Ethical behavior and ethical business has effects not only for stakeholders, and shareholders but also on the entire economy. We believe that when acting ethically in the business decision making process then this will ensure more effective and productive utilisation of economic resources. Corporate behavior affects responsible and proper economic and institutional improvement. It will be also an influence on all society and a common benefit.
Additionally we can make the following points:
- Organizations affect the external environment – businesses and the wider global Environment
- The Gaia hypothesis shows that the whole ecosp here forms a complete system, unlike classical liberal theory which postulates the independence of each entity
- From 1970 there have developed theories and regulations to include all stakeholders inside and outside the organization
- Corporate reputation is an increasingly important factors for organizations
- Ethics has been reinstated as a standard for organizational activity
- Corporate Social Responsibility (CSR) as a subject indicates concern with social and environmental effects of organizational behavior