Critics of SRI have said little about the integrity of corporate representations resulting in screening inclusion or exclusion. This is surprising given social and environmental accounting research that finds corporate posturing and deception in the absence of external verification, and a parallel body of literature describing corporate "greenwashing" and other forms of corporate disinformation. In this paper I argue that the problems and challenges of ensuring fair and accurate corporate social reporting mirror those accompanying corporate compliance with law. Similarities and (...) points of convergence between social reporting and corporate compliance are discussed, along with proposals for reform. (shrink)

My title refers to a very modern problem, for what else is modernization than a process of rational differentiation of society in autonomous, mutually isolated sub-spheres, to the point where no one any longer knows what the unity of it all is? We differentiate, we specialize, we hyperspecialize, and then we get puzzled over the fragmentation we have produced around us, between ourselves and even within ourselves. Look at our own area. You cannot even specialize in practical ethics any more. (...) You have to limit your attention to medical ethics, for example, the ethics of engineering, or business ethics. And within business ethics, my own field of research, the homo universalis is also threatened with extinction. You can do marketing ethics, ethics of finance or computer ethics, until you finally become the typical ‘expert’: someone who knows almost everything about almost nothing.From the despair over hyper-differentiation, the call for integration arises: the call for meaning, for reconfiguration, for making sense of our world and our lives again, the call for reconnection with the great traditions of our culture, the call for community.If we read the great theorists of modernization — Weber, Durkheim, Parsons, Habermas, Münch — we learn that the quest for integration is in fact an equally important aspect of modernization as is differentiation. They are two sides of the same coin. In this sense, I think, the integrative endeavour of the EEN can still be considered a modern one.We are presently facing an escalation, or a climax, of modernity. We live in a state of hypermodernity, in which technological, economic and cultural forces dynamize our society on an unprecedented scale. We are really living high up on the dazzling slopes of the exponential growth curves that the Club of Rome predicted over 25 years ago. Everyone speaks of change. Everything is changing, and with institutionalized change, everything has become uncertain. Within uncertainty, however, social disintegration is lurking. Does not the structural uncertainty that we are introducing in our society bring us back to a state of nature, to a state outside the hypothetical social contract on which modern social communities are based? Is not the life of the individualized, flexible wanderers on the labour market again resembling the pledge of man which Hobbes described as ‘solitary, nasty and brutish’ . Has not the life of many in our society again become ‘very unsafe and very insecure, full of fears and continual dangers’, in the way that Locke depicted the state of nature .I understand business ethics as an integrative undertaking in our society, integrative in particular with respect to the economy and the realm of formal organization, integrative also at the interface between life-world and system, to use the terminology of Habermas.Integrative endeavours in our society have an ambiguous relation to change. Change is a key challenge to business ethics. Should we accept disruptive forms of change as inevitable, in order to remain on speaking terms with the economy and its spokesmen? Or should we fiercely resist certain changes? Is change on our side, perhaps? Business ethics is sometimes presented as a way to help managers cope with the many paradoxes of our time. One-dimensional technological rationality, we say, is no longer adequate to grasp the complexities, ambiguities and paradoxes of our world. Successful management requires more flexible, more creative forms of thinking. Philosophy and ethics are then presented as alternatives. But then aren’t we, the philosophers, simply promoting ourselves as the new masters of change for our time? Isn’t the so-called postmodern consciousness in fact an ideological underpinning of hyper differentiation, and in this sense the ultimate self-realization of the spirit of modernity? What sense of direction do we offer, as business ethicists?I would like to speak about the integration of micro, meso and macro-levels in business ethics, from the perspective of social change. My basic thesis is that only an adequate ethics of responsibility can integrate a highly differentiated and ultra-complex society like ours. This integration through responsibility opens up new directions of social change, that proceed simultaneously at the micro, meso and macro-level.In order not to complicate matters too much, I will limit myself to two dimensions of change which are important for business ethics at the moment: economic change ; organizational change . In relation to these changes, I will conclude with some reflections on changes in business ethics itself, the ones that I think are needed. (shrink)

Ethics has powerful teeth, but these are barely being used in the ethics of AI today – it is no wonder the ethics of AI is then blamed for having no teeth. This article argues that ‘ethics’ in the current AI ethics field is largely ineffective, trapped in an ‘ethical principles’ approach and as such particularly prone to manipulation, especially by industry actors. Using ethics as a substitute for law risks its abuse and misuse. This significantly limits what ethics can (...) achieve and is a great loss to the AI field and its impacts on individuals and society. This article discusses these risks and then highlights the teeth of ethics and the essential value they can – and should – bring to AI ethics now. (shrink)

