The Parallax of Business Ethics


 





EBEN
UK
2009
Conference
Bristol,
6th­8th
April


ABSTRACTS
BOOKLET








Contents


Kantianism
vs.
Utilitarianism:
Time
for
Reconciliation?
Suggestion
to
a
way
of
introducing
 Levinas
to
business
ethics
students
 Dag
G.
Aasland


6


Managerial
Ethics:
Transparency
of
and
Accessibility
to
Organizational
Information
 Avshalom
M.
Adam
and
Ran
Lachman


8


A
business
ethics
dilemma:
Aligning
categorical
imperatives
with
moral
intuition
and
 utilitarianism
 Jennifer
Adelstein


9


The
Ethical
Dilemma,
Goodness
and
Irreversibility
in
Business
and
Management
 Michela
Betta



 



 


11


Corporate
social
responsibility
as
a
discursive
regime
of
truth:
a
Foucaultian
contribution
to
 business
ethics
 
 David
Bevan
 13





The
Parallax
of
Business
Ethics
 Armin
Beverungen


15


‘Drink
1,
Give
10’
­
The
Values
of
Ethical
Capitalism
 Vinícius
Brei


17


Micro­business
Community
Responsibility
(mBCR)
–
giving
it
a
‘thingliness’
 Sue
Campin


20


Living
Ethics:
the
Buddhist
Dislocation
of
Business
Ethics
 Peter
Case
and
René
Brohm


22



 
 


Better
payers?
An
empirical
study
of
the
trade
credit
practices
of
signatories
of
payment
codes
 and
members
of
FTSE4Good
 
 Christopher
J.
Cowton
and
Leire
San
Jose
 24
 Integration
of
people
with
disabilities
to
the
world
of
work.
Is
it
an
act
of
CSR
or
business
 reality?
 Sara
Csillag,
Roland
Szilas
and
Andras
Szentkiralyi


28


Understanding
the
Making
of
an
Ethical
Decision
 Simon
Dawson


30


A
Transactional
Account
of
Business
Ethics:
A
Single
Methodology
for
a
Diverse
Subject
 James
Dempsey


32


Business
Ethics:

Finding
the
truth
of
things
in
Uni­central
and
Multi­central
configurations
 Kevin
R.
Dixon


34





‐
3
‐




 
 
 


The
World
At
Your
Doorstep.
The
Ethical
Legitimacy
Of
Drug
Testing
In
Sport:
The
Relevance
Of
 Organisational
Justice
As
A
Counterveiling
Model,
And
The
Wider
Lessons?
 
 Anthony
Fenley
 35
 Cartel
whistle
blowers
and
the
weakest/wicked
link
is...?
 Sheilla
Ferraz
Luz



 37


A
Moral
and
Social
Theory
of
Ethical
Capital
for
Moral
Enterprising
in,
and
through
Organising
 and
Organisation
 
 Doug
Foster
 38





Friendship
and
Ethics:
The
Implications
For
Organizations
 Robert
French


42


Take
Me
to
Your
Leader:
Towards
a
Fractal
View
of
Ethical
Leadership
 Tim
Harle


45


‘Regulation
of
Internet
Gambling:
horses
&
shutting
doors
or
whistling
in
the
wind?’
 Stephen
Griffiths
and
Caroline
Jawad



 47


Financial
versus
social
issues
in
microfinance:
an
empirical
approach
 Jorge
Gutierrez
Goiria
and
Beatriz
Goitisolo
Lezama



 49


Fractured
Capitalism
and

Ethical
Disengagement:
Iceland
as
a
Case
Study.
 Jim
Hine
and
Ian
Ashman



 51


Viral
marketing
and
imaginary
ethics,
or
the
joke
that
goes
too
far
 Casper
Hoedemaekers



 53


The
meaning
and
meaninglessness
of
CSR
–
a
case
study
in
China
 Shih­wei
Hsu



 55


An
analysis
of
ethical
mindsets
in
the
Australian
services
sector
 Theodora
Issa
and
David
Pick


57


Equality
And
Diversity
As
Ethical
Business
Practice
 Tracie
Jolliff

and
Margaret
Page


59


The
Subject
Supposed
to
Recycle
 Campbell
Jones


61


On
the
ethics
of
evilness
 Ruud
Kaulingfreks


62


Business
Ethics:
Dumped
or
Recycled?
 Tarja
Ketola


63






 
 
 
 


Promoting
qualitative
research
in
business
ethics:

cognitive
mapping
as
a
tool
for
focussing
on
 the
individual’s
moral
behaviour
 
 Chris
Knight
 65





The
Failure
of
Regulation
in
Banking?:
Ethical
Reflections
 David
Knights


66


The
dangerous
antinomies
of
Corporate
Philanthropy
 Anders
Lacour


67





Locating
business
ethics
anywhere:
The
impact
of
work­related
mobile
technologies
on
ethics
 and
work
 
 Diannah
Lowry
 68
 The
Dilemmas
of
Teaching
Business
Ethics
in
Business
Schools:
Exploring
the
Range
of
 Resistances
 Diannah
Lowry
 
 ‐
4
‐




 70


Who’s
Who
in
PRME:
The
Rhetoric
of
Involvement
vs.
the
Reality
of
Commitment
 Janette
Martell
and
Ángel
Castiñeira



 72


Corporate
Social
Responsibility
(CSR)
Information
Disclosure
by
Annual
Reports
of
Public
 Companies
listed
at
Indonesia
Stock
Exchange
(IDX)
 Edwin
Mirfazli



 73


Sustainability
reporting
and
stock
valuation:
Multivariate
evidence
from
the
FTSE4Good_IBEX
 
 José
M.
Moneva,
Eduardo
Ortas
and
Isabel
Acero
 74
 Searching
for
an
ethical
approach
to
absenteeism
and
presenteeism
 Richard
Morgan­Jones



 76


The
Reverse
of
Ethics
 Rolland
Munro



 78


The
Challenges
Of
Sustainable
Development
And
Climate
Change:
The
(Non)Response
Of
 Business
School
Educators
And
The
Potential
Role
Of
The
Un
Prime
Initiative
 Alan
Murray



 79


Neuromarketing
–
between
creation
of
consumer
insight
and
suppression
of
consumer
 autonomy
 Sarah
Opitz


80


Business
Ethics
and
CSR
–
the
role
of
Business
Schools
 Carole
Parkes


81


Gender
Cultures
Revisited
 Di
Parkin


83


Business
ethics:
cheating
the
system
or
using
opportunities?
 Katie
Porkess


85


Business
Ethics
Doesn’t
Reside
in
Tax
Havens,
Does
it?
 Lutz
Preuss



 87


Governance
through
Global
Public
Policy
Networks
–
The
Case
of
the
UN
Global
Compact
 Andreas
Rasche



 91



 
 
 


The
Effectiveness
of
Malaysian
Ethics
Courses
on
Accounting
Students’
Ethical
Sensitivity:
A
 Survey
Based
Investigation
 
 Maisarah
Mohamed
Saat,
Stacey
Porter
and
Gordon
Woodbine
 94
 Marxist
Perspectives
on
Corporate
Social
Responsibility
 Marisol
Sandoval



 95


Shareholder
democracy,
responsibility
and
liability:
one
approach
to
business
ethics
 Jan
Schapper
and
Robert
Nixey



 96


Micro
and
small
business
ethics
and
the
employment
people
with
disabilities
 Ian
Ulyatt



 99


A
clear
determination
of
space
 Naud
van
der
Ven



 101


What
is
‘Corporate’
about
Social
Responsibility?
 Jeroen
Veldman



 103


Being
Disinterested
or
Being
Infinitely
Interested
in
Existing?
–
Kierkegaard
and
Business
 Ethics
 
 Ania
Woźniak
 105


‐
5
‐



Kantianism
vs.
Utilitarianism:
Time
for
Reconciliation?
Suggestion
to
a
 way
of
introducing
Levinas
to
business
ethics
students
 Dag
G.
Aasland
 University
of
Agder,
Norway
 
 
 
 Textbooks
 in
 business
 ethics
 usually
 start
 with
 a
 general
 introduction
 to
 the
 field
 of
 ethics.
 Here,
 the
 best
 known
 schools
 are
 presented,
 among
 which
 we
 always
 find
 Kantianism
 and
 Utilitarianism.
 These
 introductions
 are
 often
 concluded
 by
 leaving
 to
 the
 reader
 to
 choose
 whatever
school
is
the
most
appropriate
in
each
specific
case,
in
other
words,
following
a
kind
 of
cafeteria
principle
in
the
choice
of
ethical
theory.
One
consequence
of
this
approach
is
that
 teachers
in
business
ethics
have
read
hundreds
of
student
works
trying
to
set
Utilitarianism
 up
against
Kantianism.
 
 In
 real
 cases,
 however,
 it
 is
 not
 hard
 to
 observe
 that
 any
 ethical
 consideration
 made
 by
 any
 business
 leader,
 or
 any
 other
 person
 for
 that
 matter,
 in
 order
 to
 deserve
 the
 label
 “ethical
 consideration”,
 has
 elements
 of
 both
 these
 two
 traditions,
 so
 much
 as
 intentions
 as
 well
 as
 consequences
 are
 taken
 into
 account.
 This
 paper
 suggests
 a
 way
 to
 describe
 such
 real
 life
 considerations
 as
 a
 Utilitarian
 exercise
 in
 a
 Kantian
 spirit,
 presented
 as
 a
 pedagogical
 presentation
of
the
phenomenology
of
Emmanuel
Levinas.
The
presentation
is
based
on
own
 experiences
in
teaching
ethics
to
business
students.
 
 Levinas
 modifies
 Kantian
 ethics
 on
 one
 basic
 point:
 The
 categorical
 imperative
 of
 the
 moral
 law
 is
 not
 embedded
 in
 the
 subject’s
 faculty
 of
 reason.
 On
 the
 contrary,
 the
 ethical
 demand
 comes
 to
 the
 subject
 through
 a
 call
 to
 respond
 in
 the
 encounter
 with
 the
 other
 person,
 as
 a
 disturbance
 of
 his
 or
 her
 own
 reason.
 But
 both
 Kant
 and
 Levinas
 agree
 on
 the
 ethical
 imperative
 of
 the
 inviolability
 of
 the
 other
 human.
 Further,
 through
 the
 introduction
 of
 the
 third,
 Levinas
 introduces
 the
 methodology
 of
 Utilitarianism:
 Different
 needs
 related
 to
 different
 persons
 have
 to
 be
 weighed
 according
 to
 their
 importance
 in
 the
 specific
 case,
 an
 exercise
that
requires
all
relevant
knowledge
available,
in
order
for
the
subject
to
be
able
to
 account
for
his
choice.
Thus,
in
the
terminology
of
Levinas,
Kantian
ethics,
generated
from
the
 inviolability
 of
 the
 other
 human,
 comes
 from
 infinity,
 while
 Utilitarianism
 makes
 efforts
 towards
 a
 totality,
 or,
 rather,
 towards
 changing
 from
 an
 existing
 totality
 to
 a
 new
 and
 more
 just
 one.
 Consequently,
 and
 still
 in
 a
 Levinasian
 perspective,
 Kantianism
 without
 Utilitarianism
would
turn
out
to
be
unethical,
as
it
would
favour
the
nearest
person
at
the
cost
 of
those
farther
away.
But
Utilitarianism
without
Kantianism
would
also
turn
to
be
unethical,
 as
 it
 would
 turn
 into
 a
 cold,
 calculating
 bureaucracy,
 no
 longer
 deserving
 the
 label
 “ethics”,
 favouring
only
the
bureaucrats
in
their
efforts
to
keep
control
over
time.

 
 My
experience
is
that
this
pedagogical
idea
of
presenting
Levinas
as
a
bridge
builder
between
 Kantianism
 and
 Utilitarianism
 can
 best
 be
 demonstrated
 in
 case
 discussions.
 A
 possible
 example
is
a
potential
whistle‐blower
who
confronts
the
manager
with
an
issue
that
may
be
 blown
up
in
the
media
if
the
management
does
not
take
responsibility.
The
existing
rules
and
 routines
of
the
enterprise
are
parts
of
a
totality
that
can
always
be
justified
in
the
terms
of
a
 utilitarian
 totality.
 The
 ethical
 challenge
 presented
 by
 the
 potential
 whistle‐blower,
 which
 disturbs
 this
 totality,
 and
 which
 is
 initiated
 by
 his
 or
 her
 personal
 moral
 reaction
 to
 an
 experienced
injustice,
represents
the
Kantian
ethics
in
this
case.
The
manager
will
then
have
 ‐
6
‐



the
choice
between
either
ignoring
the
warning,
keeping
the
existing
totality
of
rules,
routines
 and
practice
unchanged,
but
risking
a
scandal
in
the
media,
or
taking
the
initiative
from
the
 employee
as
an
opportunity
to
revise
the
existing
totality
of
rules,
routines
and
practices.
The
 latter
choice
would
then
be
in
accordance
with
Levinas’
own
suggestion
of
how
ethics
is
put
 into
 practice
 in
 society,
 especially
 in
 the
 economy,
 as
 he
 has
 elaborated
 in,
 for
 instance,
 his
 essay
on
“Sociality
and
money”
(Levinas
2007)1.

 


1


In
Business
Ethics:
A
European
Review,
vol.
16
no
3
(2007),
pp.
203
–
207.
 ‐
7
‐



Managerial
 Ethics:
 Transparency
 Organizational
Information


of


and


Accessibility


to


Avshalom
M.
Adam
 
 Ran
Lachman
 
 
 
 Transparency
 of
 and
 accessibility
 to
 organizational
 information
 is
 a
 debated
 issue.
 
 In
 the
 backdating
of
stock
options
the
foci
of
the
legal
action
was
not
backdating
in
itself
but
rather
 the
 concealment
 of
 executives’
 decisions
 as
 well
 as
 keeping
 the
 relevant
 information
 inaccessible
 to
 the
 stockholders.
 
 At
 the
 time,
 backdating
 was
 legal
 but
 neither
 was
 the
 concealment
of
the
relevant
information
(the
specific
dates
of
the
backdating
changes
of
the
 stock
 options)
 nor
 was
 keeping
 it
 inaccessible
 to
 the
 stockholders.2
 
 To
 what
 extent
 managerial
 decisions
 and
 conducts
 ought
 be
 revealed
 and
 become
 accessible
 to
 its
 stakeholders?



 The
 law
 of
 the
 land
 covers
 only
 several
 aspects
 of
 transparency
 and
 accessibility
 of
 organizational
information
to
some
stakeholders.

In
this
problem
situation,
this
leaves
many
 of
 the
 choices
 and
 actions
 of
 executives
 in
 a
 gray
 area.
 
 When
 ought
 executives
 to
 conceal
 information
or
keep
it
inaccessible
to
their
stakeholders?

Ought
organizational
executive
to
 differentiae
 amongst
 levels
 of
 transparency
 and
 accessibility
 relatively
 to
 the
 interests
 of
 various
 stakeholders,
 and
 if
 so,
 how?
 
 Which
 stakeholders
 need
 be
 counted
 less
 and
 which
 need
be
counted
more?

What
criteria
should
be
used
to
keep
the
choices
made
in
such
cases
 ethical?

The
literature
remains
silent
on
these
issues.


 Two
aspects
of
organizational
information
transparency
and
accessibility
need
be
studied,
a
 quantitative
and
a
qualitative.

The
quantitative
aspect
refers
to
"the
extent
to
which
there
is
 access
to
information"
whereas
the
qualitative
aspect
refers
to
"what
kind
of
information"
this
 access
 is
 to.
 
 Transparency,
 therefore,
 can
 be
delineated
 as
 to
 different
 'layers'
 or
 depth
 of
 information
exposure
to
stakeholders.

We
will
offer
several
thought
experiments
to
explore
 these
aspects
with
illustration
from
organizational
development
theory
and
practice.
 
In
this
context
we
would
like
to
unpack
the
presuppositions
of
transparency
and
accessibility.

 Transparency
 may
 be
 looked
 at
 in
 terms
 of
 executive’s
 choices
 made
 in
 ethical
 dilemmas.

 Ethical
 dilemmas
 articulate
 conflicts
 of
 values
 or
 of
 interests
 in
 which
 a
 choice
 to
 conceal
 information
and
keep
it
inaccessible
may
be
contingent
on
its
relevance
to
a
stakeholder.

By
 unpacking
 the
 presuppositions
 of
 information
 transparency
 and
 its
 accessibility
 we
 aim
 to
 offer
critical
review
of
the
extent
which
it
ought
to
be
revealed
to
organizational
stakeholders.



2

A.M.
Adam
and
Mark
Schwartz
(2008)
"Corporate
Governance,
Ethics,
and
the
Backdating
of
Stock
Options",
Journal
 of
Business
Ethics.
Forthcoming.
 ‐
8
‐



A
 business
 ethics
 dilemma:
 Aligning
 categorical
 imperatives3
 with
 moral
intuition4
and
utilitarianism
 Jennifer
Adelstein
 International
College
of
Management,
Sydney
 
 
 
 Like
other
academic
disciplines,
ethics
does
not
hold
a
single
view
of
rightness
or
wrongness
 of
 a
 theory;
 ethical
 theories
 compete
 with
 one
 another
 for
 the
 so‐called
 moral
 high
 ground.

 Even
more
challenging
is
the
practical
application
of
ethics
to
business,
which
needs
to
take
 other
 factors
 into
 account.
 
 Rather
 than
 ethics
 in
 business
 being
 a
 categorical
 imperative
 –
 Kant’s
 unconditional
 moral
 obligation
 to
 do
 our
 duty
 at
 all
 times
 –
 business
 ethics
 is
 more
 likely
to
reflect
Prichard’s
moral
intuition,
taking
action
for
the
benefit
of
our
good.

In
other
 words,
 does
 variability
 of
 contexts
 require
 flexibility
 of
 business
 ethics
 based
 on
 what
 we
 perceive
to
be
our
good?
 
 The
paper
aims
to
clarify
the
above
business
ethics
dilemma
by
examining
how
context
may
 be
argued
to
justify
the
means
versus
the
end,
that
is,
intentions
versus
consequences.

Setting
 the
 scene
 for
 the
 ethical
 dilemma
 are
 two
 diametrically‐opposed
 theoretical
 streams.

 Utilitarianism,
developed
from
the
works
of
Bentham,
J.S.
Mill
and
Moore,
focuses
on
making
 the
world
a
better
place
by
considering
the
consequences
of
our
actions
to
result
in
pleasure,
 happiness
or
ideal
values.

Deontology,
based
on
Emanuel
Kant’s
theories
of
duty
and
respect,
 mark
good
intentions
as
our
primary
moral
goal.
 
 Hare
(1997)
suggests
that
the
hoary
question
concerning
polarized
positions
of
utilitarianism
 and
 deontology
 are
 almost
 as
 old
 as
 the
 theories
 themselves,
 and
 the
 inconsistencies
 of
 intuition
 (such
 as
 used
 by
 Prichard,
 Ross,
 and
 Rawls)
 versus
 Kant’s
 categorical
 imperatives
 (adopted
 by
 J.S.
 Mill)
 suggest
 context
 is
 crucial.
 
 Although
 Kant
 described
 mobile
 morality
 depending
on
context
as
“fumbling
about
with
the
aid
of
examples”
(Hare,
1997,
citing
Kant
 1999:34),
I
argue
that
contextualizing
through
examples
cannot
be
dismissed
so
easily.
 
 As
 an
 example
 of
 the
 variability
 of
 context
 relating
 to
 an
 ethical
 position,
 we
 can
 contrast
 business
 and
 legal
 ethics.
 
 In
 courts
 of
 law,
 it
 is
 the
 intentions
 of
 a
 defendant
 that
 play
 an
 important
part
in
judicial
decisions,
including
the
degree
of
remorse
shown
by
the
defendant
 when
the
outcome
of
her
intentions
negatively
affects
others.

The
situation
is
as
applicable
to
 institutional
 cases
 as
 it
 is
 for
 individuals
 at
 a
 personal
 level.
 
 Where
 remorse
 is
 shown,
 sentencing
 is
 lighter.
 
 However,
 in
 business,
 it
 is
 the
 consequences
 of
 actions
 rather
 than
 intentions,
by
which
our
business
leaders
are
judged.

It
is
insufficient
for
a
leader
to
apologize
 for
poor
outcomes
when
shareholders
lose
share
value,
stakeholders
lose
their
jobs,
and
the
 broader
community
suffers
from
unforeseen
consequences.

Even
when
remorse
is
shown
by
 the
perpetrators,
the
victims
seek
blood‐letting
in
the
form
of
resignation
and
retribution.

In
 these
two
examples
alone,
we
can
see
that
depending
on
context,
which
moral
high
ground
is
 taken
may
be
determined
by
intentions
or
by
consequences.
 
 In
many
instances,
legal
cases
are
brought
against
organizational
management
and
directors
 for
 losing
 significant
 share
 value
 or
 the
 collapse
 of
 businesses
 by
 those
 who
 consider
 3 4


Kant
(1785)
 
Prichard
(1912)
 ‐
9
‐



decisions
 and
 behaviours
 of
 management
 have
 not
 been
 utilitarian.
 
 In
 other
 words,
 parties
 have
pursued
legal
recourse
where
they
consider
management
has
not
acted
in
the
interest
of
 the
 greatest
 number.
 
 Think
 of
 Enron,
 Arthur
 Andersen,
 Berings
 Bank,
 and
 the
 Australian
 Wheat
 Board,
 whereby
 shareholders
 and/or
 stakeholders
 have
 been
 negatively
 financially
 affected.
 
 Yes,
 in
 each
 of
 these
 cases,
 it
 is
 unarguable
 that
 sections
 of
 management
 acted
 unethically;
this
has
been
proved
in
courts
of
law.

However,
would
such
legal
cases
have
even
 been
contemplated
had
shareholders
and/or
stakeholders
benefited
and
made
money
rather
 than
 lost
 it?
 
 The
 intentions
of
the
 actions
might
still
be
unethical
 but
the
consequences
 are
 beneficial;
 that
 is
 the
 achievement
 of
 intuitive
 utilitarian
 outcomes.
 
 Would
 concerns
 about
 ethics,
or
the
lack
thereof,
have
even
been
raised
if
the
ends
had
been
justified
by
the
means?

 Possibly
not.
 
 Consider
 a
 more
 recent
 financial
 situation
 that
 has
 steamrolled
 financial
 institutions
 worldwide.

For
years,
actions
by
Lehman
Bros,
Fannie
Mae,
Freddie
Mac
and
other
financial
 institutions
 may
 have
 been
 unethical,
 although
 legal.
 
 Put
 simply,
 money
 was
 lent
 to
 those
 whose
risk
management
capacities
were
negligible
and
would
be
unable
to
repay
such
loans
if
 their
personal
economic
situation
changed,
such
as
losing
their
job.

Arguably,
the
intentions
 by
 all
 concerned
 may
 have
 been
 “good”
 but
 clearly
 lacked
 evidence
 of
 planning
 for
 poor
 outcomes.


 
 The
 dust
 has
 not
 yet
 settled
 on
 whether
 legal
 actions
 will
 be
 mounted
 against
 the
 “perpetrators”
 but
 what
 is
 certain
 is
 that
 governments
 have
 rewarded
 so‐called
 good
 intentions
 by
 financial
 institutions
 –
 providing
 a
 new
 car,
 DVD,
 house,
 business
 loan
 to
 the
 most
vulnerable,
through
sub‐prime
mortgages
–
by
throwing
buckets
of
money
at
these
very
 institutions
that
are
responsible
for
the
downfall
of
global
financial
systems.

Traditionally,
in
 business
 it
 is
 the
 utilitarian
 approach
 of
 greatest
 benefit
 for
 the
 greatest
 number
 that
 holds
 sway
but
in
the
present
situation,
this
seems
not
to
be
the
case.
 
 So,
 is
 there
 an
 ethical
 dilemma?
 
 Can
 inconsistency
 of
 ethical
 principles
 be
 rationalized
 according
to
changes
in
economic
times,
even
if
such
ethical
inconsistencies
underlie
changes,
 or
is
moral
intuition
according
to
context
more
appropriate?

The
paper
explores
the
ethical
 business
 problems
 reflected
 by
 the
 polarization
 of
 two
 key
 ethical
 principles
 of
 deontology
 and
utilitarianism
in
their
ad
hoc
application
to
business.
 
 Bibliography
 Hare,
R.M.
(2000),
Sorting
Out
Ethics,
Oxford:
Oxford
University
Press
 Kant,
E.
(1996),
The
Metaphysics
of
Morals,
Cambridge,
MA.:
Cambridge
University
Press
 Prichard,
 H.A.
 (1912),
 Does
 moral
 philosophy
 rest
 on
 a
 mistake?
 Mind,
 21:
 21‐37,
 http://www.ditext.com/prichard/mistake.html,
accessed
October
27,
2008
 


‐
10
‐



The
 Ethical
 Dilemma,
 Goodness
 and
 Irreversibility
 in
 Business
 and
 Management

 Michela
Betta
 Swinburne
University
of
Technology
Melbourne,
Australia



 
 
 In
 the
 20th
 century
 there
 was
 clearly
 a
 revival
 of
 ethics,
 while
 morality
 suffered
 its
 major
 identity
crisis
since
Kant.
A
problem
that
Habermas
(2002)
laments
but
cannot
solve.
Ethics
is
 sexy
 ‐
 this
 became
 visible
 in
 the
 many
 ethics
 that
 have
 emerged
 in
 the
 past
 decades:
 social
 ethics
 (secular
 and
 religious),
 bioethics,
 business
 ethics,
 cultural
 ethics,
 difference
 ethics,
 sexual
ethics,
medical
ethics
and
so
forth.
Why
is
ethics
attracting
people?
Is
it
possible
that
 there
 may
 be
 a
 misunderstanding?
 According
 to
 Aristotle
 (1973)
 it
 really
 is
 not
 easy
 to
 be
 good
which
means
that
it
is
difficult
to
be
ethical.
The
proliferation
of
ethics
has
not
provided
 great
 theoretical
 and
 practical
 relief
 from
 this
 difficulty.
 Instead,
 the
 space
 of
 ethics
 has
 become
fragmented
and,
like
a
kaleidoscope,
ethics
is
split
into
a
multitude
of
interpretations
 of
phenomenal
experiences.
 
 How
can
we
give
them
meaning
if
a
‘translational’
(Bhabha
1994)
is
unavailable?
But
perhaps
 this
is
not
the
role
of
ethics.
What
is
the
role
of
ethics
then?
The
term
ethics
carries
a
positive
 connotation.
To
be
ethical
always
means
to
be
on
the
good
side,
although
not
necessarily
on
 the
 right
 one.
 But
 goodness
 is
 fragile
 (Nussbaum
 1986)
 and
 requires
 steady
 cultivation
 and
 protection.
 
 How
 do
 we
 cultivate
 and
 protect
 it?
 Perhaps
 a
 technology
 of
 the
 self
 (Foucault
 1998)
 embedded
 in
 ethics
 can
 help
 to
 differentiate
 between
 possibilities
 of
 action.
 If
 I
 steal
 food
in
order
to
save
my
children
from
dying
I
intercede
in
the
name
of
goodness
by
giving
 priority
to
their
life
and
happiness.
Ant
yet
I
am
legally
wrong.
Ethics
and
the
law
often
collide.
 In
 the
 example
 given,
 ethics
 even
 collides
 with
 morality
 as
 the
 law
 emanates
 from
 a
 right/wrong
distinction.
But
I
could
end
up
in
jail
and
then
my
children
would
suffer
or
even
 perish.
Here
ethics
collides
with
responsibility
as
well.
I
suggest
that
we
call
these
collisions
 ‘ethical
dilemmas’.
 
 What
emerges
here
is
the
dilemma
interwoven
with
a
technology
of
the
self.
If
we
translate
 the
previous
example
into
a
situation
in
which
a
CEO,
or
a
group
of
senior
managers,
decide
to
 steal
from
a
competitor
in
order
to
save
their
collapsing
firm,
how
would
we
judge
them?
But
 is
 the
 discussion
 of
 clear‐cut
 questions
 such
 as
 the
 collapse
 of
 Enron,
 the
 current
 financial
 crisis
or
the
edge
funds
helpful?
It
seems
that
it
is
not
difficult
to
reach
a
moral
agreement
on
 such
failures.
Instead,
the
ethical
dilemma
emerges
in‐between
conditions
of
life
that
are
not
 clear‐cut
 and
 self‐evident.
 The
 ethical
 dilemma
 permeates
 ordinary
 life
 (Myers
 and
 Miller
 1996)
 and,
 therefore,
 where
 the
 ethical
 dilemma
 reigns
 choice
 is
 needed
 (Buchanan
 et
 al.
 2000).
But
to
choose
is
not
easy
when
the
interests
involved
are
multivalent.
 
 The
 peculiar
 nature
 of
 an
 ethical
 dilemma
 is
 that
 it
 is
 always
 a
 sort
 of
 ‘overlap
 without
 equivalence’
 (Derrida
 1987):
 the
 caring
 parent/the
 stealing
 parent
 or
 individual
 good/community
 good
 –
 here
 the
 slash
 does
 not
 separate
 but
 overlaps
 two
 possibilities
 and
 their
ramifications
into
situated
ethics.
A
dilemma
always
represents
a
suspended
possibility,
 a
reversible
condition,
while
a
solved
dilemma
always
represents
irreversibility.
In
this
paper,
 I
 propose
 to
 look
 at
 ethics
 as
 a
 continuous
 overlap
 between
 reversibility
 and
 irreversibility.
 This
 exploration
 aims
 to
 identify
 the
 current
 place
 of
 ethics
 in
 business
 and
 the
 place
 of
 ‐
11
‐



business
in
ethics.
To
this
purpose,
I
discuss
how
an
approach
guided
by
the
ethical
dilemma
 might
influence
the
way
in
which
we
understand
responsibility
in
business
and
management.

 
 
 Bibliography
 Aristotle
 (1973)
 Nichomachean
 Ethics.
 Edited
 by
 J.L.
 Ackrill
 J.L.
 with
 a
 foreword
 by
 Mary
 Warnock.
Faber
&
Faber:
London.
 Bhabha,
H.
(1994)
The
location
of
culture.
London:
Routledge.
 Buchanan,
A.,
Brock
D.W.,
Daniels,
N.,
and
Wikler,
D.
(2000)
From
chance
to
choice.
Cambridge:
 Cambridge
University
Press.

 Derrida,
 J.
 (1987)
 The
 post
 card:
 from
 Socrates
 to
 Freud
 and
 beyond.
 Chicago:
 University
 of
 Chicago
press.

 Foucault,
 M.
 (1988),
 ‘Technologies
 of
 the
 self’.
 In
 Martin,
 L.H.,
 Gutman,
 H.
 and
 Hutton,
 P.H.
 (Eds.),
 Technologies
 of
 the
 self.
 A
 seminar
 with
 Michel
 Foucault,
 The
 University
 of
 Massachusetts
Press,
Amherst,
pp.
16‐49.
 Habermas,
 J.
 (2003)
 The
 future
 of
 human
 nature.
 London:
 Polity
 Press
 in
 association
 with
 Blackwell.
 Meyers,
 M.
 and
 Miller,
 L.
 (1996)
 ‘Ethical
 dilemmas
 in
 the
 use
 of
 information
 technology:
 An
 Aristotelian
perspective’,
Ethics
and
Behaviour
6(2):
153‐160.
 Nussbaum,
 M.
 (1986)
 The
 fragility
 of
 goodness.
 Luck
 and
 ethics
 in
 Greek
 tragedy
 and
 philosophy.
Cambridge
University
Press:
New
York.
 
 

 


‐
12
‐



Corporate
 social
 responsibility
 as
 a
 discursive
 regime
 of
 truth:
 a
 Foucaultian
contribution
to
business
ethics
 David
Bevan
 School
of
Management,
Royal
Holloway
University
of
London
 
 
 
 Considered
 variously
 as
 a
 major
 ethical
 thinker
 (Mills,
 2003)
 and
 an
 abstract
 polemicist
 of
 endless
critique
(Feldman,
2002)
Michel
Foucault
continues
to
be
regarded
as
a
difficult
and
 challenging
thinker
(Gutting,
1994).
His
work
has
recently
been
the
subject
of
a
paper

(Crane,
 Knights,
&
Starkey,
2008)
which
suggests
that
Foucault’s
later,
ethical
work
may
offer
“some
 important
though
necessarily
limited
contributions
to
the
business
ethics
literature”
(p.
300).
 Indeed,
focussing
on
these
“later
writings”
(p.
299)
the
paper
explicates
novel
linkages
with
 “moral
 imagination,
 virtue
 ethics,
 values‐based
 management,
 and
 business
 ethics
 pedagogy”
 along
 with
 some
 of
 challenges
 posed.
 In
 that
 vein,
 of
 looking
 to
 what
 Foucault
 might
 contribute
 to
 an
 understanding
 of
 organization
 and
 ethics
 (ibid),
 and
 as
 an
 alternative
 to
 “traditional
normative
ethical
theory”
(p.
299),
in
this
paper
I
refocus
upon
an
earlier
work.
I
 will
 consider
 a
 strand
 of
 his
 essay
 “Truth
 and
 Power”
 (Foucault,
 1980)
 for
 insights
 into
 an
 ontology
which
casts
a
variant
light
on
the
understanding
corporate
social
responsibility
as
a
 positive
discourse
of
business
ethics.

 
 In
deconstructing
the
dimensions
of
this
ontology
I
reveal
that
in
place
of
the
more
positivist
–
 and
 morally
 palliative
 (Derrida,
 1997)
 ‐
 metatheory
 of
 paradigms
 (Kuhn,
 1996),
 Foucault’s
 mode
 of
 expressing
 the
 metatheoretical
 framework
 of
 reality
 and/or
 meaning
 is
 the
 critical
 notion
 of
 a
 ‘régime
 of
 truth’.
 Symmetrical
 with
 other
 metatheories
 and
 paradigms,
 for
 Foucault
each
society
has
such
a
régime
made
up
of
the....


 
 types
 of
 discourse
 which
 it
 accepts
 and
 makes
 function
 as
 true,
 the
 mechanisms
 and
 instances
 which
 enable
 one
 to
 distinguish
 true
 and
 false
 statements,
 the
 means
 by
 which
 each
 is
 sanctioned;
 the
 techniques
 and
 procedures
 accorded
 value
 in
 the
 acquisition
 of
 truth;
 the
 status
 of
 those
 who
 are
 charged
 with
 saying
 what
 counts
 as
 true
(1980,
page
131).
 
 The
word
régime
is
inconvenient
to
mainstream
business
ethics
(Bevan,
2008):
it
indicates
a
 lack
 of
 harmony
 with
 the
 overwhelmingly
 benign
 reassurances
 of
 the
 literature
 (Jones,
 Parker,
 &
 ten
 Bos,
 2005).
 By
 way
 of
 example
 Roberts
 suggests
 that
 a
 “regime
 of
 ethical
 business
is
no
ethics
at
all
(2001;
page
110).

An
empirical
study
will
reflect
on
this
assertion.
 
 This
paper
proceeds
through
four
sections.
Following
on
from
a
fuller
introduction,
it
presents
 a
 review
 of
 the
 traditional
 normative
 theories
 of
 corporate
 social
 responsibility.
 Secondly
 it
 discloses
 Foucault’s
 metatheory
 of
 regimented
 truth.
 In
 a
 third
 section
 it
 discursively
 re‐ interprets
FTSE
100
CSR
reports
and
considers
(as
an
experiment)
what
kind
of
regimented
 truth
 they
 represent
 by
 exemplary
 reference
 to
 linguistic
 logic.
 The
 fourth
 section
 presents
 some
Foucaultian
insights
for
business
ethics.
 


Bibliography
 Bevan,
 D.
 2008.
 Continental
 philosophy:
 a
 grounded
 theory
 approach
 and
 the
 emergence
 of
 convenient
 and
 inconvenient
 ethics.
 In
 M.
 Painter‐Morland,
 &
 P.
 Werhane
 (Eds.),
 ‐
13
‐



Cutting­edge
issues
in
Business
Ethics:
Continental
Challenges
to
Tradition
and
Practice:
 131‐152.
New
York,
NY:
Springer.
 Crane,
 A.,
 Knights,
 D.,
 &
 Starkey,
 K.
 2008.
 The
 conditions
 of
 our
 freedom:
 Foucault,
 organization
and
ethics.
Business
Ethics
Quarterly,
18(iii):
299‐320.
 Derrida,
J.
1997.
Politics
and
Friendship:
A
Discussion
with
Jacques
Derrida.
Paper
presented
at
 the
Centre
for
Modern
French
Thought,
Brighton,
UK.
 Feldman,
S.
2002.
Memory
as
a
moral
decision:
the
role
of
ethics
in
organizational
culture.
New
 Brunswick,
NJ:
Transaction
Publishers.
 Foucault,
M.
1980.
Truth
and
Power.
In
C.
Gordon
(Ed.),
Power/Knowledge:
Selected
interviews
 and
other
writings
1972­1977:
109‐133.
New
York
NY:
Pantheon.
 Gutting,
 G.
 (Ed.).
 1994.
 The
 Cambridge
 Companion
 to
 Foucault
 Cambridge,
 UK:
 Cambridge
 University
Press.
 Jones,
C.,
Parker,
M.,
&
ten
Bos,
R.
2005.
For
Business
Ethics.
London:
Routledge.
 Kuhn,
T.
S.
1996.
The
Structure
of
Scientific
Revolutions.
Chicago
Il:
University
of
Chicago
Press.
 Mills,
S.
2003.
Michel
Foucault.
London,
UK:
Routledge.
 Roberts,
J.
2001.
Corporate
Governance
and
the
Ethics
of
Narcissus.
Business
Ethics
Quarterly,
 11(1):
109‐127.
 
 


‐
14
‐



The
Parallax
of
Business
Ethics
 Armin
Beverungen
 Bristol
Business
School,
University
of
the
West
of
England
 
 
 
 This
paper
will
discuss
the
importance
of
maintaining
a
parallax
view
of
business
and
ethics.
 It
 suggests
 that
 a
 merely
 ethical
 analysis
 or
 critique
 of
 business,
 economy
 or
 capital
 will
 necessarily
 fail.
 In
 the
 same
 way
 in
 which
 one
 affirms
 the
 irreducibility
 of
 the
 ethical
 in
 the
 face
of
economic
determinism,
so
one
must
affirm
the
irreducibility
of
the
economic
vis‐à‐vis
 ethics
 or
 politics
 (cf.
 Zizek,
 2004:
 128).
 This
 argument
 will
 be
 made
 with
 reference
 to
 the
 movie
The
Parallax
View
(1974).
 
 In
his
book
Transcritique:
On
Kant
and
Marx
(2002),
Karatani
develops
the
term
‘parallax’
that
 he
takes
from
Kant
to
suggest
that
only
a
parallax
–
i.e.
the
difference
between
to
visions
–
can
 avoid
 an
 optical
 delusion.
 He
 draws
 parallels
 between
 Kant
 and
 Marx
 and
 the
 way
 they
 approach
 their
 respective
 fields.
 Karatani
 suggests
 that
 both
 Kant
 and
 Marx
 work
 in
 a
 transcritical
 space,
 in
 the
 space
 created
 by
 a
 parallax
 produced
 by
 a
 shift
 in
 vision.
 Kant
 is
 neither
 an
 objectivist
 nor
 a
 subjectivist,
 but
 works
 from
 a
 transcendental
 and
 transversal
 position
between
the
self
and
the
other.
Marx
is
not
simply
a
political
economist,
but
works
 from
a
position
of
critique,
even
a
Kantian
critique
of
money.
 
 It
 is
 only
 because
 of
 this
 parallax
 view
 that
 both
 Kant
 and
 Marx
 were
 able
 to
 think
 so
 forcefully.
And
Karatani
develops
his
thought
in
the
parallax
between
Kant
and
Marx,
between
 ethics
 and
 economy.
 Similarly,
 it
 is
 argued
 here
 that
 only
 through
 a
 parallax
 view
 can
 one
 think
 with
 similar
 force
 about
 business
 ethics.
 Business
 ethics
 might
 be
 found
 in
 its
 own
 parallax.
The
parallax
of
business
and
ethics
will
here
be
elaborated
through
a
discussion
of
 The
Parallax
View
(1974).
 
 There
the
hero
of
the
story
(played
by
Warren
Beatty),
seeks
to
uncover
the
workings
of
the
 Parallax
Corporation,
a
corporation
whose
main
business
is
assasination.
Since
the
existence
 of
the
Parallax
Corporation
itself
is
in
question,
the
main
character
infiltrates
the
corporation
 by
pretending
to
be
a
psychopath,
and
is
consequently
offered
a
job
as
an
assassin.
Yet
in
the
 end,
rather
than
managing
to
prove
the
existence
and
workings
of
the
Parallax
Corporation,
 the
 main
 character
 himself
 falls
 victim
 to
 the
 Parallax
 Corporation
 and
 is
 framed
 as
 an
 assassin
where
he
was
a
witness.
 
 The
movie
attests
to
the
difficulty
of
an
ethical
act
when
one
falls
prey
to
an
optical
delusion
 (into
 which
 the
 Beatty
 character
 is
 led
 by
 the
 Parallax
 Corporation).
 It
 also
 attests
 to
 the
 necessity
of
acknowledging
the
possibility
that
something
like
the
Parallax
Corporation
might
 exist:
 that
 despite
 all
 our
 ethical
 acts
 the
 economic
 machine
 may
 simply
 keep
 on
 running.
 When
Zizek
published
The
Parallax
View
(2006),
a
reference
to
the
movie
The
Parallax
View
 was
 surprisingly
 missing.
 Yet
 such
 lack
 of
 reference
 must
 be
 understood
 as
 the
 most
 affirmative
 acknowledgement:
 the
 movie
 is
 completely
 in
 line
 with
 Zizek’s
 argument
 of
 understanding
capital
as
the
Real.
 
 A
merely
ethical
critique
of
contemporary
capitalism
will
necessarily
fail;
a
merely
economical
 critique
will
do
likewise.
Nor
is
it
possible
to
understand
the
social
totality
as
such,
since
this,
 as
 we
 show
 through
 our
 analysis
 of
 The
 Parallax
 View
 (1974),
 only
 is
 possible
 by
 turning
 ‐
15
‐



totality
into
conspiracy
(cf.
Jameson,
1992).
Only
a
critique
that
works
within
the
parallax
of
 business
and
ethics,
a
transcritique
–
to
use
Karatani’s
(2002)
term
–
can
do
such
work.
And
 this
parallax
view
must
be
maintained,
since
if
one
seeks
to
combine
the
ethical
and
economic
 views
into
a
view
of
the
social
totality,
“one
ends
up
seeing
nothing”
(Zizek,
2004:
129).
 
