This presentation digs into the questions: How can world religions inform business ethics and are religious countries better places for business ethics?

1. RELIGION AND BUSINESS
ETHICS
Business ethics through the lens of Buddism,
Christianity, Islam, Judaism and Hinduism: between
theology and practice
How can world religions inform business ethics and
are more religious countries better places for
business ethics?
Huub Ruël
Professor of International
Business & Diplomacy –
Global Talent Management
Hotelschool The Hague
The Netherlands
h.ruel@Hotelschool.nl

2. BUSINESS ETHICS IN TODAY’S GLOBAL ECONOMY:
ROUGH TIMES?

4. THE STORY LINE TO SHARE
 Intro: business ethics in today’s global economy: rough times?
 Research questions:
How can world religions inform business ethics and are more
religious countries better places for business ethics?
 The religious sources of world religions for business ethics
 World religions’ views on business ethics
 Business ethics in practice
 World religions and business ethics – any chance to make a
difference?

5. BUT FIRST: WHAT ARE BUSINESS ETHICS?
 Business ethics, therefore, is the study of good and evil, right and wrong, and just and unjust
actions in business. In general, ethical traditions that apply to business favor truth telling,
honesty, protection of human and animal life and rights, respect of law, and operation in
accord with policies adopted by society to achieve justice for all.
 Some of these touchstones go back thousands of years. Other ethical standards, such as the
principle that a corporation is responsible for worker safety and health, have emerged only
recently.
 These ethical values in business are considered to come from four major sources: religion,
philosophy, culture, and law
 Source: Steiner, J. F., & Steiner, G. A. (1994). Business, government, and society: a managerial perspective: text and cases.
McGraw-Hill.

6. SOURCES FOR BUSINESS ETHICS IN
WORLD RELIGIONS
Buddism Christianity Islam Hinduism Judaism
Religious
sources of
world
religions
The ancient
Sutras
divided into
Nikayas
or Agamas.
All part of the
Tripitakas
Old & New
Testament of
the Bible.
The Quran
and the
Hadith (life
and sayings of
the Prophet
Mohammed
The Bhagavad
Gita ("The
Song of God.
In short: the
Gita: a 700
verse in
Sanskrit scrip
ture (500-200
BCE)
Thora &
Talmud
(consisting of
Mishnah and
Gemara)

7. BUDDISM AND BUSINESS ETHICS

8. BUDDHISM AND BUSINESS ETHICS
 For a Buddhist, ethics is an integral part of the whole practice of
achieving full Buddhahood.
 "Good" or "right" actions are defined as behaviors that are
beneficial toward realization of enlightenment.
 "Bad" or "wrong“ actions are defined as behaviors that are
harmful to the practice of becoming a Buddha
 Source: Chang, O. (2003). Humanistic Buddhism and business ethics. Hsi Journal of
Humanistic Buddhism, 4, 181-188.

9. BUDDHISM AND BUSINESS ETHICS
Six principles derived from Buddism for business ethics (Chang, 2003)
 Business is a vehicle for the deliverance of self and other sentient beings.
 The purpose of business should be "fair profit"--fair in the sense that it allows
the business, as well as all its stakeholders, a chance to grow and prosper.
 Business should be operated in a friendly way to the environment. Nature is
the origin of all beings and non-beings.
 Business should be a place of equal opportunity. Equality is one of the most
important principles in Humanistic Buddhism.
 Business should be a place to practice all the bodhisattva virtues of loving
kindness, compassion, respect, giving, loyalty, empathy, and caring.
 Business should be held accountable for continuous improvement. The path
to enlightenment is a continuous process of self-renewal

