Business Ethics - Not Always Easy to Talk About But They Matter More Than Ever

June 23, 2025 | Barbara Ann Sharon

In today’s fast-paced and competitive business world, success isn’t just about hitting revenue targets or closing big deals. It's also about how you achieve those wins. Business ethics—how companies and their employees behave in terms of fairness, honesty, and responsibility—play a critical role in shaping long-term success and trust.

It’s always been interesting to me that while I’ve been in the training industry for over 40 years, I have only had one client or rather one opportunity where I was asked to bring Business Ethics to the market.  How interesting!  Why is that? 

Let’s first break down what business ethics really mean and then we will explore why they should be at the core of every organization.

What Are Business Ethics?

Business ethics are the moral principles that guide how a company operates and makes decisions. Business ethics go beyond legal requirements, focusing on doing what’s right, even when no one is watching. Ethics influence how companies interact with employees, customers, competitors, and the broader community.

Think of it as the organization’s moral compass—it directs actions and decisions to align with core values such as integrity, respect, accountability, and transparency.

Why Are Business Ethics Important?

1. Trust and Reputation

Ethical behavior builds trust, both internally with employees and externally with customers and partners. A company known for its integrity earns customer loyalty and strengthens its brand reputation. On the flip side, unethical behavior—like misleading marketing or exploiting labor—can lead to scandals and long-term damage to a company’s credibility.

2. Legal and Financial Protection

While ethics go beyond the law, sticking to ethical business practices often helps companies avoid legal troubles. Regulatory violations, lawsuits, and fines can all be minimized when companies adhere to fair and responsible business practices. In many cases, acting ethically can save businesses from costly mistakes.

3. Attracting and Retaining Talent

People want to work for organizations they can be proud of. A strong ethical culture helps attract top talent and retain employees. When employees feel that their organization is committed to fairness, equity, and responsible behavior, they are more likely to stay engaged, motivated, and loyal.

4. Long-Term Success

Ethical companies tend to have a more sustainable approach to business. They focus on creating long-term value rather than chasing short-term gains at any cost. Businesses that prioritize ethical decision-making are better equipped to adapt to challenges and maintain resilience over time.

Ok, so now we have shared the what and the why, let’s explore the where and the how.

Where are there common groups of business ethics? 

• Honesty in Communication

• Fair Treatment of Employees

• Environmental Responsibility

• Anti-Corruption Practices

• Respect for Customer Rights

So how can organizations build an ethical culture into their day-to-day operations?

• Lead by Example: Leaders set the tone. When leaders model ethical behavior, employees are more likely to follow suit.

• Create a Code of Ethics: A clear code of conduct can help guide employees in making the right decisions.

• Offer Training and Resources: Regular ethics training ensures that employees are aware of the organization’s expectations and how to navigate gray areas.  Organizations should provide business ethics training for more than just because of the legal requirements. 

• Encourage Open Communication: Create a safe space for employees to raise ethical concerns without fear of retaliation.

• Hold Everyone Accountable: Enforce policies consistently, regardless of rank or role.

In a world where public perception and trust are more influential than ever, business ethics are non-negotiable. Ethical practices not only safeguard a company’s reputation but also foster an environment where employees, customers, and communities thrive. Ultimately, doing the right thing is good for business—and good for the world.

Contact Us Today!

Barbara Ann Sharon, Chief Learning Officer at Training Edge.

basharon@trainingedge.com or 610.454.1557