Value Sensitive Design (VSD) is an established method for integrating values into technical design. It has been applied to different technologies and, more recently, to artificial intelligence (AI). We argue that AI poses a number of challenges specific to VSD that require a somewhat modified VSD approach. Machine learning (ML), in particular, poses two challenges. First, humans may not understand how an AI system learns certain things. This requires paying attention to values such as transparency, explicability, and accountability. Second, ML (...) may lead to AI systems adapting in ways that ‘disembody’ the values embedded in them. To address this, we propose a threefold modified VSD approach: 1) integrating a known set of VSD principles (AI4SG) as design norms from which more specific design requirements can be derived; 2) distinguishing between values that are promoted and respected by the design to ensure outcomes that not only do no harm but also contribute to good; and 3) extending the VSD process to encompass the whole life cycle of an AI technology in order to monitor unintended value consequences and redesign as needed. We illustrate our VSD for AI approach with an example use case of a SARS-CoV-2 contact tracing app. (shrink)

Current advances in research, development and application of artificial intelligence systems have yielded a far-reaching discourse on AI ethics. In consequence, a number of ethics guidelines have been released in recent years. These guidelines comprise normative principles and recommendations aimed to harness the “disruptive” potentials of new AI technologies. Designed as a semi-systematic evaluation, this paper analyzes and compares 22 guidelines, highlighting overlaps but also omissions. As a result, I give a detailed overview of the field of AI ethics. Finally, (...) I also examine to what extent the respective ethical principles and values are implemented in the practice of research, development and application of AI systems—and how the effectiveness in the demands of AI ethics can be improved. (shrink)

Greenwashing is a phenomenon that is linked to scandals that often occur at the supply-chain level. Nevertheless, research on this subject remains in its infancy; much more is needed to advance our understanding of stakeholders’ reactions to greenwashing. We propose here a new typology of greenwashing, based on the locus of discrepancy, i.e. the point along the supply-chain where the discrepancy between ‘responsible words’ and ‘irresponsible walks’ occurs. With three experiments, we tested how the different forms of greenwashing affect stakeholders’ (...) reactions, from both ethical and business perspectives. We developed our hypotheses by building on attribution theory, which seeks to account for how observers construct perceptions about events. We had anticipated that the more internal, controllable and intentional the discrepancy is, the greater the blame attributed to a company is, and the lower the intention to invest will be. When greenwashing occurs at a company level, this results in a higher level of blame attribution, while the intention to invest falls. Indirect greenwashing refers to a misbehaviour perpetrated by a supplier who claims to be sustainable, and which results in a less negative impact on a supplied company. We also propose the vicarious greenwashing, which occurs when the behaviour of a supplier is in breach of a company’s claims of sustainability. This type of greenwashing is nevertheless detrimental to investment. The findings here advance our understanding of how greenwashing shapes stakeholders’ reactions, and highlight the need for the careful management of the supply-chain. (shrink)

Scholars are divided over the question of whether managerial aspirational talk that contradicts current business practices can contribute to corporate social responsibility (CSR). In this conceptual article, we explore the rhetorical dynamics of aspirational talk that either impede or foster CSR. We argue that self-persuasive CSR rhetoric, as one enactment of aspirational talk, can attract attention and scrutiny from organizational members. Continued adherence to this rhetoric, however, creates and perpetuates tensions that lead to a vicious circle of disengagement. A virtuous (...) circle, by contrast, requires a shift toward an agonistic rhetoric that transcends tensions by rearticulating aspirations in concurrence with situated understandings of responsible corporate practice. Our arguments contribute to a better understanding of how communication becomes constitutive of CSR and address the debate on decoupling between talk and action. (shrink)

Although corporate social responsibility appears to be mutually beneficial for companies and consumers, the modern marketplace has left both parties in vulnerable positions. Consumers are increasingly subjected to incongruent CSR messages such as greenwashing, while companies are trapped in a strategic positioning dilemma with regard to how to most effectively and ethically approach CSR communication. This has led some companies to instead adopt a strategically silent approach, such as greenhushing. To capture this CSR positioning dilemma and test the positioning effects (...) on consumers’ attributions, this study applies attribution theory to conceptualize four distinct CSR positions which reflect varying combinations of congruence or incongruence between a company’s external CSR communication and its actual internal CSR actions. Using an online experiment, the effects of the CSR positions on consumer attributions for intrinsic and extrinsic CSR motivations and purchase intentions were tested across three CSR domains: environmental; labor; and lesbian, gay, bisexual, and transgender inclusion. Overall, the findings attest to the significant effect of internal–external congruence-based CSR positioning on how consumers respond to CSR communication. Importantly, the results indicate that discreet positioning is perceived similarly to uniform positioning, while misleading and unethical tactics such as CSR-washing are sure to backfire. Theoretical and managerial implications are discussed. (shrink)

