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Switch to: References
Citations of:
Corporate Strategy and the Search for Ethics
Journal of Business Ethics 11 (7):514-554 (1992)
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Abstract:Extrapolating from Carroll’s four domains of corporate social responsibility (1979) and Pyramid of CSR (1991), an alternative approach to conceptualizing corporate social responsibility (CSR) is proposed. A three-domain approach is presented in which the three core domains of economic, legal, and ethical responsibilities are depicted in a Venn model framework. The Venn framework yields seven CSR categories resulting from the overlap of the three core domains. Corporate examples are suggested and classified according to the new model, followed by a discussion (...) |
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This exploratory study examines how managers and professionals regard the ethical and social responsibility reputations of 60 well-known Australian and International companies, and how this in turn influences their attitudes and behaviour towards these organisations. More than 350 MBA, other postgraduate business students, and participants in Australian Institute of Management management education programmes were surveyed to evaluate how ethical and socially responsible they believed the 60 organisations to be. The survey sought to determine what these participants considered 'ethical' and 'socially (...) |
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We understand responsible leadership as a social-relational and ethical phenomenon, which occurs in social processes of interaction. While the prevailing leadership literature has for the most part focussed on the relationship between leaders and followers in the organization and defined followers as subordinates, we show in this article that leadership takes place in interaction with a multitude of followers as stakeholders inside and outside the corporation. Using an ethical lens, we discuss leadership responsibilities in a stakeholder society, thereby following Bass (...) |
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Confronted with mounting pressure to ensure accountability vis-à-vis customers, citizens and beneficiaries, organizational leaders need to decide how to choose and implement so-called accountability standards. Yet while looking for an appropriate standard, they often base their decisions on cost-benefit calculations, thus neglecting other important spheres of influence pertaining to more broadly defined stakeholder interests. We argue in this paper that, as a part of the strategic decision for a certain standard, management needs to identify and act according to the needs (...) |
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The phenomenon of globalization of markets has been accompanied by calls for a globalization of ethical norms. One principle often referred to in such calls is the so-called Golden Rule. The rule, often stated as Do unto others as you would have others do unto you, has long been used and referenced in the business literature. But those who use it often do so without full realization of the rule itself and what it stands for. This paper examines the history, (...) |
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In recent years, much discussion has taken place regarding the social role of firms and their responsibilities to society. In this context, the role of universities is crucial, as it may shape management students’ attitudes and provide them with the necessary knowledge, skills and critical analysis to make decisions as consumers and future professionals. We emphasise that universities are multi-level learning environments, so there is a need to look beyond formal curricular content and pay more attention to implicit dimensions of (...) |
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This article presents a conceptual exploration of public opinion (PO) from the point of view of corporate social responsiveness (CSR2). The proposed PO-CSR2 framework encompasses four complementary means of framing public opinion: the philosophy of measurement of the market view (PO1); the action theory of the mobilization view (PO2); the negative, constraining mode of the social control view (PO3); and the proactive stance of the strategic enactment view (PO4). The article unfolds the particular characteristics of these four views and shows (...) |
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The author offers a modification and extension of existing organizational transformation approaches by drawing on values-oriented and stakeholder management paradigms currently popular in literature. Many of the current values-based change paradigms offer vague guidance as to how to actually create, implement and sustain a strategically and operationally excellent organization as an extension of a stakeholder-based cultural mindset. Sharing the belief that organizations should be operationally and strategically sound in addition to being stakeholder centred, the suggestions presented represent an attempt to (...) |
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Abstract:Popular media, communitarian writings, and recent management literature suggest that communities and organizations are rent by factional mischief: by individuals and groups who pursue their own selfish interests without regard for the common good. An emerging solution to this problem is “transformational” leadership, which seeks to refocus individuals’ attention on higher visions and collective goals. The dangers of such a solution were identified by James Madison at the Constitutional Convention of 1787; and mechanisms to thwart it were designed into the (...) |
