1993: GE’s NBC News unit issues an on-air apology to General Motors for staging a misleading simulated crash test. NBC agrees to pay GM’s estimated $1 million legal and investigation expenses.

February 1994: The Justice Department brought a criminal antitrust case against General Electric, accusing it of conspiring with an arm of the South African DeBeers diamond cartel to fix prices in the $600 million world market for industrial diamonds. General Electric denied wrongdoing...

Rather than being inherently evil, business lobbying is a socially responsible activity which needs to be restrained by ethical standards. To be effective in a business environment, traditional ethical standards need to be translated into language which business persons can speak comfortably. Economical explanations must also be available to explain why ethical standards are appropriate in business. Eight such standards and their validating arguments are proposed with examples showing their use. Internal dialogues regarding the ethics of lobbying objectives and tactics will plausibly occur only in businesses which recognize social responsibility mandates. Public interest stakeholders could hasten this recognition by making use of information made available by the Lobbying Disclosure Act of 1995 to institute external dialogues regarding lobbying by specific businesses and industry groups . Given practical ethical standards and the information on business lobbying provided by the law, the press, corporate activists, consumers, pension fund managers and the public can apply pressure for ethical lobbying practices.

This paper explores some interconnections between the business and environmental ethics movements. The first section argues that business has obligations to protect the environment over and above what is required by environmental law and that it should cooperate and interact with government in establishing environmental regulation. Business must develop and demonstrate environmental moral leadership. The second section exposes the danger of using the rationale of “good ethics is good business” as a basis for such business moral leadership in both the business and environmental ethics movements. The third section cautions against the moral shallowness inherent in the position or in the promotional strategy of ecological homocentrism which claims that society, including business, ought to protect the environment solely because of harm done to human beings and human interests. This paper urges business and environmental ethicists to promote broader and deeper moral perspectives than ones based on mere self-interest or human interest. Otherwise both movements will come up ethically short.

The author sets out a realist defense of the claim that in the absence of an international enforcement agency, multinational corporations operating in a competitive international environment cannot be said to have a moral obligation to contribute to the international common good, provided that interactions are nonrepetitive and provided effective signals of agent reliability are not possible. Examples of international common goods that meet these conditions are support of the global ozone layer and avoidance of the global greenhouse effect. Pointing out that the conclusion that multinationals have no moral obligations in these areas is deplorable, the author urges the establishment of an international enforcement agency.

In this qualitative study we examine the role of caste, class, and Dalit janitorial labor in the aftermath of floods in Chennai, India, in 2015. Drawing from a variety of sources including interviews, social media, and news coverage, we studied how Dalit (formerly known as ‘untouchable’) janitors were treated during the performance of janitorial labor for cleaning the city. Our study focuses on two theoretical premises: (a) caste-based social relations reproduce inequalities by devaluing Dalit labor as ‘dirty work’; and (b) Dalit subjectivities, labor, and sufferings including occupational hazards become invisible and ungrievable forcing Dalits to provide a counter narrative to preserve the memory of their trauma and dignity injuries. We find that the discursive construction of janitorial labor as dirty work forced Dalit janitors to work in appalling and unsafe working conditions. Janitors suffered several dignity injuries in terms of social exclusion and a lack of recognition for their efforts and accomplishments. Specifically, we examine various ways through which caste, dirty work, and dignity intersected in the narrative accounts of Dalit janitors. We also explore memory and how processes of remembering and forgetting affected the dignity claims of Dalit janitors.

It may be nearly impossible to use standard principles to make a decision about a complex ethical case. The best decision, say virtue ethicists in the Aristotelian tradition, is often one that is made by a person of good character who knows the salient facts of the case and can frame the situation appropriately. In this respect ethical decisions and strategic decisions are similar. Rationality plays a role in good ethical decision-making, but virtue ethicists emphasize the importance of intuitions and emotions as well.

