SPECIALIZED SUBJECT-ABM

BUSINESS ETHICS AND SOCIAL

RESPONSIBILITY
_____ Semester, SY _____________
QUARTER 1, MODULE 7
WAYS TO IMPROVE
BUSINESS PRACTICES

Business Ethics and Social Responsibility

Self-Learning Module
Quarter 3 – Module 7: Ways to Improve Business Practices
First Edition, 2021

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 WAYS TO IMPROVE
LESSON BUSINESS PRACTICES

INTRODUCTION
Hello, Senior High learners! In this lesson you will learn to:
Leaning Competency:
1. Generate ways to improve business practices guided by philosophic, belief systems and Filipino
Values.

This module deals with the fundamental concepts, principles, and practices of ethical standards in the
business environment. It combines the theoretical foundations of setting up business enterprises with the
conduct of entrepreneurial activities in the context of one’s accountability and social responsibility. Also, it
discusses ways to improve business practices which will help you understand the classical philosophies
specifically, the impact of belief systems, and the Filipino value system. So, relax and enjoy learning.

LESSON AND PRACTICES

Discussion of the Lesson

The philosophies of these classical philosophers have great implications on

business and are the foundations of the principles of the business ethics.

Socrates – He is known for his classic philosophy, “Have the Courage to

Disagree”. He is best known for the Socratic method of question and answer. The
Socratic method is a way of thinking that allows individuals to define their own purpose
for learning. In business, administrators ought not to oblige the group when it comes
to decisions that are against their principles.
Plato – Plato’s classic philosophy “The Power to Rule”. His prime belief was that
a person must study themselves in order to find out their level of character. He is
admired for his choices regarding the matter of the real world. In business, it is
constantly vital to know the strengths and weaknesses of individuals.
Aristotle – Aristotle’s classic philosophy “Let People Seek Fulfillment”. He was
the most practical and business oriented of all philosophers. In business, the
association must give and condition that is beneficial to human development and
satisfaction.
Confucius – The most famous for his golden rule: “Do not do unto others what
you do not want others do unto you”, and his famous classic philosophy is “Live a
Contented, Moral and Happy Life”. Confucian values can benefit in the creation of
business leaders who are true leaders of the society.
Plutarch – The ancient Greek historian and educator, understood that humans
are amazingly social creatures, who constantly observe the people around them and
imitate them. He is famous in his philosophy, “Be a good Role Model.” In
organizational terms, it means, what you say to your employees is less important than
what you do. They will watch how you behave, how you treat others, how you cope

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with pressure and whether you follow through on your promises, and they will imitate
you, they will follow your lead.

Epicurus – “The Art of Happiness.” Epicurus was a fourth century Greek philosopher
who taught, rather shamefully, that the aim of life was simply to be as happy as possible
here on earth. He wanted that human are very bad at being happy, and very good at
inventing reasons to be miserable. Today, some companies are embracing Epicurus’
philosophy, and trying to teach their employees that art of happiness.

Immanuel Kant – One of the most influential philosophers in the history of Western
philosophy. He advances the theory of deontology or deontological ethics, the theory
of duty and obligation.

Influence of Belief Systems in Business Practices

A belief system is a set of principles or tenets which together form the basis of a
religion, philosophy, or moral code. Religion is defined as a set of beliefs concerning
the cause, nature, and purpose of the universe, especially when considered as the
creation of a superhuman agencies, usually involving devotional and ritual
observances, and often containing a moral code governing the conduct of human
affairs. It is a systematic set of beliefs that influences human behavior.
There are eight (8) major religions in the world, namely: Judaism, Christianity,
Islam, Hinduism, Buddhism, Confucianism, Taoism and Shintoism. Each of these
religions has its own organized systems of beliefs, ceremonies, and worship. Each
religion offers positive endeavor in both lives and in business. In a global sense,
business means dealing with people of different religions.
 Judaism – The Jewish business ethics is illustrated by the widely quoted
Talmudic tradition that in one’s judgment in the next world the first question asked is:
“Were you honest in business?” Thus, in the treatment of workers, the Jews are obliged
to pay their workers on time, pay their workers a living wage and treat their workers
with dignity and respect. On the side of the workers, it is important not to steal company
time.

