Maritza is trying to understand the relationship between what is legal and what is ethical. Tiffany explains that both of these terms are often synonymous in business. Your response is

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03-12-2021
Business

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Maritza is trying to understand the relationship between what is legal and what is ethical. Tiffany explains that both of these terms are often synonymous in business. Your response is

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ewomazinoade ewomazinoade · Answer 1 · 2021-12-07T13:47:27+01:00

My response would be Tiffany is incorrect; a manager's actions can be legal but ethically questionable.

Ethics is a set of morals expected to be imbibed an followed by members of a particular profession. An action is considered legal if the action is in line with what is set forth is the laws set forth.

An action can be legal but not ethical but all ethical actions are legal. Consider a trader in a developing economy. In that country, there is no law prohibiting insider trading so it is legal to carry out insider trading. Even though it is legal, it is ethically wrong to conduct insider trading because a party would be advantaged to the detriment of other people.

Here are the options:

Tiffany is correct; law and ethics are synonymous and should be used interchangeably in business.
Tiffany is correct; whatever is legal is always ethical in business.
Tiffany is incorrect; a manager's actions can be legal but ethically questionable.
Tiffany is incorrect; there is no relationship between laws and ethics except when the board of directors approve an action.

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