FOCUS: A Comparison of Business Ethics in North America and Continental Europe

The author of this major study compares the significantly different approaches to business ethics on both sides of the Atlantic and considers what they have to learn from each other. He has considerable experience of business ethics in both Europe and North America, having taught and researched the subject at the University of St Gallen in his native Switzerland before his appointment as Professor of International Business Ethics in the College of Business Administration, University of Notre Dame, Indiana 46556, USA. Professor Enderle was also the founding Honorary Treasurer of the European Business Ethics Network and is an Associate Editor of this Review.     

BUSINESS ETHICS IN RUSSIA: Business Ethics in a New Russia

As indicated in the previous article, a Russian-sponsored conference on business ethics was recently held in Moscow. Another participant from the USA, Professor Joanne B. Ciulla, comments here on what could prove to be a new beginning for business in Russia. Professor Ciulla is an Associate Editor of this Review and occupies the Coston Family Chair in Leadership and Ethics at the University of Richmond, Virginia.     

A defense of employee rights

Recent trends in business ethics along with growing attacks upon unions, suggest that employee rights will be a major social concern for business managers during the next decade. However, in most of the discussions of employee rights to date, the very meaning and legitimacy of such rights are often uncritically taken for granted. In this paper, we develop an account of employee rights and defend this conception against what we take to be the strongest in-principle objections to it. Joseph R. Des Jardins is Assistant Professor at the Department of Philosophy of Villanova University. He is co-editor, with John McCall, ofContemporary Issues in Business Ethics (1984) and An Introduction to Ethics (forthcoming, both published by Wadsworth. John J. McCall is Assistant Professor at the Department of Philosophy of St. Joseph's University and formerly at Iowa State University.     

Window on Eastern Europe: A Moral Movement for Polish Business

Our regular contributor on the business ethics scene in Poland reports on recent encouraging developments and sees them as contributing to the 'moral revolution' in addition to the political and economic ones which a leading Polish academic judges his country needs today. The author is Professor of Management at DePaul University Department of Management, 1 East Jackson Blvd, Chicago IL 60604, and Visiting Fulbright Professor of Management at Adam Mickiewicz University, Poznan.     

Urban Living and Business Responsibility

What are the responsibilities of a business towards the city in which it operates? The Professor of Business Ethics at Nijenrode University, the Netherlands Business School suggests three practical ways of identifying them. This article is the substance of a paper which he delivered as Chairman of the European Business Ethics Network at its 1992 Conference in Paris.     

A conceptual model of corporate moral development

The conceptual model presented in this article argues that corporations exhibit specific behaviors that signal their true level of moral development. Accordingly, the authors identify five levels of moral development and discuss the dynamics that move corporations from one level to another. Examples of corporate behavior which are indicative of specific stages of moral development are offered.R. Eric Reidenbach is Professor of Marketing and Director of the Center for Business Development and Research at the University of Southern Mississippi. He has written extensively on business and marketing ethics.Donald P. Robin, Professor of Business Ethics and Professor of Marketing at the University of Southern Mississippi, is coauthor with R. Eric Reidenbach of two recent books on business ethics with Prentice-Hall. He is a frequent lecturer on business ethics and is the author of several articles on the subject.     

Toward the development of a multidimensional scale for improving evaluations of Business Ethics

This study represents an improvement in the ethics scales inventory published in a 1988 Journal of Business Ethics article. The article presents the distillation and validation process whereby the original 33 item inventory was reduced to eight items. These eight items comprise the following ethical dimensions: a moral equity dimension, a relativism dimension, and a contractualism dimension. The multidimensional ethics scale demonstrates significant predictive ability.Dr Reidenbach is the Director of the Center for Business Development and Research and Professor of Marketing at the University of Southern Mississippi. He is the co-author of two books on business ethics and has contributed numerous articles on ethics to various academic and applied business journals. Dr Donald P. Robin, Professor of Business Ethics and Professor of Marketing, is co-author with Dr R. Eric Reidenbach of two recent books (1989) on business ethics. Both books, Business Ethics: Where Profits Meet Value Systems and Ethics and Profits: A Convergence of Corporate America's Economic and Social Responsibilities were published by Prentice-Hall. Dr Robin is a frequent lecturer on business ethics and has written several articles on the subject for both ethics and business journals.     

