Chapter 1 Objectives

How Ethical Is American Business?

More Common Examples of Ethics Issues Found in Business

What About the Rest of the World?

Ethics vs. Morals?

Ethical Problems, Temptations, Dilemmas, and Issues

What Is Ethics? What ISN’T Ethics?

What’s the Point of Ethics Education?

Conclusion

Test Yourself

Assignment 1.1: Good Business, Bad Business

Assignment 1.2: Your Situations

Assignment 1.3: Main Messages

Chapter 2 Objectives

Capitalism: It Was a Theory Before It Became a Religion

Is There Room for Ethics in Capitalist Economies?

Modern Economists: Just Ask the Right Question

What We Learn About Ethics from Agent-Principal Relations

Organizations and Their Leaders in Capitalist Economies

Test Yourself

Assignment 2.1: Ideas About Capitalism

Assignment 2.2: Translating Adam Smith

Assignment 2.3: Game Theory

Assignment 2.4: “Greed” with John Stossel

Chapter 3 Objectives

Stakeholders

The Traditional and New Stakeholder Models

Stakeholder Interests

Primary/Secondary, Internal/External, Voluntary/Involuntary….Stakeholders

Stakeholder Salience: What Managers Really See

When Stakeholders Go Bad

Stakeholder Engagement

The Clarkson Principles

Issues Management and Public Affairs

Expectational Gaps

Types of Expectational Gaps

Two Additional Factors

The Issue Life Cycle

How to Identify Expectational Gaps

Issues Analysis

Response Development

Corporate Social Responsibility and Performance

CSR and The Friedman Challenge

Three Models of Corporate Social Responsibility and Performance

Connecting the Dots

Test Yourself

Assignment 3.1: Companies Speak on Their Stakeholders

Assignment 3.2: Convince Yourself

Assignment 3.3: Values in the Clarkson Principles

Assignment 3.4: Tracking an Issue Life Cycle

Assignment 3.5: Discover Friedman’s Argument

Chapter 4 Objectives

Government as a Form of Social Control

Public Policy at Home

Efficiency Failures

Externalities

Equity Failures

Regulation in U.S. History

Legal Foundations of Regulation

Early Regulation

The Great Depression and the War Years

Regulation in the 1960s and 1970s

Regulatory Backlash, “Reform,” and Deregulation

Regulation Is a Tool of the People

Public Policy Beyond Home

Global Standard-Setting

Conclusion

Test Yourself

Assignment 4.1: Exploring the Three Es of Regulation

Assignment 4.2: Exploring Global Standards

Chapter 5 Objectives

Sources of Ethical Situations in Business

How Do Good Managers Get into Ethical Trouble?

5. Greed, the least important factor

4. It’s just business

3. Fear

2. No rule

1. Oops!

Phar Mor

So, Why Be Ethical in Business?

Why Worry About Ethics?

Ethical Problems: Early Warning Signs

Conclusion: The Role of Reason

Test Yourself

Assignment 5.1: Your Experience

Assignment 5.2: Main Messages

Chapter 6 Objectives

Fraud

Fraud Defined

A Glossary of Fraud in Business

The COSO Story on Financial Fraud

How Is Fraud Discovered?

How Can Companies Minimize or Prevent Fraud?

Cool Idea of the Week (or Not)

Disasters

Whistle Blowing

Exit, Voice and Loyalty

Cleaning Up: Crisis Management

Test Yourself

Assignment 6.1: Learn More About Enron

Assignment 6.2: Famous Whistle-Blowers

Assignment 6.3: Closing Off Fraud Opportunities

Assignment 6.4: Disaster Preparedness

Assignment 6.5: The Loyalty Problem in Whistle Blowing

Assignment 6.6: What Is Hirschman Saying?

Assignment 6.7: Exit, Voice and Loyalty

Assignment 6.8: Hotlines Can Make Whistle Blowing Unnecessary

Chapter 7 Objectives

Values: The Foundation of Ethics

Thinking Systematically About Values

Disagreements About Values

Natural Value Clusters

Is It Enough to Obey the Law?

Irwin Financial and Will Miller’s Decision Process for Ethics

Around the World with Values

Common Moral Values

Organizational Codes of Conduct

Professional Codes of Conduct

Conclusion

Test Yourself

Assignment 7.1: What Do You Value in Other People?

Assignment 7.2: Value Clashes

Assignment 7.3: Economizing and Ecologizing

Assignment 7.4: Legal/Ethical

Assignment 7.5: Common Principles

Assignment 7.6: Comparing Common Principles

Assignment 7.7: Ethics Vignettes

Assignment 7.8: Writing the Rules

Assignment 7.9: Company Codes of Conduct

Assignment 7.10: Professional Codes

Assignment 7.11: A Code for Managers

Chapter 8 Objectives

Jean Piaget – Cognitive Development

Stages of Cognitive Development

Lawrence J. Kohlberg – Stages of Moral Development

Pre-conventional Level

Conventional Level

Post-conventional Level

Carol Gilligan's Challenge

Stage 1: Consequences to Self Only

Stage 2: Consequences to Others Only

Stage 3: Consequences to Self and Others

The Challenge from Domain Theory

How Do People Progress in Moral Development?

The Bottom Line on Moral Development

Test Yourself

Assignment 8.1: The Heinz Dilemma

Assignment 8.2: The Golden Rule at Each Stage

Assignment 8.3: Some Questions… if the Moral Development Folks Are Right

Assignment 8.4: Management-Employee Role Play

Chapter 9 Objectives

Introduction: Does the Golden Rule Always Work?

Question 1: Does the Golden Rule Tell Us What Is Right?

Question 2: Does the Other Person Want What You Want?

Question 3: Do the Parties Want What Is Right?

Question 4: Who Has the Capacity for Right Action?

Question 5: Does the Golden Rule Help Us Deal with Social Reality?

Question 6: Where’s the Concern for Justice?

Conclusion: What’s Wrong With the Golden Rule?

Test Yourself

Assignment 9.1: The Golden Rule and You

Assignment 9.2: The Golden Rule and Kant

Assignment 9.3: What the Other Person Wants

Assignment 9.4: Wanting What Is Right

Assignment 9.5: Diminished Capacity

Assignment 9.6: Find Out More

Assignment 9.7: Justice and the Golden Rule

Assignment 9.8: Discussion on Golden Rule Failures

Chapter 10 Objectives

Egoism: Now back to my favorite subject—Me!

“Look out for #1—and there is no #2”

Psychological egoism is a descriptive claim about human nature

Ethical egoism is a normative claim about what people should do

Ethical egoism takes three forms

Minimalist egoism is a set of assumptions required for thought- experiments

A Brief Intellectual History of Egoism

The Challenge from Altruism

Capitalism, Egoism, and the Utilitarian Connection

Summary: The Ethical Egoist’s Position

Summary: Arguments Against Egoism

Self-Interest Isn’t Such a Bad Thing

Executive Compensation: Egoism or Fair Returns?

Pay for Performance Issues

Honesty and Disclosure Issues

Ratio Fairness Issues

Conclusion: Egoism, or Fair Compensation?

Test Yourself

Assignment 10.1: Selfishness and Self-Interest

Assignment 10.2: Ethical and Psychological Egoism

Assignment 10.3: Acting Entirely for Others?

Assignment 10.4: Thinking About Friends

Assignment 10.5: Pay-for-Performance

Chapter 11 Objectives

Virtue Ethics: Character Is Everything

Three Core Concepts

Practical Virtues and the Golden Mean

Highlights: A Virtuous Person

Isn’t Virtue Ethics Just A Form of Egoism?

Virtue Ethics in Business Organizations

Virtue in Practice: Business-Community Relations

Jobs, Taxes, and Secondary Economic Benefits

Executive Participation in Government and Non-Profit Agencies

Employee Voluntarism

Corporate Philanthropy

Cause-Related Marketing

Conclusion

Test Yourself

Assignment 11.1: The Golden Mean

Assignment 11.2: Virtuous Corporations and Stakeholders

Assignment 11.3: Cause-Related Marketing

Chapter 12 Objectives

The Greatest Good for the Greatest Number

Do the Ends Justify the Means?

