Following the recent call for advancement in knowledge about business ethics in East Asia, this study proposes a complementary perspective on business ethics in South Korea. We challenge the conventional view that South Korea is a strictly collectivist country, where group norms and low trust determine the norms and values of behavior. Using the concept of civil religion, we suggest that the center of the South Korean civil religion can be seen in the affective ties and networks pervading the economic, (...) political, and social institutions, embedded in and guided by Confucian ideals. We argue that South Korea should be seen not as a collectivist low-trust society, but rather as an affective-relational society, in which the relational context determines whether collectivism or individualism prevails. Further, we assert that trust, the cohesive factor of affective ties and networks, has until now been inadequately captured by conventional surveys. Our proposed perspective contributes to a more holistic picture and a more firmly grounded understanding of business ethics in South Korea. (shrink)

So far overlooked by the international business ethics literature, we introduce, characterize, and normatively analyze the use of affective ties and networks in South Korea from an ethical point of view. Whereas the ethics of using Guanxi in China has been comprehensively discussed, Korean informal networks remain difficult to manage for firms in South Korea due to the absence of existing academic debate and research in this field. In this study, we concentrate mainly on the question of whether foreign firms (...) will and can use affective ties in Korea. The informal social network forms are classified and contrasted with the conventional ethical approaches used in international business ethics to assess which categories can be regarded as ethical or unethical. Finally, foreign firms are advised how to cope with and use different affective network types. Although the nature of affective ties and networks in Korea differs from that found for instance in China, consistent with the conclusion of prior research, we recommend particularistic analysis and decision making regarding the circumstances in which to conclude affective ties and networks and when to opt out. We conclude that foreign firms in Korea should invest in establishing Inmaek, refrain from engaging in Yonjul, and support host country nationals’ Yongo ties. Moreover, it is suggested that foreign firms should find ways to monitor and manage informal ties effectively. (shrink)

Business Ethics: A European Review, EarlyView.

Despite significant economic growth in both developed and emerging markets, several disadvantaged and marginalized segments of the global population still live in poverty. Recognizing the important role of business in alleviating poverty, management scholars have been increasingly investigating the topic of poverty. Although reviews of the extant literature have provided overviews of select poverty-related themes, such as that of the base of the pyramid, no one study has reviewed the topic of poverty across the management literature. The present systematic literature (...) review collects, organizes and analyzes several hundred articles on poverty research, published in business and management journals during the past 25 years. The study identifies major themes in poverty research, reveals thematic overlaps among subdisciplines, summarizes adopted research methodologies, and recognizes opportunities for future research. We find that, despite the wide variation of research topics and approaches, the studied themes remain relatively insulated within each subdiscipline of management research. Drawing on United Nations' Sustainable Development Goals, we conclude that, although the number of articles on poverty has increased considerably during the last decade, there are several research niches that future management scholars can investigate to alleviate one of the most pressing global challenges of our time. (shrink)

Drawing on interviews with decision makers in multinational corporations (MNCs) in South Korea, we examine the role of informal networks in the social exclusion of women in the workforce. Although legislation in the country is in favor of gender equality, we found that informal barriers in the workplace remain difficult to overcome. Informal networks in Korea, yongo, present an ethical issue in the workplace, as they tend to socially exclude women, limiting possibilities for their participation and career progression. We found (...) that informal networks are pervasive and strong because of the informal institutions in which they are embedded and that there is a complex interplay between informal networks and informal institutions that socially excludes women. Due to difficulties accessing yongo, women appear to build inmaek, a network type that is more open and accessible. We also found that MNCs in Korea can compensate for the lack of local informal networks for their female employees. However, despite providing a more supportive environment for women at work, gender equality policies in MNCs are not yet as effective as they could be due to the dynamics of the workplace and the fact that the policies are not tailored to the local context. We have seen evidence in recent years that MNCs can serve as role models for implementing gender equality policies by creating a more inclusive work environment and demonstrating leadership commitment and support. (shrink)