How to behave toward oneself and toward other individuals is a matter of making choices: whether to be friendly or unfriendly; whether to tell the truth or lie; whether to be generous or greedy; whether to study in order to pass an exam or to spend valuable study time watching television and cheat to pass it. These, and all other questions about how people act toward themselves and one another are dealt with in a field of study called ethics. Another name for ethics is morality. Because both words suggest customary ways of behavior, they are somewhat misleading. It had to do with what should or should not be done. Divide practical wisdom into two parts: moral philosophy and political philosophy. They're defined together as a "true reasoned state of capacity to act with regard to the things that are good or bad for man" (Drucker, 1996). One statement of the problem is business organizations, as well as members of society in general, are plagued by the fact that there are liars, cheats, and thieves among us. Liars, cheats, and thieves are not new nor are they likely to disappear. People will do anything and go to whatever extent to get what they want.

Business ethics (also known as Corporate ethics) is a form of applied ethics or professional ethics that examines ethical principles and moral or ethical problems that arise in a business environment. It applies to all aspects of business conduct and is relevant to the conduct of individuals and business organizations as a whole. Applied ethics is a field of ethics that deals with ethical questions in many fields such as medical, technical, legal and business ethics.