In recent years, the business ethics literature has exploded in both volume and importance. Because of the sheer volume and diversity of this literature, a review article was deemed necessary to provide focus and clarity to the area. The present paper reviews the literature on business ethics with a special focus in marketing ethics. The literature is divided into normative and empirical sections, with more emphasis given to the latter. Even though the majority of the articles deal with the American (...) reality, most of the knowledge gained is easily transferable to other nations. (shrink)

A growing number of researchers in the business ethics field have used scenarios as a data gathering technique in their empirical investigations of ethical issues. This paper offers a review and critique of 26 studies that have utilized scenarios to elicit inferences of ethical reasoning, decision making, and/or intended behavior from managerial or student populations. The use of a theoretical foundation, the development of hypotheses, various characteristics germane to the use of scenarios, population and sampling issues, and the use of (...) statistical measures are explored and assessed. In the interest of improving scenario-based research, ten recommendations are presented to guide future scenario research. (shrink)

The main purpose of this paper is to put forth the concept of ethics, present ethical theories and, finally, consider some business ethics issues in the context of retailing practices. In the first part of this paper we seek to motivate the research task. The importance of conducting ethical analysis is stressed. In the second part of the paper several ethical theories: utilitarianism, deontology and virtue ethics are presented. This part serves as a basis for research interviews, e.g. it is (...) possible to examine retailers'' opinions about their professional virtues, and try to position these opinions in relation with utilitarianism and deontology. In the third part the empirical findings about the retailing business ethics are set forth. This part suggests that there prevails among retailers some kind of confusion about what are ethical issues and what is not ethical in their daily professional practices. To avoid this confusion four main principles were put forth by the Finnish retailers. The principles were: 1. Freedom versus rules; 2. Principles versus moralizing; 3. Boundaries versus transition; 4. Economy and moral versus subjective judgment. (shrink)

We critique a series of recent papers in which Reidenbach and Robin developed a multidimensional ethics scale. Our critique raises four problems for the scale. First, it is not clear what the scale measures. Second, the semantic differential items used in the scale seem problematic. Third, the scale omits several important ethical rationales. Finally, no caveats accompany the scale to alert managers about its proper and improper use.

This inter‐temporal study compares the ethical attitudes of business students at three points: in 2001, when the economy was relatively healthy; in 2009, near the beginning of the current recession; and in 2010, when the economy was worse. Ethical attitudes were measured by replicating a popular survey consisting of 25 ethically charged vignettes. The survey measures willingness to engage in white‐collar crime behaviors, some clearly illegal; others marginally unethical. Findings show an increase in tolerance for clearly illegal behaviors from 2001 (...) to 2009 and an increase in tolerance for an even broader array of unethical acts from 2009 to 2010. As compared with 2001 respondents, 2009 respondents were more tolerant of seriously illegal behaviors but less tolerant of marginally unethical ones. In 2010, respondents were more accepting of both kinds of unethical behaviors. The results also suggest that the change in ethical attitudes from 2009 to 2010 was larger than the average annual change in ethics from 2001 to 2009. These findings are discussed within the framework of classical strain theory, Agnew's General Strain Theory, and the legitimacy of social institutions. (shrink)

Ethical concerns of Internet users continue to rise. Accordingly, several scholars have called for systematic empirical research to address these issues. This study examines the conceptualization and measurement of consumers' perceptions regarding the ethics of online retailers (CPEOR). Also, this research represents a first step into the analysis of the relationship between CPEOR, consumers' general Internet expertise and reported positive word of mouth (WOM). Results, from a convenience sample of 357 online shoppers, suggest that CPEOR can be operationalized as a (...) second-order construct composed of four dimensions: security, privacy, fulfillment, and non-deception. Our findings also indicate that consumers' general Internet expertise significantly improves CPEOR and CPEOR are strongly predictive of consumers' WOM. Managerial and research implications are offered. (shrink)

Ethical concerns of Internet users continue to rise. Accordingly, several scholars have called for systematic empirical research to address these issues. This study examines the conceptualization and measurement of consumers' perceptions regarding the ethics of online retailers. Also, this research represents a first step into the analysis of the relationship between CPEOR, consumers' general Internet expertise and reported positive word of mouth. Results, from a convenience sample of 357 online shoppers, suggest that CPEOR can be operationalized as a second-order construct (...) composed of four dimensions: security, privacy, fulfillment, and non-deception. Our findings also indicate that consumers' general Internet expertise significantly improves CPEOR and CPEOR are strongly predictive of consumers' WOM. Managerial and research implications are offered. (shrink)

While e-commerce has witnessed extensive growth in recent years, so has consumers’ concerns regarding ethical issues surrounding online shopping. The vast majority of earlier research on this area is conceptual in nature, and limited in scope by focusing on consumers’ privacy issues. This study develops a reliable and valid scale to measure consumers’ perceptions regarding the ethics of online retailers. Findings indicate that the four factors of the scale – security, privacy, non-deception and fulfillment/reliability – are strongly predictive of online (...) consumers’ satisfaction and trust. The results offer important implications for e-retailers and are likely to stimulate further research in the area of e-ethics from the consumers’ perspective. (shrink)

