The author rejects the main-line policy that business ethics can be taught better by ignoring theoretical foundations and the excuse that several alternative theories are available for appeal if one cares to consult them. He proposes recognizing enlightened self-interest as the theory already practiced by persons and groups, implicitly when not explicitly, and that frank recognition that it is presupposed will encourage more intelligent solutions because this will direct attention to needs for enlightenment of many kinds. Deliberate (...) pursuit of enlightenment — general, specific and particular — should result in greater achievement and, when achieved, in increased reliability of solutions. (shrink)

While theoretically, egoism may be considered one kind of ethics, generally speaking, egoism, defined as self-interest at the expense of others, is contrary to the central principles of ethics, which are, in the main, other-directed. While Adam Smith's economics is famously argued to serve both self and other, the core thesis of this chapter is that Adam Smith's position is seriously flawed. The chapter argues that self-interest economics is fundamentally flawed and needs to be replaced by an objective, (...) value-based economics. It is shown that Adam Smith's notions of humans as simultaneously ethical beings and beings who pursue their self-interest are contradictory. Economics cannot exist for the sake of itself: it must exist for the sake of a higher end. (shrink)

This study provides a representation of the broad spectrum of theoretical work on topics related to business ethics, with a particular focus on corporate citizenship. It considers relations of business and society alongside social responsibility and moves on to examine the historical and systemic foundations of business ethics, focusing on the concepts of social and ethical responsibilities. The contributors explore established theories and concepts and their impact on moral behaviour. Together, the contributions offer varied (...) philosophical theories in approaches to business ethics. The book will be a valuable resource for academics and researchers with an interest in the theoretical development of business ethics. -/- Reviews: 'The rapidly expanding business ethics field is often populated by thinly theorised work. This book is a welcome exception. It is also distinctive in that it embraces a clear macro perspective whereas much of the debate is rather stuck at the level of the individual or the organisation. As such the book has a distinctively European flavour and should be considered as an intellectually stimulating collection offering original perspectives on business ethics.' Laura J. Spence, Royal Holloway, University of London, UK -/- 'This book makes an important contribution to our knowledge and understanding of corporations especially in the areas of corporate citizenship and responsibility as well as ethics and economic ethics. In addition the relationship of these areas with the social contract is well argued.' Australian Journal of Corporate Law. (shrink)

What has ethics got to do with my job? How can I take on ethical responsibility and help to make my company more successful at the same time? Although 'ethical responsibility' has become something of a catchphrase these days, most people only have a vague idea what it means and how it can be demonstrated in actual practice.Disasters like the Volkswagen's emission scandal, the oil spill in the Gulf of Mexico, the nuclear meltdown of Fukushima, the global financial crisis, (...) and countless lesser-known cases of damage to human beings and the environment are the result of unethically irresponsible business practices. Efforts to maximize profits frequently lead to reckless behavior, as those in charge focus on short-term benefits and ignore social and environmental risks. Their actions have negative consequences, not only for the victims but, in many cases, for the perpetrators themselves too. Aggrieved interest groups or disadvantaged stakeholders may react with strikes, public protests, or boycotts, jeopardizing their reputation and profitability.This textbook, Applied Business Ethics, is the result of many years of research work and lecturing, and is an attempt to present the most important principles and the latest approaches in business ethics to students, teachers, and business practitioners alike, and help them to make business decisions that everyone concerned will benefit from, rather than just a few fortunate stakeholders.The author illustrates his theoretical subject matter with practical examples of real-life situations and provides numerous exercises to help the reader grasp complex issues, moral dilemmas, and business risks better. In clear, accessible, and easily understandable terms, he demonstrates how ways of finding satisfactory solutions can be found in a systematic way thanks to interdisciplinary research and philosophical reflection. (shrink)

This book offers students a philosophical introduction to the ethical foundations of business management. It combines lessons from Kant with virtue ethics and also touches upon additional approaches such as utilitarianism. At the core of the book lies the concept of the nexus of imperfect managerial duty: building and reinforcing the virtuous managerial team, engaging in reasoned discourse among all stakeholders, and diligently pursuing business responsibilities, including the creative efforts necessary for modern organizations. Case illustrations of (...) these applications are presented throughout the book, including chapter appendices. Ancillary videos, test and answer banks and sample syllabi are available online via the author’s website. (shrink)