 Christianity – Christian businessmen and women follow the stewardship

doctrine.
Accordingly, as God appointed mankind as the stewards of the earth, the Lord
entrusted them all his resources to manage them with care and skill. Christian business
professionals depend on the Lord’s leadership for their business by asking blessings
through prayer to provide strategic direction, resources, earnings, etc. In conducting a
business transaction, they must be fair, like paying the workers with fair wages and

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appropriate work conditions. In the life of Christian, hard work is essential in conducting
business successfully.

 Islam – Prophet Muhammad’s doctrine on honesty and kind dealings with

customers
are the secrets of success of business. According to Islam, no fraud or deceit, sellers
must avoid making many oaths when selling merchandise. Mutual consent is
necessary. They are also strict when it comes to weights and measures. The prophet
also prohibited monopolies and a free enterprise is encouraged. Billboard merchandise
to increase the price is not allowed. Islam also requires being honest in dealings with
Muslim and non-Muslim alike.

 Hinduism – The third religion in the world by a number of believers mainly in

India.
The Tata Group is the most respected business house in India. The five core Tata
values describe their business processes. 1) Integrity is to conduct business fairly with
honesty and transparency. 2) Understanding is to care, show respect, compassion and
humanity for colleagues. 3) Excellence is to constantly strive to achieve the highest
possible standards of work in the quality of goods and services. 4) Unity is to work with
colleagues and 5) Building a strong relationship across the group, and with customers
and partners around the world, based on tolerance, understanding and mutual
cooperation and to continue to be responsible.

 Buddhism – Work hard, no excuses, to those who do not want to work, they let
their
chance pass by. A good work ethics and a great attitude, very little will stand in your
way. If you work hard, rest well, is one of the values of practicing. Buddhism is a focus
on centering and balance. The Buddhist practice of mindfulness can be a key to good
business. Remember to be calm, and not to possess too much about positive or
negative feedback.

 Confucianism – Confucian ethics are described as humanistic. Confucianism is

the
deepest and enthusiastic thought system in traditional Chinses culture. It is not
surprising that traditional Chinese business culture was sincerely associated with
Confucianism.

 Taoism – Taoists believe such good behavior is an essential part not only of self-
improvement but of improving the world as a whole. Taoism suggests that the perfect
way for a leader to run the country is by example. A good leader is one that the people
respects and whose instructions are willingly followed.
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  Shintoism – Work is understood to be a self-expression of the great life force.
Japanese people try to join themselves with the great life force by concentrating on
their own work. For Japanese, the company name is more important that the job title,
the community they belong to is much more important than what they do.

Influence of Filipino Values in Business Practices

Most Filipinos are connected together with their beliefs, culture, tradition,
characters, traits and common values. Values are first taught at home and are adapted
and implemented in the society. It plays a vital role on the way we live, decide, choose
and interprets our daily activities in life. In ethics, values represent the degree of
importance of something or action, with the aim in determining what actions are best
to do or what to say is best to live, or to describe the importance of different actions.
Filipino values refer to the set of values that are substantial and motivated with one’s
culture. Like family, relatives, ancestors or friends. It preserves social harmony that
promotes connection, unity and may understand set of people. It includes the
incomparable collection of dependable philosophies, moral codes, ethical practices,
etiquette, cultural and personal values encouraged by the family or the society they
belong.
The management and sustainability of the business depends on the values and
beliefs of the proprietor. In the Philippines, Filipino entrepreneurs may implement rules,
practices and principles based on their values they had grown up with their family,
learnt and adapted.
The most popular Filipino values that influence business practices are the
following:

Pakikisama (Fellowship)
The word “pakikisama”(fellowship) comes from the word “sama” and prefix “paki”,
and literally means to accompany someone. Fellowship is used to maintain good
relations with others, and the fellowship is associated with adaptation, dealings and
harmony. In business practices, the proprietor must establish “pakikisama” to their
employees, suppliers and customers because it indicates closeness to the others that
would create a sustainable growth relationship.
Hospitality
Hospitality is the relationship between a guest and a host, wherein the host
receives the guest with goodwill, including the reception and entertainment of guests,
visitors, or strangers. Entrepreneurs should master on how to treat and provide
excellent services on welcoming their suppliers and customers to create a good

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reputation and relationship since hospitality plays the fundamental role to increase or
decrease the volume of sales, acceptance and production growth in a business.

Family Orientation
 It refers to the family in which a person is raised. It includes one’s parents and
siblings. It may also include grandparents or other relatives. It is a primary platform for
which one encounters early socialization experiences. Values and beliefs can be
learned from the family that will instruct to a child as he/she matures into an adult. The
Filipino valued their family and being closed to one another until the last of their
generation. Most of the successful entrepreneurs acquired and gained this ample
knowledge in dealing with their business from their family. Consequently, they become
well trained to manage their family business.

