The perceived role of ethics and social responsibility: A scale development

Marketers must first perceive ethics and social responsibility to be important before their behaviors are likely to become more ethical and reflect greater social responsibility. However, little research has been conducted concerning marketers' perceptions regarding the importance of ethics and social responsibility as components of business decisions. The purpose of this study is to develop a reliable and valid scale for measuring marketers' perceptions regarding the importance of ethics and social responsibility. The authors develop an instrument for the measurement of the perceived role of ethics and social responsibility (PRESOR). Evidence that the scale is valid is presented through the assessment of scale reliability, as well as content and predictive validity. Finally, future research needs and the value of this construct to marketing are discussed. Anusorn Singhapakdi is Associate Professor of Marketing at Old Dominion University. He received his Ph.D. in Marketing. His has published in the Journal of Macromarketing, the Journal of Business Ethics, the Business and Professional Ethics Journal, the Journal of Public Policy and Marketing, the Journal of Personal Selling and Sales Management and the Journal of the Academy of Marketing Science. He has presented papers at various professional conferences including the American Marketing Association and the Academy of Marketing Science. Scott J. Vitell is Associate Professor of Marketing and holder of the Phil B. Hardin Chair of Marketing at the University of Mississippi. He received his Ph.D. in Marketing. His work has previously appeared in the Journal of Macromarketing, the Journal of Business Ethics, Research in Marketing, the Business and Professional Ethics Journal and the Journal of the Academy of Marketing Science as well as various other journals and proceedings. Kumar C. Rallapalli is Assistant Professor of Marketing at Troy State University. His research has been published in the Journal of Business Ethics, the Journal of the Academy of Marketing Science and the Journal of Pharmaceutical Marketing and Management as well as various national and regional proceedings. His research interests include marketing ethics, health care marketing, international marketing and direct marketing. Kenneth L. Kraft is Director of Graduate Studies at the University of Tampa. He received his DBA in Management. He has published numerous articles on Business Ethics, Organization Design and Strategic Planning in Journals such as the Academy of Management Review, America Business Review and the Journal of Business Ethics. His current research interest centers on the measurement of moral intensity.     

Schefflerian ethics and corporate social responsibility

This paper examines some of the essential features of Samuel Scheffler's hybrid theory of ethics. Scheffler posits and defends a moral theory which is intended to be neither act-consequentialist nor fully agent-centered. Instead, it provides an agent-centered analysis of moral thinking: one that, unlike consequentialist theories, respects the personal integrity of the moral agent. In this paper I shall do the following: (1) Sketch some of the general points of Scheffler's proposal; (2) Apply Scheffler's ethical theory to the matter of corporate social responsibility; and (3) Raise some objections to this Schefflerian corporate social responsibility theory, along with some modifications of this hybrid theory of corporate social responsibility which are intended to evade such criticisms.The significance of this paper is that it shows that Scheffler's quite innovative ethical theory is problematic as a foundation for a theory of corporate social responsibility. J. Angelo Corlett is a research fellow in philosophy at the University of California, Santa Barbara. He has published philosophy papers in the Journal of Business Ethics, Business & Professional Ethics Journal, Public Affairs Quarterly, and the American Psychologist among other journals. His areas of interest include Social/Political Philosophy, Ethics and Value Theory. He is currently working on a book entitled Liberty and Equality: Analyzing Nozick and Rawls.     

The role of ethics and social responsibility in achieving organizational effectiveness: Students versus managers

This paper investigates the differences in perceptions between business students and service-sector managers regarding the role that ethics and social responsibility serve in determining organizational effectiveness. An organizational effectiveness instrument containing business ethics and social responsibility items served as a questionnaire for a sample of 151 senior business undergraduates and 53 service-sector managers. The results indicated that while students acting as managers rate some social responsibility issues as more important than do managers, they also rate ethical conduct and a few dimensions of social responsibility lower than do managers. The findings have direct implications for both business practitioners and educators.Kenneth L. Kraft received his D.B.A. from the University of Maryland in 1982 and is currently an Associate Professor of Management at Old Dominion University in Norfolk, VA. His recent papers explore the relationships between strategy, structure, social responsibility, and organizational effectiveness in a variety of settings. Anusorn Singhapakdi is Assistant Professor of Marketing at Old Dominion University. His current research interests center on marketing/business ethics and selected public policy issues in marketing. He has published in Journal of Macromarketing, Journal of the Academy of Marketing Science, International Journal of Value Based Managementas well as other journals and proceedings.     

