Business Ethics - Courses

A Business: a privately-owned commercial enterprise whose intrinsec purpose is to make a profit for its owners by means of legally selling on the free market products and services designed to satisfy socially accepted human needs.

Is profit the sale and ultimate purpose of any business?

The answer depends on the broadness of our perspective.

-narrow point of view: Yes

-enlarging our perspective: No (efficient functioning = fulfill the needs&wants of the people)

Business needs society as means to make profit – its intrinsec purpose.

Society needs businesses as a means to satisfy human needs – the purpose of market economy.

How large should the profit be?

-maximum – the supporters of the narrow perspective LOGICALLY claim that a competitive management should aim at maximizing the company’s profit

-reasonable – the supporters of the large perspective IDEOLOGICALLY claim that a reasonable management should aim at the best fulfillment of the social needs & wants.

1 Acting ethically has to do with what my feelings tell me is wrong.

-Feelings are deeply subjective and intimate psyhological processes. Different individuals frequently experience opposite feelings under similar circumstances.

-There should be a specific ethical behaviour for each individual

-Ethical behaviour must be generally accepted by the members of a certain community.

-Feelings can’t be fully controled by reason, usually their evolution is unpredictable and escapes our will power.

-One and the same individual should behave ethically in different ways, depending on his momentary state of mind

-One cannot decide how he/she feels each moment

-No rational argument on ethical issues could be possible.

-Ethical behaviuor should be consistent, stable, and independent on one’s accidental emotions

-Ethical behaviour is governed by our free will

-Ethical behaviour often makes people argue rationally

The Western culture, being rationalistic and individualistic, makes people believe that reason is the best instrument of self-interest. Acting rationally means to be selfish, “cold” and concerned exclusively with your own benefits. This is a false premise.

On the other hand, these people suppose that ethical behaviour is more or less altruistic, implying to care for the others. This premise is correct.

If reason makes us selfish, then acting ethically must imply a strong influence of the “heart”, which is “warm” and sensitive.

But feelings are not always making us to act ethically. They are morally neutral. One and the same feeling can be associated both with ethical and unethical behaviour.

Ethical behaviour cannot be defined through emotional reactions.

2. Ethical means what is in agreement with my religious beliefs.

Facts that deny the idea of a necessary and one-way connection between ethics and religion:

-There are true believers who commit immoral deeds and atheits who behave ethically.

-There is a relative independence of the moral code and the dogmatic core of different religions; antajunistic religions(christian, muslim, jewish, budahism etc)suppose compatible, in great part identical, moral rules.

-Religion is not the only active factor in its connection with morality. The specific ethos of a cultural community bears its influence upon the religious faith, giving it a particular flavour and a specific direction.

The value of work in the great Christian confessions:

-Ortodox Church: divine punishment

-Roman Catholics: work for God is highly valued, the humble work is depreciated

-Protestants: profitable business=a sign of divine protection

3.Ethics consists of the standards of behaviour our society accepts.

The supporters of this claim make no difference between ethical rules of conduct and traditional customs, specific to a certain cultural community. But the confusion leads to unacceptable conclusions.

-The traditional customs are imposed on the individual by the weight of history and by the pressure of the crowd. Morality is grounded on the individual’s freedom to choose his/her way of life, assuming some responsability.

-The traditional customs are most often, incomprehensible. “Why one must wear black at funeral?” “Because that’s our tradition”. Traditional customs are kept by virtue of mimetic conformism. Moral norms are supported with rational arguments. “Why should one tell the truth?” “Because if one told the truth only when convenient, then no one would be reliable and the social life would be severely disturbed.” Moral norms are kept because of their strong rationality.

-The traditional customs are always local and particular, being specific to a certain cultural environment and historical age. They support an extremely relativistic perspectives. Moral rules claim to be universal. valid for each and every human being, at all times and everywhere. Even though this claim does not stand most often, the moral norms are universalizable.