A note on government policy and the new ‘intrapreneurship’ in Bulgaria

Conclusion I have attempted in this paper to highlight the recent emergence and rapid growth of a particular type of intrapreneurship in the Bulgarian economy. This intrapreneurship involves the creation of new smaller establishments within existing large-scale industrial firms. These semi-autonomous auxiliary plants are exempt from part of the bureaucracy which constrains the larger addition, they have provided a higher rate of technological advance, a better supply of consumer goods, a greater utilization of labor resources, and a higher return to human capital.Only through the continued development of a small-firm sector can the Bulgarian economy meet the challenge currently posed by its western counterparts. Whether the next step from intrapreneurship to entrepreneurship is taken may hold the key for industrial development in Bulgaria.     

‘I am we’ consciousness and dialog as organizational ethics method

There is a practical five-step method of ethics dialog developed by John Woolman, an 18th c. businessman and ethical activist, that was used by Robert K. Greenleaf, a 20th c. A.T.&T. Corporate Vice-President, that includes: (a) friendly, emotive affect; (b) discussion of mutual commonalities; (c) discussion of issue entanglements; (d) discussion of potential experimental solutions; and, (e) trial and feedback discussion. This method of dialog appears to proceed with a type of consciousness considered by John Woolman and Bernard Lonergan as one where the I is conscious that I and Others are part of a more foundational, larger and prior We. This type of dialog is different than Socratic dialog. The corresponding type of consciousness is different than the more derivative, e.g., two allies being united in their response to a common goal. It is also different than Buber's I and Thou appreciative consciounsess of the interestingness, value, diversity, and uniqueness of others. Woolman dialog as seen in four cases appears to be a concrete method that has some value both as an end in itself and as instrumental means that can: be issue effective, help build ethical organization/community culture, and help facilitate peaceful, evolutionary change and development. Limitations of the method are also considered. The method may also be a several hundred year anticipation of experiment based pragmatist philosophy that is anthropologically sensitive to cultural entanglements.

John Donne (17th c.)

Richard P. Nielsen is a professor in the Department of Organizational Studies, School of Management, Boston College. Related articles of his include: Dialogic Leadership As Organizational Ethics Action (Praxis) Method, Journal of Business Ethics(October 1990); Negotiating As An Ethics Action (Praxis) Strategy, Journal of Business Ethics(May 1989); Changing Unethical Organizational Behavior, Academy of Management Executive(May 1989); Arendt's Action Philosophy and the Manager as Eichmann, Richard III, Faust, or Institution Citizen, California Management Review(Spring 1984); and Cooperative Strategy, Strategic Management Journal(September–October 1988).     

Reactions to ethical dilemmas: A study pertaining to certified public accountants

This study discusses how perceptions of ethics are formed by certified public accountants (CPAs). Theologians are used as a point of comparison. When considering CPA ethical dilemmas, both subject groups in this research project viewed confidentiality and independence as more important than recipient of responsibility and seriousness of breach. Neither group, however, was insensitive to any of the factors presented for its consideration. CPA reactions to ethical dilemmas were governed primarily by provisions of the CPA ethics code; conformity to that code may well be evidence of higher stage moral reasoning.Gregory A. Claypool is Associate Professor of Accounting and Finance at Youngstown State University.David F. Fetyko is Professor of Accounting at Kent State University. Michael A. Pearson is Professor of Accounting at Kent State University. He is the author of Enhancing Perceptions of Auditor Independence, Journal of Business Ethics 4 (1985), 53–6, and Auditor Independence Deficiencies and Alleged Audit Failures, Journal of Business Ethics 6 (1987), 281–7.     

Norman Bowie and Richard Rorty on multinationals: Does business ethics need ‘metaphysical comfort?’

Norman Bowie wrote an article on the moral obligations of multinational corporations in 1987. This paper is a response to Bowie, but more importantly, it is designed to articulate the force and substance of the pragmatist philosophy developed by Richard Rorty. In his article, Bowie suggested that moral universalism (which he endorses) is the only credible method of doing business ethics across cultures and that cultural relativism and ethnocentrism are not. Bowie, in a manner surprisingly common among contemporary philosophers, lumps Rorty into a bad guy category without careful analysis of his philosophy and ascribes to him views which clearly do not fit. I attempt to provide both a more careful articulation of Rorty's views, and to use his pragmatism to illustrate an approach to business ethics which is more fruitful than Bowie's. This brand of philosophy follows the Enlightenment spirit of toleration and attempts to set aside questions of Truth, whether religious or philosophical, and have ethics centered around what James called that which is good in the way of belief. Rather than looking for metaphysical foundations or some type of external justification, ethicists perform their craft from within the cultural traditions, narratives and practices of their society.Andrew C. Wicks, M.A. in Religious Ethics. Currently a fourth year Doctoral Candidate in the Religious Studies Department at the University of Virginia, Charlottesville.     

Women,unions, and social policy

We contend in this paper that the trade union role in social policy is expanding due to the debate on women's issues. The Centrale de l'enseignement du Québec is seen as a forerunner of this trend, with its policy positions on questions previously seen as personal. The method of promotion of these interests is also new, with caucusing and networking. The significance of these changes goes beyond unionized women workers and affects all women. Dr. Margaret Beattie is Professor adjoint at the Département de Service Social, Université de Sherbrooke, Quebec, Canada. Her most important publication is: Women and Factional Politics in a Teacher's Union, Atlantis: A Women's Studies Journal (Fall 1982).     

The indefensibility of insider trading

The article, Inside Trading Revisited, has taken the stance that insider trading is neither unethical nor economically inefficient. Attacking my arguments to the contrary developed in an earlier article, The Ethics of Inside Trading (Journal of Business Ethics, 1989) this article constructs careful arguments and even appeals to Adam Smith to justify its conclusions. In my response to this article I shall clarify my position as well as that of Smith to support my counter-contention that insider trading is both unethical and inefficient. Patricia H. Werhane is the Henry J. Wirtenberger Professor of Business Ethics at Loyola University, Chicago. She is the author or editor of seven books including Ethical Issues in Business,edited with Tom Donaldson, in its third edition, Persons, Rights, and Corporations, Profits and Responsibility,and Philosophical Issues in Human Rights,edited with David Ozar and A. R. Gini. She is past president of the Society for Value Inquiry, founding member, past president and Executive Director of the Society of Business Ethics, and Chairperson of the Ethics Advisory Council of Arthur Andersen & Co. She serves on the editorial boards of the Journal of Business Ethics,the Journal of Value-Based Management, and Public Affairs Quarterly,and is Editor-in-Chief of Business Ethics Quarterly.Her book, Adam Smith and his Legacy for Modern Capitalismis forthcoming with Oxford University Press.     

The Effect of Implicit versus Explicit Comparisons on Temporal Pricing Claims

Existing research has investigated the "pennies-a-day" strategy of reframing an "aggregate" expense as a "per day" expense (Nagle & Holden, 1995; Price 1995; Gourville 1998). This paper extends this research by considering the incremental impact on compliance of explicitly comparing the cost of a transaction to a specific petty cash expense (e.g., a cup of coffee). We show that in the presence of a per day framing of price (e.g., $1 per day), an explicit comparison provides little added value. However, we also show that in the presence of an aggregate framing of price (e.g., $350), an explicit comparison to a petty cash expense is sufficient to generate a "pennies-a-day" perspective. We conclude that it is not the per day framing, per se, which drives "pennies-a-day" effectiveness, but the petty cash comparisons that such a framing either implicitly or explicitly generates.     

National Innovation Systems, ‘Real Economies’ and Instituted Processes

The design of institutions, policies and units of analysis are all predicated upon the ways in which we see the world and explain change. Today, as the pace of change quickens due to technological advancement and growing technoeconomic interdependencies in a series of processes generally referred to as globalization, analytic frameworks which emphasize national systems have emerged to provide a unit of analysis through which to explain these changes and growing interactions. These frameworks have the allure of trying to incorporate the ways in which economies, markets and economic agents actually behave – with particular reference to innovation, knowledge, learning and institutions. Our purpose in this paper is to raise some questions about the importance of these frameworks from a policy (managerial) and analytic perspective, to outline some limitations of their utility, and to suggest some useful paths for investigation.     

A Qualitative Exploration into Voters' Ethical Perceptions of Political Advertising: Discourse, Disinformation, and Moral Boundaries

Political campaign advertising continues to be a controversial policy topic in advertising and marketing research. It is also a prime subject for investigating the ethical evaluations of consumers (or voters). The following study draws from postmodern communication theory and employs a qualitative research methodology in order to explore voters' intimate and subjective views about politics, candidates, and political advertising. The findings include emergent themes relating to significant media rituals in voters' lives, the cynical perspective of politics as a game, and the widespread disapproval and suspicion with which voters regard negative political advertising. Additionally, the a priori theme of political information as disinformation was proposed and expanded upon. Findings are discussed in light of a greater understanding of the appropriateness of the traditional versus the postmodern perspective of political communication, informants' construction of moral boundaries which help them determine right from wrong, acceptable vs. unacceptable political behaviours in this particular context.     