 Literature
 Jameson,
 F.
 (1992)
 The
 Geopolitical
 Aesthetic:
 Cinema
 and
 Space
 in
 the
 World
 System.
 Bloomington:
Indiana
University
Press.
 Karatani,
K.
(2003)
Transcritique:
On
Kant
and
Marx.
Cambridge:
MIT
Press.
 The
Parallax
View
(1974),
motion
picture,
dir.
A.
J.
Pakula.
Los
Angeles:
Paramount
Pictures.
 Zizek,
S.
(2004)
‘Parallax
view’,
New
Left
Review,
25(1):
121‐134.
 Zizek,
S.
(2006)
The
Parallax
View.
Cambridge:
MIT
Press.
 
 


‐
16
‐



‘Drink
1,
Give
10’
­
The
Values
of
Ethical
Capitalism

 Vinícius
Brei

 Pontifícia
Universidade
Católica
do
Rio
Grande
do
Sul
(PUCRS),
Brazil
 
 Steffen
Böhm
 University
of
Essex,
UK
 
 
 
 



 
 Bottled
water
is
one
of
the
fastest
growing
businesses
in
the
world,
showing
average
growth
 rates
 of
 about
 9%
 a
 year
 between
 2001
 and
 2005.
 It
 is
 the
 leader
 of
 the
 whole
 soft
 drinks
 industry
 (Euromonitor,
 2007).
 Seven
 of
 the
 ten
 biggest
 per
 capita
 consuming
 countries
 of
 bottled
 water
 are
 located
 in
 Western
 Europe.
 For
 example,
 in
 1946
 the
 per
 capita
 consumption
 of
 bottled
 water
 in
 France
 was
 just
 6
 litres
 per
 person
 (Marty,
 2005),
 but
 it
 reached
impressive
171
litres
per
person
in
2005
(INSEE,
2006).
How
should
we
explain
this
 enormous
 increase
 in
 bottled
 water
 consumption
 in
 France
 as
 well
 as
 most
 other
 so‐called
 developed
countries?
First,
we
might
need
to
consider
‘development’.
Perhaps,
bottled
water
 consumption
 is
 a
 sign
 of
 developmental
 value
 and
 progress.
 Perhaps,
 the
 more
 we
 drink
 bottled
water,
the
higher
the
standard
of
living,
the
standard
of
hygiene
and
health.
But
then
 we
 learn
 that
 99%
 of
 the
 French
 population
 is
 served
 by
 good
 quality
 tap
 water,
 which
 is
 trusted
 by
 84%
 of
 them
 (Tns‐Sofres,
 2006);
 that
 tap
 water
 costs
 about
 0.03
 Euros
 per
 litre,
 compared
to
0.38
Euros
per
litre
of
bottled
water
sold
in
supermarkets
and
an
average
of
3.11
 ‐
17
‐


Euros
 per
 litre
 when
 sold
 in
 cafés
 and
 restaurants
 (Eurostaf,
 2004).
 This
 is
 an
 apparent
 irrationality,
which
cannot
be
explained
through
narrow
economic
concepts.
We
suggest
that
 the
only
way
to
explain
the
fact
that
most
‘developed’
people
consume
so
much
bottled
water,
 despite
usually
having
access
to
safe
drinking
water,
is
through
an
understanding
of
the
value
 circuits
of
commodities
and
marketing.
 
 Our
 paper
 will
 start
 with
 a
 straight
 forward
 commodity
 chain
 analysis,
 outlining
 where
 bottled
 water
 comes
 from,
 how
 it
 is
 packaged,
 how
 it
 is
 transported
 to
 reach
 the
 furthest
 corners
of
the
world,
and
what
happens
to
the
disposed
bottles.
We
give
an
estimation
of
the
 resources
involved
in
producing,
distributing
and
marketing
of
bottled
water.
Some
financial
 figures
 and
 data
 about
 leading
 multinational
 companies
 will
 be
 provided
 to
 understand
 the
 economic
 value
 that
 is
 created
 by
 the
 bottled
 water
 industry.
 This
 production
 of
 economic
 value
 will
 then
 be
 contrasted
 in
 two
 ways:
 First,
 we
 consider
 the
 environmental
 impact
 the
 bottled
 water
 industry
 is
 creating.
 This
 impact
 is
 usually
 and
 conveniently
 dealt
 with
 as
 ‘externality’,
 the
 concept
 economists
 use
 to
 name
 all
 of
 those
 costs
 that
 a
 company
 doesn’t
 have
 to
 deal
 with,
 costs
 that
 nevertheless
 occur
 and
 that
 are
 normally
 picked
 up
 by
 ‘society’.
 What
 are
 the
 value
 implications
 of
 such
 ‘externalities’?
 Second,
 we
 consider
 the
 values
 put
 forward
 by
 the
 marketing
 strategies
 used
 by
 bottled
 water
 companies
in
order
to
sell
their
products,
which
in
 our
 view
 stand
 in
 stark
 contrast
 to
 their
 real
 (environmental
and
social)
impact.
 
 Faced
with
growing
criticism
of
its
environmental
 performance
 and
 a
 (slowing
 but
 steadily)
 saturating
 market
 in
 the
 developed
 world,
 some
 bottled
 water
 companies
 have
 recently
 switched
 their
marketing
strategies
to
actively
appeal
to
the
 emerging
 ‘ethical’
 and
 ‘green’
 consumers
 of
 ‘the
 West’.
 We
 specially
 focus
 our
 attention
 on
 one
 major
 marketing
 strategy
 by
 Volvic,
 which
 is
 Danone’s
 (one
 of
 the
 biggest
 food‐focused
 multinationals
 of
 the
 world)
 best
 selling
 bottled
 water
brand.
The
company
has
been
developing
its
campaign
‘Drink
1,
Give
10’
–
also
called
 ‘1L=10L
 for
 Africa’
 –
 in
 the
 major
 bottle
 water
 consumer
 markets,
 such
 as
 France,
 UK,
 Germany,
Canada,
Japan,
and
the
USA.
In
this
marketing
campaign
Volvic
has
teamed
up
with
 inter‐governmental
and
non‐governmental
organizations,
such
as
UNICEF
and
World
Vision,
 to
bring
clean
running
water
to
rural
parts
of
Africa.
The
idea
is
that
Volvic
will
donate
funds
 to
UNICEF
and
World
Vision
to
provide
people
in
poor
African
countries
with
at
least
ten
litres
 of
 clean
 drinking
 water
 (usually
 from
 wells)
 for
 each
 litre
 of
 bottled
 water
 sold
 to
 Western
 consumers
(Just‐Drinks.com,
2008).
 
 We
 see
 Volvic’s
 marketing
 strategy
 as
 an
 example
 of
 capital’s
 attempts
 to
 regenerate
 itself
 along
‘ethical’
and
‘green’
lines.
Ethical
and
green
consumption
are
one
of
the
fastest
growing
 sectors,
 with
 clear
 ‘value’
 implications.
 That
 is,
 large
 multinationals,
 such
 as
 Danone,
 clearly
 invest
 in
 ethical
 marketing
 strategies
 because
 it
 makes
 financial
 sense
 for
 them
 (economic
 value)
to
be
doing
‘good’
(ethical
value).
While
we
would
not
want
to
belittle
Danone’s
ethical
 considerations
or
reject
them
outright,
what
we
think
is
urgent
is
a
contrasting
of
the
value
 positions
 involved
 in
 the
 ‘Drink
 1,
 Give
 10’
 and
 other
 ethical
 marketing
 campaigns.
 ‐
18
‐


Theoretically,
Marx’s
(1967)
labour
theory
of
value
will
help
us
to
understand
the
economic
 value
 involved
 in
 the
 production
 and
 consumption
 of
 bottled
 water.
 Bourdieu
 (1984,
 2001)
 will
 help
 us
 to
 position
 Volvic’s
 marketing
 campaign
 as
 symbolic
 value,
 for
 which
 ‘good’
 organisations
 such
 as
 UNICEF
 and
 World
 Vision
 play
 a
 crucial
 role,
 primarily
 for
 providing
 legitimacy.
Finally,
we
utilize
the
arguments
put
forward
by
Boltanski
and
Chiapello
(2005)
to
 draw
 conclusions
 about
 the
 attempts
 of
 contemporary
 capitalism
 to
 incorporate
 ethical
 and
 environmental
critiques
to
regenerate
itself
along
ethical
and
green
lines.
 
 References
 Boltanski,
L.
and
Chiapello,
E.,
2005,
The
New
Spirit
of
Capitalism,
London:
Verso.
 Bourdieu,
 Pierre.
 Distinction:
 a
 social
 critique
 of
 the
 judgment
 of
 taste.
 London:
 Routledge,
 1984.
 Bourdieu,
Pierre.
Las
estructuras
sociales
de
la
economia.
Buenos
Aires:
Manantial,
2001.
 Euromonitor.
 Soft
 drinks
 –
 World.
 2007.
 Available
 at:
 .
Retrieved
4/11/2007.
 Eurostaf.
 Le
 marché
 mondial
 des
 eaux
 préemballées.
 Collection
 Dynamique
 des
 Marchés.
 Paris:
Group
Les
Echos,
2004.
 Insee.
 Consommation
 moyenne
 de
 quelques
 produits
 alimentaires.
 2006.
 Available
 at:
 http://www.insee.fr/fr/ffc/figure/NATTEF05111.XLS.
Retrieved
November
27,
2006.
 Just‐drinks.com.
 US:
 Volvic,
 UNICEF
 launch
 initiative
 for
 clean
 water
 for
 Africa.
 Available
 at
 http://www.just‐drinks.com/article.aspx?id=92700&d=1.
Acessed
on
October
27,
2008.
 Marty,
 Nicolas.
 Perrier,
 c'est
 nous!
 Histoire
 de
 la
 source
 Perrier
 et
 de
 son
 personnel.
 Paris:
 Atelier,
2005.
 Marx,
Karl,
1976,
Capital:
A
critique
of
political
economy,
Volume
1,
trans.
B.
Fowkes.
London:
 Penguin.
 Tns‐Sofres.
 (2006).
 Baromètre
 C.I.EAU
 /
 TNS
 SOFRES
 2006
 –
 “Les
 Français
 et
 l'eau”
 11
 ed.
 Available
 at:
 http://www.tns‐sofres.com/etudes/consumer
 /270306_baroeau.pdf.
 Retrieved
April
16,
2006.
 Volvic.
1L=10L
for
Africa”
UK’s
web
site.
http://www.volvic1for10.co.uk/.
Acessed
on
October
 27,
2008.
 Xerfi.
Eaux
en
bouteille.
(2006,
October).
Available
at:
http://www.xerfi.fr/.
Retrieved
July
4,
 2007.


‐
19
‐


Micro­business
 Community
 Responsibility
 (mBCR)
 –
 giving
 it
 a
 ‘thingliness’
 Sue
Campin
 University
of
the
Sunshine
Coast,
Queensland
 
 In
Australia
micro‐businesses,
with
less
than
five
employees,
represent
84%
of
all
businesses.
 Business
 giving
 in
 Australia
 doubled
 between
 2000/01
 and
 2003/04
 and
 of
 the
 525,900
 business
involved,
456,200
were
small,
with
between
1‐10
employees.
Micro‐businesses
are
 located
 in
 every
 metropolitan
 suburb
 and
 in
 every
 main
 street
 in
 regional
 and
 rural
 areas
 throughout
the
country.
The
owner/managers
of
micro‐businesses
already
touch
the
lives
of
 many
Australians
everyday
and
there
is
clearly
significant
scope
for
greater
micro‐business‐ community
engagement.
Despite
this,
research
in
Australia
and
indeed
worldwide
on
micro‐ business
decision‐making
in
regard
to
community
engagement
is
scarce.

 
 This
 paper
 highlights
 the
 need
 for
 increased
 academic
 and
 policy
 attention
 to
 be
 given
 to
 micro‐business
 community
 responsibility
 (mBCR).
 It
 outlines
 how
 business
 ethics
 and
 morality
 theory
 have
 informed
 the
 analysis
 of
 data
 collected
 from
 micro‐businesses
 throughout
 Brisbane
 on
 their
 perceived
 mBCR
 motivations.
 The
 selection
 of
 all
 respondents
 was
 based
 on
 their
 involvement
 in
 a
 version
 of
 the
 Businesses
 Improvement
 District
 (BID)
 model
known
locally
as
the
Suburban
Centre
Improvement
Projects
program
(SCIP).
The
SCIP
 program
 has
 involved
 over
 $32
 million
 in
 investment
 by
 Brisbane
 City
 Council
 and
 local
 business
partners
in
forty‐one
high
streets
throughout
the
City
over
the
last
seventeen
years.
 The
 fact
 that
 a
 public
 sector
 program
 has
 in
 fact
 lasted
 this
 period
 is
 testimony
 to
 the
 perceived
and
actual
benefits
of
the
local
partnerships
involved
as
seen
by
all
stakeholders.

 
 SCIPs,
 as
 a
 BID
 model,
 provide
 a
 useful
 lens
 through
 which
 to
 research
 mBCR.
 BIDs
 offer
 a
 spectrum
 of
 perceptions
 on
 mBCR
 which
 has
 helped
 local
 businesses
 around
 the
 world
 to
 become
 involved
 in
 a
 diversity
 of
 community
 engagement
 approaches.
 Through
 BIDs,
 local
 businesses
 have
 been
 able
 to
 pool
 funds
 through
 partnerships
 for
 the
 betterment
 of
 their
 areas
and
invest
in
diverse
projects
that
reflect
their
priorities.
At
lower
levels
of
intervention,
 BIDs
 have
 funded
 projects
 such
 as
 hanging
 pot‐plants,
 street‐cleaning,
 displaying
 public
 art
 and
 animation
 of
 public
 places.
 At
 the
 other
 end
 of
 the
 scale,
 BIDs
 have
 supported
 their
 communities
 through
 greater
 levels
 of
 engagement
 in
 areas
 such
 as
 youth
 employment,
 homeless
 outreach
 programs,
 support
 of
 local
 social
 enterprises
 and
 of
 other
 Not‐for‐Profit
 organisations.
 Some
 BID‐type
 partnerships
 are
 primarily
 government
 entities,
 others
 are
 social
enterprises
and
many
are
based
on
the
establishment
of
geographically
defined
hybrids
 including
 ‘private
 governments’
 legitimised
 by
 elected
 governments.
 These
 hybrids
 are
 characterised
 specifically
 by
 the
 outcomes
 of
 negotiations
 on
 the
 degree
 to
 which
 BID
 management
structures
can
assume
powers
over
the
public
domain.

Little
is
known
however
 of
the
business
ethics
that
guide
the
governance
of
BIDs.

 
 In
 Brisbane,
 although
 community
 and
 business
 groups
 or
 individuals
 may
 be
 initiators,
 neighbourhood
 level
 public‐private
 partnerships
 including
 SCIPs
 are
 largely
 government‐ managed.
 Within
 this
 context,
 this
 research
 has
 developed
 an
 mBCR
 typology
 of
 local
 shop‐ keepers
based
on
their
participation
in
SCIPs
through
to
deeper
levels
of
business‐community
 engagement.

The
findings
point
to
a
suite
of
factors
that
influence
mBCR
and
that
can
better
 inform
new
trans‐sectoral
partnerships,
emerging
in
the
twenty‐first
century.


‐
20
‐
 20

In
keeping
with
the
theme
of
this
conference
therefore,
this
paper
aims
to
give
the
ubiquitous,
 yet
 elusive
 area
 of
 mBCR
 a
 timely
 ‘thingliness’
 that
 may
 lead
 to
 its
 greater
 inclusion
 in
 discussions
of
where
business
ethics
is
at
and
is
heading
in
our
local
neighbourhoods
in
the
 years
ahead.
 
 


‐
21
‐
 21

Living
Ethics:
the
Buddhist
Dislocation
of
Business
Ethics
 Peter
Case
 Bristol
Business
School,
University
of
the
West
of
England
 
 René
Brohm
 Vrije
Universiteit
Amsterdam
 
 As
suggested
in
the
call
for
papers
for
the
13th
EBEN
UK
conference,
the
location
of
‘business
 ethics’
 can
 be
 problematisted
 in
 a
 number
 of
 ways.
 The
 challenge
 to
 business
 ethics
 postulated
 in
 our
 proposed
 paper
 entails
 a
 questioning
 of
 received
 opinion
 regarding
 the
 temporal,
 geographical
 and
 intellectual
 predicates
 on
 which
 it
 is
 founded
 as
 an
 academic
 discpline
 and
 offered
 as
 a
 putative
 mode
 of
 engagement
 with
 the
 world.
 An
 examination
 of
 mainstream
texts
on
business
ethics
suggest
that,
taken
as
a
discpline,
it
emerged
around
the
 middle
of
the
last
century
in
the
United
States
of
America
and
draws
on
a
variety
of
moral
and
 ethical
philosophical
positions
all
of
which
can
trace
their
origins
to
Enlightenment
and
post‐ Enlightenment
interpretations
of
classical
schools
(Parker
1998,
Jones
et
al.
2005).

Academic
 business
 ethics
 thus
 draws,
 predominantly,
 from
 one
 or
 more
 forms
 of
 deontological,
 utilitarian/consequentialist
 or
 virtue
 ethics
 (taken
 singularly
 or
 in
 combintation).
 An
 inevitable
corollary
of
this
historical
legacy
and
philosophical
orientation
is
that
non‐western
 (and,
arguably,
premodern
understandings
of
classical
philosophy)
have
been
silenced
within
 the
discourse
of
business
ethics
as
conventionally
construed.
This
occlusion
of
philosophical
 and
ethical
traditions
hailing
from
the
far
east
and
Indian
sub‐continent
should,
we
suggest,
 be
of
increasing
concern
(perhaps
even
alarm)
to
western
academics
and
practitioners
in
the
 light
of
the
seismic
geopolitical
shifts
currently
in
progress.
 
 In
 a
 modest
 attempt
 to
 address
 the
 relative
 neglect
 of
 oriental
 philosophical
 traditions,
 we
 seek
in
this
paper
to
introduce
Buddhist
ethics
into
extant
academic
conversations
concerning
 business
 ethics
 with
 the
 purpose
 of
 thinking
 about
 how
 the
 discipline
 might
 be
 modified
 or
 reconstituted
in
the
future.
Perhaps
more
importantly,
we
also
consider
what
Buddhist
ethics
 has
to
say
about
living
an
ethical
life
and,
more
particularly,
what
implications
this
might
have
 for
the
enactment
of
roles
and
interaction
within
contemporary
workplaces.
In
short,
we
set
 out
 to
 enquire
 how
 Buddhist
 ethics
 may
 or
 may
 not
 articulate
 with
 contemporary
 business
 and
organizational
practices
in
the
west.

 
 As
Jullien
(2004)
has
noted
with
respect
to
Taoist
and
Confucian
philosophy
when
compared
 with
 that
 of
 the
 ancient
 Greeks,
 oriental
 philosophy
 generally
 shies
 away
 from
 the
 establishment
 of
 context‐free,
 fixed
 or
 ideal
 forms
 of
 moral
 principle.
 In
 their
 stead,
 practitioners
are
invited
to
live
by
‘rules
of
training’
which
act
as
a
set
of
ethical
heuristics
that
 have
to
be
applied
intelligently
within
any
given
social
context.
There
are
some
parallels
with
 Aristotle’s
 notion
 of
 phronesis,
 or
 ‘practical
 wisdom’,
 which
 he
 urges
 the
 philosophically
 trained
to
pursue
in
their
worldly
interactions
(Aristotle
1955),
but
Buddhist
ethics
does
not
 have
 as
 its
 ultimate
 purpose
 the
 pursuit
 of
 virtue
 as
 an
 ideal
 or
 end
 in
 itself.
 Better
 comparisons
might
be
drawn
with
the
‘art
of
living
literature’
 
 Our
 point
 of
 departure
 for
 this
 enquiry
 lies
 in
 ancient,
 non‐modern
 history;
 namely,
 the
 founding
of
the
Buddhist
monastic
order
and
rules
of
training
which
inform
monastic
and
lay
 life.
 Gotama
 the
 Buddha
 founded
 an
 organization
 in
 northern
 India
 some
 two
 and
 half
 millennia
ago
which
was
quite
revolutionary
in
the
socio‐political
context
of
that
region
and
 time.
Individuals
of
any
caste
(‘Untouchable’
to
‘Brahmin’)
was
permitted
to
take
on
the
rules
 ‐
22
‐
 22

of
 monastic
 training
 and,
 in
 so
 doing,
 had
 to
 renounce
 the
 imperatives
 of
 social
 division
 associated
 with
 caste
 (Rhys
 Davids
 [1903]
 1993).
 Seniority
 was
 (and,
 within
 the
 Theravada
 tradition,
 still
 is)
 based
 purely
 on
 length
 of
 time
 spent
 in
 the
 order.
 Thus
 a
 former
 Brahmin
 monk
 could
 well
 be
 junior
 to
 an
 Untouchable
 and
 so
 forth.
 The
 detailed
 rules
 of
 training,
 designed
 in
 large
 measure
 to
 promote
 harmonious
 community
 living,
 combined
 with
 this
 simple
hierarchical
principle
resulted
in
the
creation
of
an
organization
that
still
exists
to
this
 day
in
much
the
same
form
as
it
did
at
the
time
of
its
founding.
In
other
words,
the
Theravada
 tradition
 prevalent
 in
 Sri
 Lanka
 and
 southeast
 Asia
 traces
 its
 genealogy
 directly
 back
 to
 the
 groupings
formed
by
the
Buddha
himself
which,
at
the
very
least,
testifies
to
an
extraordinary
 longevity.
 
 For
lay
Buddhists
within
the
Theravada
tradition,
there
are
a
simpler
set
of
ethical
principles
 which
 guide
 daily
 life,
 interaction
 and
 the
 promotion
 of
 community
 living.
 While
 there
 are
 some
 parallels,
 perhaps,
 with
 the
 systems
 of
 virtue
 ethics
 developed
 in
 Hellenic
 Greece
 around
about
the
same
time,
there
are
important
differences.
As
Jullien
(2004)
has
noted
with
 respect
to
Taoist
and
Confucian
philosophy
when
compared
with
that
of
the
ancient
Greeks,
 oriental
philosophy
generally
shies
away
from
the
establishment
of
context‐free,
fixed
or
ideal
 forms
of
moral
principle.
In
their
stead,
practitioners
are
invited
to
live
by
‘rules
of
training’
 which
act
 as
 a
 set
 of
 ethical
 heuristics
that
 have
to
be
applied
 intelligently
within
 any
 given
 social
 context.
 There
 are
 some
 parallels
 with
 Aristotle’s
 notion
 of
 phronesis,
 or
 ‘practical
 wisdom’,
 which
 he
 urges
 the
 philosophically
 trained
 to
 pursue
 in
 their
 worldly
 interactions
 (Aristotle
 1955),
 but
 Buddhist
 ethics
 does
 not
 have
 as
 its
 ultimate
 purpose
 the
 pursuit
 of
 virtue
as
an
ideal
or
end
in
itself.
Better
comparisons
might
be
drawn
with
the
‘art
of
living
 literature’
 (Dohmen
 2007;
 Foucault,
 1988,
 2005;
 Irigaray
 2002a;
 Schmid
 2004)
 and
 the
 ethical
 implications
 of
 Polanyi’s
 notions
 of
 participation
 and
 in‐dwelling
 (Polanyi
 1962;
 Polanyi
 &
 Allen
 1997).
 The
 purpose
 of
 Buddhist
 ethics
 is
 to
 provide
 a
 pragmatic
 basis
 from
 which
meditation
and
insight
can
be
pursued,
facilitating
the
realization
of
nibbana
(Nirvana
 Skt.).
 Nibbana
 exists
 in
 the
 here‐and‐now
 and
 is
 merely
 masked
 by
 wrong
 ideas
 about
 self‐ existence.
 Once
 experientially
 apprehend
 (non)action
 is,
 to
 borrow
 from
 Nietzsche,
 ‘beyond
 good
 and
 evil’.
 Paradoxically,
 the
 culmination
 of
 Buddhist
 training
 in
 ethics
 consists
 in
 liberation
from
ethics.

 
 References
 Aristotle
(1955)
The
Nichomachean
Ethics,
trans.
J.A.K.
Tomson,
Harmondsworth:
Penguin.
 Dohmen,
 J.
 (2007)
 Tegen
 de
 Onverschilligheid:
 Pleidooi
 voor
 een
 moderne
 levenskunst.
 Amsterdam:
AMBO.
 Foucault,
M.
(1988)
The
Care
of
the
Self,
The
History
of
Sexuality,
Volume
III:
Random
House.
 Foucault,
M.
(2005)
The
Hermeneutics
of
the
Subject
(G.
Burchell,
Trans.):
Picador.
 Irigaray,
 L.
 (2002a)
 Between
 East
 and
 West
 :
 from
 singularity
 to
 community.
 New
 York:
 Columbia
University
Press.
 Jones,
C.,
Parker,
M.
and
ten
Bos,
R.
(2005)
For
Business
Ethics,
London:
Routledge.
 Parker,
M.
(Ed.)(1998)
Ethics
and
Organizations,
London:
Sage.
 Polanyi,
M.
(1962)
Personal
Knowledge:
Towards
a
Post­Critical
Philosophy
(2nd
ed.).
London:
 Routledge
&
Kegan
Paul.
 Polanyi,
 M.,
 and
 Allen,
 R.
 T.
 (Eds.)(1997)
 Michael
 Polanyi:
 Selected
 Papers
 on
 Society,
 Economics
and
Philosophy,
Rutgers:
Transaction
Publishers.
 Rhys
Davids,
T.W.
(1903/1993)
Buddhist
India,
Delhi:
Motilal
Banarsidass
Publishers.
 Schmid,
 W.
 (2004)
 Mit
 sich
 selbst
 befreundet
 sein:
 Von
 der
 Lebenskunst
 im
 Umgang
 mit
 sich
 selbst:
Suhrkamp
Verlag.
 
 
 ‐
23
‐
 23

Better
 payers?
 An
 empirical
 study
 of
 the
 trade
 credit
 practices
 of
 signatories
of
payment
codes
and
members
of
FTSE4Good
 Christopher
J.
Cowton
 University
of
Huddersfield
Business
School
 
 Dr
Leire
San
Jose
 University
of
Huddersfield
Business
School
 University
of
the
Basque
Country,
Bilbao,
Spain
 
 
 
 Background
 Trade
credit
can
be
defined
as
a
form
of
interfirm
relationship
in
which
suppliers
lend
money
 to
their
clients
(Meltzer,
1960)
or
in
a
similar
simple
way
as
a
part
of
a
joint
commodity
and
 financial
 transaction
 in
 which
 the
 seller
 allows
 delayed
 payment
 for
 its
 good
 or
 service
 to
 their
customers
(Mian
&
Smith,
1992,
1994;
Lee
&
Stowe,
1993).
This
means
that
when
goods
 or
services
are
delivered
to
a
firm
for
use
in
its
production
they
are
not
paid
for
immediately
 (McMenamin,
1999;
Arnold,
2005;
Brealey,
Myers
&
Allen,
2006).

 
 As
 finance
 textbooks
 (e.g.
 Van
 Horne
 &
 Wachowicz,
 2001;
 Ross
 et
 al.,
 2005;
 Brealey
 et
 al.,
 2006)
and
conventional
commercial
wisdom
point
out,
it
is
(ceteris
paribus)
to
the
benefit
of
 businesses
to
delay
paying
suppliers
as
long
as
possible
in
order
to
take
advantage
of
a
free
 source
 of
 finance.
 Such
 practices
 raise
 ethical
 issues.
 Delay
 (or,
 even
 worse,
 default)
 by
 customers,
 especially
 major
 ones,
 can
 have
 severe,
 if
 not
 financially
 fatal,
 consequences
 for
 suppliers,
with
repercussions
in
turn
for
their
own
suppliers
and
other
stakeholders
such
as
 employees.
 This
 has
 become
 increasingly
 widely
 recognised
 with
 the
 recent
 arrival
 of
 the
 credit
crisis
and
an
economic
downturn.
 
 Public
Payment
Initiatives
 Although
 brought
 into
 sharper
 focus
 by
 current
 economic
 problems,
 the
 promptness
 and
 clarity
of
payments
related
to
trade
credit
have
been
subject
to
various
initiatives
in
the
UK
in
 recent
years.
 
 Plcs
(and
Plc
subsidiaries
which
qualify
as
‘large’
companies)
were
required
to
disclose
their
 policy
on
the
payment
of
trade
creditors
in
the
United
Kingdom5
by
the
Companies
Act
1985.

 The
 “Policy
 on
 the
 Payment
 of
 Creditors”
 (Part
 VI)
 established
 that
 companies
 should
 settle
 the
terms
of
payment
with
suppliers
when
agreeing
the
terms
of
each
transaction,
ensure
that
 those
suppliers
are
made
aware
of
the
terms
of
payment,
and
abide
by
those
terms.
Moreover,
 the
 annual
 report
 should
 disclose
 the
 company’s
 policy
 to
 follow
 any
 code
 or
 standard
 on
 payment
practice,
and
if
so,
the
name
of
the
code
or
standard
and
the
place
where
information
 about,
and
copies
of,
the
code
or
standard
can
be
obtained.
This
aspect
of
the
Companies
Act
 has
been
active
since
1997.

Finally,
It
is
now
a
requirement6
that
the
directors’
report
should
 make
 a
 quantitative
 statement
 relating
 the
 amount
 outstanding
 to
 suppliers
 to
 the
 total
 invoiced
during
the
year.


5 6


SI
(Statutory
Instrument)
1996/189.
 
Companies
Act
1985
(Directors’
Report)
(Statement
of
Payment
Practice)
Regulations
1997.
 ‐
24
‐ 24




No.
of
days


=




Trade
creditors
at
the
end
of
the
year






x
365
 
 
 




Aggregate
amount
invoiced
by
suppliers
 during
the
year



 This
latter
figure
gives
an
insight
into
company
practice,
to
complement
the
policy
statements
 they
might
also
make.
 
 The
payment
codes
that
the
companies
in
our
sample7
sign
are
two:
“Prompt
payers:
in
good
 company”
and
“Better
Payment
Practice”.
The
first
one,
“Prompt
payers:
in
good
company”,
is
 the
voluntary
code
of
practice
that
was
promulgated
by
the
Confederation
of
British
Industry
 (CBI)
 from
 1991.
 A
 further
 development
 in
 1997
 was
 the
 publication
 of
 the
 Department
 of
 Trade
 and
 Industry
 (DTI)
 document
 “Better
 Payment
 Practice”,
 which
 contains
 guidance
 about
 giving
 and
 taking
 trade
 credit.
 This
 superseded
 the
 CBI
 code.
 More
 recently,
 in
 December
2008
the
ICM
(Institute
of
Credit
Management),
on
behalf
of
BERR
(Department
for
 Business,
 Enterprise
 and
 Regulatory
 Reform),
 has
 developed
 a
 further
 version
 of
 this,
 the
 “Prompt
 Payment
 Code”,
 which
 is
 focused
 on
 three
 main
 areas:
 a
 commitment
 to
 pay
 suppliers
on
time;
giving
clear
guidance
to
suppliers;
and
encouraging
good
payment
practice.

 The
 focus
 of
 the
 payment
 codes
 and
 Companies
 Act
 1985
 about
 policy
 on
 the
 payment
 of
 creditors
is
close.
Both
are
concerned
with
establishing
agreement
about
payment
terms,
with
 giving
full
and
accurate
information
to
suppliers,
with
making
a
commitment
to
pay
suppliers
 on
time
and
with
describing
conflict
resolution
steps.
Those
initiatives,
at
least
theoretically,
 are
designed
to
encourage
“better”
behaviour
by
companies
in
dealing
with
their
suppliers.

 
 The
focus
of
the
paper
 There
 are
 several
 technical
 and
 ethical
 questions
 that
 can
 be
 asked
 about
 trade
 credit.
 Two
 particular
 aspects
 are
 focused
 upon
 in
 this
 paper.
 First,
 we
 will
 analyze
 the
 differences
 between
companies
that
have
signed
a
payment
code
and
those
that
have
not.
In
particular,
do
 signatories
pay
suppliers
more
quickly?
 
 Second,
 is
 there
 any
 evidence
 that
 companies
 that
 might
 be
 seen
 as
 relatively
 “good”,
 in
 a
 general
sense,
pay
their
suppliers
more
quickly?
We
investigate
this
by
comparing
companies
 that
 are
 members
 of
 the
 FTSE4Good
 index
 with
 those
 that
 are
 not
 members
 (see
 www.ftse.com).
FTSE4Good
contains
many
criteria,
but
none
tackles
payment
policy
towards
 suppliers.
 So
 in
 this
 paper
 we
 address
 the
 following
 question:
 are
 companies
 in
 the
 FTSE4Good
index
better
payers
than
companies
that
are
not
included
in
this
index?
 
 References
 Arnold,
 G.
 2005.
 Corporate
 Financial
 Management,
 3th
 edition.
 Pearson
 education
 Limited.
 England.
 Brealey,
 R.A.,
 S.C.
 Myers
 &
 F.
 Allen.
 2006.
 Principles
 of
 Corporate
 Finance,
 8th
 Edition.
 New
 York:
McGraw‐Hill
Irwin.
 Lee,
Y.
&
Stowe,
J.
1993.
‘Product
Risk,
Asymmetric
Information
and
Trade
Credit.’
Journal
of
 Financial
and
Quantitative
Analysis,
March,
nº.1,
285‐300.
 McMenamin,
J.
1999.
Financial
Management.
An
Introduction.
Routledge,
New
York.
 Meltzer,
 A.
 1960.
 ‘Mercantile
 Credit
 Monetary
 Policy,
 and
 Size
 of
 Firms.’
 
 The
 Review
 of
 Economics
and
Statistics,
November,
42,
429/437.
 Mian,
 S.
 &
 Smith,
 C.,
 Jr.
 1992.
 ‘Accounts
 Receivable
 Management
 Policy:
 and
 Evidence”,
 The
 Journal
of
Finance,
March,
42
(1),
169‐200.
 7


See
Appendix
1
for
information
about
the
sample
and
Appendix
2
for
a
better
understanding
of
the
technical
 characteristics
of
the
study.
 ‐
25
‐ 25

Mian,
S.
&
Smith,
C.,
Jr.
1994.
‘Extending
Trade
Credit
and
Financing
Receivables.’
Continental
 Bank,
Journal
of
Applied
Corporate
Finance,7
(1),
75‐84.
 Ross,
S.A.,
R.W.
Westerfield
&
J.
Jaffe.
2005.
Corporate
Finance,
7th
Edition.
New
York:
McGraw
 Hill.
 Van
Horne,
J.C.
&
J.M.
Wachowicz.
2001.
Fundamentals
of
Financial
Management,
11th
Edition.
 Upper
Saddle
River,
NJ:
Prentice
Hall.
 
 Appendix
1.
The
sample
 Secondary
 data
 is
 a
 valuable,
 and
 arguably
 under‐exploited,
 source
 of
 empirical
 insights
 of
 relevance
to
business
ethics
(Cowton,
1998).

In
this
case,
the
requirement
for
companies
to
 disclose
 in
 their
 directors’
 report
 information
 about
 their
 payment
 policy
 and
 practice
 has
 provided
the
opportunity
to
construct
a
database
relevant
to
a
consideration
of
the
ethics
of
 trade
credit.

The
database
contains
several
fields
for
a
sample
of
200
companies
comprising
 the
following:
 •

100
companies
from
the
FTSE
100;8


•

50
companies
from
the
FTSE
250
(i.e.
20%,
randomly
selected);
and


•

50
smaller
companies
from
outside
the
FTSE
350,9
i.e.
the
FTSE
SmallCap
(14%,
randomly
 selected).


Because
 FTSE
 100
 companies
 dominate
 the
 stock
 market,
 the
 sample
 of
 200
 companies
 represents
approximately
85%
of
the
market
capitalization
of
UK
companies.

 The
 database
 has
 been
 populated
 using
 data
 obtained
 from
 the
 FAME
 database
 or
 directly
 from
 annual
 reports
 sourced
 from
 company
 websites
 or
 via
 the
 Financial
 Times
 Annual
 Report
Service.


 Appendix
2.
The
technical
characteristics
of
the
study
 UNIVERSE


UK
 Companies.
 FTSE
 All‐Share
 Constituents
 &
 Weightings
(100,
250,
SmallCap)


SAMPLE


200
companies
(around
50%
FTSE4Good)


SAMPLING


Systematic
random
probabilistic
sample


TARGET
GROUP


FTSE
 companies
 with
 payment
 policy
 in
 Annual
 Report
(Directors’
Report)


DATA


The
 data
 of
 companies
 have
 been
 taken
 of
 Annual
 Report
of
FTSE
companies
2007
and
FAME
Database
 in
2007


TECHNIQUE


Review
of
Annual
Reports
2007


DATE
 PERFORMED


Field
 work
 was
 carried
 out
 on
 November
 2007
 (choose
 sample
 and
 collect
 available
 2007
 Annual
 Reports)
 and
 November
 2008
 (collect
 the
 rest
 of
 2007
Annual
Reports,
review
data
comparing
Annual


8


At
the
time
of
constructing
the
database
there
were
actually
102
companies
in
the
FTSE
100,
but
we
have
omitted
 Royal
Dutch
Shell
and
Schroders
N/V
because
of
their
unusual
ownership
structure.
 9 
FTSE
100
+
FTSE
250
=
FTSE
350
 ‐
26
‐ 26

Reports
and
FAME,

and
clean
the
sample)
 MARGIN
 ERROR


OF
 Em=
 ±
 3.77%
 with
 a
 confidence
 level
 of
 95%,
 p=q=0.5,
for
overall
data





‐
27
‐ 27

Integration
of
people
with
disabilities
to
the
world
of
work.
Is
it
an
act
 of
CSR
or
business
reality?

 Sara
Csillag,
Roland
Szilas
and
Andras
Szentkiralyi

 Corvinus
University
of
Budapest
 
 
 
 After
 1990,
 in
 Hungary,
 major
 economic
 and
 societal
 changes
 took
 place.
 In
 line
 with
 the
 changes
of
the
economic
structure
and
the
labour
market,
hundred
thousands
of
people
left
 the
‘world
of
work’.
Unemployment
dramatically
increased
just
like
the
number
of
Hungarians
 becoming
disability
pensioners
or
receiving
other
kinds
of
social
allowances.
According
to
The
 Hungarian
 Statistical
 Office
 (KSH),
 in
 2002
 there
 were
 656
 thousand
 people
 in
 Hungary
 (between
18
and
65
years
of
age),
who
had
a
chronic
health
problem,
and
only
14%
of
them
 were
 present
 in
 the
 labour
 market.
 The
 costs
 of
 this
 mass
 inactivity
 are
 huge
 for
 both
 the
 individual
 and
 the
 society:
 according
 to
 the
 results
 of
 the
 nation‐wide
 Hungarian
 Health
 Survey
 (Hungarostudy
 2002)
 those
 citizens,
 who
 received
 disability
 pensions
 and
 were
 not
 working
 at
 all,
 reported
 significantly
 worse
 results
 concerning
 quality
 of
 life,
 depression,
 satisfaction,
and
hope.
(Steiner
and
Berghammer,
2006,
in
Kopp
and
Kovács,
2006).
 
 In
 this
 paper
 we
 briefly
 discuss
 an
 experimental
 vocational
 integration
 model,
 workgroup
 integration
model
(at
the
same
time
differentiate
it
from
segregated
employment
models).
We
 show
 the
 findings
 of
 our
 research
 from
 the
 point
 of
 view
 of
 employers
 and
 participants
 concerning
 the
 following
 questions.
 (1)
 What
 are
 the
 most
 important
 corporate
 drivers
 of
 employing
 people
 with
 disabilities?
 (2)
 Do
 companies
 consider
 employing
 people
 with
 disabilities
 as
 act
 of
 corporate
 social
 responsibility,
 a
 kind
 of
 diversity
 management
 tool
 or
 simple
 business
 transaction?
 (3)
 What
 do
 the
 participants
 of
 the
 workgroup
 integration
 process
think
about
those
corporate
drivers?
 Our
 research
 methods
 are:
 semi‐structured
 interviews
 with
 all
 the
 stakeholders
 of
 the
 workgroup
integration
program
(people
with
disabilities,
mentors,
top
managers
of
employer
 companies,
 colleagues
 at
 employer
 companies,
 altogether
 40
 interviews),
 non‐participant
 observation
of
workplaces,

questionnaires
(Hungarian
Health
Survey
Panel,
Hunt
motivation
 test)
and
psychological
tests.
 
 Indicative
references
 K.
 Basu
 –
 G.
 Palazzo
 (2005):
 An
 inductive
 typology
 for
 Corporate
 Social
 Responsibility.
 Academy
of
Management
Best
Conference
Papers
2005
 A.
 B.
 Carroll
 (1999):
 Corporate
 social
 responsibility.
 Evolution
 of
 a
 definitional
 construct.
 Business
and
Society,
38(1)


 D.
 Dagit,
 D.
 Lathrop
 (2004):
 A
 Guide
 to
 Managing
 Persons
 with
 Disabilities.
 The
 Diversity
 Factor
Group
Insights
Volume
12,
Number
3
 D.
 Hagner,
 B.
 Cooney
 (2003):
 Building
 employer
 capacity
 to
 support
 employees
 with
 severe
 disabilities
in
the
workplace.
Work
21
(2003)
77–82
 R.W.
 Mackelprang,
 Salsgiver
 R.O.
 (1996):
 People
 with
 disabilities
 and
 social
 work:
 historical
 and
contemporary
issues.
1996
Jan;
41(1):7‐14. javascript:PopUpMenu2_Set(Menu8560321);
 D.Melé
–
E.
Garriga
(2004):
CSR
theories
‐
mapping
the
territory,
Journal
of
Business
Ethics,
 53,
51‐71

 R.
 L.
 Morgan,
 M.
 Alexander
 (2005):
 The
 employer’s
 perception:
 Employment
 of
 individuals
 with
developmental
disabilities.
Journal
of
Vocational
Rehabilitation
23
39–49
 ‐
28
‐ 28

A.
Yue:
Acquired
Disability
and
Returning
to
Work
(2008):
Towards
a
Stakeholder
Approach.
 Journal
of
Workplace
Rights;
Jan2008,
Vol.
13
Issue
1,
p73‐91
 C.
 Woodhams,
 A.
 Daniely
 (2000):
 Disability
 and
 diversity:
 a
 difference
 too
 far?
 Personal
 Review,
Vol
29,
No3.
2000
 Kopp
 M,
 Kovács
 M
 (editors)
 (2006):
 A
 Magyar
 népesség
 életminősége
 az
 ezredfordulón,
 Semmelweis
Kiadó,
Budapest


‐
29
‐ 29

Understanding
the
Making
of
an
Ethical
Decision
 Simon
Dawson
 Bristol
Business
School,
University
of
the
West
of
England
 
 
 
 I
am
researching
factors
that
drive
management
decision‐making.
Particularly
I
am
examining
 the
frequently
observed
bias
towards
quantitative
factors
–
often
related
to
money,
and
away
 from
qualitative
factors
–
often
related
to
people
(Watson,
2001).
My
literature
research
has
 investigated
the
role
of
values
in
the
generation
of
behaviour
and
I
believe:
 
 H1
there
is
no
direct
link
between
a
person’s
expressed
values
and
the
 moral
or
ethical
status
of
their
behaviour;
 
 My
field
research
indicates
that:
 
 H2
the
value
of
personal
‘career
survival’
is
a
dominant
factor
that
affects
management
 behaviour;
and,
 
 H3
 the
 application
 of
 this
 value
 may
 take
 into
 account
 ethical
 or
 moral
 codes
 if
 they
 affect
‘career
survival’.
 
