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Business Ethics : What Is Business Ethics Definition and Function


In the business world, ethics is needed to manage and run a business. With good ethics, business automatically will be easier to develop.

Business ethics is a way of doing business that encompasses all aspects pertaining to individuals, companies, and also the community.

Understanding Business Ethics

Business ethics is simply an order about moral standards and a teaching to differentiate between wrong and right.

Where it can provide a supply to each leader of a company when considering to take strategic decisions related to moral problems are complex.

And how to implement it in a business organization and the parties that exist in the company.

Business ethics will be a reference and a reference for the company as well as employees in carrying out the business of the day – today.

The ethics of this business can be used the company’s units to distinguish where right and wrong in running wheel business.

Definition Of Business Ethics

the words ethics, taken from the language of Greece comes from the word “ethos” which means the attitude, feelings, attitudes, habits, character. And ethics is not a doctrine but a science.

While the second word is a business, as a business.

If the two words were combined, i.e. business ethics then it can be defined as an Ordinance that serves as a reference in the conduct of business activities.

Where in the Ordinance includes all sorts of aspects of individuals, institutions, policies, as well as the behaviour of the business.

Business ethics became the ethics rules from the rules overall, both the written and the unwritten rights of the governing rights and obligations of producers and consumers.

As for the coverage is by all the people involved in the business, that includes the company’s relationships with the people who invested money in the company, with consumers, employees, creditors, and competitors.
Essentially, the basic principles in a building of business ethics are the overriding high values include:
  • Can be trusted
  • Justice
  • The integrity of the
  • Honesty

The four basic value is able to be the foundation that will direct on several other positive values. When we’ve been able to keep the trust of others, our business will certainly be well known by others.

Confidence will bring forth mutual respect if we can maintain the trust of its clients, the business will then automatically was longer

As for the drafting of a good business ethics, it is necessary to note some of the following, namely,
  1. about self-control,
  2. social responsibility
  3. make the rivalry in healthy,
  4. the application of the concept of sustainable,
  5. can maintain his conviction,
  6. consistent with a rule that already agreed with,
  7. the growth of the consciousness and the sense of belonging with what has been agreed upon,
  8. create an attitude to trust each other in between the employers,
  9. as well as the need to hold the portion of business ethics to be included in the law that can be either a legislation.
The Purpose Of Business Ethics

Basically, a business ethics is promoted as it has a specific goal and purpose in the world of business.

As for the purpose of business, ethics is to run and create a business that is fair as well as adjust the law already made.

In addition, it was also meant to eliminate dependence on a position of the individual and the company.

Business ethics this broader level if compared with the conditions already set up on the basis of applicable law,

even if minimal compared with the standard of legal provisions then become standard business ethics or higher size.

This is because in the activity of doing business are not rare to encounter the existence part grey and not set based on the provisions of the law.

The Function Of Business Ethics

In the application of business ethics, this will certainly is a plus or advantage for a company, either in a long period of time or intermediate.

As for the function of business ethics which are able to reduce the funds resulting from the possibility of prevention of friction or split,

either from the internal or external company itself.

In addition, in the implementation of business ethics also serves to raise the motivation of workers in order to continue to rise,

protecting the principle of freedom of trade or in the trade, and can create excellence in competing.

In General, an action the less ethical corporations will make consumers became hooked and in the end, came an act of retaliation.

As an example of the existence of forbidden by the release of a product, boycott movement, and the like, then what happens is the decline in the value of the company and also sell.

It is certainly different from a company that appreciates the existence of business ethics, will surely get higher satisfaction ratings.

Principles Of Business Ethics
Honesty when communicating and being
Honesty is an important point in running businesses while building trust. In business, you must be honest in all things.
starting from providing information and analyze the company’s shortcomings.
The integrity
Someone who is them company gains the trust of other people because it has integrity.
Integrity refers to consistency between thought, Word, and deed.
Meet the promises and commitments made
A businessman can be trusted because it is able to fulfil all the promise as well as its commitment ever made.
In business, you should not make an appointment, but the origin of the time pronounced you can directly fill properly.


Loyalty is important in doing business. This is so that Your business can undertake goes well without any conflict.

Disloyal nature can be indicated by working hard in accordance with the company’s mission and vision are able to distinguish Affairs Office with personal problems.

Loyalty can also be seen from the seriousness of Your developing business result.

until our discussion here about the sense of business ethics,

congratulations to those of you who dare enter in the business world and of course with upholding the existence of business ethics.

Example Of Business Ethics

Stand Time Get Acquainted

In addition to demonstrating courtesy, standing at present introduce themselves also expresses your presence.

However, if his condition does not allow it to stand, you can be slightly bent.

In doing so, the business partners will see that you are the person has the value positive and have a good image.

Mention The Name

Entrepreneurs who understand business ethics will usually mention the full name when meeting new people.

It is important to show that you have good ethics.

However, if your name is too long to pronounce, you can condense it a bit.

Thank You For Your

When you attend a business event don’t forget to say thank you, for example, “thank you for coming”.

However, don’t ever say those words. With thanks in excess, co-workers will perceive that you desperately need help from them.

And after the meeting finished, it’s good to send a message and to thank via email.

Pay Bills When Invited

Sometimes the meetings business is done outside of the Office, for example in a cafe, restaurant, etc.

As the host of the meeting, inviting, it is worth paying such bills.

If business associates refused for the reasons she male and you women,

you still have to pay him and said that the company would replace them.










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