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Mr. Bernstein Social and Ethical Responsibility, pp May 2017

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1 Mr. Bernstein Social and Ethical Responsibility, pp 514-525 May 2017
Entrepreneurship Mr. Bernstein Social and Ethical Responsibility, pp May 2017

2 Entrepreneurship Mr. Bernstein
Social Responsibility Duty to contribute to society Obligation to Stakeholders Customers Employees Investors Community Competitors Vendors* Is the business of business …business?

3 Entrepreneurship Mr. Bernstein
Business Ethics More than just following laws and regulations Morally justifiable behavior Can vary from manager to manager, business to business or country to country Written Code of Ethics – values and rules that express the firm’s philosophy goals Written Code clarifies some dilemmas, but not all

4 Entrepreneurship Mr. Bernstein
The Paramount Role of Business Ethics CEO of MCI Communications (now part of Verizon): At MCI, ethical conduct forms the foundation for our business success. Our commitment to high standards in no way diminishes out determination to aggressively pursue success in the marketplace as a superior provider of the industry’s most innovative products and services. Indeed, over the long term, being – and being recognized as – a highly ethical company will provide us with a sustainable competitive advantage. History has proven that while some may achieve short-term success by cutting corners, at the end of the day, only the true ethics leaders in industry will remain standing. We shall stand tall among them. Michael Capella’s Introduction to MCI’s Code of Ethics and Business Conduct

5 Entrepreneurship Mr. Bernstein
Special Ethics Problems for Entrepreneurs Conflict of interest Desperate measures Bribes

6 Entrepreneurship Mr. Bernstein
A Famous Code of Ethics

7 Entrepreneurship Mr. Bernstein
Kraft Foods 10-point Code of Ethics Make food that is safe to eat Market responsibly Treat people fairly Respect the free market Compete fairly Respect the environment Deal honesty with the government Keep honest books and records Never trade on inside information Give Kraft Foods your complete business loyalty From The Houston Chronicle,

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