Answered Essay: What are the REASONS ethical issues occur in international business and b) what

What are the REASONS ethical issues occur in international business and b) what international managers can do to try to ensure ethical and socially responsible behavior?

Expert Answer

a) Below are the reasons ethical issues occur in international business –

1. Difference in the employment policies and practices across countries and the companies.

2. Difference in the labor laws and regulations, human rights of the countries in which the firms are operating in

3. Difference in environmental regulations and business establishment related regulations

b) Below is what international managers can do to try to ensure ethically and socially responsible behavior –

1. Understand the local business practices, consumer preferences etc.

2. Understand the law of the land, labor laws and regulatory practices to which the firm needs to comply

3. Firms need to ensure that they follow equal rights to employees irrespective of the countries in which they operate

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