Ethics refers to the moral principles, values and beliefs that shape decision-making and behaviour. When making a choice about what is the morally right course of action, different individuals will make different decisions, in part because of their dissimilar personal and cultural backgrounds. What might be considered ethically right in one society might not be appropriate in another.
Business ethics relates to how individuals, groups and organisations set priorities and make decisions that involve moral principles in a professional context. In addition to the economic and performance-oriented objectives described earlier, many organisations set ethical objectives they hope to achieve. An ethical objective might be, for example, to pay all workers a 'living wage' that meets their basic needs. Another type of ethical objective might be to recycle a certain portion of the waste generated by the business.
Time - Was Starbucks' Racial Bias Training Effective? Here's What These Employees Thought
Corporate social responsibility refers to corporations’ obligations to society at large as well as the environment. Companies that take their CSR seriously do not limit themselves to simply obeying laws and regulations. Instead, they are proactive in seeking ways to improve society through their business activities. Setting ethical objectives is an important component of developing CSR policies. CSR policies often involve areas such as those described below.