Chapter 10 Global Business Ethics and Social Responsibility

Brainstorm 1. List 1 positive and 1 negative media story you’ve heard recently about business ethics and issues? 2. To whom should multinational businesses show corporate responsibility? 3. What is the role of Canadian international businesses in developing nations?

Understanding Business Ethics Code of Ethics Values, written or not, that represent principles for actions of individuals and organizations E.g. home, schools, businesses, countries “The Tiger Way”

Understanding Business Ethics Rule of Law Written laws, refined in history, establish the rules that citizens are expected to follow E.g. Canadian Charter of Rights and Freedoms Ethical Dilemma 2+ courses of action conflict, choice between two fundamental rights

Cultural Relativism vs. Ethical Imperialism Ethical Imperialism - belief that certain forms of behaviour are categorically right or wrong Cultural Relativism - belief that behaviour should be governed by what will bring greatest good E.g. smoking, children working

Corporate Social Responsibility Broadly covers corporate standards and practices regarding human rights, the environment, human resources, and community relations Stakeholders - people affected by performance of company E.g. management, employees, shareholders, host community

Social Marketing Proactive initiatives that companies take to support a cause, e.g. literacy, environment, poverty Also known as Cause Marketing Successful recent examples: ???

Homework Read “Cause Related Consumerism”. Answer the questions at the end of the article. _id=337 Explain the term ‘business ethics’. Describe the difference between cultural relativism and ethical imperialism.

Traditional Route for CSR “Portion of proceeds go to…” Hide the fact that profit is a motivation for social responsibility Examples: ?? Find the CSR for Nike – Adidas Apple – Samsung Twitter - facebook