2. ETHICAL ISSUES
•In the complex global business environment of
the 21st Century, companies of every size face a
multitude of ethical issues. Businesses have the
responsibility to develop codes of conduct and
ethics that every member of the organization
must abide by and put into action.
3. Functional ethical issues in
business include promoting
conduct based on integrity and
that engenders trust, but more
complex issues include
accommodating diversity,
empathetic decision-making,
and compliance and
governance consistent with a
company’s core values
4. LEGAL ISSUES
•Business communication competencies tend to focus on building
relationships and achieving productive results, but the legal aspect
must also be considered. Certain areas of business communication are
strictly regulated by law, while others can lead to potentially harmful
civil litigation.
•Understanding the legal framework in which business communicators
work is essential for entrepreneurs, managers and front-line
employees alike.
5. Fundamental Issues
•It is the most important ethical issue that business may face
are integrity and trust. A basic understanding of integrity
includes idea of conducting a business affairs with honesty
and a commitment to treating every customer fairly. When
customers think a company is exhibiting an unwavering
commitment to ethical business practices, a high level of
trust can develop between the business and the people seeks
to serve. A relationship of trust between an organization and
its customers maybe a key factor in the organization success.
6. •For Example: - Uncertainty
leads to a short-term focus-
Companies are shying away
from long-term planning in
favor of short-term results,
with uncertainty often the
excuse.
7. DIVERSITY ISSUES
•An ethical response to diversity
begins with recruiting a diverse
workforce, enforces equal opportunity
in all training programs and is fulfilled
when every employee is able to enjoy
a respectful workplace environment
that values their contributions.
Maximizing the value of each
employees’ contribution is a key
element in the organization’s success.
8. example: - There is a language barrier in most of the
organizations as people belonging to different regions
of the country are not able to communicate properly
because of uncommon language
9. DECISION MAKING ISSUES
•A useful method of exploring ethical dilemmas and
identifying ethical courses of action includes connecting the
facts, evaluating any alternative actions, making a decision,
testing the decision for fairness and reflecting on the
outcome. Ethical decision-making processes should center
on protecting employee and customer rights, making sure all
business operations are fair and just, protecting the common
good and making sure the individual values of workers are
protected.
10. For Example: - When and Whom to Hire?
One of the things that leaders worldwide
struggle with are when and whom to hire
when they a re first starting out. This is a
big hurdle because a good leader must be
backed by an even better team.
11. COMPLIANCE AND GOVERNANCE
ISSUES
•Businesses are expected to fully comply
with environmental laws, federal and
state safety regulations, fiscal and
monetary reporting statues and all
applicable civil right laws.
12. Example- The Aluminum Company Of America’s
(AlCOA) approach to compliance ensures no one at
the company may ask any employee to break the law
or go against the company values, policies and
procedure. The company’s commitment to
compliance is shored by its approach to corporate
governance, the company expects all ALCOA
directors, officers and executives to conduct business
in accordance with its business conduct policies.
13. DISCLAIMER
•Product and service disclaimers protect business from potentially
harmful litigation in the event of misuse or misunderstanding by
customers.
•A legal Disclaimer protects the organization's rights.
•The owner must have legal rights over their website content. By
having this they will be able to protect their rights as an owner of the
copyright of their content on the website.
•Further it helps them to protect their web content from being misused
by others.
14. DISCLOSURES
•Legal disclosures are similar to disclaimers but less specific.
Although disclaimers are a type of disclosure, other type of
disclosures can be legally significant as well.
•Non-disclosure agreements approach the issue of legal disclosures
from another angle in non-disclosure agreements, one party agrees to
refrain from sharing proprietary information outside of a contractual
relationship.
•Conflict-of-interest disclosures from stock analysts and financial
advisors are one example as are differences from research-based
claims in marketing.
15. MARKETING COMMUNICATIONS
•Advertising and sales communications must follow legal guidelines for honesty
and accuracy. According to the Small Business Administration’s overview of
advertising and marketing law, advertising claims must be honest, non-deceptive
and based on factual evidence. According to the same overview, advertising and
marketing law extends to regulate testimonials, product endorsements,
advertising to children, claims of environmental responsibility and claims of
domestic production. The federal trade commission also strictly regulates direct
marketing activities, including telemarketing and email marketing.
16. •For example: - In 2014, Red Bull had to pay USD 13
million for false misleading tagline –
•“Red Bull gives you Wings”.