Hume’s examination of the conventions of property, trade, and contract addresses the moral foundations that make business possible. In this light, Hume’s theory of justice is also a foundational work in business ethics. In Hume’s analysis of these conventions, both philosophers and game theorists have correctly identified “proto” game-theoretic elements. One of the few attempts to offer a Humean theory of business ethics rests on this game-theoretic interpretation of Hume’s argument. This article argues that (...) game-theoretic reasoning is only one part of a Humean business ethics and this can be shown by further analyzing Hume’s theory of justice. As we examine his theory, it becomes clear that Hume is not trying to show how it is always rational to respect the rules of business. Hume is not engaging in, or attempting, a reconciliation project and neither is a Humean business ethics. The final section of the article is a brief Humean analysis of the effectiveness of codes of ethics. The purpose of this section is not to decide the issue but to show how a Humean approach is both useful, relevant, and involves more than reconciling rationality and morality. (shrink)

This paper examines the role of vulnerability in the basis of business ethics by criticizing its role in giving a moral substantial character to fiduciary duties to shareholders. The target is Marcoux’s (Bus Ethics Q 13(1):1–24, 2003) argument for morally substantial fiduciary duties vis-à-vis the multifiduciary stakeholder theory. Rather than proceed to support the stakeholder paradigm, a conception of vulnerability is combined with Heath’s 2004) “market failure” view of the ethical obligations of managers as falling out of (...) their roles as professionals involved in the institution of the market. The result is the core of a theoretically defensible and managerially motivating and deployable ethic. (shrink)

The article suggests that in a modern context, where value pluralism is a prevailing and possibly, even ethically desirable interaction condition, institutional economics provides a more viable business ethics than behavioural business ethics, such as Kantianism or religious ethics. The article explains how the institutional economic approach to business ethics analyses morality with regard to an interaction process, and favours non-behavioural, situational intervention with incentive structures and with capital exchange. The article argues that (...) this approach may have to be prioritised over behavioural business ethics, which tends to analyse morality at the level of the individual and favours behavioural intervention with the individual’s value, norm and belief system, e.g. through ethical pedagogy, communicative techniques, etc. Quaker ethics is taken as an example of behavioural ethics. The article concludes that through the conceptual grounding of behavioural ethics in the economic approach, theoretical and practical limitations of behavioural ethics, as encountered in a modern context, can be relaxed. Probably only then can behavioural ethics still contribute to raising moral standards in interactions amongst the members (stakeholders) of a single firm, and equally, amongst (the stakeholders of) different firms. (shrink)

The article explores biblical sources of ethics principles of business. It demonstrates that in the contemporary pluralistic world, principles of biblical business ethics can be valuable in the communication and interaction among representatives of different countries and cultures, as they encompass fundamental foundations for building business relationships. Due to the influence of Christian morality on the culture of many nations, biblical values have the potential to significantly impact individuals and their economic behavior, contributing to (...) the dissemination of important economic categories in society. The study reveals that important anthropological foundations for fruitful economic relations have been formed within the framework of biblical theocentrism, including considerations of human dignity, honesty, diligence, responsibility, and charity. The biblical perspective on property as a temporary stewardship has significant implications for awareness and education about responsibility not only towards other people but also towards the environment, holding crucial relevance in the context of corporate social responsibility in the modern world. (shrink)

The history of the field of business ethics in the U.S. remains understudied and misunderstood. In this article I begin to remedy this oversight about the past, and I suggest how it can be beneficial in the present. Using both published and unpublished primary sources, I argue that the business ethics field emerged in the early twentieth century, against the backdrop of the establishment of business schools in major universities. I bring to light four important (...) developments: business ethics lectures at the University of California and Yale University, Leon Marshall’s curriculum at the College of Commerce of the University of Chicago, and the William A. Vawter Foundation on Business Ethics at Northwestern University. Then, I consider the payoffs of my historical account for business ethics theory, pedagogy, and practice. Specifically, I present four implications of my account under these headings: business ethics as a public problem; the place of ethics in business schools; historicizing business ethics; and historical self-knowledge. (shrink)

The main research focus of the sociology of business ethics is on (i) the moral foundations of people's behaviour, both within and outside the business context, (ii) how compatible or contradictory these behaviours are and (iii) how stable a society or component of a society would be if self-interest is the main governing principle, without being constrained by moral discipline. This entails providing accurate descriptions and explanations of ethical situations. Whistle-blowing research is used to examine the (...) methodological challenges of business ethics researchers. The analysis demonstrates the importance of an integrated multi-strategy approach that would facilitate an investigation of the motivations and decision processes of individual actors in the larger social context, especially within the organisation. (shrink)

