Business Ethics Decision Makingf
y y y y
or Personal Integrity & Social Resp
y y y y y
onsibility,
6th Edition by Laura Hartman
y y y y
Complete Chapter Solutions Manual
y y y y
are included (Ch 1 to 50)
y y y y y
** Immediate Download
y y
** Swift Response
y y
** All Chapters included
y y y
,Chaptery01—EthicsyandyBusiness
IMyChaptery1:yEthicsyandyBusiness
ChapteryObjectives
Afteryreadingythisychapter,yyouywillybeyableyto:
1. Explainythreeylevelsyatywhichyethicalydecisionsygetymadeyinybusiness.
2. Explainytheynatureyofybusinessyethicsyasyanyacademicydiscipline.
3. Explainywhyyethicsyisyimportantyinytheybusinessyenvironment.
4. Explainywhyyethicalyresponsibilitiesygoybeyondylegalycompliance.
5. Distinguishytheyethicsyofypersonalyintegrityyfromytheyethicsyofysocialyresponsibility.
6. Distinguishyethicalynormsyandyvaluesyfromyotherybusiness-relatedynormsyandyvalues.
7. Describeyethicalydecisionymakingyasyayformyofypracticalyreasoning.
OpeningyDecisionyPoint—WellsyFargoyandyFacebook
TheyWellsyFargoyandyFacebookycasesycanybeyusedytoyintroduceyayrangeyofytopicsythatywillyemergeyth
roughoutythisybook.yTheycaseyinvolvesydecisionymakingyatyaynumberyofylevels,yfromyindividualyentr
y-levelyemployeesy(likeymanyyofyourystudents),ytoybranchymanagers,ytoy mid-
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Theseydiscussionsycanyeasilyyleadyintoytheydecision-
makingymodelythatywillybeyintroducedylateryinytheychapter.yWhatyfactsywouldybeyhelpfulytoymakeythe
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uryinitialythoughts?yWhoyareytheystakeholdersyinvolved,yrangingyfromyentry-
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Theseyareyalsoygoodycasesywithywhichytoyintroduceytheytopicsyofycorporateycultureyandyleadership.y
Howywereytheydecisionsymadeybyyindividualsyinfluencedybyytheysurroundingyculture,yandyhowydid
1-1
,Chaptery01—EthicsyandyBusiness
thatycultureyemergeyatyWellsyFargo?yAtyFacebook?yHowyfreeywereyemployeesyatyeveryylevel,yinclud
ingysenioryexecutives,ytoydivergeyfromytheyprevalentyculture?yHowymightythatyinstitutionalycultureyb
eychanged?yWhoyisyresponsibleyforyinstitutionalydecisions?yWhichyinstitutionalypoliciesyandypractic
esyenabledythisyscandal?yHowymightytheyybeychangedytoyavoidyayreoccurrence?
Anotherytopicythatycanybeyintroducedyinvolvesyprofessionalyresponsibilitiesyofybankersyandyfinancia
lyprofessionalsyatyWells,yandyITyspecialistsyatyFacebook.yThisydiscussionycanybeyhelpfulyinysettingyth
eystageyforyChaptery5yandytheygeneralytopicyofycorporateysocialyresponsibility.yAydiscussionyofyfiduci
aryydutiesycanyintroduceyseveralyimportantyquestions.yWhatyresponsibilitiesydoymanagers,yperhapsye
speciallyysenioryexecutives,yhaveytoystockholders?yHowymightytheseyresponsibilitiesyconflictywithyt
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nsyofytheysocialyandypoliticalyresponsibilitiesyofybothyindividualsyandycorporations.
Finally,ythisycaseycanyalsoyintroduceytheyquestionyofygovernmentyregulationywithinyaymarketyecono
my.yWhatyisytheyproperyroleyforygovernmentyagencies,ybothyinytermsyoffsettingystandardsytoypreventy
misconductyandyinyenforcingysanctionsyafterytheyfact?yHowydoesythisyinfluenceythey“freeymarket”ysy
stem?yInywhatysenseyareycorporationsy“citizens”yofytheycountriesyinywhichytheyyoperate,yandywhatyres
ponsibilitiesydoesythatyimply?
I. Introduction:yGettingyComfortableywithytheyTopic
Ityisynotyuncommonyforystudentsytoyenteryaybusinessyethicsyclassywithysomeydegreeyofydoubt,yconfusi
on,yandyapprehensionyaboutytheytopic.yThisyopeningychapteryaimsytoyrelieveythoseyconcernsybyyintrod
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knownyexamplesyofycommendableycorporateyethics.yItycanybeyworthwhileytoyremindystudentsyofybes
tycaseyexamplesyasyaymeansytoyremindingythemythatybusinessyethicsydoesynotyassumeythatyonlyytheyba
dycasesydeserveyattention.
