This paper applies emerging research on epistemic virtues to business ethics. Inspired by recent work on epistemic virtues in philosophy, I develop a view in which epistemic virtues contribute to the acquisition of knowledge that is instrumentally valuable in the realisation of particular ends, business ends in particular. I propose a conception of inquiry according to which epistemic actions involve investigation, belief adoption and justification, and relate this to the traditional ‘justified true belief’ analysis of knowledge. I defend the view (...) that epistemic virtues enable and/or motivate people to perform epistemic actions. An examination of the key epistemic virtues of love of knowledge, epistemic courage, temperance, justice, generosity and humility provides some initial evidence suggesting that the way epistemic virtues enable or motivate is by countering a number of biases that have been uncovered by behavioural economics, and also indicates ways in which the instrumental epistemic value view is superior to other approaches to epistemic virtue offered in the literature. (shrink)

As part of their corporate social responsibility, many organizations practice cause-related marketing, in which organizations donate to a chosen cause with every consumer purchase. The extant literature has identified the importance of the fit between the organization and the nature of the cause in influencing corporate image, as well as the influence of a connection between the cause and consumer preferences on brand attitudes and brand choice. However, prior research has not addressed which cause composition most appeals to consumers or (...) the impact of cause choice on corporate image. A between-subjects field experiment in the Netherlands examines the influence of three core cause attributes—cause type, cause scope, and cause acuteness—on consumers’ perceptions of corporate image. Furthermore, this experiment examines the extent to which consumer identification with the cause mediates the influence of the cause attributes on corporate image. The findings indicate that identification with the cause leads to more positive evaluations of marketing campaigns for cause type and cause scope. Also, however, our results uncover a negative direct relationship between cause scope and corporate image. Cause acuteness is only marginally influential in corporate image perceptions. By proposing and testing a comprehensive model of the influence of cause attributes on corporate image in cause-related marketing, this article provides important implications and suggests avenues for further research. (shrink)

We considered the question of how corporate social responsibility differs between Canada and the U.S. Prior research has identified that national institutional differences exist between the two countries [Freeman and Hasnaoui, J Business Ethics 100:419–443, 2011], which may be associated with variations in their respective CSR practices. Matten and Moon [Acad Manag Rev 33:404–424, 2008] suggested that cross-national differences in firms’ CSR are depicted by an implicit–explicit conceptual framework: explicit CSR practices are deliberate and more strategic than implicit CSR practices. (...) We compared Canada and U.S. CSR and examined how CSR strategic alliances, CSR reporting, and CSR performance in the two countries correspond to implicit versus explicit CSR practices, which we link to stakeholder and signaling perspectives. We relied upon a new database, the Sustainalytics Global Platform, and we found a positive association exists between CSR strategic alliances and the number of years that firms have issued standalone CSR reports in both countries. Moreover, we found that CSR scores mediated this association in the U.S., as U.S. firms with high CSR scores typically engage in more CSR strategic alliances. In Canada, we did not find this mediating effect. Our findings suggest that U.S. firms engage in signaling activities that are more strategic and explicit than their Canadian counterparts. This paper closes with implications for practice and theory. (shrink)

The nature of the sales manager/salesperson relationship is examined. Our study investigates the level of agreement between sales managers and salespeople on the importance of the salesperson having specific internal virtues in order to do their job properly. Unlike external virtues that can be codified into codes of conduct, internal virtues are traits that cannot be codified but rather are part of the spiritual makeup of the person. Findings suggest that the level of agreement between sales managers and salespeople in (...) this area drives satisfaction with the sales manager and organizational commitment. Further, contrary to studies which use a summated job satisfaction measure, which consists of several facets of job satisfaction, satisfaction with the sales manager has a direct relationship with turnover intent. (shrink)

