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THE LIST FOR THE PROJECT OF BUSINESS ETHICS
BY DR. BASMA KASHMOOLA
SPRING 2015
PROJECT OF BUSINESS ETHICS
Ethical impacts ...
INTRODUCTION
Ethics is not a topic typically addressed by economists. Economists are positive
theorists and the closest th...
to inform the general public that free trade provides a proven path for developing
countries to reduce poverty and to prov...
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  1. 1. THE LIST FOR THE PROJECT OF BUSINESS ETHICS BY DR. BASMA KASHMOOLA SPRING 2015 PROJECT OF BUSINESS ETHICS Ethical impacts of globalization NAME: STUDENT ID : 1
  2. 2. INTRODUCTION Ethics is not a topic typically addressed by economists. Economists are positive theorists and the closest they come to approaching normative issues is when maximizing multivariate utilitarian social welfare functions. Although the transition of economics from a philosophy to a science over the past three decades has been a boon to economic practice and thinking, the discipline has arguably “thrown out the baby with the bathwater,” in that few contemporary economists are comfortable discussing normative issues. Further, the filtering mechanism imposed by Ph.D. comprehensives favors students with technical and mathematical training over those with a background in philosophy and the liberal arts backgrounds. Admittedly, public finance professors do pay lip service to differing philosophical rationales for income redistribution. 2
  3. 3. to inform the general public that free trade provides a proven path for developing countries to reduce poverty and to provide a better life for their citizens.3 As implied, public policy lectures on trade topics require courage because the general public does not comprehend complex topics like capital flows and the economic dynamics underpinning the gains from trade. The public’s knowledge of trade is shaped by nightly news broadcasts which detail job losses in import competing industries, global warming, the devastation of the rain-forests, child-labor problems, sweat shops, human rights violations, and the “self-serving ethics” of multinational corporate executives. In addition, there is an almost certainty that free trade defenders will address an audience which includes a large a number of anti- globalists, who rally to causes that stir their passions and for whom listening to free-trade supportive lectures based on the mountains of evidence is not high on their agenda 3
  4. 4. The numerous scandals in business in UAE have raised several concerns concerning head-in-the-clouds behavior in organizations. by alternative words in business in UAE has conjointly activated consciousness concerning ethics in general and business ethics particularly ACCORDING TO (( CREMER , MAYER AND SCHMINKE ,2010)) Globalization refers to the modern phenomena of cultures, nations and financial institutions around the world becoming more and more interconnected. As a result of this interconnection, these various institutions are becoming interdependent. This interdependency carries with it ethical and practical issues that are being addressed by politicians and scientists worldwide.1 Management and businesses in UAE face necessary moral challenges. for instance we tend to establish emergence of unethical call making and behavior in management as a vital topic for a future research. we tend to use of a behavioral business ethics approach to higher understand once management, conjointly ethics isvictimisation from leaders and businesses in UAE that act unethically. therefore A behavioral business ethics approach in UAE that depends on necessary psychology ought to be a necessary addition to the 1 http://www.ehow.com/info_8173049_ethical-issues-globalization.html 4
  5. 5. standard normative approaches utilized in business ethics. by alternative words Understanding THAT moral Behavior and higher cognitive process in Management according to ((Adams,2011)) also management deals with Social responsibility is ethical theory which be for each organization or individual which has obligation to society All trade agreement should include minimum ILO (international labor organization) standards. International conventions on these issues exist. They can be checked by rapporteurs, a method now used in the human rights area. The WTO can enforce these standards as they do now in trade disputes. If a country cannot afford to meet the standards they should be helped. For the well being of our society and the health of our economy we need a universal health care system. We should support the growing fair trade movement. They support more than 5 million people in Africa and Latin America in socially responsible trade. We should buy these products like fair trade coffee. It costs a little more but we are not only shoppers but also citizens. Oxfam America has a campaign for fair trade. They have a website providing much information (www.maketradefair.com) on how to get involved. 5
  6. 6. We are in the historic process of becoming one world. There are precedents in which governments come to relinquish some of their sovereignty for the benefits of cooperation. Regional organization already takes place in the form of WTO and the European Union. Such groupings are likely to increase in the future because of the necessity of avoiding the chaos and suffering of the vast disparities between the haves and the have-nots, and perhaps the side effects of competition between the great economic powers. Globalization can be a great boon. It is not globalization per se, but the unfairness and damaging results from the way it is developing that is the moral and humanitarian problem. In the meantime, we need to hang on tight because there’s a rough ride ahead of us. There area unit several definition of business ethics in keeping with (Lewis, 1985), that specialize in evaluating the ethical satisfactoriness of the actions of management and he conjointly specialize in structure of leaders and their workers.‎ By alternative words the morals and actions of business in UAE appear to more and more necessary to not 6