To commemorate 40 years since the founding of the Journal of Business Ethics, the editors in chief of the journal have invited the editors to provide commentaries on the future of business ethics. This essay comprises a selection of commentaries aimed at creating dialogue around the theme Ethics at the centre of global and local challenges. For much of the history of the Journal of Business Ethics, ethics was seen within the academy (...) as a peripheral aspect of business. However, in recent years, the stakes have risen dramatically, with global and local worlds destabilized by financial crisis, climate change, internet technologies and artificial intelligence, and global health crises. The authors of these commentaries address these grand challenges by placing business ethics at their centre. What if all grand challenges were framed as grand ethical challenges? Tanusree Jain, Arno Kourula and Suhaib Riaz posit that an ethical lens allows for a humble response, in which those with greater capacity take greater responsibility but remain inclusive and cognizant of different voices and experiences. Focussing on business ethics in connection to the grand challenge of environmental emergencies, Steffen Böhm introduces the deceptively simple yet radical position that business is nature, and nature is business. His quick but profound side-step from arguments against human–nature dualism to an ontological undoing of the business–nature dichotomy should have all business ethics scholars rethinking their “business and society” assumptions. Also, singularly concerned with the climate emergency, Boudewijn de Bruin posits a scenario where, 40 years from now, our field will be evaluated by its ability to have helped humanity emerge from this emergency. He contends that Milieudefensie v. Royal Dutch Shell illustrates how human rights take centre stage in climate change litigation, and how business ethics enters the courtroom. From a consumer ethics perspective, Deirdre Shaw, Michal Carrington and Louise Hassan argue that ecologically sustainable and socially just marketplace systems demand cultural change, a reconsideration of future interpretations of “consumer society”, a challenge to the dominant “growth logic” and stimulation of alternative ways to address our consumption needs. Still concerned with global issues, but turning attention to social inequalities, Nelarine Cornelius links the capability approach to global and corporate governance, arguing that CA will continue to lie at the foundation of human development policy, and, increasingly, CSR and corporate governance. Continuing debate on the grand challenges associated with justice and equality, Laurence Romani identifies a significant shift in the centrality of business ethics in debates on managing differences, positing that dialogue between diversity management and international management can ground future debate in business ethics. Finally, the essay concludes with a commentary by Charlotte Karam and Michelle Greenwood on the possibilities of feminist-inspired theories, methods, and positionality for many spheres of business ethics, not least stakeholder theory, to broaden and deepen its capacity for nuance, responsiveness, and transformation. In the words of our commentators, grand challenges must be addressed urgently, and the Journal of Business Ethics should be at the forefront of tackling them. (shrink)

Business schools have become implicated in the widespread demonisation of the financial classes. By educating those held most responsible for the crisis – financial traders and speculators – they are said to have produced ruthlessly talented graduates who have ambition in abundance but little sense for social responsibility or ethics. This ethical lack thrives upon the trading floor within a compelling critique of the complicity of the pedagogy of the business school with the financial crisis of the (...) global economy. An ethical turn within the curriculum is now widely encouraged as a counteractive force. Within this paper, however, we argue that taking this ethical turn is not enough. For business ethicists to learn from the financial crisis, the crisis' legacy needs to be taken account of, and financialisation needs to be taken seriously. Pedagogical reform cannot bracket itself off from the crisis as if it were coincidental with or separate from it. Post-crisis pedagogy must rather take the fact that it is requested now, in light of the crisis, as its very point of departure. The financial crisis must not be understood as something to be resisted in the name of Business Ethics. Instead, the financial crisis must be understood as the very foundation for contemporary Business Ethics in particular and for contemporary business and management education more generally. (shrink)

Part one: Overview of business ethics. Understanding business ethics -- Laying a foundation: ethical decision making, social responsibility, corporate governance, stakeholders and activism, and sustainability -- part two: Individual influences on business ethics. Why good people do bad things -- Individual factors that influence your ethics-based thoughts and actions -- Common ethical challenges and how to handle them -- Common organizational practices with ethics implications -- The double-edged sword of leadership and (...) class='Hi'>business ethics -- part three: Organizational influences on business ethics. Organizational culture and business ethics -- The role of laws, codes, and training in business ethics -- Doing well by doing good -- part four: Global business ethics issues. A global perspective of business ethics -- Environmental sustainability issues at home and abroad -- The role of business in social justice and change -- Case study: The cause, effect, and impace of Amazon. (shrink)

Business schools have become implicated in the widespread demonisation of the financial classes. By educating those held most responsible for the crisis – financial traders and speculators – they are said to have produced ruthlessly talented graduates who have ambition in abundance but little sense for social responsibility or ethics. This ethical lack thrives upon the trading floor within a compelling critique of the complicity of the pedagogy of the business school with the financial crisis of the (...) global economy. An ethical turn within the curriculum is now widely encouraged as a counteractive force. Within this paper, however, we argue that taking this ethical turn is not enough. For business ethicists to learn from the financial crisis, the crisis' legacy needs to be taken account of, and financialisation needs to be taken seriously. Pedagogical reform cannot bracket itself off from the crisis as if it were coincidental with or separate from it. Post‐crisis pedagogy must rather take the fact that it is requested now, in light of the crisis, as its very point of departure. The financial crisis must not be understood as something to be resisted in the name of Business Ethics. Instead, the financial crisis must be understood as the very foundation for contemporary Business Ethics in particular and for contemporary business and management education more generally. (shrink)

