Abstract
Trust is the foundation for investors. To keep their trust intact, managers must have ethics. While doing business, managers must treat investors’ money as their own. Business ethics can ensure good corporate governance, while a lack of it leads to business failures (Enron, Satyam, ILFS, DHFL). When business ethics is intact, the quality of internal control is strong and corporate governance plays a paramount role. This conceptual article accentuates the important role that ethics plays to build trust for effective governance from the corporate perspective besides dwelling on important issues, challenges, and implications.
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