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The Philosophical 
Background of Business 
Ethics 
“ Without moral perception, man is 
only an animal. without morality, 
man as a rational being is a failure.” 
- Ramon B. Agapay
Introduction 
Business Ethics as an applied branch of 
General Ethics must be studied from the 
perspective of Philosophy. This is because 
Ethics is a part of moral principles, you will 
not know Ethics without being 
philosophical.
Ethics and Philosophy 
Philosophy, etymologically came from two 
Greek words philos, which means love and 
sophia, means wisdom. (Love of Wisdom) 
Hence, a philosopher is one who loves 
wisdom. 
As a science, philosophy is interested with 
the meaning of reality including our 
human experiences. It is a science that 
seeks to explain the ultimate cause of 
everything by the use of human reason 
alone.
Ethics and Philosophy 
Ethics is philosophical science that studies 
the morality of human act. As a science, 
Ethics is concerned with the analysis of the 
nature of the human conduct from the 
point of view of morality. 
The two contradictory Principles 
1. Man believes that there are certain things 
that he should not do to anyone. 
2. Man believes that values are subjective and 
incapable of being disputed.
Divisions of Philosophy 
1. Theoretical Philosophy – studies the 
truth to be known, e.g. God, 
immortality of the soul, origin of the 
universe. 
2. Practical Philosophy – studies truths to 
be acted upon, e.g. ethics, 
axiology(study of vales, goodness etc.), 
semantics(relation between words, 
phases, signs & symbols), etc.
Divisions of Philosophy 
PHILOSOPHY 
THEORETICA 
L 
PRACTICAL 
Cosmology 
Origin of universe 
Ontology 
The theory of being 
Metaphysics 
Meta (beyond) physikon 
(nature) 
Psychology 
Human/animal behavior 
Theodicy 
God on logical 
abstraction 
Epistemology 
Theory of knowledge 
Semantics 
Words and its linguistic 
forms 
Axiology 
Discourse of value 
judgment 
Aesthetics 
Principles of beauty and 
art 
Logic 
Reasoning to establish 
truth 
Ethics 
From Greek word “ethos” 
means “Characteristic way of 
acting” which is proper to as a 
rational being.
Ethics and Morality 
Morality 
refers to the quality of goodness or 
badness in a human act. Good is described 
as moral and bad as immoral. It means 
conformity to the rules of right conduct. 
Ethics 
refer to the formal study of those 
standards and conduct. It is also often 
called “ moral philosophy”.
Ethics as a Normative Science 
Ethics is considered a Normative 
Science because it is concerned with the 
systematic study of the norms of human 
conduct, as distinguished from formal 
sciences such as Mathematics, chemistry 
physics etc.. 
Ethics is a normative science because it 
involves a systematic search for moral 
principles and norms that are justify our 
moral judgments.
Three Categories of General Ethics
Three Categories of General Ethics 
Descriptive ethics maintains objectivity in 
studying human behavior but it does not 
provide a clear standard of morality. It 
simply describes how people act and does 
not prescribe how people should act.
Three Categories of General Ethics 
Involves moral judgment based on ethical 
norm or theory. This consists both the basic 
moral principles and values and the 
particular moral rules that govern people’s 
behavior, which is right or moral and wrong 
or immoral.
Three Categories of General Ethics 
It does not describe moral beliefs of people, 
does not evaluate the process of moral 
reasoning, but simply analyzes the usage 
and meaning of words.
The Problem of Ethical Relativism and 
Situation Ethics 
Ethical Relativism 
Ethical relativism claims that when any two 
cultures or any people hold different moral 
values of an action, both can be right. An 
action may be right for one person or society 
and the same action taken in the same way 
may be wrong for another reason, and yet, 
both persons are equally correct.
The Problem of Ethical Relativism and 
Situation Ethics 
Approaches to Moral Differences 
Approaches to Moral Differences 
There is no Moral Truth 
There is no Universal Truth 
Deep down, we can find basic Moral 
Truth 
There is One Universal Moral truth
The Problem of Ethical Relativism and 
Situation Ethics 
Approaches to Moral Differences 
There is no Moral Truth 
There is no ultimate right or wrong. 