All social scientists learn the celebrated theories and frameworks of their predecessors, using them to inform their own research and observations. But before there can be theory, there must be theorizing. Theorizing in Social Science introduces the reader to the next generation of theory construction and suggests useful ways for creating social theory. What makes certain types of theories creative, and how does one go about theorizing in a creative way? The contributors to this landmark collection—top social scientists in the (...) fields of sociology, economics, and management—draw on personal experiences and new findings to provide a range of answers to these questions. Some turn to cognitive psychology and neuroscience's impact on our understanding of human thought, others encourage greater dialogue between and across the arts and sciences, while still others focus on the processes by which observation leads to conceptualization. Taken together, however, the chapters collectively and actively encourage a shift in the place of theory in social science today. Appealing to students and scientists across disciplines, this collection will inspire innovative approaches to producing, teaching, and learning theory. (shrink)

While the ethics of technology is analyzed across disciplines from science and technology studies, engineering, computer science, critical management studies, and law, less attention is paid to the role that firms and managers play in the design, development, and dissemination of technology across communities and within their firm. Although firms play an important role in the development of technology, and make associated value judgments around its use, it remains open how we should understand the contours of what firms owe society (...) as the rate of technological development accelerates. We focus here on digital technologies: devices that rely on rapidly accelerating digital sensing, storage, and transmission capabilities to intervene in human processes. This symposium focuses on how firms should engage ethical choices in developing and deploying these technologies. In this introduction, we, first, identify themes the symposium articles share and discuss how the set of articles illuminate diverse facets of the intersection of technology and business ethics. Second, we use these themes to explore what business ethics offers to the study of technology and, third, what technology studies offers to the field of business ethics. Each field brings expertise that, together, improves our understanding of the ethical implications of technology. Finally we introduce each of the five papers, suggest future research directions, and interpret their implications for business ethics. (shrink)

Modern digital technologies—from web-based services to Artificial Intelligence (AI) solutions—increasingly affect the daily lives of billions of people. Such innovation brings huge opportunities, but also concerns about design, development, and deployment of digital technologies. This article identifies and discusses five clusters of risk in the international debate about digital ethics: ethics shopping; ethics bluewashing; ethics lobbying; ethics dumping; and ethics shirking.

ABSTRACT:The profound influence of Thomas Donaldson and Thomas Dunfee’s integrative social contracts theory on the field of business ethics has been challenged by Andreas Scherer and Guido Palazzo’s Habermasian approach, which has achieved prominence of late with articles that expressly question the defensibility of ISCT’s hypernorms. This article builds on recent efforts by Donaldson and Scherer to bridge their accounts by providing discursive foundations to the hypernorms at the heart of the ISCT framework. Extending prior literature, we propose an ISCT* (...) framework designed to retain ISCT’s practical virtue of managerial guidance while answering the demands of Scherer and Palazzo’s discursive account. By subscribing to a suitable portfolio of discursively justified hypernorms, we argue, companies unlock the valuable moral guidance of ISCT*, which says to treat these hypernorms as unequivocal outer bounds to the pursuit of business and as a starting point to tailor local norms through discursive stakeholder engagement. (shrink)

Algorithms silently structure our lives. Algorithms can determine whether someone is hired, promoted, offered a loan, or provided housing as well as determine which political ads and news articles consumers see. Yet, the responsibility for algorithms in these important decisions is not clear. This article identifies whether developers have a responsibility for their algorithms later in use, what those firms are responsible for, and the normative grounding for that responsibility. I conceptualize algorithms as value-laden, rather than neutral, in that algorithms (...) create moral consequences, reinforce or undercut ethical principles, and enable or diminish stakeholder rights and dignity. In addition, algorithms are an important actor in ethical decisions and influence the delegation of roles and responsibilities within these decisions. As such, firms should be responsible not only for the value-laden-ness of an algorithm but also for designing who-does-what within the algorithmic decision. As such, firms developing algorithms are accountable for designing how large a role individual will be permitted to take in the subsequent algorithmic decision. Counter to current arguments, I find that if an algorithm is designed to preclude individuals from taking responsibility within a decision, then the designer of the algorithm should be held accountable for the ethical implications of the algorithm in use. (shrink)