Business ethics and social responsibility in finance instruction: An abdication of responsibility

The shareholder wealth maximization objective for corporate management can be a very effective tool for decision making. However, it can also be used to rationalize the commission of unethical or socially irresponsible actions. Overemphasis on the SWM objective by some companies can lead to dangerous or disastrous consequences for consumers, employees, or the general population. Even so, issues of business ethics and social responsibility (BE-SR) are almost totally ignored in corporate finance textbooks. If the typical coverage of corporate finance courses is represented by these textbooks, then financial educators are abdicating their responsibility to help prepare future corporate managers to recognize and deal with BE-SR issues effectively.Delvin D. Hawley earned his Ph.D and MBA in Finance and B.S. in Psychology at Michigan State University. He is currently an Assistant Professor of Finance at The University of Mississippi in Oxford. Teaching areas include Corporate Finance and Investments. Research interests include bond market efficiency and artificial neural network applications in finance.     

Shareholder wealth maximization,business ethics and social responsibility

The primary objective of this article is to develop a framework for analyzing the ethical foundations and implications of shareholder wealth maximization (SWM). Distinctions between SWM and the more widely examined construct of profit maximization are identified, the most significant being the central role played in SWM by the market mechanism for pricing the corporation's securities. It is argued that empirical tests concerned with evaluating the ethical implications of SWM will almost surely involve a joint hypothesis. A number of recent empirical studies aimed at testing hypotheses with explicit ethical content are reviewed.Geoffrey Poitras is an Associate Professor of Finance and International Business in the Faculty of Business Administration at Simon Fraser University. The author's published work has appeared in various journals includingThe Journal of Futures Markets, Canadian Journal of Economics, Journal of International Money and Finance, Journal of Statistical Computation and Simulation andApplied Economics. This paper was written while the author was a visiting Senior Fellow at the National University of Singapore.     

Attitudes towards corporate social responsibility and perceived importance of social responsibility information characteristics in a decision context

This study addressed the questions of perceived importance of social responsibility information (SRI) characteristics in a decision context, as well as the attitudes of institutional investors toward social responsibility involvement. The results showed that SRI presently disclosed in company annual reports did not have any significant impact on institutional investors' decisions. However, if SRI were presented in quantified, financial form, and were focused on product improvement and fair business practices, such information would be perceived as more important for investment decisions. Attitudes toward corporate social responsibility also suggested that institutional investors were not totally opposed to company involvement in social activities. Hai Yap Teoh is associate professor in the Department of Accountancy, The University of Wollongong, New South Wales, Australia. He has published extensively in local and international journals including Accounting, Organizations and Society and The International Journal of Accounting Education and Research. His major areas of research interest include corporate social responsibility and reporting.Godwin Shiu is teaching fellow in the Department of Accountancy, The University of Wollongong, New South Wales, Australia. He is also doing a master's degree in accountancy.     

A cross-cultural comparison of the ethics of business students

The ethical tendencies of university business students from the USA, Denmark, and New Zealand were examined by analyzing their reactions to ethical dilemmas presented in a set of ethical problem situations. These dilemmas dealt with coercion and control, conflict of interest, physical environment, paternalism and personal integrity. Findings indicate that students' reactions tended to be similar regardless of their country. A comparison of these findings to practicing managers indicated that students and practicing managers exhibit a similar degree of sensitivity to ethical dimensions of business decision-making. Implications are drawn for business education and further research. Steven Lysonski is an Associate Professor at Marquette University, Milwaukee, Wisconsin. He is a former member of the marketing faculty at the University of Canterbury, Christchurch, NZ and the University of Rhode Island at Kingston. In addition to presenting research to more than 30 academic conferences, he has published widely in such journals as the Journal of Marketing, The European Journal of Marketing, the International Journal of Advertising, the Journal of Product Innovation and Management and Psychological Reports. His research interests focus on product management, international issues of marketing, and ethical implications of marketing. William Gaidis is an Assistant Professor at Marquette University, Milwaukee, Wisconsin. He has published articles in the Journal of Marketing, the Journal of Consumer Affairs, and other journals and academic conferences. His research interests focus upon decision-making, strategic-implementation problems, and business ethics.     