This study uses the ATBEQ, as published by J.F. Preble and A. Reichel (1988) to measure attitudes towards ethical business attitudes held by final year South African Bachelor of Commerce students at Rhodes University. Three samples of students were assessed over three consecutive years of 1989, 1990 and 1991, and results are compared with samples (1988) of American and Israeli students and a sample (1991) of Western Australian students. A significant difference in attitudes was found to exist between the Israeli (...) and South African samples. A factor analysis of the questionnaire identified eleven factors of which seven are theoretically labelled. A revised version of the ATBEQ is suggested which excludes the poorly performing questions. (shrink)

Recent high-profile corporate scandals are reminiscent of the corporate raider scandals of the 1980s, suggesting that ethical scandals may occur in waves. This article provides a framework for analysis of this question by suggesting that ethical attitudes may be cyclical about long-term secular trends. We provide some empirical evidence from previously published work for the existence of cycles as well as a potential mechanism for their propagation, namely widespread publicity about a particularly salient event, e.g., Enron. Further, we posit that (...) long-run secular trends would be affected through more deliberate, cognitive means, e.g., instruction in business ethics. We also discuss an important research implication, namely that traditional cross-sectional “book-end” studies surveying ethical attitudes at two different points in time may be unable to disentangle short-run cyclical movements from long-term secular trends. (shrink)

Due in part to a growing realization of the importance of the role that retailing plays in the marketing channel, and to the increasing numbers of college graduates being employed by retailers, growing attention is being placed on business students'' ethical perceptions of retailing practices. This study continues this focus by examining the ethical perceptions of collegiate business students attending two different universities which likely represent two different microcultures — conservative evangelical Protestant and secular.The results suggest that ethical perceptions may (...) vary between the students attending two universities which likely represent differing microcultures. The students attending the conservative evangelical Protestant university appear to possess ethical perceptions which are significantly more ethical than those of students attending the public university. Evidence was observed, therefore, which suggests that ethical perceptions may vary across students from differing microcultures. (shrink)

The purpose of this study was to extend the previous research on ethics in retailing. Prior research of Dornoff and Tankersley (1985–1976), Gifford and Norris (1987), Norris and Gifford (1988), and Burns and Rayman (1989) examined the ethics orientation of retail sales persons, sales managers, and business school students. These studies found the college students less ethically-oriented than retail sales people and retail managers. The present study attempts to extend the research on ethics formation to a geographically and academically diverse (...) sample, and to determine if retail management experience in the form of a professional practicum or internship, or entry level management training programs, such as experienced by recent graduates, are critical factors in the formation of business ethics. The sample consisted of thirty-three students majoring in Human Ecology with a concentration in Retail Merchandising and 51 recent graduates of the retail Merchandising program. The series of fourteen vignettes developed by Dornoff and Tankersley (1975–1976) was used. An acknowledged limitation of this study is the validity of the questionnaire developed by Dornoff and Tankersley due to the method of development and new laws concerning warranties and credit etc. which have occurred since 1976. The instrument was used, however, to maintain consistency with earlier studies for the purpose of comparison of groups. No significant differences were found in the students' perceptions of the fourteen actions presented in the vignettes, but the range of the responses in the post-internship tests increased in many cases. The alumni appeared to be slightly more ethical than the students but not as ethical as the managers surveyed in 1986 by Norris and Gifford. Indications are that the critical point of ethics formation may be at the mid-management level and that internships and management training programs have little effect on the ethical perceptions of participants. These findings are consistent with studies such as Gable and Topol (1988), and Jordan and Davis (1990) which showed high Machiavellian scores among young retailing executives, often buyers, as opposed to upper level retailing management. Scales with measure Machiavellianism, or manipulativeness, have been used as an alternative method of examining business ethics. (shrink)

This paper addresses a number of important issues regarding the ethical practices and recent behaviour of large Australian firms in nine industries. These issues include whether firms have a written code of ethics, whether firms have a forum for the discussion of ethics, whether managers consider that their firm's activities have an environmental impact and whether there are any statistical relationships between the size, industry class, ownership, international involvement and location of the firm and its ethical management practices. These questions (...) are examined by using data collected from a sample of 136 large firms operating in Australia. (shrink)

Entrepreneurs sometimes make unethical decisions that have devastating effects on their companies, stakeholders, and themselves. We suggest that insights into the origins of such actions can be acquired through attention to personal motives and their impact on moral disengagement—a cognitive process that deactivates moral self-regulation, thus enabling individuals to behave in ways inconsistent with their own values. We hypothesize that entrepreneurs’ motivation for financial gains is positively related to moral disengagement, while their motivation for self-realization is negatively related to this (...) process. Results obtained with a sample of founding entrepreneurs offered support for the first prediction, as well as support for the prediction that moral disengagement is positively related to the tendency to make unethical decisions. (shrink)