The Effectiveness of Business Codes: A Critical Examination of Existing Studies and the Development of an Integrated Research Model

Business codes are a widely used management instrument. Research into the effectiveness of business codes has, however, produced conflicting results. The main reasons for the divergent findings are: varying definitions of key terms; deficiencies in the empirical data and methodologies used; and a lack of theory. In this paper, we propose an integrated research model and suggest directions for future research. Muel Kaptein is Professor of Business Ethics and Integrity Management at the Department of Business-Society Management at RSM Erasmus University. His research interests include the management of ethics, the measurement of ethics and the ethics of management. He has published papers in the Journal of Business Ethics, Business & Society, Organization Studies, Academy of Management Review, Business & Society Review, Corporate Governance, Policing, Public Integrity, and European Management Journal. He is the author of the books Ethics Management (Kluwer Academic Publishers, 1998),The Balanced Company (Oxford University Press, 2002), and The Six Principles of Managing with Integrity (Spiro Press, 2005). Muel is also director at KPMG Integrity, where he assisted more than 40 companies in developing their business code. Mark S. Schwartz is Assistant Professor of Goverance, Law and Ethics at the Atkinson School of Administrative Studies at York University (Toronto). His research interests include corporate ethics programs, ethical leadership, and corporate social responsibility. He has published papers in the Journal of Business Ethics, Business & Society, Business Ethics Quarterly, Professional Ethics, and the Journal of Management History, and is a co-author of the textbook Business Ethics: Readings and Cases in Corporate Morality (McGraw Hill). He is also a Research Fellow of the Center of Business Ethics (Bentley College) and the Business Ethics Center of Jerusalem (Jerusalem College of Technology).     

Assessing the application of cognitive moral development theory to business ethics

Cognitive moral development (CMD) theory has been accepted as a construct to help explain business ethics, social responsibility and other organizational phenomena. This article critically assesses CMD as a construct in business ethics by presenting the history and criticisms of CMD. The value of CMD is evaluated and problems with using CMD as one predictor of ethical decisions are addressed. Researchers are made aware of the major criticisms of CMD theory including disguised value judgments, invariance of stages, and gender bias in the initial scale development. Implications for business ethics research are discussed and opportunities for future research delineated.John Fraedrich is an Assistant Professor of Marketing at Southern Illinois University of Carbondale. His areas of interest include ethical decision making and international marketing. He has published inJournal of Macromarketing, Journal of Business Ethics, Journal of Academy of Marketing Science, Journal of Business Research, Journal of Marketing Management, International Journal of Value Based Management, andJournal of International Consumer Marketing. Dr. Fraedrich is co-author of a textbookBusiness Ethics: Ethical Decision Making and Cases, Second Edition.Debbie M. Thorne is an Assistant Professor of Marketing at the University of Tampa. Her areas of interest include business ethics, social network analysis, and cultural issues in organizations. She received a Ph.D. in 1993 and has published in theJournal of Teaching in International Business and numerous conference proceedings.O. C. Ferrell is Interim Dean and Distinguished Professor of Marketing and Business Ethics in the Fogelman College of Business and Economics at Memphis State University. Dr. Ferrell was chairman of the American Marketing Association Ethics Committee that developed the current AMA Code of Ethics. He has published articles on business ethics in theJournal of Marketing, Journal of Marketing Research, Journal of Business Research, Journal of Macromarketing, Human Relations, Journal of Business Ethics, as well as others. He has co-authored ten textbooks includingBusiness Ethics: Ethical Decision Making and Cases, Second Edition, and a tradebook,In Pursuit of Ethics.     

