Question

A CEO wants to make the argument that his company should put policies and structures in place to ensure adherence to the highest possible standard of ethics. Which of the following statements could he correctly use to make his argument? Check all that apply.
Employees prefer to work for highly ethical organizations.

Studies have shown that a higher standard of ethical behavior is linked to higher executive pay.

Research has shown a correlation between organizations’ commitment to ethics and profitability.

Most consumers would prefer to buy products made by a company that demonstrates ethical behavior.

Answer 1

Answer:

• Employees prefer to work for highly ethical organizations.
• Research has shown a correlation between organizations’ commitment to ethics and profitability.
• Most consumers would prefer to buy products made by a company that demonstrates ethical behavior.

Explanation:

I'm not sure that these statements are all true, but I really hope they are. As an employee I would definitely prefer to work for a highly ethical business, and I think most people would share my preference. There is a strong correlation between ethics and how the business is managed, and if an ethical business is well managed (e.g. employees are treated fairly), then both their employees and customers should notice and that should increase their efficiency and total sales. An increase in efficiency should usually result in lower costs + higher sales = higher profits.