A cross-cultural study of the perceived benefits of a retailer loyalty scheme in Asia

The aim of this paper is to explore loyalty, loyalty schemes, and loyalty cards, as well as the internationalisation of loyalty schemes. We focus on loyalty schemes in Asia to define the primary objective of our study: to assess the impact of perceived benefits on the feelings of participants of a specific retailer's loyalty scheme, as well as customer loyalty towards the retailer. A literature review of loyalty schemes and loyalty cards is undertaken as well as the internationalisation of these cards. A survey was conducted in five Asian countries in which Toys’R’Us operates, namely Singapore, Malaysia, Hong Kong, Taiwan, and Thailand. Data was collected among members of the Toys’R’Us Star Card loyalty programme. Structural equation modelling was used to build a model that can be used to explain the simultaneous structural relations between perceived benefits, emotional feelings, and loyalty behaviours. Invariance testing was applied in order to test whether the model holds across the five countries. Our findings suggest that perceived benefits have a weak direct effect on loyalty behaviours. However, perceived benefits have a much stronger effect on feelings, which in turn have a strong effect on loyalty behaviours. We also found subtle differences between the countries in the study, which could either be attributed to cultural differences, to marketing practices, or to both, which can only be ascertained through further research.     

Business ethics judgments: A cross-cultural comparison

With the increased attention paid to ethical issues in business practice, there is interest in the ethics gap between the U.S. and the U.K. and in the ramifications for educating college students for business management positions. This paper examines the differences in ethics judgments between U.S. and U.K. business students. The results indicate that differences in their demographic profiles do not influence their ethics judgments. However, consistently higher business ethics of female students from both countries are discussed in relation to providing business ethics education.Thomas W. Whipple is Professor of Marketing at Cleveland State University. His articles have appeared in theJournal of Marketing Research, Journal of Marketing, Journal of Advertising, Journal of Advertising Research, Journal of Communication, Journal of the Academy of Marketing Science, Industrial Marketing Management, Journal of Marketing Education, andJournal of Travel Research. He is the co-author ofSex Stereotyping in Advertising (Lexington, 1983).Dominic F. Swords is Director of Studies for Part Time MBA Programmes at Henley Management College in the U.K. His research interests include the Economics of European Integration and the relationship between Business Ethics and Business Policy.     

Corruption and social trust: The role of corporate social responsibility

The importance and benefits of social trust have widely been recognized in the literature. However, there has been increasing concern about corruption in relation to a decline in social trust, and the role of business in this relationship remains largely unknown. This study aims to examine the linkages among corruption, corporate social responsibility (CSR), and social trust. Using a large sample of 6892 corporations from 33 countries over the period 2010–2014, the results demonstrate that corruption generates a highly eroding effect on social trust, whereas CSR has important implications for promoting trust among people in society. The results further suggest the potential role of CSR in mitigating the eroding effect of corruption on social trust. These results are robust across various methods of estimation, falsification tests, and in a different time period (2017–2020). This study makes several contributions to the literature both theoretically and empirically, and offers meaningful implications for businesses and policymakers.     