  7. 7. only assess however conjointly perceive however and why unethical behavior and decision creating with assumptions of individual self-interest and possibly even greed area unit early samples of behavioural approaches WHICH have emerged as a counterpoint to its ancient and its normative approach .‎ individual workers might place their own interests before those of its shareholders.‎ So The behavioral approach happens outside of the attention of individual actors.‎ This approach enhances understanding of however ethical awareness area unit taken.‎ therefore by up our information to AN moral climate that may cause property and effective management.‎ therefore however they'll supplement the standard, normative approach to business ethics in UAE .‎ A Normative and behavioral Business Ethics Approach prescriptive approach, that focuses on what managers, employees and 7
  8. 8. people and alternative people generally therefore by other words The prescriptive tones that area unit inherent in THAT literature area unit clearly mirrored within the popularity of structure codes of conduct and ethical pointers issued by management in keeping with ((ADAMS ,2001)) An interesting and necessary underlying assumption of this approach is that it promotes the concept that peoplearea unit rational purposive actors World Health Organization act in accordance with their intentions and understand the implications of their actions.‎ This rational approach, however, might not be ready to account for the emergence of a large vary of unethical behaviors.‎ Ethicality and intentionality area unit 2 necessary however distinct dimensions: people make each intentional and unintentional moral and unethical selections (Tenbrunsel and Smith-Crowe, 2008).‎ for example, there's considerable proof indicating that smart individuals typically do dangerous things (Bersoff, 1999), and should not 8
  9. 9. even understand that they're doing therefore.‎ Research on moral attenuation asserts that “Individuals don't “see” the ethical parts of AN ethical call, not such a lot as a result of they're virtuously uneducated, however because its psychological processes deals with ethics from AN moral dilemma.‎”.‎ additionally, it's clear that we tend to aren't forever rational in our actions.‎ the concept that our choices and judgments are not forever colored by aware of reasoning processes is supported by recent analysis on morality, intuition and have an effect on.‎ This philosophical doctrine framework suggests that ethical judgments and interpretations area unit the consequence of automatic and intuitive emotivereactions.‎ Haidt (2001, p.‎ 818), for example, outlined ethical intuition as “the fast appearance in consciousness ofan ethical judgment, as well as AN affective valence (good-bad, like-dislike), with none aware awareness of getting undergone steps of looking out, advisement evidence that ethical judgments area unit (or a minimum of will be) fast and affect-laden instead of including detailed and reflexive reasoning 9
  10. 10. processes.‎ Recent analysis supports these ideas, suggesting that it's not a select few World Health Organization succumb to unethical for its action after that instead, nearly everyone seems to be susceptible to the forces that ultimately lead toquestionable choices and unworthy actions for example there takes the attitude that the majority people concerned, each within and outdoors the business world, apprehend that a spread of behaviors are not acceptable in each the work, the marketplace, and society.‎ Business individuals, particularly, area unit tuned in to applicable, moral decision rules and ethical behaviors and the way they may be promoted (e.‎g.‎, the foundations in a very company’s code of conduct so by other words it Despite for that awareness, thus head-in-the-clouds and unethical behaviors and choices still emerge.‎ By other words In essence, some contexts is also sufficiently compelling for pretty much anyone to interact in unethical behavior.‎ inboundat a a lot of complete understanding of those circumstances ought to change leaders to make a lot of moralorganizations.‎ this is often a basic, 10
  11. 11. foundational plan within the rising field of behavioural ethics. Because of its specialize in the particular behavior of a private (i.e., advocating a descriptive instead of a prescriptive approach), analysis in behavioural ethics mostly attracts from add psychological science. In 1996, Mesick and Tenbrunsel mixed up the intersection of psychological science and business ethics. So entitled successive section of Business Ethics: Integrating psychological science and Ethics, aimed toward the natural action to be gained through its intersection of those 2 fields. By other words its efforts to boost moral higher cognitive process are higher aimed toward understanding our psychological tendencies.” we tend to concur with these authors and propose that psychological science will give an ideal foundation for our understanding of why smart individuals typically will do dangerous things. , the results indicate that folks avoid major lies. additionally, they tended to lie less usually once payoffs were negligible. Thus, the results also indicate that folks avoid minor lies. So These findings 11
  12. 12. counsel that lying is psychologically pricey. After that The authors conclude by discussing variety of neat structure implications of its findings. SOCIAL RESPONSIBILITY Managers face choices that have dimensions of social responsibility. FOR EXAMPLES worker relations, philanthropy after that pricing, then resource conservation moreover product quality and also human rights. 1. The classical read that management’s solely social responsibility is to maximize profits. 2. but The socioeconomic read that management’s social responsibility goes to incorporate protective and improving society’s welfare therefore society currently expects businesses to get entangled in social and legal problems when we build scrutiny the 2 Views. Classicists maintain that the organization’s solely legitimate concern is its stockholders by a lot of Supporting and opposing arguments may be found in 12
