them into the working field to maximise their advantage.