Business Morals and Social Responsibilities Essay

Business Morals and Social Responsibilities - Essay Example Business organizations through the code of ethics benefit in enhancing their reputation and winning the trust of its clients. For instance, Nike’s code of ethics has assisted the organization to regains its reputation that was ruined by activities carried out by its contractors in Asia. However, like in the case of Nike, the code of ethics may influence the profits of business organizations. For instance, Nike developed its code of ethics following criticism over the unethical activities carried out by their contractors in Asia. The contractors unethically used labor from the poor communities in Asia to, cheaply, produce products for Nike. Nike’s high profits came from utilizing these activities that were orchestrated by their contractors in Asian countries (The Blake project 2008). Since the creation of the code of ethics, Nike’s profit reduced since they have to observe and adhere to the contents of that code of ethics. Society’s expectation for corporat e social responsibility may only change for the better. Corporate social responsibility affects the business’ profitability in a great manner. For instance, Nike’s major corporate social responsibility is to produce quality footwear for its customers. Compromising the quality of its products will lead to great losses and tarnishing the image of the company (Kidd 2008). It also has a social responsibility to produce its products without harming the eco-system. It is evident how business organizations work towards achieving their corporate social responsibilities. For instance, Nike has developed Nike environmental design tool to produce products with higher sustainability standards (Nikebiz).