1. Business & Society Business & Society Ethics, Sustainability, and Stakeholder Management Eighth Edition Archie B. Carroll Ann K. Buchholtz © 2012 South-Western, a part of Cengage Learning 1

2. Chapter 9 Business Ethics and Technology © 2012 South-Western, a part of Cengage Learning 2

3. Learning Outcomes © 2012 South-Western, a part of Cengage Learning 1.Identify the role that technology plays in our business lives. 2.Gain an understanding of the technological environment and the characteristics of technology that influence business ethics and stakeholders. 3.Identify the benefits and side effects of technology in business. 4.Gain an appreciation of society’s intoxication with technology and the consequences of this intoxication. 5.Learn to differentiate between information technology and biotechnology and their ethical implications for management. 6.Identify the ethical issues involved in biotechnology and present arguments on both sides of the issues. 3

4. Chapter Outline Technology and the Technological Environment Characteristics of Technology Technology and Ethics Information Technology Biotechnology Summary Key Terms Discussion Questions 4 © 2012 South-Western, a part of Cengage Learning

5. Technology and the Technological Environment Technology The totality of the means employed to provide objects necessary for human sustenance and comfort. A scientific method used to achieve a practical purpose. Technological environment The total set of technology-based advancements or progress taking place in society. 5 © 2012 South-Western, a part of Cengage Learning

6. Characteristics of Technology What are the characteristics of technology? What are the benefits of technology? What are the drawbacks and difficulties? 6 © 2012 South-Western, a part of Cengage Learning

7. Technology and Ethics Two Key Issues Technological determinism What can be developed will be developed. Ethical lag Occurs when the speed of technological change far exceeds that of ethical development. 7 © 2012 South-Western, a part of Cengage Learning

8. Symptoms of Society’s Technology Intoxication 1.We favor the quick fix. 2.We fear and worship technology. 3.We blur the distinction between what is real and fake. 4.We accept violence as normal. 5.We love technology as a toy. 6.We live our lives distanced and distracted. Find the right balance! 8 © 2012 South-Western, a part of Cengage Learning

9. Electronic Commerce Electronic commerce Also called e-commerce, e-business, or Web-based marketing. The Internet has reshaped the way business is conducted.  What are the key issues in e-commerce ethics? 9 © 2012 South-Western, a part of Cengage Learning

10. Invasion of Privacy via E-Commerce (continued) Cookies Identification tags that Web sites drop on our personal computer hard drives so they can recognize repeat visitors the next time we visit their Web sites. Spam Unsolicited commercial e-mail. It is sent through "open-relays" to millions of persons. Identity Theft Tampering with one’s financial accounts. 10 © 2012 South-Western, a part of Cengage Learning

11. Government’s Involvement The Financial Services Modernization Act of 1999 Made it possible for consumers to get all financial services from one company. Convenient, but empowered these companies to develop detailed portraits of their customers Other legislation FTC Act Gramm-Leach-Bliley Act Fair Credit Reporting Act Children’s Online Privacy Protection Act  The government has been criticized for not doing enough to protect consumers. 11 © 2012 South-Western, a part of Cengage Learning

12. Business Initiatives with Privacy Protection 12 © 2012 South-Western, a part of Cengage Learning

13. Technology and the Workplace What are the questionable business practices that have arisen with the popularity of the Internet? What are the advantages and disadvantages of using computer technology in the workplace? 13 © 2012 South-Western, a part of Cengage Learning

14. Surveillance  Surveillance raises questions about privacy violations. Computers Monitoring website connections Storing and reviewing employee computer files Blocking access to inappropriate websites Telephone Monitoring time spent, numbers called Taping phone conversations Video Video surveillance against theft Surveillance to monitor employee performance 14 © 2012 South-Western, a part of Cengage Learning

15. Biometrics The use of body measurements, such as eye scans, fingerprints, or palm prints for determining and confirming identity. An explosion of applications in the commercial use of biometrics.  Not much focus on the legal ethical risks yet. 15 © 2012 South-Western, a part of Cengage Learning

16. Biotechnology Involves using biology to discover, develop, manufacture, market, and sell products and services. Bioethics A field that deals with the ethical issues embedded in the commercial use of biotechnology. Proceduralism is a primary tool for bioethicists. It is using protocols to ensure that classical safeguards are not violated. 16 © 2012 South-Western, a part of Cengage Learning

17. Genetic Engineering 17 © 2012 South-Western, a part of Cengage Learning

18. Genetically Modified Foods Also referred to as genetically engineered foods (GEFs). Fear over health and environmental effects. Major U.S. crops that are genetically modified: Sugar beets (95%) Soybeans (91%) Cotton (88%) Corn (85%)  Most Americans consume genetically modified foods every day. 18 © 2012 South-Western, a part of Cengage Learning

19. Labeling of GMFs One of the most frequently discussed issues with GMFs is labeling. FDA does not mandate GMF labeling in the U.S. The Non-GMO Project believes that people have the right to make informed choices about whether they consume GMF products. 19 © 2012 South-Western, a part of Cengage Learning

20. Key Terms Bioethics Biometrics Biotechnology Chief Privacy Officer Cloning Cookies Electronic commerce Embryonic stems cells Ethical lag Genetic engineering Genetic profiling Genetic testing Genetically engineered foods (GEFs) Genetically modified foods (GMFs) Information technology Phishing Spam Surveillance Technological determinism Technological environment Technology Therapeutic cloning © 2012 South-Western, a part of Cengage Learning 20