Business ethics is simply a set of moral principles that take place in a business environment.

In 1982, there was a massive recall of Tylenol due to tampering of the products raising safety concerns. Tylenol followed through with its promise to make products more resistant to tampering and therefore was able to maintain its strong reputation. As the company always had a reputation for being ethical, the consumers had faith that the company fulfilled its promise to make its product safe and tamper-proof and continued to purchase its products.

In my perspective, it is very important for businesses to carry out ethical practices for various reasons, primarily to keep a strong reputation of the company resulting in future success. Business ethics should be portrayed throughout the workplace especially among the managers so that clientele and employees are able to trust the company. It is important for the management of the company to maintain good rapport with its employees by being ethical in its behaviour; for example by ensuring that any over time work is paid for. Likewise, maintaining a good rapport with its customers through proper ethical behaviour will guarantee loyal customers throughout times of hardships within the company.

1982 Tylenol Recall
http://tylerannrose.blogspot.ca/2012/10/using-listening-to-move-your-brand.html

Source: Media, Demand. “Advantages & Disadvantages of Business Ethics | Chron.com.” Small Business – Chron.com. Web. 12 Sept. 2013. http://smallbusiness.chron.com/advantages-disadvantages-business-ethics-10414.html>.