Enterprise Ethics


Despite the fact that the key goal of a enterprise business will be to increase the revenue era, it has a social accountability as a part of the culture to boost the welfare in the numerous fascinated stakeholders. A company corporation is expected to interact in company social obligation things to do as a indicator of supplying again into the culture which includes supported its expansion and a vital husband or wife (Luo, Wang, Raithel, & Zheng, 2015, p. 15). The small business ethics in the contemporary environment has become influential in influencing the competitiveness and survival on the company organizations due on the reactions it attracts from the market. Accordingly, the three ethical issues namely child labor, working condition, and low wages that Primark Company is facing features a significant impact before and after it’s got resolved. An intensive analysis from the impacts the company stands to experience before and after it’s got implemented the company code of ethics in resolving the issues has been conducted.

Before Small business Ethics Code

The accusation leveled against the Primark Company of employing child labor in its operation process hurts its capability of penetrating some foreign markets at the international level. The labor laws in European countries and America that are lucrative markets for companies engaging in global trading bans entry of goods for companies accused of employing child labor (Luo, Wang, Raithel, & Zheng, 2015, p. 124) bestessaysforsale.net/mba-essay-writing-service/. Consequently, the capability in the company to optimize revenue generation by entering these markets will be frustrated before it resolves the child labor ethical issue. Equally, the revenue era ability with the Primark Company will be affected negatively by the local market due on the reactions it will receive from the non-governmental organizations. The civil culture carries a significant influence in determining the decisions on the populace since they are perceived as the real defender with the public interests (Nica, 2013, p. 12). Thus, the mobilization by the non-governmental organizations against the consumption of your Primark Company’s products due to its child labor violation will see a considerable drop in its sales revenue.

Equally, the poor working condition and low wages the firm is facing contains a detrimental effect on its sales revenue, profitability, and competitiveness. The negative reputation the company is earning in the labor market has the effect of hindering its capability of attracting the best employees. In addition, the rate of employees’ turnover will be high that disrupts smooth operations in an business (Boylan, 2013, p. 67). Thus, the production efficiency in the business that is highly determined by employees’ productivity is constrained. This has the result of hindering the company to minimize on production cost that leads to low profits. Moreover, the possibility of the firm to face frequent trade disputes disrupting operations is quite high. These occasions will lead to the destruction of properties and undue litigations that hamper the profit maximization aim. Additionally, the public perception in the company of treating its employees unfairly distorts its brand image in the market that lowers its capability to sell (Luo, Wang, Raithel, & Zheng, 2015, p. 19). Consequently, the firm stands to lose due for the unethical child labor and unfair employment practices.

After Implementation of Business enterprise Ethics Code

In contrast, the decision the by the management of your firm to rectify the current position by implementing a company code of ethics will have a positive impact on its revenue technology, profitability, and market competitiveness (Boylan, 2013, p. 72). The implementation from the company code of ethics prohibiting child labor, unfair wages, and promoting a safe and healthy working environment will instill the feeling of the caring and responsible company internally and externally (Nica, 2013, p. 13). The elimination with the child labor will enrich the potential of your company to enter lucrative international markets. Thus, the sales volume that are essential in driving the revenue amounts will increase. Similarly, the firm will win the support from the civil culture for a caring company in the modern society, which is essential brand building. This development will enrich the ability on the company’s brand to penetrate the market due to your positive public reception leading to high sales volume. Likewise, the introduction of fair compensation and working condition by the management on the Primark Company will boost the morale and loyalty with the employees due into the feeling of being recognized and appreciated as critical assets in the business (Boylan, 2013, p. 64). Thus, the possibility of trade disputes will be reduced significantly.

The smooth operations brought by reduced employment disputes will be instrumental in promoting productivity, which will enhance profitability. Similarly, the reputation of your company as being a caring business to its workforce will increase its competitiveness in attracting the best talented and skilled employees in the market. The reputation in the work environment is critical in determining the quality of the workforce an group can attract (Boylan, 2013, p. 64). Thus, the capability of the firm to attract productive employees will see its production costs slowing and the quality with the products it supplies on the market improving. This means the revenue and profit technology with the Primark Company will be improved. Consequently, the sales revenue and net earnings of the Primark Corporation will be higher after the implementation with the business code of ethics compared into the prior position.


Boylan, M. (2013). Company Ethics. Hoboken: Wiley. Luo, X., Wang, H., Raithel, S., & Zheng, Q. (2015). Corporate social performance, analyst stock recommendations, and firm future returns. Strategic Management Journal , 36 (1), 123-136. Nica, E. (2013). Social Accountability, Corporate Welfare, and Small business Ethics. Psychosociological Issues in Human Resource Management , 1 (1), 9-14.