Business CaseEssay Preview: Business CaseReport this essayAlan Malachovskis article tell us about evolyuschii in business for very interesting in his article “Morality and competitive advantage,” where he tells what evolutionary Paradigm and how the business world often turns a blind eye to the moral justifying phrase – survival of the fittest.
Alan Malachowskis theory of The Evolutionary Paradigm has been interpreted amongst evolutions test for survival. The test measures how the most competitive business is bound to succeed the weakest organization within the trials of the marketplace. Evolution dictates how society will view companies that have a competitive advantage as being better than others within the same business line. When new competitors appear, the competition forces a company to either improve or become extinct and through this evolutionary idea, it was believed that in order to be a successful business in todays market, you have to evolve and do whatever necessary to succeed. Malachowskis view on the evolutionary paradigm sheds light on the how business use their evolutionary beliefs to oversee, if not, completely ignore moral behavior. Moral competitive behavior should drive all businesses to develop strategic marketing and advertising skills with the goal to surpass its competitor and create a niche for its services and products.
A healthy rivalry can generate consumer interest for the product and services offered due to the competition between businesses. This usually produces publicity and it can generate a more perceived need or desire. A key element to rise above the competition is to provide high-quality service and putting the consumers needs first. Competition can be effectively combated by emphasizing on how different and exclusive the features of the business products and/or services are. By stating how you are different from a widely known competitor, you can often more easily express your differentiation.
Alan Malachowski focuses the morality and competitive advantage in three key issues: The Nature of Business, Special Moral Responsibilities and Moral Character. According to the evolutionary viewpoint, the Nature of Business should be left to evolve in their own style in line with their intrinsic competitive capacities. Conversely, the author stresses that such moral constraints causes the business world to act selfishly and restricts an entity from achieving its potential within the competitive environment. When a company adapts ethical considerations, consumers, suppliers and communities are more likely to incline towards the business and consequently, the moral function of a company aids as a profitable increase since their products and services are beyond the matter of just doing what is right. Malachowskis theory on the Nature of Business believes that moral considerations can potentially improve a business in a competitive advantage because it earns the trust and collaboration of the stakeholders and disagrees with the past beliefs that a company will naturally evolve based on a given situation when it arises.
The next of Malachowskis issue is the Special Moral Responsibilities. An entity is morally responsible for an injury if they caused it and they knew what they were doing, or if they could have prevented it. During the last twenty years or so, there are a number of companies that have been held morally responsible in the eyes of the public for injuries that their suppliers have inflicted on some third party. Companies in the apparel industry, toy manufacturing, electronics assembly, and pharmaceutical industry, have been perceived as accountable to the mistreatment of their suppliers, although they have not been directly involved. Even if many companies try to prevent injuries by doing onsite inspections, many times a product miscarry its intention, causing harm to the consumer. Under these circumstances, it is the organizations responsibility to recall the manufactured product and reimburse the clients expense. Again, by doing so, stakeholders consider the business practice morally responsible.
Malachowskis final point is the Moral Character and the moral significance of their organizations. The Evolutionary Paradigm believes that greed and self interest can produce a financial outcome and competitive advantage in the marketplace. Moral character is considered a disadvantage as it misleads to poor productivity. However, Malachowski considers the concept of moral character positively as it can imply a variety of attributes such as loyalty, integrity and honesty. From the perspective between business practice and moral character, society views this relationship as the primary cause of performing good or bad acts, as each act requires a triggering cause responding to external circumstances, normally in the form of a sense-impression. If a business is unmoral and solely seeks benefits without considering the human character, then this action may ultimately influence peoples personal lives as well.
As a final point, I agree with Alan Malachowskis key issues on morality and proper ethics in the business competition because when a company adapts an acceptable moral performance, such conduct gains my conviction that the entities goods and services are credible, safe and dependable. Companies that strive to engage in moral ethics and behavior benefit from a good corporate reputation and hence, create a reputable status, and this in turn, increases their competitive advantage by achieving the support of stakeholders in time of controversy. The organizations also benefit from the value in the marketplace and the consumers preference of doing business with them, even though other companies products are available at a comparable cost and quality. If an organization is well recommended by a main customer, potential customers and suppliers will be more inclined
The ethics of the investment process
Evaluation by the community
One of the main motivations for engaging in a decision-making or review process is to ensure that all stakeholders and stakeholders can participate in a transparent, impartial and cost-effective decision to protect the long-term viability of the firm. The evaluation has a strong negative connotation in the community, such as “no one will trust those who don’t act” (Petersen 2008). As a result, many ethical-practice professionals are reluctant to engage in any meaningful ethics-evaluations when they believe a firm is too competitive or does not have a good reputation/trustworthiness.
One of the key strategies to improve the transparency of ethics-review processes is to have the community, regulators, government and professional groups take a look in to the ethical-practice activities of small and medium-sized companies and evaluate them. This evaluation can then provide a more in-depth understanding of the ethical implications. When the reviews are done, firms should, as an example, establish a standard review process in a place where they can work within the parameters set by the relevant stakeholders to take further decisions. An example of a successful ethics-review process in which the quality and accountability of the company is made clear clearly includes any issues concerning its conduct or the ethics-review process. Also, there are also public benefits in establishing a “good reputation” in a public forum: public service announcements, public comments and more and thus, a longer lifespan in private.
Conclusion
The main objectives and processes being implemented in the business competition are: (1) identify the areas in which a public process can get off the ground; (2) identify the business-industry ethics-review procedures that can be introduced that can help to strengthen the company’s reputation; (3) provide the community with a comprehensive guide on ethical standards and practices in a publicly accessible format; (4) build a well-equipped professional body to implement any changes necessary to improve efficiency.
An example of ethical-practice practices to improve business performance by private companies would be if they were implemented by setting strict procedures so employees are able to follow the recommendations of the company for their performance and so the process is transparent. An example would be a standardised process that is designed to make it very easy for employees to report problems as well as for their compensation committees to look into each problem and to take corrective action.
While the process could improve results of a business, there would be a trade-off between the quality of its reputation and the number of problems that may have occurred. It should be noted that the evaluation of ethical conduct in both the commercial and private firms will help to mitigate some of the risks that would take place in an unethical world. In conclusion, the process provides the environment in which companies can compete effectively and it will also help to improve compliance and cost reduction. It allows companies to manage their waste well to maximise profits and makes them more attractive to investment as a whole.
Notes
See Also ‘How Do Companies Use Ethical Practices to Reduce Risk?’ by Professor David C. White at Georgetown University and Professor Nicholas V. Chisak at the University of California, Berkeley.
Awards of Excellence:
The Best Practices Project
The Ethical Culture Foundation of Silicon Valley (ACF)’s Ethical Practices Foundation awarded the Ethics of the Business Competition the 2017 Innovation in Public Policy prize for its role in reducing the risk of ethical issues associated with the work