Business actors often act in ways that may harm other parties. While the law aims to restrict harmful behavior and to provide remedies, legal systems do not anticipate all contingencies and legal regulations are not always well-enforced. This article argues that the logic of double effect (LDE), which has been developed and deployed in other areas of practical ethics, can be useful in helping business actors decide whether or not to pursue potentially harmful activities in commonplace business activity. The article illustrates how LDE helps to explain the exploitative nature of payday lending, the distinction between permissible and impermissible forms of market competition, and the potential wrong of imposing risk of harm on others. The article also addresses foundational debates about LDE itself. We offer the article as an illustration of the sort of “midlevel” theorizing that can address directly the needs of practitioners.

Critical scholarship often presents corporate social responsibility (CSR) as a reflection or embodiment of neoliberalism. Against this sort of sweeping political characterization we argue that CSR can indeed be considered a liberal concept but that it embodies a “varieties of liberalism.” Building theoretically on the work of Michael Freeden on liberal languages, John Ruggie and Karl Polanyi on embedded forms of liberalism, and Michel Foucault on the distinction between classical liberalism and neoliberalism, we provide a conceptual treatment and mapping of the ideological positions that constitute the bulk of modern scholarly CSR debate. Thus, we distinguish between embedded liberalism, classical liberalism, neoliberalism, and re-embedded liberalism. We develop these four orientations in turn and show how they are engaged in “battles of ideas” over the meaning and scope of corporate responsibilities—and how they all remain relevant for an understanding of contemporary debates and developments in the field of CSR and corporate sustainability.

Michael Lewis’ book, Liar's Poker, presents a scary picture of behavior within the investment community. While this portrayal is interesting in its own right, it presents us with an opportunity to subject real business behavior to analysis and suggestions for reform. As such, the issues raised here transcend a mere review of the book's plot and prose. Real business behavior, described in gory detail by Lewis, will provide the basis for a moral analysis. Machiavelli's The Prince will provide the framework for most of this analysis.

Ignited in this and other countries by the rapid rise of the modem corporation to a position of strategic importance, both nationally and internationally, an intense debate continues today unabated. At the heart of the debate is a fundamental question: What role should the modern corporation play in a free society? And, as corporations become increasingly multinational, the fundamental question might more accurately be stated as a question about the role the multinational corporation should play in a free society, indeed, in the world. This question, I believe, should provide the orientation for research inquiries in Business Ethics and Business and Society.

Within the business community in the U.S., two dominant responses to the fundamental question emerged quite early in the century, responses which have been characterized as the Classical and Managerial business ideologies. Approaching the 21st century, these remain the two major alternatives, reflecting not merely the competing ideological frameworks of the business community, but of the larger society in the U.S. as well. That these constitute the dominant alternatives is extremely regrettable, even dangerous, for, as I have argued elsewhere, both are seriously inadequate.

Organized immaturity, the reduction of individual capacities for public use of reason constrained by sociotechnological systems, constitutes a significant pushback against the project of Enlightenment. Forms of immaturity have long been a concern for philosophers and social theorists, such as Kant, Arendt, Fromm, Marcuse, and Foucault. Recently, Zuboff’s concept of “surveillance capitalism” describes how advancements in digital technologies lead to new, increasingly sophisticated forms of organized immaturity in democratic societies. We discuss how sociotechnological systems initially designed to meet human needs can inhibit the multidimensional development of individuals as mature citizens. To counteract these trends, we suggest two mechanisms: disorganizing immaturity as a way to safeguard individuals’ and collectives’ negative freedoms (freedoms from), and organizing maturity as a way to strengthen positive freedoms (freedoms to). Finally, we provide an outlook on the five further articles that constitute the Business Ethics Quarterly Special Issue “Sociotechnological Conditions of Organized Immaturity in the Twenty-First Century.”