 Definitions
 My
research
is
based
on
the
relationship
between
values,
morals
and
ethics
as
follows.
 Values
I
take
this
term
as
applying
to
individuals
and
indicating
what
they
value;
that
is,
what
 is
important
to
them.
This
definition
can
incorporate
any
of
the
various
classification
systems
 that
have
been
devised
(for
example
Rescher
(1969),
Rokeach
(1973)),
I
also
view
value
as
a
 complex
 idea
 in
 the
 nature
 of
 a
 ‘gestalt’
 as
 described
 by
 Frondizi
 (1971)
 [the
 paper
 will
 include
a
demonstration
of
a
gestalt
using
twigs
placed
by
me
and
twigs
placed
by
an
Ikebana
 student].
 
 Morals
When
these
personal
values
are
enacted,
it
is
common
to
apply
a
socially
good
or
bad
 assessment
 to
 indicate
 the
 morals
 or
 morality
 of
 the
 action;
 it
 is
 then
 possible
 to
 introduce
 judgements
such
as
‘immoral’.
 
 Ethics
When
values
are
enacted
we
can
also
apply
minimum
standards
of
social
acceptability,
 so
 indicating
 the
 ethics
 or
 ethical
 position
 of
 the
 action;
 it
 is
 then
 possible
 to
 introduce
 judgements
such
as
‘unethical’.
These
minimum
standards,
as
codes
of
ethics
are
particularly
 used
in
professions
and
socially
aware
businesses.
 
 My
research
 Methodology
 There
 has
 been
 little
 agreement,
 despite
 much
 research,
 on
 the
 links
 between
 values
 and
 behaviour.
 Much
 research
 is
 quantitative,
 and
 much
 research
 is
 built
 on
 Rest’s
 theory
 (quoted
 by
 O'Fallon
 &
 Butterfield
 (2005))
 –
 both
 of
 these
 I
 will
 argue
 impede
 understanding
in
this
area.
 
 My
research
adopts
a
different
perspective,
using
the
concept
of
the
inter‐subjective
field
 ((MacKewn,
1997),
(Stolorow,
Brandchaft,
&
Atwood,
2000)).
Some
key
features
are
that:
 ‐
30
‐ 30

• •

people
 cannot
 easily
 be
 understood
 in
 isolation,
 they
 operate
 as
 integral
 and
 interactive
entities
within
a
socio‐cultural
background
–
they
operate
in
a
field;
 human
 behaviour
 cannot
 be
 attributed
 to
 any
 single
 cause
 but
 arises
 from
 the
 interlocking
forces
of
a
field;



 and:
 
 • because
 the
 field
 and
 the
 forces
 operating
 within
 it
 are
 in
 continual
 flux,
 individuals
 will
constantly
change
their
perspective,
from
moment
to
moment;
 • as
all
aspects
of
the
field
are
interconnected,
change
in
any
part
of
the
field
is
likely
to
 affect
the
whole
field;
 • People
 continually
 organise
 and
 reorganise
 their
 perception
 of
 their
 circumstances,
 making
some
aspects
of
the
field
figural
while
others
become
background.
 
 Applying
 this
 perspective,
 the
 research
 is
 collecting
 micro
 case
 studies
 (vignettes
 of
 real
 experiences)
 to
 determine
 whether
 patterns
 may
 exist
 that
 inform
 social
 awareness.
 This
 process
has
been
described
by
Flyvberg
(2001)
and
a
major
research
programme
examining
 North
American
cultural
views
(Bellah,
Madsen,
Sullivan,
Swidler,
&
Tipton,
1985).
 
 Data
collection
This
research
is
interviewing
managers
[n=40]
of
varying
genders
and
cultural
 groups
[details
will
be
available
at
the
conference
together
with
audio
extracts
from
several
 case
 study
 interviews
 –
 the
 subjects
 have
 already
 agreed].
 Interviews
 are
 to
 elicit
 actual
 examples
of
decision‐making
in
two
or
more
different
contexts
–
for
instance
a
small
company
 and
a
large
company.
 
 Preliminary
results
The
results
are
being
categorised
by
identifying
the
figural
factors
affecting
 the
 decisions
 made.
 Preliminary
 results
 indicate
 that
 the
 most
 figural
 value
 affecting
 a
 manager’s
decision
is
career
survival.
This
is
in
accordance
with
Harrison
and
 Pelletier
 (2000
 p462)
 who
 describe
 the
 teleological
 pull
 of
 the
 successful
 management
 decision.
 Enacting
 this
 value
 is
 reported
 by
 data
 subjects
 to
 take
 into
 account
 moral
 and
 ethical
codes
if
they
are
thought
to
be
important
to
the
outcome
of
the
decision.
I
believe
that
 cases
 such
 as
 Enron
 are
 a
 result
 of
 errors
 in
 wrongly
 assessing
 the
 importance
 of
 ethical
 transgression
to
career
survivability
decisions.
 
 References
 Bellah,
R.
N.,
Madsen,
R.,
Sullivan,
W.
M.,
Swidler,
A.,
&
Tipton,
S.
M.
(1985).
Habits
of
the
 Heart:
Individualism
and
Commitment
in
American
Life.
London:
University
of
California
Press.
 Flyvberg,
B.
(2001).
Making
Social
Science
Matter:
Why
Social
Science
Inquiry
Fails
and
 How
it
Can
Succeed
Again.
Cambridge:
Cambridge
University
Press.
 Frondizi,
 R.
 (1971).
 What
 is
 Value
 ?
 An
 Introduction
 to
 Axiology.
 La
 Salle:
 Open
 Court
 Publishing.
 Harrison,
 E.
 F.
 &
 Pelletier,
 M.
 A.
 (2000).
 The
 essence
 of
 management
 decision.
 Management
Decision,
38(7),
462‐469.
 MacKewn,
J.
(1997).
Developing
Gestalt
Counselling.
London:
Sage.
 O'Fallon,
M.
J.
&
Butterfield,
K.
D.
(2005).
A
Review
of
the
Ethical
Decision‐Making
Literature
 1996‐2003.
Journal
of
Business
Ethics,
59,
375‐413.
 Rescher,
N.
(1969).
Introduction
to
Value
Theory.
Englewood
Cliffs:
Prentice‐Hall.
 Rokeach,
M.
(1973).
The
Nature
of
Human
Values.
New
York:
The
Free
Press.
 Stolorow,
 R.
 D.,
 Brandchaft,
 B.,
 &
 Atwood,
 G.
 E.
 (2000).
 Psychoanalytic
 Treatment:
 An
 Intersubjective
Approach.
Hillsdale
NJ:
The
Analytic
Press.
 Watson,
J.
C.
(2001).
Qualitative
vs.
Quantitative:
Myths
of
the
Culture
and
Practical
Experience.
 Paper
presented
at
the
34th
Hawaii
International
Conference
on
Systems
Sciences.
 ‐
31
‐ 31

A
 Transactional
 Account
 of
 Business
 Ethics:
 A
 Single
 Methodology
 for
 a
 Diverse
Subject
 James
Dempsey
 University
of
Stirling
/
University
of
St
Andrews
 
 The
questions
that
are
typically
grouped
under
the
heading
of
‘business
ethics’
are
many
and
 diverse:
for
example,
questions
about
the
ethical
duties
that
fall
on
individuals
while
working
 in
 corporations,
 about
 how
 these
 duties
 relate
 to
 a
 broader
 picture
 of
 moral
 responsibility,
 and
about
how
the
two
can
be
reconciled
while
still
retaining
relevance
to
individuals
facing
 dilemmas
 in
 their
 daily
 lives.
 Furthermore,
 questions
 are
 asked
 about
 the
 nature
 of
 corporations
 themselves,
 what
 place
 they
 fill
 amongst
 the
 objects
 and
 agents
 that
 populate
 both
the
moral
and
legal
landscapes,
and
how
the
relations
between
all
such
entities
affect
the
 duties
 to
 which
 each
 is
 subject.
 The
 answers
 we
give
to
 these
 questions
will,
 in
turn,
 colour
 our
approach
to
another
set
of
questions
that
ask
about
the
nature
and
ethics
of
business
that
 is
 not
 predicated
 on
 the
 existence
 of
 corporations.
 Often
 these
 questions
 are
 tackled
 in
 isolation
without
considering
the
implications
for
the
broader
pictures
of
business
ethics,
and
 morality
 in
 general.
 This
 is
 unfortunate,
 as
 a
 result
 that
 appears
 satisfactorily
 to
 address
 problems
within
a
particular
narrow
scope
often
has
extremely
counterintuitive
implications
 elsewhere.
 
 In
 this
 paper
 I
 will
 argue
 for
 a
 common
 methodological
 framework
 for
 addressing
 all
 the
 issues
that
fall
within
the
broad
scope
of
business
ethics.
I
will
start
with
some
examples
of
 how
narrow
approaches
to
certain
questions
have
led
to
problems
in
constructing
generally
 coherent
accounts
of
business
ethics:
for
example,
theories
that
have
asked
in
whose
interest
 corporations
 should
 be
 governed,
 with
 the
 claims
 of
 shareholders
 and
 other
 ‘stakeholders’
 compared
and
contrasted,
have
often
assumed
we
can
provide
a
coherent
answer
to
questions
 about
 what
 corporations
 are
 independent
 of
 our
 answers
 to
 these
 questions.
 I
 will
 suggest
 that
 the
 concept
 upon
 which
 a
 common
 methodology
 should
 be
 constructed
 is
 one
 familiar
 both
 to
 philosophical
 and
 commercial
 dialogues
 –
 that
 of
 a
 ‘transaction’.
 The
 definition
 of
 a
 transaction
 that
 I
 give
 will
 be
 broader
 than
 traditional
 accounts,
 in
 which
 the
 free
 use
 of
 a
 certain
 kind
 of
 authority
 to
 acquire
 new
 obligations
 and
 rights
 by
 all
 parties
 is
 a
 necessary
 condition
for
a
transaction
to
occur.
My
account
will
incorporate,
amongst
other
features,
both
 purely
causal
aspects
and
an
interpretation
of
intention
that
does
not
presuppose
freedom.
I
 will
 argue
 that,
 understood
 in
 this
 way,
 transactions
 provide
 both
 the
 normative
 and
 descriptive
 tools
 necessary
 to
 form
 the
 basis
 of
 solutions
 to
 the
 diverse
 questions
 encompassed
within
the
sphere
of
business
ethics.
Having
done
this,
I
will
offer
some
reasons
 for
 thinking
 that
 a
 transactional
 account
 is
 normatively
 justified,
 beyond
 an
 appeal
 to
 its
 broad
 explanatory
 power.
 Indeed,
 while
 I
 will
 not
 press
 the
 point,
 I
 will
 suggest
 that
 more
 than
 just
 linking
 an
 account
 of
 business
 ethics
 to
 broader
 ethical
 theory,
 a
 transactional
 analysis
 is
 the
 most
 satisfactory
 account
 we
 can
 form
 of
 ethics
 per
 se.
 In
 this
 sense,
 transactions
 not
 only
 provide
 the
 tools
 for
 locating
 the
 questions
 of
 business
 ethics
 with
 respect
to
each
other,
but
also
for
locating
business
ethics
itself
in
the
broader
descriptive
and
 normative
landscape
of
human
interaction.
 
 Returning
to
my
earlier
examples,
I
will
show
how
some
common
questions
in
business
ethics
 may
be
approached
through
a
transactional
analysis,
and
how
they
then
come
to
be
integrally
 and
coherently
related
to
each
other.
For
example,
transactional
analysis
shows
that
the
basic
 question
 we
 need
 to
 ask
 relates
 to
 the
 duties
 acquired
 by
 individuals
 as
 a
 result
 of
 the
 ‐
32
‐ 32

transactions
 in
 which
 they
 are
 engaged;
 in
 this
 way,
 a
 continuum
 is
 established
 between
 duties
 acquired
 in
 a
 business
 context,
 and
 those
 acquired
 through
 other
 aspects
 of
 an
 individual’s
 life.
 Questions
 about
 corporations
 and
 their
 nature
 are
 now
 secondary:
 corporations,
 and
 institutions
 more
 generally,
 exist
 only
 as
 a
 result
 of
 transactions
 between
 individuals,
 each
 being
 identified
 with
 a
 set
 of
 transactions
 of
 a
 particular
 kind
 that
 form
 a
 nexus.
 The
 nature
 of
 the
 transactions
 and
 the
 nexus
 they
 form
 define
 the
 nature
 of
 the
 corporation.
In
fact,
all
aspects
of
a
corporation,
moral,
legal
and
ontological,
now
supervene
 on
the
relevant
aspects
of
the
transactions
of
which
they
are
formed.
 
 Finally,
 if
 a
 transactional
 model
 is
 to
 answer
 first
 order
 questions
 that
 are
 relevant
 to
 the
 decisions
made
by
individuals
in
the
course
of
their
business
lives,
further
specification
will
 be
required.
I
will
conclude
by
suggesting
what
further
work
will
need
to
be
done
in
order
to
 achieve
this.


‐
33
‐ 33

Business
Ethics:

Finding
the
truth
of
things
in
Uni­central
and
Multi­ central
configurations
 Kevin
R.
Dixon
 
 
 
 This
 paper
 explores
 the
 ethical
 challenges
 and
 dilemmas
 encountered
 and
 experienced
 in
 making
 choices
 based
 upon
 morality
 and
 the
 interpretation
 of
 ethical
 theory
 in
 uni‐central
 and
multi‐central
organisations.

Drawing
upon
case
studies,
over
a
period
of
ten
years,
from
 the
perspective
of
policy
maker,
professional
accountant
in
government,
internal
consultant,
 and
 as
 an
 independent
 consultant
 and
 educator,
 the
 author
 uses
 his
 personal
 experience
 of
 changed
 roles
 and
 shifting
 identities
 to
 find
 the
 truth
 of
 power,
 politics,
 social
 conflict
 and
 energies
involved
in
two
perspectives,
the
micro
and
macro
business
environment
in
each
of
 the
 cases.
 
 The
 author
 links
 these
 ‘energies’
 to
 ethical
 challenges
 and
 debates
 about
 globalisation,
corporate
governance
and
leadership,
to
family
and
culture.



Using
cameos
of
 uni‐central
 and
 multi‐central
 organisation
 across
 sectors;
 in
 voluntary
 and
 community
 settings,
a
Local
Authority,
and
a
Department
of
Health
Agency;
the
author
questions
to
what
 extent
family,
education,
community,
business
and
government
shape
and
determine
ethical
 theories
 in
 use.
 
 
 
 
 The
 author’s
 findings
 are
 that
 the
 ‘ethical
 stance’
 of
 the
 individual
 and
 organisation
 is
 both
 shaped,
 and
 shaped
 by,
 the
 context
 in
 which
 he/she
 inhabits,
 the
 complexity
of

modern
life,
increasing
technologies,
has

created
illusions
and
delusions
that

 are
 both
 ‘harnessing’
 and
 ‘harrowing’.
 The
 illusions
 and
 delusions
 have
 led
 to
 increased
 dependency,
ambivalence
and
ambiguity
about
choice
and
difference,
conflated
by
conformity
 and
denial.

The
splitting
off
of
the
good
and
bad
character
is
now
projected
on
to
the
money
 markets
as
if
governments
have
had
no
responsibility
for
setting
the
right
tone,
in
regulation
 and
enforcement,
and
are
powerless
to
engage
with
the
dark
forces
that
lie
within...


In
this
 ‘phantasmagoria’
 the
 withholding
 of
 money
 as
 ‘the
 energy
 of
 things
 in
 transit’
 by
 the
 consumer
 is
 an
 unconscious
 wilful
 withdrawal
 of
 allegiance
 from
 leadership;
 a
 rebellion
 against
leaders
it
does
not
trust,
that
has
lied
and
deceived.
In
this
phantasmagoria,
the
paper
 implies
the
need
for
individuals,
to
learn
from
the
history
of
events,
to
reflect
and
re‐engage
 with
 understanding
 their
 own
 sense
 of
 morality
 and
 ethics,
 to
 find
 the
 truth
 of
 things
 from
 within
themselves.
 


‐
34
‐ 34

The
World
At
Your
Doorstep.
The
Ethical
Legitimacy
Of
Drug
Testing
 In
Sport:
The
Relevance
Of
Organisational
Justice
As
A
Counterveiling
 Model,
And
The
Wider
Lessons?
 Anthony
Fenley
 Centre
For
Employment
Studies
Research,
University
Of
The
West
Of
England,
Bristol
 
 
 
 The
growth
in
drug
testing
and
the
issues
surrounding
it
have
elevated
the
activity
into
a
key
 consideration
 when
 examining
 modern
 working
 and
 employment
 relationships.
 This
 is
 especially
true
in
the
context
of
sport
where
glaring
publicity
has
attached
itself
to
the
testing
 phenomena
 in
 the
 wake
 of
 sporting
 authorities
 goals
 of
 maintaining
 the
 integrity
 of
 their
 respective
 sports.
 This
 high
 profile
 appears
 to
 apply
 not
 only
 to
 drugs
 as
 a
 mode
 of
 performance
 enhancement,
 but
 also
 to
 the
 recreational
 use
 of
 drugs
 where
 laws
 are
 transgressed,
and
the
reputation
of
sports
personalities
as
role
models
breached.
 
 However
 testing
 also
 raises
 questions
 in
 respect
 of
 human
 rights
 and
 the
 encroachment
 of
 what
might
be
regarded
as
the
sportsman
or
woman’s
‘private
space’,
this
is
related
to
issues
 of
work‐life
balance.
In
addition
there
are
more
general
concerns
concerning
the
reliability
of
 testing,
 in
 respect
 of
 the
 chain
 of
 custody
 question,
 and
 the
 validity
 of
 the
 tests
 themselves,
 and
the
overall
impact
of
these
matters
on
the
livelihood
and
reputation
of
sports
people
in
 the
context
of
highly
pressurised
work
environments.

 
 The
first
part
of
this
paper
seeks
to
build
on
a
previous
more
general
study
undertaken
by
the
 author,
 who
 sought
 to
 identify
 the
 concerns
 of
 employees
 towards
 drug
 testing,
 and
 where
 appropriate
 review
 the
 policy
 positions
 taken
 by
 trade
 unions
 and
 representative
 organisations.
 In
 addition
 it
 will
 review
 other
 evidence
 from
 the
 literature
 in
 order
 to
 place
 the
issues
in
sport
within
a
wider
context
of
employment
and
performance
relationships.
 
 The
above
will
form
the
basis
for
the
second
part
of
the
paper,
which
is
to
examine
the
content
 and
 application
 of
 the
 World
 Sport
 Anti
 Doping
 Agency’s
 regulations
 on
 drug
 testing,
 including
 the
 requirement
 to
 be
 available
 for
 testing.
 It
 will
 consider
 to
 what
 extent
 this
 protocol
is
unique
in
seeking
to
globalise
and
universalise
a
regulatory
framework,
and
give
 some
preliminary
considerations
to
the
strengths
and
weaknesses
of
such
an
approach.
 
 It
appears
to
be
an
example
of
‘think
global,
act
local’
where
the
latter
allows
very
little
by
way
 of
 discretion
 on
 the
 ground
 in
 how
 the
 regulations
 operate
 in
 practice
 across
 both
 sporting
 and
geographical
boundaries.
This
provides
the
basis
for
the
title
of
this
paper,
and
fits
into
 the
 ethos
 of
 the
 conference
 with
 regard
 to
 the
 metaphorical
 role
 of
 place.
 
 This
 part
 of
 the
 paper
 will
 examine
 to
 what
 extent
 a
 universal
 ethical
 underpinning
 provides
 both
 a
 theoretical
and
practical
legitimisation
to
the
Agency’s
regulatory
regime
as
it
operates,
and
is
 applied
in
different
countries
and
different
sport
contexts.

 
 The
third
part
of
the
paper
will
draw
on
academic
literature
and
evidence
from
representative
 bodies
 of
 employees
 and
 people
 in
 sports,
 which
 questions
 the
 universal
 ‘one
 size
 fits
 all’
 approach.

This
section
will
consider
not
only
the
principles
raised
by
testing
regimes,
but
also
 the
 empirical
 evidence,
 which
 supports
 a
 counter
 view.
 We
 will
 seek
 to
 relate
 these
 to
 the


‐
35
‐ 35

wider
 debate
 on
 drug
 testing,
 and
 consider
 to
 what
 extent
 there
 is
 a
 commonality
 between
 workers
in
sports
and
workers
elsewhere.
 
 Finally
 the
 paper
 will
 determine
 the
 relevance
 of
 the
 Organisational
 Justice
 model
 as
 an
 ethical
 means
 of
 examining
 the
 operation
 of
 drugs
 testing
 regimes
 from
 the
 perspective
 of
 employees
 in
 sports,
 and
 consider
 to
 what
 extent
 the
 application
 of
 the
 OJ
 model
 refutes
 claims
made
for
the
ethical
legitimacy
of
the
World
Anti‐Doping
(WAD)
Code.
 
 The
paper
will
relate
to
the
conference
themes
by
examining
to
what
extent
the
WAD
Code
is
 based
 on
 a
 business
 model
 Code
 of
 ethics
 at
 a
 time
 when
 sports
 leadership
 is
 based
 on
 a
 business
model
of
sports
management
and
arguably
the
promotion
of
organisational
elites
as
 the
‘key
players’
in
the
global
phenomena
of
sports.
 
 This
is
a
matter
of
interest
not
just
to
academics,
but
also
to
those
who
earn
their
living
from
 sports,
and
those
who
manage
sporting
activities
at
various
levels,
as
well
as
the
wider
public.


‐
36
‐ 36




Cartel
whistle
blowers
and
the
weakest/wicked
link
is...?

 Sheilla
Ferraz
Luz

 University
of
Hertfordshire
Business
School

 
 Antitrust
Business
ethics

and
the
weakest/wicked
link
is...?



From
 2000
 to
 March
 2008
 there
 have
 been
 52
 decisions
 of
 price
 fixing
 arrangements
 involving
 more
 than
 150
 firms
 fined
 by
 the
 European
 Commission,
 compared
 with
 21
 decisions
 throughout
 the
 nineties.10
 The
 rapidly
 growing
 number
 of
 cartels
 that
 has
 been
 uncovered
reveals
undoubtedly,
the
progress
of
antitrust
investigations
many
of
which
have
 origin
with
a
cartel
member
coming
forward
to
the
Commission.

 
 The
 european
 leniency
 programme
 designed
 to
 break
 the
 trust
 within
 cartel
 members
 by
 inviting
 them
 to
 come
 forward
 and
 denounce
 the
 agreement
 to
 the
 competition
 authorities
 has
been
around
for
over
a
decade.
As
a
result,
for
each
leniency
application,
there
were
a
set
 of
firms
that
also
belong
to
the
cartel
that
were
betrayed
in
their
agreement
of
confidentiality.

 
 This
 papers
 aims
 to
 explore
 the
 internal
 and
 external
 relationships
 of
 trust/distrust
 developed
within
a
cartel
setting.
Focusing
greatly
on
the
instrumentality
of
the
individual
we
 investigate
common
patterns
in
these
cartels
that
had
whistle
blowers,
in
order
to
understand
 what
exactly
motivated
the
whistle
blower11
 to
act,
and
what
was
the
role

of
the
invidual
in
 the
 cartel
 arrangement.
 We
 create
 a
 typology
 of
 individuals
 who
 are
 likely
 to
 develop
 the
 feeblest
trust
relationships
within
the
cartel.
 

 We
 argue
 that
 organisations
 ought
 to
 have
 internal
 channels
 of
 support
 for
 whistle
 blowers
 unwillingly
involved
in
cartel
activities.
This
internal
structure
will
not
only
serve
as
a
deterrent
 to
 further
 cartel
 involvement
 but
 also,
 provide
 the
 emotional
 and
 technical
 support
 for
 the
 employee
in
order
to
assist
him/her
in
the
due
process
of
leniency
application.


 
 Our
 empirical
 study
 is
 based
 on
 a
 set
 of
 cartels
 which
 have
 been
 fined
 by
 the
 European
 Commission.
 Therefore
 we
 have
 used
 their
 reports
 of
 the
 antitrust
 cases,
 as
 well
 as
 condensed
 press
releases
from
the
EC
pressroom.
Moreover,
in
order
to
enrich
the
picture
of
the
cartels,
and
 given
the
nature
of
cartel
prosecution
in
US
(which
places
its
emphasis
on
the
role
played
by
the
 companies’
employees),
we
have
also
made
an
extensive
use
of
the
reports
of
proceedings
of
the
 same
cartels
those
challenged
by
the
EC
and
the
US
Antitrust
Department
of
Justice
(hereafter
DJ).
 
 


10






Source:
DG
Competition
Cartel
statistics
http://ec.europa.eu/comm/competition/cartels/statistics/statistics.pdf


11


The
term
whistle
blower
has
been
defined
as
the
act
of
disclosing
a
perceived
act
of
wrong
doing
within
the
 organization,
by
a
former
or
current
employee
to
someone
or
some
institution
that
may
be
able
to
take
effective
 action.
(Near,
and
Miceli,
1996).
 ‐
37
‐ 37

A
Moral
and
Social
Theory
of
Ethical
Capital
for
Moral
Enterprising
in,
 and
through
Organising
and
Organisation
 Doug
Foster
 University
of
Surrey
 Building
on
more
established
research
programmes
on
social
capital
(Adler
and
Kwon,
2002;
 Fukuyama,
1995;
2001;
Putnam,
2001)
and
moral
economy
(Sayer,
2005;
Thompson,
1971),
 there
 is
 now
 a
 growing
 interest
 in
 the
 possibility
 of
 ethical
 capital
 (Bull
 et
 al,
 2008;
 Keller,
 2007;
 Tsukamoto,
 2007).
 
 The
 understanding
 theorised
 here
 suggests
 that
 ethical
 capital
 is
 produced,
reproduced,
reinvented,
and
reduced
(sometimes
altogether)
through
the
interactions
 and
 actions
 of
 sentient
 beings
 with
 moral
 consciences
 in
 the
 contexts
 of
 institutions
 and
 other
 environments
 which
 of
 themselves
 have
 inherited
 ethical
 capital
 produced
 by
 previous
 actors.

 The
 ethical
 capital
 inherited
 and
 subsequently
 engaged
 with
 will
 include
 precipitations
 of
 both
 the
 intended
 and
 unintended
 consequences
 of
 actions,
 and
 are
 best
 conceived
 as
 emergent
 properties;
 the
 analytical
 framework
 adopted
 here
 owes
 much
 to
 the
 previous
 developments
 in
 the
 morphogenetic
 approach
 (Archer,
 1988,
 p.
 xxii‐xxv).
 In
 a
 research
 area
 where
there
would
appear
to
be
special
inclination
to
meta‐ethical
disbelief
(similarly
to
but
 co‐terminus
 with
 theology
 ‐
 e.g.
 there
 are
 those
 who
 might
 otherwise
 be
 realists
 and
 cognitivists
 but
 claim
 the
 non‐reality
 of
 the
 ethical),
 clarity
 of
 philosophical
 trajectory
 may
 have
particular
pertinence.


 The
 trajectory
 underway
 here
 is
 a
 form
 of
 moral
 realism
 and
 moral
 cognitivism,
 and
 thus
 would
seem
to
reject
non‐realist,
non‐cognitivist
positions
which
simply
reduce
the
ethical
to
 other
 logical
 and
 empirical
 debates,
 or
 at
 best,
 subjective
 feelings
 and
 the
 appeal
 to
 others
 based
on
these
(Ayer,
1971).

However,
a
potential
confusion
here
is
that
ethical
naturalism
 (an
approach
that
social
scientists
undertaking
moral
study
may
find
particularly
attractive)
 pertains
to
be
realist
and
cognitivist
and
yet
would
oft
claim
the
reducibility
of
moral
facts
to
 other
 types,
 perhaps
 to
 biological,
 anthropological,
 psychological,
 sociological,
 or
 even
 theological
ones
(Pigden,
1993).

The
answer
to
this
might
be
that
there
needs
to
be
a
clarified
 and
 refined
 version
 of
 ethical
 naturalism
 which,
 just
 as
 it
 accepts
 the
 legitimacy
 of
 the
 distinction
 between
 biological
 and
 sociological
 facts,
 even
 if
 there
 is
 at
 least
 assumed
 to
 be
 overlap
 and
 inter‐dependency,
 accepts
 some
 level
 of
 distinction
 for
 moral
 facts
 too.
 
 This
 should
be
so
even
if
the
separation
is
based
on
what
Archer
(1988,
p.
xiv‐xvii)
calls
analytical
 dualism
 rather
 than
 its
 philosophical
 cousin,
 meaning
 that
 distinctions
 of
 fact
 are
 done
 for
 theoretical
 and
 methodological
 purposes,
 rather
 than
 to
 lay
 philosophical
 claim
 to
 distinct
 entities.

Such
a
qualified
naturalism
also
needs
to
take
account
of
another
feature,
that
whilst
 we
 might
 indeed
 be
 able
 to
 describe
 ‘the
 good’,
 we
 also
 need
 to
 prescribe
 it,
 so
 claim
 what
 ought
to
be
done,
and
to
be
sufficiently
underdetermined
in
order
to
take
on
this
role.


 
 Thus,
at
least
one
of
the
problems
of
contemporary
emotivism
in
contrast
to
the
sort
of
ethical
 naturalism
 outlined
 above
 is
 that
 it
 ignores
 such
 significant
 tasks
 as
 taking
 into
 account
 a
 morality’s
 sociology,
 an
 important
 basis
 for
 establishing
 precipitated
 ethical
 capital.

 MacIntyre
 strongly
 endorses
 the
 claim
 to
 the
 importance
 of
 sociological
 considerations
 to
 moral
 philosophy
 (MacIntyre,
 1985,
 p.
 23),
 but
 given
 that
 he
 suggests
 most
 contemporary
 moral
philosophy
is
itself
reducible
to
emotivism,
offers
a
rather
pessimistic
view
of
modern
 morality
–
 
 What
we
possess,
if
this
view
is
true,
are
the
fragments
of
a
conceptual
scheme,
parts
 which
 now
 lack
 those
 contexts
 from
 which
 their
 significance
 derived.
 
 We
 possess
 ‐
38
‐ 38

indeed
simulacra
of
morality
we
continue
to
use
many
of
the
key
expressions.

But
we
 have
 –
 very
 largely,
 if
 not
 entirely
 –
 lost
 our
 comprehension,
 both
 theoretical
 and
 practical,
of
morality.

(MacIntyre,
1985,
p.
2)
 
 Macintyre’s
 theme
 of
 fragmentation
 can
 be
 argued
 to
 follow
 through
 into
 his
 claims
 to
 the
 distinctions
 between
 practices
 or
 entire
 roles,
 and
 those
 who
 undertake
 them
 who
 may
 not
 give
these
practices
their
former
or
any
other
congruent
and
substantive
moral
content.

He
 gives
 as
 examples
 a
 Catholic
 priest
 who
 performs
 mass
 and
 other
 rites
 and
 duties
 whilst
 having
lost
their
faith
or
even
having
views
contrary
to
those
fitting
such
practice,
and
a
trade
 union
 official
 who
 partakes
 in
 such
 practices
 as
 negotiation,
 and
 campaigning
 for
 higher
 wages
and
better
working
conditions
within
the
contemporary
Capitalist
system,
but
whose
 own
beliefs
may
be
revolutionary
(MacIntyre,
1985,
p.
29).

However,
these
very
‘fragments’
 and
‘distinction’
of
practices
and
roles
can
be
argued
to
represent,
if
broken,
structures,
which
 at
 least
 set
 part
 of
 the
 context
 in
 which
 actors
 engage.
 
 Indeed,
 Kojeve
 (1969)
 describes
 numerous
 post‐Second
 World
 War
 Japanese
 practices
 such
 as
 the
 Noh
 theatre,
 and
 tea
 ceremonies
as
expressions
of
formalized
values
emptied
of
their
human
and
historical
content
 –
and
yet
potentially,
as
he
goes
on
to
say
the
source
of
the
most
snobbish
suicides.













 
 We
might
suppose
that
if
people
are
prepared
to
commit
suicide
over
formalized
values
then
 MacIntyre
 would
 seem
 to
 have
 profoundly
 underestimated
 
 the
 significance
 of
 various,
 fragments,
virtues,
practices
and
roles,
however
far
removed
they
might
be
from
the
contexts
 that
 may
 seemed
 to
 have
 given
 them
 greater
 and
 more
 convincing
 substance.
 
 Indeed,
 such
 particular
 forms
 of
 ‘ethical
 capital’
 would
 seem
 to
 have
 an
 affinity
 with
 Burkeian
 tradition
 (Burke,
1968,
1st
pub.
1790),
which
in
turn
is
a
major
source
for
contemporary
Conservative
 political
 ideology.
 
 By
 this
 understanding,
 reason
 is
 not
 required
 as
 a
 basis
 for
 sustaining
 tradition,
 but
 just
 our
 own
 prejudice
 towards
 sustaining
 any
 such
 practices,
 though
 there
 is
 still
 a
 ‘thin’
 rationale
 provided
 in
 terms
 of
 the
 claimed
 stability
 this
 brings
 to
 society.
 
 For
 MacIntyre,
the
very
problem
is
the
rejection
of
rationality
as
the
substantive,
‘thick’
basis
for
 tradition,
and
the
emphasis
on
stability
rather
than
a
constructed
(and
arguably
constructive)
 arena
of
conflict
(MacIntyre,
1985,
p.
222).

On
his
account
a
living
tradition
is
one
which
is
‘a
 historically
extended,
socially
embedded
argument’
an
argument
which
includes
debate
about
 what
constitutes
the
goods
of
that
tradition;
if
a
tradition
is
Burkeian,
he
suggests,
it
is
dead
or
 dying
 (MacIntyre,
 1985,
 p.
 222).
 
 We
 might
 view
 certain
 sorts
 of
 emergent
 ethical
 capital
 similarly.
 
 But
 can
 ‘tradition’
 really
 capture
 the
 capacity
 or
 even
 the
 need
 for
 any
 such
 fragments
to
be
re‐engaged
and
changed
to
produce
new
continuities
of
moral
thinking
and
 practice?

Can
the
‘profit‐motive’
and
‘business
efficiency’
really
be
seen
as
dying
traditions
or
 weakening
 sources
 of
 ethical
 capital?
 
 Alternatively,
 could
 either
 an
 old
 or
 new
 rationality
 enable
ethical
capital
to
be
re‐appropriated
and
placed
within
new
organisational
forms
such
 as
social
enterprises,
so
that
such
profit
can
be
put
to
use
in
an
expanding
circle
(Singer,
1981)
 of
moral
commitment
to
society
and
the
environment?





 
 In
answering
the
above
questions
we
shall
build
on
the
previous
sources
and
develop
a
theory
 of
moral
agency
through
appropriation
of
Becker
(1963)
and
Hart
(1963),
echoing
previous
 work
in
this
area
(Bull
et
al,
2008).

Becker
(1963)
suggests
that
there
are
two
sorts
of
moral
 entrepreneur
 within
 social
 groups,
 ‘rule­enforcers’
 and
 ‘rule­creators’,
 with
 the
 label
 of
 ‘entrepreneur’
 being
 adopted,
 because
 he
 viewed
 both
 as
 enterprising
 acts.
 
 Given
 the
 substantive
 work
 done
 since
 on
 defining
 the
 entrepreneur,
 it
 might
 be
 best
 to
 re‐state
 Becker’s
conceptualisation
as
‘enterpriser’
so
as
to
not
do
violence
to
that
latter
body
of
work
 or
 the
 spirit
 of
 Becker’s.
 
 What
 then
 does
 Hart
 have
 to
 offer
 here?
 
 From
 a
 utilitarian
 perspective,
 which
 in
 a
 particular
 form
 has
 sometimes
 been
 argued
 to
 be
 the
 moral
 framework
 for
 contemporary
 business
 and
 society,
 Hart
 nevertheless
 suggests
 there
 is
 ‐
39
‐ 39

conventional
 morality,
 which
 constitutes
 that
 shared
 by
 society
 generally
 and
 its
 organisations,
 but
 also
 critical
 morality,
 which
 stands
 back
 and
 asks
 whether
 such
 conventional
morality
is
harmful.

Let
us
put
Becker
and
Hart
together
with
the
little
variation
 of
our
own
for
good
measure.


 
 The
 conventional
 and
 enforcing
 moral
 enterpriser
 attempts
 to
 reproduce
 and
 even
 grow
 ethical
 capital,
 but
 on
 the
 basis
 of
 MacIntyre’s
 thesis,
 they
 really
 have
 their
 work
 cut
 out.

 Potentially
 in
 western
 society
 then,
 traditional
 deference,
 bits
 of
 religious
 morality,
 a
 democratic
ethos,
and
profit‐driven
economics
all
have
to
somehow
be
made
to
hang
together
 or
 otherwise
 be
 reformed
 to
 cohere.
 
 One
 option,
 like
 the
 Lipsky
 (1980)
 bureaucrat,
 is
 that
 they
are
selective
with
which
rules
and
practices
they
try
and
reproduce.

Perhaps
an
obvious
 tactic
 is
 to
 try
 stick
 with
 the
 profit‐motive
 and
 business
 efficiency,
 and
 lose
 the
 ethical
 fragments
that
are
out
of
sympathy
with
this.

Yet
economists
themselves
(Layard,
2005)
are
 returning
 to
 moral
 philosophy,
 precisely
 because
 the
 profit‐motive
 and
 purchaser
 power
 became
 ends
 in
 themselves,
 detached
 from
 what
 utilitarianism
 was
 originally
 about
 (like
 other
 philosophies
 before
 it
 in
 somewhat
 different
 ways)
 –
 happiness,
 well‐being,
 the
 good
 life.
 
 While
 wealth
 creation
 makes
 positive
 difference
 in
 peoples
 lives
 up
 to
 a
 point,
 other
 things
 become
 important
 beyond
 this.
 
 The
 critical
 and
 creative
 moral
 enterpriser
 has
 an
 opportunity
to
re‐engage
elements
of
ethical
capital
in
new
organisational
contexts
like
social
 enterprises.
 
 It
 is
 a
 project
 they
 could
 undertake
 through
 a
 more
 elaborated
 form
 of
 naturalistic
 ethics,
 incorporating
 the
 best
 of
 virtue,
 utilitarian
 and
 other
 normative
 ethical
 theory
 into
 an
 understanding
 of
 ethical
 capital
 that
 takes
 into
 account
 continuity
 and
 contingency
(with
due
acknowledgement
to
Hegel
and
Marx)
in
a
process
and
praxis
of
moral
 development
 and
 change,
 and
 which
 could
 justify
 and
 bring
 about
 more
 commitment
 to
 greater
flourishing
for
an
ever
expanding
circle
of
life.

 
 References
 Adler,
 P
 and
 Kwon,
 S.
 2002
 ‘Social
 capital:
 prospects
 for
 a
 new
 concept’,
 Academy
 of
 Management
Review,
7
(1):
17‐40
 Archer,
 M.S.
 1988
 Culture
 and
 Agency:
 The
 Place
 of
 Culture
 in
 Social
 Theory,
 Cambridge,
 Cambridge
University
Press
 Ayer,
A.J.
1971
Language,
Truth
and
Logic,
Harmondsworth,
Penguin
 Becker,
H.
1963
Outsiders,
New
York,The
Free
Press
 Bull,
M.,
Ridley‐Duff,
R.,
Foster,
D.
and
Seanor,
P.
2008
‘Ethical
Capital:
The
Neglected
Aspect
in
 the
 Conceptualisation
 of
 Social
 Enterprise’,
 
 paper
 given
 at
 the
 Social
 Enterprise
 Research
 Conference,
London
South
Bank
University,
26th‐27th
June.
 Burke,
 E.
 1968
 (1st
 pub.
 1790)
 Reflections
 on
 the
 Revolution
 in
 France,
 Harmondsworth,
 Penguin
 Fukuyama,
F.
1995
Trust.

The
Social
Virtues
and
the
Creation
of
Prosperity,
New
York,
Simon
 Schuster
 Fukuyama,
F.
2001
‘Social
Capital,
civil
society
and
development’,
Third
World
Quarterly,
22
 (1):
7‐20
 Hart,
H.L.A.
1963
Law,
Liberty,
and
Morality,
Oxford,
Oxford
University
Press
 Keller,
 A.C.
 2007
 ‘Smith
 versus
 Friedman:
 Markets
 and
 ethics’,
 Critical
 Perspectives
 on
 Accountancy,
(18)

159‐188
 Kojeve,
A.
1969
Introduction
to
the
Reading
of
Hegel.

Lectures
on
the
Phenomenology
of
Spirit,
 Ithaca
and
London,
Cornell
University
Press
 Layard,
R.
2005
Happiness.
Lessons
From
A
New
Science,
London,
Allen
Lane
 Lipsky,
1980
Street­Level
Bureaucracy,
New
York,
Russell
Sage
Foundation
 MacIntyre,
A.
1985
After
Virtue.

