Business Ethics Essay Example | Topics and Well Written Essays - 3250 words

Business ethical motive - set about ExampleThe organization is headquartered at Canary Wharf, London, United Kingdom. HSBC Holdings Plc was founded by Sir Thomas Sutherland in the year 1865. officially HSBC Holdings Plc was established during the year 1991. Forbes magazine has announced HSBC as 6th largest publicly traded organization. Intraday market capitalization of the participation is $122.65 billion (Yahoo Finance, 2012). Product & Service Mix HSBC focuses on delivering different services standardized investment banking services, sell banking services, global private banking and wealth management. The company has emerged as one of the leading banking service provider internationally. ships company products comprises of long term and short term loans, current and savings account, insurance schemes, credit cards, fixed deposits and informatory services. Brief SWOT Analysis Strength Weakness The bank has established global scale military movement and prolonged internatio nal network. The company has created strong cash reserve ratio which helps them to diversify commerce operation HSBC has reduced volatility of cash flow by using diversified revenue mix. Strong monetary muscles of HSBC save helped them to create sustainable corporate strategy. The bank has experienced not only asset timberland deterioration but profit margin shrinkage also. Market capitalization of HSBC has declined due to poor cognitive process of SBUs. HSBC has low control over unlawful activities like money laundering in the currency business process Opportunities Threat HSBC has the opportunity to gain enterprise value by controlling existing portfolio. HSBC house expand business in acclivitous market such as Asia and Latin America. They can increase market share by focusing on low interest mortgage business. Entering emerging market will not be easy for HSBC due to strict regulatory manakin of countries like India (Reserve bank of India) and China. Retail deposit might increase funding cost for HSBC in near next (Source HSBC, 2011) Business Ethics Business ethics has evolved as a significant management concern for organizations in present time. Many organizations in USA have understood the importance of business ethics and have therefore designed ethical assistance lines for employees to report business and ethical concern to top take management. Following diagram can be used to understand importance of ethical assistance lines for organizations. (Source Ferrell, Fraedrich, and Ferrell, 2012, p.222) academician scholars have dissected business ethics into two parts like Descriptive Business Ethics (morality of a business is justified by ethical rules for fair trade policy in this model) and prescriptive Business Ethics (this is a supportive model which specifies after work required decreasing or discouraging unfair trade practices). Business ethics covers variety of issues like political situation, legal framework of the system, economic respo nsibility and moral values of business organization (Brenkert, 2004, p. 188). Research scholars have pointed out that business ethics can work in multidimensional manner in do to fulfil various organizational issues. Hooker has underpinned following guidelines for business ethics. Organizations need to establish a transparent and fair inducing and remuneration structure for top level executives. Organizations need to follow government rule in order to discourage stakeholders from doing illegal activities Leading companies should encourage healthy competition by allowing small firms to enter in business environment.