GROUP I

WHAT IS ETHICS?

Business ethics are ethics that refer to the moral rules and regulations governing the business world. In other words, they are the moral values that guide the way corporations or other business make decisions. Business ethics are rules of business conduct, by which the propriety of business activities may be judged. It is generally coming to know what is right orwrong in the work place and doing what is right

GLOBALISATION & BUSINESS ETHICS

Global Imperatives & Indigenous Ethical Values in India

societal level ethics social responsibilities

Indian organizations have received wide spread

Rankings

A Macro Glance
Systematic empirical investigation in the field has yet to start in India.

investigate journalism has been playing a key role in highlighting corrupt and fraudulent practices within the business politics criminals (BPC) triangle. Presently the citizens are hopefully looking up to the assertive judiciary as the ultimate resort in these ethically troubled times

The Semantics of Business Ethics

Since1992 the two words :

The Basis for Will to Ethics in Business

ethical problem relates to social consequences of employment contraction in man power intensive basic industries abuse and misuse of sophisticated communication technology with increasing psychological drift and volatility in a artificially stimulated and exteriorized mind the entry of big multinationals in a certain key sectors of the economy, is throwing up new challenges in business ethics

Will to ethics in the practical business world

To charge only fair and reasonable prices

step to ensure that the agent or dealers do not charge prices higher than fixed.

Not to adulterate goods supplied

Not to publish misleading advertisements

Not to deal knowing in smuggled goods.

Providing after sales service was necessary or possible.

Honoring the fundamental rights of the consumer Discarding social responsibility and the responsibility to protect the environment and natures infrastructure.

Concept of Culture & Types of Corporate Culture

Cultural Differences and Global Business

Globalization of business can have cultural dilemmas. The business standards followed, code of conduct, policies are different. There are different thought, ideas, practices, languages, concepts which a global business needs to adopt. It takes away the unique identity a country or a region has. Global companies need to follow either the global acceptable standards or those which exist in the foreign land that they are operating in. Business practices become increasingly uniform.

Ethics in the East and West

Employee Loyalty

Societal Relationship basis Moral Decisions

Opinions and decision taken

GLOBALIZATION & BUSINESS ETHICS

A CONTROVERSY

PROS OF GLOBALIZATION IN INDIA

(With Reference to Business Ethics)

Opening up of World Trade

Mobility of Persons, Goods, Capital, Data, Infections, Diseases & Pollution

Development of Communication

GLOBALIZATION

Importance of MNCs

Internationalisation of Financial Markets

Increase in growth rates (GDP)

India is the fastest growing country after China.

Productivity grows more quickly when countries produce goods and services in which they have a comparative advantage. Living standards can go up faster.
Global competition and cheap imports keep a lid on prices, so inflation is less likely to derail economic growth.

An open economy spurs innovation with fresh ideas from abroad.

Export jobs often pay more than other jobs. There is cultural intermingling and each other is trying to know about the others cultural preferences and in the process of doing so, we are actually coming across things that we like and in the course of time adopt it. Socially we have become more open and tolerant towards each other and they who live in the other part of the world are not aliens as we always thought. Eg. Girls and call centres (late night), Valentines Day,

I.T. Sector & Business Process Outsourcing in India

A new middle class is developed/consumer base

International companies are also expanding their base in India to serve the mass created

In Relation to Business Ethics

Fair Prices, Quality, Service

Growth in Indian Economy

Larger Profits

Efficient production

Investment in Capital

Motivated & Satisfied employees

Salaries, Other monetary benefits/packages, return on investment

CONS OF GLOBALIZATION IN INDIA

(With Reference to Business Ethics)

MAJOR GLOBALISATION ISSUES

1. 2. 3. 4.

Unfair Trade Practices Exploitation Of Labour And Resources Abusing Of Economic Power MNCs Rule The Country Instead Of Govt.
MNCs are increasingly influencing political decisions.

5.

Interrelated Economies
Problems of Inflation arisen in US are faced by all the countries today

6.

Health Problems
Fast food chains like McDonalds and KFC are spreading in the developing

world. People are consuming more junk food from these joints which has an adverse impact on their health. Deadly diseases like Swine Flu, HIV/AIDS are being spread by travellersto the remotest corners of the globe.
7.

Environmental Issues

EXPLOITATION OF LABOUR AND RESOURCES

RACE TO THE BOTTOM SWEAT SHOPS Under the name of expansion large corporations see an opportunity to take advantage of the developing nations resources There are factories set up in the poor countries where employees agree to work for low wages.

Nike
falsification of factory documents such as payroll records lack of effective grievance systems for disgruntled workers

hiring practices that did not ensure minimum age standards were met.

ENVIRONMENTALISSUES
Pollution caused by production, transportation, and use of products such as cars, refrigerators, or newspapers. Problems of waste disposal and management result of excessive product packaging and the dominance of throwaway culture. The devastating consequences for individuals and communities result of plant closures downsizing The erosion of local cultures and environments due to mass tourism.

TRIPLE BOTTOM LINE AND CONCEPT OF SUSTAINIBILITY

The world's worst industrial catastrophe. It occurred on the night of December 2, 1984 26 years after the gas leak, 390 tons of toxic chemicals abandoned at the UCIL plant continue to leak and pollute the groundwater

By the end of 2009, it was estimated that 25,000 had died and around 600,000 people were affected due to gas-related disorders
Analysis shows that the parties responsible for the magnitude of the disaster are the two owners, Union Carbide Corporation and the Government of India

Problems Contributing To The Tragedy

The problems that led to the disaster ,all point towards theDeficiencies in the management of UCIL

Solutions Implemented over the Years

A clinic established by a group of survivors and activists known as Sambhavna in 1995 Widow pension of the rate of Rs 200/per month (later Rs 750) was provided in the year 1990. The average compensation works out to Rs 12,410 per victim at the 1989 value of the rupee. Compared to this, the US government paid an average of $1.8 million per victim of 9/11 Occupation rehabilitation Habitation rehabilitation

Compensation by Indian Govt.- Rs 1265cr package was announced by the Union Cabinet on 24 June,2010

Case 2: TATA Stirs Controversy in Tanzania

Tata Africa Holdings has a strong presence in over 10 African countries with investments exceeding US$100 million. The organization today employs over 750 people This case study focuses on 2 aspects: 1. Rift Valley plan threatens to wipe out flamingos 2. 'Bonkers' soda-ash plant plan will ruin fragile ecosystem in Africa

Globally there are between 2.2 to 3.3 million flamingos, with between 1.5 and 2.5 million Globally there are between 2.2 to 3.3 million flamingos, located on East Africas Rift Valley lakes with between 1.5 and 2.5 million located on Eastalone. Africas
Rift Valley lakes alone .
The project had the potential of disrupting the breeding

The project had the potential of disrupting the breeding offlamingos. the lesser flamingos. site of thesite lesser

Community Initiatives
1. The Adult Literacy Project
2. Skills-development Programmes

CONCLUSION
Globalization has made way for free trade and business and has communication between various parts of the globe. It has potential to make this world a better place to live in.

It is changing the political scenario thus deep-seated problems like unemployment; poverty and shift in power are coming to the picture.

The marginal are getting a chance a to exhibit in the world market. The term "brand" is catching up in the Asian countries.

It, however, is not only modernizing but also westernizing and to an extent also sinicizing the native cultures.

The power play is leading to the linguicide or linguistic, cultural and traditional genocide. That is probably where we need to keep a check and not let diffusion go wild. One American is trying to sort out his billing issue of his mobile phone with an Indian who is not a direct employee of the service provider. Now that sounds complicated and is complicated and has to be dealt carefully