A
Study
in
Moral
Theory,
London,
Duckworth


‐
40
‐ 40

Pigden,
C.
1993
‘Naturalism’
in
Singer,
P.
(Ed)
A
Companion
to
Ethics,
Oxford
and
Cambridge
 MA,
Blackwell
 Putnam,
R.
2001
Bowling
Alone:
the
Collapse
and
Revival
of
American
Community,
New
York,
 Simon
and
Schuster
 Sayer,
A.
2005
‘Approaching
Moral
Economy’
in
Stehr,
N.,
Henning,
C.
and
Weiler,
B.
(Eds)
The
 Moralisation
of
Markets,
New
York,
Transaction
Books
 Singer,
P.
1981
The
Expanding
Circle:
Ethics
and
Sociobiology,
New
York,
Farrar,
Strauss
and
 Giroux
 Thompson,
E.P.
1971
‘The
Moral
Economy
of
the
English
Crowd’
Past
and
Present,
50,
76‐136
 Tsukamoto,
S.
2007
‘Moral
Agency,
Profits
and
the
Firm:
Economic
Revisions
to
the
Friedman
 Theorem’,
Journal
of
Business
Ethics,
Vol.
70,
Issue
2,
pp.
209‐220
 
 


‐
41
‐ 41

Friendship
and
Ethics:
The
Implications
For
Organizations
 Robert
French
 Bristol
Business
School,
University
of
the
West
of
England,
Bristol
 
 
 
 From:
David
King
 To:
Jonathan
Love
 Subject:
Friendship
and
ethics
 
 Hi,
Jon.
 
 I’m
sure
you’re
right
about
the
friendship‐ethics
thing.
It’s
been
around,
I
think,
since
before
 Plato’s
Lysis,
where
they
try
to
sort
out
whether
those
who
are
not
‘good’
can
ever
really
be
 friends.
 Aristotle
 was
 pretty
 sure
 only
 the
 good
 could
 really
 be
 friends,
 because
 otherwise
 they’d
always
be
in
it
for
themselves
and
so
only
keep
up
the
friendship
as
long
as
it
suited
 them
and
they
stood
to
gain
from
it.
(Friendship
as
utility
–
which
Aristotle
thought
of
as
the
 ‘lowest’
form…)
 
 I’ve
 had
 a
 look
 at
 Liz
 Spencer
 and
 Ray
 Pahl’s
 research
 into
 friendship
 today,
 and
 the
 same
 theme
 seems
 to
 be
 there
 –
 despite
 the
 huge
 differences
 in
 how
 we
 see
 friendship
 now
 compared
to
in
the
ancient
friendship
tradition.
Pahl
calls
friendship
‘social
glue’,
and
a
big
bit
 of
that
is
to
do
with
trust
and
identity
and
so
on.

 
 Any
thoughts?
 
 Dave.
 
 
 
 From:
Jonathan
Love
 To:
David
King
 Subject:
Friendship
and
ethics
 
 Thanks
for
the
message,
Dave.

 
 What
strikes
me
is
that
the
real
power
–
or
impact
or
whatever
–
of
friendship
comes
from
the
 fact
that
it’s
one
of
these
relationships
that
exists
‘between’
worlds,
as
it
were.
It’s
obviously
 intensely
 personal
 (or
 can
 be).
 In
 fact,
 I’m
 sure
 that’s
 one
 of
 the
 reasons
 that
 organizations
 have
never
really
liked
it
–
especially
as
the
intimacy
can
so
easily
lead
to
sexual
intimacy
too,
 which
can
really
shatter
the
apparent
bureaucratic
certainties
and
securities…!
But
that’s
the
 thing.
It’s
between
personal
and
organizational.

 
 Hence
ethics.
 
 I’m
 sure
 that’s
 the
 thought
 behind
 Aristotle’s
 idea
 that
 friendship
 is
 more
 important
 than
 justice
and
so
should
be
a
major
concern
of
legislators.
He
said
that
if
you’ve
got
justice
you
 still
 need
 friendship,
 whereas
 if
 you’ve
 got
 friendship
 then
 you’ve
 automatically
 got
 justice
 too.
 ‐
42
‐ 42


 But
I
didn’t
get
it
the
other
day
when
you
talked
about
‘dislocation’
and
friendship.
What
was
 that
about?
 
 Jon.
 
 
 From:
David
King
 To:
Jonathan
Love
 Subject:
Friendship
and
ethics
 
 Dear
Jon,
 
 I
think
you
said
it
yourself.
The
‘dislocation’
is
about
the
in‐between‐ness
of
friendship.
I
think
 there
are
two
sides.
 
 First
 of
 all,
 friendship
 kind
 of
 slips
 through
 the
 cracks.
 It
 tends
 to
 by‐pass
 organizational
 structures
and
hierarchies.
What
Csikszentmihalyi
writes
about
the
‘flow’,
I’m
sure
applies
to
 friendship
at
work.
When
friends
work
together
something
else
happens.
There’s
a
different
 kind
of
energy,
because
there’s
a
different
kind
of
understanding
–
and
generosity
too,
I
think.
 We’ve
often
realised
that
we
don’t
know
where
ideas
have
come
from.
Each
of
us
thinks
it
was
 the
other
one
who
thought
of
it
first!

 
 Then
the
trouble
is
–
well
not
‘trouble’
really,
of
course
–
in
the
‘space’
created
by
friendship,
 you
get
a
different
quality
of
idea.
And
if
the
space
is
in
the
foundations,
the
whole
edifice
can
 come
 tumbling
 down!
 Not
 exactly
 what
 leaders
 and
 managers
 want…!
 Do
 you
 remember
 reading
about
how
the
Nazis
used
to
break
up
their
SS
groups
and
separate
them
off
every
few
 weeks,
sending
them
to
join
new
groupings?
I’m
sure
they
recognised
that
if
friendships
did
 develop,
people
would
begin
to
think
‘unguarded
thoughts’.
Remember
Blake’s
‘Opposition
is
 true
friendship!’?
 
 So
 that’s
 what
 I
 meant
 by
 dislocation.
 Hierarchical,
 age
 and
 gender‐based
 –
 ‘official’
 –
 relationships
can
be
undermined
in
a
way
which
I’m
sure
those
in
power
find
unsettling
and
 unwelcome.
 Especially,
 of
 course,
 if
 they
 have
 something
 to
 lose.
 But
 then
 ways
 of
 thinking
 and
 acting
 can
 also
 be
 dislocated.
 That’s
 the
 greatest
 fear.
 And
 that’s
 where
 the
 ethical
 element
is
at
its
strongest,
because
the
heightened
awareness
between
friends
–
and
the
kind
 of
 contained
 space
 for
 thinking
 these
 ‘unguarded
 thoughts’
 –
 is
 just
 the
 place
 (a
 dislocated
 location)
 where
 friends
 can
 see
 through
 what
 is
 going
 on
 –
 to
 the
 ‘truth’.
 So
 many
 really
 radical
locations
of
fresh
thinking
have
been
based
on
friendship
–
from
the
Greek
‘schools’
of
 philosophy
to
Paris
cafés
to
the
Impressionists
to
the
Frankfurt
School…
 
 Sorry!
I’ve
gone
on
a
bit…
But
you
did
ask!
 
 Your
friend,
Dave.
 
 
 From:
Jonathan
Love
 To:
David
King
 Subject:
Friendship
and
ethics
 
 ‐
43
‐ 43

I
think
we’re
onto
something
here,
Dave!
We
should
write
about
it…
Friendship
and
ethics
–
 the
implications
for
organizations.
Something
like
that.
 
 Alles
Gute!
 
 Jon


‐
44
‐ 44

Take
Me
to
Your
Leader:
Towards
a
Fractal
View
of
Ethical
Leadership
 Tim
Harle
 Bristol
Business
School,
University
of
the
West
of
England,
Bristol
 
 
 
 Values,
according
to
a
former
senior
executive,
‘were
central
at
Southwest
Airlines,
but
they
 just
 happened.’
 
 
 This
 business
 leader’s
 preference
 was
 clear:
 ‘I
 think
 it's
 better
 to
 decide
 upfront
 what
 they'll
 be’
 (quoted
 in
 Gittell,
 2003:
 226).
 For
 those
 deciding
 on
 a
 set
 of
 values
 upfront,
the
quartet
of
Communication,
Respect,
Integrity
and
Excellence
might
appear
a
good
 starting
point.
According
to
its
2000
Annual
Report,
they
were
Enron’s
espoused
values.
 As
 with
 values,
 so
 with
 business
 ethics.
 Do
 they
 ‘just
 happen’,
 or
 should
 we
 decide
 upfront
 what
they
will
be?
And
who
should
decide?
The
perspective
of
this
paper
is
that
ethics,
and
 values,
 do
 not
 ‘just
 happen’.
 Western
 organisations
 cling
 to
 an
 outmoded
 view
 that
 may
 be
 characterised
as
Newtonian.
If
those
at
the
top
of
organisations
mandate
sound
ethical
values,
 then
ethical
behaviour
will
result.
Such
cause
and
effect
thinking
is
exemplified
in
any
number
 of
organizational
codes
of
ethics
and
regulatory
regimes.
 Insights
 from
 complexity
 theory,
 from
 evolutionary
 biology
 and
 psychology,
 offer
 new
 perspectives
on
the
business
ethics
discourse.

We
are
encouraged
to
look
at
organizations
as
 complex
 adaptive
 systems.
 This
 radically
 different
 approach
 offers
 both
 an
 alternative
 explanation
to
the
values
which
are
so
demonstrable
at
Southwest
Airlines,
and
the
nature
of
 ethical
 leadership.
 Far
 from
 ‘just
 happening’,
 values
 and
 ethical
 behaviour
 can
 be
 seen
 as
 emergent
 properties,
 evolving
 from
 the
 relentless
 consistency
 of
 leaders
 at
 all
 levels.
 While
 both
 complexity
 theory
 (Griffin,
 2002)
 and
 evolutionary
 theory
 have
 been
 applied
 to
 ethics
 (Clayton
 and
 Schloss,
 2004),
 this
 paper
 seeks
 to
 move
 the
 subject
 forward
 by
 applying
 another
feature
associated
with
complexity
theory:
that
of
fractals.
 The
 concept
 of
 fractal
 leadership
 has
 been
 pioneered
 by
 Wineberg,
 who
 highlights
 the
 importance
of
consistency
throughout
an
organization
(2005:
29).
In
this
paper,
we
argue
that
 ethical
 behaviour
 is
 encouraged
 by
 consistency
 of
 approach.
 How
 can
 front
 line
 employees
 expect
 to
 behave
 in
 one
 way
 if
 they
 see
 the
 supervising
 board,
 or
 individual
 managers,
 behaving
 in
 another?
 How
 can
 managers
 promote
 teamwork
 if
 performance
 management
 systems
 encourage
 individual
 reward?
 In
 other
 words,
 we
 should
 expect
 to
 see
 repeating
 patterns
at
different
levels
in
an
organization.
This
is
where
the
concept
of
fractals
might
help
 us:
 repeating
 patterns
 observed
 at
 different
 levels
 in
 nature
 (Mandelbrot
 1982).
 Popular
 examples
range
from
ferns
to
coastlines.
 This
 alternative
 approach
 raises
 a
 series
 of
 questions
 about
 organizational
 ethics.
 We
 will
 examine
two.
First,
where
is
ethical
leadership
situated?
A
fractal
view
accords
with
advocates
 of
 distributed,
 or
 dispersed,
 leadership
 (Raelin,
 2003).
 As
 the
 contrasting
 examples
 of
 Southwest
Airlines
and
Enron
illustrate,
ethics
and
leadership
are
interwoven.
The
CEO
and
 first
line
supervisor
should
demonstrate
consistency:
the
subject
matter
of
their
work
might
 vary,
 but
 a
 repeating
 pattern
 in
 their
 approach
 should
 be
 observable.
 Moral
 authority
 and
 responsibility
is
shared.
 Secondly,
how
is
ethical
leadership
promoted?
The
pioneering
biologists
Maturana
and
Varela
 observed
 how
 ‘We
 can
 never
 direct
 a
 living
 system.
 We
 can
 only
 disturb
 it.’
 (Wheatley
 and
 Kellner‐Rogers,
 1996:
 49).
 Self‐organization
 and
 emergence
 challenge
 direction
 and
 control.
 ‐
45
‐ 45

Ciulla
(2008:
58)
highlights
the
difficulties
for
leaders,
whose
work
is
not
as
well
defined
as
 professionals
such
as
medics
and
lawyers.
The
best
guard
against
unethical
behaviour
is
not
 subscription
 to
 a
 code
 of
 ethics,
 nor
 externally
 mandated
 frameworks,
 but
 relentless
 consistency
of
approach.
Yet
this
cannot
be
controlled
(Streatfield,
2001).
An
emergent
view
 emphasises
 the
 importance
 of
 consistency
 in
 small
 interactions,
 rather
 than
 ‘set
 piece’
 pronouncements.
 However,
criticisms
of
this
approach
can
be
made
from
an
ethical
standpoint.
We
will
address
 a
fundamental
challenge:
that
an
emergent
approach
may
result
in
a
consistency
which
does
 not
constitute
a
moral
good.
Confronting
a
view
which
states
that
‘Corporations,
of
course,
are
 not
 biological’
 (Brown,
 2005:
 4),
 we
 will
 suggest
 that
 the
 need
 for
 disturbance
 in
 healthy
 ecosystems
offers
key
insights.
In
addition,
we
will
highlight
the
importance
of
feedback
loops
 in
both
closed
and
open
systems.
 In
 reaching
 tentative
 conclusions,
 we
 will
 suggest
 areas
 where
 the
 implications
 of
 a
 fractal
 approach
 to
 leadership
 may
 prove
 fruitful,
 as
 well
 as
 critical
 questions
 that
 still
 need
 to
 be
 addressed.
 References
 Brown,
Marvin
T
(2005)
Corporate
Integrity:
Rethinking
Organizational
Ethics
and
Leadership.
 Cambridge:
Cambridge
University
Press.
 Ciulla,
 Joanna
 B
 (2008)
 ‘Ethics’
 in
 Antonia
 Marturano
 &
 Jonathan
 Gosling
 (eds)
 Leadership:
 The
Key
Concepts.
Abingdon
&
New
York
NY:
Routledge,
pp58‐62.
 Clayton,
Philip
and
Schloss,
Jeffrey
(2004)
Evolution
and
Ethics:
Human
Morality
in
Biological
 and
Religious
Perspective.
Grand
Rapids
MI:
Eerdmans.
 Gittell,
 Jody
 Hoffer
 (2003)
 The
 Southwest
 Airlines
 Way:
 Using
 the
 Power
 of
 Relationships
 to
 Achieve
High
Performance.
New
York
NY:
McGraw‐Hill.
 Griffin,
 Douglas
 (2002)
 The
 Emergence
 of
 Leadership:
 Linking
 Self­Organization
 and
 Ethics.
 London
&
New
York
NY:
Routledge.
 Mandelbrot,
Benoit
B
(1982)
The
Fractal
Geometry
of
Nature.
New
York
NY:
WH
Freeman.
 Raelin,
 Joseph
 A.
 (2003)
 Creating
 Leaderful
 Organizations:
 How
 to
 Bring
 Out
 Leadership
 in
 Everyone.
San
Francisco
CA:
Berret‐Koehler.
 Streatfield,
Philip
J
(2001)
The
Paradox
of
Control
in
Organizations.
Abingdon
&
New
York
NY:
 Routledge.
 Wheatley,
 Margaret
 J
 and
 Kellner‐Rogers,
 Myron
 (1996)
 A
 Simpler
 Way.
 San
 Francisco
 CA:
 Berrett‐Koehler.
 Wineberg,
 Richard
 (2005)
 Fractal
 Leadership:
 What
 if
 the
 Way
 You
 Think
 about
 Your
 Organisation
is
Wrong?
Newstead
Qld:
Smart
Leadership.
 


‐
46
‐ 46

‘Regulation
of
Internet
Gambling:
horses
&
shutting
doors
or
whistling
 in
the
wind?’
 Stephen
Griffiths
and
Caroline
Jawad
 Swansea
Business
School,
Swansea
Metropolitan
University
 
 
 
 The
 Internet
 has
 facilitated
 easy
 access
 gambling.
 24/7
 anyone
 with
 a
 simple
 connection
 to
 the
Internet
can
log
on
and
gamble.


As
is
the
case
with
many
of
the
so‐called
‘sin
industries,’
 e.g.
 pornography,
 gambling,
 tobacco,
 alcohol,
 prostitution
 (McDonald,
 2004),
 gambling
 may
 appear
harmless,
when
enjoyed
in
moderation.

Since
the
mid‐nineties,
the
Internet
gambling
 industry
 has
 grown
 rapidly
 due
 to
 a
 number
 of
 favourable
 economic,
 social,
 political
 and
 technical
 drivers
 (Bull
 and
 Mclean,
 2007).
 
 However,
 the
 gambling
 industry
 has
 a
 sullied
 reputation.
 Casinos
 were
 used
 for
 money
 laundering
 purposes
 from
 the
 early
 20th
 century
 (Dewar,
 2001;
 McDonald,
 2007)
 creating
 the
 earliest
 rationale
 for
 regulation.
 Laterly
 the
 multitude
 of
 social
 problems
 attributed
 to
 problem
 gambling
 (Carey
 and
 Carey,
 1984;
 McDonald,
 2007)
 stimulated
 other
 forms
 of
 regulation
 and
 governmental
 responses.
 There
 appears
 to
 be
 a
 consensus
 that
 all
 gambling
 should
 be
 regulated
 in
 order
 to
 minimise
 its
 negative
 social
 consequences
 (Collins,
 2007).
 
 The
 issues
 of
 the
 ethics
 of
 gambling
 and
 responsible
 gambling
 are
 long‐standing
 and
 have
 been
 dealt
 with
 through
 legislation,
 self‐ regulation
 and
 social
 pressure.
 However,
 problem
 gambling
 continues
 to
 affect
 a
 small
 minority,
with
profound
consequences
(Bull
and
Mclean,
2007).


 
 Figures
released
by
the
Gambling
Commission
in
October
2008
stated
that
in
the
UK,
8.8%
of
 the
8,000
adults
surveyed
indicated
that
they
had
participated
in
at
least
one
form
of
remote
 gambling
 (through
 a
 computer,
 mobile
 phone
 or
 interactive/digital
 TV)
 in
 the
 previous
 month.
 This
 replicates
 the
 2007
 calendar
 year
 figure
 of
 8.8%.
 This
 is
 an
 increase
 compared
 with
 the
 2006
 figure
 of
 7.2%.
 The
 real
 figure
 may
 be
 greater,
 if
 the
 diversity
 of
 forms
 of
 Internet
 gambling
 and
 the
 reluctance
 to
 admit
 the
 extent
 of
 their
 gambling
 participation
 by
 survey
 respondents
 is
 considered.
 The
 availability
 of
 reliable
 regulatory
 structures
 that
 ensure
age
and
identity
verification,
the
integrity/fairness
of
the
games,
or
other
responsible
 gaming
features,
has
developed
selectively,
slowly
and
retrospectively.
The
Gambling
Review
 Report
 2001
 and
 the
 Gambling
 Act
 2005
 do
 attempt
 to
 offer
 UK
 registered
 gambling
 sites
 guidance
 and
 leadership
 to
 encourage
 social
 responsibility.
 However,
 the
 112
 Internet
 sites
 regulated
 by
 the
 eCommerce
 and
 Online
 Gaming
 Regulation
 and
 Assurance
 (e‐COGRA)
 independent
 standards
 authority,
 are
 a
 tiny
 fraction
 of
 the
 sites
 available
 to
 UK
 punters,
 let
 alone
 the
 total
 population
 of
 Internet
 gamblers.
 Nottingham
 Trent
 University’s
 2007
 survey
 for
 e‐COGRA,
 confirmed
 that
 registered
 sites
 had
 achieved
 “Play
 It
 Safe”
 assurance
 targets
 with
 an
 unprecedented
 number
 of
 respondents
 10,865
 worldwide,
 supported
 through
 qualitative
focus
groups
and
held
within
six
of
the
industry’s
major
markets
giving
feedback
to
 the
Internet
gambling
industry.
In
addition,
they
verify
that
gamblers
have
reported
disputes
 with
the
sites
(often
of
technical
problems
rather
than
the
honesty
of
transactions
or
fairness
 of
 the
 games),
 but
 these
 were
 largely
 resolved.
 Gamblers
 found
 Responsible
 Gambling
 Features
 (RGFs)
 useful
 e.g.
 limits
 on
 time
 and
 spending,
 self‐exclusion,
 financial
 statements
 and
 responsible
 gambling
 information.
 They
 also
 appear
 distrustful,
 desiring
 sites
 to
 give
 information
 and
 guarantees
 on
 monetary
 deposits
 made
 and
 evidence
 of
 honest
 reputation.
 Most
 reported
 that
 they
 were
 unaware
 that
 Internet
 gambling
 was
 regulated.
 Only
 50%
 of
 gamblers
 believed
 Internet
 gambling
 software
 to
 be
 fair
 and
 random.
 Yet
 Internet
 gambling
 ‐
47
‐ 47

continues
to
grow.
Currently
Internet
gamblers
put
great
emphasis
on
protecting
themselves,
 enquiring
about
encryption
and
personal
details
security.
They
also
value
third
party
reports
 and
 logon
 to
 review
 and
 blog
 sites
 in
 order
 to
 screen
 possible
 Internet
 gambling
 providers.
 For
security,
many
gamble
on
the
‘biggest
named’
sites,
most
of
which
are
not
covered
by
e‐ COGRA.
 Hence
 it
 might
 be
 argued
 that
 the
 regulatory
 responses
 of
 governments,
 including
 that
 of
 the
 UK,
 are
 too
 late
 to
 impact
 on
 the
 majority
 of
 gamblers.
 Further,
 as
 argued
 by
 Ligthelm
(2004)
when
considering
problem,
compulsive
or
pathological
gamblers,
the
form
of
 regulation
 offered
 by
 external
 authorities
 or
 self
 regulation
 by
 the
 sites,
 is
 unlikely
 to
 deter
 the
 most
 extreme
 behaviours,
 which
 often
 result
 in
 significant
 damage
 to
 individuals
 and
 others.
 The
 nature
 of
 Internet
 gambling,
 without
 the
 physical
 checks
 of
 conventional
 forms,
 creates
the
possibility
of
unlimited
damage
for
the
most
vulnerable.
While
it
might
be
argued
 that
 the
 percentage
 of
 such
 gamblers
 at
 risk
 is
 small,
 perhaps
 2%,
 increased
 participation,
 reduced
 social
 stigma
 associated
 with
 gambling
 and
 increased
 familiarity
 with
 Internet
 technology,
 will
 significantly
 increase
 the
 numbers
 of
 casualties.
 It
 remains
 unresolved
 whether
there
is
a
need
for
more
draconian
control
to
protect
the
vulnerable
minority,
at
the
 expense
of
restricting
the
“freedom”
of
the
majority
“harmless”
recreational
gamblers,
even
if
 this
 were
 technically
 possible.
 The
 authors
 recommend
 some
 features
 which
 might
 be
 adopted
 by
 regulators
 or
 sites
 to
 reduce
 the
 negative
 impacts,
 but
 fear
 the
 strength
 of
 the
 gambling
wind
is
likely
to
silence
the
regulatory
whistle.
 
 


‐
48
‐ 48

Financial
versus
social
issues
in
microfinance:
an
empirical
approach

 Jorge
Gutierrez
Goiria
and
Beatriz
Goitisolo
Lezama
 University
of
the
Basque
Country
 
 The
microfinance
institutions,
the
services
they
offer,
and
the
goals
they
pursue
have
evolved
 with
their
rapid
growth
from
90s.
An
overly
optimistic
vision
of
microfinance
as
a
new
key
for
 development,
 considered
 that
 these
 programs
 had
 an
 important
 social
 value
 by
 their
 very
 nature.
Now,
this
point
of
view
has
given
way
to
a
more
critical
stance.
According
to
this,
the
 way
these
programs
take
place
begins
to
gain
importance.
 
 Microfinance
is
often
considered
a
"double
bottom
line"
sector,
which
incorporates
the
idea
of
 entities
 that
 take
 care
 of
 their
 financial
 side
 and
 their
 social
 responsibility,
 trying
 to
 cover
 both
of
them
at
least
with
a
minimum.
 
 The
 main
 reason
 to
 explain
 a
 decline
 in
 profitability
 because
 of
 caring
 for
 the
 poorest
 populations
is
the
need
to
address
a
larger
number
of
accounts
and
customers
to
achieve
the
 same
 total
 amount
 to
 intermediate,
 thus
 losing
 economies
 of
 scale.
 These
 poorer
 customers
 could
 require
 some
 extra
 work
 too,
 due
 to
 their
 lack
 of
 literacy,
 their
 problems
 to
 access
 to
 documentation
and,
generally,
their
lack
of
experience
with
this
kind
of
activities
that
would
 suppose
a
higher
support.
Although
it
is
debatable,
it
has
also
been
thought
that
late
payments
 could
be
higher
in
cases
of
extreme
necessity.
 
 Daley‐Harris
(2007)
in
the
status
report
of
the
Microcredit
Summit,
defends
the
chance
to
be
 sustainable
 working
 with
 the
 poorest
 properly.
 This
 important
 initiative
 is
 positioning
 itself
 clearly
in
favour
of
this
kind
of
work,
and
requests
the
World
Bank
to
reconsider
its
current
 line
of
support
for
microfinance
programs.
More
specifically
they
recommend
the
World
Bank
 to
allocate
at
least
50%
of
the
funds
for
these
programs
to
people
with
incomes
below
US$
1
a
 day.
 
 Cortés
Garcia
(2007)
reflects
the
difficulty
to
reconcile
the
debate
between
sustainability
and
 scope.
Nevertheless,
he
explains
that
consensus
is
widespread
among
professionals
about
the
 need
for
self‐sufficiency
of
the
institution,
understanding
that
this
will
involve
the
absence
of
 subsidies,
 a
 level
 of
 professionalization,
 the
 development
 of
 a
 specific
 methodology,
 an
 adequate
scale
and
several
other
conditions.
 
 Armendariz
and
Morduch
(2005)
argue
that
there
are
good
examples
of
profitability
reaching
 the
 poorest,
 but
 it
 is
 not
 the
 most
 usual
 case.
 These
 authors
 also
 found
 large
 differences
 in
 profitability
 between
 large
 institutions
 from
 South
 America
 and
 most
 of
 those
 of
 Southeast
 Asia,
less
profitable,
which
may
reflect
differences
in
the
approach
and
objectives.
 Cull,
 Demirgüç‐Kunt
 and
 Morduch
(2007)
conducted
 an
 in‐depth
 study
using
data
from
 124
 institutions
in
49
different
countries.
Among
its
findings
they
remark
the
possibility
of
being
 profitable
working
with
poor
clients,
but
they
find
a
conflict
between
 profitability
and
work
 with
the
poorest
people.
This
could
lead
to
the
institutions
to
focus,
as
they
grow
and
mature,
 in
customers
that
can
receive
larger
loans.
 
 In
this
context,
it
is
necessary
to
collect
data
and
contrast
the
reality
of
this
conflict.
To
get
the
 data,
 the
 Mix‐market
 portal
 provides
 information
 on
 more
 that
 a
 thousand
 of
 microfinance
 institutions.
 Started
 as
 a
 project
 of
 the
 United
 Nations,
 Mix‐market
 is
 a
 global,
 web‐based,
 microfinance
information
platform.

 ‐
49
‐
 49


 The
empirical
work
follows
these
lines:

 
 ‐Study
of
variables
of
financial
performance:
Total
assets,
ROA,
ROE,
profit,
self‐sufficiency.

 ‐Study
of
social
performance
variables:
These
variables
are
more
difficult
to
obtain.
Among
 them
 we
 can
 find
 the
 percentage
 of
 women
 over
 the
 total
 number
 of
 customers,
 the
 percentage
of
small
loans
(under
$
300
U.S.),
the
average
loan
and
deposit…
 ‐The
relationships
between
the
variables
of
financial
and
social
performance.

 ‐The
relations
with
geographical
factors
and
the
type
of
institution.
 
 The
paper
will
try
to
answer
questions
such
as:
 
 ‐Are
there
really
conflicts
between
the
social
and
financial
performance
of
these
entities?

 ‐Are
there
other
relevant
relations
between
the
variables
in
the
study?
 ‐Are
 there
 differences
 in
 the
 social
 and
 financial
 performance
 depending
 on
 the
 type
 of
 microfinance
institution?
 ‐Are
there
differences
in
the
financial
and
social
performance
in
terms
of
the
geographic
 area?
 
 Some
of
the
references
that
will
be
used:
 Armendáriz
 de
 Aghion,
 B.and
 Morduch,
 J.
 (2005)
 The
 economics
 of
 microfinance,
 MIT
 Press,
 Massachusetts.
 Cortés
García,
F.
(2007),
Breve
tratado
de
microfinanzas,
La
hidra
de
Lerna,
Almería.
 Cull,
 R.,
 Demirgüç‐Kunt,
 A.
 and
 Morduch,
 J.
 (2007):
 “Financial
 performance
 and
 outreach:
 a
 global
analysis
of
leading
microbanks”,
The
Economic
Journal,
Vol.
117
(February),
F107–F133.
 Royal
Economic
Society.
 DALEY‐HARRIS,
S.
(2007),
State
of
the
microcredit
summit
campaign.
Report
2007,
Microcredit
 Summit
Campaign,
Washington.
 Gutiérrez
Nieto,
B.
and
Serrano
Cinca,
C.
(2007),
Factors
explaining
the
rating
of
microfinance
 institutions,
Nonprofit
and
Voluntary
Sector
Quarterly,
Nº
3,
Vol.
36,
439‐464.
 VAN
MAANEN,
G.
(2004),
Microcredit.
Sound
Business
or
development
instrument,
A‐D
Druk
‐
 Zeist,
the
Netherlands
 World
 Bank
 (2008):
 Finance
 for
 All?
 Policies
 and
 pitfalls
 in
 expanding
 access,
 World
 Bank,
 Washington
D.C.
 


‐
50
‐
 50


 


Fractured
 Capitalism
 and
 
 Ethical
 Disengagement:
Iceland
 as
 a
 Case
 Study.
 Jim
Hine

 The
University
of
Edinburgh
 
 Ian
Ashman

 University
of
Central
Lancashire

 
 
 
 The
Call
for
Papers
for
the
EBEN‐UK
2009
conference
asks
the
question:

are
business
ethics
 locatable
and,
if
so,
where?

This
paper
seeks
to
address
this
question
by
reflecting
on
events
 in
Iceland
over
the
last
four
years.


The
title
of
this
paper?

The
term
´´fractured
capitalism‘‘

 refers
to
the
general
collapse
of
the
Western
banking
system
and
the
enforced
subjection
of
 governments

to
a
form
of
Keynsian
response
that

lacks
foresight
and


long‐term
planning.



 “Ethical
disenagement“,

for
the
specific
purposes
of
this
analysis,
is
employed

as
the
term
to
 represent
the
phenomenological
experience

of

senior

managers

involved
in
the
expansion
 and
subsequent
collapse
of
the
Icelandic

banking
system
.

 
 Most
 are
 familiar
 with
 the
 background
 to
 this
 paper;
 being
 a
 generalised
 global
 process
 involving
 the
 financialisation
 of
 de‐regulated
 capitalist
 economies
 resulting
 from
 the
 1980s
 resurgence
of
neo‐liberalism.


Thereafter,
it
may
be
argued,
free
market
economics
developed
 a
normative
dimension.


Within
Europe,
at
least,

locally
dissonant
voices
have
been
ignored
 as

governments
abdicated
responsibility
for
regulating
capital
in
the
belief
that
the
growth
of
 the
 knowledge
 economy
 generally,
 and
 the
 financial
 services
 sector
 specifically,
 would
 provide
a
durable
substitute
for

declining
manufacturing
bases.



In
Iceland,
the
critical
factor
 has
 been
 economic
 diversification
 away
 from
 a
 primary
 sector
 which
 supplied,
 until
 2004,
 approximately
70%
of
GNP.


For
the
most
part,
it
has
been
the
banking
sector
which
has
led
 this
diversification.
 
 For
 the
 purposes
 of
 this
 paper,
 because
 of
 the
 distinctiness
 of
 Iceland
 as
 a
 social
 formation,
 the
approach
to
analysis
is
one
of
‘case‘rather
than
of
microcosm,
despite
Iceland‘s
integration
 within
the
framework
of
globalised
capital.

The
specificities
of
Iceland,
for
the
purpose
of
this
 paper,
 are
 twofold.
 
 First,
 while
 it
 can
 be
 argued
 that
 the
 collapse
 of
 the
 principal
 Icelandic
 banks


was
the
result
of
their
inability
to
secure
inter‐bank
borrowing
as
a
consequence
of
 the
 impact
 of
 the
 US
 sub‐prime
 market,
 there
 is
 firm
 evidence
 that
 the
 Icelandic
 model
 of
 financial
 services
 led
 economic
 growth
 was
 always
 unsustainable.
 
 Second,
 for
 those
 accustomed
 to
 the
 experience
 of
 life
 in
 large,
 complex
 societies,
 in
 which
 a
 Durkheimian
 anomie
is
never
less
than
immanent,
Iceland
as
a
nation
state
represents
a
community
within
 which
a
moral
collective
conscience
is
a
palpable
fact
of
everyday
life.



 
 The
title
of
this
paper

reflects
the
configuration
of
micro
and
macro
dimensions
of
a
process
 in
which
the


corporatization
of
social

existence
in
Iceland
has
led
to
a
generalised

myopia
;
 being
 the
 refusal
 to
 accept
 burgeoning
 national
 economic
 growth
 as
 a
 
 ‘bubble‘,
 
 despite
 all
 evidence
to
the
contrary.


One
effect
of
this
has
been
the
subordination
of
the
subject
to
the
 hegemony
of
financialisation
as
personal
savings
were
invested
in
corporations
(banking
and
 ‐
51
‐


others,
such
as
Baugur)
whose
senior
agents
and
principals
were
cognisant
of
the
precarious
 quality
 of
 their
 borrowings.
 
 
 The
 then
 strength
 of
 the
 national
 currency,
 the
 Kronur,
 combined
 with
 high
 interest
 rates
 attracted
 overseas
 hedge‐fund
 speculation,
 with
 foreign
 currency
flushing
into
the
national
economy.

This
created
substantial
wealth
for
a
minority
of
 Icelanders
(those
principals
and
senior
agents
of
local
corporate
enterprises)
and
resulted
in
a
 degree
 of
 social
 differentiation
 that
 hitherto
had
 been
 uncharacteristic
 of
 a
 society
 in
 which
 even
 elites
 subscribed
 to
 a
 social
 equality
 forged
 in
 historical
 kinship
 and
 fictive
 kinship
 relations.

For
the
rest,
the
illusion
of
continued
economic
growth,
house
price
inflation
and
 access
to
cheap
credit
led
and
to
higher
personal/household
indebtedness
than
even
the
UK.


 

 The
 core
 focus
 of
 the
 paper
 relates
 to
 the
 question
 of
 ethical
 disengagement.Ethical
 disengagement
 frees
 an
 individual
 from
 experiencing
 psychological
 discomfort
 and
 the
 resulting
 self‐
 censorship
 associated
 with
 involvement
 in
 ethically
 dubious
 decision‐making
 processes.
 
 
 Perhaps
 individuals
 manoeuvre
 in
 such
 a
 way
 as
 to
 morally
 disengage
 from
 a
 situation
 and
 thereby
 rationalize
 an
 immoral
 decision
 and/or
 practice.
 
 At
 one
 level
 
 this
 disengagement
 
 refers
 to
 the
 phenomenological
 
 experience
 
 of
 a
 sense
 of
 
 moral

 powerlessness

to
alter
the
trajectory
of
banking
expansion
amongst

the
most
senior
agents

 within
 Bauman‘s
 
 ´´self‐sustaining
 rationality‘‘
 
 of
 corporate
 existence.
 
 At
 a
 second
 level,
 analysis
of
this
disengagement
must
account
for
a
web
of
causality
that
extends
across
a
range
 of
actors
and
institutions;
involving
government,
rating
agencies,
shareholders,
the
media,
the
 impact
of
markets
and
widespread
social
complicity.


The
expansion
of
Icelandic
corporations
 overseas
 into
 European,
 and
 especially
 UK
 markets,
 was
 lauded
 at
 home
 in
 Iceland
 as
 the
 emergence
of
a
dynamic,
risk‐bearing
Viking
capitalism.

The
protagonists
of
Viking
capitalism
 became
exemplars
of
achievement.

MBA
and
business‐related
undergraduate
and
part‐time
 post‐graduate
 courses
 became
 highly
 subscribed.
 
 National
 myopia
 re‐inforced
 by
 personal
 and
collective
aspirations
for
enhanced
national
identity?
 
 So,
 where
 are
 business
 ethics
 in
 Iceland?
 
 
 
 Morality
 is
 related
 to
 personal
 responsibility,
 to
 individual
conscience
and
volition,
to
avoid
doing
harm.

Icelandic
society
has
a
secure
moral
 foundation.


Responsibility
of
one
for
the
other
has
been
the
foundation
stone
of
community
 survival
for
over
a
millenium
in
the
inhospitable
climate
of
the
World‘s
oldest
democracy.


So
 how
 do
 the
 ethics
 of
 business
 fit
 into
 the
 Icelandic
 experience?
 Can
 either
 seperatist
 or
 integrationist
 perspectives
 concerning
 the
 relationship
 between
 business
 and
 society
 shed
 light
 on
 our
 understanding
 of
 the
 state
 of
 business
 ethics
 in
 Iceland?
 
 
 
 Where
 does
 responsibility
 lie?
 
 
 Drawing
 on
 qualitative
 data
 this
 paper
 addresses
 these
 questions,
 and
 considers
 the
 efficacy
 of
 any
 appeal
 to
 a
 moral
 ‘ought‘
 in
 business
 ethics
 delivered
 under
 conditions
of
heteronomy.
 
 
 


‐
52
‐


Viral
marketing
and
imaginary
ethics,
or
the
joke
that
goes
too
far
 Casper
Hoedemaekers
 Cardiff
Business
School
 
 In
a
recent
advertisement
for
Ford,
we
see
a
shiny
new
car
standing
on
the
driveway.
The
car
 is
 empty.
 Out
 of
 the
 nowhere,
 the
 car’s
 electronic
 sunroof
 opens
 itself.
 We
 observe
 a
 cat
 cautiously
 approaching
 the
 car,
 jumping
 on
 the
 bonnet
 and
 walking
 towards
 the
 sunroof.
 It
 sticks
its
head
through
the
roof
to
peek
inside
the
car.
Suddenly,
the
car’s
sunroof
closes
again,
 choking
the
cat
which
struggles
until
we
see
its
head
dropping
onto
the
driver’s
seat.
As
the
 cat’s
lifeless
body
slides
down
the
windshield,
a
slogan
appears
on
the
screen:
“Ford
SportKA,
 the
KA’s
evil
twin”12.

 
 Perhaps
 unsurprisingly,
 this
 commercial
 was
 banned
 from
 appearing
 on
 TV
 but
 has
 nonetheless
 clocked
 thousands
 of
 views
 on
 YouTube.
 Welcome
 to
 the
 world
 of
 viral
 marketing,
where
savvy
advertising
agencies
create
advertisements
that
will
almost
certainly
 meet
with
such
controversy
that
they
will
be
withdrawn
or
banned
from
TV
appearance,
but
 where
the
media
storm
they
have
generated
ensures
that
they
go
on
to
lead
a
rich
life
on
the
 internet.

 
 How
 does
 such
 viral
 marketing
 influence
 the
 consumer?
 How
 does
 it
 utilise
 its
 shock
 effect,
 and
what
effect
does
this
have
on
the
consumer’s
perception
of
a
product?
As
it
runs
into
the
 written
 and
 unwritten
 rules
 for
 propriety,
 good
 taste
 or
 social
 acceptability,
 does
 it
 fundamentally
question
them?
In
other
words,
does
it
have
an
ethical
status
of
its
own?
We
 can
 perhaps
 view
 these
 adverts
 as
 a
 joke
 that
 goes
 too
 far,
 a
 joke
 that
 goes
 beyond
 merely
 playfully
 flaunting
 symbolic
 conventions,
 into
 openly
 transgressing
 them
 at
 the
 risk
 of
 exclusion
from
the
public
realm.

 
 In
 this
 paper,
 I
 explore
 the
 phenomenon
 of
 viral
 marketing
 in
 relation
 to
 psychoanalytic
 theory
on
humour,
the
comical
and
the
joke
in
order
to
speculate
on
its
effects
on
consumer
 subjectivity.
 I
 will
 draw
 on
 Freud’s
 (1905)
 treatise
 of
 the
 joke
 and
 its
 relation
 to
 the
 unconscious
 as
 a
 way
 of
 conceptualising
 the
 possibility
 and
 the
 effects
 of
 jokes
 as
 they
 are
 used
 in
 attempts
 at
 viral
 marketing,
 and
 complement
 it
 with
 Lacan’s
 (1977)
 insights
 on
 the
 role
 of
 transgression
 in
 perpetuating
 the
 metonymic
 movement
 of
 desire
 and
 his
 (1992)
 conceptualisation
of
ethics
as
situated
“between
the
two
deaths”.



 
 Here
 I
 will
 attempt
 to
 show
 how
 these
 practices
 of
 viral
 marketing
 attempt
 to
 tie
 the
 imperatives
 of
 capitalist
 relations
 of
 production
 to
 the
 libidinal
 economy,
 by
 locating
 themselves
 in
 an
 excluded,
 seemingly
 ethical
 dimension.
 The
 joke
 represents
 itself
 as
 gratuitous,
and
simultaneously
as
too
much
of
good
thing,
while
setting
the
scene
for
its
own
 removal
 from
 the
 sanctioned
 domain
 of
 the
 Other
 (the
 institutionalised
 media,
 good
 taste,
 political
correctness).
It
gets
itself
banned
in
order
to
elicit
the
jouissance
associated
with
the
 guilt
of
breaking
the
Other’s
commandments:
we
shouldn’t
laugh
at
this,
but
we
cannot
help
 ourselves.

 
 In
 Freud’s
 conceptualisation,
 the
 joke
 operates
 by
 allowing
 the
 subject
 to
 remove
 itself
 temporarily
from
the
weight
of
critical
reason.
I
will
argue
that
in
its
“tendentiousness”,
the
 12


http://uk.youtube.com/watch?v=g5KgZPNVKAg&feature=related



 ‐
53
‐


joke
 in
 banned
 adverts
 purposively
 and
 ostentatiously
 transgresses
 the
 Symbolic
 Law
 by
 going
 against
 its
 prescriptions.
 In
 doing
 so,
 it
 attempts
 to
 appropriate
 an
 impression
 of
 ethicality:
it
paints
itself
as
‘too
frank’,
‘too
daring’,
‘too
rebellious’,
or
‘too
progressive’.
It
is
 precisely
 by
 virtue
 of
 its
 banned
 status
 that
 it
 gains
 this
 excessive
 dimension.
 The
 implicit
 strategy
 of
 the
 jokes
 in
 these
 adverts
 is
 therefore
 to
 acquire
 an
 extra‐symbolic
 quality,
 by
 having
itself
forcibly
removed
from
the
sanctioned
domain
of
the
Other.