Ability to Survive
 A Filipino has a sense of resourcefulness or the ability to survive with whatever
situation or challenges they have. In business, if it is needed to promote and increase
the volume of sales, a Filipino has always the ability to find different techniques,
marketing strategies and ideas to perform and create a product in order for the
business to survive.

Hard work and Industriousness

 Filipinos are determined and persistent to accomplish whatever they have set
in their minds. In business, hard work and industriousness play a vital role to establish
and develop business progress. They need employees who are willing to work
overtime with minimal supervision and resourcefulness comes with a hard work to
serve the business.

Flexibility, Adaptability and Creativity

 A Filipino has an ability to adapt, adopt, and adept in any changes and
challenges in life either in spiritual, social, emotional and physical aspect. In business,
unplanned and anticipated events in market would not disturb the flexibility and
adaptability values of Filipino entrepreneurs. They could easily produce creative
strategy, technique and style to adjust to any challenges and compete with others.

Utang na Loob (Debt of Gratitude)

 It shows duties and responsibility to pay the debts (utang) and return it with
inner self-free will (na-loob) the unsolicited gift or good treatment received from other
people. In business, there are plenty of reasons that may influence the business
practices, either positive or negative outcome that may vary with ethical issues.

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Filial Piety
 To show respect, love, care and support to their elders, parents, relatives and
children. It upholds the affection and display courtesy to the family that most cases are
likely working together in one company; living together in one house; paying the house
bills of their parents. It also takes good care of one’s parents and engage in good
conduct not just towards parents but also outside the home so as to bring a good name
to one’s parents and families.

Padrino (Whom you know System)

 It supports with the strong relationship of people. Most of the job seekers
automatically hired regardless of their qualifications and educational background
through endorsements, political connections, family affiliations (nepotism) or
friendships (cronyism).

Suki
 It shows loyalty and trust relationship between a customer and supplier. It
usually establishes at the market or business. If a buyer finds a trusted seller that offers
a quality product they need, the loyalty and commercial connection of a buyer will be
established to the seller and made several business transactions with their so called
“suki”.

Bahala Na
 The Bahala Na Filipino value shows letting things happen beyond their control.
It shows an attitude of a person that is willing to submit everything to God or leaving
things to happen by chance. Some of investors operate business beyond their control.
They will only believe that the market will accept it if they will “do their best and let God
do the rest.”

Mañana
 It comes from the Spanish word “Mañana” which literally means “tomorrow” or
“unspecified future time.” In business, the attitude that tends to delay the task, putting
off tomorrow what they can do for today or postpone on the things that should be done
right now may reduce volume of sales, loss customer trust and satisfaction, waste
opportunities and disturb the workflow.

Amor Propio
 Is a Spanish word which means “self-love”, a sense of self-esteem or
selfrespect that prevents a person from swallowing his pride and concerned for one’s
reputation. It includes sensitivity to personal insult or disrespect.

PRACTICE EXERCISES
PRACTICE EXERCISE 1:
Directions: Create a certain scenario showing ways to improve business practices guided by different classical
philosophies.

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 PRACTICE EXERCISE 2:
Directions: As future entrepreneurs, you are to observe a classmate or someone you know engage in any
flatforms of business manifesting beliefs system. Write your observation on a separate sheet of paper,
minimum of 200 words.

PRACTICE EXERCISE 3:
Directions: Evaluate and complete the puzzle below by identifying what Filipino value is being described in
the statement. Write your answers on your activity notebook/answer sheet.
Ms. Aiza is a new investor on an online business, she has no knowledge and idea how to deal with
different clients, but she is able to cope with the challenges and established marketing techniques and
strategies on it.
1. Mr. Ken David decided to play online game first and postponed answering his activities on Business
Ethics modules.
2. A farmer works at his farm rain or shine just to earn a living and to support the needs of his family.
3. The driver’s license of Mr. Carlo Andrew is processed immediately by his godfather, an LTO personnel.
4. A mother offers her daughter’s friend food to eat and room to spend the night.
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KEY TO PRACTICE EXERCISES

PRACTICE EXERCISE 1 : Answers may vary

PRACTICE EXERCISE 2 : Answers may vary

PRACTICE EXERCISE 3 :

1. Ability to survive
2. Mañana 4. Padrino 5. ospitality
3. Hard work