Saturday Review's annual advertising awards

Saturday Review's long, commendable effort to identify corporations willing to promote the general good through their advertising was damaged in 1977 because of procedural changes in the awards. Prior to 1977 the named judges made the important distinction between public-service (non-image) and public-relations (corporate image) advertising. But in 1977 the judges were not named and the public service/public relations distinction was eliminated, replaced by the single category of public spirited ads. Most of these ads, however, were not public spirited, but were public relations ads. But in 1978 this deception was ended by the empaneling of a new kind of jury, one drawn from the S.I. Newhouse School of Public Communications. James Richard Bennett is Professor of English at the University of Arkansas, Fayetteville. He is the editor of Style, a Journal of Stylistics. He won the Fulbright Teaching Award in Yugoslavia in 1968–69. His most important publication is: Prose Style: A Historical Approach Through Studies, 1971.I wish to thank Professor Leonard White of the Department of Economics at the University of Arkansas for his advice concerning several of the ads discussed herein.     

The foundations of corporate responsibility

The thesis of this paper is that corporate activity can best be understood on analogy with the acitivity of persons. The ground for this analogy lies in the nature of activity itself which is common to both and to find a ground therein an analysis of the features of activity is presented based upon a comparison of activity and process by Alburey Castell. Activity is said to be bi-polar with one pole the purpose or goal to be handled in utilitarean fashion and the other pole concerned with the maintenance of the presuppositions of activity.While any goal chosen will have hypothetical oughts as its conditions, it is argued that the presuppositions of activity are categorical oughts in that they cannot be denied without asserting them. And since one of these presuppositions is freedom of choice, thus giving activity the power to destroy its own possibility, these presuppositions function in the context of practice as categorical norms and are universal in their applicability as preserving the possibility of responsible activity for everyone else as well as myself. All activity whether it be other-regarding or self-regarding (self-interest in the business world) is subject to the norms of its own possibility, its enabling conditions, and this constitutes the moral ground for personal, managerial and a basis for inquiry into corporate responsibility.All of these ideas are put forth within the wider context of the problem of corporate legitimacy and constitute a prolegomena to it.     

Leaders,Values, and Organizational Climate: Examining Leadership Strategies for Establishing an Organizational Climate Regarding Ethics

This paper examines the critical role that organizational leaders play in establishing a values based climate. We discuss seven mechanisms by which leaders convey the importance of ethical values to members, and establish the expectations regarding ethical conduct that become engrained in the organizations climate. We also suggest that leaders at different organizational levels rely on different mechanisms to transmit values and expectations. These mechanisms then influence members practices and expectations, further increase the salience of ethical values and result in the shared perceptions that form the organizations climate. The paper is organized in three parts. Part onebegins with a brief discussion of climates regarding ethics and the critical role of values. Part two provides discussion on the mechanisms by which leaders and members transmit values and create climates related to ethics. Part three provides a discussion of these concepts with implications for theory, research, and practice.     

Marketing ethics and the techniques of neutralization

The need for conceptual work in marketing ethics is addressed by examining the five techniques of neutralization as a means for partially explaining unethical behaviors by marketing practitioners. These techniques are often used by individuals to lessen the possible impact of norm-violating behaviors upon their self-concept and their social relationships. Borrowed from the social disorganization and deviance literature, the five techniques of neutralization are: (1) denial of responsibility, (2) denial of injury, (3) denial of victim, (4) condemning the condemners and (5) appeal to higher loyalties. Examples of marketing professionals using each of the five techniques are given, and a conceptual model linking the techniques of neutralization with unethical behavior is presented. Finally, relevant research questions are offered for consideration.Scott J. Vitell is Assistant Professor of Marketing at The University of Mississippi. His most important publications include A General Theory of Marketing Ethics (1986) (with Shelby D. Hunt) and Marketing's Contribution to Economic Development: A Look at the Last 30 Years (1985) (with Van R. Wood). Stephen J. Grove is Assistant Professor of Marketing at Clemson University. His articles have appeared in the Journal of Health Care Marketing, the International Journal of Sport Psychology, the Journal of Sport Behavior, the Bulletin of the Association for Business Communication, Simulation and Games, and several national and regional conference proceedings.     

Mill's proof that happiness is the criterion of morality

This paper considers the converse of the principle that ought implies can, namely, the principle that must implies ought. It argues that this principle is the central premiss for Mill's argument that happiness is desirable (worthy of desire), and it examines the sense of must that is relevant and the implications it has for Mill's moral philosophy.     

Towards an Integrative Model of Small Firm Internationalisation

Firm internationalisation has long been regarded as an incremental process, wherein firms gravitate towards psychologically close markets and increase commitment to international markets in a gradual, step-wise, manner through a series of evolutionary stages. However, much of the recent literature provides clear evidence of rapid and dedicated internationalisation by born global firms. Typically, these are smaller entrepreneurial firms that internationalise from inception, or start to shortly thereafter. Their main source of competitive advantage is often related to a more sophisticated knowledge base. In addition, the authors have found evidence of firms supporting this born global pattern of behaviour but also evidence of firms that suddenly internationalise after a long period of focusing on the domestic market. These born-again globals appear to be influenced by critical events that provide them with additional human or financial resources, such as changes in ownership/management, being taken over by another company with international networks, or themselves acquiring such a firm. Based upon the extant literature and our own research, we propose an integrative model that recognises the existence of different internationalisation pathways. We then explore differences in behaviour due to the firm's internationalisation trajectory and discuss the strategic and public policy implications.     