My title refers to a very modern problem, for what else is modernization than a process of rational differentiation of society in autonomous, mutually isolated sub-spheres, to the point where no one any longer knows what the unity of it all is? We differentiate, we specialize, we hyperspecialize, and then we get puzzled over the fragmentation we have produced around us, between ourselves and even within ourselves. Look at our own area. You cannot even specialize in practical ethics any more. (...) You have to limit your attention to medical ethics, for example, the ethics of engineering, or business ethics. And within business ethics, my own field of research, the homo universalis is also threatened with extinction. You can do marketing ethics, ethics of finance or computer ethics, until you finally become the typical ‘expert’: someone who knows almost everything about almost nothing.From the despair over hyper-differentiation, the call for integration arises: the call for meaning, for reconfiguration, for making sense of our world and our lives again, the call for reconnection with the great traditions of our culture, the call for community.If we read the great theorists of modernization — Weber, Durkheim, Parsons, Habermas, Münch — we learn that the quest for integration is in fact an equally important aspect of modernization as is differentiation. They are two sides of the same coin. In this sense, I think, the integrative endeavour of the EEN can still be considered a modern one.We are presently facing an escalation, or a climax, of modernity. We live in a state of hypermodernity, in which technological, economic and cultural forces dynamize our society on an unprecedented scale. We are really living high up on the dazzling slopes of the exponential growth curves that the Club of Rome predicted over 25 years ago. Everyone speaks of change. Everything is changing, and with institutionalized change, everything has become uncertain. Within uncertainty, however, social disintegration is lurking. Does not the structural uncertainty that we are introducing in our society bring us back to a state of nature, to a state outside the hypothetical social contract on which modern social communities are based? Is not the life of the individualized, flexible wanderers on the labour market again resembling the pledge of man which Hobbes described as ‘solitary, nasty and brutish’. Has not the life of many in our society again become ‘very unsafe and very insecure, full of fears and continual dangers’, in the way that Locke depicted the state of nature.I understand business ethics as an integrative undertaking in our society, integrative in particular with respect to the economy and the realm of formal organization, integrative also at the interface between life-world and system, to use the terminology of Habermas.Integrative endeavours in our society have an ambiguous relation to change. Change is a key challenge to business ethics. Should we accept disruptive forms of change as inevitable, in order to remain on speaking terms with the economy and its spokesmen? Or should we fiercely resist certain changes? Is change on our side, perhaps? Business ethics is sometimes presented as a way to help managers cope with the many paradoxes of our time. One-dimensional technological rationality, we say, is no longer adequate to grasp the complexities, ambiguities and paradoxes of our world. Successful management requires more flexible, more creative forms of thinking. Philosophy and ethics are then presented as alternatives. But then aren’t we, the philosophers, simply promoting ourselves as the new masters of change for our time? Isn’t the so-called postmodern consciousness in fact an ideological underpinning of hyper differentiation, and in this sense the ultimate self-realization of the spirit of modernity? What sense of direction do we offer, as business ethicists?I would like to speak about the integration of micro, meso and macro-levels in business ethics, from the perspective of social change. My basic thesis is that only an adequate ethics of responsibility can integrate a highly differentiated and ultra-complex society like ours. This integration through responsibility opens up new directions of social change, that proceed simultaneously at the micro, meso and macro-level.In order not to complicate matters too much, I will limit myself to two dimensions of change which are important for business ethics at the moment: economic change ; organizational change. In relation to these changes, I will conclude with some reflections on changes in business ethics itself, the ones that I think are needed. (shrink)

Moral legitimacy entails intrinsic value and helps executives convince firm’s stakeholders and the general public of the ethical acceptability of an institution or its activities or projects. Social license to operate is the social approval of those affected by a certain business activity, and it is receiving increasing attention, especially in the context of controversial projects such as mining and public works. Moral legitimacy provides ethical support to SLO. Drawing from the Aristotelian-Thomistic tradition and taking substantive justice and the common (...) good of society as the key references, this paper applies the Triple Font of Morality Theory and proposes four criteria which serve to evaluate moral legitimacy: contribution of the project or activity to the common good in a better way than other alternatives, morality of the means and procedures employed, ethical evaluation of the situation including stakeholder concerns and needs, and ethical evaluation of reasonably foreseeable consequences associated with the project and how to minimize possible damage or risks, and balance foreseeable negative consequences and benefits. The application of these criteria is illustrated through a project, presented as a case study, which certainly involved controversy and problems with SLO. The project was the construction of a rail tunnel for a high-speed train near the foundations of the Sagrada Familia, the well-known monumental church in Barcelona, Spain. (shrink)

