Ethics simply means what is right and wrong. While discussing business ethics right and wrong is discussed in terms of organizational decision, policies and rules and regulations. Ethical environment is so important to be developed in the organizations. It provides guidelines how to balance our interest and responsibilities. The aim of this investigation is to examine the impact of business ethics on organizational performance in Public Listed Companies in Malaysia and to see how the factors of business ethics contribute in this. Public sector is selected in this study because of its development day by day and not so much research is done in this sector on this topic. In this study, business ethics, in terms of self-interest, company profit, efficiency, social responsibility and rules and standard operating procedures are taken as independent variables and organizational performance as dependent variable. Since the unit of analysis was individual, individuals from three service PLCs were selected randomly as respondents. The total of sample size of the three organizations are 382. The result of pilot test confirmed that all instruments are reliable to be used. Data was collected using a questionnaire. Questionnaire is selected as an instrument for collection of data and for the sake of analysis of that data, SPSS is selected. With SPSS’s help regression analysis is applied. Different service organizations are taken for the investigation of the study. Based on the results, the study found a high correlation and significant relationship between business ethics and organizational performance in Malaysian firms.