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This article uses concepts from sociology, history, and philosophy to explore the shifting relationship between moral values and business in the Western world. We examine the historical roots and intellectual underpinnings of two major business-society paradigms in ideal-type terms. In pre-industrial Western society, we argue that business activity was linked to society’s values of morality (the moral unity paradigm}-for good or for ill. With the rise of industrialism, we contend that business was freed from moral constraints by the alleged “invisible (...) |
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In “Moral Imagination and the Search for Ethical Decision-Making,” Patricia H. Werhane observes that people and institutions sometimes do unethical things because they have a narrow perspective on their situation and little in the way of moral imagination. She defines moral imagination as “an ability to imaginatively discern various possibilities for acting in a given situation and to envision the potential help and harm that are likely to result from a given action.” Werhane’s paper focuses on how the conceptual schemes (...) |
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This paper gives prescriptions for introducing ethical concerns into the economic theory of the firm. Topics include social responsibility, corporate governance, profit maximization, competition barriers, collusion, the market system, and welfare economics. The need for such prescriptions is based on a content analysis of 21 managerial economics texts for their coverage of ethics. My analysis finds that substantive discussions of ethics are conspicuous by their absence. As ethical breaches can involve significant monetary damages to a firm – particularly through adverse (...) |
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Although business ethics has a long history as a core theme within the realm of strategic management it has not received considerable attention in top strategy journals until recently. In this paper, we assess the state of business ethics research published over a 5-year period (2006–2010) in Strategic Management Journal to ascertain whether there has been an increase in business ethics research published in the top strategy outlet. The results of our content analysis reveal that ethics research in SMJ is (...) |
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This review offers a cautious acceptance ofthe Multidimensional Ethics Scale (MES) developed by Robin, Gordon, Jordan and Reiden-bach. While the contribution of the MES to future empirical research of individuals’ moral reasoning is welcomed, a number of reservations or criticisms are raised regarding theory confusion, instrument confusion, and fears arising when using the MES. I conclude that the MES is a valuable compliment to existing moral reasoning instruments - the Moral Judgment Interview and the Defining Issues Test - but not (...) |
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Abstract:After a decade of intensive debate, stakeholder ideas have come to exert a significant influence on academic management thinking, but normative stakeholder theory itself appears to be in considerable disarray. This paper attempts to untangle the confusion and to prepare the ground for a more productive approach to the normative stakeholder problem. The paper identifies three distinct kinds of normative stakeholder theory and three different levels of claim that can be made by such theories, and uses this classification to argue (...) |
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Abstract:This paper contends that rationality is more properly evaluated as a property of an organization’s relationships with its stakeholders than of the organization itself. We predicate our approach on the observation that stakeholders can hold goals quite distinct from those of owners and top managers, and these too can be rationally pursued. We build upon stakeholder theory and Weber’s classic distinction betweenwertrationalitatandzweckrationalitat, adding to them the “new institutionalist” concept of the organization field (1983, 1991). Stakeholders employ a variety of direct (...) |
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Abstract:The purpose of this paper is to suggest that at least one strain of what has come to be called “stakeholder theory” has roots that are deeply libertarian. We begin by explicating both “stakeholder theory” and “libertarian arguments.” We show how there are libertarian arguments for both instrumental and normative stakeholder theory, and we construct a version of capitalism, called “stakeholder capitalism,” that builds on these libertarian ideas. We argue throughout that strong notions of “freedom” and “voluntary action” are the (...) |
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We argue that the stakeholder perspective on corporate social responsibility is in the process of being enlarged. Due to the process of institutional isomorphism, corporations are increasingly adopting organizational features designed to promote proactivity over mere reactivity in their stakeholder relationships. We identify two sources of pressure promoting the emergence of the proactive corporation -- stakeholder activism and the recognition of the social embeddedness of the economy. The final section describes four organizational design dimensions being installed by the more proactive (...) |
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Corporate social responsibility (CSR) is becoming a mainstream issue as both researchers and managers are realizing its importance, but knowledge gaps persist. In particular, the processes underlying the adoption of responsible managerial practices and the effects associated with them are still at the centre of intense debate. Not surprisingly, managers expect formalized procedures that might influence corporate managerial processes and especially corporate strategies. Given the growing emphasis on the integration of CSR into corporate strategy, the purpose of this qualitative study (...) |
