Ethics are important in entrepreneurship because they provide the groundwork for trust and credibility, both of which are necessary in business. Ethical business practices help to build a positive reputation, attract consumers and investors, and assure long-term viability. Entrepreneurs with high ethical standards are more likely to create businesses that value their employees, customers, and the environment, resulting in healthier workplace cultures and brand loyalty. Ethical entrepreneurship also reduces the likelihood of legal challenges and the damage caused by unfavorable public impression.