Explain how a business might benefit from acting ethically.

Mark scheme

Marking points from the official mark scheme (Oct/Nov 2017). The mark or mark type is shown in brackets.

1. [5] Answers may include: Acting ethically is regarded as doing the 'right thing' – taking business decisions against a background of certain moral principles – morally correct behaviour. In the short-term there may be a 'cost' involved in acting ethically – only doing things in a certain way or not doing certain things. In the long-term there could be substantial benefits: avoid negative publicity; retain customer loyalty – retain/gain sales through high reputational perception; attract ethical customers/investors; attract staff/retain staff; gives a competitive advantage; improved brand and business awareness.