This article develops a multidimensional approach for the investigation of the ethical codes of professional associations. The authors: (a) examine various ethical frameworks to identify ethical constructs, (b) select ethical constructs to apply to the assessment of professional codes of ethics, (c) content analyze conceptual and descriptive similarities and differences across a large sample of professional codes of ethics, (d) address organizational variables that affect the development of ethical codes, and (e) investigate through survey research the beliefs and attitudes of (...) association leadership toward ethical code issues. The content analysis and survey research results have implications for association leadership, its membership, public policy makers, the general public and for future research. (shrink)

This article addresses the two main obstacles — ignorance and conflict — that block the pathway to ethically proper conduct, both generally in business and specifically in marketing. It begins with a brief examination of theories of the moral good which emphasizes the Greco-Roman humanistic tradition and the Judeo-Christian religious tradition. A professional code of ethics, such as the code of the American Marketing Association, is meaningful only if human beings are regarded as making moral judgments that, objectively speaking, are (...) morally wrong, that is only when the code is considered a set of moral absolutes.Following that, the question of ignorance is dealt with utilizing the American Marketing Association code of ethics. The specific items in that code are related to the three central principles of economic justice: equivalence, contributive justice, and distributive justice. In the second section, the question of conflict is encountered in the context of four other ethical principles — double effect, culpability, good end and bad means, self-determination — that are likely to be helpful in dealing with two cases that are especially instructive because they are limiting cases: the dilemma and the hard case. The role of the hero or champion in conflicts is underscored. (shrink)

This paper investigates the regulation of ethical behavior of professionals. Ethical perceptions of South African professionals operating in the business community (specifically accountants, lawyers and engineers) concerning their need for and awareness of professional codes, and the frequency and acceptability of peer contravention of such codes were sought. The existence of conflict between corporate codes and professional codes was also investigated. Results, based on 217 replies, indicated that the professionals believe that codes are necessary and are relatively aware of the (...) contents of such codes. Despite these ethical tendencies, respondents (particularly lawyers) believe that their peers contravene their professional codes relatively often. No significant differences in ethical tendencies between professionals consulting to and those working in business were found. Many respondents were regulated by more than one code of ethics, but few experienced conflict between such codes. In the events of conflict occurring professionals chose to adhere to their professional code above others. (shrink)

The American Institute of Certified Public Accountants (AICPA) is responsible for the Code of Professional Conduct that governs the actions of CPAs. In 1988, the Code was revised by the AICPA, but a number of issues still remain unresolved or confounded by the new Code. These issues are examined in light of the profession''s stated commitment to the public good, a commitment that is discussed at length in the new Code.Specifically, this paper reviews the following issues: (1) client confidentiality and (...) whistleblowing, (2) limited liability, and (3) auditor independence. We argue that, in each of these areas, the AICPA promotes a position that is potentially harmful to the public good. (shrink)

Reidenbach and Robin (1988, 1990) proposed and refined a multidimensional ethics scale. This study replicates and extends their work by examining the generalizability of the scale beyond marketing to accounting, and to subjects from across the United States and other countries. Results indicate that, in general, the scale holds for this different sample and context. However, an additional utilitarian construct emerged in the current study as important for accounting academics in their ethical decision-making. We also found that when we refined (...) Reidenbach and Robin's measure of intention to make a particular choice, a social desirability bias or halo effect was identified. Methodological implications for business ethics research are also presented. (shrink)

Differences in ethical ideology are thought to influence individuals'' reasoning about moral issues (Forsyth and Nye, 1990; Forsyth, 1992). To date, relatively little research has addressed this proposition in terms of business-related ethical issues. In the present study, four groups, representing four distinct ethical ideologies, were created based on the two dimensions of the Ethical Position Questionnaire (idealism and relativism), as posited by Forsyth (1980). The ethical judgments of individuals regarding several business-related issues varied, depending upon their ethical ideology.

As in other professions, such as law and medicine, accounting has a Code of Professional Conduct (Code) that members are expected to abide by. In today''s legalistic society, however, the question of what is the right thing to do, is often confused with what is legal? In many instances, this may present a conflict between adhering to the Code and doing what some may perceive as proper ethical behavior. This paper examines (1) the reasoning process that CPAs use in resolving (...) ethical issues related to confidentiality; and, (2) whether or not there is a perceived conflict in adhering to the Code and the moral values of some CPAs. The results indicate that although most CPAs sampled resolve ethical issues in accordance with the Code, such decisions do not always reflect their belief of what is morally right. Although the results are useful in understanding how some CPAs reason in making moral choices involving confidentiality decisions, care should be exercised in drawing further inferences from this study due to the limited sample size. (shrink)

How do social audiences negotiate and handle stigmatized organizations? What role do their heterogenous values, norms and power play in this process? Addressing these questions is important from a business ethics perspective to improve our understanding of the ethical standards against which organizations are judged as well as the involved prosecutorial incentives. Moreover, it illuminates ethical concerns about when and how power imbalances may induce inequity in the burdens imposed by such social evaluations. We address these questions building on two (...) event-based case studies involving Hells Angels Motorcycle Club Norway, and contribute to organizational stigma theory in three ways. First, social evaluations of a stigmatized organization by multiple audiences are found to interact, collide and combine in a labelling contest. Second, we show that labels employed in this contest are pushed to either negative extremes or positive extremes. Finally, we show when and how power represents a double-edged sword in social evaluation processes, which can be wielded either to the benefit or to the detriment of the actors under evaluation. (shrink)