Moral views differ from one person to 
another. This results to a subjective 
morality, in which case, what is good 
for one person may be bad for another.
The Problem of Ethical Relativism and 
Situation Ethics 
Approaches to Moral Differences 
There is no Universal Truth 
Each Culture has its own set of rules that 
are valid for that culture, and we have no 
right to interfere, just as they have no 
right to interfere with our rules. This 
ethical paradigm maintains that there are 
moral truths that exist but these truths are 
relative and dependent on cultures and 
beliefs of people.
The Problem of Ethical Relativism and 
Situation Ethics 
Approaches to Moral Differences 
Deep down, we can find basic Moral 
Truth 
Despite differences, people of different 
cultures can still agree on a certain moral 
basics. There are some common ground 
on basic moral principles. This is called 
“Soft Universalism”
The Problem of Ethical Relativism and 
Situation Ethics 
Approaches to Moral Differences 
There is One Universal Moral truth 
This view is also known as hard universalism 
or moral absolutism. This moral paradigm 
maintains that there is only one universal 
moral code that everybody must follow. 
Because this moral code is universal and 
objective, moral problems, and moral 
conflicts can be solved through proper 
moral reasoning.
Deontological vs. Teleological Approaches 
To Ethical Evaluation of the Human Conduct 
A 
C 
T 
I 
O 
N 
Motives/Intentions 
End of the actor 
Means/Action itself 
End of the Act 
Consequences/Resul 
t, 
Probable and actual 
Non - 
Consequentialist 
Consequentialist
Deontological vs. Teleological Approaches 
To Ethical Evaluation of the Human Conduct 
Deontological Ethics 
Also known as non-consequentialist 
approach is a body of ethical theories 
that measures and evaluates the nature 
of a moral act based on the validity of 
the motive of an act. This means that if 
the motive or intention of the act is 
good, then regardless of the 
consequences, the whole action is good.
Deontological vs. Teleological Approaches 
To Ethical Evaluation of the Human Conduct 
Teleological Ethics 
Came from the Greek word “tele” which 
means far or remote. Known also as 
Consequentialist theory measures the 
morality of an action based on its 
consequences and not on the motive or 
intention of the actor. If the consequence 
is good, regardless what motive is, the 
act is always morally good.
The “Moral Sense” in us 
The main difference between man and 
animal is that man has a moral perception. 
Man has a natural insight to morality, this 
being a gift of the Creator who gave man a 
”Moral Sense”
The “Moral Sense” in us 
The Synderesis of Man according to 
St. Thomas Aquinas (1225-1274) 
This Italian philosopher, 
theologian, and priest is 
sometimes called the Prince 
of Scholastics. He died at 
the age of 49 and 49n years 
later he was canonized as 
the Angelic Doctor of the 
Church.
The “Moral Sense” in us 
The Synderesis of Man according to 
St. Thomas Aquinas (1225-1274) 
According to Aquinas, the moral sense in man is 
manifested and expressed in the three different ways: 
1. Man is able to distinguish or to know what 
is good and what is bad. 
2. Man is always obligated to do good and 
avoid evil. 
3. Man knows that he is accountable for his 
actions-good or bad.
The “Moral Sense” in us 
Sigismund Schlomo Freud (1856- 
1953) Theory of the ID, EGO, and 
the SUPEREGO 
He was the Founding Father of 
Psychoanalysis, which is a major 
school of psychology. His key 
points psychoanalytical theory 
are the following: 
1. Man must learn to control inborn 
desires. 
2. Man must achieve fulfillment in 
ways that are harmonious with 
others.
The “Moral Sense” in us 
Sigismund Schlomo Freud (1856- 
1953) Theory of the ID, EGO, and 
the SUPEREGO 
Superego – has elements in common with both 
reason and will power. It basically reflects social 
rules and values of the society that govern our 
behavior. 
Ego – is the rational self or the conscious self. It is 
part reason (intellect) but also part will power. It 
is under constant pressure to fight off the 
pleasure - seeking desires of the Id.
The “Moral Sense” in us 
Sigismund Schlomo Freud (1856- 
1953) Theory of the ID, EGO, and 
the SUPEREGO 
Id – is the irrational part in us or the unconscious 
instincts, such as sex and aggression. 
For Freud, a healthy personality is a person 
who has an ego that does an effective job of 
coping with the urges of the Id and the 
restrictions of the Superego.
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Ethics & company philosphies- businesss ethics

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  • 3. The Philosophical Background of Business Ethics “ Without moral perception, man is only an animal. without morality, man as a rational being is a failure.” - Ramon B. Agapay
  • 4. Introduction Business Ethics as an applied branch of General Ethics must be studied from the perspective of Philosophy. This is because Ethics is a part of moral principles, you will not know Ethics without being philosophical.
  • 5. Ethics and Philosophy Philosophy, etymologically came from two Greek words philos, which means love and sophia, means wisdom. (Love of Wisdom) Hence, a philosopher is one who loves wisdom. As a science, philosophy is interested with the meaning of reality including our human experiences. It is a science that seeks to explain the ultimate cause of everything by the use of human reason alone.
  • 6. Ethics and Philosophy Ethics is philosophical science that studies the morality of human act. As a science, Ethics is concerned with the analysis of the nature of the human conduct from the point of view of morality. The two contradictory Principles 1. Man believes that there are certain things that he should not do to anyone. 2. Man believes that values are subjective and incapable of being disputed.
  • 7. Divisions of Philosophy 1. Theoretical Philosophy – studies the truth to be known, e.g. God, immortality of the soul, origin of the universe. 2. Practical Philosophy – studies truths to be acted upon, e.g. ethics, axiology(study of vales, goodness etc.), semantics(relation between words, phases, signs & symbols), etc.
  • 8. Divisions of Philosophy PHILOSOPHY THEORETICA L PRACTICAL Cosmology Origin of universe Ontology The theory of being Metaphysics Meta (beyond) physikon (nature) Psychology Human/animal behavior Theodicy God on logical abstraction Epistemology Theory of knowledge Semantics Words and its linguistic forms Axiology Discourse of value judgment Aesthetics Principles of beauty and art Logic Reasoning to establish truth Ethics From Greek word “ethos” means “Characteristic way of acting” which is proper to as a rational being.
  • 9. Ethics and Morality Morality refers to the quality of goodness or badness in a human act. Good is described as moral and bad as immoral. It means conformity to the rules of right conduct. Ethics refer to the formal study of those standards and conduct. It is also often called “ moral philosophy”.
  • 10. Ethics as a Normative Science Ethics is considered a Normative Science because it is concerned with the systematic study of the norms of human conduct, as distinguished from formal sciences such as Mathematics, chemistry physics etc.. Ethics is a normative science because it involves a systematic search for moral principles and norms that are justify our moral judgments.
  • 11. Three Categories of General Ethics
  • 12. Three Categories of General Ethics Descriptive ethics maintains objectivity in studying human behavior but it does not provide a clear standard of morality. It simply describes how people act and does not prescribe how people should act.
  • 13. Three Categories of General Ethics Involves moral judgment based on ethical norm or theory. This consists both the basic moral principles and values and the particular moral rules that govern people’s behavior, which is right or moral and wrong or immoral.
  • 14. Three Categories of General Ethics It does not describe moral beliefs of people, does not evaluate the process of moral reasoning, but simply analyzes the usage and meaning of words.
  • 15. The Problem of Ethical Relativism and Situation Ethics Ethical Relativism Ethical relativism claims that when any two cultures or any people hold different moral values of an action, both can be right. An action may be right for one person or society and the same action taken in the same way may be wrong for another reason, and yet, both persons are equally correct.