Weyalsoyremindystudentsythatybusinessyethicsyisynotylimitedytoytheytypeyofymajorycorporateydecisions
ywithydramaticysocial yconsequences. yAtysomeypoint yeveryyworker,yandy certainlyyeveryoneyinyayman
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esyoutsideyasywellyasyinsideybusiness.
Thisyopeningysectionyidentifiesyfiveygeneralygoalsyforyaybusinessyethicsyclass:
1. Developytheyknowledgeybaseyandyskillsyneededytoyidentifyyethicalyissues.
2. Understandyhowyandywhyypeopleybehaveyunethically.
3. Decidey howy wey shouldy act,y whaty wey shouldy do,y andy they typey ofy persony wey shouldy bey asyin
dividuals.
4. Createyethicalyorganizations.
5. Thinkythroughytheysocial,yeconomic,yandypoliticalypoliciesythatyweyshouldysupportyasycitizens.
1-2
, Chaptery01—EthicsyandyBusiness
II. BusinessyEthicsyasyEthicalyDecisionymaking
Weymovedythisysectionyupytoyanyearlyypointyinythisychapterysoythatystudentsycanybeymoreydire
ctlyyandyimmediatelyyintroducedytoyWHATyethicsyinvolvesyandywhatyityis.ySomeyreviewersy
suggestedythatytheypreviousyorganizationyspentytooymuchytimeytalkingyABOUTyethics,ybefor
eyactuallyysayingywhatyityis.
a. Soywhatyisytheypointyofyaybusinessyethicsycourse?yOurygeneralyapproachythroughoutythi
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ssumeythatyhumansycanybeyrationalyenoughytoysettleydisagreementsybyythinkingythemythro
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ion,yandyultimatelyyanyagreementyisypower/forcey(Thrasymachus).
i. Asythey titley ofy thisy booky suggests,y oury approachy toy businessy ethicsy will
emphasizeyethicalydecisionymaking.
ii. HistoricalyContext:yOnyoneyhand,yethicsyrefersytoyanyacademicydisciplineywithyay
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1. Thus,yinyanyethicsycourse,ystudentsymightybeyexpectedytoylearnyaboutytheyg
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elyKant.yAsyhappensyinymanyyotherycourses,ythisyapproachytoyethicsywoul
dyfocusyonytheyinformationalycontentyofytheyclass.
*ChapteryObjectivey2yAddressedyBelow*
iii. EthicalyBehavior/NormativeyContent:yYet,yaccordingytoysomeyobservers,ylear
ningyaboutyethicalytheoriesyandygainingyknowledgeyaboutytheyhistoryyofyethicsyisy
besideytheypoint.
1. Manyypeople,yrangingyfromybusinessesylookingytoyhireycollegeygraduates
ytoybusiness ystudents yandyteachersythemselves, yexpect yanyethics yclassytoya
ddressyethicalybehavior,ynotyjustyinformationyandyknowledgeyaboutyethi
cs.
2. Afteryall,yshouldynotyanyethicsyclassyhelpypreventyfutureyethicalyscandals?
yEthicsyrefersynot yonlyytoyanyacademicydisciplineybut ytoythatyarenayofyhum
anylifeystudiedybyythisyacademicydiscipline,ynamely,yhowyhumanybeings
yproperlyyshouldyliveytheirylives.
1-3
y y y y
or Personal Integrity & Social Resp
y y y y y
onsibility,
6th Edition by Laura Hartman
y y y y
Complete Chapter Solutions Manual
y y y y
are included (Ch 1 to 50)
y y y y y
** Immediate Download
y y
** Swift Response
y y
** All Chapters included
y y y
,Chaptery01—EthicsyandyBusiness
IMyChaptery1:yEthicsyandyBusiness
ChapteryObjectives
Afteryreadingythisychapter,yyouywillybeyableyto:
