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Exhibit 15.1: Areas of Ethical and Social Responsibility Concerns for the Multinational Company

Exhibit 15.1: Areas of Ethical and Social Responsibility Concerns for the Multinational Company

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Exhibit 15.1: Areas of Ethical and

Social Responsibility Concerns for the

Multinational Company



Copyrightâ 2005 South-Western/Thomson Learning All rights reserved



Ethical Philosophy

Two

Two ways

ways toto consider

consider ethical

ethical decision

decision making

making

Traditional

Traditional ethical

ethical philosophy

philosophy

Contemporary

Contemporary philosophy

philosophy



Copyrightâ 2005 South-Western/Thomson Learning All rights reserved



Basic Systems of Ethical

Reasoning

•• Teleological

Teleological ethical

ethical theory

theory

•• Morality

Morality ofof an

an act

act or

or practice

practice comes

comes from

from its

its

consequences

consequences

•• Utilitarianism:

Utilitarianism: what

what isis good

good and

and moral

moral comes

comes from

from

acts

acts that

that produce

produce the

the greatest

greatest good

good for

for the

the greatest

greatest

number

number ofof people

people



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Deontological Ethical Theory

•• Actions

Actions have

have aa good

good or

or bad

bad morality

morality regardless

regardless ofof the

the

outcomes

outcomes they

they produce

produce



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Moral Languages

•• Basic

Basic ways

ways that

that people

people use

use toto make

make ethical

ethical decisions

decisions

and

and toto explain

explain their

their ethical

ethical choices

choices

•• Six

Six basic

basic ethical

ethical languages

languages

•• Virtue

Virtue and

and vice

vice

•• Self-control

Self-control

•• Maximizing

Maximizing human

human welfare

welfare

Avoiding

Avoiding harm

harm

Rights/duties

Rights/duties

Social

Social contract

contract

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National Differences in

Business Ethics and Social

Responsibility

•• National

National culture

culture and

and social

social institutions

institutions affect

affect ethical

ethical

behavior

behavior and

and social

social responsibility

responsibility



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Messner and Rosenfeld

•• Argue

Argue that

that specific

specific national

national culture

culture and

and social

social

institutions

institutions affect

affect ethics

ethics

•• National

National cultures:

cultures: high

high achievement,

achievement, high

high

individualism,

individualism, high

high universalism,

universalism, high

high materialism

materialism

are

are all

all related

related toto higher

higher deviance

deviance

•• Social

Social institutions:

institutions: high

high industrialization,

industrialization, capitalist

capitalist

systems,

systems, lower

lower family

family breakdown

breakdown and

and highly

highly

accessible

accessible educational

educational systems

systems should

should all

all

encourage

encourage deviance

deviance

Copyright© 2005 South-Western/Thomson Learning All rights reserved



Exhibit 15.2: A Model of Institutional

and Cultural Effects on Business

Ethics Issues and Management



Copyright© 2005 South-Western/Thomson Learning All rights reserved



Exhibit 15.3: Comparison of Key

Ethical Issues Identified by Senior U.S.

and EU Managers



Copyright© 2005 South-Western/Thomson Learning All rights reserved



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Exhibit 15.1: Areas of Ethical and Social Responsibility Concerns for the Multinational Company

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