The Ethical Reason Is Based on the Recognition That Business

question 25

True/False

The ethical reason is based on the recognition that business must use its power responsibly in society or risk losing it. Corporations exist as legal entities with certain advantages (such as limited liability) because society allows them to do so, and these corporate rights and advantages can be removed from firms that are perceived to be irresponsible.

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Definitions:

Legitimate Power

The power a person receives as a result of his or her position in the formal hierarchy of an organization.

Ethical Use

Ethical use involves applying moral principles to ensure respect, fairness, and integrity in various contexts such as technology, business, and research.

Job Context

Refers to the conditions, tasks, and environment in which work is performed, including the physical and social aspects.

Organization's Mission

The fundamental purpose or overall goal that guides an organization, typically encompassing its values and aspirations.