Utilitarian Process

Problems with Utilitarian Reasoning

Identification and Measurement

Individuals Don’t Necessarily Count

Minority Positions Don’t Necessarily Count

Justice May Be Irrelevant

Modern Utilitarianism – Additional Demands

Last Words on the Principle of Maximization

Test Yourself

Assignment 12.1: Examples of Utilitarianism

Assignment 12.2: Your Job Choice: Utilitarian Reasoning for a Job Decision

Assignment 12.3: The Portmore Quiz

Chapter 13 Objectives

Kantian Deontology: Reason, Experience, Desire, and Will

Kantian Imperatives

First Formulation of Kant's Categorical Imperative

Second Formulation of Kant's Categorical Imperative

Third Formulation of Kant's Categorical Imperative

Applying the Categorical Imperative: The Firm as a Moral Community

Three Formulations of Kant’s Categorical Imperative

Conclusion: Kant Looks to the Future

Test Yourself

Assignment 13.1: Translating Kant

Assignment 6.2: The First Formulation

Assignment 6.3: The Second Formulation

Assignment 6.4: The Third Formulation

Assignment 13.5: The Firm as a Moral Community

Chapter 14 Objectives

What Are Rights, Who/What Has Them, and Why?

Vocabulary Break

Note: Deontology and Teleology Explained

Rights and Duties

Rights and Duties: The Short Story

Legal vs. Moral Rights

Civil and Political Rights

Social Welfare Rights

Human Rights

Rights and Duties in Business

UDHR Background

The Universal Declaration of Human Rights

Rights and Duties at Your University

Conclusion

Test Yourself

Assignment 14.1: Living Without Rights

Assignment 14.2: Perfect and Imperfect Duties

Assignment 14.3: Rights Under Apartheid

Assignment 14.4: Find Out More: Locke on Private Property

Assignment 14.5: The U.S. Bill of Rights

Assignment 14.6: Why Are Rights Important?

Assignment 14.7: Rights in International Business

Assignment 14.8: Company Codes and the UDHR

Assignment 14.9: Negative and Positive Rights in the UDHR

Assignment 14.10: Rights and Duties at Your School

Chapter 15 Objectives

The Meaning of Work

The Great Wage Debate

Minimum Wage Jobs

The Teen Worker

The Minimum Wage-Earning Adult

Living Wage

Wages Abroad

(Not) the Last Word on Wages

Benefits

Workplace Health and Safety

Equal Employment Opportunity

Affirmative Action

Sexual Harassment

Conclusion

Test Yourself

Assignment 15.1: The Meaning of Your Work

Assignment 15.2: What Is a Living Wage?

Assignment 15.3: Your Experiences with Workplace Ethics Issues

Assignment 15.4: Companies and Workplace Safety and Health

Assignment 15.5: Additional Workplace Ethics Issues

Chapter 16 Objectives

Virtue Isn’t Enough

What Factors Can Facilitate Ethical Management? What Factors Are Barriers?

Industry Position

Corporate Culture: Values

Corporate Culture: Norms and Expectations

Alignment

Management Process: Hiring Practices

Management Process: Incentives

Management Process: Control Systems

Lead By Example

The 1991 Sentencing Guidelines

Convince Yourself

What Is “An Effective Program to Prevent and Detect Violations of Law”?

Beginning a Compliance Program

The Sarbanes-Oxley Act of 2002

Find Out More…About the Sarbanes-Oxley Act of 2002

The 2004 Sentencing Guidelines…and Legal Challenges

Corporate Governance

Conclusion

Test Yourself

Assignment 16.1: Barriers and Facilitators at Your Workplace

Assignment 16.2: Does Your On-Line Presence Match Your Desired Image?

Assignment 16.3: Filling in the Blanks

Assignment 16.4: 2004 Sentencing Guidelines

Assignment 16.5: More on Corporate Governance

Chapter 17 Objectives

Justice

Justice for One and for All

Fair Access and Fair Outcome

Just Processes

Just Outcomes

Complex Equality

Find Out More…About the Prisoner’s Dilemma

The Bottom Line on Justice and Business

A Note On Ethical Relativism

Arguments Against Ethical Relativism

Relativism Has Something to Offer

A Way Out of the Relativist Quagmire?

Conclusion

Test Yourself

Assignment 17.1: Cave-People Exchange, Ethics, and Justice

Assignment 17.2: Interviews and Process Justice

Assignment 17.3: Behind the Veil of Ignorance

Chapter 18 Objectives

Labor Issues

Job Displacement

Sweatshops

Child Labor

Forced Labor

HIV/AIDS and Other Health Issues

Government and Regulatory Issues

Chasing Lower Regulatory Standards

Environmental Issues

Intellectual Property Rights Issues

Bribery and Corruption

Political Instability and Business’s Need for a Rule of Law

Conclusion: Leveling the Playing Field

Test Yourself

Assignment 18.1: Investigate the IMF’s Issue Brief on Globalization

Assignment 18.2: Tracking Dislocated/Displaced Workers

Assignment 18.3: Nike’s Social Reports

Assignment 18.4: Stopping Sweatshops

Assignment 18.5: The Faces of Child Labor

Assignment 18.6: Learn More About AngloGold Ashanti’s Approach to HIV/AIDS

Chapter 19 Objectives

Capitalism and Globalization

Requirements of Sustainable Capitalism

National Governments Can’t Control Global Business

What Are the Countervailing Powers?

