Moral Development and Narcissism of Private and Public University Business Students

In this study, researchers examined the assumption that senior-level undergraduate students from private colleges universities possess higher levels of moral and ethical development than students from public institutions. In addition, the researchers sought to determine (a) if there was a relationship between narcissistic personality traits and the level of moral reasoning, and (b) there was a difference in the level of narcissistic personality tendencies of business students from private vs. public institutions based on demographic and textual variables. A cluster sampling approach was used in the sample selection. The sample was limited to students majoring in general business at seven public and six private universities in North Dakota and Minnesota. A total of 269 subjects participated in the research project: 145 at private institutions and 124 at public institutions. The Defining Issues Test version 2 (DIT-2) and the Narcissistic Personality Inventory (NPI) were used to collect data at seven public and six private institutions. Students from public and private universities scored similarly on the DIT-2. A significant difference between the NPI scores of the private college students and the public college students was found. No significant relationship was found between the NPI score and level of moral reasoning. Business educators should be concerned that an increase in the number of business ethics courses completed did not significantly impact students’ moral reasoning or narcissistic traits.     

The Significance of Gender in Predicting the Cognitive Moral Development of Business Practitioners Using the Sociomoral Reflection Objective Measure

This study constitutes a contribution to the discussion about moral reasoning in business. Kohlberg’s (1971, in Cognitive Development and Epistemology (Academic Press, New York), 1976, in Moral Development and Behavior: Theory and Research and Social Issues (Holt, Rienhart and Winston, New York)) cognitive moral development (CMD) theory is one explanation of moral reasoning. One unresolved debate on the topic of CMD is the charge that Kohlbergian-type CMD theory is gender biased. This research puts forth the proposal that the issue may be elucidated by exposing an ambiguity in “gender” (Borna and White: 2003, Journal of Business Ethics 47, 89–99; Gentile: 1993, Psychological Science 4(2), 120–122; Unger: 1979, American Psychologist 34(11), 1085–1094). We use the Sociomoral Reflective Objective Measure (SROM) to measure CMD and the Bem Sex Role Inventory (BSRI) to measure gender as a psychosocial concept, rather than as a biological classification. The results of our study indicate that high femininity, measured as a psychosocial attribute, is associated with significantly lower Kohlbergian-type CMD scores among business practitioners. Sex moderates the effect of gender on CMD, but only indirectly. Our research also reveals that education plays a significant moderating role in the relationship between gender and moral reasoning. In addition, age has a significant direct effect on CMD scores of business practitioners. Beverly Kracher is an Associate Professor of Business Ethics & Society in the College of Business Administration at Creighton University. Her research areas include moral reasoning in business, e-commerece ethics & online trust, business ethics pedagogy, and business & the environment. Her research appears in Journal of Business Ethics, Business Ethics Quarterly, Business & Society, International Journal of Human-Computer Studies, Teaching Business Ethics, Interdisciplinary Environmental Review and more. Robert P. Marble is an Associate Professor of Decision Sciences in the College of Business Administration at Creighton University. His research is in the areas of information systems implementation, artificial intelligence, and statistical modeling of business processes. He has published in such journals as the European Journal of Information Systems and Information & Management.     

A Cross-Cultural Comparison of the Deliberative Reasoning of Canadian and Chinese Accounting Students