Many transnational corporations and international organizations have embraced corporate social responsibility to address criticisms of working and environmental conditions at subcontractors' factories. While CSR 'codes of conduct' are easy to draft, supplier compliance has been elusive. Even third-party monitoring has proven an incomplete solution. This article proposes that an alteration in the supply chain's governance, from an arms-length market model to a collaborative partnership, often will be necessary to effectuate CSR. The market model forces contractors to focus on price and (...) delivery as they compete for the lead firm's business, rendering CSR observance secondary, at best. A collaborative partnership where the lead firm gives select suppliers secure product orders and other benefits removes disincentives and adds incentives for CSR compliance. In time, the suppliers' CSR habit should shift their business philosophy toward pursuing CSR as an end in itself, regardless of buyer incentives and monitoring. This article examines these hypotheses in the context of the athletic footwear sector with Nike, Inc. and its suppliers as the specific case study. The data collected and conclusions reached offer strategies for advancing CSR beyond the superficial and often ineffectual 'code of conduct' stage. (shrink)

The focus of this paper is to further a discussion of codes of ethics as institutionalized organizational structures that extend some form of legitimacy to organizations. The particular form of legitimacy is of critical importance to our analysis. After reviewing various theories of legitimacy, we analyze the literature on how legitimacy is derived from codes of ethics to discover which specific form of legitimacy is gained from their presence in organizations. We content analyze a sample of codes to consider the (...) question of whether a strategic, self-interested rationale lies behind the adoption of a code of ethics. We propose that the process of employing codes of ethics in this strategic manner has become, through isomorphism, an institutionalized practice that itself confers a cognitive form of legitimacy to the organization and further distances the codes from their moral foundation. (shrink)

Modern society is challenged by a loss of efficiency in national governance systems values, and lifestyles. Corporate social responsibility (CSR) discourse builds upon a conception of organizational legitimacy that does not appropriately reflect these changes. The problems arise from the a-political role of the corporation in the concepts of cognitive and pragmatic legitimacy, which are based on compliance to national law and on relatively homogeneous and stable societal expectations on the one hand and widely accepted rhetoric assuming that all members (...) of society benefit from capitalist production on the other. We therefore propose a fundamental shift to moral legitimacy, from an output and power oriented approach to an input related and discursive concept of legitimacy. This shift creates a new basis of legitimacy and involves organizations in processes of active justification vis-à-vis society rather than simply responding to the demands of powerful groups. We consider this a step towards the politicization of the corporation and attempt to re-embed the debate on corporate legitimacy into its broader context of political theory, while reflecting the recent turn from a liberal to a deliberative concept of democracy. (shrink)

Do firms gain environmental legitimacy when they conform to external expectations regarding the natural environment? Drawing on institutional logic and signaling theory, we investigate sources of heterogeneity in the impacts of environmental actions on environmental legitimacy. Longitudinal data about 325 publicly traded U.S. firms in polluting industries support the notion that environmental actions help firms gain environmental legitimacy. However, some actions instead can harm this legitimacy if environmental performance deteriorates and the firm is subject to intense scrutiny from nongovernmental organizations. (...) Thus, an important contribution of this research is to identify conditions under which greenwashing can backfire. (shrink)

There have long been calls from industry for guidance in implementing strategies for sustainable development. The Circular Economy represents the most recent attempt to conceptualize the integration of economic activity and environmental wellbeing in a sustainable way. This set of ideas has been adopted by China as the basis of their economic development, escalating the concept in minds of western policymakers and NGOs. This paper traces the conceptualisations and origins of the Circular Economy, tracing its meanings, and exploring its antecedents (...) in economics and ecology, and discusses how the Circular Economy has been operationalized in business and policy. The paper finds that while the Circular Economy places emphasis on the redesign of processes and cycling of materials, which may contribute to more sustainable business models, it also encapsulates tensions and limitations. These include an absence of the social dimension inherent in sustainable development that limits its ethical dimensions, and some unintended consequences. This leads us to propose a revised definition of the Circular Economy as “an economic model wherein planning, resourcing, procurement, production and reprocessing are designed and managed, as both process and output, to maximize ecosystem functioning and human well-being”. (shrink)

For many energy companies in China, green brand strategy is becoming an important approach to enhance competitive advantage. However, greenwashing behaviors result in a crisis of trust. Existing research focuses on green marketing, but is silent on the institutional view of the trust crisis resulting from greenwashing by energy brands. Thus, this study takes a decoupling perspective from institutional theory and considers legitimacy, energy policy management, and green brand theories to shed light on the path from the decoupling of an (...) energy brand from green promise to green energy brand trust and the role of brand legitimacy and brand loyalty. It then analyzes survey data to conclude that DEBG not only has a direct negative effect on GEBT but also has an indirect influence through the vital mediating role of green energy brand legitimacy. Moreover, brand loyalty is a moderating factor and can alleviate the energy brand trust crisis. These findings not only can enrich the theories of energy brand management and green marketing but also offer important implications for energy policy management. (shrink)

