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Business Ethics

The nature of morality


Ethics Moral versus Nonmoral Standards Religion and Morality Ethical Relativism Moral Principles Personal Values and Morality Integrity and Responsiility

Ethics

Questions as to the way we should live our lives; the person we should try to be; the values, standards and principles that are important Ethics deals with individual character and the moral rules that govern and limit our conduct, distinguishing right from wrong, investigating duty, obligation and moral responsibility Ethics and morality are interchangeable for the purposes of this course

Business Ethics

Business ethics focuses on ethical issues in the business environment Examples of ethical or unethical behavior in business Is there, really, business ethics? Can profit and ethics be reconciled?

Moral versus Nonmoral Standards


Nonmoral standards: Can be technical, linguistic, or etiquette standards Moral standards relate to behavior that seriously affects human well-being Types of immoral behavior Moral standards usually take priority over other standards Validity of moral standards depends on the adequacy of the reasons that support them

Moral versus Other Standards

Morality and Etiquette can violations of etiquette have moral implications? Morality and the Law can an action that is legal be immoral, and vice versa? Morality and Professional Codes what are the consequences if those codes are not adhered to? Origin versus justification of moral principles

Religion and Morality


Is morality necessarily based on religion? The issue is whether moral beliefs can be justified Desire to avoid hell is not the only reason we do not act immorally Religious rules are general and hardly precise Divine command theory and skeptics

Ethical Relativism

Theory suggesting that what is right is determined by what a culture or society says is right No absolute ethical standard independent of cultural context Implications: can a minority ever be right in moral matters? How can moral reforms be initiated? Can business have its own morality? Is business bluffing ethical?

Moral Principles

Having moral principles has a number of implications, in terms of motivation, affiliation with other persons Accepting a moral principle is more than an intellectual act; it is associated with a desire to follow it and, possibly, feelings of guilt if one does not Conscience: more than a little voice inside: it reflects the internalization of moral instructions of the parents. Not always a reliable guide to right and wrong

What is the purpose of morality?

Morality makes it possible for people to coexist in society: it restrains self-interested behavior Conflicts are resolved by appeal to shared principles of justification (as a complement to the law) What happens when morality and selfinterest conflict? The paradox of hedonism or paradox of selfishness

Morality and personal values


Morality in the narrow sense versus morality in the broad sense Morality in the narrow sense: principles that regulate (or should regulate) peoples conduct and relations with others Morality in the broad sense: not just principles of conduct but also values, ideals and aspirations shaping our lives Aristotle: Excellence we can achieve simply as human beings

Individual integrity and responsibility


How do corporate goals and norms relate to individuals integrity and morality? Pressure to meet corporate objectives, to be part of a team and to conform to organizational norms can lead people to act unethically

Diffusion of responsibility

Diffusion of responsibility may also add to peoples weakened sense of moral responsibility The Kitty Genovese case Bystander apathy: The greater the number of people observing the event, the less likely their feeling of obligation to do something about it Anonymity and lack of accountability in large organizations

Are corporations better or worse than other groups?


Some corporations do little to protect individual integrity and moral autonomy Relentless pursuit of corporate goals, pressure to be a loyal part of the team by doing what is expected all these facts may run counter to the individuals sense of morality Open discussion of such conflicts is usually avoided within the organization

Moral reasoning

In organizational and business settings, multiple moral questions need to be answered Examples of moral reasoning Moral reasoning moves from a moral standard, through one or more factual judgments to a moral judgment. Moral judgments need to be supported by moral standards and relevant facts

Patterns of Defense and Challenge

The meaning of key terms and phrases needs to be clarified (no ambiguities) Assessment of the premises of arguments comes next (acceptance or rejection follows) Evaluation of factual claims is also important Challenging the moral standard (are there exceptions or unacceptable consequences?) Defense of the moral standard Revision and modification of the argument (scope restriction or other change) may be necessary and is involved in philosophical discussion

Requirements for moral judgments


Moral judgments should be: Logical: (1) Moral judgments should follow logically from their premises (2) They should be compatible with other beliefs (no inconsistency) Based on Facts (information is necessary) Based on Acceptable Moral Principles (considered moral beliefs, among others)

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