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The concept of ethics and its application in the business world

Defining the concept of ethics is difficult as ethics are relative and what may be considered ethical in one culture or context may not be considered ethical in another. However, at its most basic, ethics can be defined as a system of moral principles that govern human behavior. In the business world, ethics generally refers to the standards of conduct that businesses are expected to uphold in their dealings with employees, customers, suppliers, and other stakeholders. There are a number of different ethical theories that can be used to guide decision-making in the business world. The three most common are utilitarianism, deontology, and virtue ethics.


Utilitarianism is an ethical theory that states that the best course of action is the one that maximizes utility. Utility is usually defined as happiness or pleasure, but can also be defined in terms of other things, such as preference satisfaction, or wellbeing. Utilitarianism is often described as a form of consequentialism because it focuses on the consequences of an action, rather than the motives behind it. The most important thing to remember about utilitarianism is that it is a guide to action, not a moral theory. That is, it is a way of determining what the right thing to do is, not a statement about what kind of person you ought to be. It is possible to be a good person without being a utilitarian, but if you want to know what the right thing to do is, utilitarianism is a good place to start.


Deontology is an ethical theory that places emphasis on one's duty or obligations. This duty often takes the form of moral rules or laws that must be followed. The individual ought to perform their duty regardless of the consequences that may result. Additionally, deontology holds that some actions are intrinsically good or bad, and thus should always be either encouraged or discouraged. One of the key figures in deontological ethics is Immanuel Kant, who famously wrote that "it is impossible to think of anything at all in the world, or even out of it, which could be considered good without limitation except a good will." In other words, Kant believed that goodwill was the only thing that was intrinsically good and that everything else was secondary. Kantian deontology has been criticized for being too idealistic and unrealistic, as it requires one to always act in accordance with their duty, regardless of the circumstances. However, it remains a popular ethical theory, particularly in the business world.

Virtue ethics

Virtue ethics is an ethical theory that emphasizes the character of the moral agent, rather than the consequences of her or his actions, as the key element of ethical thought and decision-making. Aristotle, one of the most important figureheads in Western philosophy, first articulated this approach to ethics. In recent years, virtue ethics has seen something of a resurgence in philosophical and popular interest. Advocates of virtue ethics argue that it is important to focus on the character of the person making a moral decision, rather than simply the consequences of that decision. They believe that developing and cultivating good character traits (such as altruism, compassion, courage, honesty, integrity, and self-discipline) leads to a more fulfilling and happy life and that these virtues should be the primary focus of ethical thought and action. Critics argue that virtue ethics does not provide enough guidance for making difficult moral decisions and that it is often hard to determine what the virtuous thing to do is in a given situation. Some also worry that an overemphasis on character development can lead to a judgmental and self-righteous attitude.

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