The Ethical Dilemma of Research and Development Openness Versus Secrecy

In previous research, we have argued that private companies should be more open with their scientific research findings. However, our research assumed, somewhat naively perhaps, that public institutions were quite open. Recent findings have suggested otherwise, and in this paper we explore the dilemma faced by industry, universities, and society in attempting to balance the needs of openness (to rapidly advance the body of knowledge), with secrecy (to protect the economic returns to a new innovation). G. Steven McMillan is an Associate Professor of Management at Penn State Abington. His research focuses on the management of technology, particularly how technological competence translates into economic performance. His PhD is from Temple University. Ronald F. Duska, PhD, holds the Charles Lamont Post Chair of Ethics and the Professions at The American College since 1996, and is the director of the American College Center for Ethics in Financial Services. He is the author, co-author, or editor of numerous books. His most recent books The Ethics of Accounting and Ethics for the Financial Services Professional were published in 2003. He has authored numerous articles on philosophy and business ethics and has lectured and/or taught business ethics as an adjunct at numerous universities, including The Wharton School and The Darden School. He offers workshops in ethics and serves as a consultant and expert witness on matters pertaining to ethics in financial services. Robert D. Hamilton, a PhD from the Kellogg School at Northwestern University, is Professor in the General and Strategic Management Department at Temple University, in Philadelphia. His research focuses on the management of technology as well as strategy implementation issues. Debra L. Casey, JD, MS is an Assistant Professor of Management at Penn State Abington. Her research focuses on conflict management, and in particular, the role of employee voice. She is a Law Review graduate of William and Mary, and a doctoral candidate in labor and industrial relations at Rutgers University.     

Global distributive justice and the corporate duty to aid

This article challenges an argument from Tom Donaldson's recent bookThe Ethics of International Business with a claim that distributive justice, deemed in many circles to impose a duty of mutual aid on individuals and nations, establishes a basis for holding multinational corporations to such a duty as well. The root idea I advocate is that Rawls' theory of justice can be deployed — beyond its original intent yet in line with its spirit — to underwrite aprima facie obligation of international business to render aid to ameliorate suffering on behalf of the inhabitants of developing countries in which they operate.Kevin T. Jackson is Assistant Professor of Ethics in the Department of Legal and Ethical Studies at the Graduate School of Business, Fordham University in New York City. He holds a J.D. degree and a Ph.D. degree in Philosophy. Formerly a Legal Aid attorney, Visiting Assistant Professor at Georgetown University, and a business consultant, Dr. Jackson currently teaches courses in business ethics and legal philosophy.     

Identifying the gaps in ethical perceptions between managers and salespersons: A multidimensional approach

This research examines, in a general manner, the degree and character of perceptual congruity between salespeople and managers on ethical issues. Salespeople and managers from a diversity of organizations were presented with three scenarios having varying degrees of ethical content and were asked to evaluate the action of the individual in each scenario. Findings indicate that, in every instance, the participating managers tended (1) to be more critical of the action displayed in the scenarios, (2) to view the action as violating a sense of contract or promise, and (3) to view the action as less culturally acceptable than did the salespeople.Tony L. Henthorne is Associate Professor of Marketing at the University of Southern Mississippi. Dr. Henthorne has published in such journals asPsychology and Marketing andJournal of Professional Services Marketing.Donald P. Robin is Professor of Business Ethics and Professor of Marketing at the University of Southern Mississippi. Dr. Robin is coauthor with Eric Reidenbach of two recent books on business ethics. Dr. Robin has contributed several articles on business ethics in such journals asJournal of Marketing, Journal of the Academy of Marketing Science, andJournal of Business Ethics. He is also a frequent lecturer on the topic of business ethics.R. Eric Reidenbach is the Director of the Center for Business Development and Research and Professor of Marketing at the University of Southern Mississippi. Dr. Reidenbach has written numerous articles for such journals asJournal of Business Ethics, Journal of Marketing, Journal of Macromarketing, andJournal of the Academy of Marketing Science. Dr. Reidenbach has coauthored two books on business ethics.     

