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Previous studies have found Forsyth’s Ethical Position Questionnaire (EPQ) to vary between countries, but none has made a systematic evaluation of its psychometric properties across consumers from many countries. Using confirmatory factor analysis and multi-group LISREL analysis, this paper explores the factor structure of the EPQ and the measurement equivalence in five societies: Austria, Britain, Brunei, Hong Kong and USA. The results suggest that the modified scale, measuring idealism and relativism, was applicable in all five societies. Equivalence was found across (...) |
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Previous studies have found Forsyth’s Ethical Position Questionnaire (EPQ) to vary between countries, but none has made a systematic evaluation of its psychometric properties across consumers from many countries. Using confirmatory factor analysis and multi-group LISREL analysis, this paper explores the factor structure of the EPQ and the measurement equivalence in five societies: Austria, Britain, Brunei, Hong Kong and USA. The results suggest that the modified scale, measuring idealism and relativism, was applicable in all five societies. Equivalence was found across (...) |
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This review summarizes the research on ethical decision-making from 2004 to 2011. Eighty-four articles were published during this period, resulting in 357 findings. Individual findings are categorized by their application to individual variables, organizational variables, or the concept of moral intensity as developed by Jones :366–395, 1991). Rest’s four-step model for ethical decision-making is used to summarize findings by dependent variable—awareness, intent, judgment, and behavior. A discussion of findings in each category is provided in order to uncover trends in the (...) |
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In the Chinese stock market, special treatment (ST) firms are the firms listed as facing imminent danger of delisting, unless they return to profitability after reporting two consecutive annual losses. Some ST firms voluntarily pay substantial fees to their external auditors to conduct interim audits, which are not required by regulations. In this study, we investigate and find that ST firms that pay for voluntary interim audits report greater discretionary accrued earnings, higher non-operating earnings, and higher returns on assets in (...) |
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Citizenship, such as corporate citizenship and organizational citizenship, has been an important issue in business management for decades. This study proposes a research model from the perspectives of social identity and resource allocation, by examining the influence of corporate citizenship on organizational citizenship behaviors (OCBs). In the model, OCBs are positively influenced by perceived legal citizenship and perceived ethical citizenship, while negatively influenced by perceived discretionary citizenship. Empirical testing using a survey of personnel from 18 large firms confirms most of (...) |
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The purpose of the Chinese Environmental Information Disclosure System is to protect the environment through public participation and public opinion. This paper uses data from listed Chinese companies in heavily polluted industries from 2008 to 2013 to examine the influence that corporate political connection has on corporate environmental information disclosure level. The results show that firstly, while environmental disclosure level has improved over time, negative information that reflects the real status of environmental management has also been concealed. Secondly, although corporate (...) |
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As it has become more and more urgent to solve the problems of environmental protection, we consider it necessary to conduct multilevel studies to examine the impact of business strategy on both employees’ and firms’ performances in environmental protection. Synthesizing the perspectives of strategic orientation, corporate strategy, and firm performance, we propose a comprehensive theoretical model linking market orientation and environmental performance. Based on a survey of 134 matched chief executive officers, senior marketing managers and frontline workers from Chinese firms, (...) |
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In recent years, there has been increased awareness of unethical consumer practices in Asian countries. Asian consumers have gained a bad reputation for buying counterfeit products, such as computer software, fashion clothing and watches. In 1993, the estimated losses to US software companies due to Chinese counterfeiting stood at US $322 million (Kohut, 1994). The present study uses a consumer ethics scale developed by Muncy and Vitell (1992) to investigate consumers' ethical judgments from a Chinese perspective. The result shows that (...) |
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With growth in the quantity of business ethics journals in recent years, assessments of journal quality are helpful to ethics researchers and administrators, as researchers consider available publication venues, and administrators consider the value of faculty research. The few published evaluations of business ethics journals have predominantly utilized two methods of journal quality determination: citation analysis and surveys of active researchers. This study employs a novel method to assess business ethics journals: 83 Association to Advance Collegiate Schools of Business business (...) |
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Guanxi is a complex construct of Chinese social interaction. Previous studies have focused on implications of guanxi for business outcomes; few have examined guanxi development, which is the purpose of this study. Two theoretical modes of dynamic guanxi processes in the workplace are proposed: working guanxi and backdoor guanxi . The two modes differ in frequency of interaction, frequency of exchange of favors, and how clear the parties are on what each stands to gain from a particular interaction. Although face (...) |