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Increasingly research in the field of business and society suggests that ethics and corporate social responsibility can be profitable. Yet this work raises a troubling question: Is it ethical to use ethics and social responsibility in a strategic way? Is it possible to be ethical or socially responsible for the wrong reason? In this article, we define a strategy concept in order to situate the different approaches to the strategic use of ethics and social responsibility found in the current literature. (...) |
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How is ethical theory used in contemporary teaching in business ethics? To answer this question, we undertook a survey of twenty-five of the leading business ethics texts. Our purpose was to examine the ways in which normative moral theory is introduced and applied to cases and issues. We focused especially on the authors' views of the conflicts and tensions posed by basic theoretical debates. How can these theories be made useful if fundamental tensions are acknowledged? Our analysis resulted in a (...) |
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With the dramatic collapse of bureaucratic dictatorial socialism, Business Ethicists need an antithesis to capitalism to enrich our reformist writings. Reliance on self-regulation and requesting that business executives behave in a socially responsible manner are necessary, but not sufficient, conditions for creating a "good society." The purpose of this article is to introduce readers to the works of two new age theologians – Neale Donald Walsch and Reverend Sun Myung Moon – who offer an alternative vision and paradigm for understanding (...) |
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The journalistic device of applying military imagery to describe business strategies is appropriate insofar as businesses implicitly base their strategies on a military model whose origins lie in Social Darwinism. What this involves is an unexamined understanding that any means may be adopted to achieve corporate objectives. Recent workforce reductions are manifestations of this understanding; but so are practices associated with mergers and acquisitions and with government-effectuated takings. Regulation, rather than being overbroad, cannot contain these corporate excesses; and social pressure (...) |
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Does stakeholder theory constitute an established academic field? Our answer is both “yes” and “no.” In the more than quarter-century since Freeman’s seminal contribution in 1984, this domain has acquired some of the administrative, social, and disciplinary trappings of an established field. Stakeholder research has coalesced around a unique intellectual position: that corporations must be understood within the context of their stakeholder relationships and that this understanding must grow out of the interplay between normative and social scientific insights. Yet, much (...) |
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Corporate social responsibility (CSR) is becoming a mainstream issue as both researchers and managers are realizing its importance, but knowledge gaps persist. In particular, the processes underlying the adoption of responsible managerial practices and the effects associated with them are still at the centre of intense debate. Not surprisingly, managers expect formalized procedures that might influence corporate managerial processes and especially corporate strategies. Given the growing emphasis on the integration of CSR into corporate strategy, the purpose of this qualitative study (...) |
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Abstract:This paper outlines three conceptions of the relationship between normative and empirical business ethics, views we refer to asparallel, symbiotic, andintegrative. Parallelism rejects efforts to link normative and empirical inquiry, for both conceptual and practical reasons. The symbiotic position supports a practical relationship in which normative and/or empirical business ethics rely on each other for guidance in setting agenda or in applying the results of their conceptually and methodologically distinct inquiries. Theoretical integration countenances a deeper merging ofprima faciedistinct forms of (...) |
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Abstract:Psychological forces in play across individual, group, and organizational levels of analysis increase the likelihood that people in business organizations will engage in misconduct. Therefore, it is argued, we must turn our attention from dominant normative and empirical trends in business ethics, which revolve around boundaries and constraints, and instead concentrate on methods for promoting ethical behavior in practice, exploiting psychological forces conducive to ethical conduct. This calls for a better understanding of how organizations and their inhabitants function, and, in (...) |
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Abstract:Total Quality Management (TQM) has been the object of extensive discussion within the popular literature and is increasingly of interest among management scholars. Recent scholarship has focused on the theoretical foundations of TQM, particularly what makes it work, why so many firms have had problems implementing it, and under what circumstances it may create a sustainable advantage for individual firms. This paper extends the work in theory development regarding TQM and offers an empirically testable theoretical model of its function. The (...) |
