Alexander Consulting Enterprise 5/7/2015 Ethics in Global Markets.

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Presentation transcript:

Alexander Consulting Enterprise 5/7/2015 Ethics in Global Markets

Alexander Consulting Enterprise 5/7/2015 Ethics in a Cross Cultural Environment 1. Why Bother?  “Good Ethics is Good Business”

Alexander Consulting Enterprise 5/7/2015  “The Business of Business is Business” Milton Friedman Governmental Control versus Market Control InefficientExternalities CostlyJustice of Distribution

Alexander Consulting Enterprise 5/7/2015 Legality versus Ethicality Ethics is Prerequisite for Legal System, Legal System is Prerequisite for Free Market Economy

Alexander Consulting Enterprise 5/7/ What Does it Mean to be Ethical? “Ethics is the enterprise that attempts to formulate the principles by which human life is to be lived” Douglas Rasmussen History Culture Ethics

Alexander Consulting Enterprise 5/7/ Ethics in a Cross Cultural Environment Major Problem Areas: -Environmental Issues -Safety Issues -Wage Issues -Gender Issues -Consumer Deception -Corruption -FCPA rview

Alexander Consulting Enterprise 5/7/ Cross Cultural Validity of Values - Ethnocentrism “When in Rome or anywhere else do as you would at home” - Relativism “When in Rome do as the Romans do” - Universalism “When in Rome do as you should do all over the world”

Alexander Consulting Enterprise 5/7/ Traditional Universal Ethical Rules - Deontological Theories Inherent Wrongness or Rightness of Intended Actions Examples:  Golden Rule  Categorical Imperative “Act according to that maxim only, which you can wish, at the same time to become a universal law” Immanuel Kant ( ) Elusive Impractical Might Lead to Irresponsible Consequences

Alexander Consulting Enterprise 5/7/ Teleological Theories Moral Consequences of Actions Example:  Utilitarianism “Greatest Happiness for the Greatest Number of People” John Stuart Mill ( ) Denies any Absolute, Categorical Values No Cross Cultural Understanding of Happiness Measurement Problems

Alexander Consulting Enterprise 5/7/ Dialogic Idealism Communicative Approach for Ethical Dilemmas “Act according to that maxim only, which you can expect to be acceptable to all stakeholders in a dialogue that is removed form all forms of force and coercion”

Alexander Consulting Enterprise 5/7/2015 Universality Principle: * Universal Rules of Ideal Dialogue 1. Everybody has the right to participate in dialogue 2. Everybody has same rights in dialogue 3. Everybody is willing to follow the better argument 4. A norm is only accepted if all participants can agree on it * Universal Objective Apply the rules of the ideal dialogue as much as possible in real dialogue Responsibility Principle: * Assessment of Consequences in Real Dialogue Two Principles of the Dialogic Idealism: