The Evolution of Business
OMM 640: Business Ethics and Social Responsibility
September 4, 2013
The Evolution of Business
Since the term “business” became a word everyone was familiar with, the purpose and principle behind business ethics and values was created. Even though no one in this day and age can be 100% sure how businesses were created, and how entrepreneurs were able to provide a sense of stability for themselves and their families, we can see how they evolved; the companies we know today would not exist without the men and women who created businesses throughout history. Over the last several decades, companies have developed a ...view middle of the document...
For many, the 1970s was a decade of pessimism. It opened with a recession in 1970 and the painful ending of the Vietnam War.
According to the Bureau of Labor Statistics:
“Both the civilian unemployment rate and the rate of change in consumer prices deteriorated in the second half. Between 1970-74, the average annual unemployment rate was 5.4 percent, while the average annual change in the Consumer Price Index (CPI) was 6.6 percent” (Schwenk, 2003, para. 3).
Needless to say, the 1970s were hit hard with multiple dilemmas and were still able to struggle through. Throughout the human rights issues that surfaced, the values movement in the late 70s began to move ethics from compliance orientation to being centered values. After the infamous Watergate Scandal coming to an end in 1974, it is no surprise why people were so concerned with the ideals and principles behind personal and business ethics to begin with, but fortunately the 80s brought on some much needed changes that would better the future.
The 1980s brought more scandals and illegal practices to business communities that the government felt it was necessary to institute a U.S. Code of Ethics for the government, and the Ethics Resource Center (originally founded in 1977) continued to make some major changes not only to develop business in normal society, but develop ethics in government services as well, but it was not until the 1990s when new ethical challenges were presented and the implemented ethical changes were revised to accommodate the oncoming issues.
There were several issues that were raised some concern in the 90s, several which included fraudulent business activities and cloudy business decisions. Throughout the 90s and into the last decade or so, the economy has been put through some strenuous situations that involve unsafe work practices in third world countries and increased liabilities for corporations such as the tobacco companies and chemical plants around the nation.
Occurring more in the last decade, we have been dealing with cyber crimes, privacy issues, and international corruption, and financial management troubles within certain companies. However, laws have been created in order to handle such economic troubles, and although the ethical ramifications have proven to cause a bind on our economic and financial futures we have managed to find a balance to keep up with the evolution of business.
Many people live by the philosophy “learn from your own mistakes”, and that is a true personal statement as it is a business one. However, if an individual is a first time business owner, then he or she is unable to learn from his or her own personal mistakes, but the individual can learn from others. After the Civil War, the country expanded westward and the Industrial
Revolution kicked into high gear. The “robber baron” business owners created huge enterprises – some of them monopolies – and gained much political clout. In response, the U.S....