  13. 13. regard to an organization’s social responsibility From its Obligations by other words I can say Thus Social obligation happens once a firm engages because of its obligation to satisfy sure economic. So Social responsiveness is seen once a firm engages in social actions by alternative words Social responsibility may be a business’s intention, on the far side its legal and economic obligations. however I found a positive relationship between social involvement and economic performance Another thanks to address this issue is to judge socially aware mutual stock funds. by alternative words These mutual funds give some way for individual investors to support socially accountable firms. These funds generally use social screening applying social criteria to investment its choices therefore the conclusion is that there's very little proof to say that a company’s socially accountable actions can hurt AN organization’s long-run econ omic performance therefore we are able to notice 13
  14. 14. THE GREENING OF MANAGEMENT Recognizing the shut link between AN organization’s choices and activities and its impact on the natural setting is termed the greening of management. world Environmental issues which including many factors such as natural resource depletion, warming, pollution and accidents which acts all challenge business nowadays VALUES WHICH BASED ON MANAGEMENT I can say Values-based management is AN approach to managing within which managers area unit guided by the organization’s shared values in management practices. therefore I notice functions of Shared Values which act as guideposts for social control choices and actions. after that Shared values that serve worker behavior and to communicate between its members at that time Shared company values MANAGERIAL ETHICS 14
  15. 15. The term ethics refers to principles, values, and beliefs that outline what is right and wrong behavior. This section examines the moral dimensions of social control higher cognitive process. Factors That have an effect on worker Ethics Which show the complicated interactions that influence whether someone acts morally or unethically once faced with AN ethical perplexity. After that I show Stages of ethical Development. of ethical development every level has 2 stages. Conclusion organization can define Values which based on management as an approach to managing and make all mangers deal with and establish after that promote its organization after that mangers practice their work and achiev all goals and objectives for any an organization which try to shared its values to get more benefits and collects all advantages for ethicl problems and at same time development and improving its ethical goals in long term times . I can say The third level of the scrupulous level of the individual which makes a transparent effort to outline ethical principles except for the authority of 15
  16. 16. groups to that the person belongs.‎ by other words Individual Characteristics.‎ someone joins an organization with a comparatively entrenched set of values.‎ so theses Values area unit basic convictions concerning what's right and wrong.‎ Ego strength may be a temperament liveof the strength of a person’s convictions.‎ After that Locus of management may be a temperament attribute that measures the degree to which individuals believe they management their own fate.‎ people with an indoor locus of management suppose that they management their destiny with AN external locus of management area unit less seemingly to require personal responsibility for the results of their behavior.‎ by other words I can say that A third issue influencing social control ethics is structural variables.‎ therefore job descriptions or by written codes of ethics, which found performance appraisal systems after that reward systems will powerfully influence moral behavior.‎ The content ANd strength of an organization’s culture influences moral behavior.‎ An structure culture possibly to encourage high moral standards is one that's high in risk tolerance, control, and conflict tolerance.‎ A robust culture exerts a lot of influence on managers than will a weak one and also cultures, work teams and division standards strongly influence moralI conclude that social obligation is the liabilities or the obligation of companies or business to meet its legal responsibilities or their economics liabilities so 16
  17. 17. we can devide these obligation for social responsibility and social responsiveness moreover we can deals with The 1st level is termed preconvention.‎ At this level, the individual’s selection between right or wrong is predicated on personal consequences involved.‎ At the second stage, that is labeled conventional, ethical values which reside in maintaining expected standards by other words it shows living up to expectations of others.‎ References http://www.‎ehow.‎com/info_8173049_ethical-issues-globalization.‎html Adams, J.‎S.‎, A.‎ Taschchian, and T.‎H.‎ Shore (2001).‎ `Codes of ethics as signals for ethical behavior`, Journal of Business Ethics, 29, pp.‎ 199-211.‎ Bersoff, D.‎ M.‎ (1999).‎ `Why good people sometimes do bad things: Motivated reasoning and unethical behavior`, Personality and Social Psychology Bulletin, 25, pp.‎ 28-39.‎ 17
  18. 18. De Cremer, D.‎ (2009).‎ `Being unethical or becoming unethical: An introduction`.‎ In D.‎ De Cremer (Ed.‎), Psychological perspectives on ethical behavior and decision making (pp.‎ 3-13).‎ Greenwich: Information Age Publishing.‎ De Cremer, D.‎ (2010).‎ `On the psychology of preventing and dealing with ethical failures: A behavioral ethics approach`.‎ In M.‎ Schminke (Ed.‎), Managerial ethics.‎ (pp.‎ 111-125).‎ New York: Routledge.‎ Jensen, M.‎ C.‎, and W.‎ H.‎ Meckling (1967).‎ Theory of the firm: Managerial behavior, agency costs and ownership structure.‎ Journal of Financial Economics, 3, 35-360.‎ www.‎globethics.‎net/Business-Ethics http://www.‎slideshare.‎net/ghyj/social-responsibility-and-managerial-ethics-chapter- 5 18

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