This work focuses on corporate social responsibility disclosure practices of multinational corporations. Based on a longitudinal study of CSR reports of companies operating in the automotive industry, the paper offers a detailed study of how disclosure practices are changing and which principles and approaches influence and drive the development of such disclosure. Based on a four-year report-based study, the findings enable us to identify three main trends in the CSR disclosure strategy of automotive firms. First, in line with the mainstream (...) CSR literature, the present study confirms the trend towards the increasing environmental and social accountability. Second, it adds evidence to the emerging debate regarding the harmonization and standardization of reporting and discusses this aspect by mentioning the standards as exerting some normative pressures within the sector. Finally, it provides evidence on specific links emerging between issues and actors. The implications of this evidence contribute to opening up the debate on CSR disclosure to the possibility of combining the institutional lens with a strategic approach that captures the materiality considerations of CSR disclosure. (shrink)

The study here is a qualitative research based on multiple case studies of banking service providers to analyze the role of corporate social responsibility (CSR) in the definition of the corporate identity of these kinds of organizations. The results show that, although companies increasingly integrate CSR into their business strategies, there are some aspects of its management such as its communication or the measurement of its results that detract from its success. These results have important implications for those managers pursuing (...) an effective management of CSR policies and strategies in their organizations, especially as the information comes from 6 of the biggest and most important banking institutions in a European country, with a declared assets (loans) volume which represents 62.75% of the total assets in the national banking industry, and thus largely representing the possible heterogeneity of the market in terms of company size, location, legal status, and management styles. (shrink)

Of the many ethical corporate marketing practices, many firms use corporate social responsibility (CSR) communication to enhance their corporate image. Yet, consumers, overwhelmed by these more or less well-founded CSR claims, often have trouble identifying truly responsible firms. This confusion encourages ‘greenwashing’ and may make CSR initiatives less effective. On the basis of attribution theory, this study investigates the role of independent sustainability ratings on consumers’ responses to companies’ CSR communication. Experimental results indicate the negative effect of a poor sustainability (...) rating for corporate brand evaluations in the case of CSR communication, because consumers infer less intrinsic motives by the brand. Sustainability ratings thus could act to deter ‘greenwashing’ and encourage virtuous firms to persevere in their CSR practices. (shrink)

While environmental claims are increasingly used by companies to appeal consumers, they also attract greater scrutiny from independent parties interested in consumer protection. Consumers are now able to compare corporate environmental claims against external, often disconfirming, information to form their brand attitudes and purchase intentions. What remains unclear is how the level of information specificity of both the environmental claims and external disconfirming information interact to influence consumer reactions. Two experiments address this gap in the CSR communication literature. When specific (...) claims are countered by specific external information, consumers report more negative brand attitudes and lower purchase intentions. The effect is serially mediated by skepticism toward the claims and lack of corporate credibility. We conclude by discussing strategies that firms can utilize to avoid information dilution and ensure that external disconfirming information percolates to consumers as specific. (shrink)

This article presents a descriptive conceptual framework comprising four different company configurations with respect to orientations toward corporate social responsibility (CSR). The four types are Skeptical, Pragmatic, Engaged, and Idealistic. The framework is grounded in instrumental and normative stakeholder theory, and a company's configuration is based on its instrumental and/or normative stance toward stakeholders. Its configuration indicates what position a company adopts in relation to CSR. This article argues that there is no one formula to fit all companies, descriptively or (...) prescriptively, but the potential variety in approaches to CSR is not infinite, as it can be distilled logically into a few fundamental approaches, embodied in the four organizational configurations presented in the conceptual framework. Each configuration constitutes a middlerange theory of interlocking characteristics in terms of CSR, and so each type of company will assume responsibilities to civil society in ways consistent with its configurational characteristics. The framework incorporates previous empirical findings and theoretical explanations. It is intuitively clear and reasonable to managers, and thus, has practical value in organizational management. (shrink)