The International Business Ethics Index: Japan

The Business Ethics Index (BEI) was expanded in Japan. The overall BEI for Japan stands at 99.1 – slightly on the negative side. The component BEI patterns were similar to those in the U.S. In an open-ended question about their ethical experiences as consumers, the Japanese were concerned about customer service and good management practices. John Tsalikis is an Associate Professor of Marketing at Florida International University. His articles have appeared in the Journal of the Academy of Marketing Science, Journal of Business Ethics, and Psychology in Marketing. Bruce Seaton is an Associate Professor of Marketing at Florida International University. His research interests include the role of national stereotyping in consumer choice and the application of experimental methods to investigate models of business ethics. His articles have appeared in the Journal of Advertising, Journal of Business Research, and Journal of Global Marketing.     

Principled moral reasoning: Is it a viable approach to promote ethical integrity?

In response to recent recommendations for the teaching of principled moral reasoning in business school curricula, this paper assesses the viability of such an approach. The results indicate that, while business students' level of moral reasoning in this sample are like most 18- to 21-year-olds, they may be incapable of grasping the concepts embodied in principled moral reasoning. Implications of these findings are discussed. James Weber is currently an Assistant Professor of Management at Marquette University. He has published articles on managerial values and moral reasoning and the teaching of business ethics in Research in Corporate Social Performance and Policy: Empirical Studies of Business Ethics and Values, International Journal of Value Based Management, Human Relations, and Journal of Business Ethics. Sharon Green is currently an Assistant Professor of Accounting at the University of Wisconsin-Madison. Her research emphasizes information processing aspects of decision making in governmental, auditing and educational contexts. Her publications have appeared in Accounting Review and Research in Governmental and Non-Profit Accounting.     

An examination of the ethical beliefs of managers using selected scenarios in a cross-cultural environment

Academic literature addressing the topic of business ethics has paid little attention to cross-cultural studies of business ethics. Uncertainty exists concerning the effect of culture on ethical beliefs. The purpose of this research is to compare the ethical beliefs of managers operating in South Africa and Australia. Responses of 52 managers to a series of ethical scenarios were sought. Results indicate that despite differences in socio-cultural and political factors there are no statistically significant differences between the two groups regarding their own ethical beliefs. Results thus support the view that culture has little or no impact on ethical beliefs.Russell Abratt (DBA Pretoria) is Professor of Marketing at the University of Witwatersrand, Johannesburg, South Africa. His research interests include business ethics and promotional strategy. His work has been published in various sources includingJournal of Business Ethics, European Journal of Marketing, International Journal of Advertising andIndustrial Marketing Management.Deon Nel (DCom Pretoria) is Professor of Marketing at the University of Pretoria, South Africa. His research interests include business ethics and group decision making in organisations. His work has been published in various sources includingJournal of Business Ethics, European Journal of Marketing, Management Research News.Nicola Higgs is a graduate student at the University of the Witwatersrand, Johannesburg, South Africa.     

The International Business Ethics Index: European Union

The present study expands the systematic measurement of consumers’ sentiments towards business ethical practices to the international arena. Data for the Business Ethics Index (BEI) were gathered in three countries of the European Union (UK, Germany, Spain). The Germans were the most pessimistic while the British were the most optimistic about the future ethical behaviour of businesses. John Tsalikis is an Associate Professor of Marketing at Florida International University. His articles have appeared in the Journal of the Academy of Marketing Science, Journal of Business Ethics, and Psychology in Marketing. Bruce Seaton is an Associate Professor of Marketing at Florida International University. His research interests include the role of national stereotyping in consumer choice and the application of experimental methods to investigate models of business ethics. His articles have appeared in the Journal of Advertising, Journal of Business Research, and Journal of Global Marketing.     

