Questions: Business cannot expect to be profitable while adhering to ethical principles of conduct.

The answer is False: Business cannot expect to be profitable while adhering to ethical principles of conduct.

Explanation:

1. Ethical Business Practices and Profitability: Numerous studies and real-world examples demonstrate that businesses can indeed be profitable while adhering to ethical principles. Ethical practices can lead to long-term success by building trust with customers, employees, and other stakeholders.

2. Reputation and Customer Loyalty: Companies that are known for their ethical behavior often enjoy a better reputation, which can attract more customers and foster loyalty. For instance, brands like Patagonia and Ben & Jerry's are known for their ethical practices and have a strong, loyal customer base.

3. Employee Satisfaction and Retention: Ethical companies tend to have higher employee satisfaction and retention rates. Employees are more likely to stay with a company that aligns with their values, reducing turnover costs and increasing productivity.

4. Risk Management: Adhering to ethical principles can help businesses avoid legal issues and scandals that can be costly and damage their reputation. For example, companies that engage in fair labor practices are less likely to face lawsuits or boycotts.

5. Long-term Sustainability: Ethical business practices contribute to long-term sustainability. Companies that focus on ethical sourcing, environmental responsibility, and fair trade are better positioned to thrive in the long run as consumers become more conscious of these issues.

In summary, ethical principles and profitability are not mutually exclusive. In fact, ethical conduct can enhance a company's profitability by building a strong reputation, fostering customer loyalty, ensuring employee satisfaction, managing risks, and promoting long-term sustainability.