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The proportion of business ethics literature devoted to accounting and the proportion of academic accounting literature devoted to ethical issues are both small, yet over the past two decades there has been a steady accumulation of research devoted to ethical issues in accounting. Based on a database of more than 500 articles gathered from a wide range of accounting and business ethics academic journals, this paper describes and analyses the characteristics of what has been published in the past 20 years (...) |
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A scientific community cannot practice its trade without some set of received beliefs. These beliefs form the foundation of the "educational initiation that prepares and licenses the student for professional practice". The nature of the "rigorous and rigid" preparation helps ensure that the received beliefs are firmly fixed in the student's mind. Scientists take great pains to defend the assumption that scientists know what the world is like...To this end, "normal science" will often suppress novelties which undermine its foundations. Research (...) |
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Thomas S. Kuhn's classic book is now available with a new index. |
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Employing a unique dataset of Chinese non-listed firms, this paper investigates the effects of the presence of 19 governance structures on 20 employees’ interest indicators. In general, we find that firms with the governance structures pay workers higher hourly wages, require less monthly working hours, and have a smaller chance of wage arrears. Meanwhile, the shares of total wage and welfare expenditures in total sales revenue are lower in these firms, which results in higher profitability. Moreover, firms with the governance (...) |
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While Economic and Business Ethics has already attracted increasing attention in East Asia, a comprehensive survey of Economic and Business Ethics has never been done in this region. This study investigates the current status of Economic and Business Ethics as field of teaching, training and research in the East Asia region, particularly in China, Japan, and Korea. Based on multiple approaches that include questionnaire surveys, desktop analysis, and personal observation, this article reports on the current state of training, teaching, and (...) |
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This paper examines dispositional sources of workplace guanxi and the mediating role of workplace guanxi on the affectivity and job satisfaction relationship. Data were collected from 808 respondents in multiple industries in a city in China’s northeast. The study found that both positive affectivity and negative affectivity have an effect on supervisor–subordinate guanxi and co-worker guanxi, which supports the proposition that workplace guanxi has a dispositional source. Supervisor–subordinate guanxi has a positive relationship with job satisfaction, although co-worker guanxi is not (...) |
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Managing stakeholders is an important managerial aspect of corporate social responsibility. Employee stakeholder is one of the primary stakeholders that are critical to a company. Previous studies have shown inconclusive findings regarding the performance impact of managing this stakeholder, with some identifying little impact while others finding a positive association. This study further explores this issue in the context of foreign companies' subsidiaries in China. A potential mediating mechanism (i. e., customer orientation) between employee stakeholder orientation and performance (both financial (...) |
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The state is a key driver of corporate social responsibility across developed and developing countries. But the existing research provides comparatively little knowledge about: (1) how companies strategically manage the relationship with the state through corporate social responsibility (CSR); (2) how this strategy takes shape under the influence of political institutions. Understanding these questions captures a realistic picture of how a company applies CSR to interacting with the state, particularly in countries where the state relationship is critical to the business (...) |
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Corporate social responsibility (CSR) movement against labor abuses has gained momentum globally since the 1990s when many corporations adopted codes of conduct to regulate labor practices in their global supply chains. However, workers' participation in the process is relatively weak until very recently, when new worker empowerment programs are increasingly initiated. Using conceptual tool created by stakeholder theorists, this article examines dynamics and performance of worker participation in implementation process of codes of conduct through a case study of CSR practices (...) |
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Corporate social responsibility movement against labor abuses has gained momentum globally since the 1990s when many corporations adopted codes of conduct to regulate labor practices in their global supply chains. However, workers' participation in the process is relatively weak until very recently, when new worker empowerment programs are increasingly initiated. Using conceptual tool created by stakeholder theorists, this article examines dynamics and performance of worker participation in implementation process of codes of conduct through a case study of CSR practices of (...) |
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This study identifies unique corporate social responsibility (CSR) dimensions and develops a framework to analyze different levels of institutional dynamics in understanding CSR in China. Based on multiple case studies of 16 firms, the article examines the CSR philosophy and approach in China's emerging market. The findings suggest that Chinese CSR understanding is largely grounded in the context of ethical and discretionary actions. This focus is mainly attributed to the dominant role of ethical leadership, governmental dependency, and cultural traditions in (...) |