 
 And
it
is
in
this
consumption
that
we
can
find
a
specific
mechanism
at
work,
one
which
is
not
 commonly
found
in
other
forms
of
advertising.
The
deliberately
banned
advertisement,
as
all
 forms
 of
 marketing
 and
 advertising,
 attempts
 to
 link
 this
 jouissance
 to
 the
 image
 of
 the
 product
in
question
(Stavrakakis,
2007;
Barthes,
1993).
But
it
sets
itself
apart
by
means
of
a
 very
specific
stitching
together
of
the
Good
and
the
Bad,
in
order
to
evoke
an
excessive
form
of
 jouissance.
The
jouissance
that
is
evoked
by
this
joke
that
goes
‘too
far’
can
be
considered
part
 of
the
Good
insofar
as
it
exposes
the
command
of
the
Other
and
finds
itself
excluded
from
its
 domain.
 It
 is
 “too
 much
 of
 a
 good
 thing”,
 too
 uncompromising
 in
 its
 stance
 to
 abide
 by
 the
 codes
of
the
Symbolic
and
therefore
cannot
be
condoned.

 
 However,
 it
 only
 takes
 a
 moment
 to
 see
 that
 this
 evocation
 of
 the
 Good
 is
 a
 false
 one
 in
 the
 case
 of
 the
 viral
 marketing
 joke,
 since
 its
 aim
 lies
 not
 in
 resisting
 or
 subverting
 the
 commandments
of
the
symbolic
Law.
It
follows
the
logic
of
instrumental
capitalism
precisely
 because
it
will
still
be
consumed,
namely
on
the
internet.
As
such,
the
joke
in
the
ad
takes
on
 the
status
of
a
transgression
that
inspires
the
jouissance
of
questioning
the
prohibitions
of
the
 symbolic
 Law,
 without
 fundamentally
 interrupting
 their
 functioning.
As
has
previously
 been
 pointed
out,
such
“codified
transgressions”
(Zizek,
1999:
264)
can
facilitate
a
cynical
distance
 that
allows
the
subject
to
persevere
in
its
exploitation
(Fleming
and
Spicer,
2003).
Moreover,
 the
jouissance
received
from
this
indiscretion
is
amplified
by
the
very
idea
that
it
is
forbidden,
 that
the
joke
goes
too
far.




 
 
 References
 Barthes,
R.
(1993),
Mythologies,
London:
Vintage.
 Fleming,
P.
and
A.
Spicer
(2003),
Working
at
a
cynical
distance:
implications
for
subjectivity,
 power
and
resistance,
Organization,
10,
p.
157‐179.
 Freud,
S.
(1905),
Der
Witz
und
seine
Beziehung
zum
Unbewussten,
Frankfurt
am
Main:
Fischer
 Verlag.

 Lacan,
J.
(1992),
Seminar
VII:
the
ethics
of
psychoanalysis,
translated
by
D.
Porter,
New
York:
 Norton.
 Lacan,
J.
(1977),
Seminar
XI:
the
four
fundamental
concepts
of
psychoanalysis,
translated
by
A.
 Sheridan,
New
York:
Norton.
 Stavrakakis,
Y.
(2007),
The
Lacanian
Left,
Edinburgh:
Edinburgh
University
Press.
 Zizek,
S.
(1999),
The
ticklish
subject,
London:
Verso.


‐
54
‐


The
meaning
and
meaninglessness
of
CSR
–
a
case
study
in
China
 Shih­wei
Hsu
 University
of
Nottingham,
Ningbo
China
 
 Recent
years,
there
has
seen
an
increasing
concern
over,
or
dissatisfaction
with,
the
current
 state
of
business
practice.
Amongst
others,
corporate
misdeeds
in
China
are
one
of
the
most
 important
targets
of
escalating
criticism,
ranging
from
contaminated
milk
power
to
different
 kinds
of
pollution
and
shabby
products.

 
 Some
 may
 argue,
 at
 this
 point,
 that
 companies
 in
 China
 are
 urgently
 in
 need
 of
 competent
 management
 (in
 the
 sense
 of
 managerial
 techniques
 and
 management
 knowledge),
 or
 that
 they
 require
 curricula
 of
 business
 ethics.
 Nevertheless,
 such
 an
 assertion
 is
 somewhat
 untenable.
 Following
 China’s
 economic
 reform
 at
 the
 end
 of
 the
 1970s,
 the
 marketization
 of
 the
economic
system
has
been
represented
as
an
inevitable
trend,
and
the
process
has
been
 further
accelerated
after
China’s
entrance
into
the
World
Trade
Organisation
(WTO)
in
2000.
 What
 happened
 in
 China
 is
 the
 popularity
 of
 business
 education,
 together
 with
 the
 strong
 belief
that
management
is
the
solution
to
business
‘inefficiency’
and
the
managerialization
of
 state‐owned
 companies
 (Zhou,
 2006).
 In
 the
 realm
 of
 management
 studies,
 research
 on
 business
 ethics
 in
 China
 has
 soared
 since
 the
 first
 half
 of
 the
 1990s,
 usually
 under
 the
 umbrella
term
of
Corporate
Social
Responsibility
(CSR)
(e.g.
Lu,
2006:
12).

 
 However,
 it
 seems
 that
 the
 relationship
 between
 CSR
 and
 business
 practice
 in
 China
 still
 belongs
to
the
realm
of
hyper‐reality,
to
borrow
Baudrillard’s
(1988)
word:
the
symbolic
and
 the
real
are
happily
irrelevant.
In
the
organisational
context,
some
companies
have
seen
CSR
 as
a
sort
of
investment,
if
not
a
staple
of
managerial
jargon,
to
improve
the
corporate
image,
or
 as
 a
 tool
 to
 gain
 customers’
 loyalty
 (e.g.
 (Lichtenstein
 et
 al,
 2004).
 At
 a
 political
 level,
 some
 companies
 have
 attempted
 to
 use
 CSR
 in
 order
 to
 gain
 the
 benefit
 of
 tax
 reduction
 (Tang,
 2007).
The
discourse
of
CSR
in
China
seems
to
be
largely
informed
by
the
managerial
interest
 of
efficiency,
and
ultimately
mired
in
the
context
of
the
corporate
good.
If
this
is
the
case,
we
 argue
 that
 the
 current
 problematic
 state
 of
 business
 ethics
 in
 China
 cannot
 be
 resolved
 by
 adopting
new
management
techniques,
because
management
may
be
part
of
the
problem
of
 which
 it
 is
 purported
 to
 be
 the
 cure.
 While
 many
 would
 agree
 that
 it
 is
 an
 urgent
 task
 to
 develop
 business
 ethics
 in
 contemporary
 China,
 it
 is
 not
 easy
 ground
 to
 articulate
 an
 alternative
approach
which
avoids
the
predominant,
managerial
understanding
of
(business)
 ethics.
There
are
many
reasons
for
this.
 
 On
the
one
hand,
after
China’s
economic
reform
in
1979
there
seems
to
appear
a
‘mentra’
in
 public:
 China
 is
 an
 emerging
 market
 which
 provides
 huge
 business
 opportunities,
 and
 therefore
 companies
 have
 to
 develop
 effective
 managerial
 capability
 to
 gain
 competitive
 advantage.
On
the
other,
while
many
MNCs
have
undertaken
business
activities
in
China,
local
 Chinese
 companies
 are
 under
 the
 pressure
 of
 tightening
 competition
 and
 pursuing
 better
 managerial
 performance.
 An
 additional
 element
 is
 the
 proliferation
 of
 business
 education,
 which
strengthens
the
popular
cliché
that
management
is
a
necessary
social
process
because
 it
improves
the
efficient
production
of
goods
and
services,
within
the
context
of
the
common
 social
good.
It
is
in
this
regard
that
the
concept
of
CSR
in
China
is
often
mired
in
an
economic
 framework
 in
 which
 it
 is
 measured
 in
 terms
 of
 economical
 value,
 and
 governed
 by
 the
 managerial
interest
of
efficiency.
 
 ‐
55
‐


The
 focus
 of
 this
 paper
 is
 on
 the
 current
 state
 of
 CSR
 in
 the
 Chinese
 context.
 We
 employ
 findings
 from
 an
 ethnographic
 study
 in
 a
 Chinese
 company.
 We
 conduct
 interviews
 with
 organisational
 members,
 particularly
 with
 mangers
 and
 employees
 who
 have
 management
 knowledge.
 Our
 intention
 here
 is
 to
 gain
 insight
 into
 the
 current
 understanding
 of
 CSR,
 including
the
(potential)
conflicts
between
business
practice
and
business
ethics
in
China,
and
 also
the
ambivalence
between
modern
managerial
techniques
and
traditional
Chinese
ethics.
 We
 shall
 argue
 that
 the
 mainstream
 understanding
 of
 CSR
 offers
 a
 weak
 response
 to
 the
 current
state
of
corporate
misdeeds
in
China.
Nevertheless,
the
ultimate
purpose
of
this
paper
 is
 to
 show
 some
 different,
 though
 tentative,
 possibilities
 of
 CSR,
 as
 well
 as
 the
 possible
 contribution
of
Critical
Management
Studies
in
the
Chinese
context.

 References
 Baudrillard,
J.
(1988)
Selected
Writings,
CA:
Stanford
University
Presss.

 Lichtenstein,
 R,
 Drumwright,
 E.
 and
 Braig,
 B.
 M.
 (2004)
 The
 Effects
 of
 Corporate
 Social
 Responsibility
 on
 Customer
 Donations
 to
 Corporate‐Supported
 Nonprofits,
 Journal
 of
 Marketing,
68:
16‐32.

 Lu,
 X.
 (2006)
 Good
 beginnings:
 a
 review
 of
 the
 International
 Conference
 on
 Developing
 business
ethics
in
China.
In
X.
Lu
and
G.
Enderle
(eds)
Developing
business
ethics
in
China.
 Hampshire:
Palgrave
Macmillan,
12‐23.
 Tang,
D.
(2007)
Talk
about
CSR,
Journal
of
Wuhan
Electric
Power
Technical
College,
5
(2):
63‐ 66
 Zhou,
 Z.
 (2006)
 Ethical
 concepts
 of
 consumption
 in
 China
 and
 the
 West
 in
 the
 context
 of
 globalization.
 In
 X.
 Lu
 and
 G.
 Enderly
 (eds.)
 Developing
 business
 ethics
 in
 China.
 Hampshire:
Palgrave
Macmillan,
123‐133.


‐
56
‐


An
analysis
of
ethical
mindsets
in
the
Australian
services
sector

 Theodora
Issa
and
David
Pick

 School
of
Management,
Curtin
University
of
Technology,
Western
Australia,
Australia


 
 
 
 The
 services
 sector
 is
 of
 critical
 importance
 to
 the
 Australian
 economy,
 but
 is
 experiencing
 significant
 difficulties
 originating
 from
 the
 looming
 global
 recession.
 
 The
 problems
 were
 triggered
 by
 a
 credit
 crisis
 that
 resulted
 in
 market
 meltdown,
 dwindling
 superannuation
 funds,
and
increased
unemployment.

While
a
mix
of
factors
and
participants
precipitated
this
 crisis,
 responsibility
 for
 these
 events
 has
 been
 laid
 squarely
 at
 the
 feet
 of
 highly
 paid
 executives
and
traders
employed
by
large,
global
financial
institutions.

This
has
resulted
in
an
 increasing
chorus
of
calls
for
the
re‐examination
of
the
ethics
that
guides
individuals
not
just
 in
the
financial
services
sector
but
also
in
the
wider
corporate
world.

These
calls
are
not
just
 from
scholars,
but
also
from
heads
of
states
and
international
organizations.

 
 In
the
light
of
the
events
alluded
to
above,
the
aim
of
this
paper
is
to
provide
insights
into
the
 ethical
orientations
and
preferences
of
people
working
in
the
services
sector.

Drawing
mainly
 on
two
separate
but
related
business
ethics
literatures
relating
to
spirituality
and
aesthetics,
 these
 issues
 are
 examined
 using
 the
 theoretical
 lens
 of
 ‘mindsets’.
 
 A
 number
 of
 different
 managerial
 mindsets
 applying
 to
 the
 business
 context
 have
 been
 proposed
 in
 the
 literature
 (e.g.
the
reflective
mindset;
the
analytic
mindset;
the
worldly
mindset;
the
collaborative
mindset;
 the
action
mindset).
The
concept
of
mindsets
has
also
been
widely
employed
in
the
analysis
of
 strategic
orientations,
talent,
the
use
of
information
and
international
management.

However,
 there
has
been
very
little
published
research
relating
to
ethics.
 




 This
 paper
 reports
 on
 research
 that
 deploys
 an
 interpretive
 mixed
 method
 approach
 to
 the
 analysis
 of
 data
 collected
 through
 online
 survey
 and
 focus
 groups.
 
 Data
 collection
 started
 with
 an
 online
 survey
 developed
 from
 a
 range
 of
 existing
 tools
 in
 the
 literature.
 The
 survey
 consisted
 of
 five
 sections
 with
 a
 total
 of
 66
 items
 and
 demographic
 questions.
 Respondents
 were
 given
 opportunities
 to
 add
 comments
 that
 amplified
 their
 responses.
 
 Focus
 group
 interviews
 were
 held
 following
 the
 quantitative
 data
 analysis
 to
 triangulate
 and
 further
 develop
the
research
findings.
 
 The
223
respondents
to
the
online
survey
were
from
various
service
organisations
located
in
 Australia.
 An
 exploratory
 factor
 analysis
 revealed
 eight
 major
 components:
 aesthetic
 spirituality,
 religious
 spirituality,
 optimism,
 harmony
 and
 balance,
 truth
 seeking,
 pursuit
 of
 joy,
 peace
 and
 beauty,
 making
 a
 difference,
 and
 professionalism.
 
 These
 components
 accounted
 for
 63%
 of
 the
 total
 variance
 in
 the
 data.
 
 The
 results
 formed
 the
 basis
 for
 interviews
with
20
participants
in
four
focus
groups.

The
focus
group
interviews
were
audio
 taped
and
the
researcher
took
additional
notes.
The
raw
data
collected
was
first
transcribed
 providing
 a
 complete
 record
 of
 the
 discussions.
 
 The
 data
 was
 then
 analysed
 using
 the
 components
 generated
 from
 the
 quantitative
 data
 as
 a
 starting
 point.
 
 From
 there
 patterns,
 trends
 and
 themes
 were
 developed
 that
 refined,
 dimensionalised
 and
 gave
 greater
 depth
 to
 the
findings
from
the
quantitative
analysis.

For
example,
participants
generally
regarded
the
 use
of
the
term
‘professionalism’
to
describe
one
of
the
components
as
inappropriate
because
 it
 was
 too
 general.
 
 
 An
 alternative
 term,
 ‘interconnectedness’
 was
 suggested
 that
 better
 reflects
 the
 ‘connecting
 relationships’
 implied
 by
 the
 features
 identified
 in
 the
 quantitative
 analysis.
The
qualitative
analysis
also
produced
themes
relating
to
a
‘delusion
of
morals’
and
 ‐
57
‐

‘moral
 blindness’
 in
 the
 workplace.
 
 These
 extended
 the
 analysis
 to
 a
 consideration
 of
 the
 motivations
 of
 individuals
 in
 that
 there
 was
 a
 perception
 amongst
 participants
 that
 individuals
 were
 more
 motivated
 by
 their
 personal
 goals
 than
 arising
 from
 the
 aims
 of
 organizations
they
worked
for
or
the
interests
of
their
clients.

 
 While
the
findings
of
this
research
are
limited
to
the
Australian
context,
the
results
indicate
 the
existence
of
an
ethical
mindset
and
provide
pointers
to
its
dimensions.

This
research
also
 clearly
demonstrates
the
context
dependency
of
mindsets.

Furthermore,
a
number
of
issues
 and
questions
are
raised
that
are
worthy
of
further
examination,
particularly
in
relation
to
the
 influence
 and
 importance
 of
 ethical
 mindsets
 and
 to
 varying
 and
 sometimes
 conflicting
 understandings
of
the
term
spirituality.



‐
58
‐

Equality
And
Diversity
As
Ethical
Business
Practice
 Tracie
Jolliff

and
Margaret
Page
 Bristol
Business
School,
University
of
the
West
of
England
 
 Current
legislation
in
the
UK
requires
the
‘mainstreaming’
of
equality
within
all
organisations
 delivering
 public
 services.
 Within
 this
 context
 the
 adoption
 of
 the
 business
 case
 for
 ‘promoting
diversity’
has
become
a
strong
motivating
force
for
both
the
creation
and
delivery
 of
equality.
 
 This
business
emphasis
in
relation
to
equality
is
best
appreciated
when
considered
within
the
 wider
 context
 of
 a
 market
 driven
 organisational
 philosophy,
 which
 in
 turn,
 ushers
 in
 an
 emphasis
upon
performance
management
and
audit.
Such
regulatory
frameworks
as
a
vehicle
 for
the
promotion
of
diversity
and
the
production
of
equality
can
often
produce
results
that
 are
increasingly
unpredictable
while
offering
a
façade
of
change.

 
 This
 paper
 aims
 to
 raise
 some
 questions
 about
 how
 equality
 is
 both
 understood
 and
 made
 within
 public
 sector
 organizations.
 
 It
 highlights
 some
 of
 the
 often
 ignored
 contradictions
 which
are
inherent
within
the
realms
of
equality
ideas
and
equality
implementation.


 
 The
authors
draw
upon
three
key
elements;
 
 Firstly,
 the
 authors’
 own
 research
 concerning
 women
 and
 black
 managers’
 experiences
 of
 organisational
 equality
 creation
 in
 public
 services
 and
 the
 impact
 this
 has
 had
 upon
 them.

 This
 is
 part
 of
 a
 small
 but
 growing
 body
 of
 research
 which
 introduces
 ‘under
 the
 surface’
 dynamics
as
a
means
by
which
to
understand
black
and
gendered
organizational
realities.


 
 Secondly,
 they
 call
 upon
 their
 own
 experiences
 of
 being
 part
 of
 the
 social
 movements
 that
 have
 contributed
 to
 some
 of
 the
 broad
 equality
 conversations,
 primarily
 about
 race
 and
 gender,
which
have
subsequently
steered
some
of
the
key
recent
legislative
changes.


 
 Thirdly
they
bring
insights
derived
from
current
organisational
practice
as
they
engage
with
 the
legislation
and
the
multifarious
actions
of
equality
production.

 
 The
authors’
consider
whether
current
discourses
of
equality
which
inform
equality
practices
 construct
 significant
 obstacles
 to
 the
 accomplishment
 of
 a
 cooperative
 and
 ethical
 understanding
 of
 equality
 within
 a
 business
 case
 context.
 In
 doing,
 so
 they
 engage
 with
 dimensions
 of
 experience
 that
 are
 often
 omitted
 from
 dominant
 organisational
 discourses
 about
 equality
 and
 diversity,
 such
 as
 the
 complex
 emotional
 work
 involved
 in
 equality
 creation.
 
 Our
 aim
 is
 to
 offer
 a
 working
 paper
 that
 surfaces
 some
 of
 these
 invisible
 and
 yet
 influential
 dimensions
 of
 experience,
 both
 explicit
 and
 ‘under
 the
 surface’.
 
 
 We
 will
 explore
 these
 through
 the
 stories
 that
 organizational
 actors
 themselves
 bring
 about
 their
 personal
 experiences
of
equality
creation
and
dialogue.

The
intention
is
to
elicit
some
of
the
ways
in
 which
such
complex
engagement
with
multifaceted
dimensions
of
experience
may
bring
new
 insight
 to
 the
 complexity
 of
 equality
 creating
 work.
 
 In
 doing
 so
 the
 authors
 encourage
 and
 invite
 exploration
 of
 what
 it
 might
 mean
 to
 lead
 business
 based
 equality
 and
 diversity
 initiatives
 ethically,
 and
 how
 such
 a
 stance
 might
 contribute
 to
 alternative
 approaches
 to
 equality
creating
actions,
which
deliver
meaningful
equality
on
the
ground.
 ‐
59
‐


 
 References
 Cassin,
 M.
 (2006)
 Routine
 Regimes:
 Systematic
 Discrimination,
 Inequality
 and
 Privilege
 [online]
 Available
 from:
 http://www.qub.ac.uk/sites/EqualitySocailInclusionInIreland‐ HomePage/FileStore/Filetoupload,23783,en.doc
[Accessed
30
May
2007]
 Dalal,
F.
(2002)
Race,
Colour
and
the
Processes
of
Racialization:
New
Perspectives
From
Group
 Analysis,
Psychoanalysis
and
Sociology.
Brunner‐Routledge
Hove
and
New
York

 Hinshelwood,
R.D.
(2007)
Intolerance
and
the
intolerable:
the
case
of
racism,
Psychoanalysis,
 Culture
&
Society
12,
1–20.
 Hothschild,
 A.
 (1983).
 The
 managed
 heart:
 Commercialization
 of
 human
 feeling.
 Berkeley
 University
of
California
Press
 Holvino,
 E.
 (2001)
 ‘Complicating
 gender:
 The
 simultaneity
 of
 race,
 gender,
 and
 class
 in
 organization
change(ing)’.
Working
paper
no.
14,
Center
for
Gender
in
Organizations
 
 Jolliff,
 T.
 (2008)
 Truths,
 lies
 and
 imaginations
 of
 racial
 equality:
 Do
 Black
 Managers’
 Stories
 Have
 Worth
 In
 Helping
 Public
 Sector
 Organisations
 To
 Move
 Forward
 The
 Racial
 Equality
 Agenda?
MSc
Dissertation,
UWE.
 Macalpine,
M.
and
Marsh,
S.,
(2005)
‘On
Being
White:
There’s
Nothing
 I
Can
Say’
Exploring
Whiteness
and
Power
in
Organizations,
Management
Learning,
Vol.
36(4):
 429–450
 
 Meyerson,
D.
E.
and
Kolb,
D.M.
(2000)
'Moving
out
of
the
Armchair:
Developing
a
Framework
 to
Bridge
the
Gap
between
Feminist
Theory
and
Practice'
pp.
553‐572
in
Organization,
vol.
7
 no.
4
2000
 
 Page,
 M.L.
 (2005)
 ‘From
 Tempered
 Radicalism
 to
 Collaborative
 Leadership:
 Action
 Research
 as
Change
Practice’.
Gender
Work
and
Organisation
International
Conference,
Keele,
June
2005.
 Page,
M.L.,
Jarvis,
C.
Grisoni,
L.
(2007)
‘The
gender
duty‐
opportunity
or
threat?’
Gender
Work
 and
Organisation
International
Conference,
Keele,
June
2007.

 Sinclair,
 A.
 (1998)
 Doing
 Leadership
 Differently:
 Gender,
 Power
 and
 Sexuality
 in
 a
 Changing
 Business
Culture.
Victoria,
Australia:
Melbourne
University
Press.
 Squires,
J.
(2005)
‘Is
Mainstreaming
Transformative?
Theorizing
 Mainstreaming
in
the
Context
of
Diversity
and
Deliberation’.
Project
Muse,
Oxford:
OUP
 
 Wrench,
J.
(2005)
Diversity
management
can
be
bad
for
you,
Race
&
Class,
Vol.
46(3):
73–84.
 60/76
 The
 Business
 Commission
 on
 Race
 Equality
 in
 the
 Workplace
 (2007)
 A
 report
 by
 the
 national
 employment
 panel
 [online]
 National
 Employment
 Panel.
 Available
 from:
 http://66.102.9.104/search?q=cache:XnCzCcmGkqkJ:www.nationalemploymentpanel.gov.uk /publications/nep/2007/BusCommissionReport.pdf+BuscommissionReport,+october+2007 &hl=en&ct=clnk&cd=1&gl=uk
[Accessed
2
January
2008]
 


‐
60
‐

The
Subject
Supposed
to
Recycle
 Campbell
Jones
 Copenhagen
Business
School
 
 
 
 In
 this
 paper
 I
 ask
 ‘Where
 is
 the
 active
 agent
 of
 ethical
 business?’.
 I
 consider
 the
 assumed
 grounds
 of
 the
 increasingly
 frequent
 incitements
 that
 call
 on
 individual
 responsibility
 for
 recycling
 and
 other
 voluntary
 acts
 that
 exhibit
 ‘social
 responsibility’.
 In
 a
 way
 such
 acts
 are
 the
 flipside
 of
 corporate
 social
 responsibility,
 in
 which
 responsibility
 falls
 on
 the
 shoulders
 not
of
the
corporation
but
of,
for
example,
the
consumer.
They
reflect
an
situation
of
soft
or
 pastoral
power,
in
which
corporations
seem
to
not
instruct
or
moralise
but
instead
act
so
as
to
 enable
social
resonsibility
on
behalf
of
others.
I
will
identify
one
paradigm
of
such
corporate
 care
 in
 the
 manufacture
 of
 goods
 which
 are
 ‘recyclable’.
 In
 certain
 respects
 recycability
 is
 mere
pretence,
making
a
play
at
environmental
concern
and
lightening
the
ethical
burden
by
 promising
a
future
stage
in
the
product
cycle
in
which
the
product
is
able,
at
least
potentially,
 to
be
recycled.
In
this
way
recyclability
echoes
the
talk
of
possibility
and
potentiality
that
we
 find
in
business
and
contemporary
philosophy.

 
 But
 beyond
 this
 sense
 of
 forever
 posponed
 possibility
 is
 a
 more
 important
 displacement
 of
 action,
 which
 I
 propose
 to
 focus
 on
 here.
 I
 draw
 attention
 to
 the
 subjective
 enablements
 standing
 in
 the
 place
 of
 the
 objective
 shortcomings
 of
 the
 promise
 of
 recyling
 and
 recyclability.
My
concern
will
be
to
comprehend
something
of
what
is
assumed
of
the
subject
 who
is
ethically
incited
to
recycle,
to
make
every
act
of
consumption
an
existential
ethical
act
 on
 which
 the
 future
 of
 the
 planet
 depends.
 In
 this
 we
 find
 something
 of
 the
 unbearable
 heaviness
 of
 the
 freedom
 of
 choice
 offered
 by
 the
 market.
 In
 such
 a
 situation
 of
 anxiety‐ producing
 liberty,
 it
 is
 perhaps
 not
 surprising
 that
 many
 today
 turn
 to
 the
 more
 reassuring
 and
no
doubt
more
certain
prospect
of
the
immanent
end
of
all
human
life.
In
the
absence
of
 other
 certainties,
 such
 is
 perhaps
 not
 obscenely
 irrational.
 Unless,
 of
 course,
 the
 economic
 subject
might
be
able
to
be
liberated
otherwise,
by
ceding
certain
apparent
freedoms.
It
is
to
 these
 other
 freedoms
 that
 can
 be
 found
 in
 relinquishing
 existing
 freedoms,
 that
 we
 must
 therefore
turn.
 
 Literature
 Agamben,
 Giorgio(1999)
 Potentialities,
 trans.
 Daniel
 Heller‐Roazen.
 Stanford:
 Stanford
 University
Press.
 Kant,
 Immanuel
 (1996)
 ‘Critique
 of
 practical
 reason’
 in
 Practical
 Philosophy
 (Cambridge
 Edition
of
the
Works
of
Immanuel
Kant),
trans.
Mary
Gregor.

Cambridge:
Cambridge
 University
Press.

 Lacan,
 Jacques
 (1979)
 Seminar
 Eleven:
 The
 Four
 Fundamental
 Concepts
 of
 Psychoanalysis,
 trans.
Alan
Sheridan.

New
York:
Norton.
 Levinas,
 Emmanuel
 (1981)
 Otherwise
 than
 Being
 or
 Beyond
 Essence,
 trans.
 Alphonso
 Lingis.

 Pittsburgh,
PA:
Duquesne
University
Press.
 Salecl,
Renata
(2004)
On
Anxiety.
London:
Routledge.
 Weber,
Samuel
(2008)
Benjamin’s
–abilities.
Harvard,
MA:
Harvard
University
Press.
 Žižek,
Slavoj
(1997)
‘The
supposed
subjects
of
ideology’
Critical
Inquiry,
39(2):
39‐59.


‐
61
‐

On
the
ethics
of
evilness
 Ruud
Kaulingfreks
 University
of
Humanistics,
Utrecht
 University
of
Leicester
 
 One
of
the
most
interesting
questions
concerning
business
ethics
is
the
fundamental
question
 about
the
object
of
the
discipline.
Strangely
enough
this
question
is
normally
not
the
object
of
 a
 debate
 but
 is
 taken
 for
 granted.
 Ethics
 as
 the
 discipline
 about
 the
 judgement
 on
 the
 distinction
between
good
and
evil
(Lalande
vocabulaire
technique
et
critique
de
la
Philosophie)
 deals
with
the
conditions
and
arguments
sustaining
moral
judgements.
Or
is
the
formalisation
 of
common
sense
arguments
about
morality
(see
Jones
et
al
2005:
14).

This
means
that
ethics
 is
not
about
good
and
evil
but
the
meta‐reflection
on
morality.
In
other
words
the
judgement
 about
 good
 en
 evil
 is
 something
 outside
 ethics.
 Or
 it
 should
 be.
 Ethics
 only
 reflects
 on
 the
 conditions
 of
 such
 moral
 judgements.
 The
 judgement
 itself
 is
 something
 of
 society,
 the
 free
 will
of
actors,
or
whatever
one
may
think
appropriately.
(that
is
a
an
ethical
discussion…).
If
 ethics
 would
 enunciate
 moral
 judgements
 it
 becomes
 moral
 education
 or
 a
 party
 in
 a
 moral
 discussion
and
loses
its
disciplinary
authority.
In
this
sense
ethics
should
be
very
careful
not
 to
make
moral
judgements
but
only
reflect
on
the
given
judgements.
 
 Business
ethics
on
the
other
hand
and
especially
the
practice
of
business
ethics
consultancy
 has
 developed
 into
 moral
 consultancy,
 that
 is
 into,
 well‐argued,
 moral
 judgements
 about
 ethical
desirability
in
business
practices.
By
so
doing
business
ethics
places
itself
as
a
moral
 authority
 judging
 about
 goodness
 in
 business
 practices
 and
 neglects
 its
 ethical
 task.
 It
 becomes
 a
 moral
 high
 ground
 to
 justify
 practices.
 It
 therefore
 can
 only
 speak
 about
 what
 is
 desirable
and
is
not
able
to
think
about
the
ethics
of
business,
or,
for
that
mater,
about
ethics
 in
general.
 One
of
the
consequences
of
this
moral
position
of
business
ethics
is
its
incapacity
of
thinking
 about
 evil.
 Since
 it
 is
 only
 interested
 in
 moral
 justification
 it
 only
 thinks
 about
 what
 is
 acceptable
 and
 therefore
 good
 and
 neglects
 evilness.
 It
 only
 thinks
 of
 evilness
 as
 something
 that
is
not
goodness.
By
so
doing
it
is
unable
to
reflect
on

those
aspects
of
human
nature
and
 of
business
that
are
not
morally
high
but
essential
daily
practice
as
for
instance
misanthropy,
 contempt,
egoism,
greed,
etc.
 
 If
business
ethics
is
to
be
real
business
ethics
it
should
reflect
on
these
topics
and
their
impact
 on
the
practices
of
business.

 


‐
62
‐

Business
Ethics:
Dumped
or
Recycled?
 Tarja
Ketola
 University
of
Vaasa
 
 The
2008
Olympics
in
Beijing
illustrated
how
easy
it
is
for
companies
to
dump
their
ethics
for
 profits.
 The
 Beijing
 Olympics
 were
 officially
 sponsored
 by
 multinationals
 –
 Adidas,
 Atos
 Origin,
 Budweiser,
 GE,
 Coca
 Cola,
 Haier,
 Johnson
 &
 Johnson,
 Kodak,
 Lenovo,
 Manulife,
 McDonald’s,
 Omega,
 Panasonic,
 Samsung,
 UPS,
 Visa
 and
 Volkswagen
 –
 all
 which
 have
 committed
themselves
to
human
rights
in
their
corporate
responsibility
policies,
but
none
of
 which
 boycotted
 this
 sports
 event
 for
 China’s
 gross
 human
 rights
 violations.
 Instead
 these
 companies
prioritized
financial
gains
over
business
ethics.
 
 Year
 2008
 ran
 from
 boom
 to
 recession.
 During
 the
 boom
 many
 companies
 dumped
 their
 social
responsibility
for
their
employees
and
laid
off
their
staff
on
the
pretext
of
their
financial
 responsibility
 towards
 shareholders,
 i.e.
 maximization
 of
 profits
 leading
 to
 maximum
 dividends
(and,
of
course,
maximum
management
options).
During
the
boom
in
summer
2008
 the
 Finnish
 mobile
 phone
 company
 Nokia
 closed
 down
 its
 factory
 in
 Bochum,
 Germany,
 leaving
 3,300
 people
 unemployed.
 Most
 of
 Bochum
 factory’s
 production
 was
 transferred
 to
 Romania.
The
German
employees
protested
vigorously,
German
consumers
boycotted
Nokia’s
 products,
Nordrhein‐Westfalen
state
threatened
to
reclaim
the
subsidies
it
had
given
to
Nokia,
 and
Federal
Chancellor
Angela
Merkel
lectured
Nokia’s
management
on
their
irresponsibility
 –
 but
 Finnish
 politicians
 followed
 the
 rules
 of
 neoclassical
 economics
 and
 defended
 Nokia’s
 right
 to
 boost
 its
 competitiveness
 by
 any
 means
 (Ketola
 2008a).
 During
 the
 recession
 many
 companies
use
the
global
financial
crisis
as
an
excuse
to
cut
costs
and
boost
profits
by
laying
 off
employees.
Hence
in
November
2008,
Nokia
announced
that
it
would
lay
off
600
people
in
 Finland
and
close
down
its
site
in
Turku,
Finland,
by
1
January
2009
because
of
its
poor
third‐ quarter
financial
report.
 
 On
the
other
hand,
Göthberg
(2007)
shows
how
a
company
may
recycle
for
decades
an
ethical
 practice
 originally
 started
 as
 a
 risk
 management
 exercise:
 from
 department
 to
 department
 with
various
labels,
such
as
pro
bono,
knowledge
management,
sustainable
development
and
 corporate
 social
 responsibility,
 attached
 to
 it.
 Skandia,
 the
 Swedish
 insurance
 company
 in
 question,
 could
 not
 discontinue
 this
 ethical
 programme
 of
 preventive
 crime
 and
 violence
 reduction
in
society
even
during
recession
for
the
fear
of
negative
publicity.
Göthberg
points
 out
 the
 way
 in
 which
 something
 of
 the
 ethical
 content
 is
 lost
 every
 time
 the
 old
 ethical
 practice
 is
 translated
 into
 a
 new
 mode.
 She
 calls
 the
 outcome
 of
 this
 process
 'lost
 in
 translation'.
 
 Multinational
companies
transfer
their
production
to
developing
countries
because
of
cheaper
 labour
 and
 increasing
 markets
 there.
 They
 claim
 to
 transfer
 their
 business
 ethics
 with
 their
 operations.
 Even
 when
 global
 corporate
 responsibility
 policies
 are
 implemented
 to
 the
 operations
 of
 their
 subsidiaries
 in
 developing
 countries,
 something
 seems
 to
 be
 'lost
 in
 translation'.
Stora
Enso,
the
largest
pulp
and
paper
corporation
in
Europe
with
an
extensive
 corporate
responsibility
policy,
has
been
establishing
huge
tree
plantations
in
Brazil,
Uruguay
 and
China
during
the
last
few
years.
These
monocultural
eucalyptus
tree
fields
have
destroyed
 rainforests
 with
 their
 native
 species
 and
 magnificent
 biodiversity.
 Furthermore,
 they
 have
 destroyed
the
livelihoods
and
cultures
of
indigenous
peoples
(Ketola
2008b).

 
 ‐
63
‐

Dumping
 or
 recycling
 business
 ethics
 is
 a
 drama
 played
 by
 many
 actors
 affecting
 business
 decisions.
The
different
actors
influence
each
other
on
global,
country,
regional,
company
and
 individual
 levels,
 and
 the
 outcome
 depends
 on
 their
 interactions,
 tensions
 and
 power
 relations.
 The
 ethics
 of
 economic,
 social,
 cultural
 and
 environmental
 issues
 may
 not
 always
 coincide
or
they
may
be
played
against
each
other
even
when
they
could
be
reconciled.
The
 purpose
 of
 this
 paper
 is
 to
 analyze
 systematically
 the
 interactions,
 tensions
 and
 power
 relations
 between
 different
 areas
 and
 levels
 of
 business
 ethics,
 as
 figure
 1
 demonstrates,
 in
 order
to
find
other
solutions
to
business
ethics
than
dumping
or
recycling.
 
 
 
 
 
 
































AREAS
OF
ETHICS
 Economic
 Social
 Cultural
 Environmental
 
 L EVELS
OF
ETHICS 
 
 
 Global
 
 
 
 
 
 Country
&
region
 
 
 
 
 Fig Company
 
 
 
 
 ure
 Individual
 
 
 
 
 1.
 Interactions,
 tensions
 and
 power
 relations
 between
 different
 areas
 and
 levels
 of
 business
 ethics.
 
 
 
 
 
 
















 




















 
 
 


‐
64
‐

Promoting
qualitative
research
in
business
ethics:

cognitive
mapping
 as
a
tool
for
focussing
on
the
individual’s
moral
behaviour
 Chris
Knight
 University
of
Wolverhampton
 
 Published
 work
 on
 empirical
 research
 within
 business
 ethics
 continues
 in
 the
 main
 to
 embrace
 the
 quantitative
 approach
 taken
 from
 the
 discipline
 of
 psychology,
 despite
 the
 existence
of
an
increasingly
rich
body
of
literature
encompassing
a
qualitative
approach
to
the
 empirical
 research
 within
 the
 psychological
 paradigm.
 
 This
 is
 particularly
 the
 case
 when
 considering
how
an
individual
makes
ethical
decisions
in
the
workplace.

Research
in
business
 ethics
 concentrates
 on
 specific
 elements
 within
 the
 whole
 process
 involved
 in
 an
 individual
 employee
 making
 a
 moral
 decision
 in
 the
 workplace.
 
 It
 depends
 on
 vignettes
 and
 fictitious
 scenarios
to
which
research
participants
are
required
to
react
and
are
scored
accordingly.

At
 the
same
time,
a
number
of
models
have
been
developed
which
seek
to
capture
the
process
of
 what
is
involved
in
coming
to
any
form
of
conclusion
within
a
decision
with
a
moral
element
 within
it.

All
these
studies,
while
contributing
towards
our
global
understanding
of
aspects
of
 ethical
procedures,
it
is
suggested,
fail
to
promote
our
understanding
of
the
phenomenon
as
a
 whole
 or
 provide
 an
 overview
 of
 how
 an
 individual,
 faced
 with
 a
 moral
 dilemma
 at
 work,
 deals
 with
 the
 multifarious
 influences
 and
 pieces
 of
 information
 with
 which
 she
 is
 faced
 in
 seeking
an
ethical
solution
to
a
problem.

In
addition,
little
account
is
taken
of
the
recognised
 “gap”
between
intention
and
action.


 
 In
order
that
we
might
better
understand
how
individuals
process
such
decisions
(if,
indeed,
 they
 do
 use
 any
 such
 structured
 process),
 there
 needs
 to
 be
 a
 means
 of
capturing
 historical
 decisions
while
retaining
them
within
their
historical
and
societal
context,
in
such
a
way
that
 they
 can
 be
 examined
 and
 analysed,
 but
 ultimately
 retaining
 their
 wholeness.
 
 This
 paper
 promotes
 the
 use
 of
 cognitive
 mapping
 as
 a
 research
 data
 collection
 method
 which
 fulfils
 these
 criteria.
 
 Having
 outlined
 the
 theory
 behind
 the
 development
 of
 cognitive
 mapping
 which
has
its
foundation
on
two
different
bases,
that
of
Kelly’s
theory
of
personal
constructs
 and,
 secondly,
 schema
 theory,
 it
 considers
 the
 different
 types
 of
 cognitive
 maps
 that
 are
 available,
 together
 with
 their
 uses.
 
 Consideration
 is
 given
 to
 the
 potential
 for
 “fit”
 with
 a
 range
 of
 qualitative
 methodologies
 and
 a
 detailed
 description
 is
 provided
 of
 a
 social
 constructionist
 empirical
 project
 which
 utilized
 the
 technique
 to
 explore
 actual
 historical
 moral
 decisions
 through
 interviewing
 employees
 who
 had
 faced
 such
 dilemmas
 in
 the
 workplace
and
who
were
prepared
to
share
them.
 
 The
elements
of
the
procedure
used
within
a
semi‐structured
interview
setting
are
described
 and
 the
 potential
 flexibility
 of
 the
 method
 is
 demonstrated.
 
 
 The
 appropriateness
 of
 the
 quantification
 of
 elements
 within
 cognitive
 maps
 is
 discussed
 and
 consideration
 given
 to
 potential
 issues
 of
 reliability
 and
 validity.
 The
 limitations
 of
 the
 data
 collection
 method
 are
 highlighted,
 together
 with
 issues
 relating
 to
 analysis
 and
 presentation.
 
 It
 is
 argued
 that
 the
 use
of
cognitive
maps
as
a
tool
to
collect
data
concerning
the
nature
of
moral
decisions
in
the
 workplace
 enables
 others
 to
 understand
 better
 the
 nature
 of
 the
 decisions,
 their
 relative
 spontaneity,
 the
 influences
 upon
 them
 and
 the
 way
 the
 individual
 involved
 reached
 the
 eventual
decision
while
maintaining
the
latter’s
societal
and
historical
context.


‐
65
‐

The
Failure
of
Regulation
in
Banking?:
Ethical
Reflections
 David
Knights
 Bristol
Business
School,
University
of
the
West
of
England
 
 
 
 At
 this
 conference,
 the
 organizers
 have
 asked
 business
 ethics
 researchers
 to
 consider
 practices,
 issues
 and
 problems
 that
 are
 not
 normally
 considered
 as
 business
 ethics,
 but
 are
 nevertheless
 concerned
 with
 ethics
 in
 business.
 As
 the
 call
 argues:
 ‘If
 we
 can
 find
 ethics
 in
 shareholder
and
consumer
activism,
then
how
far
should
we
go
in
considering
other
activisms
 as
 ethics’?
 
