BUSINESS ETHICS AND ITS IMPORTANCE IN BANKING INDUSTRY

Business ethics is defined as "the process of evaluating decisions, either before or after, with respect to the moral standards of society."Core ethical values include honesty, integrity, fairness, responsible citizenship and accountability. In short, business ethics means "choosing the good over the bad, the right over the wrong, the fair over the unfair, the truth over the lie". Observing the law is one basic professional requirement for banks. They must also pay close attention to moral concerns in order to make the right ethical decisions on a day-to-day basis. The upholding of an ethical culture in banking is of critical interest to regulators, banks, employees and customers alike. Banking ethics are the moral or ethical principles that certain banks chose to abide by. There isn’t an ethics ombudsman or a universal code of ethical conduct, but the banks that vaunt their ethical credentials vet the ethical standing of potential investors and partners and also choose the companies that they in turn invest in with their ethical policy in mind. In this paper I would be discussing the concept of Business Ethics, and its importance in banking. Also the global viewpoint of Business Ethics in different countries. How Business Ethics is viewed in terms of the view point of the employee, customer or management. Also I would be analyzing the importance of Business Ethics on the Banks in general, which includes a specific study of the Business Ethics in the Banks in Mangalore