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This study develops an internal–external institutional framework that explains why firms act in socially responsible ways in the emerging country context of China. Utilizing a mixed method of in-depth interviews and a survey study of 225 Chinese firms, the author found that internal institutional factors, including ethical corporate culture and top management commitment, and external institutional factors, including globalization pressure, political embeddedness, and normative social pressure, will affect the likelihood of firms to act in socially responsible ways. In particular, implicit (...) |
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We find that agency problems are embedded in firm's excess and abnormal equity investments that are mainly dictated by controlling shareholder's motives and ethical choices manifested in ownership and board structure. The excess equity investment is gauged with respect to industry average. The abnormal equity investment is specifically referred to the number of nominal investment companies that are fully controlled by the controlling owners while subject to little governance. Our empirical evidences of 345 Taiwanese non-financial listed firms show that firm's (...) |
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We find that agency problems are embedded in firm's excess and abnormal equity investments that are mainly dictated by controlling shareholder's motives and ethical choices manifested in ownership and board structure. The excess equity investment is gauged with respect to industry average. The abnormal equity investment is specifically referred to the number of nominal investment companies that are fully controlled by the controlling owners while subject to little governance. Our empirical evidences of 345 Taiwanese non-financial listed firms show that firm's (...) |
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The purpose of this study is to identify China’s indigenous conceptual dimensions of corporate social responsibility (CSR) and to increase the knowledge and comprehension about CSR in specific context. We conducted an inductive analysis of CSR in China based on an open-ended survey of 630 CEOs and business owners in 12 provinces (municipalities) in China. In the survey, we collected CSR sample responses. After examining the qualitative data, we identified nine dimensions of CSR, among which six dimensions are similar to (...) |
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This article introduces the concept of corporate social responsibility in the seemingly oxymoronic context of Chinese “authoritarian capitalism.” Following an introduction to the emergence of authoritarian capitalism, the article considers the emergence of CSR in China using Matten and Moon’s framework of explaining CSR development in terms both of a business system’s historic institutions and of the impacts of new institutionalism on corporations arising from societal pressures in their global and national environments. We find two forms of CSR in China, (...) |
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This study examined the relationship between CEO ethical leadership and corporate social responsibility by focusing on the mediating role of organizational ethical culture and the moderating role of managerial discretion. Based on a sample of 242 domestic Chinese firms, we found that CEO ethical leadership positively influences corporate social responsibility via organizational ethical culture. In addition, moderated path analysis indicated that CEO founder status strengthens while firm size weakens the direct effect of CEO ethical leadership on organizational ethical culture and (...) |
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The three main Chinese teachings can all be used to develop a framework for corporate governance in China. Recently, the Confucian classic the Dizi gui has emerged as a matter of academic and social interest in Mainland China. Some entrepreneurs have decided to revert to the moral rules set out in this book to decide on complex moral dilemma. Our research aims to explore an actual case in which a business leader from Beijing succeeded in transforming his moral aspiration into (...) |
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We present two studies that examine the effects of guanxi on multiple social groups from the perspective of Chinese business people. Study 1 (N = 203) tests the difference in perceived effects of six guanxi contextualizations. Study 2 (N = 195) examines the duality of guanxi as either helpful or harmful to social groups, depending on the contextualization. Findings suggest guanxi may result in positive as well as negative outcomes for focal actors and the aggregate. |
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Chinese negotiators are known to have a negotiation emphasis that differs from their Western counterparts, especially in issues of face and conflict. These values, however, are not monolithic, and can change depending on the negotiation circumstance. This research examines how negotiation tactics changes when Chinese negotiators are faced with counterparts from near and distant cultures. An online conjoint simulation drew 351 respondents in Taiwan to test subjective perceptions of counterparts from the USA and Japan. Chinese respondents exhibited increased cultural accommodation (...) |
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Chinese negotiators are known to have a negotiation emphasis that differs from their Western counterparts, especially in issues of face and conflict. These values, however, are not monolithic, and can change depending on the negotiation circumstance. This research examines how negotiation tactics changes when Chinese negotiators are faced with counterparts from near and distant cultures. An online conjoint simulation drew 351 respondents in Taiwan to test subjective perceptions of counterparts from the USA and Japan. Chinese respondents exhibited increased cultural accommodation (...) |
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Research concerning the relationship between psychological ethical climate and job satisfaction is popular in the literature. However, to date, no study in the literature has simultaneously investigated both the effects of individual-level and organization-level ethical climates on employees’ job satisfaction. On the basis of a multilevel analysis, the present study used a sample of 472 full-time employees from 31 organizations in Taiwan to examine the above two effects. Results from the analyses showed that within the organizations, individual employees’ instrumental climate (...) |
