What is the ethical obligation of multinational corporations concerning their business activities?

Multinational corporations have a significant ethical obligation to consider the broader impact of their business activities on various stakeholders, including the environment, employees, communities, and consumers. The rationale for selecting the option that highlights the necessity of generating more good than harm aligns with the principle of corporate social responsibility (CSR).

CSR emphasizes that businesses should operate in ways that enhance society while minimizing harm. This perspective encourages organizations to look beyond just their bottom line and instead incorporate ethical considerations into their strategy and operations. The expectation is that multinationals act as responsible citizens in all the countries they operate, which ultimately contributes to sustainable development and public trust.

Prioritizing profit over ethics, adhering only to national regulations, or focusing solely on shareholder benefits do not encompass the full spectrum of ethical obligations. These viewpoints can lead to neglect of social and environmental issues, potentially resulting in harm to communities and ecosystems. Therefore, regarding their business activities, multinational corporations are ethically bound to ensure their actions generate a positive overall impact rather than merely avoiding negative outcomes.