Virtue ethics suggests a reconciliation of the factual and the normative. Virtues may explain as well as justify actions. The same is true of other psychological states and events. That psychological terms have normative implications does not render them useless in explanation. As Aristotle does not distinguish cleanly between the normative and empirical, so many moral philosophers today reject the is-ought dichotomy. They are prepared to learn from economists, psychologists, and other empirical scientists who offer information about the nature of the good life and of values. Social psychologists who study community or corporate culture suggest a close relationship between organizational and ethical features, much as Aristotle saw a close relationship between politics and ethics. We should infer from all this that in business ethics there is good reason for philosophers and organization scholars to work closely together.

This article examines how a firm’s prior record on corporate social responsibility (CSR) influences individual stakeholders’ perceptions of corporate hypocrisy in the wake of a corporate social irresponsibility (CSI) event. Our research extends extant corporate hypocrisy literature by highlighting the role of individual stakeholders’ inferences about a genuine CSR motive in their judgments of corporate hypocrisy. This can serve to differentiate perceived corporate hypocrisy from inconsistency that arises because of a lack of ability and/or resources. Our research further identifies a source for such perceptions: individual stakeholders’ perceptions of firm warmth generated by a firm’s prior record of CSR. In addition, we find that when CSR and CSI are in the same (vs. different) domains, it can strengthen perceptions of hypocrisy. This provides direct evidence to explain why markets react differently when CSR and CSI events occur in the same domain (vs. different ones).

The central role of corporate leaders in setting the ethical tone for their organization is widely accepted. Four well known former CEOs are profiled to illustrate how their managerial ethical leadership not only influenced their firms but also the practice of business. Insights are drawn from their writings and speeches as well as other sources which examine demonstrated leadership abilities. Their behavior not only provides examples of leadership but also is exemplary from an ethical point of view. The article concludes with five common themes that describe these individuals and the essence of managerial ethical leadership.

The criticism that voluntary codes of conduct are ineffective can be met by giving greater centrality to human rights in such codes. Provided the human rights obligations of multinational corporations are interpreted as moral obligations specifically tailored to the situation of multinational corporations, this could serve to bring powerful moral force to bear on MNCs and could provide a legitimating basis for NGO monitoring and persuasion. Approached in this way the human rights obligations of MNCs can be taken to include support for political as well as economic rights. This will go some way towards filling the regulatory gap created by the difficulty of controlling the activities of corporations operating globally. However, such a proposal will require a measure of ‘meta-regulation’ whereby the operations of MNCs are legally required to be sufficiently transparent to create the conditions for effective external moral scrutiny

This paper examines corporate social responsibility in Japan today within the context of the paradigm of the moral unity of business. Under this paradigm, business is expected to operate under the same set of moral standards operative in other societal institutions. We suggest that a micro moral unity characterizes Japan—business activity is linked to that society’s moral values but only within carefully circumscribed communities of interest. Because of the strains brought on by the maturing of the Japanese economy, the negative consequences of this micro moral unity are now becoming apparent. A new paradigm will be required to address these challenges. A possible foundation for such a paradigm, based on the emerging notion of kyosei (living and working together for the common good), is discussed.

Whether at the executive or the line-management levels, businesspeople face moral decisions that cannot be easily resolved with reference to a shared ethos, whether because of diversity of ethea in the organization or its environment, or because the organization's ethos is inadequate for the problem at hand. These decisions are made more common by the changing norms of a pluralistic business environment, and require collective moral deliberation to be adequately resolved. Discourse ethics ideally characterizes the form of valid collective moral deliberation. I argue that accommodation for the limitations of actual discourse makes discourse ethics, conceived in terms of the rules of practical discourse, practical for realizing improvements in the openness and validity of moral decision-making over states in which these rules are flagrantly violated. These rules have normative implications at the organizational level for the integrity approach to corporate ethics programs, and at the individual level for ethical leadership.