  • 16. The Problem of Ethical Relativism and Situation Ethics Approaches to Moral Differences Approaches to Moral Differences There is no Moral Truth There is no Universal Truth Deep down, we can find basic Moral Truth There is One Universal Moral truth
  • 17. The Problem of Ethical Relativism and Situation Ethics Approaches to Moral Differences There is no Moral Truth There is no ultimate right or wrong. Moral views differ from one person to another. This results to a subjective morality, in which case, what is good for one person may be bad for another.
  • 18. The Problem of Ethical Relativism and Situation Ethics Approaches to Moral Differences There is no Universal Truth Each Culture has its own set of rules that are valid for that culture, and we have no right to interfere, just as they have no right to interfere with our rules. This ethical paradigm maintains that there are moral truths that exist but these truths are relative and dependent on cultures and beliefs of people.
  • 19. The Problem of Ethical Relativism and Situation Ethics Approaches to Moral Differences Deep down, we can find basic Moral Truth Despite differences, people of different cultures can still agree on a certain moral basics. There are some common ground on basic moral principles. This is called “Soft Universalism”
  • 20. The Problem of Ethical Relativism and Situation Ethics Approaches to Moral Differences There is One Universal Moral truth This view is also known as hard universalism or moral absolutism. This moral paradigm maintains that there is only one universal moral code that everybody must follow. Because this moral code is universal and objective, moral problems, and moral conflicts can be solved through proper moral reasoning.
  • 21. Deontological vs. Teleological Approaches To Ethical Evaluation of the Human Conduct A C T I O N Motives/Intentions End of the actor Means/Action itself End of the Act Consequences/Resul t, Probable and actual Non - Consequentialist Consequentialist
  • 22. Deontological vs. Teleological Approaches To Ethical Evaluation of the Human Conduct Deontological Ethics Also known as non-consequentialist approach is a body of ethical theories that measures and evaluates the nature of a moral act based on the validity of the motive of an act. This means that if the motive or intention of the act is good, then regardless of the consequences, the whole action is good.
  • 23. Deontological vs. Teleological Approaches To Ethical Evaluation of the Human Conduct Teleological Ethics Came from the Greek word “tele” which means far or remote. Known also as Consequentialist theory measures the morality of an action based on its consequences and not on the motive or intention of the actor. If the consequence is good, regardless what motive is, the act is always morally good.
  • 24. The “Moral Sense” in us The main difference between man and animal is that man has a moral perception. Man has a natural insight to morality, this being a gift of the Creator who gave man a ”Moral Sense”
  • 25. The “Moral Sense” in us The Synderesis of Man according to St. Thomas Aquinas (1225-1274) This Italian philosopher, theologian, and priest is sometimes called the Prince of Scholastics. He died at the age of 49 and 49n years later he was canonized as the Angelic Doctor of the Church.
  • 26. The “Moral Sense” in us The Synderesis of Man according to St. Thomas Aquinas (1225-1274) According to Aquinas, the moral sense in man is manifested and expressed in the three different ways: 1. Man is able to distinguish or to know what is good and what is bad. 2. Man is always obligated to do good and avoid evil. 3. Man knows that he is accountable for his actions-good or bad.
  • 27. The “Moral Sense” in us Sigismund Schlomo Freud (1856- 1953) Theory of the ID, EGO, and the SUPEREGO He was the Founding Father of Psychoanalysis, which is a major school of psychology. His key points psychoanalytical theory are the following: 1. Man must learn to control inborn desires. 2. Man must achieve fulfillment in ways that are harmonious with others.
  • 28. The “Moral Sense” in us Sigismund Schlomo Freud (1856- 1953) Theory of the ID, EGO, and the SUPEREGO Superego – has elements in common with both reason and will power. It basically reflects social rules and values of the society that govern our behavior. Ego – is the rational self or the conscious self. It is part reason (intellect) but also part will power. It is under constant pressure to fight off the pleasure - seeking desires of the Id.
  • 29. The “Moral Sense” in us Sigismund Schlomo Freud (1856- 1953) Theory of the ID, EGO, and the SUPEREGO Id – is the irrational part in us or the unconscious instincts, such as sex and aggression. For Freud, a healthy personality is a person who has an ego that does an effective job of coping with the urges of the Id and the restrictions of the Superego.