Latin America is a region that allows diverse corporate entities. Numerous prospective businesses may select a broad range of corporate vehicles that suit their business needs. Some of the moral issues affecting this region are corruption and impunity that has been caused by a long period of dictatorship in most countries in the region. The low ethical standards in politics have also deeply affected the economic systems, organizations as well as individuals.
It is imperative for firms to display business ethic to maintain a competitive advantage over other businesses. When conducting business in Latin America, it is very important for businesses to put into consideration the laws that govern the labelling practices. Firms should adhere to the labelling standards to avoid engaging in unethical behaviour. Secondly, businesses should observe quality standards. In case of quality defects, every component on transit is likely to be subjected to several checks which may delay the customer’s product release. In Peru, the products that are imported are subject to testing, inspection and certification before they are allowed to be used in Peru. Another unethical practice that businesses need to avoid when carrying business in Latin America is bribery. The Foreign Corrupt Practices Act forbids the payment of bribes to foreign officials to help in getting as well as retaining business. In Brazil, the penalty for active corruption like bribing is imprisonment. Anyone carrying business in this region ought to avoid bribing to survive in business.
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Conclusively, integrity and social responsibility are key terms in expressing ethical issues in Latin America. Integrity expresses responsibility, honesty, commitment and excellence in work. Integrity therefore, minimizes bribing, defective products distribution and mistreatment of employees. On the other hand, social responsibility enhances social and economic development by ensuring that products do not the community, stockholders and consumers. These semantics of ethics are significant in creating a healthy and competitive business and further enhances the business ethics.
References
Globalaw Limited (2016). Doing Business in Latin America. Retrieved from https://www.globalaw.net/wp-content/uploads/2016/11/7579 on 4 th March 2019 .
World Economic Forum (2017). What are the top risks to doing business in Latin America? Retrieved from https://www.weforum.org/agenda/2017/03/risks-business-latin-america on 4th Marth 2019
