The change from local to the international economy is a crucial concern for the field of ethics. Globalization has several implications for the business environment, among which are the expanded access to resources, interdependence of international companies, and improvement of the labor force (Ast, 2018). However, the ethical consequences of such transformation can tremendously impact the welfare of numerous communities. For instance, a pertinent ethical complication is related to the disparities that originate from globalization. As more companies enter the international market, the possibilities for individuals with a good financial standing continue to increase (Ast, 2018). In contrast, the disadvantaged populations are not receiving the benefits of such growth due to a lack of funds, remaining incapable of securing the food and water resources (Ast, 2018). From this perspective, the poorly endowed individuals’ needs are neglected, which further worsens the inequality of access to food and water.
Another problem is connected to the globalization of business is the behavior of international corporations in developing countries. From an ethical perspective, the enterprise’s executives should ensure the provision of necessary resources to the population (Franz et al., 2018). Nevertheless, some organizations might choose to abuse the vulnerable position of the individuals, which forces the residents to work for access to food and water (Franz et al., 2018). Such endeavors negatively impact the population’s welfare and further complicate the food and water security concerns.
To address the discussed problems, it is possible to introduce an international code of business ethics that would guide the corporations’ activities in disadvantaged countries. Such regulations would not require significant financial input, but they could prevent the unethical behavior of international companies (Franz et al., 2018). The proposed code should also integrate social and cultural elements of an underprivileged nation to improve feasibility. After that, creating an international council that would oversee the endeavors of enterprises in countries lacking access to food and water could also help mitigate ethical concerns (Ast, 2018). Although this would require more financial resources, it would ensure the adherence to the social and cultural aspects of a given nation.
References
Ast, F. (2018). The moral dilemmas of global business. In G. Y. Wang (Ed.), Globalization. IntechOpen.
Franz, M., Schlitz, N., & Schumacher, K. P. (2018). Globalization and the water-energy-food nexus–Using the global production networks approach to analyze society-environment relations. Environmental Science & Policy, 90, 201-212.