The purpose of this paper is to present the essence of Ayn Rand's theory of rational egoism and to indicate how it is the only ethical theory that can provide a foundation for ethics in business. Justice, however, cannot be done to the breadth and depth of Rand's theory in so short a space as this article; consequently, I have provided the reader with a large number of references for further study. At minimum, Ayn Rand's theory, because of (...) its originality and challenge to establishment theories, should be included in all business ethics courses and discussions of business ethics. (shrink)

This paper applies moral foundations theory in the context of consumer ethics. The purpose of the study is to examine whether moral foundations theory can be utilised as a theoretical framework to explain consumers’ beliefs regarding both ethical and unethical consumption. The relationships among various moral foundations and different dimensions of consumer ethics are examined with a sample of 450 US consumers. The results demonstrate that, among the various moral foundations, only the sanctity/degradation foundation (...) is negatively related to beliefs regarding all forms of unethical consumer actions as well as ‘no harm, no foul’ actions. On the contrary, the care/harm, fairness/cheating and authority/subversion foundations are related to positive beliefs regarding ‘doing good’ actions. This indicates that moral motivations for supporting pro-social actions as a consumer are not necessarily the same as moral motivations for condemning unethical actions. The findings also demonstrate that the loyalty/betrayal foundation is positively related to beliefs regarding unethical consumer actions and negatively related to perceptions of pro-social consumer actions. This demonstrates that in-group loyalty leads to supporting unethical actions. Furthermore, the results show that various moral foundations mediate the relationships of idealism with consumers’ ethical beliefs. Hence, various moral foundations can explain the effects of personal variables on consumer ethics. (shrink)

This paper applies moral foundations theory in the context of consumer ethics. The purpose of the study is to examine whether moral foundations theory can be utilised as a theoretical framework to explain consumers’ beliefs regarding both ethical and unethical consumption. The relationships among various moral foundations and different dimensions of consumer ethics are examined with a sample of 450 US consumers. The results demonstrate that, among the various moral foundations, only the sanctity/degradation foundation (...) is negatively related to beliefs regarding all forms of unethical consumer actions (actively benefiting from illegal actions, passively benefiting from the mistakes of the seller and actively benefiting from legal but questionable actions) as well as ‘no harm, no foul’ actions. On the contrary, the care/harm, fairness/cheating and authority/subversion foundations are related to positive beliefs regarding ‘doing good’ actions. This indicates that moral motivations for supporting pro-social actions as a consumer are not necessarily the same as moral motivations for condemning unethical actions. The findings also demonstrate that the loyalty/betrayal foundation is positively related to beliefs regarding unethical consumer actions and negatively related to perceptions of pro-social consumer actions. This demonstrates that in-group loyalty leads to supporting unethical actions. Furthermore, the results show that various moral foundations mediate the relationships of idealism with consumers’ ethical beliefs. Hence, various moral foundations can explain the effects of personal variables on consumer ethics. (shrink)

This books examines the fundamental values and principles of conduct in the professions, focusing specifically on four areas: law, politics, medicine and business. One central question unifies its inquiry into the different professions: should the principles for judging the actions of professionals be the same as those used to judge private individuals, or do these professions require special moral principles to guide their conduct. The author considers arguments deriving from the underlying institutional goals of each profession in turn.

Facing a near-death experience naturally pushes people to re-examine their basic moral values. During the recent global economic melt-down, calls to solve the concomitant ‘moral’ crisis come in from all fronts. The presumption is that we need business ethics courses to teach our business students to learn to take the moral high-road; we need ethics pledges and codes of ethics to teach business students to do the right thing. But in reality, what impact can (...) a business ethics class have on business people in the real world of tough choices and intense competition? It is my contention that if we look at the teaching of business ethics from the traditional Foundational Platonic perspective, we over-promise and under-deliver. By contrast, a Post- Foundational perspective gives us a pragmatic and viable picture of business ethics pedagogy that can make a real difference. (shrink)

