Recognizing ethical issues is the most important step in understanding business ethics. An ethical issue is an identifiable problem, situation, or opportunity that requires a person to choose from among several actions that may ① be evaluated as right or wrong, ethical or unethical. ② Learn how to choose from alternatives and make a decision requires not only good personal values, but also knowledge competence in the business area of concern. Employees also need to know when to rely on their organizations’ policies and codes of ethics or ③ have discussions with co-workers or managers on appropriate conduct. Ethical decision making is not always easy because there are always gray areas ④ that create dilemmas, no matter how decisions are made. For instance, should an employee report on a co-worker engaging in time theft? Should a salesperson leave out facts about a product’s poor safety record in his presentation to a customer? Such questions require the decision maker to evaluate the ethics of his or her choice and decide ⑤ whether to ask for guidance.