 In
 this
 paper,
 I
 shall
 examine
 the
 current
 global
 banking
 crisis
 and
 the
 extent
 to
 which
 taxpayers
 who
 have
 been
 asked
 to
 fund
 the
 cost
 of
 banking
 failures,
 might
 become
 active
in
demanding
that
bankers
reflect
more
deeply
on
the
ethics
of
their
recent
behaviour.
 Taxpayer
activism
is
not
a
common
phenomenon
largely
because
there
is
no
obvious
base
for
 organizing
 their
 disparate
 interests.
 At
 present,
 the
 media,
 regulators,
 politicians
 and
 government
claim
to
act
on
behalf
of
the
taxpayer
but
there
is
considerable
dissatisfaction
and
 limited
 evidence
 that
 many
 citizens
 particularly
 in
 the
 UK
 and
 the
 US
 are
 extremely
 angry
 about
the
reckless
risks
and
perhaps
negligence
that
the
bankers
have
committed
leading
to
 government
 bale
 outs
 to
 prevent
 further
 destructive
 damage
 to
 the
 global
 economy.
 In
 particular,
 people
 find
 it
 difficult
 to
 accept
 that
 failed
 and
 excessively
 rewarded
 senior
 bankers
can
continue
to
receive
high
rewards
including
bonuses
or
to
walk
away
with
large
 severance
payments
or
pensions.
What
is
interesting
is
that
while
apologizing,
the
CEOs
and
 Chairmen
of
the
UK
and
US
banks
do
not
accept
the
full
blame.
Instead
they
make
the
claim
 that
 no
 one
 could
 have
 predicted
 the
 collapse
 of
 the
 wholesale
 market
 for
 credit.
 Yet
 many
 were
anxious
about
the
number
of
defaults
on
subprime
mortgages
in
the
US
as
early
as
2006
 and
how
these
mortgages
had
already
been
packaged
into
secondary
assets
that
were
being
 traded
 in
 the
 wholesale
 market.
 What
 is
 clearly
 the
 case
 is
 that
 these
 bankers
 failed
 to
 take
 due
care
and
adequate
risk
assessments
because
they
were
fueled
by
a
growth
mentality
from
 which
 they
 personally
 benefited
 in
 the
 form
 of
 large
 bonuses
 as
 banks
 over‐expanded
 their
 loan
books
through
participating
in
the
trading
of
securitized
products.

 
 The
 response,
 however,
 is
 to
 refinance
 these
 failed
 markets
 and
 to
 depend
 on
 stronger
 regulatory
 constraints
 and
 the
 regulators
 taking
 on
 more
 of
 the
 authority
 vested
 in
 them
 to
 intervene.
 
 There
 is
 no
 mention
 of
 transforming
 the
 culture
 in
 an
 ethical
 direction
 or
 that
 there
should
be
a
concern
about
the
consequences
of
action
and
not
just
about
complying
with
 rules
 and
 regulations.
 The
 paper
 examines
 a
 range
 of
 ethical
 philosophies,
 arguing
 that
 the
 problem
with
regulatory
controls
is
that
they
rely
exclusively
on
Kantian
ethics
in
which
there
 is
 a
 mere
 compliance
 with
 rules
 rather
 than
 a
 moral
 responsibility,
 and
 a
 commitment
 to
 avoiding
consequences
that
are
damaging,
to
others.
The
paper
will
suggest
that
the
repair
to
 the
 markets
 and
 reform
 of
 the
 system
 is
 simply
 to
 reproduce
 the
 problems
 that
 have
 led
 to
 this
damaging
financial
crisis
and
that
an
entirely
different
approach
is
required
in
order
for
 the
 financial
 system
 to
 regain
 the
 support
 of
 the
 taxpaying
 public.
 It
 will
 also
 reflect
 on
 previous
 failures
 to
 recognize
 unsustainable
 booms
 in
 equity
 markets,
 loans
 to
 developing
 economies,
information
technology
and
the
dot.com
bubble
burst.



‐
66
‐

The
dangerous
antinomies
of
Corporate
Philanthropy
 Anders
Lacour
 Copenhagen
Business
School
 
 
 
 Over
the
past
two
decades,
a
growing
number
of
multi‐national
companies
have
come
to
view
 philanthropy
as
a
key
business
imperative.
This
phenomenon
has
stimulated
research
on
the
 various
strategies
pursued
by
companies
in
‘going
philanthropic’.
Some
distinguish
between
 corporations
 that
 are
 philanthropic
 only
 to
 secure
 fiscal
 benefits
 and
companies
 that
 are
 doing
 philanthropy
 for
 purely
 altruistic
 reasons.
 These
 discussions
are
 today
 being
 left
 behind
by
 researchers
 that
 argue
 that
 such
 a
 distinction
 is
 not
 very
 useful
 because
 it
 overlooks
 the
 fact
 that
 corporations
 are
 often
 doing
 both
 simultaneously.
 This
 paper,
 however,
 will
argue
 that
 this
 in
 principle
 seamless
 integration
 of
 aims
is
 disintegrating
 in
 practice.
 By
 investigating
 the
 annual
 reports
 of
 selected
 multi‐national
 corporations,
 the
 article
 will
 show
 how
 the
 corporations
 deal
 with
 the
 challenge
 of
 ‘going
 philanthropic’
 by
 using
two
different
languages
at
the
same
time:
the
language
of
economics
and
the
language
of
 philanthropy.
 While
 the
 two
 languages
 produce
 very
 different
understandings
 of
why
companies
 are
 engaged
 in
 philanthropy,
 the
 corporations
 run
 the
 risk
 of
 formulating
contradictory
stakeholder
strategies,
and
thereby
being
trapped
in
the
dangerous
 antinomies
of
corporate
philanthropy.
The
paper
takes
its
theoretical
point
of
departure
in
the
 French
sociologist
Pierre
Bourdieu’s
work
on
strategic
euphemism,
to
show,
how
the
different
 corporations
try
to
come
in
terms
with
the
challenges
of
corporate
philanthropy.
 
 


‐
67
‐


 


Locating
 business
 ethics
 anywhere:
 The
 impact
 of
 work­related
 mobile
technologies
on
ethics
and
work
 Diannah
Lowry
 Bristol
Business
School,
University
of
the
West
of
England
 
 
 
 The
advent
of
increasingly
portable
technological
devices
and
their
dissemination
throughout
 the
 economic
 and
 social
 sphere
 has
 come
 to
 invoke
 investigation
 and
 new
 theorizing
 about
 the
 role
 of
 mobile
 technologies
 and
 associations
 with
 employment
 in
 the
 contemporary
 period.
 
 
 While
 mobile
 working
 has
 been
 investigated
 in
 various
 ways
 (see
 for
 example
 Felstead,
Jewson
and
Walters.
2005;
Hislop
2008),
a
consideration
of
the
location
of
ethics
in
 the
 context
 of
 the
 technology
 that
 facilitates
 mobile
 work
 
 appears
 sorely
 missing.
 An
 exploration
 of
 the
 ethical
 implications
 of
 work‐related
 mobile
 technologies
 thus
 forms
 the
 basis
of
this
paper.
While
the
paper
explores
potential
ethical
impacts
of
work‐related
mobile
 technologies,
the
underlying
assumption
is
not
one
of
technological
determinism.

The
guiding
 view
 here
 is
 that
 while
 technology
 may
 have
 various
 effects
 or
 impacts;
 technology
 itself
 is
 shaped
by
social
and
economic
forces
(Mackenzie
and
Wajcman,
1985).


 
 In
 this
 paper
 I
 posit
 the
 view
 that
 since
 much
 contemporary
 business
 activity
 eliminates
 spatial
 and
 temporal
 barriers
 through
 the
 use
 of
 work‐related
 mobile
 technologies,
 then
 issues
 associated
 with
 business
 ethics,
 if
 at
 all
 locatable,
 may
 also
 transcend
 spatial
 and
 temporal
 barriers.
 Issues
 related
 to
 business
 ethics
 then,
 may
 be
 potentially
 locatable
 anywhere.
Extending
the
notion
of
Katz
and
Aakhus’s
(2002)
neologism
of
the
mobile
phone
 as
 an
 ‘apparatgeist’
 this
 paper
 seeks
 to
 explore
 ethical
 issues
 associated
 with
 the
 perpetual
 contact
afforded
by
work‐related
mobile
technologies.
A
feature
of
perpetual
contact
related
 to
the
adoption
of
work‐related
technologies
is
the
market
driven
thirst
for
knowledge
(and
 associated
powers)
coupled
with
the
promotional
discourse
of
the
mobile
technology
industry
 advocating
 a
 type
 of
 communication
 utopia.
 When
 this
 utopia
 and
 its
 supposed
 benefits
 for
 organizations
 and
 employees
 are
 put
 under
 scrutiny,
 there
 are
 potential
 and
 subtle
 ‘ethical
 cracks’
which
start
to
emerge.


 
 These
ethical
cracks
can
be
detected
in
the
contemporary
discourse
about
‘good
jobs’
and
‘bad
 jobs’
and
the
characterisation
of
the
former
as
high‐skilled,
flexible,
and
mobile
jobs
(through
 the
use
of
work‐related
mobile
technologies),
hence
almost
bespoke
to
suit
the
individual,
and
 characterised
by
a
new
type
of
economic
actor,
the
“digerati”
(Fisher,
2008).
On
the
one
hand,
 work‐related
mobile
technologies
may
afford
some
desirable
and
perceived
power
vantages
 to
its
varied
users,
but
on
the
other
hand
they
may,
as
Meyerson
(2001)
articulates,
function
 to
“systemise
the
life
world
replacing
meanings
with
messages,
consensus
with
instructions
and
 insight
with
information”
(p.
65).


 
 In
this
paper
it
proposed
that
the
type
of
perpetual
contact
facilitated
by
work‐related
mobile
 technologies
is
ethically

problematic
on
a
number
of
accounts.
First,
‘just‐in‐time’
networked
 communications
 may
 lead
 to
 increased
 intercept
 and
 surveillance
 facilitating
 
 a
 violation
 of
 the
 protective
 space
 of
 the
 private.
 Thus,
 while
 mobile
 technologies
 may
 bind
 workers
 through
 the
 continuity
 of
 spatial
 networks,
 they
 are
 also
 likely
 to
 facilitate
 unwarranted
 ‐
68
‐ 68

identity
 anxiety
 by
 invasion
 into
 the
 private
 domain.
 It
 is
 not
 only
 privacy
 that
 may
 be
 violated,
but
worker
discretion
also,
since
another
feature
of
surveillance
is
its
use
as
a
form
 of
 performance
 monitoring
 outside
 the
 realm
 of
 workplace
 related
 observation
 and
 traditional
 modes
 of
 performance
 management.
 Second,
 an
 accepted
 ethos
 of
 perpetual
 contact
 may
 serve
 to
 preserve
 traditional
 patriarchal
 leadership
 roles
 and
 power
 structures
 by
 managers
 themselves
 remaining
 “on
 duty”
 (instead
 of
 delegating
 responsibilities)
 thus
 inhibiting
 processes
 of
 organizational
 differentiation.
 Perpetual
 contact
 thus
 potentially
 serves
 to
 substitute
 for
 traditional
 
 training
 and
 development
 efforts
 and
 the
 associated
 opportunities
 and
 skills
 gains
 for
 aspiring
 individual
 workers.
 Third,
 work‐related
 mobile
 technologies
 have
 led
 to
 refashioning
 spaces
 of
 work
 to
 become
 ever
 shifting,
 detached,
 unpredictable
 and
 placeless.
 The
 placelessness
 of
 work
 de‐personalises
 work
 processes
 and
 social
 interactions
 thus
 potentially
 depriving
 workers
 of
 a
 means
 to
 flourish
 socially.
 
 The
 paradox
 of
 perpetual
 contact
 in
 the
 context
 of
 the
 world
 of
 work
 and
 its
 associated
 mobile
 technologies
 is
 that
 meaningful
 social
 interactions,
 either
 as
 embedded
 in
 the
 work
 undertaken
 or
 as
 a
 welcome
 by‐product,
 become
 unlikely.
 
 The
 ethical
 implications
 of
 these
 issues
 of
 surveillance,
 substitution
 and
 alienation
 associated
 with
 work‐related
 mobile
 technologies
 are
 discussed
 in
 the
 paper
 from
 the
 vantage
 of
 both
 traditional
 and
 contemporary
ethical
frameworks.


 
 References
 Felstead,
A.
Jewson,
N.
&
Walters,
S.
2005.
Changing
Places
of
Work,
Palgrave
Macmillan,
Basingstoke.
 Fisher,
 E.
 2008.
 ‘The
 Classless
 Workplace:
 The
 Digerati
 and
 the
 New
 Spirit
 of
 Technocapitalism’
 WorkingUSA,
11
(2),
181‐198
 Hislop,
D.
(ed).
2008.

Mobility
and
Technology
in
the
Workplace,
Routledge,
London.

 Katz,
 J.
 &
 Aakhus,
 M.
 (eds).
 2002.
 
 Perpetual
 Contact:
 Mobile
 Communication,
 Private
 Talk,
 Public
 Performance,
Cambridge,
UK
&
New
York:
Cambridge
University
Press.
 Myerson,
G.
2001.
Heiddeger,
Habermas
and
the
Mobile
Phone.
Cambridge,
UK:
Icon
Books.
 Mackenzie,
D.
&
Wajcman,
J.
(eds)
1985.
The
Social
Shaping
of
Technology,
Open
University
Press,
Milton
 Keynes.
 


‐
69
‐ 69




The
 Dilemmas
 of
 Teaching
 Business
 Ethics
 in
 Business
 Schools:
 Exploring
the
Range
of
Resistances
 Diannah
Lowry
 Bristol
Business
School,
University
of
the
West
of
England
 
 
 
 “Business
 Schools
 do
 not
 need
 to
 do
 a
 great
 deal
 more
 to
 help
 prevent
 future
 Enrons:
 they
 need
 only
 to
 stop
 doing
 a
 lot
 they
 currently
 do.
 They
 do
 not
 need
 to
 create
 new
 courses:
they
need
simply
stop
teaching
some
old
ones”
 Sumantra
Ghoshal,
2005:75
 
 It
is
difficult
not
to
observe
that
there
is
a
crisis
of
management
education
and
that
the
role
 that
business
schools
should
play
in
the
process
of
management
education
and
research
is
in
 need
of
much
reflection.
Of
course,
much
of
the
focus
of
the
crisis
is
due
to
the
large
corporate
 scandals
 that
 have
 characterised
 the
 last
 decade,
 as
 well
 as
 the
 more
 recent
 collapse
 of
 financial
institutions
and
markets
in
the
current
global
recession.

This
paper
locates
the
role
 of
business
ethics
in
business
schools
and
outlines
some
of
the
problems
and
resistances
that
 may
 be
 faced
 when
 trying
 to
 inject
 business
 ethics
 education
 into
 management
 education.
 While
 the
 paper
 rests
 heavily
 on
 Goshal’s
 (2005)
 inspirational,
 watershed
 critique
 of
 management
 theories
 and
 their
 impact
 on
 management
 practices,
 there
 is
 in
 this
 paper
 an
 element
 of
 self
 narrative
 of
 my
 own
 account
 of
 working
 in
 various
 business
 schools
 both
 in
 the
UK
and
in
Australia.

In
each
business
school
setting
I
encountered
a
variety
and
range
of
 resistances
to
the
teaching
of
business
ethics,
even
in
those
business
schools
that
had
formal,
 dedicated
 business
 ethics
 modules.
 The
 published
 debates
 surrounding
 business
 ethics
 education
 are
 not
 excluded
 in
 this
 paper,
 since
 in
 my
 experience
 they
 were,
 in
 the
 four
 business
 schools
 in
 which
 I
 have
 been
 employed,
 enacted
 as
 an
 active,
 open
 dialogue.
 
 This
 paper
 then
 seeks
 to
 bring
 together
 some
 of
 the
 main
 resistances
 associated
 with
 business
 ethics
education,
on
the
premise
that
without
an
understanding
of
the
resistances,
the
project
 of
 activating,
 furthering
 and
 improving
 business
 ethics
 education
 may
 well
 turn
 out
 to
 be
 a
 glib
and
protracted
process.


 
 The
 debates
 and
 resistances
 associated
 with
 the
 teaching
 of
 business
 ethics
 can
 be
 summarised
 as
 being
 either
 pedagogical,
 or
 ideological/political,
 although
 the
 distinction
 is
 arguably
an
artefact
since
in
real
terms
there
is
a
crossover
between
the
two.
At
some
point
 the
pedagogy
becomes
a
resource
that
is
‘owned’
hence
political
considerations
are
induced.

 Pedagogical
debates
are
those
concerned
with
business
ethics
curriculum
placement,
content
 and
aims
(see
for
example
Lowry,
2003;
Sims
and
Felton,
2006;
Birnik
and
Billsberry,
2008).
 Ideological
and

political
resistance

are
related
to
ownership
of
business
ethics
teaching
(both
 personal
 and
 bureaucratic)
 to
 personal
 resistance
 based
 on
 a
 perceived
 futility
 of
 business
 ethics
 education
 given
 the
 assumption
 of
 Homo
 Economicus,
 and
 to
 other
 perceived
 market
 forces
 that
 may
 sway
 those
 in
 authority
 away
 from
 offering
 any
 business
 ethics
 education
 (“the
students
won’t
want
it”
type
argument)
(see
Pfeffer
and
Fong,
2004,
also
Curry
&
Thach,
 2007).

The
forms
of
resistance
outlined
in
this
paper
are
unlikely
to
be
exhaustive,
but
it
is
 hoped
 that
 by
 identifying
 and
 unpacking
 some
 of
 the
 obstacles
 to
 business
 ethics
 education
 we
 may
 expedite
 the
 infusion
 of
 the
 teaching
 of
 business
 ethics
 into
 more
 Business
 School
 settings.

 ‐
70
‐


 
 References
 Birnik,
 A.
 &
 Billsbery,
 J.
 2008.
 ‘Reorienting
 the
 Business
 School
 Agenda:
 The
 case
 for
 Relevance,
 Rigor
 and
Righteousness’
Journal
of
Business
Ethics,
82,
985‐999.
 Curry,
T.
&
Thach,
S.
2007.
‘Teaching
Business
Ethics:
The
Attitudes
of
Business
Deans
around
the
World’
 Project
Muse,
41,
(1),
237‐244
 Ghoshal,
 S.
 2005.
 ‘Bad
 Management
 Theories
 are
 Destroying
 Good
 Management
 Practices’
 Academy
 of
 Management
Learning
&
Education,
4,
(1),
75‐91
 Lowry,
D.

(2003)

‘An
Investigation
of
Student
Moral
Awareness
and
Associated

Factors
in
Two
Cohorts
 of
 an
 Undergraduate
 Business
 Degree
 in
 a
 British
 University:
 Implications
 for
 Business
 Ethics
 Curriculum
Design’

Journal
of
Business
Ethics,
48,
(1),
7
–
19.
 Pfeffer,
 J.
 &
 Fong,
 C.
 2002.
 ‘The
 end
 of
 business
 schools?
 Less
 success
 than
 meets
 the
 eye’
 Academy
 of
 Management
Learning
&
Education,
1,
(1),
78‐95
 Sims,
R.
&
Felton,
E.
2006.
‘Designing
and
Delivering
Business
Ethics
Teaching
and
Learning’
Journal
of
 Business
Ethics,
63,
297
–
312.
 
 
 
 
 
 
 
 
 


‐
71
‐

Who’s
 Who
 in
 PRME:
 The
 Rhetoric
 of
 Involvement
 vs.
 the
 Reality
 of
 Commitment
 Janette
Martell
and
Ángel
Castiñeira
 ESADE
Business
School,
Ramon
Llull
University
 
 
 
 We
believe
in
the
Principles
for
Responsible
Management
Education
(PRME).
We
believe
they
 afford
a
unique
opportunity
for
academic
institutions
around
the
world
to
join
in
a
common
 purpose,
 and
 to
 instil
 in
 their
 graduates
 a
 high
 standard
 of
 business
 ethics
 and
 an
 honest
 conviction
 in
 terms
 of
 social
 responsibility
 by
 adopting
 the
 Principles.
 Our
 purpose
 is
 to
 evaluate
 whether
 leaders
 of
 academic
 institutions
 have
 become
 convinced
 of
 the
 transcendental
value
of
the
PRME
initiative
and,
consequently,
how
they
are
responding
to
the
 need
for
change
in
management
education
through
their
adherence
to
PRME.
In
other
words,
 who
 has
 become
 rhetorically
 involved
 with
 PRME
 vs.
 who
 has
 committed
 themselves
 to
 implementing
the
Principles.
 
 This
paper
studies
PRME’s
evolution
since
their
launching
in
July
2007,
up
to
the
First
Global
 Forum
 for
 Responsible
 Management
 Education
 that
 took
 place
 at
 the
 United
 Nations
 Headquarters
 on
 December
 4‐5,
 2008.
 We
 review
 the
 182
 academic
 institutions
 that
 have
 signed
up
to
PRME
and
the
great
number
that
have
not
done
so,
in
spite
of
the
fact
that
many
 of
 them
 are
 active
 members
 of
 international
 organizations
 that
 advocate
 objectives
 in
 business
ethics,
social
responsibility
and
sustainability.


 
 Based
 on
 our
 findings,
 we
 conclude
 that
 the
 number
 of
 signatories
 should
 have
 reached
 a
 higher
 level
 during
 the
 17
 months
 of
 PRME’s
 activity
 and
 are
 surprised
 to
 find
 that
 many
 leading
 academic
 institutions
 have
 not
 committed
 themselves
 to
 the
 Principles.
 We
 believe
 that
 for
 PRME
 to
 be
 successful,
 which
 it
 deserves
 to
 be,
 the
 conviction
 and
 leadership
 of
 presidents
and
deans
of
academic
institutions
will
be
absolutely
essential.
Eventually,
it
would
 be
 necessary
 to
 hold
 the
 signatories
 accountable
 for
 their
 implementation
 and
 results;
 otherwise,
 there
 will
 be
 a
 light
 involvement,
 but
 not
 an
 effective
 commitment,
 which
 will
 overthrow
this
very
promising
initiative.
The
implications
of
our
findings
and
the
avenues
for
 future
research
are
discussed.

 
 Keywords:
Accountability,
Business
Ethics,
Business
School,
Change,
Commitment,
Principles
 for
Responsible
Management
Education
(PRME),
Social
Responsibility,
University
 
 
 


‐
72
‐

Corporate
 Social
 Responsibility
 (CSR)
 Information
 Disclosure
 by
 Annual
 Reports
 of
 Public
 Companies
 listed
 at
 Indonesia
 Stock
 Exchange
(IDX)
 Edwin
Mirfazli
 University
of
Lampung,
Indonesia
 
 
 Purpose
–
The
purpose
of
this
paper
is
to
provide
empirical
proof
concerning
the
social
focus
 of
 responsibility
 information
 disclosure
 –
 dominant
 in
 annual
 reports
 of
 basic
 and
 chemical
 industries
groups
–
and
how
the
company's
group
type
affects
the
amount
and
focus
of
social
 disclosure
in
a
company's
annual
report.

 
 Design/methodology/approach
 –
 This
 paper
 explains
 and
 describes
 data
 characteristics
 employed
 in
 the
 research.
 Annual
 reports
 are
 analyzed
 by
 content
 analysis
 method.

 Findings
–
The
results
show
that
the
main
foci
of
social
disclosure
from
companies
registered
 at
 the
 Indonesia
 Stock
 Exchange
 are
 labor
 theme
 (51.60
 percent),
 followed
 by
 customer
 theme
 (19.40
 percent),
 society
 theme
 (14.70
 percent)
 and
 environmental
 theme
 (14.30
 percent),
 respectively.
 Hypothesis
 test
 proved
 that
 there
 is
 no
 significant
 difference
 in
 the
 presentation
 of
 social
 disclosure
 amount
 in
 all
 themes
 between
 companies
 in
 the
 basic
 and
 chemical
industries
group
or
in
the
variety
industries
group.

 
 Research
 limitations/implications
 –
 The
 composing
 of
 a
 social
 disclosure
 list
 tends
 to
 be
 subjective
 and
 it
 is
 possible
 to
 omit
 certain
 items
 that
 are
 supposed
 to
 be
 disclosed
 by
 the
 company.

 
 Practical
implications
–
The
paper
shows
that
it
is
necessary
to
pay
increased
attention
to
 the
social
environment,
considering
that
companies
and
society
are
equally
important.

 
 Originality/value
–
This
paper
describes
the
importance
of
amount,
manner,
and
the
reason
 behind
a
company's
social
responsibility
disclosure.

 Article
URL:

 http://www.emeraldinsight.com/10.1108/17538390810919592

 



‐
73
‐

Sustainability
 reporting
 and
 stock
 valuation:
 Multivariate
 evidence
 from
the
FTSE4Good_IBEX
 José
M.
Moneva,
Eduardo
Ortas
and
Isabel
Acero
 University
of
Zaragoza
 
 
 
 
 The
disclosure
of
information
about
organizations’
impacts
on
their
stakeholders
has
reached
 a
 high
 level
 of
 compliance
 during
 the
 last
 decade.
 Particularly,
 the
 emergence
 of
 GRI
 2002
 Guidelines
(and
more
recently
G3),
as
a
global
sustainability
reporting
framework,
promoted
 a
better
transparency
management
approach.
Thus,
sustainability
reports
can
be
considered
 as
a
mechanism
to
disclose
information
to
stakeholders
about
firm
contribution
to
sustainable
 development
(Moneva,
2007).
These
reports
are
structured
in
three
dimensions
(economics,
 social
&
environmental
issues)
according
to
“triple
bottom
line”
approach
(Elkington,
1997).
 In
fact,
the
number
of
organizations
that
report
on
environmental
and
social
issues
(according
 to
 GRI
 guidelines,
 2002
 &
 G3)
 has
 risen
 for
 the
 past
 thirty
 years
 (ACCA
 and
 Corporate
 Register,
2004).
Traditionally,
these
reporting
practices
are
linked
to
legitimating
companies’
 unsustainability
activities
in
high‐risk
considered
industries
as
chemicals,
oil
&
gas,
transport,
 etc.
 (Bebbington
 et
 al.,
 2008).
 However,
 academic
 research
 shows
 that
 sustainability
 reporting,
as
a
mechanism
to
manage
transparency
to
stakeholders
is
frequently
integrated
in
 large
 (with
 more
 arrangement
 than
 in
 SMEs)
 firms
 worldwide.
 This
 process
 have
 been
 specially
 relevant
 in
 Spain,
 since
 Spanish
 firms
 have
 been
 ranked
 in
 eighth
 level
 of
 most
 reporting
organizations
(world
data)
about
sustainability
issues
(Global
Reporting
Initiative,
 Corporate
Reporting,
http://www.corporateregister.com).

 The
 aim
 of
 this
 research
 is
 to
 explore
 the
 relationship
 between
 sustainability
 reporting
 practices
 and
 financial
 performance
 of
 FTSE4Good‐Ibex
 constituents.
 This
 index
 comprises
 companies
in
the
IBEX
35
Index
and
the
FTSE
Spain
All
Cap
Index
that
meet
good
standards
of
 practice
 in
 corporate
 social
 responsibility
 (FTSE4Good
 Series).
 A
 wide
 range
 of
 previous
 research
proposes
a
significant
and
positive
link
between
transparency
practices
(measured
 by
 sustainability
 reporting)
 and
 firm
 financial
 performance
 (Moneva
 &
 Ortas,
 2008).
 This
 conclusion
supports
Instrumental
Stakeholder
Theory
(Jones,
1995),
in
terms
that
satisfying
 information
 needs
 of
 the
 stakeholders,
 the
 firm
 could
 be
 able
 to
 obtain
 better
 levels
 of
 financial
performance
(Donaldson
&
Preston,
1995;
Mitchell
et
al.,
1997).
 Previous
 empirical
 research
 in
 the
 area
 can
 be
 mainly
 categorized
 in
 two
 types
 of
 studies:
 event‐studies
and
content
analysis.
There
is
also
another
approach
that
builds
specific
indexes
 in
order
to
capture
transparency
performance
of
sustainability
reports
(Moneva
et
al.,
2007).
 In
 this
 study,
 a
 multivariate
 model
 is
 proposed
 to
 measure
 transparency
 of
 sustainability
 reports
and
its
links
with
the
financial
performance
obtained
by
FTSE4Good‐Ibex
constituents
 (measured
 by
 stock‐market
 valuation).
 Some
 measurement
 indexes
 have
 been
 constructed
 and
multivariate
modelled
in
order
to
capture
more
efficiently
transparency
construct
(about
 social,
economic
and
environmental
parameters).
Additionally,
sensitive
analysis
is
applied
in
 order
to
capture
possible
elements
that
could
disturb
study
results.
Special
interest
is
focused
 on
industry
effect.

 This
paper
contributes
to
the
area
introducing
a
multivariate
model
to
measure
sustainability
 reporting
practices
and
testing
empirically
Instrumental
Stakeholder
Theory
in
Spanish
Stock
 Market.
 
 ‐
74
‐


 
 


‐
75
‐

Searching
for
an
ethical
approach
to
absenteeism
and
presenteeism
 Richard
Morgan­Jones
 Director
Work
Force
Health
 
 
 
 Absence
and
presence
at
work
pose
challenges
to
the
management
of
organisations
as
well
 as
to
the
work
force,
unions
and
other
stakeholders.
There
is
a
need
for
a
new
approach
to
 the
ethics
of
individual
and
collective
responsibility
in
this
field.
 
 Absenteeism
can
be
distinguished
from
legitimate
absence
by
describing
the
aggressive
use
 of
the
sick
role
involving
malingering
and
illness
deception.
Presenteeism
is
a
sign
of
a
new
 work
 ethic
 where
 illness
 deception
 also
 plays
 a
 part
 involving
 job
 insecurity
 and
 work
 addiction.
 Both
 involve
 perversion
 of
 the
 truth
 and
 the
 risk
 of
 an
 habitual
 and
 shameless
 culture
of
lying
to
others
and/or
self‐deception.
Absent
presences
describes
the
phenomenon
 of
 people
 present
 at
 work,
 but
 unproductively
 disengaged
 and
 disaffected.
 
 This
 challenge
 includes
 the
 task
 of
 retaining
 the
 vitality
 and
 commitment
 of
 staff
 to
 the
 work
 task.
 These
 organisational
 “ailments”
 have
 both
 short
 and
 long
 term
 health
 consequences
 for
 the
 individual
and
the
organisation.
 
 Psycho­social
open­systems
model
 The
 presentation
 will
 draw
 on
 research
 exploring
 a
 psycho‐social
 open‐systems
 model
 to
 describe
 the
 internal
 consultation
 that
 accompanies
 decisions
 about
 taking
 up
 or
 refusing
 the
 sick
 role
 and
 its
 relationship
 to
 external
 consultations.
 This
 will
 involve
 exploring
 different
stakeholders
in
the
decision,
including
family,
friends,
manager,
team,
doctor
and
 specialist.
These
processes
are
illustrated
by
cartoons.

 
 Attempted
 solutions
 through
 absence
 management
 policies
 are
 well
 developed.
 Absenteeism
is
an
arena
where
the
Human
Resources
Development
profession,
through
the
 Chartered
 Institute
 of
 Personnel
 and
 Development
 (Evans
 and
 Walters
 2003),
 has
 made
 clear
 guidelines
 available
 for
 managing
 its
 abuse
 echoed
 by
 the
 Department
 of
 Trade
 and
 Industry
and
the
Health
and
Safety
Executive.

 
 However
 these
 approaches
 do
 not
 take
 into
 account
 the
 underlying
 psycho‐social
 system
 dynamics
 that
 shape
 ethical
 responses
 about
 what
 is
 right
 and
 wrong
 in
 both
 individual
 decisions
 and
 their
 management.
 In
 particular
 they
 do
 not
 attempt
 to
 describe
 what
 research
 has
 suggested
 is
 the
 key
 resource
 that
 shapes
 absence
 behaviour:
 this
 is
 not
 individualised
decision,
but
collective
team
culture
and
leadership.

 
 Key
features
of
a
healthy
team
functioning
will
be
described
as
a
resource
for
promoting
the
 ethics
of
responsibility.
These
include
leadership
promoting
a
culture
of
responsiveness
as
 well
as
responsibility
that
is
fair
and
firm
with
colleagues
and
the
organisational
tasks.
 
 In
response
to
these
managerial
and
health
issues
and
as
a
result
of
a
number
of
coaching
 and
consultancy
contracts
that
have
featured
these
issues,
I
have
been
part
of
an
initiative
 that
 has
 formed
 'Work
 Force
 Health:
 Research
 and
 Consultation"
 (www.workforcehealth.co.uk).
 This
 service
 aims
 to
 offer
 an
 action
 research
 project
 in
 the
 field
 exploring
 issues
 of
 the
 relationship
 between
 the
 emotional
 health
 of
 the
 organisation
 and
the
health
of
its
workforce.

 ‐
76
‐

These
 issues
 are
 illustrated
 from
 consultancy
 work
 with
 organisations
 relating
 absence
 from
the
work
task
to
the
health
of
the
organisation
and
its
capacity
to
manage
the
risks
of
 regression.
This
work
has
been
done
under
the
auspices
of
the
Work
Force
Health:
Research
 and
 Consultation
 and
 its
 project
 "Sourcing
 authority
 and
 leadership
 in
 promoting
 healthy
 ways
of
going
sick".
 
 
 


‐
77
‐

The
Reverse
of
Ethics
 Rolland
Munro
 Keele
University
 
 
 
 Gordon
 Brown’s
 sudden
 abandonment
 of
 financial
 prudence
 comes
 in
 the
 wake
 of
 Mrs
 Thatcher’s
 infamous
 assertion
 that
 she
 ‘was
 not
 for
 turning’
 and
 the
 hubris
 of
 Tony
 Blair’s
 proclaiming
he
had
no
reverse
gear.
This
paper
picks
up
on
utopian
discourses
that
landscape
 futures
 from
 which
 there
 is
 no
 turning
 back
 and
 asks
 what
 the
 timing
 of
 such
 reverses
 in
 values
can
tell
us
about
the
cul‐de‐sac
in
current
thinking
about
ethics.
The
paper
then
goes
 on
to
question
whether
the
adoption
of
the
notion
of
reversibility
as
an
ethical
aim
goes
far
 enough?
 Although
 prominent
 in
 some
 professional
 bodies,
 including
 those
 concerned
 with
 conservation
and
information,
debates
about
reversibility
tend
to
overlook
issues
of
class
and
 stratification
 and
 be
 aimed
 more
 at
 the
 pragmatics
 of
 construction
 and
 reconstruction.
 Arguing
 that
 there
 is
 a
 growing
 division
 in
 ethics
 that
 feeds
 on
 matters
 such
 the
 partition
 between
 policy
 and
 practice,
 the
 papers
 discusses
 how
 the
 organisational
 split
 of
 values
 for
 those
 in
 control
 and
 standards
 for
 those
 charged
 with
 delivery
 reflects
 the
 valorisation
 of
 market
signals
over
institutional
ethos.
 
 


‐
78
‐

The
Challenges
Of
Sustainable
Development
And
Climate
Change:
The
 (Non)Response
Of
Business
School
Educators
And
The
Potential
Role
 Of
The
Un
Prime
Initiative
 Alan
Murray
 Sheffield
University
Management
School
 
 
 


The
 consensus
 among
 scientists,
 confirmed
 by
 the
 findings
 of
 the
 Inter‐governmental
 Panel
 on
Climate
Change
in
February
2007,
that
global
warming
is
connected
to
human
commercial
 activity,
 creates
 a
 new
 agenda
 for
 business,
 reinforcing
 the
 imperative
 of
 sustainable
 development.

The
‘credit
crunch’
followed
by
the
collapse
of
global
financial
markets
in
the
 Autumn
 of
 2008
 brought
 new
 calls
 for
 a
 ‘responsible
 approach’
 to
 be
 adopted
 by
 business.

 This
 presents
 challenges
 not
 only
 for
 business,
 but
 for
 business
 schools.
 Business
 must
 convince
 concerned
 stakeholders
 that
 they
 are
 aware
 of,
 and
 reacting
 to,
 the
 risks
 (and
 opportunities)
connected
to
the
phenomena.
Business
schools
must
reflect
on
the
priorities
of
 business
 education
 to
 include,
 across
 the
 curriculum,
 an
 acknowledgement
 of
 a
 shifting
 paradigm.

Whilst
companies
have
reacted
swiftly
to
reassure
stakeholders
of
their
ability
to
 deal
 with
 the
 issues
 arising,
 business
 schools
 seem
 slow
 to
 develop
 new
 approaches
 or
 courses,
 or
 to
 embed
 issues
 of
 sustainability
 across
 the
 curriculum
 (two
 surveys
 were
 conducted
 looking
 at
 the
 incidence
 within
 FTSE
 100
 companies
 of
 the
 establishment
 of
 a
 department
of
Corporate
Responsibility
(CR);
and
the
provision
of
CR
and
related
courses
and
 modules
 across
 UK
 Universities
 and
 Business
 Schools).
 The
 results
 of
 these
 surveys
 are
 discussed,
 leading
 to
 a
 suggestion
 that
 while
 business
 reacts
 swiftly
 to
 perceived
 threats
 or
 challenges,
 Business
 Schools
 are
 slow
 to
 follow.
 The
 paper
 is
 critical
 of
 current
 curriculum
 content
 and
 goes
 on
 to
 consider
 whether
 the
 UN
 PRiME
 initiative
 might
 act
 as
 a
 catalyst
 to
 lead
Business
Schools
towards
the
necessary
paradigm
shift.
 
 
 


‐
79
‐

Neuromarketing
 –
 between
 creation
 of
 consumer
 insight
 and
 suppression
of
consumer
autonomy
 Sarah
Opitz
 University
of
Essex
 
 
 
 This
paper
is
intended
to
take
a
closer
look
at
the
neuroethical
debate
within
the
marketing
 discipline,
paying
special
attention
to
the
position/role
of
the
marketer.
 
 Following
the
“Decade
of
the
Brain”
(George
W.
Bush),
the
emergence
of
neuroscience
based
 research
 as
 consumer
 (market)
 research
 tool,
 leads
 many
 scientists,
 academics
 and
 practitioners
alike
to
predict
its
superiority
to
more
traditional
research
methods.

 According
 to
 Murphy
 et
 al.
 (2008,
 p.:
 293‐294)
 the
 goal
 of
 neuromarketing
 studies
 is
 “…to
 obtain
 objective
 information
 about
 the
 inner
 workings
 of
 the
 brains
 of
 consumers
 without
 resorting
to
the
subjective
reports
that
have
long
been
the
mainstay
of
marketing
studies.”

 Neuroimaging
technology
has
its
foundation
in
clinical
applications,
but
becomes
increasingly
 valuable
to
the
research
of
various
social
psychological
phenomena
(Tovino,
2005),
making
it
 interesting
for
the
marketing
discipline
and
its
study
of
consumer
behaviour.

 
 In
equal
measure
to
its
advocates
praising
its
potential
impact
on
the
marketing
discipline,
its
 opponents
 raise
 various
 critical
 concerns
 and
 ethical
 issues.
 In
 the
 sensitive
 discussion
 encasing
 the
 entire
 marketing
 field
 and
 its
 ongoing
 critique
 concerning
 its
 felt
 objective
 to
 “…manipulate
 consumer
 behaviour
 –
 …
 [being]…
 effectively,
 a
 “soft”
 attack
 on
 autonomy”
 (Murphy
 et
 al.
 2008,
 p.:
 297),
 one
 has
 to
 take
 extra
 care
 in
 evaluating
 the
 potential
 contribution
 of
 such
 an
 “intrusive”
 technique
 to
 the
 discipline.
 Thereby,
 it
 is
 not
 the
 use
 of
 scientific
technology
in
consumer
research
per
se,
which
is
the
cause
for
raised
criticism
and
 ethical
 concern
 but
 rather
 the
 use
 of
 technology
 which
 specifically
 gathers
 consumer
 information
by
measuring
and
evaluating
brain
activities.
 
 The
 paper
 provides
 an
 overview
 of
 the
 current
 state
 of
 the
 neuroethical
 debate,
 covering
 neuromarketing’s
 implications
 for
 the
 marketing
 exchange
 in
 general,
 the
 protection
 of
 the
 research
subject
and
the
prevention
of
coercion
and
consumer
exploitation.

 Furthermore,
 it
 appears
 that
 integral
 but
 yet
 missing
 to
 this
 discussion
 is
 a
 closer
 look
 and
 representation
 of
 the
 marketers’
 position
 in
 this
 “ethical
 challenge”
 (Racine
 et
 al,
 2005;
 p.:
 159).
 It
is
noted
that
under
the
umbrella
of
marketing
ethics
in
general,
research
has
shown
that:
 “Marketers
 must
 first
 perceive
 ethics
 and
 social
 responsibility
 to
 be
 important
 before
 their
 behaviors
 are
 likely
 to
 become
 more
 ethical
 and
 reflect
 greater
 social
 responsibility,“(Singhapakdi,
Vitell,
Rallapalli
and
Kraft,
1996:
1131).

 The
 actual
 question
 the
 paper
 raises
 is
 how
 marketers
 feel
 by
 employing
 neuroscientific
 research
 to
 their
 discipline,
 especially
 in
 terms
 of
 budget
 pressures
 and
 a
 potential
 fears
 of
 losing
her/his
job
and
team
members
if
“missing
out”
on
this
novel
research
approach.
Ferrell
 and
 Gresham
 (1985)
 state
 that
 managers,
 who
 are
 pressured
 or
 strive
 for
 more
 success,
 in
 terms
of
profit
maximisation,
are
more
likely
to
show
unethical
conduct.
However
how
does
 the
split
between
being
marketer
and
consumer
alike
influence
their
conscience
and
therefore
 decision
making
process.