This paper highlights the potential harms in the current state of business ethics education and presents an alternative new model of business ethics education. Such potential harms in business ethics education is due largely to restricted cognitive level of reasoning, a limited level of ethical conduct which remains only responsive and adaptive, and the estrangement between strategic thinking and ethical thinking. As a remedy for business ethics education, denatured by these potential harms, (...) a new dynamic model of business ethics education is proposed. The new model is composed of a basic foundation for business ethics education and three practical components of business ethics education. The basic foundation comprises of ethical reasoning, moral sentiments, and ethical praxis. Three practical components of business ethics education are, respectively, to intensify moral imagination, to develop ethical wisdom and courage, and to enhance meta- strategic competences. The ultimate purpose of these practical components is to help moral subjects to conduct ethical leadership, to actualize integrity between individuals and organization, and to fulfill the social responsibility of business firms. This new model is expected to attract attention to the effective business ethics education both in college and in industry, and to be used as a benchmark for new curriculum designs and development of teaching methods. Finally, some teaching methodologies and pedagogical experiments are introduced and discussed according to this new model of business ethics education. (shrink)

Understanding the evangelical framework for business ethics is important, since business evangelicals are well positioned to exercise considerable future influence. This article develops the context for understanding evangelical business ethics by examining their history, theology and culture. It then relates the findings to evangelical foundations for business ethics. The thesis is that business ethics, as practiced by those in the evangelical community, has developed inductively from a base of applied experience. (...) As a result, emphases on piety, witnessing, tithing, and neighborliness, important foundations in the evangelical model for business ethics, have resulted in a multitude of applied ethical strategies. This operative ethics model is then evaluated, particularly in regarding to its limited focus on the fundamental purposes and structures of business. The article concludes with several recommended sources which can enrich the evangelical tradition of business ethics, suggesting many resources from the Reformed Christian tradition as well as other ideas from contemporary Protestant and Catholic thinkers. (shrink)

Professionalism includes the essential contents of other key notions within the field of business ethics. As a term involving the notion of vocation it may be understood as containing a religious content, since vocation refers to a man's most intimate personal decisions, destiny and providence. Professionalism also connotes respect for law and so includes a reference to commercial law as a guide to right conduct. Professionalsim thus lifts the requirements of law to the level of personal commitment.Like an (...) honest act, professionalism may not be easy to define, but you will know it when you see it. As for professionalism's practitioners, like the practitioners of honesty, their art is learned not by seeking definitions of what they do, but by practicing professionalism. Only if this practice becomes an obsession with the Business Aristocracy can we expect professionalism to seize the soul of lesser businessmen and suffuse the entire business community. (shrink)

"Friendship", for Aristotle, is a term with "focal meaning" which denominates relationships as casual as fellow travelers on a voyage, as permanent as spouses, and whose motives are as various as the commercial, military, religious, sexual, political and the virtuous. What can be said of all these relationships is that they involve a solidarity, a concordat, a reciprocity, which has its foundation in a common field between the parties and which produces common actions or exchanges. All friendships tend to equality (...) in the sense that they do not insist on what is due as an ultimate end; friendship, like equity, surpasses justice in the fulfillment of what is owed. Because friendship fosters solidarity and justice it is politically important as a virtue-context, according to Aristotle. Is it possible that friendship can function as a virtue-context within economic life as well? Aristotle's notion of a type of useful friendship which functions through expectation of moral behavior will be shown to provide both motive and context for the performance of acts of virtue in a business setting. (shrink)

This textbook examines the extent to which moral values play a role as productive forces for the economy, and explores the effect of ethical and unethical Behavior on the economy. It shows how ethics improves productivity in the economy, and provides specific ethics tools for practical application for students and managers. Stemming from an overall interdisciplinary approach, and combining recent research results from sciences such as economics, business administration, Behavioral economics, philosophy, psychology and sociology, this textbook fills (...) a gap in the literature on ethics in business. The book begins with the foundations of business ethics by defining business ethics, delineating its objectives, and discussing the importance of business ethics for business, the economy and society. Next, it presents the ethical evaluation approaches to enable the reader to evaluate economic Behavior ethically. It then explores ‘man in business’, and deals with such issues as Behavior, motivation, ethical orientation, and the presence or absence of a sense of justice. Following this is a discussion of the rules of the market and of questions such as: Does the market economy promote ethical Behavior or is there a conflict of goals between ethics and market economy? Do companies have a social responsibility? The book concludes with an analysis of the importance of ethics for productivity in the enterprise and in the economy, and presents ethics tools as the instruments with which management can promote ethical Behavior of their employees. Following a textbook structure, the book first derives knowledge from scientific studies that is relevant for students, and then summarizes the results. It explains ethical assessment approaches, and then gives an ethical assessment of economic Behavior using case studies. It uses roleplaying and games to explain the Behavior of people in relation to ethics. (shrink)

This book is an extended argument for the critical importance which justice and ethical leadership should have in business ethics education. The book examines the history of ideas and purposes in education, the contemporary role of business schools, and the social foundations of moral education to conclude that the pragmatic pursuit of the good must be a central aim of business strategy. To meet the challenges of facing society today, the masters of business must (...) be moral craftsmen in a just and democratic private property economy that serves the common good. The author grounds this vision for business leadership in the centrality of systems of exchange in human society, in generating prosperity and providing for the general welfare. Business ethics education has focused primarily on moral formation of individual leaders and managers in the context of ethical codes, organizational culture, and legal compliance. Important as this approach is, it fails to generate a sufficient level of business responsibility to satisfy legitimate social concerns regarding the use of natural resources, environmental sustainability, reasonable limitation of systemic risk in capital markets, and fair allocation of goods and services. If the social purpose of business is not intentionally embraced and diligently pursued, the economy may enrich a few but impoverish the society, its resources, and its democracy. Hence this book argues for a new vision of business ethics that is grounded in public accountability of business operations and outcomes for the common good, as a matter of justice. (shrink)

This article aims at showing the need for a sound ethical and anthropological foundation of economics and business, and argues the importance of a correct understanding of human values and human nature for the sake of economics and of businesses themselves. It is suggested that the ethical-anthropological side of economics and business can be grasped by taking Aristotle’s virtue ethics and Amartya Sen’s capability approach (CA) as major reference points. We hold that an “Aristotelian economics of virtues”, (...) connected with the CA’s notion of human richness, can promote the shift to the concept of personhood, and can lead to a more “humanized” business, by fostering human flourishing, the enhancement of human capabilities, and the pursuit of a more humane development for each and every person. (shrink)

This article examines the relationship between economic rationality and the possibility of a moral science of business ethics. The purpose of this inquiry is to consider whether a universal and non-controversial moral science of business ethics can be defined satisfactorily, and linked to economic rationality of managers and other stakeholders of firms operating in market economies. Economic rationality connotes economic efficiency, meaning a strictly instrumental maximization of actor utility from limited resources. This rationality is a universal (...) and value free (or value neutral) axiom: actors should and generally will be rationally efficient. Utilitarianism accepting aggregation across values is the moral framework associated with market exchange. Business ethics is about normative valuation of motives, actions, and consequences. This article argues that the common foundation across relevant ethical frameworks – moral common sense, Kantianism, virtue theory, religion as a belief system, and utilitarianism – is a first or axiomatic principle of no harm without acceptable justification. A moral science of business ethics proceeds from this no harm axiom. (shrink)

For undergraduate business ethics courses. The ethical training business students need to be successful in today's challenging business world. Recent scandals have created a mistrust that has spread through the entire business sector, jeopardizing public confidence in the stock market and economy. Now more than ever, it's important for students to understand the moral foundations, rules, and implications that are vital to the core of business. Business Ethics 1e presents an in-depth (...) introduction of business ethics that emphasizes the role of ethics as a critical part to management success. (shrink)

Social practices of quantification, or the production and communication of numbers, have been recognized as important foundations of organizational knowledge, as well as sources of power. With the advent of increasingly sophisticated digital tools to capture and extract numerical data from social life, however, there is a pressing need to understand the ethical stakes of quantification. The current study examines quantification from an ethical lens, to frame and promote a research agenda around the ethics of quantification. After a (...) brief overview of quantification research and its uses in state and market organization, I discuss quantification in terms of three core subprocesses—capture, specification, and appropriation, illustrating and identifying ethical concerns around each process. Linking these processes to the performative effects of measures, I present a working model of quantification from which the discussion builds ideas for developing a research agenda around quantification. (shrink)

Humanistic management in a non-Western context is underexplored, for example, in Japan. Despite numerous publications especially on Japanese management in the 1980s to 1990s the topic of humanistic management in a Japanese context remains largely unexplored. Using Toyota as a case, this article illustrates how a company has systematically implemented Japanese ethical principles based upon Confucianism, Buddhism, Daoism, and Shintoism in its corporate ethics and operations. These moral philosophies emphasize self-improvement, social cooperation, and contribution to society as foundations (...) for good behavior regardless of an individual’s social position. We link some of these philosophic elements with humanistic management in an Asian context. In addition, we came to understand that Toyota’s organizational architecture, i.e., production system and product development rely on an integrated ethical system as their fundamental purpose of business activities, including an expectation that all workers collectively contribute to organizational success and harmony. This differs from many Western approaches which see profit as the purpose of the firm and view their ethical responsibilities in an ex-post fashion. These findings are important, as the scope of humanistic management practices globally needs to be expanded. (shrink)

