To set a proper ethical tone, top managements should measure several factors of managerial performance without over-emphasizing profitability or cost cutting.

Question

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Setting a proper ethical tone requires measuring several factors of managerial performance, including but not limited to profitability and cost cutting. However, over-emphasizing these factors may lead to unethical behavior and decisions. Therefore, top managements should balance their focus on different aspects of performance to promote ethical behavior and decision-making.

To Set a Proper Ethical Tone, Top Managements Should Measure