Growth in CSR-washing claims in recent decades has been dramatic in numerous academic and activist contexts. The discourse, however, has been fragmented, and still lacks an integrated framework of the conditions necessary for successful CSR-washing. Theorizing successful CSR-washing as the joint occurrence of five conditions, this paper undertakes a literature review of the empirical evidence for and against each condition. The literature review finds that many of the conditions are either highly contingent, rendering CSR-washing as a complex and fragile outcome. (...) This finding runs counter to the dominant perception in the general public, among activists, and among a vocal contingent of academics that successful CSR-washing is rampant. (shrink)

In China, many firms advertise that they follow environmentally friendly practices to cover their true activities, a practice called greenwashing, which can cause the public to doubt the sincerity of greenization messages. In this study, I investigate how the market values greenwashing and further examine whether corporate environmental performance can explain different and asymmetric market reactions to environmentally friendly and unfriendly firms. Using a sample from the Chinese stock market, I provide strong evidence to show that greenwashing is significantly negatively (...) associated with cumulative abnormal returns around the exposure of greenwashing. In addition, corporate environmental performance is significantly positively associated with CAR around the exposure of greenwashing. Furthermore, my findings suggest that corporate environmental performance has two distinct effects on CAR around the exposure of greenwashing: the competitive effect for environmentally friendly firms and the contagious effect for potential environmental wrongdoers, respectively. The results are robust to various sensitivity tests. (shrink)

Empirical research into the ethics of emerging technologies, often involving foresight studies, technology assessment or application of the precautionary principle, raises significant epistemological challenges by failing to explain the relative epistemic status of contentious normative claims about future states. This weakness means that it is unclear why the conclusions reached by these approaches should be considered valid, for example in anticipatory ethical assessment or governance of emerging technologies. This paper explains and responds to this problem by proposing an account of (...) how the epistemic status of uncertain normative claims can be established in ethical and political discourses based on Jürgen Habermas’ discourse ethics. To better understand the nature of the problem, the relationship between norms, facts and the future is explored in light of potential meta-ethical fallacies faced in the field of empirical ethics. Weaknesses of current approaches to anticipatory ethical assessment and governance are then explored, including the Precautionary Principle and Technology Assessment. We argue that the epistemic status of uncertain normative claims can be understood within Habermas’ approach to political discourse, which requires ‘translation’ of uncertain claims to be comprehensible to other stakeholders in discourse. Translation thus provides a way to allow for uncertain normative claims to be considered alongside other types of validity claims in discourse. The paper contributes a conceptual account of the epistemic status of uncertain normative claims in discourse and begins to develop a ‘methodology of translation’ which can be further developed for approaches to research and ethical assessment supporting anticipatory evidence-based policy, governance and system design. (shrink)

Addressing the critique that communication activities with regard to CSR are often merely instrumental marketing or public relation tools, this paper develops a toolbox of CSR communication that takes into account a deliberative notion. We derive this toolbox classification from the political approach of CSR that is based on Habermasian discourse ethics and show that it has a communicative core. Therefore, we embed CSR communication within political CSR theory and extend it by Habermasian communication theory, particularly the four validity claims (...) of communication. Given this communicative basis, we localize CSR communication as a main means to receive moral legitimacy within political CSR theory. A typology of CSR communication tools is advanced and substantiated by a review of case studies supporting the categories. Thus, we differentiate between instrumental and deliberative, as well as published and unpublished tools. Practical examples for the literature-derived tool categories are provided and their limitations are discussed. (shrink)

This paper discusses the issue of legitimacy and, in particular the processes of building, losing, and repairing environmental legitimacy in the context of the Deepwater Horizon case. Following the Deepwater Horizon catastrophe in 2010, BP plc. was accused of having set new records in the degree of divergence between its actual operations and what it had been communicating with regard to corporate responsibility. Its legitimacy crisis is here to be appraised as a case study in the discrepancy between symbolic and (...) substantive strategies in corporate greening and its communication. A narrative analysis of BP’s “beyond petroleum”-rebranding and the “making this right”-campaign issued in response to the Gulf of Mexico disaster discusses their respective implications for corporate change. Further, the question is addressed why BP’s green image endeavors were so widely accepted at first, only to find themselves dismissed as corporate greenwashing now. The study concludes that where a corporation’s “green narrative” consistently evokes established narratives, its legitimacy will be judged against narrative, rather than empirical truth. Thus, the narrative will be more willingly accepted as speaking for the issuing company’s legitimacy, irrespective of whether it reflects substantive greening or not. (shrink)