Numerous ethical theories have been proposed as a foundation of business ethics, and this often brings about appreciable perplexity. This article seeks to identify specific problems for a sound foundation of this discipline. A first problem is this multiplicity of ethical theories, each with its own metaethics, often accepted without a serious discussion of their philosophical grounds. A second problem is the fragmentation of theories; some centred on duties or obligations, others on consequences, virtues, or moral sentiments. In (...) addition, some theories focus on universal principles, while others take the singularity of each situation as their focal point. A third problem is that not every ethical theory covers the personal, organizational and societal dimensions of business ethics, and this introduces reductionism. These problems cannot be satisfactorily addressed through ‘ethical pluralism’, in which all theories are accepted, without falling into ethical relativism. ‘Ethical pragmatism’, which welcomes any ethical theory only on the basis of their practically, is also questioned. Furthermore, there is the problem of integrating ethics into business theory, which is often extrinsic to the economic function. After analysing these problems, the article concludes by exploring some proposals that might serve to build a sound and complete ethical theory which includes human goods (objective values), principles (or norms) and virtues. The necessity of reconsidering the human action for a closer integration of ethics into business theory is also suggested. (shrink)

As one of the most influential commentators on the role of modern philosophy, Richard Rorty's work impacted all areas of philosophical inquiry, including business ethics. Rorty's post-foundational approach to "moral imagination" can inform how we teach business ethics in a diverse and philosophically eclectic manner. A summary of Rorty's critique of philosophy, ethics, and applied ethics will be followed by a discussion of the implications for a critical pedagogy and the pragmatic use of an (...) expansive philosophical lexicon in a business ethics course. (shrink)

This paper examines the ethical foundations of the Islamic financial industry which is strongly criticized for its similarity with conventional finance. In this paper, we argue that this criticism is based on the consequentialist reasoning. The deontological considerations are largely ignored when the focus is on aggregate returns and associated product features. We build an economic model which allows us to examine the implementation of deontological rules in the Islamic financial products along with examining their consequences. We show that (...) the market forces may cause the returns and the attributes of Islamic financial products to converge with conventional finance even though the industry may be adhering to the Islamic deontological rules. We build a model to show that there may exist ‘Epsilon States’ where the deontological rules are followed by the Islamic finance industry, but their impact is not significant. We argue that the source of these ‘Epsilon States’ could be either moral uncertainty or costly monitoring. The presence of these ‘Epsilon States’ enable Islamic financial institutions with weak ethical commitments to create financial products where the deontological rules are followed, but their impact remains insignificant. (shrink)

Morality and economic rationality: integrative economic ethics as the rational ethics of economic activity; Part II. Reflections on the Foundations of Economic ...

Business ethics as an applied inquiry requires an expanded normative method which allows both philosophical and religious ethical considerations to be employed in resolving complex issues or cases. The proposed foundational normative method provides a comprehensive framework composed of major philosophical and religious ethical theories. An extensive rationale from the current trends in business ethics and metaethical considerations supports the development of this method which is illustrated in several case studies. By using this method, scholars and (...) business persons gain greater certitude about the ethical quality of their deliberations and decision making than what may be achieved with current nonsystematic or nascent normative methods. (shrink)

The second edition of Business Ethics introduces readers to key ethical issues that arise within the world of business, providing a strong theoretical foundation as well as real world applications. This new edition has been greatly revised, and includes new sections on the financial services industry, globalization, and global economic justice. An accessible introduction for beginners, offering a combination of important established essays and new essays commissioned especially for this volume Greatly revised - more than half of (...) the selections are new to this edition. Newly commissioned essays address information technology, global economic justice and globalization, stakeholder theory, the corporation as an individual, and other topics Uses diverse, authentic business cases to illustrate discussion of concepts Cases have been updated to reflect current problems and issues Provides students with guidance and tools to write their own case study essays Readings are presented to progressively develop the reader's ability to read and apply ethical theory by writing case responses from different vantage points. (shrink)

Since manager's decisions impact organizational goals and organizational ethical behavior, this researcher investigated the degree to which there are differences in the moral reasoning ability of business managers of selected industries and whether there are significant differences between top, middle, and first-line management levels. To determine the relationship between managers' locus of control and their moral reasoning ability, this study considered three independent variables: reported organizational ethical climate, locus of control, and selected demographic and institutional variables. For a foundation, (...) this researcher relied on Kohlberg's theory of moral development, Victor and Cullen's ethical work climate theory, and Rotter's theory of internal—external locus of control (which evolved from Carl Jung). The short form of Rest's DIT instrument measured the moral reasoning abilities of the participants. The selected demographic and institutional variables (age, work tenure, education, gender, management level and industry category) provided the useful information to investigate these relationships of moral reasoning ability of individual managers. A survey questionnaire was sent to 400 managerial and executive level employees at a random sample of Fortune 500 firms throughout the United States: Dun and Bradstreet provided the researcher with a proportional stratified random sample of these 400 managerial and executive level employees at a variety of organizations. Interestingly, women in this study exhibited slightly higher (more external) mean I—E scores and (more principled) higher mean “P” score than men. While both of these results were anticipated, neither was significant. However, one major finding of this study was the statistically significant relationship between age and perceived organizational ethical climate types (Caring, Law and Code, Rule, Instrument, and Independence). Another major finding revealed a statistically significant relationship between management levels and organizational ethical climate. (shrink)

