The Importance of Business Ethics | Erich Merkner

Business ethics determine what behaviors are acceptable for staff members in a business, helping improve their integrity levels and gain trust from investors and customers. Having proper business ethics is one of the most critical determinants of how successful a business will become. The main benefits of practicing business ethics in an organization are:

Governing employee’s behaviors

Employees in businesses with a well-defined code of ethics are most likely to adopt business ethics in their daily work. Employees of companies with strong ethical cultures are most likely to do their jobs with high levels of integrity and are more equipped to tackle ethical issues. Businesses should come up with ethics programs to be practiced by all departments and incorporate them into business operations. A well-curated ethics program will define behavioral expectations and establish policies to deal with employee misconduct, which will help alleviate business risks by promoting better decision-making.

Strong business ethics boost a company’s profitability

Business ethics make a business gain trust from potential and existing clients. Customers prefer to remain loyal to businesses with a solid ethical culture instead of unethical ones. This customer support strengthens a company’s brand and increases its sales. Formulating a perfect ethics program puts a company in a better competitive position, resulting in more profits and better performance on the stock market. Unethical businesses have been found to experience losses, lose popularity, and suffer from failed business partnerships, leading to less profitability.

Ethics are a vital skill for business leaders

Following the evolution of the business model through technology, it has become easier for stakeholders to tell between ethical businesses and unethical ones. Enterprises are now committing more time to teaching their employees the importance of ethics since it is easy to lose their publicity through digital communication in case of any misconduct. After all, now it can only take one social media post to ruin a company’s reputation. It is believed that the importance of applying business ethics will only continue to grow, so many businesses are now keen on hiring highly integral people who will sell the right company image to potential clients and investors. Company leaders who practice business ethics will most likely motivate their employees to do the same, building a robust ethical culture.

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About Erich Merkner

Erich Merkner was born and raised in Indiana, and has had an interest in commercial, residential, and industrial construction for as long as he can remember. After completing his carpentry apprenticeship at the local 599 Indiana Kentucky Ohio Regional Council of Carpenters (IKORCC), Erich went on to continue his education at the Ivy Tech Community College, wherein he graduated with an Associate's Degree in Applied Science, where he majored in Construction. He's been certified by the U.S. Department of Labor, and has been in the trade for quite some time.

Erich Merkner has also found a home in Real Estate in addition to his love of Construction. He immediately began purchasing and investing in big properties, but quickly switched his focus in Real Estate to assess and work with the gap in the market regarding Green Initiatives. This is where Erich learned that he can invest in and construct incredibly eco-friendly households that are a better quality, rather than purchasing a new house. Erich jumped into the prospect of renovation and rehabbing a new house, thanks to his extensive background in carpentry. His main goal is to get a house to a 100% energy-efficient rating by combining and harnessing different energy sources in the home. This, in turn, saves people more money and hopefully generates an energy surplus. Erich is passionate about sustainable living, and constantly promotes the idea that electric companies should compensate consumers to adding to the energy grid.