Current Ethical Issues in Polish HRM

Contemporary HRM was introduced into Poland by the arrival of international corporations with their professional systems of Human Resource Management, which emphasizes ethical personnel management. This research is based on data collected from a questionnaire and interview of 40 women and men professional graduates of the 2004 Weekend MBA Program at Poznan University of Economics eliciting their perceptions of ethical issues in Polish HRM. The present Polish economic situation, with 19% unemployment, precipitates many ethical challenges. The questionnaire and interviews resulted in 217 observations and specific examples of ethical HRM issues. Examples fall in two broad categories and five specific Human Resource areas. The broad external categories are: (1) History and cultural attitudes and (2) Exploitation of the current unemployment situation. Historical and cultural attitudes influence attitudes toward work; company discipline; property and ownership; law and social expectations at work. The history of personnel departments in Socialistic Poland explains many of these attitudes. The five specific categories are: (1) Ethical issues in recruitment; (2) Ethical issues in hiring (Discrimination issues); (3) Ethical issues in performance appraisals and promotions; (4) Abuse of authority (including sexual harassment), and (5) “Mobbing”. Ethical issues in these categories include correlation with appropriate Polish Labor and Penal Laws. This research reveals some HRM ethical challenges unique to Polish HRM. The research emphasizes professional HRM and ethical expectations, which are now being recognized and accepted as a strategic component of Polish management Brother Leo V. Ryan, CSV is Professor of Management – Emeritus and former Dean, College of Commerce, De Paul University. He is a Fellow, St. Edmund’s College, Cambridge, holds honorary degrees from Seton Hall University and Illinois Benedictine University and was a Fulbright Professor in Poland (1993–1995). He is past president, Society for Business Ethics. He is co-author or co-editor of Human Action in Business (1996); Etyka Biznesu (1997); From Autarcy to Market – Polish Economics and Politics (1998); Students Focus on Ethics (2000); Praxiology and Pragmatism (2002) and Poland: A Transformational Analysis (2003). He has been an annual Visiting Professor, Poznan University of Economics, Poznan, Poland since November 1999.     

Ethical attitudes of students and business professionals: A study of moral reasoning

A questionnaire on business ethics was administered to business professionals and to upper-class business ethics students. On eight of the seventeen situations involving ethical dilemmas in business, students were significantly more willing to engage in questionable behavior than were their professional counterparts. Apparently, many students were willing to do whatever was necessary to further their own interests, with little or no regard for fundamental moral principles. Many students and professionals functioned within Lawrence Kohlberg's stage four of moral reasoning, the law and order stage. Individualism and egoism remain strong patterns in the moral reasoning of many professionals, but they influence moral reasoning patterns among students to a much greater degree.John A. Wood is Associate Professor or Religion at Baylor University.Justin G. Longenecker is Emeritus Chavanne Professor of Christian Ethics in Business at Baylor University.Joseph A. McKinney is Professor of Economics and Co-Director of Master of International Management Program at Baylor University.Carlos W. Moore is an Edwin W. Streetman Professor of Marketing at Baylor University.     

Window on Eastern Europe: Business and National Culture in Estonia

As the emerging democracies of Eastern Europe try to make capitalism work in an ethical manner, their historical background and the national culture acquired over centuries cannot be ignored, as this study from Estonia eloquently shows. Dr Professor Maksim Saat is Professor of Business Administration, and Dr Mari Meel is Assistant Professor of Business Ethics, at the Tallinn Technical University, Ehitajate tee 5, EE-0026 Tallinn, Estonia. In an Appendix Dr Meel describes how she teaches business ethics to university students.     

A moral basis for corporate philanthropy

The authors argue that corporate philanthropy is far too important as a social instrument for good to depend on ethical egoism for its support. They claim that rule utilitarianism provides a more compelling, though not exclusive, moral foundation. The authors cite empirical and legal evidence as additional support for their claim.Bill Shaw is the Woodson Centennial Professor in Business Administration at The University of Texas at Austin. He teaches courses in business ethics and in legal environment of business. Professor Shaw's articles have appeared in law and ethics journals, and he is co-author, with Art Wolfe, ofStructure of the Legal Environment (1991).Frederick R. Post is Assistant Professor of Business Law and Management at the College of Business Administration, University of Toledo, Toledo, Ohio. Professor Post teaches business law and labor policy courses. His research interests include business ethics and labor management relations. His publications have appeared inThe Journal of Business Ethics, The Mid-American Journal of Business andThe Journal of Legal Studies Education.