Ethics Chapter 6

Moral philosophy

Refers to the specific principles or values people use to decide what is right and wrong.
These are person specific

economic value orientation

Associated with values quantified by monetary means; if an act produces more economic value for the effort, then it should be accepted as ethical.

Idealism

A moral philosophy that places special value on ideas and ideals as produces of the mind. Positive correlation between idealistic thinking and ethical decision making.

Realism

The view that an external world exists independent of our perceptions. They assume that humankind is not naturally benevolent and kind, but instead inherently self-centered and competitive. Each person is ultimately guided by his or her own self-interests

monists

A concept of goodness. They believe only one thing is intrinsically good.

Hedonism

The idea that pleasure is the ultimate good, or the best moral end involves the greatest balance of pleasure over pain.

Philosophy

The general system of values by which people live.

Business ethics

Based on decisions made by groups or when carrying out tasks to meet business objectives.

Adam Smith

The father of free market capitalism. Wrote "The Theory of Moral Sentiments" and "The Wealth of Nations"
He believed that business was and should be guided by the morals of good people.
His ideas did not envision the full force of democray, or the immense

Capitalism

Managers view profit as the ultimate goal of an enterprise and may not be concerned about the impact of their firms' decisions on society.
Eg. Milton Friedman (the market will reward or punish companies for unethical conduct without the need for governmen

Quantitative hedonists

Believe that the more pleasure is better.

Qualitative hedonists

Believe that it is possible to get to much of a good thing (such as pleasure)

Pluralists

Often referred to as non-hedonists, take the position that no one thing is intrinsically good.
Eg. They might ciew beauty, experience, knowledge and personal affection as ultimate goods.

Instrumentalist (pragmatists)

Reject ideas that
1. Ends can be separated from the means that produce them
2. Ends, purposes, or outcomes are intrinsically good in and of themselves.
There is no single, universal end

Goodness theories

Typically focus on the END RESULT of actions and the goodness or happiness created by them.

Obligation theories

Emphasize the means and motives by which actions are justified. Divided into categories of:
1. Teleology
2. Deontology

Teleology

From Greek word "end" or "purpose"
Refers to moral philosophies in which an act is considered morally right or acceptable if it produces some desired result.
Assess the moral worth of behavior by looking at its consequences, often referred to as CONSEQUEN

Teleological philosophies

1. Egoism
2. Utilitarianism

Egoism

A teleological philosophy. It defines right or acceptable behavior in terms of its consequence for the individual. They believe that they should make decisions to maximize their own self-interest.
Eg. Telemarketers when they prey on elderly consumers who

Enlightened egoism

A teleological philosophy. Take a long-range perspective and allow for the well-being of others although their own self-interest remains paramount.
They might abide by professional codes of ethics, control pollution, avoid cheating on taxes, help create j

Utilitarianism

A teleological philosophy that is concerned with the consequences. This philosophy seeks the greatest good for the greatest number of people.
Greatest total utility.
Relies on making a systematic comparison of the costs and benefits to all affected partie

Rule utilitarianism

A type of utilitarianism that determine behavior on the basis of principles or rules designed to promote the greatest utility (rather than individual examinations of each situation they encounter).
Eg. One such rule might be "bribery is wrong

Act utilitarianism

A type of utilitarianism where they examine specific actions, rather than the general rules governing them, to assess whether they will result in the greatest utility.
Eg. Rules like "bribery is wrong" serve only as guidelines

Deontology

From the Greek word "ethics" refers to moral philosophies that focus on the rights of individuals and the intentions associated with a particular behavior rather than its consequences.
Fundamental _____ theory is that equal respect must be given to all pe

Categorical imperative

Developed by Immanuel Kant. Basically says, if you feel comfortable allowing everyone in the world to see you commit an act and if your rationale for acting in a particular manner is suitable to become a universal principle guiding behavior, then committi

Rule deontologists

A type of deontologist that believe conformity to general moral principles based on logic determines ethicalness.
Eg. Kant's categorical imperative and the Golden rule.

Act deontologists

A type of deontologist that hold that actions are the proper basis to judge morality or ethicalness. It requires a person to use equity, fairness, and impartiality when making and enforcing decisions.
Past experiences are more important than rules; rules

Relativist perspective

A perspective where definitions of ethical behavior are derived subjectively from the experiences of individuals and groups. They use themselves or the people around them as their basis for defining ethical standards.
3 types:
1. Descriptive
2. Meta-ethic

Descriptive relativism

A type of relativism that relates to observations of other cultures.
Different cultures exhibit different norms, customs, and values.
However, these observations say nothing abut the higher questions of ethical justification

Meta-ethical relativism

A type of relativism that proposes that people naturally see situations from their own perspectives, and there is no objective way of resolving ethical disputes between different value systems and individuals.

Normative relativism

A type of relativism that assume one person's opinion is as good as another's.

Virtue ethics

Argues that ethical behavior involves not only adhering to conventional moral standards, but also considering what a mature person with a "good" moral character would deem appropriate in a given situation.

Justice

Fair treatment and due reward in accordance with ethical or legal standards, including the disposition to deal with perceived injustices of others.
Based on deontological moral perspectives

Types of justice

1. Distributive
2. Procedural
3. Interactional

Distributive justice

A type of justice that is based on the evaluation of the outcomes or results of a business relationship.
Eg. If some employees feel theya re paid less than their coworkers for the same work.
Emphasizes: Benefits derived, equity in rewards

Procedural justice

A type of justice that considers the processes and activities that produce a particular outcome. A climate that emphasizes this positively influences employees' attitudes and behaviors toward work group cohesion.
Emphasizes: Decision making process, level

Interactional justice

A type of justice that is based on he relationships between organizational members, including the way employees and management treat one another. It is linked to fairness within member interactions.
Emphasizes: Accuracy of information, truthfulness, respe

gender

Extensive research regarding the link between _____ and ethical decision making shows that in many aspcts there are no differences between men and women. But when differences are found, women are typically more ethical than men.

Different moral philosophies between personal and work-related decisions

1. Some goals and pressures for success differ from the goals and pressures in a person's life outside of work.
2. The corporate culture where they work.

Kohberg's model of cognitive moral development

A model that states that people make different decisions in similar ethical situtations because they are in different moral development stages. Consitsts of 6 stages

Stages of Kohlberg's model of cognitive moral development

1. Punishment and obedience
2. Individual instrumental purpose and exchange
3. Mutual interpersonal expectations, relationships, and conformity
4. Social system and conscience maintenance
5. Prior rights, social contract, or utility
6. Universal ethical p

Three strikes of CMD

1. Did not take into account the full functioning and development of the brain
2. There is no hierarchy for moral philosophies
3. CMD has high reliability but not validity.

white collar crime (WCC)

Crime committed by people of high social position in the course of their occupations.
Highly educated people in positions of power, trust, respectability, and responsibility within a business organization. Commit illegal acts for personal and/or organizat

Causes of WCC

1.
2. Views and behaviors of an individual's acquantances within an organization.
3. Tends to increase in the years following economic recessions
4. Some people have inherently criminal personalities.