The paper describes the approach by which ethics are integrated into the undergraduate curriculum at Northern Illinois University''s College of Business. Literature is reviewed to identify conceptual frameworks for, and issues associated with, the teaching of business ethics. From the review, a set of guidelines for teaching ethics is developed and proposed. The objectives and strategies implemented for teaching ethics is discussed. Foundation and follow-up coursework, measurement issues and ancillary programs are also discussed.

This book presents a selection of articles with focus on the theoretical foundations of business ethics, and in particular on the philosophy of management and on human rights and business. This implies identifying and discussing conflicts as well as agreement with regard to the philosophical and other foundations of business and management. Despite the general interest in corporate social responsibility and business ethics, the contemporary discussion rarely touches upon the normative core and (...) philosophical foundations of business. There is a need to discuss the theoretical basis of business ethics and of business and human rights. Even though the actions and activities of business may be discussed from a moral perspective, not least in the media, the judgments and opinions relating to business and management often lack deeper moral reflection and consistency. Partly for this reason, business ethicists are constantly challenged to provide such moral and philosophical foundations for business ethics and for business and human rights, and to communicate them in an understandable manner. Such a challenge is also of scientific kind. Positions and opinions in the academic field need to be substantiated by thorough moral and theoretical reflection to underpin normative approaches. Far too often, business ethicists may agree on matters, which they approach from different and sometimes irreconcilable philosophical standpoints, resulting in superficial agreement but deeper-lying disagreement. In other cases, it may be of high relevance to identify philosophical standpoints that despite conflicting fundamentals may arrive at conclusions acceptable to everyone. (shrink)

Between practical ethics, which seeks to define a wide range of ethical norms and ways of ethical reasoning on firm philosophical basis, including the definition of the foundation of ethics, and business ethics, environmental ethics or health ethics the difference is only about the degree we get to apply practically ethics. The Business Ethics Center of Corvinus University of Budapest, lead by Prof. Laszlo Zsolnai, takes all these levels very seriously. The (...) external observer who would want to review the activities of the Center would immediately get in trouble if all that he would expect is either great theories on practical ethics, or only concrete observations on how, in some precise context, ethics is applied by economic science professionals. Indeed, as we shall review, the 30 Years Report of the Business Ethics Center of Corvinus University Budapest presents the most important conferences and workshops that they organized, describes significant books they published, and summarizes the main findings of their decades-long research. Crucially, the functioning of the Center is based on the conviction that ethics is a relevant aspect of all levels of economic activity, from individual and organizational to societal and global. Business ethics is practiced by the Center as an action-oriented, interdisciplinary scientific inquiry where normative and descriptive elements are intermingled. (shrink)

The dominant approach to understanding Islamic Business Ethics has been based almost exclusively on either interpretations of the Qur’an and Sunna or influenced by Western understanding of Islam and ethics. However, there is a rich—largely ignored-tradition of ethical analysis conducted by Muslim philosophers which would broaden our understanding of Islamic ethics and hence IBE. We seek to correct this imbalance by examining works of Al-Ghazali, an early Muslim philosopher, scholar, and mystic. His approach to Sufism, combining (...) an interpretation of revelation with reason, can contribute to new developments in business ethics scholarship and practice especially in Muslim communities. His thought portrays a vibrant work ethic that, while based in Sufism, has important practical implications for business. We argue that including such historically and contextually recognized perspectives in our understanding of BE, both in theory and in practice, would work well with an audience that looks to Islam as a source of justice and proper moral conduct. (shrink)

Business schools play an instrumental role in laying the foundations for ethical behavior and socially responsible actions in the business community. Drawing on social learning and identity theories and using data collected from undergraduate business students, we found that ethical climate was a significant predictor of unethical behavior, such that students with positive perceptions about their business school’s ethical climate were more likely to refrain from unethical behaviors. Moreover, we found that high moral and institutional (...) identities strengthened the effect of ethical climate on unethical behavior. In addition to novel theoretical contributions to the business ethics and socio-psychology literature, this study offers practical pathways through which business schools can nurture and instill the values and behaviors that ultimately help shape positive organizational ethics. Directions for future research are provided. (shrink)

And while globalisation has ushered in many benefits for companies and consumers alike, this book posits that it is the fierce competition of global market-places which drives the largely unopposed belief that firms exist solely to enhance ...