Determinants of corporate social responsibility and business ethics education in Spanish universities

The current economic crisis, unsustainable growth, and financial scandals invite reflection on the role of universities in professional training, particularly those who have to manage businesses. This study analyzes the main factors that might determine the extent to which Spanish organizational management educators use corporate social responsibility (CSR) or business ethics stand‐alone subjects to equip students with alternative views on business. A web content analysis and non‐parametric mean comparison statistics of the curricula of undergraduate degrees in all universities in Spain were conducted. The main conclusion of this paper is related to the Bologna effect in Spanish universities. Comparing our results with prior research in this matter, it is demonstrated that the main reason that explains the increase of CSR and ethical education in Spain is the Bologna process and its adaptation to the European Higher Education Area. Also, private universities in Spain are more likely to require an ethics course than public universities. Other factors, such as size, political orientation, or related to CSR chairs are not statistically explanatory of CSR and ethical education.     

Personal characteristics in college students' evaluations of business ethics and corporate social responsibility

A survey of 138 college students reveals an undergraduate major has a greater influence on corporate social responsibility than business ethics. Business students are no less ethical than nonbusiness students. Females are more ethical and socially responsible than males. Age is negatively related to one's Machiavellian orientation and positively related to negative attitudes about corporate efforts at social responsibility. The results suggest a greater need to focus busines ethics instruction based on student characteristics. Peter Arlow is Professor of Management at Youngstown State University, Youngstown, Ohio, U.S.A., where he teaches M.B.A. and undergraduate management courses. He has previously published in the Academy of Management Review, Business Horizons, International Journal of Management, Long-Range Planning, Journal of Business Ethics, Akron Business and Economic Review, and other Journals.     

Business ethics: A cross-cultural comparison of managers' attitudes

A comparison of attitudes among managers from France, Germany and the United States is made with respect to codes of ethics and ethical business philosophy. Findings are also compared with past studies by Baumhart and by Brenner and Molander where data are available. While the current data appear to be consistent with the past studies, there appear to be differences in attitudes among the managers from the three countries. Helmut Becker is Professor of Business Administration at the University of Portland. He has published two books, The Information Seekers and International Marketing Strategy, with Hans Thorelli of Indiana University. His articles have appeared in various journals and he serves on the board of editors of the Journal of International Business Studies. David J. Fritzsche is Professor of Business Administration at the University of Portland. His articles have appeared in Journal of Marketing Research, Academy of Management Journal, Marketing Ethics: Guidelines for Managers and Research in Corporate Social Performance and Policy.     

The consequences of employees’ perceived corporate social responsibility: A meta‐analysis

This paper reviews the relationship between employees’ perceived CSR and its dimensions and work outcomes, and explores the moderating effects of the samples’ demographic characteristics (i.e., gender, age), and national culture, based on a meta‐analysis of 65 studies from 67 samples. Results show that perceived CSR and its dimensions are positively related to employees’ positive attitudes and behaviours, and negatively related to their negative attitudes and behaviours. The results also partially support the moderating effects of the samples’ demographic characteristics in terms of age and gender, and national culture. This study supplements existing theoretical review articles, and further confirms the psychological effects of perceived CSR. In addition, the results further confirm the rationality of CSR practices and provide suggestions for enterprises to better use CSR strategies to motivate their employees.     

Consequences of concern: ethics,social responsibility,and well‐being

Prior research has studied the antecedents of beliefs regarding ethics and social responsibility (ESR). However, few studies have examined how individual well‐being may be related to such beliefs. In this exploratory study, we assessed the relationship between perceived importance of ESR – both individually and of one's company – and indicators of physical and psychological well‐being. Results demonstrated that perceived importance of ESR was associated with three aspects of well‐being: exuberance for life, sleep problems, and job stress. The results are discussed in terms of future directions for research, and the need for a conceptual framework connecting individual and organizational perceptions of ESR and outcomes of well‐being.     

Using consumer perceived ethicality as a guideline for corporate social responsibility strategy: A commentary essay

“Consumer Perceived Ethicality” presents a framework of perceived consumer ethicality as summarized from in-depth interviews with 20 citizens of the United Kingdom and Germany. The framework identifies six broad domains and 36 sub-items (6 for each domain) that serve as examples of consumer-generated “unethical corporate behaviors.” This commentary highlights the contributions, discusses the limitations and presents an alternative perspective on the study of consumer perceived ethicality.     