10. CHRISTIANITY AND BUSINESS ETHICS

11. CHRISTIANITY AND BUSINESS ETHICS
SOURCE: QUDDUS, M., BAILEY III, H., & WHITE, L. R. (2009). BUSINESS ETHICS: PERSPECTIVES FROM JUDAIC,
CHRISTIAN, AND ISLAMIC SCRIPTURES. JOURNAL OF MANAGEMENT, SPIRITUALITY AND RELIGION, 6(4), 323-334.
 ..the Ten Commendments do not directly address issues of work, their moral dimension has various
implications for the business world. The spiritual message, if understood properly, has a powerful
impact on people (Quddus et al. 2009)
 The following examples arise inspired by the Ten Commendments:
• negotiated settlement for solving business problems is a virtue;
• compromise, listening and understanding partners’ views facilitate business relations;
• contracts and agreements among partners shall be observed and shall not be nullified
except by mutual agreement;
• violation of an agreement is a sin and causes an unhealthy business environment; fairness
and due process are expected;
• tolerance for autocratic style is essential for the continuity of an organization; conflict may
have negative consequences;
• evolution rather than revolution is the right path for survival and growth;
• a friendly environment and harmonious relations in the work place are essential for
organizational existence and development.

12. CHRISTIANITY AND BUSINESS ETHICS
Business ethics foci:
 Bribery (Acts 8:17-22; Acts 24:24–26): bribery is considered highly
unethical in the Christian tradition, even in cases in which it would
not be used for competitive advantage.
 Fraud and cheating (Romans 16: 17–18; Ephesians 4:48): “the
Christian scriptures soundly condemn fraud, deception and theft”
 Discrimination (James 2:2–4, 8–9; Romans 3:10–12): “discrimination
cannot be justified by referenceto Christian scriptures”
 Employee compensation (James 5:4) “Failure to pay those hired for
a task is abhorred”
Source: Ali, A. J., & Gibbs, M. (1998). Foundation of business ethics in contemporary religious thought: The
Ten Commandment perspective. International Journal of Social Economics.

13. ISLAM AND BUSINESS ETHICS

14. ISLAM AND BUSINESS ETHICS
SOURCE: QUDDUS, M., BAILEY III, H., & WHITE, L. R. (2009). BUSINESS ETHICS: PERSPECTIVES FROM JUDAIC,
CHRISTIAN, AND ISLAMIC SCRIPTURES. JOURNAL OF MANAGEMENT, SPIRITUALITY AND RELIGION, 6(4), 323-334.
“Islamic Ten Commendments have a central place in Islamic
teaching and were often emphasized in the Prophet Mohammed’s
sayings. The most significant part of the Islamic Ten
Commendments, that set them apart from the other Ten
Commendments, is the emphasis on business conduct and day-to-
day dealing”.

15. ISLAM AND BUSINESS ETHICS
SOURCE: QUDDUS, M., BAILEY III, H., & WHITE, L. R. (2009). BUSINESS ETHICS: PERSPECTIVES FROM JUDAIC,
CHRISTIAN, AND ISLAMIC SCRIPTURES. JOURNAL OF MANAGEMENT, SPIRITUALITY AND RELIGION, 6(4), 323-334.
Implications of the Islam Ten Commendments (Quddus et al. 2009):
• Unity of direction;
• Differentiating products and services are essential for business conduct;
• A respect for competent and accepted authority;
• Senior employees should be treated with dignity;
• Subsidiaries should observe the parent company instructions;
• Spin offs should be done in a way that does not cause chaos;
• Business should not engage in price wars to drive others out of business;
• Employee layoffs and downsizing should be considered as a last resort to maintain business
survival and should not be done for the purpose of increasing profit;
• Codes of ethics and moral standards in corporations should be applicable to everyone;
• Promotional materials that are indecent and may inflict emotional distress on people should
be avoided;
• Respect for human dignity in the workplace;
• Treat employees grievances seriously and fairly;
• Justices and equity are virtuous.

16. ISLAM AND BUSINESS ETHICS
Business ethics foci:
 Bribery (Abu-Dawud, Book 24, Number 3573): “There seems to be a great deal of
consistency in the condemnation of bribery as an unethical and immoral
practice” (Ali & Gibbs, 1998, p. 326)
 Fraud and cheating (Quran 11:85; Quran 33:70): “honest dealings in commerce
and business transactions have been greatly emphasized in Islamic scriptures and
teachings. Fraud and cheating are soundly condemned”
 Discrimination (Quran 4:16; 49:13): “quotations from the scriptures are informative
in that they uniformly speak against discrimination”
 Employee compensation (Hadith 3, Book 46, No. 721:Hadith Vol. 3, Book 34, No.
430): “These admonitions from the Prophet make it particularly clear that the
workers are to be paid a fair wage relative to their employer”.
Source: Ali, A. J., & Gibbs, M. (1998). Foundation of business ethics in contemporary religious thought: The Ten
Commandment perspective. International Journal of Social Economics.

