Running head: ETHICAL AND SOCIAL ISSUE
1
Ethical and Social Issue
Thactha Woods
Liberty University
Running head: ETHICAL AND SOCIAL ISSUE
2
Chapter 11.1 Ethical and Social Issue- Finance
The restrictions that are placed on stock exchange by NASDAQ, is the main reason why
firms are under intense pressure to improve financially. Companies are required to meet rigid
deals due to these restrictions and guidelines that are normally hard to accomplish in the first few
years an organization operates. IPO citations are introduced by the market after the company has
been recognized as a public firm. These IPO citations are a requirement that involves the
company issuing public offerings to institutional investors, who then uses these shares as sale to
the public. Large and small cap markets are known for using these methods to convert private
companies into publicly traded enterprises. In addition to raising expansion capital and earning
revenue from private investors. Another thing that can impede the organization is initial public
offerings; this requires the company to have clear and concise knowledge of their main business
infrastructure. Situations like these may result in the development of ethical issues as managers
are under intense pressure from their executives to find a solution to meet the standards for
operation.
Biblical perspective
The bible reveals that finance should be used as a social good as it relates to love and
stewardship. Finance plays a vital part in God’s purposes for his people. Finance was created
originally to allow people to use their resources wisely and increase human productivity along
with sharing resources. In other words, improving finance should bring glory to God as the
people are serving as stewards and caring for each other with love.
The bible states, “You shall not have in your bag two kinds of weights, a large and a small. You
shall not have in your house two kinds of measures, a large and a small” Deuteronomy 25:13-14.
Running head: ETHICAL AND SOCIAL ISSUE
3
The focus of this scripture is honest transactions among firms as well as regulations. In the
ancient world, it was very easy for crooked merchants to exploit other merchants because of
restrictions and the different scales used to measure each good. This verse intertwines with
Proverbs 11:3 –“The integrity of the upright will guide them, but the crookedness of the
treacherous will destroy them.” This scripture describes the virtues people are supposed to have
to show proper business ethics. Christians should demonstrate the character traits of God in
business environment and everyday life. In Genesis there is the creation and God created: days,
season, years and more. This shows that God created time in which work is to be done.
Theology of work (2018) states that finance was originally a good intention by God but the fall
of humanity has created a blemish on everything in creation. Sin has ruined the ability of human
to be stewards and show care in financial situations. Greed and lying have a major impact on
financial institutions as they fail to do good like are intended to due to restrictions which causes
firms to quickly adjust financial improvements. The Bible verses above demonstrate situations
where challenges were present like the challenge for firms to improve financial when there are
restrictions or short timing for new firms. According to Vondey (2010) the present world grows
more complex as the years go by. This leads to new restrictions and regulations that a firm has to
follow to achieve financial growth. As stated in Proverbs 11:3 a firm that build its foundation on
integrity will last long even though they are faced with intense pressure. In the biblical narrative
everything was created to bring glory and honor to the Lord such as improving finance. As it
relates to the creation of time, everything happens in a specific period once goals are set
accordingly. A firm does not achieve financial growth as soon as it is accepted as a public firm.
Financial improvement should happen over a period of time where managers are not likely to
conduct unethical behavior.
Running head: ETHICAL AND SOCIAL ISSUE
4
As stated earlier honesty, integrity and industry are significant virtues in every realm of business.
One must always strive to be Christ like in every situation, in doing so one must learn what is
right. People can acquaint to the information given to the world by God in his scriptures. The
ethical foundation in the bible is what firms need to follow to improve financially, these are
principles for guidance. A second thing is to make the right choices as it relates to investment.
The action a company takes should reveal God revelations and what he would’ve done in that
situation. A firm should do business with an attitude of gratitude that even if they are not in the
position where they are supposed to be, there is still an act of gratefulness. This power comes
when there is a relationship with God, the people acknowledge their dependence on the Lord and
that is how they are expected to live.
A way is only good and right if it demonstrates the traits of God. One must always depend on
him and his revelation to better understand ethics. The Lord revealed himself and now his
people should learn more about him and live by his revelation as it relates to effectively
increasing finance when under pressure.
Running head: ETHICAL AND SOCIAL ISSUE
5
References
Vondey, M (2010) Journal of biblical perspectives in leadership. Retrieved from:
https://www.regent.edu/acad/global/publications/jbpl/vol3no1/JBPLV3I1.pdf
God’s purpose of Finance (2018)Theology of work . Retrieved from:
https://www.theologyofwork.org/key-topics/finance/gods-purposes-for-finance
