An Emotion-Based Model of Salesperson Ethical Behaviors

Academic research studies examining the ethical attitudes and behaviors of salespeople have produced several frameworks that explore the ethical decision-making processes to which salespeople adhere when faced with ethical dilemmas. Past literature enriches our understanding; however, a critical review of the relevant literature suggests that an emotional route to salesperson ethical decision-making has yet to be explored. Given the fact that individuals?? emotional capacities play an important role in decision-making when faced with an ethical dilemma, there is a need for empirical research in this area. We address this issue by outlining and testing an emotion-based model to study the ethical attitudes and behaviors of salespeople in a relational selling context. Building on the cognitive-affective model proposed by Gaudine and Thorne (J Bus Ethics 31:175?C187, 2001), we outline a framework that incorporates higher order prosocial emotions: capacity for concern and capacity for guilt. We include salesperson??s role clarity within the organization as a moderator to examine person?Csituation interaction.     

A Four-Country Study of the Associations Between Bribery and Unethical Actions

The purpose of this research is to extend prior research testing the premise that small deviations from ethical behavior lead to even larger deviations from ethical behavior. This study examines the association between a person’s willingness to bribe a police officer to avoid being issued a speeding ticket with their views on inappropriate behavior of corporate executives. Our sample of 528 participants comes from Colombia (90), Ecuador (70), South Africa (131) and the United States (237). As part of our data gathering, we controlled for social desirability response bias in the responses of the students who participated in our study. Our data indicate significant differences between the views of the students from Colombia, Ecuador, and South Africa when compared to the views of the students from the United States. The analysis indicates that, for all four dilemmas, the most significant variable was the belief about how ethical it was to pay a bribe to avoid a traffic ticket. In addition, in three of our four dilemmas, Paulhus’ Impression Management Subscale, which measures social desirability response bias, was the second most significant variable. Finally, in three of the four dilemmas, the students from Colombia, Ecuador and South Africa thought the actions described in the dilemmas were less ethical than the students from the United States.

Shared Value and the Impartial Spectator Test

Growing inequality and its implications for democratic polity suggest that corporate social responsibility (CSR) has not proved itself in twenty-first century business, largely as it lacks clear criteria of demarcation for businesses to follow. Today the problem is viewed by many commentators as an ethical challenge to business itself. In response to this challenge, we begin by examining Porter and Kramer’s (Harv Bus Rev 89(January–February):64–77, 2011) call for a shift from a social responsibility to a shared value framework and the need to respond to the problem of the ‘separation thesis’ between business and ethics (Wicks, Bus Soc 35(1):89–118, 1996; Harris and Freeman, Bus Ethics Q 18(4):541–548, 2008). We identify the eighteenth century economist and philosopher Adam Smith in his book The Theory of Moral Sentiments as a source for an ethical approach to business. Building on his central concept of ‘sympathy’, we introduce the idea of the Impartial Spectator Test, which we argue builds on traditional stakeholder perspectives and which provides an objective route to ethical criteria of demarcation. We conclude by assessing how this approach adds to the existing debate around social responsibility and shared value.     

The Hubris of Hybrids

In the pages of this journal, a fruitful debate has evolved on the ethical legitimacy of fractional-reserve banking. In this article, we respond to the new arguments raised by Evans (J Bus Ethics, 2014) as we clarify our (Bagus et al. in J Bus Ethics 128:197–206, 2015a) position on the unethical and illegitimate nature of fractional-reserve banking. Fractional-reserve banking is not a recent financial innovation (unlike, e.g., money market mutual funds) but represents a long-standing legal aberration. The co-mingling of two mutually exclusive financial contracts, deposit and loan, confounds the contracting parties’ purposes, intents, rights, and obligations. As a result, it creates unsolvable legal difficulties and ethical dilemmas. While these problems are most evident in the case of a bank run, they also arise when trying to answer the simple question of “who owns a deposit?”     

Ethical Decision Making in a Peer-to-Peer File Sharing Situation: The Role of Moral Absolutes and Social Consensus

Individuals are downloading copyrighted materials at escalating rates (Hill 2007; Siwek 2007). Since most materials shared within these networks are copyrighted works, providing, exchanging, or downloading files is considered to be piracy and a violation of intellectual property rights (Shang et al. 2008). Previous research indicates that personal moral philosophies rooted in moral absolutism together with social context may impact decision making in ethical dilemmas; however, it is yet unclear which motivations and norms contextually impact moral awareness in a peer-to-peer (P2P) file sharing context (Shang et al. 2008). In sum, factors affecting the decision to share copyrighted material require further clarification and investigation (Shang et al. 2008). The purpose of this study was to use a consumer-based scenario and multiple ethics measures to explore how idealism, formalism, and perceived social consensus impact users’ propensity to recognize that the sharing of copyrighted media through P2P networks was an ethical issue and their subsequent ethical intentions. Results showed that high levels of idealism and formalism were associated with an increased recognition that file sharing was an ethical issue, but neither construct had a direct effect on ethical intention. Strong social consensus among respondents that other people consider file sharing to be unethical was also positively related to the recognition that file sharing was an ethical issue, and ethical recognition was a moderate predictor of intention not to engage in file sharing. Finally, a post hoc mediation analysis indicated that idealism, formalism, and social consensus operated through recognition of an ethical issue to impact ethical intention (indirect-only mediation).     

Virtue Ethics and the Practice–Institution Schema: An Ethical Case of Excellent Business Practices

This paper aims to contribute to a greater understanding of the theory of virtue ethics and its applications in the business arena. In contrast to other prominent approaches to ethics, virtue ethics provides a useful perspective in making sense of various business ethics issues with an emphasis on the moral character of the individuals and its transformational influences in driving ethical business conduct. Building on Geoff Moore’s (Bus Ethics Q 12(1):19–32, 2002; Bus Ethics Q 15(2):237–255, 2005; Bus Ethics Q 18(4):483–511, 2008) treatment of Alasdair MacIntyre’s practice–institution schema, the paper discusses how individuals, as moral agents, can serve to promote virtuous business conduct and help foster a moral and ethical climate in the organization and in society at large. Using interview data from a broader study of the New Zealand wine industry as explanatory examples, the paper argues that while many companies’ sustainable practices are still largely market based, such excellent business practices are often driven by individuals’ moral and ethical pursuits.     

Sustainable Development and Well-Being: A Philosophical Challenge

This paper aims at gaining a better understanding of the inherent paradoxes within sustainability discourses by investigating its basic assumptions. Drawing on a study of the metaphoric references operative in moral language, we reveal the predominance of the ‘well-being = wealth’ construct, which may explain the dominance of the ‘business case’ cognitive frame in sustainability discourses (Hahn et al. in Acad Manag Rev 4015:18–42, 2015a). We incorporate economic well-being variables within a philosophical model of becoming well (Küpers in Cult Organ 11(3):221–231, 2005), highlighting the way in which these variables consistently articulate a combination of ‘objective’ and ‘subjective’ concerns. We then compare this broad understanding of well-being with the metaphors operative in the sustainable development discourse and argue that the sustainability discourse has fallen prey to an overemphasis on the ‘business case’. We proceed to draw on Georges Bataille to challenge the predominance of these value priorities and to explore which mindshifts are required to develop a more comprehensive understanding of what is needed to enable ‘sustainable development’.     

Place the good after the bad: effects of emotional shifts on consumer memory

Marketing research has a limited understanding about the effects arising from emotional shifts (i.e., the transition from one emotion to another) during the same advertising message. This paper sheds light on this topic through two studies. Study 1 examines whether an advertising message that features a negative-to-positive emotional shift (i.e., a shift from a negative to a positive emotion) generates greater recall of an advertised brand than an advertising message with a neutral-to-positive emotional shift (i.e., a shift from a neutral to a positive emotion) or one with no emotional shift. Study 2 examines whether an advertising message that simulates a buyer-seller encounter—with the seller reproducing a negative-to-positive emotional shift via facial expressions—generates a greater recall of the advertised content than an identical advertisement with no emotional shift. Results confirm that a negative-to-positive shift facilitates the recall of both the brand and the advertised information.     

The Ethics of Metrics: Overcoming the Dysfunctional Effects of Performance Measurements Through Justice

The last two decades have seen a great deal of scandals in the business world. Many of them have to do with accounting and management control, but in substantially different ways. This paper focuses on the dysfunctional effects of systems of measurement and incentives, and the possible ways to overcome those dysfunctional effects, achieving a stable state of goal congruence through the introduction of justice in the design and use of management control systems, by contributing to the ethical development within the organization. We first analyze how the discipline of control systems came into being, and show how, in the last decades, both in theory and practice, has gone in a direction of becoming more ‘automatic,’ and then, we provide some case studies of how they are at the origin of many of the scandals. Borrowing from Rosanas and Velilla (J Bus Eth 57:83–96, 2005) and from Cugueró-Escofet and Rosanas (Manag Account Res 24:23–40, 2013), we develop a model of control systems based on justice, where we make the distinction between formal and informal justice. We are then able to show how informal justice is the key element in the dynamics of a control system: to preserve formal justice, or to evolve toward formal justice. In any case, it is a necessary condition to reach a state of maximum goal congruence, stable through time, as a consequence of the ethical development that this type of systems are able to generate.     

Erratum to: Exploring Factors Affecting Digital Piracy Using the Norm Activation and UTAUT Models: The Role of National Culture

The model emphasizes the ethical dynamics of compassion in hospitality settings by suggesting that under an organizational ethical climate, the hotel staff will be more morally aware of peers’ pain and suffering, and motivated to participate in delivering compassion. Based on the positive psychology focus on compassion as individual states and traits supporting interpersonal dealings, the paper operationalizes compassion based on four individual factors involved in the compassionate process: (a) empathic concern, or an other-oriented emotional response elicited by and congruent with the perceived welfare of a person in need; (b) mindfulness, a state of consciousness in which attention is focused on present-moment phenomena occurring both externally and internally; (c) kindness, or understanding the pain or suffering of others; and (d) common humanity, or seeing others’ experiences as part of the larger human experience. Data were collected from 280 employees at ten hotels in the Canary Islands (Spain). With the exception of self-interest, results of multiple linear regressions demonstrate that each of the six interpreted factors of ethical climate has substantive effects on any of the studied elements of staff compassion. The egoistic-related and principle-related climate factors generated a more consistent and intense compassionate reaction, suggesting that the staff is moved to act out of compassion either to assure that the team succeeds or to support each other out of moral obligation.     

‘The Aesthetic’ and Its Relationship to Business Ethics: Philosophical Underpinnings and Implications for Future Research

The article clarifies the way in which ‘the aesthetic’ is conceptualised in relation to business ethics in order to assess its potential to inform theory building and developmental practices within the business ethics field. A systematic review of relevant literature is undertaken which identifies three ontologically based accounts of the relationship between the aesthetic and business ethics: ‘positive’ ones (in which ‘the good is equated with ‘the beautiful’), ‘negative’ accounts (in which aesthetic craving is seen to foster ethical malfeasance) and ‘Postmodern’ renderings (in which the aesthetic and the ethical are seen to be ideologically informed). Five epistemologically based approaches are also made explicit: those in which the aesthetic is thought to develop enhanced perceptual discernment, those in which the aesthetic catalyses emotional sensitivity, those in which the aesthetic contributes to imaginative capacity, those in which the aesthetic prompts integrative apprehension and those in which the aesthetic is seen to foster critical reflexivity. The review reveals two key findings: firstly, the dearth of empirically based research to substantiate claims made about the aesthetic’s ability to foster ethical capabilities, which leads to proposals for further research; secondly, the analysis indicates the significance of critical reflexivity both in resolving the apparent dichotomy between ontologically based perspectives asserting the aesthetic’s ability to lead to ethically sound or egregious behaviour, and in underpinning the capacities of perceptual discernment, emotional connectivity, imagination and integrative apprehension which epistemologically based approaches assert the aesthetic can foster.     

Whistleblowing and Information Ethics: Facilitation,Entropy, and Ecopoiesis

The economic and moral defense of sweatshops given by Powell and Zwolinski (J Bus Ethics 107:449–472, 2012) has been criticized in two recent papers. Coakley and Kates (J Bus Ethics 117:553–558, 2013) focus on putative weaknesses in the logic of Powell’s and Zwolinski’s argument. Preiss (Bus Ethics Quart 24(1):55–82, 2014) argues that, even granting the validity of their economic argument, Powell’s and Zwolinski’s defense is without force when viewed from a Kantian republican viewpoint. We are concerned that sweatshop critics have misinterpreted the economic literature and overstated the conclusions that follow from their ethical premises. We show that the best understanding of the current economic literature supports Powell’s and Zwolinski’s conclusions about the negative effects of sweatshop wage regulation, and that it is unreasonable to reject economic analysis in moral argument against sweatshops even from a Kantian perspective. Additionally, we defend the theory of exploitation as unfairness given by Wertheimer (Exploitation, 1996), and show how economic analysis can be applied to that theory to identify cases of sweatshop exploitation.     

The Moral of the Story: Re-framing Ethical Codes of Conduct as Narrative Processes

This paper re-frames business ethical codes (BCEs) as narrative processes by reflecting critically on key ontological assumptions underpinning the existing research, and introducing new and relevant concepts based on alternative assumptions. The first section draws on recent decision-making research to develop a theoretical account of BCEs as complex, socially embedded sensemaking processes. The second section addresses the content of codes, and differentiates between narrative and logico-scientific modes of reasoning. The third section focuses on the quality of code communication and identifies several distinct types of narrative process. We provide research directions for how this new understanding of BCEs may be further developed, as well as implications for practitioners. In response to the call for new conceptual models (O’Fallon and Butterfield, in J Bus Ethics 59:375–413, 2005), the paper provides organizational researchers with a more nuanced understanding of how BCEs enable or constrain ethical behavior in organizations.     

Business Cases and Corporate Engagement with Sustainability: Differentiating Ethical Motivations

This paper explores links between different ethical motivations and kinds of corporate social responsibility (CSR) activities to distinguish between different types of business cases with regard to sustainability. The design of CSR and corporate sustainability can be based on different ethical foundations and motivations. This paper draws on the framework of Roberts (Organization 10:249–265, 2003) which distinguishes four different ethical management versions of CSR. The first two ethical motivations are driven either by a reactionary concern for the short-term financial interests of the business, or reputational, driven by a narcissistic concern to protect the firm’s image. The third responsible motivation works from the inside-out and seeks to embed social and environmental concerns within the firm’s performance management systems, and the fourth, a collaborative motivation, works to bring the outside in and seeks to go beyond the boundaries of the firm to create a dialogue with those who are vulnerable to the unintended consequences of corporate conduct. Management activities based on these different ethical motivations to CSR and sustainability result in different operational activities for corporations working towards sustainability and thus have very different effects on how the company’s economic performance is influenced. Assuming that corporate managers are concerned about creating business cases for their companies to survive and prosper in the long term, this paper raises the question of how different ethical motivations for designing CSR and corporate sustainability relate to the creation of different business cases. The paper concludes by distinguishing four different kinds of business cases with regard to sustainability: reactionary and reputational business cases of sustainability, and responsible and collaborative business cases for sustainability.     

Student Ethical Perceptions and Ethical Action Propensities: An Analysis of Situation Familiarity

Recently McCuddy and Peery (1996) have suggested that business students may not respond the same way to unfamiliar business ethical dilemmas as they would to more familiar academic ethical dilemmas. The purpose of this study was to present the same students with both unfamiliar business dilemmas as well as possibly more familiar academic dilemmas in order to examine this issue.Findings of the study revealed that students did not exhibit different perceptions of the unethical actions performed in the academic and accounting/business ethical vignettes. However, the students indicated that both they and their peers would be more likely to act unethically to resolve the dilemmas in the accounting/business cases than in the academic cases. This finding is troubling in that it suggests that students either feel less compelled to act ethically in business, or that they perceive that ethical standards in the business world are generally low when compared to their current educational environment. In addition, the students in the study maintained the same halo effect (i.e., the difference between an individual's perception of their likelihood of performing an unethical action compared to their perception of their peers' likelihood to perform the same unethical action) across the two types of ethical dilemma.     

Ethical considerations in frequent flier programs

An overwhelming majority of business travelers are now members of frequent flier programs operated by the airline industry. This article addresses relevant ethical issues, particularly employee perceptions of ethical issues, in such programs. A structured questionnaire technique, supported by personal interviews, was used to gather insights into frequent flier practices and attitudes. A fundamental conclusion of the research is that (1) significant ethical dilemmas are posed by frequent flier programs, (2) employees and employers generally choose to ignore these ethical dilemmas, and (3) employee perception of the ethical issues in frequent flier programs is not significantly influenced by employee attributes such as education level, salary, organizational position, age or sex. Recommendations are offered to reduce the inherent ethical dilemmas in frequent flier programs. Richard H. Deane is an Associate Professor of Management at Georgia State University in Atlanta. He earned his Ph.D. degree in Industrial Engineering from Purdue University. Dr. Deane also holds the J.D. degree and is licensed to practice law before the state and federal courts. His scholarly publication record includes articles in IEE Transactions, Computers and Industrial Engineering, Operations Research Quarterly, Production and Inventory Management, IEEE Transactions on Engineering Management, Business, Industrial Engineering and Operations Management Review. He has also published in The Trial Lawyer's Quarterly, The Golden Gate Law Review, Professional Safety and The Journal of Rehabilitation. His recent publications include articles on employment discrimination, workplace smoking, and ethics in operations management.     

Ethical dilemmas for accountants: A United Kingdom perspective

The paper provides an introduction to some of the professional ethical dilemmas facing an accountant in the United Kingdom. The first part deals with those dilemmas which accountants would normally accept are covered by the term ethics. These include the problems associated with adequately fulfilling a duty to shareholders and conflicts of interest (including whistleblowing) by the accountant acting as independent auditor or as an employee. The second part deals with wider aspects of ethical dilemmas stemming from reconciling the implicit understanding that the accountant is being objective with the fact that accounting rules make it very difficult to sustain that objectivity.Andrew Likierman, Professor of Accounting at the London Business School graduated from Oxford in Philosophy, Politics and Economics, is a qualified accountant and has worked in both the private and public sectors. He started the first regular UK MBA ethics course but more usually publishes in the field of financial control.     

Moral Vision: Iris Murdoch and Alasdair MacIntyre

This article explains Iris Murdoch’s notion of moral vision and its importance as a basic concept within applied ethics. It does so by exploring the influence of Iris Murdoch upon Alasdair MacIntyre whose ideas are frequently discussed by business ethicists. Arguably, the British philosopher Iris Murdoch (1919–1999) who wrote – amongst others – Metaphysics as a Guide to Morals (1992), along with her contemporaries, Philippa Foot and Elizabeth Anscombe, pioneered the resurgence of Aristotle’s virtue ethics. Furthermore, Iris Murdoch influenced Alasdair MacIntyre. Heather Widdows, in her biography of Iris Murdoch lists Alasdair MacIntyre amongst those ‘thinkers she inspired’ (Widdows, The moral vision of Iris Murdoch, Ashgate Publishing, Aldershot, 2005, p. 10). And in his writings MacIntyre does both examine Murdoch’s work and acknowledge that ‘Iris Murdoch has … put us all in her debt’ (MacIntyre, 1993, The New York Times on the Web, January 3, http://www.nytimes.com/books/98/12/20/specials/murdoch-metaphysics.html, p. 3). Murdoch was both an influential philosopher and a successful novelist. MacIntyre has stated that ‘Iris Murdoch’s novels are philosophy: but they are philosophy which casts doubt on all philosophy, including her own’ (London Review of Books, 3–16 June, 1982, p. 15). I therefore explore in this article the influence of Iris Murdoch’s literary work, where ‘true vision occasions right conduct’ upon Alasdair MacIntyre’s portrayal of us as ‘storytelling animals’ on a ‘narrative quest’.     

Limitations of ethical reasoning as an action (praxis) strategy

For both philosophers and managers, reasoning with ourselves and others can be used both as (1) a way of knowing what is ethical and (2) a way of acting to help ourselves, others and organizations behave ethically. However, for many of us, knowing is frequently not the same as acting. Four areas are addressed: (1) thirteen limitations of ethical reasoning as an action strategy; (2) how a better understanding of these limitations can strengthen ethical reasoning as an action strategy; (3) how an understanding of these limitations can serve as a conceptual foundation for exploring other ethical action strategies; and, (4) implications for experiential learning and teaching. Richard P. Nielsen is a Management Professor in the Department of Organizational Studies, School of Management, Boston College, Chestnut Hill, MA 02167. Related articles of his include Toward an Action Philosophy for Managers Based on Arendt and Tillich, Journal of Business Ethics, May 1984, What Can Managers Do about Unethical Management, Journal of Business Ethics, May 1987, and Cooperative Strategy, Strategic Management Journal 9, 1988.