17. HINDUISM AND BUSINESS ETHICS

18. HINDUISM AND BUSINESS ETHICS
SOURCE: GRĂDINARU, A., & IAVORSCHI, M. (2013). THE HINDU ECONOMIC SYSTEM. HUMAN &
SOCIAL STUDIES. RESEARCH AND PRACTICE, 2(2), 41-58.
DUNN, S. L., & JENSEN, J. D. (2019). HINDUISM AND HINDU BUSINESS PRACTICES. INTERNATIONAL
JOURNAL OF BUSINESS ADMINISTRATION, 10(1), 33-48.
 One early writer with much influence to this day was the
politician and economist Kautilya Arthashastra (300 BCE)
 Arthashastra laid down many principles that influence today‟s
business and political practices.
 “Among Arthashastra‟s other principles included monopolies
were to be discouraged; prices and profits were to be kept fair;
there should be a tax system which would have reasonable rates,
should be inexpensive it its administration, and does not
negatively impact economic growth; and there should be high
taxation on luxury goods. Another principle maintained that
laborers should be given fair wages, depending on their skills and
productivity.” (Dunn & Jensen, 2019, p. 40)

19. HINDUISM AND BUSINESS ETHICS
SOURCE: DUNN, S. L., & JENSEN, J. D. (2019). HINDUISM AND HINDU BUSINESS
PRACTICES. INTERNATIONAL JOURNAL OF BUSINESS ADMINISTRATION, 10(1), 33-48.
“The five restraints (truthfulness, not to steal, non-violence, sexual
moderation, non-possession) and the five observances (surrendering to
god, satisfaction, purity, austerity, self-knowledge) of Hinduism inform
the practice of business (Ramakrishna, n.d.). “
The Gita also considers that the person and the person‟s job should be
aligned.
Business managers must discern the skills and abilities of each worker
and assign that worker to a job the worker can handle. Workers so
assigned must work with a good attitude. Managers and workers must
practice the seven duties of “forgiveness, self-control, non-stealing,
steadiness, truthfulness, wisdom, and learning” (Chattopadhyay, 2012, p. 117).
Business governance must exhibit the five basic human values of
peace, love, truth, righteousness, and good conduct. Leaders of
businesses must know him or herself, and must manage him or herself
before managing other people. (Dunn & Jensen, 2019, p. 41)

20. JUDAISM AND BUSINESS ETHICS

21. JUDAISM AND BUSINESS ETHICS
SOURCE: ALI, A. J., & GIBBS, M. (1998). FOUNDATION OF BUSINESS ETHICS IN CONTEMPORARY
RELIGIOUS THOUGHT: THE TEN COMMANDMENT PERSPECTIVE. INTERNATIONAL JOURNAL OF
SOCIAL ECONOMICS.
“The Ten Commendments in the Old Testament are a reflection, at
that time, of prevailing tribalistic principles, [but] they, and rightly,
can set the foundation for business conduct. Their moral message is
timeless and their utility as a standard of conduct has several
implications.”

22. JUDAISM AND BUSINESS ETHICS
SOURCE: ALI, A. J., & GIBBS, M. (1998). FOUNDATION OF BUSINESS ETHICS IN CONTEMPORARY RELIGIOUS
THOUGHT: THE TEN COMMANDMENT PERSPECTIVE. INTERNATIONAL JOURNAL OF SOCIAL ECONOMICS.
Implications of the Jewish Ten Commendments (Quddus et al.
2009):
 Loyalty to authority, emphasis on appearance and the value of good impressions;
 Emphasis of literal meaning, on contractual agreements, the role of promotion
and advertising in enhancing product differentiation and competitive position;
 Setting specific time for work; encouragement of active promotion and
stimulation during the work day;
 Identifying various programs and activities to be pursued just before the Sabbath,
designing products for the benefit of parents;
 Promoting respect for seniority in an organization;
 Promoting honesty as a virtue;
 Promoting conflict resolution in a frank and businesslike environment;
 Treating partnerships as necessary for business growth;
 Promoting a commitment to customers, suppliers and partners; and engaging in
activities that strengthen community linkage.

