2. Ethics Principles
Deontological
~distinguishing right from wrong
Teleontological
~only outcomes matter in deciding
whether it is right or wrong
Utilitarianism
~distinguishing right from good
(where “right” covers actions that maximize the good)
3. Ethics Principles
Ethical Relativism
~no universally valid moral principles
Ethical Objectivism
~moral principles vary from different
countries, but some still have similarity
4. Corporate Behavior
involves legal rules,
ethical codes of
conduct, and social
responsibility
principles.
affects economy
plays a large role for
company success
gives the corporation
sustainability
long-term survival in
the corporate world
6. Increasing Importance
Carroll(1979):“ the social responsibility of business
encompasses the economic, legal, ethical, and
discretionary expectations that society has of
organizations at a given point in time”
Whetten et al.(2002):“societal expectations of
corporate behavior; a behavior that is alleged by a
stakeholder to be expected by society or morally
required and is therefore, justifiably demanded of a
business”
8. Corporate Reputation
Most significant factor in gaining
competitive advantage
Benefits:
Improves Shareholder Value
Improves confidence in investors
Increased customer loyalty
Attracts partnerships and strategic alliances
Shields company from criticism
9. Conclusion
Ethics in decisionmaking processes
ensures a more
effective, productive, an
d profitable utilization
of economic resources
Corporate Social
Responsibility
indicates concern with
social and
environmental effects of
organizational behavior
Corporate Behavior
affects responsible and
proper economic and
institutional
improvement
an influence to society
and a common benefit
Crowther, D., & Aras, G. (2008). Corporate Social Responsibility. Copenhagen:
Ventus Publishing.