Bachelor of General Studies (BGS) Degree Practice Exam

What is essential in a company's culture regarding business ethics?

1. A focus only on profits

2. The attitudes and practices embedded in the organization

3. Strict legal compliance above all

4. The absence of personal values

The correct answer is: The attitudes and practices embedded in the organization

The focus on the attitudes and practices embedded in the organization is essential for a company's culture regarding business ethics. This choice emphasizes that the ethical climate of a company is created by the collective behaviors, beliefs, and values that shape how employees interact with each other and make decisions. When an organization fosters a culture where ethical behavior is encouraged and valued, it can lead to more responsible decision-making at all levels and promote integrity within the workplace. In this context, business ethics isn't just about following the law or maximizing profits; it involves creating an environment where employees feel empowered to act ethically and are held to high standards of conduct. This cultural foundation can support effective communication, trust among team members, and a commitment to ethical practices that align with the organization’s mission and values. The other options do not capture this critical aspect of organizational culture. Focusing solely on profits can undermine ethical considerations, as it may encourage short-term gains over long-term responsibility. Similarly, while strict legal compliance is important, it is just one component of a broader ethical framework and does not guarantee a culture of integrity. Lastly, the absence of personal values can create a void where ethical dilemmas arise, leading to behaviors that may not benefit the organization or its stakeholders. Thus, the focus should