Affirmative action: An ethical evaluation

This paper examines four major arguments advanced by opponents of race and gender conscious affirmative action and rebuts them on the basis of moral considerations. It is clear that the problem of past racial/gender discrimination has not disappeared; its effects linger, resulting in a wide disparity in opportunities and attainments between minorities/women and whites/males. Affirmative action, although not the perfect solution, is by far the most viable method of redressing the effects of past discrimination. Thus it cannot be dismissed lightly by way of arguing for mere colorblindness. Bill Shaw is Professor of Business Law at the University of Texas at Austin. He is on the editorial board of the American Business Law Journal and the Midwest Law Review. Among his most recent publications are The Legal Environment of Business (with Art Wolfe), Environmental Law: Text and Cases, The Global Environment: A Proposal to Eliminate Marine Oil Pollution (With Frank Cross and Brenda Winslett, The Natural Resources Journal), and Comparable Worth and Its Prospects (The Labor Law Journal). Professor Shaw would like to acknowledge the research assistance of Ms. Sohni Z. Yousuff.     

Factors Impacting the Adoption of the Internet among SMEs

The Internet can extend market reach and operational efficiency of small and medium enterprises (SMEs) and enhance their contributions to the U.S. economy. This paper reports an empirical study conducted to identify the factors that impact SMEs involvement with the Internet. Internal and external variables such as firm size, self-efficacy, prior technology use, etc. are used to predict the level of Internet involvement. This involvement is examined in terms of ownership of a web site (adoption) and use of the Internet for selling purposes (routinization). Logistic regression is used to examine the relationships between internal and external factors and SMEs involvement with the Internet. The results suggest that specific factors contribute to the SMEs involvement with the Internet – prior technology use and the customer service subscale of perceived competitive pressure influence both stages of Internet adoption. Moreover, the relative importance of some of these predictor variables decreases as the level of Internet involvement increases. Past media use does not explain SME behavior – in terms of adoption or routinization. These findings can be used to develop strategies to build SME involvement with the Internet.     

Assessing Industrial Buyer Preferences: Using the Swait-Louviere Test to Test the Key Informant Assumption

When using professional buyers to study an organizations buying behavior an important consideration is whether their preferences reflect those of the organization. Since this is a key informant problem, the present article focuses on the issue of the degree to which key informants can be used to provide insights into their own organizations preferences. We conduct a direct test of the key informant assumption using the Swait-Louviere test. In this test preferences from a choice experiment using actual buyers, and from market decisions made by the organization, are estimated separately, then jointly in multinomial logit models. We found that buyers experimental preferences were similar to estimates obtained from the market decisions. Buyers preferences were closer to the intuitive preferences of the organizations top executives than the estimates based on past market decisions, although a model based on the combined data outperformed either. We discuss the implications of these results for industrial buying research.This revised version was published online in May 2005 with a corrected cover date.     

Corporate Social Responsibility

In the context of some criticism about social responsibility education in business schools, the paper reports findings from a survey of CSR education (teaching and research) in Europe. It analyses the extent of CSR education, the different ways in which it is defined and the levels at which it is taught. The paper provides an account of the efforts that are being made to mainstream CSR teaching and of the teaching methods deployed. It considers drivers of CSR courses, particularly the historical role of motivated individuals and the anticipation of future success being dependent on more institutional drivers. Finally it considers main developments in CSR research both by business school faculty and PhD students, tomorrows researchers and the resources devoted to CSR research. The conclusion includes questions that arise and further research directions.     

Risk Management for E-Cash Systems with Partial Real-Time Audit

We analyze coin-wallet and balance-wallet under partial real-time audit, and compute upper bounds on theft due to the fact that not all the transactions are audited in real time, assuming that everything else is perfect. In particular, we assume that the audit regime holds for innocent payees. Let v be the maximum allowed balance in a wallet, and 01 be the fraction of transactions that are audited in real time in an audit round. Assume one unit transactions. We show that the upper bound on expected theft for coin-wallet is lim₀^–2, while for plausible (similar) parameter choice the bound for a balance-wallet is O(exp(mv)), where 1<m. The former is nicely bounded for small transactions, however, the bound for balance-wallet can become huge in those cases where we require very small false alarm probability. We conclude that partial audit, may be suitable for coin-wallets with low denomination coins, and possibly for balance-wallet, when we may tolerate a relatively high false alarm rate, but it may be too risky for balance-wallet, where very low false alarm rate is required.