In this article, we explore the Corporate Social Performance (CSP) of Developing Country Multinationals (DMNCs). We argue that in competing internationally, DMNCs often face both reputation and legitimacy deficits, which they address by improving their CSP. We develop a series of hypotheses to explain the variation in CSP between DMNCs and domestic-only firms from developing countries and also examine variations in CSP between DMNCs depending on the extent of their multinationality and portfolio of host countries. Our findings support all our hypotheses, which suggest that DMNCs display enhanced levels of CSP compared to their domestic-only counterparts. CSP is also found to be positively related to the DMNCs’ degree of multinationality, but with a declining incremental impact, whereas entry into developed markets leads to a greater improvement in DMNCs’ CSP than expansion into developing markets. We highlight the implications of our findings for managers and researchers.

Firms possessing a unique competency to rescue the victims of a human catastrophe have a minimum moral obligation to devote substantial resources toward best efforts to aid the victims. The minimum amount that firms should devote to rescue is the largest sum of their most recent year’s investment in social initiatives, their five-year trend, their industry’s average, or the national average. Financial exigency may justify a lower level of investment. Alternative social investments may be continued if they have an equally compelling rationale. These duties apply to the global pharmaceutical companies in the context of the AIDS pandemic in sub-Saharan Africa.

This article argues that Carol Gilligan's research in moral development psychology, work which claims that women speak about ethics in a “different voice” than men do, is applicable to business ethics. This essay claims that Gilligan's “ethic of care” provides a plausible explanation for the results of two studies that found men and women handling ethical dilemmas in business differently. This paper also speculates briefly about the management implications of Gilligan's ideas.

It is proposed that mangers have to be moral, have to be concerned about the distribution of benefits and the allocation of harms brought about by their decisions and actions, in order to build trust, commitment, and effort among the stakeholders of the firm. Trust, commitment, and effort on the part of all of the stakeholders are essential for long-term corporate success, given the economic conditions of intense global competition that now exist for the foreseeable future.

Alasdair Maclntyre (1984) asserts that the ethical systems of the Enlightenment (formalism and utilitarianism) have failed to provide a meaningful definition of “good.” Lacking such a definition, business managers have no internal standards by which they can morally evaluate their roles or acts. Maclntyre goes on to claim that managers have substituted external measures of “winning” or “effectiveness” for any internal concept of good. He supports a return to the Aristotelian notion of virtue or “excellence.” Such a system of virtue ethics depends on an interrelationship of the community, one’s roles in that community, and the virtues one needs to perform that role well. This article develops Maclntyre’s concept of virtue ethics and shows how this paradigm fits well with existing theories about organizational behavior.

This paper re-examines the import of Rawls’s theory of justice for private sector institutions in the face of the decline of the welfare state. The argument is based on a Rawlsian conception of justice as the establishment of a basic structure of society that guarantees a fair distribution of primary goods. We propose that the decline of the welfare state witnessed in Western countries over the past forty years prompts a reassessment of the boundaries of the basic structure in order to include additional corporate institutions. A discussion centered on the primary good of self-respect, but extensible to power and prerogatives as well as income and wealth, examines how the legislator should intervene in private sector institutions to counterbalance any unfairness that results from the decline of the welfare state.

Responsible innovation in artificial intelligence (AI) calls for public deliberation: well-informed “deep democratic” debate that involves actors from the public, private, and civil society sectors in joint efforts to critically address the goals and means of AI. Adopting such an approach constitutes a challenge, however, due to the opacity of AI and strong knowledge boundaries between experts and citizens. This undermines trust in AI and undercuts key conditions for deliberation. We approach this challenge as a problem of situating the knowledge of actors from the AI industry within a deliberative system. We develop a new framework of responsibilities for AI innovation as well as a deliberative governance approach for enacting these responsibilities. In elucidating this approach, we show how actors from the AI industry can most effectively engage with experts and nonexperts in different social venues to facilitate well-informed judgments on opaque AI systems and thus effectuate their democratic governance.