Ethics in Business Ethics in Business DisciplineDiscipline

Ethics in Marketing• Marketing is the task of creating,

promoting and delivering goods and services to consumers and business.

• “ Marketing is the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational goods.”

• A number of distinct functions comes under it like:-

– Product development– Distribution– Pricing– Promotion– Sales

Common Unethical practices

• Duplication of original brands.• Inadequacy and insufficiency in warranty.• Not producing quality product.• Question mark on product safety.• Unauthorized manufacturing .• Production of plastic products.• Discrimination in pricing.• Differentiation in pricing• Misleading and deceptive advertisement.• False Promises.• No fairness and transparency

Factors behind Ethical Practices• To collect the power by society.

• Goodwill of the organization

• Build up transparency.

• Government Regulations.

Marketing Ethics• Ethical Product:-

– Initiation of idea.– Planning and screening of product design– Development of the product– Marketing strategy– Introducing the product in the market.– Decline stage

• Ethics in Pricing:-– Price Discrimination– Predatory Pricing– Deceptive Pricing– Price Fixation

• Ethics in Promotion:-

– Ethical issues in Advertising– Economic functions– Social functions

• Ethics in Channel:-

– Communication Channels– Distribution Channels– Service Channels

Conclusion• “ Marketing ethics is a sub set of

business ethics and examines the moral issues relating to marketing decisions made by organizations.”

Ethics in Accounting and Finance• There is a close relationship between

Finance and ethics.

• The basic foundation of business ethics is Trust.

• Finance would be impossible without ethics.

• Broadly we find :-Finance

Financial markets

Financial operations and services

-Commodity market-Currency market-Option market

-Financial PlanerTax AdviserStockbrokerInsurance Agents

Ethics in Accounting• Accounting is the process by which any

business keeps track of its financial activities.

• It is a system of principles applied to present the financial position of business and result of its operation.

Ethical issues related to accounting practices

• Falsifying financial statements and documents

• Under reporting income

• Ambiguity in reporting

• Tax evasion

• Allowing’/excepting doubtful deductions

Ethical issues and problems

• Unsuitability• Deception• Inappropriate and Excessive trading• Fraud and Manipulation• Unequal bargaining Power Creative

Accounting• Earning Management• Securities Fraud