Many firms are striving to improve their environmental positions by presenting their environmental efforts to the public. To do so, they are applying green marketing strategies to help gain competitive advantage and appeal to ecologically conscious consumers. However, not all green marketing claims accurately reflect firms’ environmental conduct, and can be viewed as ‘greenwashing’. Greenwashing may not only affect a company’s profitability, but more importantly, result in ethical harm. Therefore, this research extends past greenwashing studies by examining additional influences on (...) and outcomes of perceived greenwashing. To do so, we conducted two studies, an interview study with consumer product and consulting firms, as well as an experiment examining consumers interacting with a company website. For these studies, we used multiple methods, including interviews, questionnaires, and neurophysiological techniques. We found that perceived greenwashing relates not only to environmental and product perceptions, but also to consumers’ happiness while interacting with the website. We also found that website interactivity relates to perceived greenwashing, environmental and product perceptions, and to the amount of interaction with the website. We conclude by discussing managerial and ethical implications for research and practice. (shrink)

This paper discusses the problem of responsibility attribution raised by the use of artificial intelligence technologies. It is assumed that only humans can be responsible agents; yet this alone already raises many issues, which are discussed starting from two Aristotelian conditions for responsibility. Next to the well-known problem of many hands, the issue of “many things” is identified and the temporal dimension is emphasized when it comes to the control condition. Special attention is given to the epistemic condition, which draws (...) attention to the issues of transparency and explainability. In contrast to standard discussions, however, it is then argued that this knowledge problem regarding agents of responsibility is linked to the other side of the responsibility relation: the addressees or “patients” of responsibility, who may demand reasons for actions and decisions made by using AI. Inspired by a relational approach, responsibility as answerability thus offers an important additional, if not primary, justification for explainability based, not on agency, but on patiency. (shrink)

While organizations today make extensive use of complex algorithms, the notion of algorithmic accountability remains an elusive ideal due to the opacity and fluidity of algorithms. In this article, we develop a framework for managing algorithmic accountability that highlights three interrelated dimensions: reputational concerns, engagement strategies, and discourse principles. The framework clarifies that accountability processes for algorithms are driven by reputational concerns about the epistemic setup, opacity, and outcomes of algorithms; that the way in which organizations practically engage with emergent (...) expectations about algorithms may be manipulative, adaptive, or moral; and that when accountability relationships are heavily burdened by the opacity and fluidity of complex algorithmic systems, the emphasis of engagement should shift to a rational communication process through which a continuous and tentative assessment of the development, workings, and consequences of algorithms can be achieved over time. The degree to which such engagement is, in fact, rational can be assessed based on four discourse-ethical principles of participation, comprehension, multivocality, and responsiveness. We conclude that the framework may help organizations and their environments to jointly work toward greater accountability for complex algorithms. It may further help organizations in reputational positioning surrounding accountability issues. The discourse-ethical principles introduced in this article are meant to elevate these positioning contests to extend beyond mere adaption or compliance and help guide organizations to find moral and forward-looking solutions to accountability issues. (shrink)

How do novel scientific concepts arise? In Creating Scientific Concepts, Nancy Nersessian seeks to answer this central but virtually unasked question in the problem of conceptual change. She argues that the popular image of novel concepts and profound insight bursting forth in a blinding flash of inspiration is mistaken. Instead, novel concepts are shown to arise out of the interplay of three factors: an attempt to solve specific problems; the use of conceptual, analytical, and material resources provided by the cognitive-social-cultural (...) context of the problem; and dynamic processes of reasoning that extend ordinary cognition. Focusing on the third factor, Nersessian draws on cognitive science research and historical accounts of scientific practices to show how scientific and ordinary cognition lie on a continuum, and how problem-solving practices in one illuminate practices in the other. (shrink)

Multinational companies (MNCs) frequently adopt corporate social responsibility (CSR) activities that are aimed at providing ‘public goods’ and influencing the government in policymaking. Such political CSR (PCSR) activities have been determined to increase MNCs’ socio-political legitimacy and to be useful in building relationships with the state and other key external stakeholders. Although research on MNCs’ PCSR within the context of emerging economies is gaining momentum, only a limited number of studies have examined the firm-level variables that affect the extent to (...) which MNCs’ subsidiaries in emerging economies pursue PCSR. Using insights from resource dependence theory, institutional theory, and the social capital literature, we argue that MNCs’ subsidiaries that are critically dependent on local resources, have greater ties to managers of related businesses and to policymakers, and that those that are interdependent on the MNCs’ headquarters and other foreign subsidiaries, are more likely to be involved in PCSR. We obtain support for our hypotheses using a sample of 105 subsidiaries of foreign firms that operate in India. Our findings enhance our understanding of the factors that determine MNCs’ political CSR in emerging economies. (shrink)

