ABSTRACT
The separation of ethical behavior of individuals from that of organizations is somewhat artificial since, "Real persons (subject to the code of ethics) in turn establish and implement policies within the business structures". In the 1970s, a number of prominent American companies were ensnared in foreign bribery scandals. As a result, the Congress enacted the Foreign Corrupt Practices Act of 1977 (FCPA). A broader view of business ethics includes duties owed to stakeholders, that is, the larger group of people that are significantly affected by unethical acts of business organizations. This expansion is also somewhat vague since unethical acts by businesses that pollute the environment affect the public at large and are therefore in violation of the social contract. In addition to the ethical questions surrounding the manufacturers, some of the US distributors of the Chinese drywall did not come forward when the issue was first reported. That would have avoided the expansion of the problem to so many people.