Firms engage in social responsibility activities for diverse reasons. This study focuses on understanding firms' instrumental motivations for engaging in socially responsible activities. We suggest that the instrumental motivations underlying firms' corporate social responsibility engagement are associated with their market, learning, and risk-related behaviors; thus, we identify market orientation, learning orientation, and risk-taking attitudes as three constructs that influence firms' CSR engagement. This research was conducted in the Norwegian firewood sector, in which CSR expectations are high and in which we (...) expect CSR engagement to be encouraged by both instrumental and normative motivations. The firms in this study are micro-firms with fewer than 10 employees and represent an important but highly neglected segment of firms in CSR research. Data obtained from 230 firms were analyzed using structural equation modeling. Our results indicate that market orientation, learning orientation, and risk-taking attitudes affect social responsibility toward different stakeholder groups in different ways. In some cases, the size and age of firms also affect these relationships. (shrink)

Ethical scandals in business are all too common. Due to the increased public awareness of the transgressions of business executives and the potential costs associated with these transgressions, ethical leadership is among the top qualities sought by organizations as they hire and promote managers. This search for ethical leaders intersects with a labor force that is becoming more racially diverse than ever before. In this paper, we propose that the ethical leadership qualities of business leaders may be perceived differently depending (...) upon the race of the leader. Using two experimental studies in the USA, we examine the difference in ethical leadership perceptions between a Black hypocritical CEO and an ethical CEO. Next, we consider a Black ethically ambiguous CEO and an ethical CEO. The findings indicate that a Black leader faces larger negative impact in hypocritical and ambiguous conditions than a similar White leader. There were no significant race effects in the ethical conditions in which a leader demonstrated a personal commitment to ethics through words or actions. We discuss the implications of these findings. (shrink)

Previous research on corporate community involvement (CCI) initiatives indicates that such behaviour is critical for building neighbourhood relationships and extending corporate influence in the community, but there is little theoretical work that provides a clear picture of managing the nature of the initiatives from different stakeholder management approaches. Drawing from theoretical insights of stakeholder theory and the concept of social capital, this article proposes nine strategic directions for CCI initiatives, and concludes by discussing the management implications of the proposed strategic (...) directions. Our proposed approaches have the potential to improve current understanding and practice of corporations and their CCI initiatives. (shrink)

The purpose of cause-related marketing is to capitalise on a firm’s social engagement initiatives to achieve a positive return on a firm’s social investment. This article discusses two strategic perspectives of cause-related marketing and their impact on a firm’s decision-making regarding campaign development. The instrumental dominant logic of cause-related marketing focuses on attracting customers’ attention in order to generate sales. The relational dominant logic of cause-related marketing focuses on building relationships with the target stakeholders through the enhancement of a firm’s (...) legitimacy. The combination of these two types of logic gives rise to four types of cause-related marketing: altruistic, commercial, social and integrative. This paper uses the qualitative method to explore a firm’s marketing decision choices regarding campaign-related decision dimensions—campaign duration, geographical scope, cause selection, and implementation strategy—for each type of cause-related marketing. The finding provides theoretical, managerial and public policy implications. (shrink)

In both their external and internal communications, organizations tend to present diversity management approaches and corporate social responsibility initiatives as a kind of morally ‘good’ organizational practice. With regard to the treatment of employees, both concepts largely assume equality to be an indicator of organizational ‘goodness’, e.g. in terms of equal treatment, or affording equal opportunities. Additionally, research on this issue predominantly refers to prescriptive and imperative moralities that address the initiatives themselves, and values them morally. Schopenhauer opposes these moralities (...) by conceptualizing morality as exclusively being based on the incentives of acting instead of the actions themselves. He identifies egoism, compassion, and malice as the sole incentives for every human action, whereby only those actions solely motivated by compassion can be ascribed genuine moral worth. In this context, this article shows that from a Schopenhauerian perspective, CSR and DM initiatives only have a genuine moral worth in so far as the individuals who have initiated or supported their implementation were exclusively motivated by compassion. Stressing the narrative of a business case, if utilized as a façade for true compassion that attaches economic legitimacy to these initiatives, does not necessarily harm their moral worth. The approach and the findings developed in this paper contribute to the discourse on the ethical behavior of organizations, as well as to the discourse on CSR and DM. (shrink)