The ubiquity of the term CSR threatens its carrying any distinctive meaning. Despite its long history no consensus has been developed among the industry participants, academics or other interested parties. After a careful review of the complications and complexities of the CSR debate and distinct disciplinary definitions, the article turns to approach the problem of definition using the philosophy of science. It applies a scientific definitional approach of genus, differentia and species to arrive at a definition of CSR as international (...) private business self-regulation. The article provides an overview of the implications of this definition on CSR as a field of study, a management practice and an approach to improving the dialogue concerning the social contribution of business. (shrink)

The current study investigates the effects of green advertising and a corporation’s environmental performance on brand attitudes and purchase intentions. A 3 × 3 (firm’s environmental performance and its advertising efforts as independent variables) experiment using n = 302 subjects was conducted. Results indicate that the negative effect of a firm’s low performance on brand attitudes becomes stronger in the presence of green advertising compared to general corporate advertising and no advertising. Further, when the firm’s environmental performance is high, both (...) green and general corporate advertising result in more unfavorable brand attitudes than no advertising. The study’s counter-intuitive findings are explained by attribution theory. (shrink)

Industry involvement in the machine learning (ML) community seems to be increasing. However, the quantitative scale and ethical implications of this influence are rather unknown. For this purpose, we have not only carried out an informed ethical analysis of the field, but have inspected all papers of the main ML conferences NeurIPS, CVPR, and ICML of the last 5 years—almost 11,000 papers in total. Our statistical approach focuses on conflicts of interest, innovation, and gender equality. We have obtained four main (...) findings. (1) Academic–corporate collaborations are growing in numbers. At the same time, we found that conflicts of interest are rarely disclosed. (2) Industry papers amply mention terms that relate to particular trending machine learning topics earlier than academia does. (3) Industry papers are not lagging behind academic papers with regard to how often they mention keywords that are proxies for social impact considerations. (4) Finally, we demonstrate that industry papers fall short of their academic counterparts with respect to the ratio of gender diversity. We believe that this work is a starting point for an informed debate within and outside of the ML community. (shrink)

This book discusses the problem of freedom and the limits of liberalism considering the challenges of governing climate change and artificial intelligence (AI). It mobilizes resources from political philosophy to make an original argument about the future of technology and the environment. -/- Can artificial intelligence save the planet? And does that mean we will have to give up our political freedom? Stretching the meaning of freedom but steering away from authoritarian options, this book proposes that, next to using other (...) principles such as justice and equality and taking collective action and cooperating at a global level, we adopt a positive and relational conception of freedom that creates better conditions for human and non-human flourishing. In contrast to easy libertarianism and arrogant techno-solutionism, this offers a less symptomatic treatment of the global crises we face and gives technologies such as AI a role in the gathering of a new, more inclusive political collective and the ongoing participative making of new common worlds. -/- Written in a clear and accessible style, Green Leviathan or the Poetics of Political Liberty will appeal to researchers and students working in political philosophy, environmental philosophy, and the philosophy of technology. (shrink)

ABSTRACT:Sustainability standards are important governance tools for addressing social and environmental challenges. Yet, such tools are often criticized for being either too open-ended or too restrictive, thereby failing to contribute significantly to the development of sustainable practices. Both dimensions of the critique, however, miss the point. While all standards in principle combine elements of openness and closure, both of which are necessary to keep the sustainability agenda relevant and adaptive, sustainability standards often operate in contexts that favor closure. In this (...) article, we draw on a research tradition that views communication as constitutive of organization to emphasize the significance of communicative mechanisms that stimulate organizational openness in the application of standards. With the notion of “license to critique,” we present a managerial philosophy designed to involve managers and employees, mobilize and develop their knowledge about sustainability and bring it forward for the benefit of both the organization and the environment. (shrink)

Firms increasingly deploy algorithmic pricing approaches to determine what to charge for their goods and services. Algorithmic pricing can discriminate prices both dynamically over time and personally depending on individual consumer information. Although legal, the ethicality of such approaches needs to be examined as often they trigger moral concerns and sometimes outrage. In this research paper, we provide an overview and discussion of the ethical challenges germane to algorithmic pricing. As a basis for our discussion, we perform a systematic interpretative (...) review of 315 related articles on dynamic and personalized pricing as well as pricing algorithms in general. We then use this review to define the term algorithmic pricing and map its key elements at the micro-, meso-, and macro levels from a business and marketing ethics perspective. Thus, we can identify morally ambivalent topics that call for deeper exploration by future research. (shrink)