Ethical Strategies

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1. Introduction Individual prospects for wealth are the core of a business for wealth too. In order a company to justify its existence to shareholders and bring profits to them, companies are trying to find ways to invest in new products, or in a foreign company or in a foreign country. The vast companies’ growth reached to a point that companies’ functions are implemented beyond their country of origin and we reached to discuss a phenomenon called “Globalization”. Managers are accepting managerial positions in order to run headquarters in a foreign country. But how sure are we, that an individual has a full knowledge of the cultural environment of the host country. Mistakes, misunderstood line procedures within a company may lead to controversial marketing strategies that may affect seriously others people lives. Multinational corporations are implementing strategies to avoid any criticism, through ethical codes and Social Responsibility behavior. 2. Ethics and Social Responsibility The ethical behavior of an enterprise conforms on accepted policies and moral standards of conduct. Enterprises perform concepts of social responsibility which implies on the behavioral obligation to the society, whether if conducting its operation in their home country or if conducting its operation in a host country. The obligation on an enterprise to the society has to do in order to be honorable, generous and responsible to gain long term benefits and to serve long term interest to stakeholders. (Daniels, Radebaugh, Sullivan, 2002 pp.300-302). Business ethics also involves the appropriate constraints to pursuit profits without affecting others. Enterprise’s objective is to create a competitive advantage among competition and avoi... ... middle of paper ... ...through breast-feeding. (Waldholz, July 2000, p B2) 6. Conclusion In conclusion, both Danone’s and Nestlé’s business actions in this particular category are not illegal, but it can be said as non-ethical. Both of them, claim that there is no illegal action and it was not a purpose to affect others people lives. They must clearly understand that ethical codes are above law and they must learn how to not to cross the red thin line between those definitions. Through social responsibility enterprises must cover customer’s needs and not supporting controversial marketing tactics. A good first start can be, by a clear ethical statement from a company to its employees. My position is that both Danone and Nestle have the ability and the infrastructure to change for better the lives of millions of people and it’s time for them to show the road for a better world.
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