The social responsibility of international business: From ethics and the environment to CSR and sustainable development

This article examines how the international business (IB) literature has addressed social responsibility issues in the past 50 years, highlighting key developments and implications from a historical perspective. Specific attention is paid to the Journal of World Business (JWB), which has covered the whole period and published relevant articles related to these issues, in comparison to the Journal of International Business Studies (JIBS), the other long-standing IB journal. The article outlines that they illustrate different conceptualizations of IB and social responsibility. The 50-year review shows three subthemes: the (green) environment; ethics, rights and responsibilities; poverty and (sustainable) development. These are discussed consecutively, including main contributions and promising areas to further the field.     

Toward an understanding of cross-cultural ethics: A tentative model

In an increasingly global environment, managers face a dilemma when selecting and applying moral values to decisions in cross-cultural settings. While moral values may be similar across cultures (either in different countries or among people within a single country), their application (or ethics) to specific situations may vary. Ethics is the systematic application of moral principles to concrete problems.This paper addresses the cross-cultural ethical dilemma, proposes a tentative model for conceptualizing cross-cultural ethics, and suggests some ways in which the model may be tested and operationalized.William A. Wines is Professor of Legal Environment and Business Ethics in the Management Department, College of Business, Boise State University, Boise, Idaho, USA. His research interests include business ethics, employment law, and public sector collective bargaining.Nancy K. Napier is Professor of Management and Chairman of the Management Department, College of Business, Boise State University, Boise, Idaho, USA. Her research interests include international business, mergers and acquisitions, and human resource management.     

A study of antecedents and outcomes of social media WOM towards luxury brand purchase intention

This research develops a conceptualized model that illuminates the role of luxury perceptions in explaining consumer engagement in social media WOM and luxury purchase intention. It also explores the moderating effects of consumer demographic characteristics and perceived social status. The proposed model is validated by using SEM in AMOS against 282 samples, and chi-square difference test is applied to test the moderating effects. The findings demonstrate that social media WOM positively influences consumer luxury purchase intention. Perceived quality highly influences functional and social value, and social media WOM is strongly influenced by personal and functional value. This research 1) highlights the powerful role of social media WOM in enhancing luxury brands purchase intention, 2) extends current body of knowledge of the social media WOM and its focal antecedents, and 3) shows how consumer characteristics (e.g., age, gender, income, education, perceived social status) are important for developing customized marketing strategy to promote luxury brands on SNS. Overall, this study helps firms to understand which aspect of luxury brands to be emphasized to initiate consumers into social media WOM, which in turn, influences purchase intention.     

Business ethics and job-related constructs: A cross-cultural comparison of automotive salespeople

Although a number of articles have addressed ethical perceptions and behaviors, few studies have examined ethics across cultures. This research focuses on measuring the job satisfaction, customer orientation, ethics, and ethical training of automotive salespersons in the U.S. and Taiwan. The relationships of these variables to salesperson performance were also investigated. Ethics training was found to be negatively related to perceived levels of ethicalness and performance. High performance U.S. salespeople reported high ethical behavior, while the opposite was true in Taiwan. Customer orientation in both countries was influenced by ethics training. Managers should evaluate current ethics training programs to insure correct ethical behavior is taught and rewarded.Earl D. Honeycutt, Jr. is Associate Professor of Marketing at Old Dominion University. He has published inBusiness Horizons, Journal of Personal Selling & Sales Management, Industrial Marketing Management, Industrial Management, Journal of Strategic Marketing, and numerous other national and international publications.Judy A. Siguaw is Assistant Professor of Marketing at UNC-Wilmington. Her articles have appeared inJournal of Marketing Research, Journal of Strategic Marketing, Industrial Management, Marketing Education Review, and numerous international and national proceedings.Tammy G. Hunt is Associate Professor of Management at UNC-Wilmington. Her articles have been published inSimulation & Gaming, Journal of Business Education, Journal of Voluntary Action Research, and numerous national and regional proceedings.