This introduction argues that the use of the concept of deliberative democracy in corporate social responsibility (CSR) research needs to be theoretically extended. We review three developments that have recently occurred in deliberative democracy theory within political science and philosophy: 1) the conceptualization of deliberative systems (macro level), 2) the considerations of mini-publics (micro level), and 3) the role of online deliberation. We discuss the challenges and prospects that incorporating these three developments into future CSR-related research creates. We thereby also introduce the articles in this special issue and show how they connect to each of the three developments. On the basis of this discussion, we outline the contours for a more general program of distributed deliberative CSR that enables CSR scholars to incorporate an updated understanding of deliberative democracy theory into their future work.

Managers have the primary role responsibility to protect and promote the economic viability of their organizations. Utilizing a formula that demonstrates the inherently unstable nature of economic systems, I argue that managers are sometimes morally required to make adjustments that result in harming people who work for them in order to reestablish the equilibrium necessary to remain viable. The question of who is going to be harmed and how this harm is morally justified is the focal point of this paper. I argue that utilizing traditional methods associated with our common morality cannot solve the issue of who is going to be harmed, and that the traditional methods for reestablishing equilibrium promote a distribution of harm that cannot be justified from a rationally defensible moral point of view. Utilizing the constraint of impartiality and the concept of the health of the organization, I argue that an equal distribution of harm among everyone affected by the decision is the only one that is rationally defensible.

The Inuit in Alaska speak eloquently of their “rights” to be granted larger quotas for whale hunting, so that they might compete more fairly with Japanese business interests. The Jari Corporation in the Amazonia in Brazil, struggles to cut trees in the rain forest and provide employment, in a sustainable way, without importing exotic species and without exploiting all the land they own. Yet they still use chlorine in their manufacturing operation, and still need to cope with the problems the previous management left for them. In the Great Lakes Basin, the U.S./Canada Joint Commission demands a chlorine ban for the Basin, citing abundant scientific evidence about habitat and wild-life devastation in the area, as well as mounting evidence of a link between chlorine in water and breast cancer. The meeting is attended by thousands of citizens supporting the ban, but the industry’s representatives protest the “emotionalism” of the presentations, and counter it with the so-called “hard facts”: veiled threats of unemployment and higher prices, due to a “premature ban.”

Entrepreneurs should act as stewards of entrepreneurial rent. Entrepreneurial rent is the difference between the ex post value of a venture and its ex ante costs. It is the result of competition among buyers and sellers within the market process rather than the sole efforts of the entrepreneur. As a result, entrepreneurs should allocate entrepreneurial rent for the benefit of other market participants rather than consuming it for themselves. The moral obligation to steward entrepreneurial rent is consistent with traditional bases of property rights and the norm of social welfare maximization, and it applies to corporations and their shareholders, as well as individual entrepreneurs.

This essay examines the impact of the imposition of businesses techniques, in particular, those associated with Total Quality Management, on the relationships of important components of the health care delivery system, including payers, managed care organizations, institutional and individual providers, enrollees, and patients. It examines structural anomalies within the delivery system and concludes that the use of Total Quality Management techniques within the health care system cannot prevent the shift of attention of other components away from the enrollee and the patient, and may even contribute to it. It speculates that the organization ethics process may serve as a quality control mechanism to prevent this shift and so help eliminate some of the ethically problematic processes and outcomes within the health care delivery system.

This paper describes how anticipated age discrimination in the form of disparate treatment induces behavior that in effect constitutes gender discrimination. Potential employers often exhibit a common pattern of behavior that acts to discriminate against older workers entering a specific workplace. Women, at a decision-making point early in their lives, are aware of this pattern of discrimination. They perceive that it is important for them to establish their careers before they have a family because it will be more difficult for them to enter the work force at a later age and excel at their careers. This anticipated age discrimination disparately impacts women, resulting in gender discrimination.

Here I synthesize certain ideas presented in two different articles that appeared in the same issue of Business Ethics Quarterly. One article (Hasnas) invokes the stockholder model as a valid normative theory of business ethics, the other article (Dunfee) invokes a marketplace of morality. Both articles imply that the accepted financial-economic view of the firm is a view that can accommodate ethics. I offer empirical support for this view. I also identify the ethic of the stockholder model as a variant on might-makes-right and consider the social acceptance of this ethic as a postmodern phenomenon.

This paper is a response to a recent colloquy among Professors David Messick, Donna Wold, and Edwin Harman. I defend Messick’s naturalist methodology, which suggests that people inherently categorize others and act altruistically toward certain people in a given person’s in-group. This paper suggests that an anthropological reason for this grouping tendency is a limited human neural ability to process large numbers of relationships. But because human beings also have the ability to modify, to some extent, their nature, corporate law can organize small mediating institutions within large corporations in order to take ethical advantage of this grouping tendency. Within a corporate law taking seriously a mediating institution’s formulation of business communities, a virtue ethics approach can be integrated with a naturalist approach in a way that fosters ethical business behavior while mitigating the dangers of ingrouping tendencies.

Officials must understand why and how the public lost confidence in the federal government’s ability to manage financial turmoil. Officials outsourced to private parties responsibility for monitoring and policing the safety-net exposures that were bound to be generated by weaknesses in the securitization process. When the adverse consequences of this imprudent arrangement first emerged, officials claimed for months that the difficulties that short-funded, highly leveraged firms were facing in rolling over debt reflected only a shortage of aggregate liquidity and not individual-firm shortages of economic capital. Then, in September 2008, the president and other officials created an unwise sense of urgency that delays in implementation show to have been greatly exaggerated.

That authorities and financiers violated common-law duties of loyalty, competence, and care they owe to taxpayers indicates a massive incentive breakdown in industry and government. Taxpayers deserve a thorough-going reorientation of: (1) how regulatory agencies report on their regulatory performance and back-room interactions with Congress and the Treasury, and (2) the contract structures and performance measures used by the financial industry and its government overseers.

This paper investigates the broad ideological conflict between world views on corporate culture. Two views are identified: one encompassing standard liberal economic philosophy; the other taking broader notions of corporate culture from ethics theory. The conflict that surrounded the World Trade Organization meeting in Seattle is used as an illustration of the current conflict between these views. The writings of Alasdair MacIntyre are employed as a means of elucidating and reconciling these two world views.

“International business ethics” is a fairly new field of investigation compared to “business ethics,” that already has a history of 25-plus years in North America, and, even more so, to the well-established disciplines of management, economics, and ethics. This new field is emerging not because it has been designed by academics, but primarily because international business itself has dramatically developed since the 1980s. It has brought about plenty of ethical implications and challenges. To a large extent, they affect not only “international” business but also “domestic” business, which are increasingly being interconnected, and reach far beyond the commonly defined “business domain.” This process of globalization with multiple dimensions is extremely complex and rather opaque and, therefore, needs a great deal of clarification through thoughtful and courageous business initiatives as well as academic expertise.

This paper will discuss the uncertainty of job tenure, inequality of wages in American business, and the challenges for a creating a new social and moral compact between employer and employee. I begin by arguing that business ethics scholars missed some of the disturbing trends in management thinking because they often focused on current problems in business rather than questioning some of the basic assumptions about the way businesses are managed. As Rochefoucauld observed (albeit in a different context) we were overtaken by the evils of the present and I would argue, this was because we didn’t pay attention to the past. Business ethics research, like management research, is often ahistorical and hence tells only part of the story. If we don’t know how we got to a certain problem, it’s really difficult to see where the present problem and our solutions to it might lead us.

This special issue of the BEQ focuses upon the convergence of two of the major challenges facing business organizations in our decade: ethics and leadership. Not all problems of business ethics are questions of leadership and not all of the issues of organizational effectiveness that have placed leadership and leadership development high on the agenda are matters of ethics, but the overlap is great.