Absract  Using Hofstede’s culture theory (1980, 2001, Culture’s Consequences: Comparing Values, Behaviours, Institutions, and Organizations Across Nation. Sage, NewYork), the current study incorporates the moral development (e.g. Thorne, 2000; Thorne and Magnan, 2000; Thorne et al., 2003) and multidimensional ethics scale (e.g. Cohen et al., 1993; Cohen et al., 1996b; Cohen et al., 2001; Flory et al., 1992) approaches to compare the ethical reasoning and decisions of Canadian and Mainland Chinese final year undergraduate accounting students. The results indicate that Canadian accounting students’ formulation of an intention to act on a particular ethical dilemma (deliberative reasoning) as measured by the moral development approach (Thorne, 2000) was higher than Mainland Chinese accounting students. The current study proposes that the five factors identified by the multidimensional ethics scale (MES), as being relevant to ethical decision making can be placed into␣the three levels of ethical reasoning identified by Kohlberg’s (1958, The Development of Modes of Moral Thinking and Choice in the Years Ten to Sixteen. University of Chicago, Doctoral dissertation) theory of cognitive moral development. Canadian accounting students used post-conventional MES factors (moral equity, contractualism, and utilitarianism) more frequently and made more ethical audit decisions than Chinese accounting students. Lin Ge is an accountant at Guest-tek Interactive Entertainment Ltd. Her research interest includes ethics and judgment of accountants and auditors, cross-cultural studies and international business. Stuart Thomas, Ph.D., is associate professor of accounting in the Faculty of Management at the University of Lethbridge, Alberta, Canada. He has published in the Journal of Business Ethics, Business and Society, Research on Professional Responsibility and Ethics in Accounting, Advances in Management Accounting and the Journal of Accounting Case Research. His research interests focus on ethical decision making and the effects of pay schemes on performance and standard setting.     

Insights Regarding the Applicability of the Defining Issues Test to Advance Ethics Research with Accounting Students: A Meta-analytic Review

Numerous researchers have investigated accounting students’ levels of moral reasoning, ethical choice and judgment employing the Defining Issues Test (DIT) and using its P score as an indicator of moral reasoning. Not surprisingly, a number of DIT studies report conflicting results. Moreover, despite widespread use of the DIT, there is concern that it may not adequately measure all facets of ethical judgment (cf. Bailey et al., Behav Res Account 22(2):1–26, 2010). Thus, we endeavor to provide insight not only into the contradictory results but also about the applicability of the DIT for studying accounting students. To do so, we collect published and unpublished DIT studies employing accounting students as subjects and use meta-analysis to aggregate findings across these studies to quantify their results, examining commonly employed variables. We show significant relationships between P scores and some variables (length of professional experience, choice of major, political ideology, gender, GPA and education level) but not others (age). Further, our findings demonstrate that the DIT provides added insights when exploring questions of ethical choice, and ethics instruction, particularly when the instruction is embedded in an accounting course. Finally, we find that the level of DIT P scores reported in the studies relates to whether the study was published. We discuss the implications of our findings for future research.     

Making a Difference with a Discrete Course on Accounting Ethics

Calls for the expansion of ethics education in the business and accounting curricula have resulted in a variety of interventions including additional material on ethical cases, the code of conduct, and the development of new courses devoted to ethical development [Lampe, J.: 1996]. The issue of whether ethics should be taught has been addressed by many authors [see for example: Hanson, K. O.: 1987; Huss, H. F. and D. M. Patterson: 1993; Jones, T. M.: 1988–1989; Kerr, D. S. and L. M. Smith: 1995; Loeb, S. E.: 1988; McDonald, G. M. and G. D. Donleavy: 1995]. The question addressed in this paper is not whether ethics should be taught but whether accounting students can reason more ethically after an intervention based on a discrete and dedicated course on accounting ethics. The findings in this paper indicate that a discrete intervention emphasising dilemma discussion has a positive and significant effect on students’ moral reasoning and development. The data collected from interviews suggest that the salient influences on moral judgement development include: learning theories of ethics particularly Kohlberg’s theory of cognitive moral reasoning and development; peer learning; and moral discourse. The implications from the findings in this study suggest that moral reasoning is responsive to particular types of ethics intervention and educators should carefully plan their attempts to foster moral judgement development.     

Managers’ Moral Reasoning: Evidence from Large Indian Manufacturing Organisations

Increased globalisation has also seen increased scrutiny of corporate behaviour by the communities. Clearly managers are under increased pressure from stakeholders not only to outperform their competitors, but also are expected to do so in an ethical manner. In order to act ethically an individual is expected to have a well-developed moral imagination and moral reasoning. Literature on ethical reasoning research indicates a positive relationship between higher levels of moral reasoning and ethical behaviour. This paper presents the findings of a study of the moral reasoning/moral development of managers working in large manufacturing enterprises situated in the state of Punjab in India. Kohlberg’s theory of Cognitive Moral Development forms the basis of the study. Moral Judgement Interview (MIG) developed by Weber, on the basis of Kohlberg’s theory was used for the study. Moral Reasoning Scores were calculated using Abbreviated Scoring Guide. More than half of the managers scored at post-conventional level of reasoning while assessing the moral dilemmas. The reasoning scores varied for the three dilemmas. Manjit Monga is a lecturer in the School of Management, at the Division of Business, University of South Australia. Her research interests are in the area of management and workplace ethics, organisational culture, research ethics and resource management. The aythor is a lecturer in the School of Mangement, at the Division of Business,University of South Australia. Her research interests are in the area of mangement and workplace ethics,organisational culture,research ethics and human resource mangement.     

Compulsory Ethics Education and the Cognitive Moral Development of Salespeople: A Quasi-Experimental Assessment

This study investigated several basic research questions suggesting a positive relationship between education and cognitive moral development. More specifically, these research questions examined the relationship between government mandated ethics education and cognitive moral development by testing the efficacy of a compulsory ethics intervention. Kohlberg's (1969, 1984) Cognitive Moral Development Theory was applied to test the efficacy of compulsory ethics education on the moral development of real estate salespeople used comparative statistical measures of ethical reasoning ability.The results of this research, while somewhat counterintuitive, suggest that the value of compulsory ethics education as an intervention to improve the moral reasoning of real estate salespeople is highly questionable. However, the results of the study do provide new insights into the relationship between ethics education and cognitive moral development.     

Measuring Ethical Sensitivity and Evaluation

Measures of student ethical sensitivity and their increases help to answer questions such as whether accounting ethics should be taught at all. We investigate different sensitivity measures and alternatives to the well-established Defining Issues Test (DIT-2, Rest, J. R. et al. [1999, Postconventional Moral Thinking: A Neo-Kohlbergian Approach (Lawrence Erlbaum Associates, Mahwah, NJ]), frequently used to measure the effects of undergraduate accounting ethics education. Because the DIT measures cognitive development, which increases with age, the DIT scores for younger accounting students are typically lower, have limited range, and are not likely to vary sufficiently with corresponding choices in ethical dilemmas. Since the DIT measures only the moral judgment component of ethical decision-making, we consider the multidimensional ethical scale (MES) to allow respondents to provide explanations for their moral and other judgments. The MES has been used to measure attitudes related to justice, utility, contractualism, egoism, and relativism. Unfortunately, the MES is not comparable in one-dimension to the DIT, and unlike the DIT, the MES has no theoretical or objective base. Therefore, we construct a comparable one-dimensional relative measure, a Composite MES Score, obtained from previous research on practicing accountants. We compare the reliability of this measure to the DIT in explaining the ethical choices of 54 specially chosen, somewhat homogeneous students, whose ages range from 18 to 19, and who are taking a second semester freshman accounting course at a private, religion-affiliated university. These particular students are relatively untrained in the formal use of questionable accounting choices. These students are less likely to recognize the dilemmas of the MES and are also less likely to demonstrate sufficient variation in their DIT scores, traditionally low for freshmen students. As freshmen, they are recent graduates of high school and more likely guided by other ethical influences including friends, family, or contractual obligations (some of the MES constructs) rather than higher cognitive development. This study confirms suspicions. We find the DIT scores do not vary sufficiently to explain the moral reasoning of freshmen. For eight dilemmas and 24 choices we find the DIT score correlates with only three choices, whereas the MES regression models have at least one significant construct for 23 out of 24 ethical choices. The Composite MES Score (a relative measure) also explains 23 out of 24 choices and is statistically related to the DIT in only one of the choices. Unlike the DIT, the Composite MES permits pretest and retesting with different dilemmas to evaluate changes in ethical sensitivity. These results argue for relative rather than absolute measures of sensitivity and guides beyond cognitive development (the DIT-score) to explain undergraduate student sensitivity.     

Accountants’ Value Preferences and Moral Reasoning

This paper examines relationships between accountants’ personal values and their moral reasoning. In particular, we hypothesize that there is an inverse relationship between accountants’ “Conformity” values and principled moral reasoning. This investigation is important because the literature suggests that conformity with rule-based standards may be one reason for professional accountants’ relatively lower scores on measures of moral reasoning (Abdolmohammadi et al. J Bus Ethics 16 (1997) 1717). We administered the Rokeach Values Survey (RVS) (Rokeach: 1973, The Nature of Human Values (The Free Press, New York)) and the Defining Issues Test (DIT) (Rest: 1979, Development in Judgment Moral Issues (University of Minnesota Press, Minneapolis, MN)) to164 graduating accounting students enrolled in capstone courses at two universities in the Northeastern United States. As potential entrants into the accounting profession, these subjects bring their values and moral reasoning to bear on attitudes and behaviors in the workplace. We find a highly significant inverse relationship between “Conformity” values and principled moral reasoning (i.e., those who prefer Conformity values have lower levels of moral reasoning). However, we also find that accounting students as a group do not prefer Conformity values above other values such as Self-actualization and Idealism, and we find positive relationships between Self-actualization and Idealism values and moral reasoning. Implications for values and ethics research are discussed.An earlier version of this paper was presented at a workshop at Bentley College and we have greatly benefited from participants comments, especially those of Jean Bedard, Marty Howe, James Hunton, Mark Nixon, and Jay Thibodeau.Mohammad J. Abdolmohammadi is the John E. Rhodes Professor of Accountancy at Bentley College. Having interest primarily in behavioral auditing and ethics research, professor Abdolmohammadi has published extensively in Accounting and Business Research, The Accounting Review, Advances in Accounting, Auditing: a Journal of Practice and Theory, Behavioral Research In Accounting, Contemporary Accounting Research, Journal of Business Ethics, Teaching Business Ethics, and Organizational Behavior and Human Decision Processes among others.C. Richard Baker is Professor of Accounting at Adelphi University. His primary research interests are in regulatory, ethical and disciplinary aspects of the public accounting profession. He has published over fifty journal articles in accounting and ethics research.     

When in Rome ... Moral Maturity and Ethics for International Economic Organizations

A number of multinational enterprises have come under ethical scrutiny over the recent decades. In some cases, this may be due to a lack of maturity of corporate moral reasoning. The article is based on a framework developed by Lawrence Kohlberg. He suggested three main stages of moral development: They are (1) pre-conventional moral reasoning, (2) conventional and (3) post-conventional moral reasoning. The article places different approaches to business ethics into the framework developed by Kohlberg. It is argued that the first two stages form an insufficient basis for ethical guidance for multinational organizations. Five post-conventional ethical perspectives are presented to assist MNC's in their analysis in order to uncover the possible dilemmas, to avoid harming others and also to avoid costly embarrassment at the hands of critics.     

Associations Between Epistemological Beliefs and Moral Reasoning: Evidence from Accounting

We investigated associations between moral reasoning and epistemological beliefs in an accounting context using the sample of 140 senior accounting students from a public university in Midwestern U.S. We found no significant correlations between accounting students’ principled reasoning about Thorne’s ethical dilemmas and their beliefs about knowledge measured by administering Schommer epistemological questionnaire. We conducted post-hoc power analysis and present the evidence that the lack of associations should not be attributed to the lack of power. Overall, our results suggest that reflective thinking and moral reasoning represent separate dimensions of cognitive process which develop at a different pace. Thus, a stand-alone course of ethics in accounting education is warranted since higher moral reasoning does not automatically follow from extended technical education and improved critical thinking skills.     

Influencing Ethical Development: Exposing Students to the AICPA Code of Conduct

Although the AICPA Code of Professional Conduct emphasizes the importance of education in ethics, very little is known about how and when the Code and the topic of ethics can be presented to enhance the effectiveness of ethics-oriented education. The purpose of this research was to provide preliminary evidence about the ethical development of students prior to, and immediately following, such courses. We found that: (1) accounting students, after taking an auditing course which emphasized the AICPA Code, reasoned at higher levels than students who had not taken the course; (2) there were no differences in moral reasoning levels when accounting and non-accounting majors were compared prior to an auditing course; and (3) there was a significant relationship between the Seniors' levels of ethical development and the choice of an ethical versus unethical action. It was concluded that an auditing course emphasizing the 'spirit' of the Code can have a positive impact on the ethical behaviour of some of the future members of the accounting profession.     

A Step Forward: Ethics Education Matters!

Ethics education matters! Contrary to some common beliefs that ethical behavior is inborn, this study suggests that education does matter. This paper examines ethics education and its relationship with students’ ethical awareness and moral reasoning. Attitudes Towards Business Ethics Questionnaire and 10 vignettes were deployed as the major measurement instruments. It is hypothesized that students with ethics education will have both a greater ethical awareness and ability to make more ethical decisions. Hypotheses were tested in two undergraduate business courses at a major research university where 707 students were sampled. Results suggest that ethics education improved students’ ethical awareness and moral reasoning. Interestingly, results also seem to show that students’ readiness moderated their learning outcomes.     

Importance of and approaches to incorporating ethics into the accounting classroom

Accounting educators are being called on to provide a greater emphasis on ethics education. This paper examines three important issues concerning ethics education in accounting. First, the question of whether ethics can indeed be taught is examined. Next, several innovative approaches are presented which have been used by accounting educators to integrate ethics into the classroom. Finally, results of a survey of students concerning their perspectives of ethical issues in accounting education, the accounting profession, and society at large are presented and discussed. Survey results reveal that students consider a lack of ethics damaging to the accounting profession and society. Results also indicate that accounting students are seeking ethical and moral direction.David S. Kerr is an Assistant Professor in the Department of Accounting at Texas A&M University. Dr. Kerr's research interests include ethics and behavioral decision making in accounting, group judgment/decision making, and audit planning.L. Murphy Smith, is a Price Waterhouse Teaching Excellence Professor of Accounting at Texas A&M University. His major research interests are information systems, auditing, and international issues.     

Business Practice, Ethics and the Philosophy of Morals in the Rome of Marcus Tullius Cicero

Moral behaviour, and more recently wisdom and prudence, are emerging as areas of interest in the study of business ethics and management. The purpose of this article is to illustrate that Cicero—lawyer, politician, orator and prolific writer, and one of the earliest experts in the field recognised the significance of moral behaviour in his society. Cicero wrote ‘Moral Duties’ (De Officiis) about 44 BC. He addressed the four cardinal virtues wisdom, justice, courage and temperance, illustrating how practical wisdom, theoretical/conceptual wisdom and justice were viewed in Rome of the first century BC. ‘Moral Duties’ is a letter admonishing his son, Marcus. It refers to personal behaviour, business practice and analyses terms such as good faith and criminal fraud. In addition, it contains material which would be suitable for tutorials/seminars and discussions, particularly in the areas of critical thinking in business ethics and general management. A study of De Officiis in respect to present day management and business practice could give a wider perspective to business ethics and management students. If concepts such as moral virtue, moral propriety and moral goodness, many of which seem to be ignored in business situations today, are to be embedded in business leaders of the future, it is reasonable to expect that these qualities will be analysed and discussed by business students today. Further, a study of Cicero’s six-step approach, when preparing an address/speech, could be useful and productive for practitioners and students in this area.     

The Influence of Business Ethics Education on Moral Efficacy,Moral Meaningfulness,and Moral Courage: A Quasi-experimental Study

The research described here contributes to the extant empirical research on business ethics education by examining outcomes drawn from the literature on positive organizational scholarship (POS). The general research question explored is whether a course on ethical decision-making in business could positively influence students’ confidence in their abilities to handle ethical problems at work (i.e., moral efficacy), boost the relative importance of ethics in their work lives (i.e., moral meaningfulness), and encourage them to be more courageous in raising ethical problems at work even if it is unpopular (i.e., moral courage). Specifically, the study used a rigorous quasi-experimental pretest–posttest research design with a treatment (N = 30) and control group (N = 30) to investigate whether a graduate-level course in business ethics could influence students’ levels of moral efficacy, meaningfulness, and courage. Findings revealed that participants in the business ethics treatment course experienced significant positive increases in each of the three outcome variables as compared to the control group. The largest increase was in moral efficacy, followed by moral courage, and finally, moral meaningfulness. These findings are discussed in the context of the current research on business ethics education and POS. Implications for future research are discussed.     

Evolutionary Processes,Moral Luck,and the Ethical Responsibilities of the Manager

The responsibilities of the manager have been examined through several lenses in the business ethics literature: Kantian (Bowie, 1999), contractarian (Donaldson and Dunfee, 1999), consequentialist (Friedman, 1970), and virtue ethics (Solomon,1992), to name just four. This paper explores what the ethical responsibilities of the manager would look like if viewed through an evolutionary lens. Discussion is focused on the impact of evolutionary thinking on the process of moral reasoning, rather than on the sources or the substance of morality. The conclusion is reached that the evolutionary lens supports the view that moral luck plays an important role in how we assign ethical responsibilities.     

Improving Consistency for DIT Results Using Cluster Analysis

In this article, cluster analysis is used to explore the conflicting results reported when the Defining Issues Test is used to explain moral reasoning ability in business situations. Using a convenience sample, gender, age, work experience, and ethics training were examined to determine their impact on the level of moral reasoning ability as measured by the Defining Issues Test. Using the whole sample, a significant difference was found for average P scores reported for males and females, but no significant differences were found based on age, work experience, and ethics training. However, the sample fell into distinct clusters that identified distinct male and female groupings. While females naturally fell into two distinct high- and low-moral reasoning ability clusters, male clusters were dominated more by work experience and ethics training. Clearly there are other factors mitigating the level of moral reasoning ability for males which require further exploration. The findings suggest that while the P score provides an initial point of comparison, the real benefit to the test is in exploring what is different for males and females in terms of training needs, and the impact of work experience on the moral reasoning ability, and most importantly, how to make ethics training enticing. Recommendations for future research are also discussed. Carmel Herington is a senior lecturer in the Department of Marketing, Griffith University Gold Coast Campus, Australia. Her research interests include service quality and the provision of service quality through relationship building, internal relationships and their impact on other relationships of the firm, ethical business practices and marketing education. She has published in Qualitative Market Research, European Business Review, Academy of Marketing Science Review, Journal of Travel Research, Journal of Marketing Education, amongst others. Scott Weaven is a lecturer in the Department of Marketing, Griffith University, Gold Coast Campus, Australia. His research interests include service quality in asymmetric exchange relationships, motivational incentives analysis and business model choice, gender issues in small business management and marketing education. He has published in such scholarly journals as the International Small Business Journal, Journal of Marketing Channels, Academy of Marketing Science Review, and Assessment and Evaluation in Higher Education.     

Exporting an Inherently Harmful Product: The Marketing of Virginia Slims Cigarettes in the United States,Japan, and Korea

In recent years, and in close connection with a number of well-known financial malpractice cases, public debate on business ethics has intensified worldwide, and particularly in ethics-unfriendly environments, such as Spain, with many recent fraud and corruption scandals. In the context of growing consensus on the need of balancing social prosperity and business profits, concern is increasing for introducing business (and particularly accounting) ethics in higher education curricula. The purpose is to improve ethical behaviour of future business people, and of accounting professionals in particular. In this study, from a sample of 551 business students at a Spanish university, the importance of accounting ethics is investigated. The aim of this paper is twofold. First, we attempt to examine students’ overall perceptions of business ethics in unfriendly environments and, specifically, their views on the importance and goals of accounting ethics education. Second, we intend to investigate whether potential differences in such perceptions depend on previous business ethics courses taken, gender, and age of students. Our results show that those students who have previously taken an ethics course are especially prone to considering that accounting education should include ethical considerations, and show greater interest in further introducing this subject in their curricula. These facts should encourage universities offering business degrees in ethics-unfriendly environments to extend the implementation of ethics courses in their curricula. Besides, significant differences in students’ perceptions on the importance of accounting ethics are found depending on their gender and age. In line with previous research findings, female and older students show more ethical inclinations than, respectively, male and younger students. Thus, ethics-unfriendly environments can be treated as contexts where general trends on students’ ethical attitudes are also clearly visible. This fact, together with the evidenced impact of ethics courses on students’ ethical inclinations, places ethics-unfriendly environments as crucial research settings for further inquiring into the nuances that help explain students’ attitudes towards accounting ethics and the role of ethics courses in business degree curricula.