The investigation has been carried out to understand the mechanism of creation and dissolution of ego and in turn the ethical value of the teachings of Lord Krishna. Ethics emphasize on the fact that one is to enjoy only that which is rightfully his. The Lord showed that our body consists of two faculties, one is the soul and the other is the body. Soul gives life force to the body and makes it functional. Soul is also the source of ethics but is neglected to the extent that human beings identify themselves only with their bodies and this leads to the creation of ego. To overcome the problem of creation of ego, the Lord advocated three approaches, namely, karma yoga, gyan yoga and bhakti yoga. The karm yoga is meant for action-oriented, while gyan yoga for the intellectuals and bhakti yoga for persons who have faith in God and surrender to him completely. In case of karm yoga, body is not considered our own but an exaction of God. The karm yogi utilizes his body and his resources for the welfare of others. The case of gyan yoga is slightly different; the gyan yogi gets absorbed in the soul and believes that all things are happening by natural forces. He believes that soul is not the doer, so does not claim any doer ship or ego. The philosophy of bhakti yoga has a totally different mode of functioning. The bhakti yogi works for the happiness of God as he feels that everything belongs to God and not to him. When one follows any one of these approaches there is no way one can be unethical, then only ethics prevail.