Business ethics is a topic receiving much attention in the literature. However, the term 'business ethics' is not adequately defined. Typical definitions refer to the rightness or wrongness of behavior, but not everyone agrees on what is morally right or wrong, good or bad, ethical or unethical. To complicate the problem, nearly all available definitions exist at highly abstract levels. This article focuses on contemporary definitions of business ethics by business writers and professionals and on possible areas of agreement among (...) the available definitions. Then a definition is synthesized that is broad enough to cover the field of management in a sense as full as most managers might conceive of it. (shrink)

Business ethics is a topic receiving much attention in the literature. However, the term 'business ethics' is not adequately defined. Typical definitions refer to the rightness or wrongness of behavior, but not everyone agrees on what is morally right or wrong, good or bad, ethical or unethical. To complicate the problem, nearly all available definitions exist at highly abstract levels. This article focuses on contemporary definitions of business ethics by business writers and professionals and on possible areas of agreement among (...) the available definitions. Then a definition is synthesized that is broad enough to cover the field of management in a sense as full as most managers might conceive of it. (shrink)

In this article, we analyzed the effect of various factors on moral judgment and ethical attitudes of working persons. It was found that the effect of various socio-demographic factors on ethical attitudes varied between the two different categories of ethical issues under study, issues which involve explicit violation of laws vis-à-vis issues which involved social concerns. Our results did not support the implication of Callahan’s hypothesis that males are more sensitive to rule-based ethical issues while women are to issues involving (...) social concerns; it was found that females have a lower acceptability of unethical behaviors related to both categories of issues in Hong Kong, whereas gender effect was not statistically significant in Mainland China. University education also had no significant effect on ethical attitudes. Religion played an important role in affecting ethical attitudes, however, its effect varied with different types of religions; Christianity was found to be most favorable to higher ethical standards, but people of traditional Chinese religion had a higher acceptability of unethical behaviors involving social concerns compared to people with no religion. Our finding also indicated that employees in state-owned enterprises, private employees, employees in foreign-investment firms, and employers in Mainland China all had a higher acceptability of unethical law-breaking behaviors compared to workers in collectives, throwing doubt on the validity of convergence theory in Mainland China. (shrink)

Ethical leadership has become a popular subject of empirical research in recent years. Most studies follow Brown et al.’s definition of ethical leadership, which consists of two components: the moral person and the moral manager. In this paper, I argue for a third relevant component: i.e., the moral entrepreneur who creates a new ethical norm. Viewing moral entrepreneurship as a new component of ethical leadership opens up avenues for studying various antecedents and outcomes of ethical leadership that have not been (...) acknowledged so far, or at least, not adequately. (shrink)

Gender is one of the most frequently studied variables within the ethics literature. In prior studies that find gender differences, females consistently report more ethical responses than males. However, prior research also indicates that females are more prone to responding in a socially desirable fashion. Consequently, it is uncertain whether gender differences in ethical decision-making exist because females are more ethical or perhaps because females are more prone to the social desirability response bias. Using a sample of 30 scenarios from (...) prior studies that find gender differences, we examine whether these gender differences remain robust once social desirability is controlled for in the analysis. Our data suggest that the effect of gender on ethical decision-making is largely attenuated once social desirability is included in the analysis. In essence, the social desirability response bias appears to be driving a significant portion of the relationship between gender and ethical decision-making. We discuss several important research implications of this study. (shrink)

Despite a wealth of prior research, little consensus has arisen about the goals and effectiveness of business ethics education. Additionally, accounting academics have recently been questioned as to their commitment to accounting ethics education. The current study examines whether accounting students' perceptions of business ethics and the goals of accounting ethics education are fundamentally different from the perceptions of accounting faculty members. The study uses a survey instrument to elicit student and faculty responses to various questions concerning the importance of (...) business ethics and accounting ethics education. Statistical analyses indicate that students consider both business ethics and the goals of accounting ethics education to be more important than faculty members. Implications of these results for accounting faculty members interested in accounting ethics education are discussed. (shrink)

More and more scholars are expressing their apprehensions regarding the current state of management education. The increased number of corporate scandals has fueled their concerns that training students to have sound business ethics upon graduation has failed. Consequently, research is emerging that focuses on the lack of impact that business ethics teaching has had on students in recent years. Remarkably, the voice of managers has barely been heard in this area, even though they are the ones who are among those (...) best suited to evaluate graduates’ capabilities to solve ethical dilemmas. This research presents the managers’ view on the role of business schools in training students in business ethics, and the managers’ evaluation of business schools’ success in that area. The findings reveal that managers are quite disappointed with the lack of improvement in the ethics of graduating students. Managers nonetheless provide a range of ideas for business schools to work on, and particularly, call for closer collaboration between industry and business schools. (shrink)