Executive compensation has long been a prominent topic in the management literature. A main question that is also given substantial attention in the business ethics literature—even more so in the wake of the recent financial crisis—is whether increasing levels of executive compensation can be justified from an ethical point of view. Also, the relationship of executive compensation to instances of unethical behavior or outcomes has received considerable attention. The purpose of this paper is to explore the social, ecological, and existential (...) costs of economic incentives, by discussing how relying on increasing levels of executive compensation may have an adverse effect on managerial performance in a broad sense. Specifically, we argue that one-dimensional economic incentives may destroy existential, social, and systemic values that influence the manager’s commitment to ensure responsible business conduct, and have negative spillover effects that may reduce the manager’s performance. There are well-documented findings that demonstrate that reliance on sources of extrinsic motivation (such as economic incentives) may displace intrinsic motivation. Our perspective is a holistic one, in the sense that we will explore the influence of sources of extrinsic motivation on the manager’s intrinsic commitment to different types of values. We will in particular investigate how it may influence the manager’s ethical reflection and behavior or lack thereof. (shrink)

Existing scholarly work on corporate social responsibility frequently emphasizes either normative/ethical claims about social progress or instrumental/strategic claims about corporate effectiveness, yet less often acknowledges the moral conditions of those undertaking CSR within a specific cultural context. In this paper, we draw attention to the social conditions in which CSR takes place and the related ethics of the subjects that must enact it. Our approach is to document the lived experiences of practitioners in Romania, a post-communist society. Drawing from fifty-three (...) depth interviews with both corporate responsibility practitioners, and managers in non-profit organizations who together work on CSR projects, we describe their experiences of the social and organizational environment, the CSR practices that are undertaken in this context, and the intended and unintended consequences of such work. Using Bauman’s theorization of ethics, including adiaphora and moral distancing, and Borţun’s interpretation of Romanianness, we then theorize liquid CSR as an ambivalence between adiaphoric practice and the moral impulse to do good, resulting in both intended and unintended consequences. (shrink)

Virtue ethics is generally recognized as one of the three major schools of ethics, but is often waylaid by utilitarianism and deontology in business and management literature. EBSCO and ABI databases were used to look for articles in the Journal of Citation Reports publications between 1980 and 2011 containing the keywords ‘virtue ethics’, ‘virtue theory’, or ‘virtuousness’ in the abstract and ‘business’ or ‘management’ in the text. The search was refined to draw lists of the most prolific authors, the most (...) cited authors, the most cited articles, and the journals with the most virtue ethics publications. This information allows one to chart how virtue ethics articles have evolved through the decades and to establish ‘schools’ or clusters of authors as well as clusters of themes. The results of this quantitative analysis of authors, ‘schools’, themes, and publications provide a foundation for the future study of virtue ethics in business and management, identifying its achievements and potentials. (shrink)

Moral purism is a commonly held view on moral worthiness and how to identify it in concrete cases. Moral purists long for a moral world in which (business) people—at least sometimes—act morally worthy, but in concrete cases they systematically discount good deeds as grounded in self-interest. Moral purism evokes moral cynicism. Moral cynicism is a problem, both in society at large and the business world. Moral cynicism can be fought by refuting moral purism. This article takes issue with moral purism. (...) The common strategy to tackle moral purism is to reject the exclusion thesis which states that self-interest and the ‘pure’ moral motive (and thus moral worthiness) exclude each other. We develop a different strategy. We argue that moral purists are mistaken in the way they judge moral worthiness in concrete cases. They employ the wrongprocedureand the wrongcriteria.We develop a proper procedure and proper criteria. We build on Kant, who we argue is unfairly regarded as the champion of moral purism. In order to see how Kant can develop a consistent (non-purist) philosophy, the exclusion thesis must be embedded in Kant’s transcendental philosophy. Properly embedded, Kant turns out to be both anti-purist and anti-cynical. (shrink)