This paper reports on a survey that investigated the moral decision processes of accountants. A formal belief revision model is adapted and hypotheses based on theorizations from the cognitive-developmental school are tested. The moral decision processes of accountants are hypothesized to be influenced by professional expectations, organizational expectations and internalized expectations. Subjects provided specific demographic data and were asked to access the appropriateness of fourteen principles for making moral decisions in business. Subjects were also asked to indicate which of the (...) fourteen approaches would be most appropriate for resolving each of five ethical situations that are representative of common ethical dilemmas in accounting.Subjects'' responses to the appropriateness of the fourteen principles are reduced to two dimensions using factor analysis. The factors are consistent and representative of important underlying dimensions of the stages of moral development. Demographic variables are correlated with the extracted factors using analysis of variance. (shrink)

This study applies a theoretical framework, the theory of reasoned action, to the examination of unethical decision making in job-related situations encountered by CPAs. A survey methodology was employed in which respondents were asked to use both self-reported and randomized response techniques for reporting unethical behavior. The results indicate that individuals are unwilling to accurately report either unethical behavior or intention, particularly in situations where there is no question as to the unacceptability of the action or the potential penalty as (...) presented in the AICPA Code of Professional Conduct. Implications for the accounting profession and research are discussed. (shrink)

The accounting profession has emphasized the need for ethics education in the accounting curriculum. The current study examines professional commitment and anticipatory socialization, operationalized by perception of financial reporting, as possible determinants of Accounting students' ethical perceptions and intentions. Accounting students with higher levels of professional commitment and higher perception of the importance of financial reporting were more likely to perceive questionable actions as unethical and less likely to engage in such actions compared to those students with lower commitment and (...) lower perception of financial reporting. The results have implications for accounting instructors and accounting employers as they socialize students in the accounting profession at this early stage. (shrink)

We extend the Theory of Planned Behavior (TPB) for ethics in the workplace. Using a path modeling methodology, we find evidence that, for ethics, moral disengagement is an antecedent to the TPB predictors of attitude, subjective norms, and perceived behavioral control (PBC). We show that the TPB predictors mediate the influence moral disengagement has on ethical behavioral intentions. Thus, to improve ethical behavior, reducing moral disengagement is critical. We find support for including both types of PBC (self-efficacy and locus of (...) control) when modeling ethical behavior. We use four ethics scenarios and international data to test this model. We also evaluate potential positive influences on ethics in the workplace and find that recency of ethics training interacts with religiosity and activates it to reduce moral disengagement. We also find that principles-based ethics training enhances professionals’ self-efficacy to behave ethically. Experience, including time as a member in a professional accounting organization, increases both locus of control and self-efficacy to behave ethically. These variables—recency of ethical training, religiosity, principles-based professional ethics training, and experience—influence parts of the core TPB model, which in turn lead to improved ethical behavioral intentions. (shrink)

The purpose of this study is to expand our understanding of the factors that influence ethical behavioral intentions of public accountants. Recent scandals have dominated the news and have caused legislators, regulators and the public to question the role of the accounting profession. Legislative changes have brought about major structural changes in the profession and continued scrutiny will surely lead to further changes. Thus, developing an understanding of the personal and contextual factors that influence ethical decisions is critical. An extension (...) of the theory of planned behavior [Ajzen, I.: 1985, Action Control-From Cognition to Behavior ], the model used in this study examined the influence of personal, social and organizational factors on ethical intentions. Specifically, the individual level model tested direct eects of attitudes, subjective norms, perceived behavioral control, moral sensitivity and ethical climate. Professionals from five accounting firms completed a survey that measured responses to ethical dilemmas related to the public accounting domain. To minimize the potential impact of common method bias, the survey instrument was administered in two phases. Hypotheses were evaluated using a structural modeling technique, partial least squares. Results show strong support for a direct relationship between attitudes and ethical intentions. The proposed direct eect of subjective norms was not supported. However, a significant relationship between subjective norms and attitudes was found. Professionals' attitudes towards ethical issues clearly influence intentions. Moreover, this study illustrates the potential influence of social factors in attitude formation. Future research should explore the factors in the public accounting domain that most strongly influence attitude formation. This study suggests that the theory of reasoned action oers a useful framework for exploring these issues. (shrink)

Ethical decision-making is an important function among accountants. This paper sought to determine the factors influencing the ethical intentions of future accounting professionals. Specifically, this study tested the applicability of the theory of reasoned action , theory of planned behavior and the extended model of the theory of planned behavior in predicting accounting students’ intentions to act unethically . Data was collected via a survey questionnaire from 298 accounting students at a Caribbean university. Results revealed that the independent variables significantly (...) predicted students’ intentions to breach confidentiality and charge personal expenses. Our findings show that the ETPB is a good predictor of ethical intentions among future accounting professionals. (shrink)