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ABSTRACT:This essay attempts to provide a useful research agenda for researchers in both strategic managementandbusiness ethics. We motivate this agenda by suggesting that the two fields started with similar interests, diverged, and are beginning to converge again. We then identify several streams that hold particular promise for developing our understanding of the relationship between strategy and ethics: stakeholder theory, managerial discretion, behavioral strategy, strategy as practice, and environmental sustainability. |
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Abstract:This essay responds to Patricia Werhane’s 1994 Ruffin Lecture address, “Moral Imagination and the Search for Ethical Decision-making in Management,” using institutional theory as an analytical framework to explore conditions that either inhibit or promote moral imagination in organizational problem-solving. Implications of the analysis for managing organizational change and for business ethics theory development are proposed. |
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Personal values have long been associated with individual decision behavior. The role played by personal values in decision making within an organization is less clear. This study examines the relationship between personal values and the ethical dimension of indicated decisions utilizing discriminant analysis. Past research has found that managers tend to respond to ethical dilemmas situationally. The study examines personal values as they relate to four types of ethical dilemmas. |
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Discerning the motives that lead businesspeople to make ethical decisions in economic contexts is important, for it aids the moral evaluation of such decisions. But conventional economic theory has for too long assumed an egoist model of motivation, to which many contrast an altruist view of ethical choices. The result is to see business decision making as implying dilemmas. On the other hand, we argue, if one assumes multiple motives, economic and ethical, in ordinary business decisions, a more fruitful model (...) |
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This study compares the different emphases on virtuous characters presented in their values, across global firms considering country and industry of origin. It presents a content analysis of the 122 codes of conduct statements from Fortune Global 500 firms, drawn from four sectors and using correspondence analysis. American firms tend to emphasize courage, while European firms emphasize integrity and empathy, surprisingly with Asian firms being closer to European ones. Retailers and pharmaceutical firms emphasize empathy, while banks and petroleum emphasize courage. (...) |
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Abstract:A marketplace of morality (MOM) is a place where individuals act under the influence of their moral desires. A MOM produces an output representing the aggregate acted-upon moral preferences of its participants. Individual behavior is influenced by POPs, or passions of propriety. People implement POP preferences when they buy stock, purchase goods and services, choose jobs and so on. Firms respond by social cause marketing and other devices which encourage customers to align their social preferences with those represented by the (...) |
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From a corporate governance perspective, one of the most important jobs of a firm's top management team is to create and maintain a positive moral environment. Business ethics has long been considered a cornerstone in the field of strategic management and a number of scholars have called for more research in this area over the years. In this paper 658 articles that appeared in "Strategic Management Journal" over the 10-year period between 1996 and 2005 are reviewed for business ethics focus (...) |
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Ally-building can be an ethical pursuit in developing sources of power for the business manager. The commitment to social responsibility is a source of power, as well as an ethical practice for corporate endeavors. Pfeffer promotes a business manager's ability to develop effectiveness with ties to powerful others in an intra-organizational environment. This paper advances an analysis about how individuals in corporations may use an inter-organizational approach to developing sources of power through a notion of corporate social responsibility. As such, (...) |
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This paper gives prescriptions for introducing ethical concerns into the economic theory of the firm. Topics include social responsibility, corporate governance, profit maximization, competition barriers, collusion, the market system, and welfare economics. The need for such prescriptions is based on a content analysis of 21 managerial economics texts for their coverage of ethics. My analysis finds that substantive discussions of ethics are conspicuous by their absence. As ethical breaches can involve significant monetary damages to a firm - particularly through adverse (...) |
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Organization ethics praxis is theory and method of appropriate action for addressing ethics issues and developing ethical organizations. The perspective of praxis (theory and method of action) is important and different from the perspectives of theoria (theory of understanding), epistemology (ways of knowing), and ontology (ways of being/existing). Praxis is the least developed area within the field of organization ethics. Differences between theoria and praxis are considered within the context of Kohlberg—Gilligan developmental ethics where part of the controversy may be (...) |