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This study tests the effects of top management team member collectivistic values and TMT dissatisfaction with the financial situation on the environmental ethics of TMT members. We also examine the moderating effect of collectivistic values on the relationship between financial dissatisfaction and environmental ethics. Analyses of multi-level and source data show that financial dissatisfaction of the TMT negatively affects TMT members’ environmental ethics. However, TMT members’ individual collectivism can increase TMT members’ environmental ethics. Analyses also show that TMT members’ collectivism (...) |
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According to the reports in the past decade, some Asian subcontractors, mainly Taiwan, Hong Kong and Korea transnational corporations, tend to be labor abusive in their overseas investment destinations like China or Southeast Asia. Taking Vietnam as an example, this paper raises questions as to why Taiwanese transnational companies can control workplace unions in a trade-union-supportive regime. Given the government s constraint of political rights, and the individualized workplace unions, the function of trade unions in Vietnam is destined to be (...) |
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The aim of this study is to explore the influence of religious beliefs on the work-related attitudes of Turkish SME (small and medium-sized enterprise) owner-managers. In this research, the emergence of pious or devout business people is considered as a phenomenon, and special attention is paid to religious transformation and secularism in Turkey. Both concepts, religion and secularism, are considered within the Turkish context. For the research, in-depth interviews were conducted with 32 Turkish business people from religious and secular backgrounds, (...) |
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This article explores how the institutional context, including central and local governments, has co-evolved with business in relation to small cars and sustainability. This issue is very relevant for business and society in view of the environmental implications of the rapidly growing vehicle fleet in China, the economic importance attached to this pillar industry by the government, and citizen interest in owning and driving increasingly larger cars. The interactions between different levels of government, and with business in countries with a (...) |
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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 (...) |
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This research explores how consumers respond to Corporate Social Responsibility (CSR) in China with a multiproduct, comparative survey. Empirical results conclude that (1) Chinese consumers, who show a high level of awareness and trust of CSR, are more likely to transform a good CSR record into positive corporate evaluation, product association, and purchase intention; (2) Consumer responses to CSR vary across different product categories. Those firms selling experience products (vs. search and credence products) are more likely to gain consumers' positive (...) |
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This study examines a model involving income, the love of money, pay satisfaction, organizational commitment, job changes, and unethical behavior among 211 full-time employees in Hong Kong, China. Direct paths suggested that the love of money was related to unethical behavior, but income (money) was not. Indirect paths showed that income was negatively related to the love of money that, in turn, was negatively related to pay satisfaction that, in turn, was negatively associated with unethical behavior. Pay satisfaction was positively (...) |
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With the expansion of multinational corporations (MNCs), the alarming upsurge in widely publicized and notable corporate scandals involving MNCs in emerging markets has begun to draw both academic and managerial attention to look beyond home market practices to the pressing concern of CSR in emerging markets. Previous studies on CSR have focused primarily on Western markets, reserving limited discussions in addressing the issue of MNC attitudes and CSR practices in their emerging host markets abroad. Despite this incongruity in academic response (...) |
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China is establishing its corporate governance structures by emulating the stylized Anglo-American model. However, the country does not yet have the necessary formal and informal institutions, or the financial infrastructure to make these structures work effectively. Corruption, stock market manipulation, tax cheating, fraudulent dealing, all manners of plundering of state assets and the lack protection of shareholders' rights are some of the more conspicuous manifestations of the ethical issues that have emerged in this mismatch. This study shows how these issues (...) |
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Enterprise philanthropy is practiced in a very unique and rudimentary form in China. Based on a unique random survey data on 3837 Chinese private enterprises conducted in 31 provinces of China in 2006, I find the significant positive relationship between enterprise philanthropy donation and enterprise profitability, and the result supports the political and institutional power view of enterprise philanthropy in the latest development of China. Simply put, Chinese private enterprises carried out philanthropy activities to better protect property rights and nurture (...) |
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This study examines the effects of nationality (U.S. vs. China) and personal values on managers’ responses to the Perceived Role of Ethics and Social Responsibility (PRESOR) scale. Evidence that China’s transition to a socialist market economy has led to widespread business corruption, led us to hypothesize that People’s Republic of China (PRC) managers would believe less strongly in the importance of ethical and socially responsible business conduct. We also hypothesized that after controlling for national differences, managers’ personal values (more specifically, (...) |
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