A great deal has been said and written about the importance of ethics in business. Less, however, has been said and written about why, in commercial terms, ethical practice is central to most businesses’ long-term profitability in the 21st century. There are most certainly good moral reasons why ethics in business are important. There are […]

A great deal has been said and written about the importance of ethics in business. Less, however, has been said and written about why, in commercial terms, ethical practice is central to most businesses’ long-term profitability in the 21st century. There are most certainly good moral reasons why ethics in business are important. There are also excellent commercial reasons, and the importance of those commercial reasons will only increase in the years ahead. Beware the Friedman – Sinek false dichotomy. In his recent book, The Infinite Game, self-appointed guru Simon Sinek is critical of Milton Friedman’s view, expressed in the 1970s that – the sole purpose is to generate profit for shareholders. Characterising this as a ‘finite’ and therefore limiting view of business, Sinek suggests that businesses that take a longer-term perspective with an ‘infinite mindset’ will generate superior returns to shareholders over time. While I appreciate Sinek’s point, he is…