MAIN TRADITIONAL PHILOSOPHICAL /ETHICAL FOUNDATIONS OF BUSINESS ETHICS

CONSEQUENTIALISM
 REFERS TO AN APPROACH IN MORAL DECISION-MAKING WHEREIN THE PRIME
CONSIDERATION IS THE EFFECTS OR CONSEQUENCE OF AN ACTION OR A DECISION

TEOLOGICAL ETHICS
 TELOS IS GREEK WORD WHICH MEANS END, INTENTION, OR PURPOSE

ETHICAL EGOISM
 IS FOUNDED ON PSYCHOLOGICAL EGOISM
 PSYCHOLOGICAL EGOISM
o IS THE DOCTRINE THAT EVERYONE IS MOTIVATED TO LOOK AFTER HIS OR HER
OWN PERCEIVED BEST INTEREST

TWO GROUNDS OF ETHICAL EGOISM

1. HUMAN PERSON BY NATURE IS NOT PURELY EGOISTIC
2. ETHICAL EGOISM TENDS TO VIOLATE OBJECTIVE MORAL PRINCIPLES

THOMAS HOBBES
 WIDELY CONSIDERED AS ONE OF THE MAIN PROPONENTS OF PSYCHOLOGICAL EGOISM

UTILITARIANISM
 Is a theory of moral philosophy that is based on the principle that an action is morally
right if it produces a greater quantity of good or happiness than any other possible action

Two Leading Utilitarian Theorists

1. Jeremy Bentham
 Father of Utilitarianism
 Later criticized by his wayward disciple, John Stuart Mill
 Similar to Hedoism as both center on pleasure as the good
o Bentham’s Formulation of Utilitarianism
 Man is under two great masters, pain and pleasure

2. John Stuart Mill

 Wayward disciple of Bentham
 He sought to rewrite utilitarianism in such a way that he would be able to
demonstrate that Shakespeare outranked push pin
o John Stuart Mill’s Adjustments to Utilitarianism
 Mill argues that we must
 consider the Quality of the Happiness not merely the Quantity

Immanuel Kant
 Born and Died: April 22, 1724 – February 12, 1804
 A Russian Philosopher
 Had a major impact on the Romantic and Idealist Philosophies of the 19th century

Deontological Ethics
 Derived from the Greek word “deon” meaning “duty”
 Is a category of normative ethical theories that encompasses any theory which is
primarily concerned with adherence to certain rules or duties
 Intention is relevant and I am acting a certain way only if I act for the right reason

Categorical Imperative comes in Two versions

1. FIRST FORMULATION
  Act as if the maxim of your action were to secure through your will a universal
law of nature
2. SECOND FORMULATION
 ACT SO THAT YOU TREAT HUMANITY, WHETHER IN YOUR OWN PERSON OR THAT
OF ANOTHER, ALWAYS AS AN END AND NEVER AS A MEAN

Moral Rights
 Can be violated even when “no one is hurt”
 It is concerned with the principles of right and wrong behaviour and the
goodness or badness of human character

Virtue Ethics
 One should not only look at the kind of actions an agent ought to perform but should
pay attention to the kind of person an agent ought to be

Ethics of Care
 Emphasizes preserving and nurturing concrete valuable relationships
 We should care for those dependent on and related to us
 An ethic of care can lead to “burnout”

MORAL REASONING AND ITS APPLICATION IN BUSINESS ETHICS

Moral Reasoning
 The thinking processes involved in judgements about questions of right and wrong
 The bases for ethical behaviour

Kohlbberg’s Levels and Stages

 Preconventional Level
 Moral reasoning is based on the consequence/result of the act, not on the
whether the act itself is good or bad