What is moral relativism?
Moral relativism is the view that there are no moral standards that are absolutely true for every person and every society.
According to moral relativism, can two cultures disagree and both be right?
Yes.
An action may be considered right in one society and wrong in another society.
According to relativism, both views may be correct within their own cultures.
What advice might a moral relativist give to an international manager?
Follow the moral standards of the society in which the company operates.
This idea is often expressed as:
“When in Rome, do as the Romans do.”
What is a major objection to moral relativism?
Cultural disagreement does not automatically prove that there is no objective moral truth.
Two societies may have different practices but still share the same deeper moral value
How can different practices be based on the same moral standard?
Societies may share the same goal but have different beliefs about how to achieve it.
Example: Two societies may both value the well-being of older people but respond differently because they have different resources or living conditions.
What other objections can be made against moral relativism?
Some moral standards appear in almost all societies.
Relativism can produce unreasonable consequences.
It can make it difficult to criticize harmful cultural practices.
Cultural differences may hide deeper moral similarities.
What is business ethics?
Business ethics is the study of moral right and wrong in:
Business organizations
Business institutions
Company policies
Workplace behaviour
Business decisions
Why can business activities be judged morally?
Business is a form of human activity.
Because business decisions affect people, society and the environment, they can be evaluated as morally right or wrong.
What is the aim of business ethics?
Business ethics does not aim to reject all business practices or protect everything companies already do.
Its aim is to:
Change unethical practices and structures
Protect practices and structures that are morally acceptable
What are the three types of ethical issues in business?
Systemic issues
Corporate issues
Individual issues
What is a systemic ethical issue?
A systemic issue concerns the larger political, legal, social or economic system in which companies operate.
Example: Should a country introduce stricter environmental laws?
What is a corporate ethical issue?
A corporate issue concerns one company’s:
Policies
Culture
Actions
Working conditions
Effects on stakeholders
Example: Should a company introduce measures to prevent discrimination?
What is an individual ethical issue?
An individual issue concerns one person’s:
Decision
Behaviour
Responsibilities
Character
Example: Should an auditor approve accounting information that they know is misleading?
A company sells a car that failed a safety test. What type of ethical issue is this?
Corporate issue
The decision was made by the company and concerns its product and policies.
Companies fix prices because the country has no competition law. What type of issue is this?
Systemic issue
The problem is connected to the country’s economic and legal system.
A manager personally approves a dishonest report. What type of issue is this?
Individual issue
It concerns the manager’s personal decision and responsibility.
Why do companies sometimes behave unethically?
Companies do not always act unethically because they want to cause harm.
Often they focus strongly on profit and ignore the negative consequences of their actions.
Can profit and ethics exist together?
Business ethics does not say that earning profit is wrong. It says that profit should be earned without unfairly harming customers, employees or society.
Why does business need ethics?
Business needs ethics because:
Business decisions affect people.
Customers and employees care about ethical behaviour.
Trust is necessary for business relationships.
Companies cannot survive for long without cooperation and trust.
Ethical behaviour can support long-term success.
Is following the law enough to make a company ethical?
No. The law provides minimum rules, but ethics may require companies to do more.
An action can be:
Legal but unethical
Illegal and unethical
Legal and ethical
Give an example of something that may be legal but unethical.
A company may legally pay extremely low wages in a country with weak labour laws.
However, the practice may still be unethical if workers are exploited.
What is the central question of business ethics?
The central question is:
How should businesses and businesspeople act when their decisions affect other people?
Business ethics studies whether the decisions, actions and structures of businesses are morally reasonable, fair and responsible.
Last changed17 days ago