Firms with high ethical standards are more likely to meet long-term profit goals than firms that behave unethically.

Question

Quizplus · Accepted Answer

Firms with high ethical standards are more likely to build trust and strong relationships with stakeholders, such as customers, employees, and investors, which can lead to long-term success and profitability. Unethical behavior, on the other hand, can damage a firm's reputation, erode trust, and harm relationships, ultimately impacting its ability to generate sustainable profits. Therefore, ethical behavior can contribute to a firm's long-term success, while unethical behavior can hinder it.

Firms with High Ethical Standards Are More Likely to Meet