Corporate Culture
The shared values, attitudes, and beliefs within a business.
A: What is corporate culture?
The model that prioritises maximising returns for investors.
A: What is the shareholder model?
This theme considers the moral “rights and wrongs” of a decision
A: What is business ethics? pg 121
The type of corporate culture focused on control and formal rules.
A: What is a role culture?
The model that considers the needs of employees, customers, and the community as well as owners.
A: What is the stakeholder model?
monies paid to persuade somebody to do what you want them to.
A: What are bribes? Pg 122
A culture where employees are empowered and decision-making is decentralised.
A: What is a person culture?
Groups of people inside a business that may have a direct interest in its survival and wellbeing.
A: Who are Internal Stakeholders? Pg 113
How employees in the business should respond in situations where they encounter ethical issues.
A: What is ethical codes of practices pg 124
A strong corporate culture can improve this, by aligning staff with company goals.
A: What is motivation or employee commitment?
A sum of money paid regularly by a company to its shareholders out of its profits.
A: What is a dividend? Pg 119
A drawback of ethical decision-making is that it may increase these.
A: What are costs (or prices)?
A weakness of strong corporate culture is that it can make a business resistant to this.
A: What is change?
The UK’s Companies Act (2006) encourages directors to consider stakeholders, showing a shift towards this model.
A: What is the stakeholder model?
The concept of businesses balancing profit with social and environmental responsibility is known as this.
A: What is corporate social responsibility (CSR)?