‐
80
‐

Business
Ethics
and
CSR
–
the
role
of
Business
Schools
 Carole
Parkes
 Following
 the
 recent
 banking
 crisis,
 Business
 Schools
 were
 blamed
 with
 headlines
 such
 as
 ‘Did
 poor
 teaching
 lead
 to
 crash?
 ­
 Business
 Academics
 are
 accused
 of
 ignoring
 social
 and
 political
 questions
(THE,
25/09/08).
This
is
not
new.
After
previous
financial
scandals
it
was
reporter
that
 many
Senior
Executives
at
Enron,
Arthur
Anderson
and
World
com
had
MBAs
from
top
business
 schools.
 In
 examining
 the
 issues
 behind
 these
 headlines
 we
 need
 to
 consider
 not
 just
 the
 content
 of
 such
programmes
but
the
approach
and
philosophies
that
drive
them.
As
Ken
Starkey
points
 out,
 ‘leading
 business
 schools
 need
 to
 develop
 a
 different
 language
 and
 a
 new
 narrative
 to
 legitimise
 their
 function
 and
 to
 overcome
 their
 fascination
 with
 a
 particular
 form
 of
 finance
 and
economics.
Business
schools
need
to
broaden
their
intellectual
horizons..’(FT).

 In
 a
 survey
 of
 MBA
 students
 asked
 for
 definitions
 of
 business
 ethics
 at
 top
 US
 schools,
 all
 respondents
described
ethics
in
market
terms.
This
may
not
be
surprising
since
ethics
is
still
an
 optional
extra
in
many
schools
and
it
is
the
dominance
of
the
market
metaphor
that
also
pervade
 assumptions
and
language
in
many
business
programmes.
As
Eccles
and
Nohria
(1992)
contend,
 “The
way
people
talk
about
the
world
has
everything
to
do
with
the
way
the
world
is
ultimately
 understood
and
acted
in”.
These
assumptions
and
language
become
‘self
fulfilling
prophecies’
in
 that
they
become
taken
for
granted
and
normatively
valued
(Ferraro,
2005).
 


The
 question
 of
 language
 is
 critical
 to
 this
 debate,
 we
 have
 so
 many
 terms
 that
 appear
 to
 describe
the
same
thing;
or
do
they?
Although,
Corporate
Social
Responsibility
(‘CSR’
and
its
 synonyms)
is
gaining
dominance
as
the
term
used
to
describe
this
area
but
many
writers
on
 CSR
prefer
to
talk
about
the
ideas
underpinning
it.
Other
labels
include,
Sustainability
(more
 often
 related
 to
 environmental
 issues)
 and
 Corporate
 Citizenship
 (mainly
 US
 and
 implying
 agency).
Yet
they
all
refer
to
economic,
social,
environmental
and
governance
considerations.
 As
with
all
‘new’
fields
there
is
a
danger
that
CSR
does
not
draw
sufficiently
on
the
context
of
 the
broader
ethics
and
social
justice
movements
which
have
always
promoted
the
obligation
 for
 behaviour
 to
 be
 guided
 by
 ethical
 principles
 and
 values.
 One
 useful
 and
 often‐
 repeated
 definition
of
CSR
is
"business
decision‐making
linked
to
ethical
values,
compliance
with
legal
 requirements,
and
respect
for
people,
communities,
and
the
environment”
‘Business
for
Social
 Responsibility’
(US).
This
definition
positions
CSR
firmly
in
the
context
of
ethical
values
but
it
 can
be
interpreted
as
applying
only
to
individuals
rather
than
fully
extending
to
organisations
 in
business
and
management.
Although
social
responsibility
is
not
a
new
concept,
businesses
 are
increasingly
expected
to
provide
visible
evidence
that
they
are
behaving
ethically.
CSR
is
 often
 positioned
 in
 the
 marketing
 or
 PR/Communication
 depts
 of
 organisations
 which
 may
 reflect
the
way
it
is
perceived
and
business
schools
can
reinforce
this
approach
by
using
terms
 such
as
CSR
and
‘competitiveness’
or
‘reputation’.
 
 Whatever
title
is
used,
the
key
questions
are
about
the
approach,
disciplines
and
philosophy
 behind
 the
 teaching
 and
 whether
 it
 is
 at
 the
 heart
 of
 business
 programmes
 or
 on
 the
 periphery?

 
 This
paper
presents
evidence
from
the
reflective
learning
experience
of
300
MBA
students
on
 a
core
ethics
module.
The
module
adopts
an
interdisciplinary
approach
(subjects
approached
 from
 multiple
 perspectives)
 and
 encourages
 students
 to
 wrestle
 with
 ethical
 quandaries,
 ‐
81
‐

disagreeable
 tradeoffs
 between
 efficiency
 and
 justice
 and
 moral
 contradictions
 encountered
 in
everyday
life.
The
reflections
provide
powerful
discourses
of
individual
journeys
exploring
 real
ethical
dilemmas
faced
in
business.
Many
report
finding
‘a
vocabulary’
or
‘the
confidence’
 to
 raise
 issues
 and
 concerns
 and
 the
 issue
 of
 ‘voice’
 is
 an
 important
 theme.
 A
 number
 of
 students
felt
the
module
empowered
them
to
act
as
agents
of
change
in
their
place
of
work.
 There
 are
 also
 those
 who
 said
 that
 ‘without
 overstating
 the
 case
 –
 this
 module
 has
 changed
 my
life’.
An
example
of
how
such
learning
has
the
potential
to
result
in
actual
change
rather
 than
adaptation.

 Although
CSR
is
more
visible
in
Business
Schools,
a
recent
survey
of
Deans
in
the
UK
revealed
 that
 these
 issues
 are
 not
 embedded
 in
 the
 mainstream.
 The
 UN
 Principles
 for
 Responsible
 Management
 Education
 (PRME)
 provides
 the
 opportunity
 to
 place
 ethics
 at
 the
 heart
 of
 business
 education
 and
 for
 academics
 working
 in
 this
 area
 an
 opportunity
 to
 use
 their
 own
 agency
 to
 re
 direct
 the
 strategy
 of
 their
 institution.
 The
 final
 paper
 will
 also
 reflect
 on
 discussions
 at
 The
 First
 Forum
 of
 the
 UN
 PRME
 in
 proposing
 strategies
 for
 moving
 the
 principles
into
action.



‐
82
‐




Gender
Cultures
Revisited
 Di
Parkin
 CMPS
Ltd
and
Bristol
Business
School,
University
of
West
of
England
 
 
 
 Introduction
 Business
ethics
are
not
gender
neutral
and
no
ethical
business
in
the
twenty‐first
century
can
 ignore
 the
 requirements
 of
 promoting
 equal
 opportunity,
 specifically
 in
 this
 paper:
 gender
 equality
 
 The
1993
models
 In
1993
Su
Maddock
and
Di
Parkin
published
an
article
on
gender
cultures
in
(mainly
public
 sector
organisations).

(Maddock
and
Parkin
1993)

This
detailed
a
variety
of
cultures
found
in
 public
authorities:
 • Gentleman’s
club
 • Locker
room
 • Smart
macho
 • Gender
blind
 • Feminist
Pretenders
 The
article
received
a
favourable
response
and
the
assumptions
have
informed
much
research
 in
this
area
(Hearn
and
Collinson,
Fox,
Page)
 
 The
situation
in
2008
 Do
the
models
identified
in
1993
hold
today?

 Using
her
continued
experience
as
equal
opportunities
practioner,
conducting
equality
audits,
 consultancy
 and
 equality
 training
 in
 public
 sector
 organisations,
 Di
 Parkin
 revisits
 the
 1993
 model
sand
updates
then
for
2008.
She
argues
that
gender
equality
is
a
necessary
element
of
 business
ethics.
 
 Since
2007
public
authorities
now
have

a
Duty
to
promote
gender
equality;
has
this
had
an
 impact
on
the
gender
cultures
in
place?
 
 Drawing
on
material
from
more
than
25
public
authorities
in
the
last
seventeen
years
and
the
 work
 of
 Hearn
 &
 Collinson,
 Fox,
 Maddock
 and
 Page,
 The
 paper
 argues
 that,
 paradoxically
 at
 the
 very
 moment
 when
 public
 organisations
 have
 a
 duty
 to
 promote
 gender
 equality
 is
 precisely
the
moment
when
it
is
apparent
that
so
many
are
oblivious
to
issues
of
gender.
 
 This
 cultural
 assumption
 is
 not
 an
 additional
 model
 to
 those
 described
 above,
 it
 underlies
 them
all,
is
a
pernicious
thread
woven
into
organisational
operation.
The
assumption
is:
 
 The
issue
of
gender
is
resolved;
gender
inequality
is
no
longer
a
significant
problem
in
 public
organisations.

 
 Initially
the
paper
presents
some
evidence
of
the
continued
reality
of
gender
inequality


 


‐
83
‐

•

Gender
pay
gap
(all
sectors)
widened
from
17.0%
in
2007
to
17.1%
in
2008.Only
12%
 of
FTSE
board
directors
are
female.


•

Women
are
30%
of
councillors,
but
only
16%
of
council
leaders.


•

Women
made
up
36.6%
of
appointments
to
public
bodies
in
2005/6
and
only
32.6%
in
 2007/8.


•

The
 UK
 fell
 for
 the
 third
 year
 running
 to
 13/130
 countries
 in
 terms
 of
 women’s
 pay,
 work
opportunities,
political
power,
health
and
education.


(All
data
Equal
Opportunities
Review‐
EOR
December
2008)
 
 Perception
that
Gender
is
resolved
 
The
 paper
 presents
 a
 range
 of
 participant
 observations
 establishing
 the
 prevalence
 of
 the
 view
that
Gender
Equality
is
Resolved.

 Examples
include:


the
failure
of
participants
in
a
conference
on
consultation
on
equalities
to
 see
the
relevance
of
a
gendered
perspective,
the
false
perception
that
“all”
Chief
Executives
in
 Cornwall
were
women,
the
lack
of
inclusion
of
gender
issues
in
equality
impact
assessments
 and
the
lack
of
consultation
on
gender.
 
Page
 quotes
 the
 Fawcett
 Society’s
 observation
 that
 women’s
 organisations
 have
 not
 been
 consulted
over
a
regional
Equality
and
Diversity
strategy.
 How
 does
 the
 assumption
 that
 Gender
 Equality
 is
 resolved,
 impact
 on
 the
 variety
 of
 gender
 cultures
identified
in
1993?
 The
paper


sees
this,
with
Page
as


part
of
the
“ongoing
process
of
sense
making
and
sense
 giving,
 engaging
 with
 narratives
 of
 gender
 and
 change”
 (Page).
 It
 concludes
 that
 the
 very
 obliviousness
 is
 a
 mechanism
 to
 veil
 the
 continued
 (in
 some
 cases
 deepening
 of
 gender
 inequality)
This
is
an
ethical
issue
for
public
sector
and
other
businesses.
 
 References
 Equal
Opportunities
Review
EOR
December
2008
 Hearn
G
and
Collinson
D
1996
Men
as
Managers
and
Managers
as
Men
 Itzin
 C
 and
 Newman
 J
 (Eds)
 (1995)
 Gender
 Culture
 and
 Organisational
 Change.
 
 London:
 Routledge.
 Maddock
S
and
Parkin
D
(1993)
‘Gender
Cultures:
Women’s
Choices
and
Strategies
at
work’
 Women
and
Management
Review.
(And
in
Itzin
1995)
 Maddock
S
(1999)
Challenging
Women,
gender,
culture
and
organisation
.London:
Sage
 Page
 M
 (2008)
 ‘Leading
 Gender
 Equality
 in
 Public
 Services
 –
 The
 Politics
 of
 Relational
 Practice’
conference
paper
Engendering
Leadership
through
Research
and
Practice,
University
 of
Western
Australia
 


‐
84
‐

Business
ethics:
cheating
the
system
or
using
opportunities?
 Katie
Porkess
 University
of
Exeter
 
 
 
 The
scandals
of
Leeson,
Enron,
Arthur‐Anderson
and
more
recently,
Kerviel,
illustrate
the
fact
 that
corruption
in
the
world
of
business
is
a
recurring
and
on‐going
phenomenon.
However,
 corruption
is
difficult
to
research
and,
consequently,
theoretical
understanding
of
it
is
limited.
 My
 research
 brings
 together
 the
 concepts
 of
 social
 identification,
 stress
 and
 corruption,
 and
 throws
some
interesting
and
new
light
on
unethical
business
behaviour.
 
 The
 social
 identity
 approach
 (SIA)
 comprises
 the
 social
 identity
 theory
 (Tajfel,
 1972,1974;
 Tajfel
&
Turner,
1979)
and
the
self‐categorisation
theory
(Turner,
1975,
1982,
1985;
Turner,
 Hogg,
 Oakes,
 Reicher
 &
 Wethrell,
 1987).
 The
 two
 ideas
 common
 to
 them
 are
 that
 (a)
 one
 cannot
understand
how
people
think
and
act
in
a
social
context
by
simply
extrapolating
from
 their
characteristics
and
behaviour
as
individuals;
(b)
social
context
is
fundamental
to
the
way
 that
 social
 identity
 processes
 influence
 thought
 and
 behaviour.
 SIA
 says
 that
 sometimes
 people
 perceive
 themselves
 as
 individuals
 and
 behave
 according
 to
 their
 own
 values
 and
 at
 other
times
they
see
themselves
as
part
of
a
group
and
act
according
to
the
group
norms.
And
 an
 individual
 who
 identifies
 with
 a
 particular
 social
 category,
 accepts
 that
 group’s
 norms
 (Tajfel,
 Flament,
 Billig
 &
 Bundy,
 1971;
 Billig
 &
 Tajfel,
 1973;
 Tajfel,
 1978b;
 Hogg
 &
 Turner,
 1985;
 Turner,
 Oakes,
 Haslam
 &
 McGarty,
 1994;
 Turner
 &
 Oakes,
 1997;
 Haslam,
 2004).
 To
 favour
their
group,
individuals
will
accept
costs,
such
as
high
stress
levels.
Another
acceptable
 cost
of
group
identification
may
be
sacrificing
normal
values
and
ethics
(Turner,
Hogg,
Oakes
 &
Smith,
1984;
Haslam,
O’Brien,
Jetten,
Vormedal
&
Penna,
2005).
So,
when
employees
engage
 in
unethical
practices
that
benefit
the
organisation
rather
than
themselves,
it
is
likely
that
they
 identify
strongly
with
it
or
their
smaller
work
group.

 
 Stress
is
often
seen
as
a
personal
phenomenon,
but
research
shows
that
it
can
be
triggered
by
 threat
 to
 groups
 rather
 than
 to
 individuals
 themselves
 (Jackson,
 Schwab
 &
 Schuler,
 1986;
 Levine
 &
 Reicher,
 1996;
 Johnson,
 2002;
 Penna,
 2003;
 Haslam,
 Vigano,
 Roper,
 Humphrey
 &
 O’Sullivan,
 2003;
 Haslam
 &
 Reicher,
 2005).
 That
 is,
 a
 person’s
 perception
 of
 a
 particular
 stressor
may
be
more
a
consequence
of
in‐group
affiliation
and
less
of
individual
reaction.
At
 the
 same
 time,
 group
 members
 can
 ameliorate
 stress
 by
 providing
 support
 in
 times
 of
 adversity.
 Thus,
 high
 identification
 with
 a
 group
 can
 lower
 stress
 levels
 (Haslam,
 Jetten,
 O’Brien
 &
 Jacobs,
 2004;
 Haslam,
 2004;
 Haslam,
 2005;
 Levine,
 Cassidy,
 Brazier
 &
 Reicher,
 2002;
Postmes
&
Branscombe,
2002).

 
 Corrupt
behaviour
in
organisations
involves
individuals
or
groups
behaving
in
ways
that
may
 be
outside
the
accepted
norms
for
the
organisation
and/or
society
at
large.
This
may
include
 influencing
 or
 coercing
 some
 members
 of
 the
 group
 to
 act
 in
 ways
 that
 are
 normally
 unacceptable
to
them.
Such
behaviour
might
be
expected
to
cause
stress
to,
or
indeed
be
as
a
 result
of
stress
for,
the
individuals
concerned.
But,
by
refusing
to
join
in
the
corrupt
behaviour
 of
their
group,
such
people
risk
being
alienated
from
it,
something
that
they
would
find
highly
 stressful.

 
 The
 focus
 of
 this
 research
 has
 been
 to
 examine
 moral
 action,
 as
 defined
 by
 Rest’s
 (1986)
 Framework,
of
groups
and
teams
in
the
workplace
in
the
context
of
identity
threat
and
stress.
 ‐
85
‐


A
 series
 of
 experiments
 examined
 the
 behaviour
 of
 participants
 in
 conditions
 that
 imposed
 threat
 to
 their
 group
 identity
 and
 provided
 opportunities
 for
 corrupt
 behaviour.
 The
 participants
included
a
student
sample
as
well
as
members
of
the
business
community
in
the
 U.K.

 
 So
 where
 does
 business
 ethics
 occur?
 
 Results
 of
 these
 studies
 show
 that
 under
 the
 “dislocations”
of
threat
and
stress,
individuals
in
businesses
will
behave
corruptly
to
support
 not
only
their
wider
social
category
such
as
the
entire
organisation,
but
also
smaller
groups
 such
 as
 their
 immediate
 work
 team.
 Men
 behave
 more
 corruptly
 than
 women,
 and
 they
 are
 also
more
inclined
to
pressurise
other
team
members
towards
such
behaviour,
but
experience
 less
 stress
 in
 doing
 so.
 Older
 participants
 are
 less
 inclined
 to
 make
 corrupt
 decisions
 and
 experience
less
stress.

 The
 findings
 also
 indicate
 that
 the
 presence
 of
 leaders
 encourages
 unethical
 behaviour,
 but
 leadership
in
these
conditions
is
not
always
recognised
or
acknowledged
by
either
the
leader
 or
those
being
led.
The
social
identity
approach
states
that
to
lead
successfully,
a
leader
needs
 to
be
a
“prototypical”
member
of
the
group.
That
is,
a
leader
has
to
embody
the
group
norms.
 This
 suggests
 that
 a
 corrupt
 group
 needs
 a
 corrupt
 leader,
 with
 obvious
 implications
 for
 organisations.
A
study
is
planned
to
investigate
this
further.
 
 
 


‐
86
‐


Business
Ethics
Doesn’t
Reside
in
Tax
Havens,
Does
it?
 Lutz
Preuss
 Royal
Holloway,
University
of
London
 
 
 
 On
17
February
2007
US
Senators
Carl
Levin,
Norm
Coleman
and
Barack
Obama
presented
a
 Bill
 to
 US
 Congress
 entitled
 ‘Stop
 Tax
 Haven
 Abuse
 Act’.
 According
 to
 the
 senators,
 offshore
 tax
 havens
 cost
 the
 US
 Treasury
 as
 much
 as
 USD
 100
 billion
 each
 year,
 thereby
 not
 only
 shifting
the
tax
burden
from
high
income
persons
and
companies
onto
middle
income
families
 but
 also
 more
 generally
 undermining
 the
 integrity
 of
 the
 tax
 system.
 Their
 criticism
 of
 tax
 havens
 centres
 in
 particular
 on
 the
 lack
 of
 transparency
 that
 clouds
 their
 operations.
 “In
 effect,
 tax
 havens
 sell
 secrecy
 to
 attract
 clients
 to
 their
 shores”,
 Senator
 Levin
 (2007)
 commented:
“They
peddle
secrecy
the
way
other
countries
advertise
high
quality
services.”

 
 Transparency
 is
 an
 important
 theme
 in
 business
 ethics
 generally.
 It
 was
 the
 global
 consciousness
 created
 by
 civil
 society
 protest
 that
 has
 led
 to
 cooperation
 between
 transnational
business,
government
and
global
civil
society
to
develop
new
approaches
to
the
 management
 of
 social
 and
 environmental
 externalities
 of
 economic
 activity
 (Collier
 and
 Wanderley,
2005).
However,
where
this
pressure
for
transparency
is
absent
–
as
in
tax
havens
 –
would
corporations
still
engage
in
business
ethics?
As
a
contribution
towards
answering
this
 question,
 this
 paper
 will
 examine
 to
 what
 extent
 large
 MNEs
 that
 are
 headquartered
 in
 tax
 havens
 –
 specifically
 Bermuda
 and
 the
 Cayman
 Islands
 –
 have
 adopted
 key
 business
 ethics
 tools,
 namely
 codes
 of
 conduct,
 social
 and
 environmental
 reporting
 and
 CSR
 standards.
 Insights
 into
 the
 adoption
 of
 business
 ethics
 tools
 under
 conditions
 where
 the
 power
 of
 international
civil
society
is
weak
should
allow
conclusions
for
broader
business
and
society
 issues,
not
least
the
question
to
what
extent
society
is
able
to
sanction
corporate
behaviour.
 
 Defining
Tax
Havens

 Stipulating
zero
or
only
nominal
taxation
of
corporate
earnings
is
a
key
ingredient
in
defining
 a
 tax
 haven,
 although
 the
 OECD
 (1998)
 is
 adamant
 that
 every
 country
 has
 the
 right
 to
 determine
 whether
 to
 impose
 direct
 taxes
 or
 not.
 Beyond
 this,
 as
 Senator
 Levin
 argued,
 tax
 havens
typically
offer
secrecy
to
protect
investors
against
scrutiny
by
outside
authorities,
thus
 preventing
 the
 effective
 exchange
 of
 information
 on
 tax
 payers.
 Furthermore,
 many
 tax
 havens
stipulate
that
corporate
activities
to
be
undertaken
within
their
jurisdiction
need
not
 be
substantial;
indeed
the
advantageous
tax
regime
may
only
applicable
to
earnings
derived
 from
outside
the
country.
The
OECD
thus
suggested
four
key
factors
that
identify
a
country
as
 a
tax
haven
(OECD,
1998,
p.
23):
 
 a)
No
or
only
nominal
taxes
 b)
Lack
of
effective
exchange
of
information
 c)
Lack
of
transparency
 d)
No
substantial
activities
 
 The
Bill
tabled
by
senators
Levin,
Coleman
and
Obama
contains
a
list
of
34
countries
that
have
 been
 identified
 by
 the
 US
 Internal
 Revenue
 Services
 as
 tax
 havens.
 A
 number
 of
 countries,
 such
 as
 Hong
 Kong,
 Latvia,
 Luxemburg,
 Singapore
 and
 Switzerland,
 would
 not
 seem
 to
 fulfil
 the
 OECD
 criteria
 in
 their
 entirety,
 as
 the
 tax
 rates
 they
 impose
 are
 somewhat
 more
 substantial
than
zero.
For
the
remaining
countries,
the
largest
firms
were
identified,
because
 ‐
87
‐


previous
 research
 has
 indicated
 that
 business
 ethics
 tools
 are
 predominantly
 found
 in
 large
 corporations
(Kaptein,
2004).
This
was
done
using
the
Forbes
Global
2000
list
of
2008,
which
 contains
24
companies
for
Bermuda,
4
companies
for
the
Cayman
Island,
1
company
for
the
 Channel
 Islands
 and
 1
 company
 for
 Panama.
 The
 latter
 two
 were
 discarded
 as
 possible
 outliers,
 and
 the
 list
 for
 Bermuda
 contains
 two
 companies
 –
 Tyco
 International
 Limited
 and
 Tyco
Electronics
Limited
–
that
are
subsidiaries
to
each
other
and
were
hence
only
included
 once.
 Thus
 the
 paper
 analysed
 a
 combined
 list
 of
 27
 companies
 from
 Bermuda
 and
 the
 Cayman
Islands.
The
smallest
of
these
–
Bermuda
insurance
company
Allied
World
Assurance
 –
still
has
an
annual
turnover
of
USD
1.45
billion.
 
 The
 websites
 of
 the
 27
 companies
 were
 checked
 during
 autumn
 2008
 for
 a
 presence
 of
 a
 range
 of
 business
 ethics
 tools.
 According
 the
 Perrini
 et
 al.
 (2007),
 the
 main
 such
 tools
 currently
 in
 use
 are:
 codes
 of
 conduct,
 CSR
 standards
 and
 social
 and
 environmental
 reports
 (see
 also
 Graafland
 et
 al.,
 2003).
 Company
 websites
 were
 searched
 for
 the
 following
 CSR
 standards:
 the
 environmental
 management
 standard
 ISO
 14001,
 health
 and
 safety
 standard
 OHSAS
18001,
labour
conditions
standard
SA
8000
and
sustainability
assurance
standard
AA
 1000.
Corporate
websites
were
finally
examined
as
to
whether
the
company
subscribes
to
the
 Reporting
Framework
of
the
Global
Reporting
Initiative
(GRI)
and
the
United
Nations
Global
 Compact.
For
the
purposes
of
comparison,
an
equal
number
of
US
companies
of
comparable
 size
were
then
checked
for
references
to
these
business
ethics
tools.
 
 Results
 A
 first
 result
 is
 that
 all
 except
 one
 of
 the
 tax
 haven
 sample
 firms
 have
 a
 code
 of
 conduct
 in
 place.
The
documents
are
not
unsubstantial
either,
as
they
contain
an
average
of
20
pages
and
 range
from
3
to
72
pages.
Previous
research
into
code
content
identified
a
number
of
themes
 codes
 can
 address,
 such
 as
 environmental
 stewardship,
 labour
 relations,
 disclosure
 of
 information,
 competition,
 bribery
 and
 corruption,
 science
 and
 technology
 and
 consumer
 protection
(OECD,
2001;
Kaptein,
2004).
Since
self‐regulation
through
codes
of
conduct
does
 not
have
the
same
clout
as
government
regulation,
it
also
becomes
important
to
study
what
 implementation
 and
 enforcement
 mechanisms
 codes
 specify
 (van
 Tulder
 and
 Kolk,
 2001;
 O’Dwyer
 and
 Madden,
 2006).
 Building
 on
 this
 body
 of
 research,
 the
 full
 paper
 will
 also
 comment
on:
 
 ‐
environmental
issues
highlighted
in
the
codes,
 ‐
social
issues
discussed,
 ‐
economic
issues
mentioned,
 ‐
monitoring
and
enforcement
mechanisms
specified.
 
 In
 comparison
 with
 codes
 of
 conduct,
 CSR
 reports
 were
 more
 scarce
 among
 the
 tax
 haven
 sample
 firms,
 as
 only
 8
 of
 the
 27
 companies
 display
 such
 a
 report
 (3
 Corporate
 Citizenship
 Reports,
2
Sustainability
Reports,
1
Environmental
Report,
1
CSR
Report
and
1
Environment,
 Health
and
Safety
Report).
The
average
length
of
these
reports
is
24
pages,
with
a
range
from
 11
 to
 44
 pages.
 References
 to
 GRI
 were
 only
 made
 in
 4
 cases:
 agricultural
 company
 Bunge
 uses
“selected
GRI
indicators”,
diversified
engineering
firm
Ingersoll‐Rand
“follows
GRI”,
the
 report
 by
 electronics
 company
 Tyco
 Electronics
 contains
 a
 GRI
 Reference
 Table,
 while
 electrical
products
firm
Cooper
Industries
commits
itself
to
C
level
application
of
GRI.
 
 References
 to
 CSR
 standards
 show
 a
 mixed
 picture
 too.
 ISO
 140001
 is
 applied
 by
 11
 companies,
while
only
5
use
OHSAS
and
none
refer
to
SA
800
or
AA
1000.
Only
two
companies
 –
 Bermuda‐headquartered
 business
 services
 firm
 Accenture
 and
 Cayman‐based
 electronics
 hardware
company
Seagate
Technology
–
subscribe
to
the
UN
Global
Compact.
The
full
paper
 ‐
88
‐


will
 expand
 here
 too
 by
 comparing
 these
 figures
 against
 prevalences
 among
 the
 sample
 of
 similarly
sized
US
firms.
 
 Conclusions
 The
 findings
 of
 this
 paper
 offer
 evidence
 that
 even
 companies
 headquartered
 in
 tax
 havens
 cannot
 isolate
 themselves
 completely
 from
 the
 mimetic
 pressures
 that
 surround
 the
 global
 spread
 of
 business
 ethics
 tools.
 This
 is
 illustrated
 by
 the
 fact
 that
 the
 96
 percent
 of
 the
 tax
 haven
 sample
 firms
 had
 adopted
 a
 code
 of
 conduct.
 At
 a
 closer
 look,
 however,
 a
 rather
 selective
 application
 of
 business
 ethics
 tools
 becomes
 noticeable.
 Business
 ethics
 tool
 that
 require
greater
investment,
such
as
certification
to
environmental
and
social
standards,
were
 reported
rather
less
frequently:
ranging
from
41
percent
of
companies
for
ISO
14001
through
 19
 percent
 for
 OHSAS
 to
 zero
 for
 SA
 800
 or
 AA
 1000.
 Business
 ethics
 tools
 that
 offer
 accountability
 to
 external
 stakeholders
 are
 particularly
 underrepresented
 among
 the
 tax
 haven
sample
firms,
where
only
30
percent
publish
some
form
of
social
and/or
environmental
 report.
 Note
 here
 that
 the
 average
 length
 of
 CSR
 reports
 –
 24
 pages
 –
 is
 only
 marginally
 greater
than
the
average
length
of
codes
of
conduct
–
20
pages.
These
companies
thus
impose
 much
 more
 detailed
 prescriptions
 on
 their
 employees
 than
 they
 are
 prepared
 to
 give
 information
 on
 their
 activities
 to
 outside
 stakeholders.
 In
 other
 words,
 companies
 headquartered
in
tax
havens
see
much
more
value
in
the
control
function
that
business
ethics
 tools
can
offer
than
in
the
role
they
can
play
in
promoting
corporate
accountability.
 
 A
number
of
limitations
of
this
study
need
to
be
stated.
Due
to
the
difficulty
of
defining
a
tax
 haven
and
finding
reliable
lists
of
companies
registered
there,
the
sample
of
companies
for
the
 study
 was
 on
 the
 small
 side
 and
 included
 only
 two
 countries.
 Importantly,
 the
 study
 cannot
 comment
on
the
effectiveness
of
business
ethics
tools
either
(on
the
effectiveness
of
codes
of
 conduct,
see:
Adams
et
al.,
2001;
Pater
and
Van
Gils,
2003).
Nonetheless,
it
is
hoped
that
the
 study
 does
 contain
 some
 meaningful
 data
 on
 the
 global
 spread
 of
 business
 ethics
 tool
 to
 countries
where
the
power
of
international
civil
society
is
weak
if
not
altogether
absent.
 
 
 References
 Adams,
 J.
 S.;
 Taschian,
 A.
 and
 Shore,
 T.
 H.
 (2001)
 ‘Codes
 of
 Ethics
 as
 Signals
 for
 Ethical
 Behaviour’,
Journal
of
Business
Ethics,
29:
3,
199‐211
 Collier,
J.
and
Wanderley,
L.
(2005)
Thinking
for
the
Future:
Global
Corporate
Responsibility
 in
the
Twenty‐First
Century,
Futures,
37:
2/3,
169‐182
 Graafland
J.,
van
de
Ven,
B.
and
Stoffele,
N.
(2003)
Strategies
and
Instruments
for
Organising
 CSR
by
Small
and
Large
Businesses
in
the
Netherlands,
Journal
of
Business
Ethics,
47:
1,
45‐60
 Kaptein,
 M.
 (2004)
 Business
 Codes
 of
 Multinational
 Firms:
 What
 Do
 They
 Say?’,
 Journal
 of
 Business
Ethics,
50,
13‐31
 Levin,
 C.
 (2007)
 Statement
 of
 Senator
 Carl
 Levin
 on
 Introducing
 the
 Stop
 Tax
 Haven
 Act,
 Washington,
DC:
Office
of
Senator
Carl
Levin
 http://levin.senate.gov/newsroom/release.cfm?id=269514
 O’Dwyer,
B.
and
Madden,
G.
(2006)
‘Ethical
Codes
of
Conduct
in
Irish
Companies:
A
Survey
of
 Code
Content
and
Enforcement
Procedures’,
Journal
of
Business
Ethics,
63:
3,
217‐236
 OECD
 (1998)
 Harmful
 Tax
 Competition:
 An
 Emerging
 Global
 Issue,
 Paris:
 Organisation
 for
 Economic
Co‐operation
and
Development
 http://www.oecd.org/dataoecd/33/1/1904184.pdf
 OECD
 (2001)
 Codes
 of
 Corporate
 Conduct:
 Expanded
 Review
 of
 Their
 Contents,
 Paris:
 Organisation
for
Economic
Co‐operation
and
Development
 Pater,
A.
and
Van
Gils,
A.
(2003)
‘Stimulating
Ethical
Decision
Making
in
a
Business
Context:
 Effects
of
Ethical
and
Professional
Codes’,
European
Management
Journal,
21:
6,
762‐772
 ‐
89
‐



 Perrini,
F.;
Russo,
A.
and
Tencati,
A.
(2007)
CSR
Strategies
of
SMEs
and
Large
Firms.
Evidence
 from
Italy,
Journal
of
Business
Ethics,
74:
3,
285‐300
 van
Tulder,
R.
and
Kolk,
A.
(2001)
Multinationality
and
Corporate
Ethics:
Codes
of
Conduct
in
 the
Sporting
Goods
Industry,
Journal
of
International
Business
Studies,
32:
2,
267‐283
 


‐
90
‐


Governance
through
Global
Public
Policy
Networks
–
The
Case
of
the
 UN
Global
Compact
 Andreas
Rasche
 Warwick
Business
School
 
 
 The
 United
 Nations
 Global
 Compact
 –
 which
 is
 a
 UN‐driven
 voluntary
 initiative
 designed
 to
 enlist
 businesses
 to
 follow
 ten
 universal
 principles
 in
 the
 areas
 of
 human
 rights,
 labor
 standards,
 the
 environment,
 and
 anti‐corruption
 –
 is
 now
 in
 its
 ninth
 year
 of
 operation
 and
 with
 over
 5.500
 business
 and
 non‐business
 participants
 in
 over
 120
 countries
 the
 largest
 corporate
 citizenship
 initiative
 in
 the
 world.
 The
 Compact
 is
 not
 designed
 as
 a
 certification
 instrument
 or
 tool
 to
 regulate
 and
 sanction
 its
 participants,
 but
 instead
 to
 foster
 a
 dialogue
 among
 a
 diverse
 set
 of
 actors
 in
 a
 non‐bureaucratic
 way
 and
 to
 create
 innovative
 solutions
 regarding
CSR.
 
 Since
its
inception
in
2000,
the
Compact
has
been
criticized
and
praised.
Critics
argue
that
the
 initiative
 misses
 accountability
 and
 offers
 vague
 principles
 that
 big
 corporations
 can
 use
 to
 profit
from
the
credibility
and
reputation
of
the
UN
(Deva,
2006;
Nolan,
2005).
However,
the
 Compact
also
gained
praise
for
its
idea
of
linking
the
UN
system
with
business
as
well
as
its
 flexible
 and
 non‐bureaucratic
 way
 of
 operating
 (Cohen,
 2001;
 Ruggie,
 2002).
 Another
 frequently
mentioned
argument
in
favor
of
the
Compact
is
its
support
of
the
process
of
global
 governance
(Detomasi,
2007;
Kell,
2005;
Thérien
&
Pouliot,
2006).
Brinkmann‐Braun
&
Pies
 (2007:
 1),
 for
 instance,
 state
 that
 “the
 GC
 [Global
 Compact]
 is
 a
 unique
 contribution
 to
 the
 process
 of
 global
 governance,
 where
 the
 traditional
 rules
 of
 the
 political
 game
 are
 being
 challenged.”
 Although
 the
 claim
 that
 the
 Global
 Compact
 reflects
 one
 way
 to
 exercise
 global
 governance
is
a
prominent
one,
the
literature
remains
largely
unclear
why
this
is
the
case.

 
 To
 focus
 on
 the
 missing
 link
 between
 the
 Compact
 and
 global
 governance,
 we
 demonstrate
 how
 the
 Compact
 constructs
 expertise
 in
 the
 areas
 of
 human
 rights,
 labor
 standards,
 the
 environment,
 and
 anti‐corruption
 by
 linking
 experts
 from
 a
 range
 of
 actors
 (i.e.
 businesses,
 NGOs,
 academia,
 UN
 agencies,
 labor
 organizations)
 across
 a
 variety
 levels
 (i.e.
 international,
 national,
 and
 local).
 We
 claim
 that
 this
 multi‐actor
 and
 multi‐level
 approach
 allows
 us
 to
 better
understand
how
the
Compact
exercises
global
governance
and
to
reflect
on
strengths
 and
weaknesses
of
the
initiative.
Our
main
argument
is
that
once
we
start
to
understand
how
 the
Compact
participants
construct
solutions
to
governance
problems,
we
also
recognize
how
 it
exercises
global
governance.
From
our
perspective,
the
Global
Compact
is
an
attempt
to
link
 existing
organizations
to
find
innovative
solutions
to
the
governance
gaps
that
the
rise
of
the
 global
 economy
 has
 brought
 about.
 In
 this
 sense,
 the
 Compact
 is
 a
 boundary‐spanning
 network
of
organizations.

 
 We
 approach
 our
 research
 question
 (‘How
 does
 the
 Global
 Compact
 exercise
 global
 governance?’)
 by
 highlighting
 the
 processes
 of
 boundary‐spanning
 work
 initiated
 by
 the
 Compact.
Based
on
a
general
framework
contrasting
the
actors
of
the
initiative
and
their
level
 of
activity
(see
Figure
1),
we
explain
how
the
Compact
links
actors
from
different
domains
and
 levels
 of
 activity
 through
 various
 means,
 such
 as:
 Global
 Policy
 Dialogues,
 Multistakeholder
 Learning
Events,
as
well
as
Global
and
Local
Networks.
We
put
special
emphasis
on
the
role
of
 Local
 Networks
 since
 they
 contain
 local
 experts
 and
 thus
 move
 consensus‐based
 solutions
 that
were
produced
among
Compact
participants
on
the
international
level
‘downstream’
for
 ‐
91
‐
 91

implementation.
 Moving
 knowledge
 ‘downstream’
 has
 deconstructive
 effects
 since
 local
 experts
 often
 have
 to
 make
 inevitable
 modifications
 to
 fit
 global
 solutions
 to
 the
 national
 context.
 Local
 Networks,
 however,
 also
 move
 local
 inventions
 ‘upstream’
 for
 global
 multiplication.
 
 Our
 discussion
 not
 only
 demonstrates
 how
 the
 Compact
 constructs
 expertise
 among
 participants
 and
 moves
 this
 knowledge
 up
 and
 downstream,
 but
 also
 points
 to
 some
 future
 challenges
 that
 should
 be
 considered
 when
 understanding
 the
 initiative
 as
 one
 way
 to
 exercise
global
governance.
For
instance,
there
is
a
clear
overrepresentation
of
business
vis­à­ vis
 non‐business
 actors
 limiting
 the
 inclusiveness
 of
 the
 initiative
 and
 thus
 its
 perceived
 legitimacy.
Local
and
global
NGOs
represent
expertise
that
needs
to
be
more
included
into
the
 boundary‐spanning
activities
of
the
Compact
to
help
sustain
its
long‐term
success.
The
Global
 Compact
 can
 by
 no
 means
 resolve
 all
 existing
 governance
 gaps
 that
 the
 rise
 of
 the
 global
 economy
has
brought
about,
but
it
can
make
a
significant
contribution
by
laying
a
foundation
 of
shared
values
and
constructing
expertise
in
the
addressed
issue
areas.

 
 References
 Brinkmann‐Braun,
J.,
&
Pies,
I.
2007.
The
Global
Compact’s
Contribution
to
Global
Governance
 Revisited.
Working
Paper
No.
2007‐10,
Lehrstuhl
für
Wirtschaftsethik
an
der
Martin‐Luther‐ Universität,
Halle‐Wittenberg.

 Cohen,
 J.
 2001.
 The
 World’s
 of
 Business:
 The
 United
 Nations
 and
 the
 Globalization
 of
 Corporate
 Citizenship.
 In
 J.
 Andriof
 &
 M.
 Macintosh
 (Eds.),
 Perspectives
 on
 Corporate
 Citizenship:
185‐197.
Sheffield:
Greenleaf.

 Detomasi,
D.
A.
2007.
The
Multinational
Corporation
and
Global
Governance:
Modeling
Global
 Public
Policy
Networks.
Journal
of
Business
Ethics,
71:
321‐334.

 Deva,
 S.
 2006.
 Global
 Compact:
 A
 Critique
 of
 the
 UN’s
 ‘Public‐Private’
 Partnership
 for
 Promoting
Corporate
Citizenship.
Syracuse
Journal
of
International
Law
and
Communication,
 34:
107‐151.

 Kell,
G.
2005.
The
Global
Compact:
Selected
Experiences
and
Reflections.
Journal
of
Business
 Ethics,
59:
69‐79.

 Nolan,
J.
2005.
The
United
Nations
Global
Compact
With
Business:
Hindering
or
Helping
the
 Protection
of
Human
Rights?
The
University
of
Queensland
Law
Journal,
24:
445‐466.

 Ruggie,
 J.
 G.
 2002.
 Trade,
 Sustainability
 and
 Global
 Governance.
 Columbia
 Journal
 of
 Environmental
Law,
27:
297‐307.

 Thérien,
 J.
 P.,
 &
 Pouliot,
 V.
 2006.
 The
 Global
 Compact:
 Shifting
 the
 Politics
 of
 International
 Development.
Global
Governance,
12:
55‐75.



‐
92
‐
 92


 Figure
1:
Actors
and
Levels
Connected
by
the
Global
Compact



‐
93
‐
 93

The
Effectiveness
of
Malaysian
Ethics
Courses
on
Accounting
Students’
 Ethical
Sensitivity:
A
Survey
Based
Investigation
 Maisarah
Mohamed
Saat,
Stacey
Porter
and
Gordon
Woodbine
 School
Of
Accounting,
Curtin
University
of
Technology,
Perth,
Australia
 
 
 
 In
 the
 wake
 of
 corporate
 collapses
 it
 often
 appears
 that
 accountants
 lack
 the
 knowledge
 or
 skills
to
make
ethical
decisions,
which
raises
the
question
as
to
whether
ethics
can
be
taught.
 Thus
 this
 study
 investigates
 the
 effectiveness
 of
 ethics
 courses
 provided
 by
 Malaysian
 universities.
A
total
of
264
accounting
students
from
two
public
and
two
private
universities
 responded
to
a
pre
and
post
business
ethics
course
questionnaire.
For
comparative
purposes,
 responses
from
an
additional
57
accounting
students
from
two
public
universities
that
do
not
 offer
an
ethics
course
were
also
gathered.
Sixteen
business‐related
scenarios
by
Longenecker
 et
al.
(1989)
was
adopted
with
respondents
rating
their
acceptability
on
a
scale
from
1
(Not
 Acceptable)
to
7
(Acceptable).
Using
t‐test
and
paired
sample
tests,
it
was
found
that
business
 ethics
 courses
 are
 effective
 as
 students’
 possess
 a
 higher
 level
 of
 ethical
 sensitivity
 upon
 completion
of
the
course.
In
contrast,
the
means
of
students
who
did
not
undertake
any
ethics
 course
increased,
indicating
a
decreasing
level
of
ethical
sensitivity.
Students
in
the
‘good’
and
 ‘average’
academic
performance
category,
females,
and
Malay
students
gained
most
from
an
 ethics
 education
 while
 students
 from
 public
 universities
 were
 found
 to
 benefit
 more
 compared
to
their
private
university
counterparts.
The
results
show
that
ethics
education
can
 improve
 ethical
 skills
 and
 knowledge
 in
 a
 Malaysian
 setting.
 An
 implication
 for
 Malaysia
 is
 that
 an
 ethics
 course
 should
 be
 introduced
 in
 all
 University
 accounting
 courses.
 The
 results
 also
 suggest
 that,
 in
 addition
 to
 a
 code
 of
 conduct,
 post
 University
 training
 could
 be
 considered
by
the
Accounting
bodies
to
reinforce
ethical
concepts
in
a
work
related
situation
 which
may
help
reduce
the
professions
exposure
to
unethical
decision
making
and
unwanted
 scrutiny
and
criticism.
Further
research
may
support
the
call
for
the
introduction
of
an
ethics
 course
for
all
Malaysian
students.

