Professional codes of conduct are especially effective in improving business standards
The importance of business value and conduct is really very great. Without these two issues, there is no business organization which can operate business activities successfully. The importance could be specified as below.
(a) International Human Resource Management: Globalization has presented complex challenges for international HRM. Due to cultural differences, the commitment between employer and employee has become fuzzier. A significant challenge for management is to maintain objectivity in hiring, promotion, and compensation. Child labor has emerged as a complicated issue. Other important issues include discrimination, fraud, and sexual harassment.
(b) International Financial Management: The primary goal of management is wealth maximization for the shareholders. That is a little direct support that ethical behavior leads to shareholders wealth maximization. Fairness in trading indices, trading conditions, tax payment, internal audit, and external audit are the area in which ethical practice needed to be followed.
(c) International Marketing: In international marketing, the needs and wants of various groups vary, which leads to ethical conflict. Most ethical issues are related to marketing policies, communication, pricing approaches, and distribution practices.
(d) Production: This area of business ethics deals with the duties of a company to ensure that products and production processes do not cause harm. Effective ethical behavior helps to ensure continuous productivity.
