What is Business Ethics? Business ethics refers to the principles, values, and standards that guide the behavior of individuals and organizations in the business world. It is the study of how business decisions and actions should be made in an ethical and responsible manner. Business ethics involves considering a wide range of factors such as social responsibility, fairness, honesty, transparency, accountability, and sustainability in decision-making and actions. Ethical behavior in business includes treating employees, customers, suppliers, and the wider community fairly and with respect, avoiding conflicts of interest, being truthful and transparent in communication, and complying with laws and regulations. Business ethics is important not only because it promotes a positive reputation for the organization, but also because it can contribute to long-term success and profitability by building trust and loyalty among stakeholders.