Presented by: Aby, Alex, Anca, Gevanya, Simrun,

Tabitha

‘Ethical business culture can only be created by

strong regulation’

BRIEF OVERVIEWOur definition of Business EthicsTwo Sectors: Banking and Consumer

Goods & RetailAlternative Methods of RegulationAre alternative methods more effective

than strong regulations?

WHAT IS ETHICAL BUSINESS?

Businesses that take into consideration:

Environmental impact Commitment to community Diversity Morally Correct

A PROPOSED ETHICS TEST

Transparency Effect Fairness

ETHICAL BUSINESS CULTURES?- Banking -

UNETHICAL BANKING PRACTICES Usurious practices Speculative Banking Financing Arms Manufacturing

and Trade Financing and Supporting

Totalitarian Regimes Environment/Ecological Impact

SO WHAT'S BEEN DONE ? Basel III (Third Basel Accord) –

2009

Banking Structural Reform – 2012/2014

The UK Banking Reform/The Financial Services Act – 2013

A Financial Policy Committee (FPC)

A Prudential Regulatory Authority (PRA)

A Financial Conduct Authority (FCA)

HOW EFFECTIVE IS IT?

Issues of unethical and overly risky behaviour remain

Increased evidence of unethical behaviour

Regulation influence culture, but isn't sufficient to creating ethical business culture.

'Soft' issues are vitalBank leaders need to intervene

ETHICAL BUSINESS CULTURES?- Consumer Goods & Retail -

UNETHICAL RETAIL PRACTICES

Environmental Impact

Sourcing of Products

Treatment of Employees

Impact on the ‘Gig-Economy’

False Advertising

SO WHAT'S BEEN DONE ?

Sales of Goods Act 1979

Consumer Rights Act

2015

Consumer Protection

from Unfair Trading

Regulations 2008

ANY ALTERNATIVES TO REGULATIONS?

Internal Codes of Values Stake-holder pressure Stronger Corporate Governance Industry Watch Dogs Ombudsman

CONCLUSION

Can ethical business culture only be created by strong regulation?

Alternatives required if an ethical business culture is to be maintained.

Thank you! ANY QUESTIONS?