23. JUDAISM AND BUSINESS ETHICS
SOURCE: QUDDUS, M., BAILEY III, H., & WHITE, L. R. (2009). BUSINESS ETHICS: PERSPECTIVES FROM
JUDAIC, CHRISTIAN, AND ISLAMIC SCRIPTURES. JOURNAL OF MANAGEMENT, SPIRITUALITY AND
RELIGION, 6(4), 323-334.
Business ethics foci:
 Bribery (Psalms 26:9–10; Exodus 23:8): “bribery is strongly discouraged
in Judaism and is looked down upon. It is seen as perverting justice.”
 Fraud and cheating (Leviticus 19:11; Leviticus 19:35–36; Proverbs
11:1): “fraud and cheating are abhorrent in the Jewish religious
tradition. Those who practice such things are promised punishment
from the Lord”.
 Discrimination (Exodus 23:9; Leviticus 19:15): “Jewish scriptures
generally do not support discrimination”
 Employee compensation (Leviticus 19:13; Deuteronomy 24:14–15):
“in these passages we see a requirement for employees to be paid
promptly for their work in Jewish scripture”

24. WORD RELIGIONS AND BUSINESS ETHICS IN
PRACTICE

25. RELIGIOUS INTENSITY INDEX
The most
religious
countries are in
Africa, Middle
East, South
Asia, Latin
America

26. CORRUPTION PERCEPTION INDEX 2019
The most
corrupt
countries are in
Africa, Middle
East, Asia and
Latin America

27. GLOBAL RIGHTS INDEX 2019
Countries with
workers’ rights
violations
predominantly
can be found
in Africa,
Middle East,
Asia, the
United States
and Latin
America

28. INEQUALITY INDEX 2018
Wealth and
income
inequality is the
highest in
countries in
Africa, Middle
East, South Asia
and Latin
America

29. HUMAN DEVELOPMENT INDEX 2018
Human
development is
the lowest in
countries in
Africa, Middle
East, South Asia
and Latin
America

30. CONCLUSIONS
 All major world religions’s sources provide clear inputs or have
clear references to business ethics
 All major world religions support adherence to business ethics
which ‘boils’ down to: fairness, justice, fair wages, no theft, no
discrimination, no bribery, no fraud.
 In practice: corruption is widespread, human development the
lowest, workers’ rights violations the highest and wealth
distribution the most unequal especially in countries where
people express that religion is important in their daily lifes: Africa,
Middle East, Asia and Latin America.
 Explanations? Poverty, Education, Institutional development,
Autocracy/democracy, Types of capitalism, Culture, Religion?

31. CONCLUSIONS
 The interfaith declaration on business ethics
 Released in 1994, “An Interfaith Declaration: A Code of Ethics on
International Business for Christians, Muslims, and Jews” is
comprised of two parts: principles and guidelines.
 The four principles (justice, mutual respect/love, stewardship and
honesty) are described predominantly in religious terms, devoid
of any connection to business.
 In contrast, the guidelines invoke the principles in their ethical
sense, devoid of any religious connotation.

32. REFERENCES:
 Ali, A. J., & Gibbs, M. (1998). Foundation of
business ethics in contemporary religious
thought: The Ten Commandment
perspective. International Journal of Social
Economics.
 Chang, O. (2003). Humanistic Buddhism and
business ethics. Hsi Journal of Humanistic
Buddhism, 4, 181-188.
 Quddus, M., Bailey III, H., & White, L. R. (2009).
Business ethics: perspectives from Judaic,
Christian, and Islamic scriptures. Journal of
Management, Spirituality and Religion, 6(4),
323-334.
 Grădinaru, A., & Iavorschi, M. (2013). The Hindu
Economic System. Human & Social Studies.
Research and Practice, 2(2), 41-58.
 Steiner, J. F., & Steiner, G. A. (1994). Business,
government, and society: a managerial
perspective: text and cases. McGraw-Hill