Ethical principles in business are not materially different from ethical principles in general because business actions have to be judged in the context of society’s standards of right and wrong. There is not a special set of rules that businesspeople decide to apply to their own conduct.
Business ethics involves the application of general ethical principles to the actions and decisions of businesses and the conduct of their personnel. While most company managers are careful to ensure that a company’s strategy is within the bounds of what is legal, evidence indicates they are not always so careful to ensure that their strategies are within the bounds of what is considered ethical.
It’s incumbent on strategic managers to recognize conditions that give rise to unethical business strategies and behavior.