Corporate Ethical Failures in International Companies: Socio-Value Perspective and their Impact on Society

Authors

DOI:

https://doi.org/10.32461/2409-9805.1.2026.356345

Keywords:

corporate ethics, ethical violations, organisational culture, corporate governance, social responsibility

Abstract

The purpose of the article is to provide a comprehensive analysis of corporate ethics violations in modern organisations and to identify their key consequences for management systems, organisational culture, reputation, and economic sustainability. Methodology. The study is based on the use of general scientific methods (analysis, synthesis, systematisation, comparison) and a logical-structural approach to the classification of ethical violations. To substantiate the consequences, elements of cause-and-effect analysis are applied, which makes it possible to consider corporate unethical behaviour as a complex risk factor affecting management processes, labour productivity, staff stability, and the competitiveness of a company. The scientific novelty of the study lies in examining corporate ethics violations as a multi-level socio-value phenomenon that goes beyond the internal management processes of international companies and exerts societal influence through reputational, informational, and institutional mechanisms. At the same time, the interdependence between the internal and external consequences of ethical deviations in international companies is confirmed, which makes it possible to interpret ethical violations as a factor reducing social resilience, trust, and business competitiveness in contemporary society. Conclusions. The article substantiates that corporate ethics violations have a chain-like nature and may cause long-term systemic consequences: loss of stakeholder trust, reduced productivity and moral climate, staffing problems, increased legal risks, and financial losses. The study emphasises the necessity of institutionalising ethical standards as an element of corporate governance and risk management, ensuring resilience, competitiveness, and responsibility of companies in the modern socio-economic environment.

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Published

2026-03-31

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