1
List out from the given statements the important ethical principles that a business should follow:
1. To take the necessary action for the development of the concerned industry or business
2. Pay taxes and discharge other obligations promptly
3. To ensure the best utilisation of the human resources
4. Refrain from secret kickbacks or pay-offs to customers, suppliers, administrators, etc.
5. Ensure payment of fair wages and fair treatment of employees
1. To take the necessary action for the development of the concerned industry or business
2. Pay taxes and discharge other obligations promptly
3. To ensure the best utilisation of the human resources
4. Refrain from secret kickbacks or pay-offs to customers, suppliers, administrators, etc.
5. Ensure payment of fair wages and fair treatment of employees
Answer & Solution
Answer: Option
B
Solution:
The correct answer is Option B: 2, 4 and 5. Let's break down why:
Ethical principles in business are about doing what's morally right and fair.
Statement 1: "To take the necessary action for the development of the concerned industry or business" - While contributing to industry growth is good, it's not always a direct ethical *obligation*. It's more of a strategic or beneficial action.
Statement 2: "Pay taxes and discharge other obligations promptly" - This *is* a core ethical principle. Businesses have a legal and moral duty to pay their taxes fairly and on time. It ensures the government can provide essential services.
Statement 3: "To ensure the best utilisation of the human resources" - This is important for efficiency and productivity, but not directly an *ethical* principle in the same way as fairness and honesty. It's more related to good management practices.
Statement 4: "Refrain from secret kickbacks or pay-offs to customers, suppliers, administrators, etc." - This is a major ethical red flag! Kickbacks are a form of bribery and corruption and are completely unethical and often illegal.
Statement 5: "Ensure payment of fair wages and fair treatment of employees" - This is essential for ethical business practice. Treating employees with respect and paying them fairly is a key ethical responsibility.
Therefore, only statements 2, 4, and 5 are central ethical principles that a business *must* follow.
Ethical principles in business are about doing what's morally right and fair.
Statement 1: "To take the necessary action for the development of the concerned industry or business" - While contributing to industry growth is good, it's not always a direct ethical *obligation*. It's more of a strategic or beneficial action.
Statement 2: "Pay taxes and discharge other obligations promptly" - This *is* a core ethical principle. Businesses have a legal and moral duty to pay their taxes fairly and on time. It ensures the government can provide essential services.
Statement 3: "To ensure the best utilisation of the human resources" - This is important for efficiency and productivity, but not directly an *ethical* principle in the same way as fairness and honesty. It's more related to good management practices.
Statement 4: "Refrain from secret kickbacks or pay-offs to customers, suppliers, administrators, etc." - This is a major ethical red flag! Kickbacks are a form of bribery and corruption and are completely unethical and often illegal.
Statement 5: "Ensure payment of fair wages and fair treatment of employees" - This is essential for ethical business practice. Treating employees with respect and paying them fairly is a key ethical responsibility.
Therefore, only statements 2, 4, and 5 are central ethical principles that a business *must* follow.