Business Law and Ethics-The Relationship between Law, Business, Ethics and Economics
In “Business, Law, and Society: The Systems Approach to Law and Management,” Constance Bagley presents a systems approach to law and management. This system explains the effect of public law on a competitive environment as well as the resources of firms. The author also demonstrates how a manager can become astute at using the law to exploit opportunities and develop a firm’s value proposition. Furthermore, the article discusses how a manager can use his or her legal knowledge to select and even perform some of the value chain activities. Constance Bagley goes further to describe the social context within firms operate. According to the author, it is very important that managers understand both the external and internal environments. This is because it ensures that they allocate organizational resources efficiently.
On the other hand, “Whats Business For?” questions the objectives and actions of major organizations. The author of the article also questions the actions of the executives of major corporations. Charles Handy, the author of the article, aims at creating awareness among stakeholders of major business corporations such as Enron and WorldCom on the issue of responsibility. He questions the intentions of major corporations and suggests that stakeholders start questioning top management. According to the author, executives are no longer protecting the interests of stakeholders but are pursuing their personal interests for selfish reasons. This is because there has been an increase in the number of major corporations involved in scandals. Consequently, the public has lost its faith in top management. Members of the public and most of the stakeholders no longer trust the intentions of top management. Therefore, he suggests that businesses should reexamine their actions and intentions to restore public confidence.