1. Explainythreeylevelsyatywhichyethicalydecisionsygetymadeyinybusiness.
2. Explainytheynatureyofybusinessyethicsyasyanyacademicydiscipline.
3. Explainywhyyethicsyisyimportantyinytheybusinessyenvironment.
4. Explainywhyyethicalyresponsibilitiesygoybeyondylegalycompliance.
5. Distinguishytheyethicsyofypersonalyintegrityyfromytheyethicsyofysocialyresponsibility.
6. Distinguishyethicalynormsyandyvaluesyfromyotherybusiness-relatedynormsyandyvalues.
7. Describeyethicalydecisionymakingyasyayformyofypracticalyreasoning.
OpeningyDecisionyPoint—WellsyFargoyandyFacebook
TheyWellsyFargoyandyFacebookycasesycanybeyusedytoyintroduceyayrangeyofytopicsythatywillyemergeyth
roughoutythisybook.yTheycaseyinvolvesydecisionymakingyatyaynumberyofylevels,yfromyindividualyentr
y-levelyemployeesy(likeymanyyofyourystudents),ytoybranchymanagers,ytoy mid-
levelymanagement,ysenioryexecutives,yandytheyboardyofydirectors.yTheycasesyalsoyincludeydecisionsyi
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WeyhaveyaddedyaynewyshortycaseydescriptionyinvolvingyFacebookytoythisyDecisionyPointyforyseveraly
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uryinitialythoughts?yWhoyareytheystakeholdersyinvolved,yrangingyfromyentry-
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psyhaveyinythisycase?yHowywereytheyyharmed?yHow,yifyatyall,ywereytheiryinterestsyrepresentedyinythey
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Theseyareyalsoygoodycasesywithywhichytoyintroduceytheytopicsyofycorporateycultureyandyleadership.y
Howywereytheydecisionsymadeybyyindividualsyinfluencedybyytheysurroundingyculture,yandyhowydid
1-1
,Chaptery01—EthicsyandyBusiness
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eychanged?yWhoyisyresponsibleyforyinstitutionalydecisions?yWhichyinstitutionalypoliciesyandypractic
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Anotherytopicythatycanybeyintroducedyinvolvesyprofessionalyresponsibilitiesyofybankersyandyfinancia
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eystageyforyChaptery5yandytheygeneralytopicyofycorporateysocialyresponsibility.yAydiscussionyofyfiduci
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Finally,ythisycaseycanyalsoyintroduceytheyquestionyofygovernmentyregulationywithinyaymarketyecono
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stem?yInywhatysenseyareycorporationsy“citizens”yofytheycountriesyinywhichytheyyoperate,yandywhatyres
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Thisyopeningysectionyidentifiesyfiveygeneralygoalsyforyaybusinessyethicsyclass:
1. Developytheyknowledgeybaseyandyskillsyneededytoyidentifyyethicalyissues.
2. Understandyhowyandywhyypeopleybehaveyunethically.
3. Decidey howy wey shouldy act,y whaty wey shouldy do,y andy they typey ofy persony wey shouldy bey asyin
dividuals.
4. Createyethicalyorganizations.
5. Thinkythroughytheysocial,yeconomic,yandypoliticalypoliciesythatyweyshouldysupportyasycitizens.
1-2
, Chaptery01—EthicsyandyBusiness
II. BusinessyEthicsyasyEthicalyDecisionymaking
Weymovedythisysectionyupytoyanyearlyypointyinythisychapterysoythatystudentsycanybeymoreydire
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suggestedythatytheypreviousyorganizationyspentytooymuchytimeytalkingyABOUTyethics,ybefor
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a. Soywhatyisytheypointyofyaybusinessyethicsycourse?yOurygeneralyapproachythroughoutythi
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b. WeyincludeyaydiscussionyofySocratesyandyThrasymachus.yRationalydecisionymakingya
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ion,yandyultimatelyyanyagreementyisypower/forcey(Thrasymachus).
i. Asythey titley ofy thisy booky suggests,y oury approachy toy businessy ethicsy will
emphasizeyethicalydecisionymaking.
ii. HistoricalyContext:yOnyoneyhand,yethicsyrefersytoyanyacademicydisciplineywithyay
centuriesyoldyhistoryyandyweymightyexpectyknowledgeyaboutythisyhistoryytoybeyam
ongytheyprimaryygoalsyofyayclassyinyethics.
1. Thus,yinyanyethicsycourse,ystudentsymightybeyexpectedytoylearnyaboutytheyg
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elyKant.yAsyhappensyinymanyyotherycourses,ythisyapproachytoyethicsywoul
dyfocusyonytheyinformationalycontentyofytheyclass.
*ChapteryObjectivey2yAddressedyBelow*
iii. EthicalyBehavior/NormativeyContent:yYet,yaccordingytoysomeyobservers,ylear
ningyaboutyethicalytheoriesyandygainingyknowledgeyaboutytheyhistoryyofyethicsyisy
besideytheypoint.
1. Manyypeople,yrangingyfromybusinessesylookingytoyhireycollegeygraduates
ytoybusiness ystudents yandyteachersythemselves, yexpect yanyethics yclassytoya
ddressyethicalybehavior,ynotyjustyinformationyandyknowledgeyaboutyethi
cs.
2. Afteryall,yshouldynotyanyethicsyclassyhelpypreventyfutureyethicalyscandals?
yEthicsyrefersynot yonlyytoyanyacademicydisciplineybut ytoythatyarenayofyhum
anylifeystudiedybyythisyacademicydiscipline,ynamely,yhowyhumanybeings
yproperlyyshouldyliveytheirylives.
1-3
