Ethical companies tend to earn higher returns as customers and investors trust and are loyal to them. They also tend to have more creative employees as these employees feel proud to work for an ethical company, and this motivates them to contribute their best. However, there is no guarantee that ethical companies are always more profitable in the long run than companies that engage in wrong-doing.

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Ethical Companies

Question 22

Multiple Choice

Ethical companies:

A) tend to earn higher returns than companies that engage in wrong-doing.
B) tend to have more creative employees than companies that engage in wrong-doing.
C) are guaranteed to be more profitable in the long run than companies that engage in wrong-doing.
D) All of these.
E) Both (a) and (b) .

Correct Answer: