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當(dāng)代全球商務(wù)課件Chap當(dāng)代全球商務(wù)課件Chap當(dāng)代全球商務(wù)課件Chap12021/2/21當(dāng)代全球商務(wù)課件Chap當(dāng)代全球商務(wù)課件Chap當(dāng)代全球商務(wù)當(dāng)代全球商務(wù)課件Chapchapter
EthicsinInternationalBusinessMcGraw-Hill/IrwinGlobalBusinessToday,5e?2008TheMcGraw-HillCompanies,Inc.,AllRightsReserved.4chapterEthicsinMcGraw-Hill/Chapter4:Ethicsin
InternationalBusinessINTRODUCTIONEthicsreferstoacceptedprinciplesofrightorwrongthatgoverntheconductofaperson,themembersofaprofession,ortheactionsofanorganization.Businessethicsaretheacceptedprinciplesofrightorwronggoverningtheconductofbusinesspeople.Ethicalstrategyisastrategy,orcourseofaction,thatdoesnotviolatetheseacceptedprinciples.Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessETHICALISSUESININTERNATIONALBUSINESSThemostcommonethicalissuesinbusinessinvolveemploymentpractices,humanrights,environmentalregulations,corruption,andthemoralobligationofmultinationalcompanies.Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessEmploymentPractices
Whenworkconditionsinahostnationareclearlyinferiortothoseinamultinational’shomenation,companiesmustdecidewhichstandardsshouldbeapplied,thoseofthehomenation,thoseofthehostnation,orsomethinginbetweenChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessHumanRightsBasichumanrightstakenforgrantedinthedevelopedworldsuchasfreedomofassociation,freedomofspeech,freedomofassembly,freedomofmovement,andsoon,arebynomeansuniversallyacceptedChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessEnvironmentalPollution
Whenenvironmentalregulationsinhostnationsarefarinferiortothoseinthehomenation,ethicalissuesariseThetragedyofthecommonsoccurswhenaresourceheldincommonbyall,butownedbynoone,isoverusedbyindividualsresultinginitsdegradationChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessClassroomPerformanceSystemMultinationalcompaniesareconcernedwithethicsisallofthefollowingareasexceptEmploymentpracticesHumanrightsEnvironmentalregulationsTraderegulations
Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessCorruptionIntheUnitedStates,theForeignCorruptPracticesActoutlawedthepracticeofpayingbribestoforeigngovernmentofficialsinordertogainbusinessTheOrganizationforEconomicCooperationandDevelopment(OECD)adoptedaConventiononCombatingBriberyofForeignPublicOfficialsinInternationalBusinessTransactionsin1997whichobligesmemberstatestomakethebriberyofforeignpublicofficialsacriminaloffenseChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessSomeeconomistssuggestthatthepracticeofgivingbribesmightbethepricethatmustbepaidtodoagreatergoodTheseeconomistsbelievethatinacountrywherepreexistingpoliticalstructuresdistortorlimittheworkingsofthemarketmechanism,corruptionintheformofblack-marketeering,smuggling,andsidepaymentstogovernmentbureaucratsto“speedup”approvalforbusinessinvestmentsmayactuallyenhancewelfareOthereconomistshavearguedthatcorruptionreducesthereturnsonbusinessinvestmentandleadstoloweconomicgrowthChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessMoralObligationsTheconceptofsocialresponsibilityreferstotheideathatbusinesspeopleshouldtakethesocialconsequencesofeconomicactionsintoaccountwhenmakingbusinessdecisions,andthatthereshouldbeapresumptioninfavorofdecisionsthathavebothgoodeconomicandgoodsocialconsequencesInitspurestform,socialresponsibilitycanbesupportedforitsownsakesimplybecauseitistherightwayforabusinesstobehaveAdvocatesofthisapproacharguethatbusinessesneedtorecognizetheirnoblesseoblige(honorableandbenevolentbehaviorthatistheresponsibilityofsuccessfulcompanies)andgivesomethingbacktothesocietiesthathavemadetheirsuccesspossibleChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessETHICALDILEMMASEthicaldilemmasaresituationsinwhichnoneoftheavailablealternativesseemsethicallyacceptable.Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessTHEROOTSOFUNETHICALBEHAVIORPersonalEthicsBusinessethicsreflectpersonalethics(thegenerallyacceptedprinciplesofrightandwronggoverningtheconductofindividuals)Expatriatesmayfacepressuretoviolatetheirpersonalethicsbecausetheyareawayfromtheirordinarysocialcontextandsupportingculture,andtheyarepsychologicallyandgeographicallydistantfromtheparentcompanyChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessDecisionMakingProcessesStudiesshowthatbusinesspeoplemaybehaveunethicallybecausetheyfailtoasktherelevantquestion—isthisdecisionoractionethical?Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessOrganizationCultureInfirmswithanorganizationculture(thevaluesandnormsthataresharedamongemployeesofanorganization)thatdoesnotemphasizebusinessculture,unethicalbehaviormayexistChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessUnrealisticPerformanceExpectationsPressurefromtheparentcompanytomeetperformancegoalsthatareunrealistic,andcanonlybeattainedbycuttingcornersoractinginanunethicalmannercancauseunethicalbehaviorLeadershipIfleadersarenotactingethically,otheremployeesmaynotactethicallyChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessThecausesofunethicalbehaviorareshowninFigure4.1.Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessClassroomPerformanceSystemWhichofthefollowingdoesnotcontributetounethicalbehaviorbymanagers?UnrealisticperformancegoalsLeadershipOrganizationalcultureRestrictionsonbribesChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessPHILOSOPHICALAPPROACHESTOETHICSStrawMen
Strawmenapproachestobusinessethicsareapproachesthatareraisedbybusinessethicsscholarsprimarilyforthepurposeofdemonstratingthattheyofferinappropriateguidelinesforethicaldecisionmakinginamultinationalenterprise.FoursuchapproachesaretheFriedmandoctrine,culturalrelativism,therighteousmoralist,andthena?veimmoralist.Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessTheFriedmanDoctrine
Economist’sMiltonFriedman’spositionisthattheonlysocialresponsibilityofbusinessistoincreaseprofits,solongasthecompanystayswithintherulesoflawCulturalRelativismCulturalrelativismisthebeliefthatethicsareculturallydeterminedandthatfirmsshouldadopttheethicsoftheculturesinwhichtheyoperate,orinotherwords,“wheninRome,doastheRomansdo”Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessTheRighteousMoralist
Therighteousmoralistapproachclaimsthatamultinational’shomecountrystandardsofethicsaretheappropriateonesforcompaniestofollowinforeigncountriesTheNa?veImmoralist
Thena?veimmoralistassertsthatifamanagerofamultinationalseesthatfirmsfromothernationsarenotfollowingethicalnormsinahostnation,thatmanagershouldnoteitherChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessUtilitarianandKantianEthicsUtilitarianapproachestoethicsholdthatthemoralworthofactionsorpracticesisdeterminedbytheirconsequencesAnactionisjudgedtobedesirableifitleadstothebestpossiblebalanceofgoodconsequencesoverbadconsequences
Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessProblemswiththeapproachismeasuringthebenefits,costs,andrisksofacourseofaction,andthefactthatphilosophyfailstoconsiderjusticeKantianethicsarebasedonthephilosophyofImmanuelKantwhoarguedthatpeopleshouldbetreatedasendsandneverpurelyasmeanstotheendsofothersChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessRightsTheories
RightstheoriesrecognizethathumanbeingshavefundamentalrightsandprivilegesthattranscendnationalboundariesandcultureMoraltheoristsarguethatfundamentalhumanrightsformthebasisforthemoralcompassthatmanagersshouldnavigatebywhenmakingdecisionsthathaveanethicalcomponentTheideathatsomefundamentalrightstranscendnationalbordersandcultureswastheunderlyingmotivationfortheUN’sUniversalDeclarationofHumanRights(specifiesthebasicprinciplesthatshouldalwaysbeadheredtoirrespectiveofthecultureinwhichoneisdoingbusiness)Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessJusticeTheories
JusticetheoriesfocusontheattainmentofajustdistributionofeconomicgoodsandservicesAjustdistributionisonethatisconsideredfairandequitable
Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessOnetheoryofjusticewassetforthbyJohnRawlswhoarguedthatalleconomicgoodsandservicesshouldbedistributedequallyexceptwhenanunequaldistributionwouldworktoeveryone’sadvantageImpartialityisguaranteedbytheveilofignorance(everyoneisimaginedtobeignorantofallhisorherparticularcharacteristics)wherepeoplewouldagreethateachpersonispermittedthemaximumamountofbasiclibertycompatiblewithasimilarlibertyforothers,andthatonceequalbasiclibertyisassured,inequalityinbasicgoodssocialgoodsaretobeallowedonlyiftheybenefiteveryoneRawlsformulatesthedifferenceprinciple,whichisthatinequalitiesarejustifiediftheybenefitthepositionoftheleastadvantagedpersonChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessClassroomPerformanceSystemWhichphilosophyclaimsthatacompany’shome-countrystandardsofethicsaretheappropriateonestofollowinforeigncountries?CulturalrelativismRighteousmoralistFriedmandoctrineNa?veimmoralistChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessIMPLICATIONSFORMANAGERSFirmsthatensureethicalissuesareconsideredinbusinessdecisions:favorhiringandpromotingpeoplewithawellgroundedsenseofpersonalethicsbuildanorganizationalculturethatplacesahighvalueonethicalbehaviormakessurethatleaderswithinthebusinessnotonlyarticulatetherhetoricofethicalbehavior,butalsoactinmannerthatisconsistentwiththatrhetoricputdecisionmakingprocessesinplacethatrequirepeopletoconsidertheethicaldimensionofbusinessdecisionsdevelopmoralcourageChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessHiringandPromotionBusinessesshouldstrivetoidentifyandhirepeoplewithastrongsenseofpersonalethicsProspectiveemployeesshouldfindoutasmuchastheycanabouttheethicalclimateinanorganizationChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessOrganizationCultureandLeadershipBusinessesneedtobuildanorganizationculturethatplacesahighvalueonethicalbehavior:thebusinessmustexplicitlyarticulatevaluesthatplaceastrongemphasisonethicalbehavior,perhapsusingacodeofethics(aformalstatementoftheethicalprioritiesabusinessadheresto)leadersinthebusinessshouldgivelifeandmeaningtothecodeofethicsbyrepeatedlyemphasizingtheirimportance,andthenactingonthemthebusinessshouldputinplaceasystemofincentivesandrewardsthatrecognizepeoplewhoengageinethicalbehaviorandsanctionthosewhodonotChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessDecisionMakingProcessesAmoralcompasscanhelpdeterminewhetheradecisionisethical.Ifamanagercananswer“yes”tothefollowingquestions,thedecisionisethicallyacceptable.doesmydecisionfallwithintheacceptedvaluesofstandardsthattypicallyapplyintheorganizationalenvironment?amIwillingtoseethedecisioncommunicatedtoallstakeholdersaffectedbyit?wouldthepeoplewithwhomIhavesignificantpersonalrelationshipsapproveofthedecision?Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessAfivestepprocesscanalsohelpmanagersthinkthroughethicalproblems:businesspeopleshouldidentifywhichstakeholders(theindividualsorgroupswhohaveaninterest,stake,orclaimintheactionsandoverallperformanceofacompany)adecisionwouldaffectandinwhatwaysInternalstakeholdersarepeoplewhoworkfororwhoownthebusinesssuchasemployees,theboardofdirectors,andstockholders.Externalstakeholdersaretheindividualsorgroupswhohavesomeclaimonafirmsuchascustomers,suppliers,andunions.Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessThen,managersneedtodeterminewhetheraproposeddecisionwouldviolatethefundamentalrightsofanystakeholdersNext,managersneedtoestablishmoralintent(thebusinessmustresolvetoplacemoralconcernsaheadofotherconcernsincaseswhereeitherthefundamentalrightsofstakeholdersorkeymoralprincipleshavebeenviolated)ThecompanyshouldthenengageinethicalbehaviorFinally,thebusinessmustaudititsdecisions,reviewingthemtomakesurethattheywereconsistentwithethicalprinciplesChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessEthicsOfficers
Toensureethicalbehaviorinabusiness,anumberoffirmsnowhaveethicsofficers
MoralCourageItisimportanttorecognizethatemployeesinaninternationalbusinessmayneedsignificantmoralcourageChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessClassroomPerformanceSystemAcompany’sformalstatementofethicalprioritiesiscalleditsMissionstatementCodeofethicsCodeofvaluesOrganizationalcultureChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessSummaryofManagerialActionsIntheend,thereareclearlythingsthataninternationalbusinessshoulddo,andtherearethingsthataninternationalbusinessshouldnotdo,buttherearealsoactionsthatpresentmanagerswithtruedilemmasChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessCRITICALTHINKINGANDDISCUSSIONQUESTIONS1.ReviewtheManagementFocusontestingdrugsinthedevelopingworldanddiscussthefollowingquestions:(a)DidPfizerbehaveunethicallybyrushingtotakeadvantageofanepidemicinNigeriainordertotestanexperimentaldrugonsickchildren?Shouldthecompanyhaveproceededmorecarefully?(b)Isitethicaltotestanexperimentaldrugonchildreninemergencysettingsinthedevelopingworldwheretheoverallstandardofhealthcareismuchlowerthaninthedevelopedworld,andwhereproperprotocolsmightnotbefollowed?Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessCRITICALTHINKINGANDDISCUSSIONQUESTIONS2.AvisitingAmericanexecutivefindsthataforeignsubsidiaryinapoornationhashireda12-yearoldgirltoworkonafactoryfloor,inviolationofthecompany’sprohibitiononchildlabor.Hetellsthelocalmanagertoreplacethechildandtellhertogobacktoschool.ThelocalmanagertellstheAmericanexecutivethatthechildisanorphanwithnoothermeansofsupport,andshewillprobablybecomeastreetchildifsheisdeniedwork.WhatshouldtheAmericanexecutivedo?Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessCRITICALTHINKINGANDDISCUSSIONQUESTIONS3.DrawinguponJohnRawls’concept,theveilofignorance,developanethicalcodethatwill(a)guidethedecisionsofalargeoilmultinationaltowardsenvironmentalprotection,and(b)influencethepoliciesofaclothingcompanytooutsourceitsmanufacturingprocess?
Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessCRITICALTHINKINGANDDISCUSSIONQUESTIONS4.Underwhatconditionsisitethicallydefensibletooutsourceproductiontoproducersinthedevelopingworldwhohavemuchlowerlaborcostswhensuchactionsalsoinvolvelayingofflongtermemployeesinthefirm’shomecountry?Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessCRITICALTHINKINGANDDISCUSSIONQUESTIONS5.Arefacilitatingpaymentsethical?Chapter4:Ethicsin
Internat謝謝!432021/2/21謝謝!432021/2/21當(dāng)代全球商務(wù)課件Chap當(dāng)代全球商務(wù)課件Chap當(dāng)代全球商務(wù)課件Chap442021/2/21當(dāng)代全球商務(wù)課件Chap當(dāng)代全球商務(wù)課件Chap當(dāng)代全球商務(wù)當(dāng)代全球商務(wù)課件Chapchapter
EthicsinInternationalBusinessMcGraw-Hill/IrwinGlobalBusinessToday,5e?2008TheMcGraw-HillCompanies,Inc.,AllRightsReserved.4chapterEthicsinMcGraw-Hill/Chapter4:Ethicsin
InternationalBusinessINTRODUCTIONEthicsreferstoacceptedprinciplesofrightorwrongthatgoverntheconductofaperson,themembersofaprofession,ortheactionsofanorganization.Businessethicsaretheacceptedprinciplesofrightorwronggoverningtheconductofbusinesspeople.Ethicalstrategyisastrategy,orcourseofaction,thatdoesnotviolatetheseacceptedprinciples.Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessETHICALISSUESININTERNATIONALBUSINESSThemostcommonethicalissuesinbusinessinvolveemploymentpractices,humanrights,environmentalregulations,corruption,andthemoralobligationofmultinationalcompanies.Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessEmploymentPractices
Whenworkconditionsinahostnationareclearlyinferiortothoseinamultinational’shomenation,companiesmustdecidewhichstandardsshouldbeapplied,thoseofthehomenation,thoseofthehostnation,orsomethinginbetweenChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessHumanRightsBasichumanrightstakenforgrantedinthedevelopedworldsuchasfreedomofassociation,freedomofspeech,freedomofassembly,freedomofmovement,andsoon,arebynomeansuniversallyacceptedChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessEnvironmentalPollution
Whenenvironmentalregulationsinhostnationsarefarinferiortothoseinthehomenation,ethicalissuesariseThetragedyofthecommonsoccurswhenaresourceheldincommonbyall,butownedbynoone,isoverusedbyindividualsresultinginitsdegradationChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessClassroomPerformanceSystemMultinationalcompaniesareconcernedwithethicsisallofthefollowingareasexceptEmploymentpracticesHumanrightsEnvironmentalregulationsTraderegulations
Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessCorruptionIntheUnitedStates,theForeignCorruptPracticesActoutlawedthepracticeofpayingbribestoforeigngovernmentofficialsinordertogainbusinessTheOrganizationforEconomicCooperationandDevelopment(OECD)adoptedaConventiononCombatingBriberyofForeignPublicOfficialsinInternationalBusinessTransactionsin1997whichobligesmemberstatestomakethebriberyofforeignpublicofficialsacriminaloffenseChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessSomeeconomistssuggestthatthepracticeofgivingbribesmightbethepricethatmustbepaidtodoagreatergoodTheseeconomistsbelievethatinacountrywherepreexistingpoliticalstructuresdistortorlimittheworkingsofthemarketmechanism,corruptionintheformofblack-marketeering,smuggling,andsidepaymentstogovernmentbureaucratsto“speedup”approvalforbusinessinvestmentsmayactuallyenhancewelfareOthereconomistshavearguedthatcorruptionreducesthereturnsonbusinessinvestmentandleadstoloweconomicgrowthChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessMoralObligationsTheconceptofsocialresponsibilityreferstotheideathatbusinesspeopleshouldtakethesocialconsequencesofeconomicactionsintoaccountwhenmakingbusinessdecisions,andthatthereshouldbeapresumptioninfavorofdecisionsthathavebothgoodeconomicandgoodsocialconsequencesInitspurestform,socialresponsibilitycanbesupportedforitsownsakesimplybecauseitistherightwayforabusinesstobehaveAdvocatesofthisapproacharguethatbusinessesneedtorecognizetheirnoblesseoblige(honorableandbenevolentbehaviorthatistheresponsibilityofsuccessfulcompanies)andgivesomethingbacktothesocietiesthathavemadetheirsuccesspossibleChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessETHICALDILEMMASEthicaldilemmasaresituationsinwhichnoneoftheavailablealternativesseemsethicallyacceptable.Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessTHEROOTSOFUNETHICALBEHAVIORPersonalEthicsBusinessethicsreflectpersonalethics(thegenerallyacceptedprinciplesofrightandwronggoverningtheconductofindividuals)Expatriatesmayfacepressuretoviolatetheirpersonalethicsbecausetheyareawayfromtheirordinarysocialcontextandsupportingculture,andtheyarepsychologicallyandgeographicallydistantfromtheparentcompanyChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessDecisionMakingProcessesStudiesshowthatbusinesspeoplemaybehaveunethicallybecausetheyfailtoasktherelevantquestion—isthisdecisionoractionethical?Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessOrganizationCultureInfirmswithanorganizationculture(thevaluesandnormsthataresharedamongemployeesofanorganization)thatdoesnotemphasizebusinessculture,unethicalbehaviormayexistChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessUnrealisticPerformanceExpectationsPressurefromtheparentcompanytomeetperformancegoalsthatareunrealistic,andcanonlybeattainedbycuttingcornersoractinginanunethicalmannercancauseunethicalbehaviorLeadershipIfleadersarenotactingethically,otheremployeesmaynotactethicallyChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessThecausesofunethicalbehaviorareshowninFigure4.1.Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessClassroomPerformanceSystemWhichofthefollowingdoesnotcontributetounethicalbehaviorbymanagers?UnrealisticperformancegoalsLeadershipOrganizationalcultureRestrictionsonbribesChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessPHILOSOPHICALAPPROACHESTOETHICSStrawMen
Strawmenapproachestobusinessethicsareapproachesthatareraisedbybusinessethicsscholarsprimarilyforthepurposeofdemonstratingthattheyofferinappropriateguidelinesforethicaldecisionmakinginamultinationalenterprise.FoursuchapproachesaretheFriedmandoctrine,culturalrelativism,therighteousmoralist,andthena?veimmoralist.Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessTheFriedmanDoctrine
Economist’sMiltonFriedman’spositionisthattheonlysocialresponsibilityofbusinessistoincreaseprofits,solongasthecompanystayswithintherulesoflawCulturalRelativismCulturalrelativismisthebeliefthatethicsareculturallydeterminedandthatfirmsshouldadopttheethicsoftheculturesinwhichtheyoperate,orinotherwords,“wheninRome,doastheRomansdo”Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessTheRighteousMoralist
Therighteousmoralistapproachclaimsthatamultinational’shomecountrystandardsofethicsaretheappropriateonesforcompaniestofollowinforeigncountriesTheNa?veImmoralist
Thena?veimmoralistassertsthatifamanagerofamultinationalseesthatfirmsfromothernationsarenotfollowingethicalnormsinahostnation,thatmanagershouldnoteitherChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessUtilitarianandKantianEthicsUtilitarianapproachestoethicsholdthatthemoralworthofactionsorpracticesisdeterminedbytheirconsequencesAnactionisjudgedtobedesirableifitleadstothebestpossiblebalanceofgoodconsequencesoverbadconsequences
Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessProblemswiththeapproachismeasuringthebenefits,costs,andrisksofacourseofaction,andthefactthatphilosophyfailstoconsiderjusticeKantianethicsarebasedonthephilosophyofImmanuelKantwhoarguedthatpeopleshouldbetreatedasendsandneverpurelyasmeanstotheendsofothersChapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessRightsTheories
RightstheoriesrecognizethathumanbeingshavefundamentalrightsandprivilegesthattranscendnationalboundariesandcultureMoraltheoristsarguethatfundamentalhumanrightsformthebasisforthemoralcompassthatmanagersshouldnavigatebywhenmakingdecisionsthathaveanethicalcomponentTheideathatsomefundamentalrightstranscendnationalbordersandcultureswastheunderlyingmotivationfortheUN’sUniversalDeclarationofHumanRights(specifiesthebasicprinciplesthatshouldalwaysbeadheredtoirrespectiveofthecultureinwhichoneisdoingbusiness)Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessJusticeTheories
JusticetheoriesfocusontheattainmentofajustdistributionofeconomicgoodsandservicesAjustdistributionisonethatisconsideredfairandequitable
Chapter4:Ethicsin
InternatChapter4:Ethicsin
InternationalBusinessOnetheoryofjusticewassetforthbyJohnRawlswhoarguedthatalleconomicgoodsandservicesshouldbedistributedequallyexceptwhenanunequaldistributionwouldworktoeveryone’sadvantageImpartialityisguaranteedbytheveilofignorance(everyoneisimaginedtobeignorantofallhisorherparticularcharacteristics)where
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