Ethical Approaches Quiz

Ethics in International Business

• Core starting point for addressing ethics involves recognizing cultural differences and establishing a framework for ethical practices across borders.
• An ethical strategy refers to a business approach that integrates ethical considerations into decision-making and operations to maintain integrity and accountability.

Factors Contributing to Ethical Issues

• Differences in legal standards and cultural norms can lead to ethical dilemmas in international operations.
• Economic and social pressures in host countries may complicate ethical decision-making for multinational corporations.

Work Conditions Standards

• When host nation work conditions are inferior, multinational companies must adhere to either the local standards or their home nation’s ethical standards.

Common Ethical Issues

• The most prevalent ethical issue in international business is labor exploitation, including unfair wages and unsafe working conditions.

Global Ethical Standards Challenges

• Difficulty in establishing global ethical standards arises from varying cultural norms, legal frameworks, and economic conditions across nations.

Social Issues Exclusion

• Not all business practices, such as profit maximization, constitute social issues in international business.

Philosophical Perspectives

• Milton Friedman championed the idea that the primary responsibility of business is to increase profits while obeying the law.
• Consequentialism is an ethical approach where the moral value of an action is measured by its outcomes.
• Kantian ethics emphasizes treating individuals as ends in themselves and not merely as means to an end.
• Distributive justice focuses on equitable distribution of economic resources.

Managerial Ethical Implications

• Ethical decision-making internationally requires understanding diverse ethical frameworks and tailoring business practices accordingly.

Moral Courage

• Moral courage empowers managers to uphold ethical standards and take stands against unethical practices, even under pressure.

Corporate Social Responsibility (CSR)

• CSR is based on the concept that businesses have responsibilities beyond profit generation, including societal and environmental accountability.

Human Rights Context

• Certain rights not explicitly recognized in developed nations may include social or economic rights that are often overlooked.

Sullivan Principles Overview

• The Sullivan Principles advocated for fair employment practices and improved conditions under South Africa's apartheid, promoting equal treatment.

Business with Repressive Regimes

• Engaging in business with repressive regimes raises significant ethical questions about complicity in human rights violations.

Tragedy of the Commons

• This concept illustrates the conflict between individual interests and communal resources, leading to environmental degradation.

Combating Bribery Convention Purpose

• The convention aims to curtail corruption in international business by promoting transparency and accountability in dealings with foreign public officials.

Formation of Personal Ethics

• Personal ethics are shaped by various influences, including upbringing, culture, education, and life experiences.

Determinants of Ethical Behavior

• Six key factors impacting ethical behavior include individual moral philosophies, organizational culture, formal policies, industry norms, ethical leadership, and personal beliefs.

Sustainable Strategies

• Sustainable strategies promote practices that ensure long-term viability and accountability to stakeholders while minimizing environmental impact.

Core Idea of Sustainability

• Sustainability seeks to balance economic growth, environmental stewardship, and social wellbeing for present and future generations.

Precautionary Principle

• This principle advocates for preventive action in the face of uncertainty, aiming to avoid harm to the public or the environment.

Engaging in Ethical Behavior

• Engaging in ethical behavior means making choices that align with personal and societal values, prioritizing integrity over profitability.

Ethical Problem-Solving Process

• The first step involves identifying the ethical dilemma clearly and precisely, considering the implications of various actions.

Stakeholder Analysis

• Stakeholder analysis is the process of assessing the expectations, interests, and influence of all parties affected by business decisions.

Second Step in Ethical Problem-Solving

• The second step entails gathering relevant information to understand better the context and consequences of potential actions.

Moral Intent Definition

• Moral intent refers to the commitment to act ethically, prioritizing ethical considerations over profit or personal gain.

Final Step in Ethical Problem-Solving

• The fifth step involves evaluating the outcomes of the chosen course of action and reflecting on the ethical implications to inform future decisions.

Test your knowledge of different philosophical approaches to ethics and their implications for ethical decision making. Explore concepts like straw men, the Friedman Doctrine, and cultural relativism. Discover how these ideas shape our understanding of what is morally right and wrong.