A Race to the Bottom, or Self-Regulation?

Long-Term and Short-Term

Businesses as Citizens

From Individual to Corporate Citizens and From Local to Global Citizens

The Global Business Citizenship Framework

The Ethical Certainty Dimension

The Strategy Dimension

Steps in the GBC Process

The GBC Framework: Implementing Global Business Citizenship

GBC Step 1: Develop a code of conduct

GBC Step 2: Local Implementation

GBC Step 3: Problem Analysis and Experimentation

GBC Step 4: Organizational and Systematic Learning

Can It Work? Is It Working?

Find Out More…About Global Business Citizenship

Test Yourself

Assignment 19.1: Government Corruption

Assignment 19.2: Self-Regulation

Assignment 19.3: Universal Principles

Chapter 20 Objectives

The Green Engineer

The “Green” Engineer and the Oxygen Tanks (A)

The “Green” Engineer and the Oxygen Tanks (B)

The “Green” Engineer and the Oxygen Tanks (C)

The “Green” Engineer and the Oxygen Tanks (D)

Experiments in Global Business Citizenship (GBC)

Hewlett-Packard

Calçados Azaléia

Holcim/Union Cement

AngloGold Ashanti

Hindustan Sanitaryware

Famille Michaud Apiculteurs

William E. Connor & Associates

The Gap

Interface Inc.

Economic Development

The Millennium Development Goals

Aarhus United A/S in Burkina Faso

Grameen: The Women’s Bank of Bangladesh

Conclusion

Test Yourself

Assignment 20.1: Discussion Questions for Green Engineer (A)

Assignment 20.2: The Green Engineer’s Decision Tree

Assignment 20.3: Discussion Questions for Green Engineer (B)

Assignment 20.4: Discussion Questions for Green Engineer (C)

Assignment 20.5: Discussion Questions for Green Engineer (D)

Assignment 20.6: Updating the GBC Anecdotes

Assignment 20.7: Find Out More…About Best Practices Cases

Chapter 21 Objectives

What If: You’re afraid something unethical is happening, but you don’t know what to do about it?

What If: Your boss tells you, “Now I’m going to show you how business is really done!”?

What If: They want you to do something really bad, and you really need to keep the job?

Trust Your Judgment

Build a Network

Own Your Finances

One More Thing: Retirement Planning

Test Yourself

Assignment 21.1: Documenting Your Work Life

Assignment 21.2: Who’s In Your Network?

Assignment 21.3: Own Your Finances

Assignment 21.4: Calculate Your IRA Returns

Appendix A Objectives

How to Analyze a Business Ethics Case

Overview

Grasp the Essence

Find the Chronology

Watch for Red Flags

Map the Issues

Examine the Evidence

What are the Options?

Discern the Stakeholders and Their Interests

Work Through the Ethics

Questions to Ask About Business Ethics Cases

1. What is the issue?

2. Who are the stakeholders, and what are their interests?

3. What are the reasonable options for action?

4. How are harms and benefits allocated across stakeholders for each

of those reasonable options

5. Who has rights in this situation, and what are they? Who has duties, and

what are they?

6. Is there a justice or fairness component to this issue?

7. What would a virtuous person do?

8. What is ethically the best alternative, and why?

9. What are the constraints you’re facing in making this decision? What

resources do you have to help you make the right decision?

10. What are you going to do, and why?

11. Does this reasoning process work in similar situations?

12. What have you learned from this analysis?

Assignment A.1

Assignment A.2

Appendix B Objectives

What Does “Academic Integrity” Mean?

What Are the Typical Violations of Academic Integrity?

What Is Plagiarism?

Why Is Plagiarism Such a Big Deal?

Is It OK to Paraphrase?

Questions of Style

How Can You Avoid Academic Integrity Violations

If You’re Struggling

Where to Find Out More