Wenshi Wang's blog

http://www.businessmanagementdaily.com/40523/pepsi-ceos-emphasis-on-ethics-pays-off

As it is long known, Pepsi and Coke Cola have competed for over a century. Their business both relies heavily on their secret resipe of the cola. That’s say, the recipes are the most valuable property of the two companies.

Considering merely about the profit of a company, it is of utmost profit for Pepsi to get known of the secret ingredient of Coke,  which can be used to give a heavy strike on Cola’s market share. Whereas, on the ground of business ethics, the leader of a company should spare no effort to reinforce and emphasize the rule of business ethics. That’s because on a long-term scale, a healthily-developed company is expected to run on the basis of ethics, which could help maintain the order of the whole market and step-by-step build up the company’s reputation in society. A healthy and positive image  is a intangible property of a company, which happens to be as important as the capital, the labour force, the management of a company.

The CEO of Pepsi, in this case, thank to his long-term influence on the staff, helps his staff to make such a wise and responsible decision. His action not only wins the gratitude from the CEO of Coke, but also the highly appreciation and respect from the whole public.