It is important for a business to be ethical. Everyone’s idea of ethics is different, however, so a business should have an idea of what is important to them. Sometimes businesses are not ethical, as sometimes doing unethical things can be more profitable. If the public gets light of a business’s unethical practices, they might lose trust in the business. People will be less willing to buy from a business they don’t trust. Employees will also be less motivated to work for a business that they think is unethical. Often, unethical business practices will also be illegal. Keeping your business ethical is a good way to avoid getting into legal trouble. Practicing good business ethics will keep you from facing many problems in the future.
A good way to ensure your business stays ethical is to be transparent with business decisions. If a business is open to the public about how they operate, it would be harder for a business to cover-up unethical practices. It also builds trust with the public to see inside of a business. Even if you have a transparent business, there are still things that need to be kept private. Trade secrets could be detrimental to a business if they are revealed, however, they are not unethical to keep. Being honest about what goes on inside your business is key to transparency, and builds trust in customers and employees.
Businesses often have intellectual property. Intellectual property is a creation of the mind. Businesses can legally own intellectual property. Often, the creator of the intellectual property will benefit from the usage of it. Businesses will claim intellectual property with copyright, patents, and trademarks. Copyright is automatically applied to all intellectual property. Patents allow a business to exclusively make, use, and sell something. A trademark gives a business exclusive right to a name. Violating copyright, patents, or trademarks is called infringement. It’s important for a business to protect their assets, as well as remember not to infringe on other’s assets.