Introduction Risk tolerance is a significant factor that influences business decisions in multiple ways. It is worth considering its impact from the point of view of business management and corporal ethics. Firstly, there are common pitfalls in determining risk tolerance that reflect basic critical thinking. It is necessary to discuss their essence and the extent of their effect. Secondly, it is important to explain how ethics in business decisions are influenced by the poor awareness of risk tolerance. Thirdly, it is theoretically and practically useful to know if the field of ethics, like other business spheres, involves uncertainty and risk tolerance. Main body First of all, the definition and essence of risk tolerance should be explained. It is the difference between expected and real return on investments. Consequently, if the company’s management risk too much, they might panic and start selling at an inappropriate time. In other words, according to Holzhauer, Lu, McLeod, and Wang (2016), risk tolerance is “ the extent to which a person chooses to risk experiencing a less favorable outcome for the chance of a more favorable outcome” (p. 430). It means that one should apply critical thinking to the situation, evaluate it soberly, and be objective in considering risks. This approach will help consider perspectives of a certain investment. From this point of view, one can guess that there may be different degrees of critical thinking applied to risk tolerance. Researchers provide examples of people risking their investments and making various mistakes that prevent them from reaching success (Holzhauer et al., 2016). The first pitfall that one can see in how the mentioned people determine risk tolerance is basing the evaluation on initial risks but not on residual ones while it should be based on both. In this case, basic critical thinking is reflected in considering the former type of risks while it is not applied to evaluating the latter one. Researchers point out that another common pitfall is when risk evaluation is not sufficient enough (Holzhauer et al., 2016). It means that some risk evaluation elements are overlooked. Here, the lack of basic critical thinking can be observed as some criteria are not considered at all. Further on, any situation may change radically. The investor should be flexible and evaluate risks not only at the beginning of the operation but also during the whole period until he or she receives returns on investments (Holzhauer et al., 2016). However, it is a common pitfall that they overlook the necessity of making such constant evaluations and, as a result, suffer losses. In this case, basic critical thinking is reflected only in the first stage of determining risk tolerance. However, after that, it is not applied. Examples show that there is one more common pitfall that can occur when evaluating risks (Holzhauer et al., 2016). It is concentrating on high ones while low and moderate ones are not considered at all. Overlooking the latter two, one can suffer significant losses, although he or she evaluated high risks correctly. In this case, critical thinking is reflected merely in high-risk evaluation. To conclude this discussi