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This conceptual article discusses strategies of corporations in the information and communication technologies (ICT) sector and their role in the conflict over access to knowledge in the digital environment. Its main hypothesis is that ICT corporations are very capable actors when it comes to bridging digital divides in both developed and developing countries—maybe even the most capable actors. Therefore, it is argued that ICT corporations could use their capabilities to help citizens gain sustainable access to knowledge in order to enable (...) |
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The freedom (or its lack) of employees within large corporations has been the topic of considerable attention. Various discussions have invoked utilitarian appeals, social contract arguments, rights to meaningful jobs and analogies between corporations and state government. After briefly reviewing and rejecting these approaches, this paper contends that the legitimate exercise of corporate authority requires its accountability to a relevant group. It is then argued that the rnost relevant group are the employees over whom such power is exercised and that (...) |
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Stakeholder theory has become one of the most important developments in the field of business ethics. While this concept has evolved and gained prominence as a method of integrating ethics into the basic purposes and strategic objectives of the firm, the authors argue that stakeholder theory has retained certain “masculinist” assumptions from the wider business literature that limit its usefulness. The resources of feminist thought, specifically the work of Carol Gilligan, provide a means of reinterpreting the stakeholder concept in a (...) |
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Stakeholder management devices (SMDs) are the mechanisms through which organizations respond to stakeholder concerns. Given that SMDs serve as organizational control systems for employees and managers, this research investigates the internal rather than the external effects of a firm's SMDs. Unlike most previous research, I examined the effects of these formal structures, processes, and procedures in the aggregate, rather than focusing attention on a single type of device. The study investigates the effects of a firm's stakeholder management devices, in the (...) |
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All organizations have ethics programs which consist of both explicit and implicit parts. This paper defines corporate ethics programs and identifies a number of their components. Corporate ethics programs'' structural and behavioral dimensions are proposed which may allow further examination of such program components and their impacts. Finally, fifteen propositions are suggested which describe the influence of founder values, competitive pressures, leadership, and organizational problems on corporate ethics programs and the manageability of such programs. |
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We propose that firms that engage in morally imaginative sensemaking will manage society's changing ethical expectations more effectively than those engaging in habituated sensemaking. Specifically, we argue that managers engaging in habituated sensemaking will tend to view changes in expectations as threats and respond to them defensively. In contrast, morally imaginative managers will tend to see these same changes as opportunities and address them by proactively or interactively engaging stakeholders in learning processes. We contribute to the literature on moral imagination (...) |
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This paper questions the taken-for-granted moral portrayal depicted in the extant literature and popular media of the devoted social entrepreneurial hero with a priori good ethical and moral credentials. We confront this somewhat ‘idealistic’ and biased portrayal with insights from unique large-scale data from the Global Entrepreneurship Monitor 2009 survey on social entrepreneurship covering Belgium and The Netherlands. Binary and multinomial logistic regressions indicate that the intention and dominance of perceived social value creation over economic value creation is indeed what (...) |
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Abstract:In this paper we highlight the emergence of organizational ethics issues in health care as an important outcome of the changing structure of health care delivery. We emphasize three core themes related to business ethics and health care ethics: integrity, responsibility, and choice. These themes are brought together in a discussion of the process of Mission Discernment as it has been developed and implemented within an integrated health care system. Through this discussion we highlight how processes of institutional reflection, such (...) |
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Abstract:Scholars have developed many theories of international strategy and many theories of international ethics. Separating strategy and ethics in this way, though, perpetuates a perception that profit and ethics are mutually exclusive. Accordingly, I offer a framework that links international strategy and international ethics. I suggest that at an abstract level the strategic concepts of integration and responsiveness and the ethical concepts of justice and caring are concerned with the same theoretical quandaries. Therefore, in any situation there are behaviors that (...) |
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