This study examines the effects of demographic characteristics on ethical perceptions. While earlier research has produced conflicting results regarding the predictive power of these variables, significant and definite insights were obtained with proper controls. The following predictors of ethical attitudes are examined: age, gender, marital status, education, dependent children status, region of the country and years in business, while controlling for job status. A nation-wide random sample of employees was used in obtaining a response rate of fifty-three percent (total n (...) of 423). Indices of aspects of business ethical attitudes were constructed using factor analysis. Linear multiple regression analysis indicated the significant predictive variables. Age was found to be a most-significant predictor. Older workers had stricter interpretations of ethical standards. Gender and region predicted attitudes about job-discrimination practices only, with women and persons from the Midwest most strongly opposed to the practice. All the other variables proved to be unreliable ethics predictors. (shrink)

Entrepreneurs typically live with the ever-present threat of business failure arising from limited financial resources and aggressive competition in the marketplace. Under these circumstances, conflicting priorities arise and the entrepreneur is thus faced with certain dilemmas. In seeking to resolve these, entrepreneurs must often rely on their own judgment to determine “what is right”. There is thus a need for a technique to assist them decide on a course of action when no precedent or obvious solution exists. This research paper (...) examines how entrepreneurs experience and deal with these dilemmas. The research is based on interviews with seven entrepreneurs in established service-oriented ventures, which gave rise to 26 dilemmas. These dilemmas were analyzed by making use of the Synergy Star technique, which is introduced here as a tool that is useful in defining any dilemma, isolating the ethical component, and resolving the dilemma in a way that is congruent with the entrepreneur’s personal world-view. (shrink)

Entrepreneurs typically live with the ever-present threat of business failure arising from limited financial resources and aggressive competition in the marketplace. Under these circumstances, conflicting priorities arise and the entrepreneur is thus faced with certain dilemmas. In seeking to resolve these, entrepreneurs must often rely on their own judgment to determine “what is right”. There is thus a need for a technique to assist them decide on a course of action when no precedent or obvious solution exists. This research paper (...) examines how entrepreneurs experience and deal with these dilemmas. The research is based on interviews with seven entrepreneurs in established service-oriented ventures, which gave rise to 26 dilemmas. These dilemmas were analyzed by making use of the Synergy Star technique, which is introduced here as a tool that is useful in defining any dilemma, isolating the ethical component, and resolving the dilemma in a way that is congruent with the entrepreneur’s personal world-view. (shrink)

The article deals with the influence of organizational ethics program components on managerial ethical behavior. The main aim was to establish which EP components are perceived as valuable and useful to foster the ethical behavior of managers. Moreover, we also aimed to investigate the role of ethics training in this context and to explore whether it can potentially increase managers’ trust in EP components as effective tools for the promotion of ethical behavior. The article advances the EP theory in several (...) ways. It offers novel insights into both business ethics and EP development in the specific cultural and social circumstances of a former socialist country in the Central and Eastern European region, Slovakia. It shows that codes of ethics and related reporting and control mechanisms are perceived as the most effective EP components to shape managerial ethical behavior. Furthermore, based on empirical evidence, and to some extent contrary to prior theory, the article unveils three EP functions, namely the ‘compliance with group norms,’ the ‘ethics education through collective discussion,’ and the ‘counselling and resolving of ethical issues’ at workplace. In addition, the article shows that ethics trainings can help to boost the trust of managers toward EP components and might be conceptualized as a precursor for an effectively functioning EP. (shrink)

A critical and notoriously elusive issue in Corporate Social Responsibility (CSR) research is the impact of Corporate Social Performance (CSP) on the bottom line. Instead of looking for direct correlations between social and financial performance, we hypothesize that the first result of CSR activities is the creation of trust among the stakeholders. A survey conducted on consumers of organic products provided support for our hypothesis, showing that CSP influences consumer trust and that that trust in turn influences consumers' subsequent actions. (...) The findings further suggest that intermediate variables between CSP and Corporate Financial Performance (CFP) may best support a business case for CSR. (shrink)

A critical and notoriously elusive issue in Corporate Social Responsibility (CSR) research is the impact of Corporate Social Performance (CSP) on the bottom line. Instead of looking for direct correlations between social and financial performance, we hypothesize that the first result of CSR activities is the creation of trust among the stakeholders. A survey conducted on consumers of organic products provided support for our hypothesis, showing that CSP influences consumer trust and that that trust in turn influences consumers' subsequent actions. (...) The findings further suggest that intermediate variables between CSP and Corporate Financial Performance (CFP) may best support a business case for CSR. (shrink)

The present study examined how ethical beliefs and external factors affecting ethical beliefs are related to age and gender of business professionals. The results indicated that business professionals in the younger age group exhibited a lower standard of ethical beliefs. In the younger age groups, the females demonstrated a higher level of ethical beliefs, while in the older age group, the results suggested that the males had a slightly higher level of ethical beliefs. With regards to the influence of external (...) factors on ethical beliefs, the results yielded a significant interaction between age and gender. The younger age groups, males in particular, were more susceptible to external factors. People at home had the most influence on beliefs about ethics, while the individual''s supervisor had the least impact. The results were discussed in terms of theories of moral development. (shrink)