 
 


‐
94
‐
 94

Marxist
Perspectives
on
Corporate
Social
Responsibility
 Marisol
Sandoval
 University
of
Salzburg
 
 
 
 This
 paper
 covers
 the
 question
 whether
 Corporate
 Social
 Responsibility
 (CSR)
 is
 a
 suitable
 concept
for
facing
global
social,
political,
and
ecological
problems
that
arise
in
the
current
area
 of
 an
 intensified
 globalization.
 This
 question
 seems
 to
 be
 of
 central
 importance
 since
 in
 the
 last
years
CSR
has
become
ever
more
widely
integrated
into
social,
economic
and
ecological
 policies
of
national
and
international
governance
institutions.
According
to
the
EU,
CSR
plays
a
 major
role
in
reaching
important
policy
goals
like
becoming
the
most
competitive
knowledge‐ based
economy
in
the
world
and
advancing
sustainable
development.
Great
hopes
are
laid
in
 the
 potential
 of
 CSR
 for
 contributing
 to
 the
 solution
 of
 societal
 problems.
 Therefore
 the
 question
has
to
be
raised
whether
or
not
the
concept
of
CSR
can
fulfil
these
hopes.

 
 In
addressing
this
question
this
paper,
instead
of
taking
a
managerial
point
of
view,
departs
 from
 a
 broad
 social
 science
 perspective
 for
 investigating
 the
 relationship
 of
 business
 and
 society.
Today,
looking
at
this
relationship
means
looking
at
capitalism
as
an
economic
system
 and
at
how
this
societal
subsystem
affects
society
as
a
whole.
Thus
the
first
part
of
this
paper
 is
 concerned
 with
 an
 examination
 of
 the
 mode
 of
 operation
 of
 capitalism.
 The
 societal
 problems
 that
 arise
 form
 a
 capitalist
 organization
 of
 business
 and
 society
 are
 outlined.
 It
 is
 discussed
 whether
 or
 not
 the
 concept
 of
 CSR
 can
 contribute
 to
 diminishing
 or
 even
 solving
 these
negative
effects
that
capitalism
has
on
society.

This
raises
the
fundamental
question
in
 how
far
capitalism
can
be
socially
responsible.

 
 In
 discussing
 this
 question
 in
 the
 second
 part
 of
 this
 paper
 different
 approaches
 on
 CSR,
 ranging
 from
 philanthropic
 concepts
 to
 the
 business
 case
 for
 CSR,
 are
 outlined.
 It
 is
 shown
 that
the
business
case
for
CSR
stresses
that
corporations
should
only
address
social
issues
as
 long
 as
 this
 corresponds
 with
 their
 economic
 interests.
 I
 argue
 that
 striving
 for
 maximum
 profits
and
at
the
same
time
being
social
responsible
is
an
insolvable
contradiction.
Thus,
CSR
 approaches
 that
 do
 not
 take
 into
 account
 that
 social
 responsible
 actions
 can
 contradict
 the
 aim
of
profit
maximization
should
be
dismissed
as
ideologies.
In
the
best
case
practicing
the
 business
case
for
CSR
can
lead
to
punctual
improvements,
but
it
does
not
touch
the
underlying
 mode
 of
 operation
 of
 capitalism
 and
 is
 therefore
 unable
 to
 challenge
 the
 resulting
 societal
 problems.
 Only
 approaches
 that
 recognize
 that
 CSR
 is
 first
 and
 foremost
 about
 social
 issues
 and
not
about
profits
contain
a
potential
for
effectively
confronting
societal
problems.
Thus,
as
 long
as
the
concept
of
CSR
is
not
redefined
in
terms
of
an
absolute
priority
of
social
issues
this
 concept
will
fail
in
achieving
societal
improvements.

 
 Such
a
redefinition
of
CSR
is
undertaken
in
the
final
section
of
this
paper.
Some
suggestions
 are
 made
 of
 how
 CSR
 could
 be
 conceptualized
 in
 order
 to
 make
 business
 more
 socially
 responsible.
 
 
 
 


‐
95
‐
 95

Shareholder
democracy,
responsibility
and
liability:
one
approach
to
 business
ethics
 Jan
Schapper
 Department
of
Management,
Monash
University,
Australia
 
 Robert
Nixey
 Director
of
Legal
Services,
Professional
Alliance
Group,
Australia
 
 
 
 As
the
year
2008
closes,
it
is
clear
that
all
is
not
well
with
business13.
In
this
paper
we
suggest
 there
is
little
point
in
trying
to
either
resurrect
or
impose
business
ethics
if
“business
as
usual”
 prevails.
 It
 is
 clear
 from
 our
 current
 circumstances
 that
 lack
 of
 commitment
 to
 or
 non‐ compliance
 by
 the
 business
 sector
 to
 voluntary
 or
 legislated
 regulation
 has
 not
 embedded
 ethical
reasoning
within
business’
decision‐making.
Echoing
the
Stern
report
(2006)
we
also
 agree
 that
 the
 threat
 of
 climate
 change
 to
 future
 generations,
 to
 biodiversity
 and
 environmental
 well‐being
 is
 indicative
 of
 the
 failure
 of
 the
 free
 market
 to
 accord
 any
 significance
 to
 the
 arguments
 for
 corporate
 social
 responsibility,
 for
 stakeholder
 considerations,
for
triple
bottom
line
reporting,
for
business
ethics
and
so
on.
Accepting
that
 the
principles
of
business
ethics
continue
to
fail
to
change
corporate
leaders’
behaviours,
we
 therefore
argue
the
change
must
be
in
the
fundamentals
of
the
way
that
businesses
conduct
 business.
 Aware
 of
 the
 limitations
 of
 a
 conference
 paper,
 we
 shall
 begin
 to
 reconsider
 basic
 principles
of
business
with
a
focus
on
the
role
of
ownership
by
shareholders
of
publicly
listed
 companies.

 
 The
 legislative
 framework
 that
 regulates
 Australian
 listed
 corporations14,
 the
 Corporations
 Act
(2001),
ensures
an
effective
separation
of
powers
between
the
shareholders
(owners)
on
 the
one
hand,
and
the
directors
and
managers
of
the
businesses
on
the
other.
It
is
this
loosely
 coupled
relationship
between
shareholders
and
the
companies
they
effectively
“own”
that
has
 contributed
to
what
we
argue
is
a
morally
dysfunctional
system
of
business.
 
 Under
Australian
company
law,
the
fiduciary
responsibility
of
the
directors
is
to
the
company
 and
not
to
their
shareholders;
the
risk
and
responsibility
for
the
company
is
also
carried
by
its
 directors,
managers
and
employees.
We
have
no
issue
with
this
situation
where
those
who
are
 engaged
 in
 strategic
 and
 operational
 decision‐making
 are
 held
 accountable
 and
 responsible
 (see
Kaler,
2002)
for
the
outcomes
of
those
decisions.
While
we
would
encourage
even
greater
 regulation
 of
 business
 operations,
 we
 do
 nonetheless
 support
 current
 legislation
 where
 directors
and
managers
may
be
held
personally
liable
for
company
breaches
of
legislation
in
 trade
practises,
health
and
safety,
sexual
harassment
and
so
on.

 
 There
 is,
 in
 this
 situation,
 a
 moral
 logic
 where
 the
 decision‐makers,
 as
 “servants”
 of
 the
 company
are
potentially
rewarded
financially,
socially,
emotionally
or
punished
by
the
courts,
 by
the
community
or
commercial
mechanisms.


 
 13


Following
the
lead
of
Jones,
Parker
and
ten
Bos
(2005),
in
this
paper
we
refer
to
the
activity
of
business
as
business;
 those
organisations
that
conduct
business
are
referred
to
as
(private
sector)
businesses.
 14 
While
we
recognise
this
conference
is
a
UK
session
of
a
European
organisation,
we
will
nonetheless
use
our
own
 experience
from
Australian
business
to
inform
our
argument.
 ‐
96
‐


The
 proximity
 of
 the
 company
 directors,
 managers
 and
 employees
 to
 the
 outcomes
 of
 their
 decisions
 is
 however
 in
 sharp
 contrast
 to
 the
 distance
 between
 the
 shareholder
 and
 the
 company
they
have
invested
in.
In
this
instance,
the
relationship
is
remote
and
depersonalised
 and
in
the
main,
the
major
concern
of
the
shareholder
is
to
receive
a
greater
return
on
their
 investment
(Shaw
&
Post,
1993).
What
we
wish
to
challenge
is
the
current
legislative
position
 where
the
owners
or
shareholders
who
are
beneficiaries
of
the
businesses’
operations
carry
 no
legal
liability
or
responsibility
for
the
functioning
of
the
company.

 
 We
know
there
are
many
(see
O’Rourke,
2003;
Vandekerckhove,
Leys
&
Van
Braeckel,
2007)
 who
 would
 argue
 that
 recent
 “shareholder
 activism”
 (or
 shareholder
 engagement,
 socially
 directed
 investment,
 socially
 responsible
 investment)
 is
 an
 attempt
 by
 owners
 to
 help
 position
 the
 moral
 compass
 of
 the
 company
 they
 have
 invested
 in.
 While
 O’Rourke
 (2003)
 details
 many
 examples
 of
 attempts
 by
 activists
 to
 force
 corporations
 to
 adopt
 socially
 responsible
 changes,
 it
 is
 also
 argued
 (Collier,
 2004
 cited
 in
 Vandekerckhove
 et
 al.,
 2007,
 p.
 403‐404)
“they
[shareholders]
do
so
because
they
hold
the
firm
belief
that
good
management
 on
 non‐financial
 issues
 will
 improve
 shareholder
 returns”.
 
 Unfortunately,
 at
 a
 time
 when
 superannuation
funds
and
returns
on
investment
have
been
savaged
by
falling
share
prices,
 the
 recent
 cases
 in
 Australia
 of
 shareholder
 outrage
 at
 executive
 remuneration
 packages
 reinforce
the
sense
that
shareholder
dissent
appears
perilously
close
to
little
more
than
self‐ interest.

 
 We
will
argue
in
this
paper
that
a
robust
shareholder
democracy
demands
re‐consideration
of
 the
 nexus
 between
 the
 owners
 of
 capital
 and
 the
 managers
 of
 capital.
 We
 propose
 the
 first
 step
is
to
make
owners
(ie.
shareholders)
financially
responsible
for
decisions
of
companies
 they
invest
in.
Achieved
only
by
significant
legislative
change,
this
shift
would
demand
a
re‐ examination
 of
 the
 role
 of
 and
 power
 of
 shareholders.
 Should
 this
 occur,
 then
 shareholder
 activism
would
exert
an
unimagined
power
over
the
company
strategy
and
operations.
Give
 thought
for
just
one
moment
of
the
impact
on
the
fortunes
of
British
American
Tobacco
(and
 its
 investors),
 should
 its
 shareholders
 be
 held
 financially
 liable
 (no
 matter
 how
 limited)
 for
 the
long
term
health
impacts
of
tobacco
products.

 
 Because
 implicit
 in
 the
 concept
 of
 shareholder
 democracy
 is
 a
 demand
 for
 representation,
 organisational
structures
would
then
need
to
be
overhauled
to
accommodate
this
added
layer
 of
 decision‐making.
 While
 the
 new
 structures
 
 may
 be
 complex
 and
 unwieldy,
 there
 is
 however
 a
 capacity
 to
 entrench
 within
 this
 proposed
 model
 of
 business,
 fundamental
 considerations
 of
 the
 long
 term
 impacts
 of
 any
 company’s
 decision
 on
 all
 its
 current
 and
 future
 stakeholders.
 In
 this
 proposed
 re‐alignment
 of
 ownership
 to
 responsibility,
 business
 ethics,
 corporate
 morality
 and
 social
 responsibility
 would
 not
 be
 discretionary
 or
 marginalised
 feel‐good
 programmes,
 but
 would
 be
 the
 bedrock
 of
 any
 company
 decision‐ making.

 
 To
conclude,
we
believe
the
current
crises
highlight
there
is
little
point
in
looking
to
entrench
 business
 ethics
 into
 business
 as
 usual
 because
 of
 the
 dysfunctional
 relationship
 between
 ownership
and
management.
We
have
argued
that
circumstances
require
fundamental
shifts
 in
the
way
businesses
conduct
business.
For
this
paper,
we
argue
the
need
for
shareholders
to
 be
not
just
beneficiaries
of
company
decision‐making,
but
to
share
liability
for
those
decisions.
 It
 is
 our
 hope
 this
 invigorated
 shareholder
 responsibility
 would
 entrench
 the
 principles
 of
 business
ethics
into
all
publicly
listed
companies.



 
 
 
 ‐
97
‐


References
 Boatright,
J.
(1994).
Fiduciary
duties
and
the
shareholder‐management
relation:
Or,
what’s
so
 special
about
shareholders?
Business
Ethics
Quarterly.4
(4),
393‐407.
 Corporations
Act,
2001.
Australian
Government
Publishing
Service,
Canberra.
 Jones,
C.,
Parker,
M.
&
ten
Bos,
R.
(2005).
For
business
ethics.

London:
Routledge.
 Kaler,
 J.
 (2002).
 Responsibility,
 accountability
 and
 governance.
 Business
 Ethics:
 A
 European
 Review,
11(4).
327‐334.
 O’Rourke,
A.
(2003).
A
new
politics
of
engagement:
Shareholder
activism
for
corporate
social
 responsibility.
Business
Strategy
and
the
Environment.
12
(4).
227‐239.
 Parliamentary
 Joint
 Committee
 on
 Corporations
 and
 Financial
 Service
 (2008).
 Better
 shareholders
 –
 Better
 company:
 Shareholder
 engagement
 and
 participation
 in
 Australia.
 Senate
Printing
Unit,
Parliament
House,
Canberra.

 Shaw,
B.
&
Post,
F.
(1993).
A
moral
basis
for
corporate
philanthropy.
Journal
of
Business
Ethics.
 12
(10),
745‐751.
 Stern,
N.
(2006).
Stern
Review
on
the
Economics
of
Climate
Change,
HM
Treasury.
London.

 Vandekerckhove,
W.,
Leys,
J.
&
Van
Braeckel,
D.
(2007).
That’s
not
what
happened
and
it’s
not
 my
fault
anyway!
An
exploration
of
management
attitudes
towards
management
attitudes
 towards
SRI‐shareholder
engagement.
Business
Ethics:
A
European
Review.
16
(4),
403‐418.

 


‐
98
‐


Micro
 and
 small
 business
 ethics
 and
 the
 employment
 people
 with
 disabilities
 Ian
Ulyatt
 Faculty
of
Business
&
Law,
University
of
Lincoln
 
 There
is
growing
recognition
that
good
ethics
and
CSR
can
have
a
positive
economic
impact
on
 the
performance
of
firms
on
large
organisations
(Joyner
&
Payne:
2002),
however
does
micro
 and
 small
 businesses
 have
 the
 same
 good
 business
 ethics
 or
 values.
 Crane
 &
 Matten
 (2007)
 would
 indicate
 the
 concept
 of
 business
 ethics
 is
 the
 applied
 ethics
 discipline
 that
 addresses
 the
moral
features
of
commercial
activity
and
in
addition
to
or
those
set
by
a
legal
framework.
 Whilst
according
to
Carroll
(1991)
model
of
CSR
ethical
responsibility
is
the
penultimate
level
 and
 is
 expected
 by
 society,
 although
 the
 preceding
 level
 is
 that
 set
 by
 a
 legal
 framework,
 which
 is
 required
 by
 society.
 However,
 moral
 beliefs
 and
 social
 attitudes
 of
 large
 organisations
 to
 what
 they
 see
 as
 the
 lesser
 import
 ethical
 issues
 such
 as
 disabilities
 are
 at
 best
 claim
 their
 moral
 merit
 or
 their
 opinion
 for
 or
 against
 participation
 of
 people
 with
 disabilities
in
their
employment
in
their
society.

 
 The
 main
 focus
 of
 research
 has
 primarily
 centred
 on
 large
 corporations
 business
 ethics
 and
 according
to
some
academics,
the
issue
of
ethical
behaviour
and
imprudence
in
business
is
not
 dependant
 on
 the
 size
 of
 the
 organisation.
 Although
 Carr
 (2003),
 the
 rising
 importance
 of
 macro,
small,
or
entrepreneurial
firms
there
important
of
ethical
considerations
to
economic
 growth
nonetheless
this
has
received
little
attention.
This
paper
will
use
evidence
gained
from
 my
research,
and
will
define
and
traces
the
models
of
ethical
values
used
by
micro
and
small
 business
and
their
influence
on
people
with
disabilities
and
their
employment.

 
 Popular
 conceptions
 of
 employment
 and
 people
 with
 disabilities
 are
 often
 left
 to
 stand
 by
 themselves
as
entities
that
are
either
self‐evident
or
unimportant
to
requirements
of
business
 and
 employment
 of
 people
 with
 disabilities.
 Burchardt
 (2000:
 664)
 has
 repeatedly
 emphasised,
“disability
is
not
a
fixed
characteristic
of
individuals,
at
least
within
the
working
 population”.
There
is
universal
agreement
that
people
with
disabilities
do
not
have
the
same
 access
 to
 jobs
 as
 the
 rest
 of
 the
 population,
 the
 current
 employment
 for
 people
 with
 disabilities
is
50%
compared
with
80%
for
non‐disabled
(Massie,
2006).
Therefore
why
is
it
 more
ethical
to
employ
a
person
on
the
bases
of
gender,
race,
religion,
sexual
preference
or
a
 mixture
of
these
and
then
employ
a
people
with
disabilities?
 
 
 The
model
and
their
language
which
develop
nourish
stereotypes
and
preconceptions
remain
 and
consist
of
shape
defiance
are
determined
to
the
general
view
of
people
with
disabilities.
 Social
political
and
economic
factors
are
highly
influential
in
current
debates
and
are
the
main
 driving
force
in
policy
developments;
however
people
with
disabilities
are
under‐represented
 in
employment
and
still
have
low
socio‐economic
status.
 
 From
 my
 research
 the
 reality
 is
 that
 micro
 and
 small
 business
 are
 not
 very
 different
 from
 larger
business,
although
ownership
and
management
are
clearly
separated,
within
the
larger
 organisation,
the
business
ethics
is
more
defused
with
this
growth.
It
does
not
appear
to
affect
 the
 result
 in
 the
 perceptions
 about
 ethical
 behaviour
 towards
 people
 with
 disabilities.
 The
 ethical
 values
 and
 preference
 toward
 disability
 of
 the
 small
 business
 owner
 has
 a
 far
 more
 direct
 consequence
 on
 the
 practices
 of
 the
 business
 as
 a
 whole.
 Additionally,
 the
 findings
 ‐
99
‐


suggest
that
there
is
a
more
direct
transferee
of
the
owner’s
ethical
beliefs
as
highlighted
in
 the
feelings
can
have
positive
or
negative
influence,
or
a
mixture
of
both,
especially
when
the
 feelings
 or
 stereotypes
 are
 strong
 and
 the
 transferee
 of
 ethical
 belief
 is
 weak.
 This
 is
 particularly
 true
 when
 the
 employee
 comes
 from
 groups
 that
 have
 had
 a
 long,
 uneasy
 relationship
 with
 the
 rest
 of
 society,
 such
 as
 people
 with
 disabilities
 or
 mental
 disabilities.
 Everyone
 has
 preferences
 or
 biases;
 however
 the
 negative
 aspects
 of
 such
 beliefs
 can
 be
 reduced
by
the
recognition
of
cultural
transference
between
both
societies
which
in
turn
can
 increase
the
ethics
towards
the
employment
of
people
with
disabilities.


‐
100
‐


A
clear
determination
of
space
 Naud
van
der
Ven
 
 
 
 I
want
to
treat
the
question
‘Where
is
Business
Ethics?’
in
the
light
of
the
work
of
Emmanuel
 Levinas.
 As
 to
 the
 contradistinction
 one
 can
 make
 between
 people
 who
 find
 business
 ethics
 readily
locatable
and
demonstrable
on
the
one
hand,
and
people
who
think
such
reification
is
 impossible
 on
 the
 other
 hand,
 Levinas’s
 position
 is
 crystalclear.
 For
 him
 all
 ethics
 starts
 out
 with
dislocation:
it
starts
with
being
pushed
from
one’s
centre,
completely
taken
aback.
 
 At
the
same
time
Levinas
is
very
assertive
in
indicating
the
origin
of
all
ethics.
According
to

 him
 there
 is
 just
 one
 place
 for
 ethics
 to
 depart
 from,
 and
 that’s
 the
 face
 of
 the
 other.
 In
 Levinas’s
vision
the
other
is
the
one
who
can
make
me
conscious
of
my
imperialistic
strivings
 and
rationality.
From
this
point
of
view
Levinas’s
localization
of
ethics
(and
business
ethics)

 cannot
be
more
unequivocal
than
it
is.
 
 But
 this
 assertive
 localization
 also
 raises
 questions.
 For
 example
 the
 question
 whether
 for
 Levinas
it
is
every
other
who
arouses
my
responsibility,
or
whether
the
face
strikes
now
and
 then.
And
then,
when
it
strikes
–
for
example
in
organizations
–,
what
does
the
face
look
like?
 
 Levinas
himself
does
not
go
into
concrete
details
when
it
comes
to
those
questions.
The
most
 far
he
goes,
is
by
speaking
about
the
other
in
terms
of
the
widow
and
the
orphan.
But
widows
 and
orphans
are
not
really
relevant
categories
for
organizations,
so
this
remains
a
bit
obscure.
 Yet,
 if
 there
 is
 some
 truth
 in
 what
 Levinas
 says,
 this
 other
 must
 be
 traceable,
 also
 in
 organizations.
Therefore
the
question
is:
in
what
way
can
Levinas’s
speaking
about
the
other
 be
 related
 to
 the
 world
 of
 management
 and
 organization?
 That’s
 the
 question
 which
 will
 be
 central
in
my
paper.
 
 In
order
to
be
able
to
answer
that
question
we
cannot
directly
turn
to
Levinas’s
work
for
he
 did
 not
 occupy
 himself
 with
 organizations.
 But
 we
 can
 fruitfully
 turn
 to
 parts
 of
 Levinas’
 anthropology
which
are
to
be
found
in
his
early
works
Le
temps
et
l’autre
(TA),
De
l’existence
à
 l’existant
 (EE)
 and
 in
 Totalité
 et
 Infini
 (TI).
 His
 descriptions
 of
 the
 human
 condition
 treat
 subjects
 like
 action,
 labor
 and
 rationality
 which
 indeed
 make
 connections
 possible
 with
 working
 life.
 Those
 elements
 will
 be
 touched
 upon
 in
 the
 paper
 and
 presented
 within
 the
 framework
 in
 which
 Levinas
 positions
 those
 subjects,
 that
 is
 to
 say
 the
 framework
 of
 Il­y­a
 and
 hypostasis.
 We
 will
 thereby
 see
 how
 Levinas’s
 descriptions
 of
 the
 development
 of
 rationality
make
clear
that
there
are
different
stages
in
that
development
and
that,
because
of
 that,
man
has
to
deal
with
conflicting
rationalities.

 
 From
there
the
paper
proposes
an
application
of
Levinas’s
scheme
to
organizations.
Applied
 to
 organizations
 Levinas’s
 view
 on
 conflicting
 rationalities
 leads
 to
 the
 conclusion
 that
 the
 stage(s)
 of
 rationality
 in
 which
 working
 people
 find
 themselves
 may
 be
 very
 different
 from
 the
 often
 far‐devellopped
 stage
 of
 rationality
 that
 is
 dominant
 in
 organizations.
 This
 discrepancy
between
the
rationality‐stage
of
organizations
and
the
rationality‐stage
in
which
 individuals
 find
 themselves
 can,
 with
 workers
 who
 are
 sensible
 for
 that,
 arouse
 repugnance
 against
organizing
and
organization.
This
can
manifest
itself
as
job‐refusal,
melancholy
or
less
 articulated
 resistance.
 In
 all
 cases
 there
 is
 an
 amount
 of
 suffering
 by
 the
 employee
 in
 the
 organization.
 ‐
101
‐



 The
 line
 of
 thought
 about
 Levinas’s
 rationality‐stages
 and
 the
 relevance
 of
 that
 for
 organizations
brings
us
back
to
the
central
question
of
the
paper:
what
does
Levinas’s
other
 look
like
in
the
context
of
organizations.
I
propose
to
consider
the
individual
who
suffers
from
 the
 limitedness
 of
 organizational
 rationality
 as
 Levinas’
 other,
 transposed
 to
 the
 context
 of
 organizations.
 This
 conception
 of
 the
 other
 in
 organizations
 implies
 a
 certain
 measure
 of
 incompatability
 of
 the
 other
 with
 organizations.
 Given
 the
 self‐evidence
 for
 organizations
 of
 their
 own
 existence
 and
 given
 the
 pretentions
 of
 rationality
 and
 justified
 order
 that
 organizations
 have,
 the
 suffering
 of
 the
 other,
 the
 repugnance
 and
 the
 weariness
 appear
 as
 incomprehensible
 and
 unreasonable.
 The
 one
 who
 confronts
 the
 organization
 with
 that
 repugnance
and
weariness
really
stands
outside.
 
 Something
 of
 this
 description
 is
 to
 be
 found
 in
 the
 story
 about
 Bartleby
 the
 Scrivener
 by
 Herman
Melville.
That’s
why
I
end
my
paper
with
telling
that
story,
where
–
at
the
level
of
the
 organization
 –
 takes
 place
 what
 Levinas
 wanted
 to
 describe
 for
 philosophy:
 “It
 is
 this
 resistance,
 this
 point
 of
 exteriority
 to
 the
 appropriative
 movement
 of
 philosophical
 conceptuality,
that
Levinas
seeks
to
describe
in
his
work”
(Critchley
2002:
17).

 A
clear
determination
of
place.
 
 
 
 
 


‐
102
‐


What
is
‘Corporate’
about
Social
Responsibility?
 Jeroen
Veldman
 School
of
Management,
University
of
Leicester

 
 
 
 This
 presentation
 will
 address
 the
 use
 of
 ‘corporate’
 in
 ‘Corporate
 Social
 Responsibility’.
 A
 growing
 interest
 in
 CSR
 over
 the
 last
 couple
 of
 years
 has
 introduced
 a
 plethora
 of
 concepts
 and
ideas
into
this
field
that
problematized
the
issues
of
‘responsibility’
and
the
exact
kind
of

 ‘social’
that
is
the
object
of
CSR.
 
 However,
it
seems
the
other
core
concept
in
its
very
name
has
not
received
the
same
kind
of
 attention.
 The
 term
 ‘corporate’
 in
 CSR
 usually
 refers
 very
 generally
 to
 the
 idea
 that
 social
 responsibility
should
be
an
issue
for
the
private
sector
or
for
‘business’
(Orlitzky,
Schmidt
&
 Rynes
2003).
The
terms
‘private
sector’,
‘business’
or
‘firms’
are
then
applied
to
international
 corporations,
 firms,
 joint‐ventures,
 partnerships,
 one‐man
 companies
 and
 SME’s
 alike
 (Williams
&
Aguilera
2008).
Alternatively,
the
distinction
between
private
and
public
sectors
 is
completely
abandoned,
making
social
responsibility
attributable
to
institutions,
companies
 and
corporations
in
equal
fashion
(Nader
and
Green
1976,
Williams
and
Aguilera
2008).
The
 only
 sense
 in
 which
 ‘corporate’
 is
 retained
 is
 by
 the
 negative
 injunction
 that
 ‘organizations’
 should
 look
 beyond
 ‘shareholder
 value’
 alone.
 In
 this
 sense,
 we
 could
 argue
 that
 ‘corporate’
 has
 lost
 its
 descriptive
 value
 and
 could
 just
 as
 well
 be
 shed
 from
 the
 term
 Corporate
 Social
 Responsibility.
 
 However,
 there
 is
 a
 sense
 in
 which
 the
 question
 about
 the
 corporate
 nature
 of
 social
 responsibility
 relates
 directly
 to
 the
 question
 where
 business
 ethics
 might
 be.
 I
 shall
 argue
 that
the
idea
of
incorporation
as
a
very
specific
form
of
constituting
a
corporation
is
a
result
of
 a
long
series
of
historical
permutations
(Maitland
2003),
each
introducing
quite
distinct
forms
 of
 thinking
 about
 its
 ontological
 nature
 and
 its
 implied
 social
 responsibility
 (French
 1984,
 Friedman
 1970,
 Hayek
 1996).
 I
 shall
 relate
 these
 historical
 permutations
 to
 contemporary
 versions
 of
 understanding
 of
 incorporation
 in
 legal
 (Fisse
 and
 Braithwaite
 1988)
 and
 economic
 thought
 (Ireland
 1996).
 I
 will
 explore
 how
 these
 understandings
 create
 quite
 distinct
ethical
and
political
positions
on
the
constitution
of
organizations,
on
what
they
are
 and
how
they
can
be
addressed
as
singular
and
intentional
or
actors
in
their
own
right
or
as
 aggregations.
 We
 will
 then
 explore
 what
 this
 distinction
 means
 and
 how
 it
 informs
 both
 questions
of
constitution
(French
1984,
Dan‐Cohen
1986)
and
of
governance
(Ireland
1999).
 
 From
this
position,
I
shall
then
return
to
the
term
‘corporate’
in
CSR
to
re‐theorize
its
use
as
a
 key
 concept
 to
 theorize
 social
 responsibility
 in
 the
 framework
 of
 what
 we
 understand
 by
 particular
versions
of
incorporation
and
what
types
of
understanding
of
corporate
ethics
may
 be
derived
from
these
understandings.
 
 References
 Williams,
 Cynthia
 A.;
 Ruth
 V.
 Aguilera
 (2008).
 "Corporate
 Social
 Responsibility
 in
 a
 Comparative
Perspective".
in
Crane,
A.,
McWilliams,
A.,
Matten,
D.,
Moon,
J.
&
Siegel,
D.S.
 2008,
 The
 Oxford
 Handbook
 of
 Corporate
 Social
 Responsibility,
 Oxford
 University
 Press,
 USA.
 Dan‐Cohen,
M.
1986,
Rights,
persons,
and
organizations,
University
of
California
Press.
 ‐
103
‐


Fisse,
 B.
 &
 Braithwaite,
 J.
 1988,
 "The
 Allocation
 of
 Responsibility
 for
 Corporate
 Crime:
 Individualism,
Collectivism
and
Accountability",
Sydney
Law
Review,
vol.
11,
pp.
468‐513.
 French,
P.A.
1984,
Collective
and
corporate
responsibility,
Columbia
University
Press,
New
York
 ;
Guildford.
 Friedman,
M.
1970,
"The
social
responsibility
of
business
is
to
increase
its
profits",
New
York
 Times
Magazine,
vol.
13,
no.
1970,
pp.
32–33.
 Hayek,
F.A.
1996,
Individualism
and
Economic
Order,
University
of
Chicago
Press.
 Ireland
 1996,
 "Corporate
 Governance,
 Stakeholding,
 and
 the
 Company:
 Towards
 a
 Less
 Degenerate
Capitalism?",
Journal
of
Law
and
Society,
vol.
23,
no.
3,
pp.
287.
 Ireland,
 P.
 1999,
 "Company
 Law
 and
 the
 Myth
 of
 Shareholder
 Ownership",
 Modern
 Law
 Review,
vol.
62,
no.
1,
pp.
32.
 Maitland,
F.W.
2003,
State,
trust
and
corporation,
Cambridge
University
Press,
Cambridge.
 Nader,
R.
&
Green,
M.J.
1973,
Corporate
power
in
America,
Grossman
Publishers.
 Orlitzky,
M.,
Schmidt,
F.L.
&
Rynes,
S.L.
2003,
"Corporate
Social
and
Financial
Performance:
A
 Meta‐Analysis",
Organization
Studies,
vol.
24,
no.
3,
pp.
403.
 
 


‐
104
‐


Being
 Disinterested
 or
 Being
 Infinitely
 Interested
 in
 Existing?
 –
 Kierkegaard
and
Business
Ethics
 Ania
Woźniak
 Bristol
Business
School,
University
of
the
West
of
Engalnd
 
 
 
 In
the
paper,
I
discuss
some
of
the
consequences
of
the
appropriation
of
the
question
of
ethics
 by
the
management
theory.
This
appropriation
I
argue
is
consistent
with
the
objectifying
and
 disengaged
 style
 of
 engagement
 prevalent
 in
 scientific
 research
 in
 general.
 I
 support
 my
 argument
by
Kierkegaard’s
discussion
of
the
nature
of
the
engagement
with
the
ethical
issues
 as
 opposed
 to
 the
 objectifying
 and
 disengaged
 mode
 of
 science.
 Finally,
 I
 point
 toward
 few
 conceptual
inclinations
present
in
the
texts
on
business
ethics,
which
make
them
incompatible
 with
Kierkegaardian
idea
of
ethics.
 
 Huckleberry
Finn,
one
of
Mark
Twain’s
characters,
is
an
interesting
case
for
a
business
ethics
 study.
He
helps
Jim,
a
slave
and
his
friend,
to
escape
Jim’s
owner.
When
they
are
just
about
to
 enter
 the
 state
 where
 Jim
 will
 become
 legally
 free,
 Huck
 experiences
 a
 moral
 tension.
 His
 ethical
 stance
 has
 been
 formed
 from
 the
 early
 childhood
 by
 the
 system
 where
 slavery
 has
 been
 widely
 accepted
 and
 not
 a
 subject
 to
 any
 social
 critique.
 Consequently,
 when
 he
 is
 overtaken
by
the
emotions
resulting
from
these
believes,
Huck
feels
a
pressure
which
makes
 him
 believe
 that
 he
 should
 report
 Jim’s
 escape
 to
 two
 white
 men
 whom
 they
 meet
 on
 their
 way.
In
spite
of
his
intention
to
turn
Jim
to
the
authorities,
he
finds
himself
unable
to
do
it
and,
 finally,
 he
 makes
 Jim’s
 escape
 possible.
 However,
 he
 sees
 his
 behaviour
 as
 weak
 and
 almost
 sinful.

 
 Huck
Finn’s
story
inspires
a
reflection
that
one
can
act
compassionately
and
out
of
care
for
the
 other,
in
spite
false
conscience;
in
spite
of
one’s
belief
that
what
one
does
is
morally
inferior.
It
 shows
 that
 a
 person
 can
 act
 righteously
 whatever
 his
 or
 her
 believes
 are.
 It
 also
 reveals
 a
 possibility
of
a
situation
where
a
person
holds
what
he
sees
as
superior
ethical
believes
but
 behaves
 dishonestly.
 Moreover,
 Huck
 Finn’s
 story
 shows
 that
 human
 actions
 can
 be
 ethical,
 despite
the
system
(in
this
case
slavery)
being
widely
perceived
as
highly
‘unethical’.
 
 These
 inconsistencies
 are
 largely
 disregarded
 by
 the
 accounts
 of
 business
 ethics.
 Their
 ‘forgetting’
 is
 a
 consequence
 of
 the
 long
 tradition
 of
 the
 disengaged,
 objectifying
 practice
 applied
in
science.
The
consequences
which
practicing
disengaged
observation
and
judgment
 had
on
the
ethical
dimension
are
at
the
heart
of
Kierkegaard’s
conceptualization
of
the
ethical.
 He
shifts
the
attention
from
the
ethical
‘truthfulness’
as
an
attribute
of
human
believes
to
the
 ‘truthfulness’
 as
 the
 feature
 of
 human
 action.
 Three
 elements
 constitute
 the
 spirit
 of
 the
 Kierkegaardian
stance:
1)
knowledge
of
the
‘ethical
truth’
is
insignificant
unless
one
allows
it
 to
 change
 one’s
 life;
 2)
 a
 person
 who
 suggests
 that
 he
 or
 she
 understood
 ethics
 objectively,
 misunderstood
 it
 and
 3)
 ‘truth’
 can
 be
 attributed
 not
 only
 to
 ideas,
 beliefs
 and
 propositions
 but
also
to
the
spirit
in
which
beliefs
are
held
and
to
the
human
life
in
general
(Rudd,
1997:
 56).
 These
 assumptions
 seem
 basic
 and
 obvious.
 However,
 as
 I
 argue
 in
 the
 paper,
 when
 implemented
consistently
in
one’s
life,
they
make
the
whole
difference
to
the
way
and
to
the
 style
in
which
one
engages
with
the
ethical
issues,
business
ethical
issues
in
particular.

 




‐
105
‐


In
 order
 to
 explain
 the
 propositions
 which
 Kierkegaard
 puts
 forward
 I
 refer
 to
 three
 texts
 discussing
business
ethics:
Marxism,
Capitalism
and
Ethics
by
Edward
Wray‐Bliss
and
Martin
 Parker
 (1998),
 Towards
 a
 New
 Ethics?
 The
 Contributions
 of
 Poststructuralism
 and
 Posthumanism
by
Hugh
Willmott
(1998)
and
As
if
Business
Ethics
Were
Possible,
‘Within
Such
 Limits’…
by
Campbell
Jones
(2003).
These
contributions
offer
refreshing
new
perspectives
on
 the
 idea
 of
 business
 ethics
 and
 its
 limitations.
 I
 use
 these
 texts
 as
 illustrations
 of
 a
 certain
 widespread
 tendency
 present
 in
 the
 writings
 critically
 engaging
 with
 the
 notion
 of
 business
 ethics.
 As
 they
 evaluate
 ethical
 practices
 of
 theoreticians
 and
 practitioners
 in
 some
 other
 socio‐economic
systems
and
traditions
of
thinking
(such
as,
e.g.,
‘capitalism’,
‘modernism’
or
 ‘management
thought’)
they
judge
the
soundness
of
the
ethics
of
the
other.
Furthermore,
they
 discuss
 the
 ‘ethical’
 in
 relation
 to
 these
 socio‐political
 systems
 and
 traditions
 of
 thinking,
 making
the
‘ethical’
a
feature
attributable
to
a
system
or
an
institution.


 
 These
 two
 elements
 make
 the
 abovementioned
 writings
 incompatible
 with
 the
 Kierkegaardian
idea
of
the
ethical.
Kierkegaard
points
out
that
there
is
a
difference
in
the
style
 of
 discussion
 adopted
 to
 deal
 with
 the
 moral
 choice
 in
 the
 contexts
 of
 science
 and
 in
 the
 context
of
one’s
own
stance
on
some
moral
dilemma.
The
former
values
the
‘disengaged
view’
 whereas
 the
 latter
 involves
 personal
 commitment
 related
 to
 the
 fact
 of
 maintaining
 a
 substantive
 proposition
 to
 be
 true.
 Such
 a
 proposition,
 as
 any
 truth
 statement,
 entails
 an
 element
 of
 uncertainty.
 As
 ethics
 is
 relevant
 to
 my
 own
 existence
 (which
 usually
 is
 not
 the
 case
with
science),
it
becomes
possible
to
relate
it
to
my
realisation
of
the
significance
of
my
 own
moral
choices.
And
it
is
in
this
realisation
and
in
taking
up
this
possibility
that,
according
 to
Kierkegaard,
the
ethical
resides.
Consequently,
Kierkegaard
argues
that:
“The
ethical
grips
 the
single
individual
and
requires
of
him
that
he
abstain
from
all
observing,
especially
of
the
 world
 and
 human
 kind,
 because
 the
 ethical
 as
 the
 internal
 cannot
 be
 observed
 by
 anyone
 standing
 outside.”
 (1846/1992:
 320).
 Kierkegaard
 presents
 a
 radical
 view
 that
 “to
 observe
 ethically
 cannot
 be
 done,
 because
 there
 is
 only
 one
 ethical
 observing—it
 is
 self‐observation”
 (1846/1992:
320;
emphasis
added).
And
the
latter
is
not
a
matter
of
disengaged
observation
 but
rather
of
being
“infinitely
interested
in
existing”
(1846/1992:
316).
 
 The
paper
develops
these
propositions
and
analyses
them
in
more
detail,
locates
them
in
the
 wider
context
of
the
scientific
thinking
and
attempts
to
explain
how
they
became
disregarded
 in
 consequence
 of
 the
 expansion
 of
 the
 modern
 thought.
 It
 also
 presents
 some
 alternative
 ways
of
dealing
with
the
ethical
issues,
in
particular
those
practiced
by
Kierkegaard.
 
 References
 Jones,
 C.
 (2003)
 ‘As
 if
 Business
 Ethics
 Were
 Possible,
 “Within
 Such
 Limits”…’,
 Organization,
 10(2):
223‐248.
 Kierkegaard,
 S.
 (1846/1992)
 Concluding
 Unscientific
 Postscript.
 Trans.
 H.
 V.
 Hong
 and
 E.
 H.
 Hong.
Princeton,
NJ:
Princeton
University
Press.
 Rudd,
A.
(1993)
Kierkegaard
and
the
Limits
of
the
Ethical.
Oxford:
Clarendon
Press.
 Willmott,
 H.
 (1998)
 ‘Towards
 a
 new
 ethics?
 The
 contributions
 of
 poststructuralism
 and
 posthumanism’,
in:
M.
Parker
(Ed.),
Ethics
and
Organizations.
London:
Sage,
76‐121.
 Wray‐Bliss,
 E.
 and
 Parker,
 M.
 (1998)
 ‘Marxism,
 capitalism
 and
 ethics’,
 in:
 M.
 Parker
 (Ed.),
 Ethics
and
Organizations.
London:
Sage,
30‐52
 
 
 


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