Ethical Reasoning

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ETHICAL REASONING IN BUSINESS: CASESTUDY
Ethical reasoning is fundamental in any business setting. It ensures business operations run fairly and smoothly. Any business organization lacking adequate ethical backgrounds risk angering potential and loyal clients, alienating employees as well as engage in operations that could hurt the financial position of the company through legal penalties (Priaulx & Ethics, 2013). Using ethical reasoning in business maintains the professional reputation of the entity both internally (with employees) and externally (with the entire business fraternity).
In the case study scenario, we meet Roy, an entrepreneur who runs a music store and one of his loyal clients Evelia. At the beginning, the two have a wonderful business relationship. We see Roy getting out of his means to get whatever Evelia requested. However, these doest last long. Upon finding the Count Basie album that Evelia has been longing for a very long time, Evelia promises to pick it on Friday after ensuring that it is scratch free. The promise postulates that the deal is contractual and legal. Therefore, Roy was legal obligated to sell the album to Evelia. Quite the reverse, Roy fails to deliver his part of the bargain. He sells the album to Oskar double the price Evelia could offer.
There are legal penalties or rather consequences for unethical behaviors of businesspersons. A legal action could be sought as illustrated in the case above. Evelia has a strong case against Roy’s breach of contract. Law of contract requires the performance of agreements promised. The contract comes to life when Roy agreed to keep the album for Evelia. The legal action could see Roy’s music store scrambling down because of the heavy penalty he will be fined as well as the divergence of his clients to his rival Malcolm.