Many different ethical concerns have arisen in different countries because of differences in political, economic, legal, and cultural norms. A commonly accepted procedure can be considered unethical in another country. Managers at multinational corporations must be attuned to cultural variations and capable of making ethical decisions that take them into account. Employment policies, human rights, ecological standards, anti-corruption policies, and the moral duty of multinational firms are the most pressing ethical concerns in international trade.
A wide range of topics can be considered ethical concerns in the workplace. Promoting conduct based on trust and integrity is a fundamental ethical issue. Still, there are also more complex issues like accommodating diversity, making decisions with empathy and having adherence and governance that is in line with the organization’s core values.
Ethical behavior entails acting in a way that benefits one’s employer, employees, consumers, neighbors, country, and ecosystem. Businesses are responsible for upholding trustworthy behavior standards to maintain positive relationships with the communities they serve (Ghauri et al., 2021). Sustainability, corporate governance, corporate social responsibility, and ethics are generally agreed upon by business executives worldwide as necessary components of ethical business conduct.
Practicing a sustainable lifestyle means meeting current needs without jeopardizing succeeding generations. A set of policies and processes known as “corporate governance” must be in place to manage, direct, and ultimately control a business (Cavusgil et al., 2016). Directors and management can practice ethics, CSR, and sustainability thanks to the framework provided by good corporate governance. Corporate social responsibility (CSR) is when a company acts in a way that satisfies or surpasses the moral, legal, and financial standards set by its clientele, investors, workers, and local communities (Crane et al., 2019). Individuals, organizations, and nations are all expected to adhere to a set of moral principles and ideals known as “ethics,” which establish what constitutes excellent and wrong action.
International business transactions in them might give rise to ethical challenges. Trades such as the fair-trade movement, transfer pricing, bioprospecting, and biopiracy fall under the purview of international business ethics (Cavusgil et al., 2016). Equally contentious, global corporate ethics must address problems like child labor and cultural imperialism. Multinational firms should not take advantage of unequal countries, such as when wealthier nations outsource business to undeveloped countries for lower labor costs (Buckley et al., 2018). Until recently, Western countries sent much of their service work to developing countries like India and the Philippines because they had access to cheap labor. This resulted in fierce competition among developing nations to provide the lowest-priced delivery possible.
Trade with other countries is essential for the economy and exporting products worldwide. A legal notification has already been made public, proclaiming that the atmosphere between the two parties has been disturbed to the fullest extent necessary (Cavusgil et al., 2016). The problem stems from unethical decisions made at the highest levels of leadership. Therefore, it is not bad to have issues with the leader (Ghauri et al., 2021). Business suffers when there is no place of solace or comfort in the office. Most importantly, sloppy work and incorrect product descriptions create chaos.
In conclusion, everyone from entry-level workers to executives is expected to act ethically in the workplace. Communicating openly and fairly with clients and coworkers is essential. Organizational morale and relationships with clients benefit when employees act ethically. Employee loyalty is more likely to be maintained if they feel their employment is meaningful to the company’s mission. The potential for a company to violate applicable laws because of an ethical conflict is a real concern. Ethical dilemmas do not always result in legal repercussions, but they might have unintended consequences.
References
Buckley, P. J., Enderwick, P., & Cross, A. R. (Eds.). (2018). International business. Oxford University Press.
Cavusgil Tamer, S., Knight, G., & Reisenberger, J. (2016). International business: The new realities. Essex, UK: Pearson.
Crane, A., Matten, D., Glozer, S., & Spence, L. J. (2019). Business ethics: Managing corporate citizenship and sustainability in the age of globalization. Oxford University Press.
Ghauri, P., Strange, R., & Cooke, F. L. (2021). Research on international business: The new realities. International Business Review, 30(2), 101794. Web.