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Many business ethicists, activists, analysts, and corporate leaders claim that businesses are obligated to promote diversity for the sake of justice. Many also say—good news!—that diversity promotes the bottom line. We do need not choose between social justice and profits. This paper splashes some cold water on the attempt to mate these two claims. On the contrary, I argue, there is philosophical tension between arguments which say diversity is a matter of justice and (empirically sound) arguments which say diversity promotes performance. Further, the kinds of interventions these distinct arguments suggest are different. Things get worse when we examine the theory and empirical evidence about how diversity affects group performance. The kind of diversity which promotes justice and the kind which promotes the bottom line are distinct—and the two can be at odds. [ABSTRACT FROM AUTHOR]

In 1856, the State of Ohio began an enumeration of its population to count and identify people with disabilities. This paper examines the ethical role of the accounting profession in this project, which supported the transatlantic eugenics movement and its genocidal attempts to eliminate disabled persons from the population. We use a theoretical approach based on Levinas who argued that the self is generated through engagement with the Other, and that this engagement presupposes a responsibility to and for the Other. We show that successive waves of legislation relied on State and County auditors along with Township clerks and assessors to conduct the mechanics of the enumeration of the population, which focused on the identification, categorization, and counting of the disabled people of the State. We argue that the accounting-based technologies of enumeration and reporting objectify the enumerated persons and deny the auditor's pre-existing ethical obligation to this new Other. We show how the financial expertise and structures of the State were engaged in the execution of this mandate, which remained in place for over a century and supported a program of institutionalization. We consider the ramifications of this for our understanding of the ethical role of public sector accounting in the United States over this period, which has been under-explored. [ABSTRACT FROM AUTHOR]

The paper builds on the stakeholder salience framework and applies a social identity approach to explain family firm dynamics and how these could impact on family firm governance and ethics. In particular, we consider the family as the main stakeholder for family firms and we refer to the recent approaches to stakeholder theory based on 'names-and-faces' and on social identity to focus on family members at the individual and organizational level. Family businesses offer an opportunity to study stakeholder salience in settings with multiple logics. Our paper acknowledges how the attributes of legitimacy, power and status, for family business members, can derive from three different institutional settings (family, business and local community) and how these attributes are assigned and gained by family members on the basis of the stakes they put (or could put) on the business. From the analysis of these dynamics specific ethical considerations emerge. [ABSTRACT FROM AUTHOR]

The authors present this journal's Thematic Symposium section which features several papers on topics including voluntary reporting on greenhouse gas emissions by foreign institutional investors, the role of minority shareholders on a company's environmental performance, and the role of institutional development on climate change.

This study examines whether private information exchange between institutional investors and public companies in engagement dialogs on sustainability issues improves the publicly disclosed measurements of the target company's financial and non-financial performance and transparency. It uses a unique dataset containing 326 private reports related to environmental, social, and anti-corruption recommendations to address material incidents among publicly traded MSCI World Index portfolio companies of Nordic institutional investors. The results indicate that target companies appear to have similar values with matched companies on sustainability performance and transparency ratings in the 3 years following the initiation of private reporting. Unexpected sustainability incidents are subsequently reflected in the next year's fall in the market value of target companies relative to MSCI World Index. This paper provides empirical evidence for the legitimacy-based provision of private sustainability information used in a larger disclosure system of public companies. [ABSTRACT FROM AUTHOR]

Building on the emerging literature on the ethics of social enterprises (SEs), this paper advances the underexplored role of frontline workers (FLWs) as embedded agents at the interface between communities and SEs. Specifically, we uncover the subjectivity of FLWs as they navigate moral ambiguities while performing their professional roles, dealing with rules and regulations within the organizational hierarchy and living as members of local communities. Based on an inductive case study of a microfinance organization in Cameroon, we find that FLWs engage in three rationalization strategies: cautious disengaging, safeguarding self-interest, and justifying relevance. Our findings offer a better understanding of the ethics of SEs by unpacking the subjectivity of FLWs. We highlight a bottom-up account of caring SEs, identify a boundary condition to subjectivity, and present a nuanced view of FLWs in embedded organizations. We also discuss the practical implications for SEs to improve their compassion and cater for the mental wellbeing of FLWs. [ABSTRACT FROM AUTHOR]

Incivility in online commenting sections can create a hostile environment and result in the silencing of vulnerable voices. Accordingly, content websites and social media platforms have an ethical responsibility—one that aligns with their strategic interests—to minimize users' exposure to uncivil content. To this end, platforms invest great effort and budget in automatic and manual filtering mechanisms. Yet, these efforts create a competing ethical quandary, as they often come at the expense of free expression, particularly in cases where comments do not explicitly infringe on stated guidelines but might nevertheless be interpreted as offensive. In this paper, we examine an alternative moderation approach, based on comment reordering as opposed to deletion of uncivil comments. Specifically, we show that exposure to uncivil (vs. civil) comments located in the head or at the bottom of a list of comments increases subsequent commenters' likelihood of posting uncivil comments themselves. Exposure to uncivil comments in the middle of a list, however, does not significantly enhance commenters' likelihood of commenting uncivilly. These results offer new theoretical insight into how incivility is transferred between users in online environments. Our results also suggest a straightforward technological solution for mitigating online incivility, which is more ethical and practical than current industry standards. This involves placing civil comments at the beginning and end of the comment thread, with uncivil comments located in the middle. [ABSTRACT FROM AUTHOR]

The rising prominence of consumer sovereignty, wherein businesses prioritize customers as kings, presents complex ethical dilemmas. This paper delves into the ethical implications of consumer sovereignty by examining the lack of recognition to which service workers are subjected in their interactions with customers. Applying the sensitizing lens of recognition theory, we investigate how the relational domination inherent in the service industry ultimately results in four main recognition gaps: visibility, status recognition, affective recognition, and capacity recognition gaps. These gaps considerably hinder an employee's ability to experience workplace dignity. Our findings enrich the business ethics literature by providing a more holistic analysis of the ethical challenges raised by consumer sovereignty. We introduce recognition theory as a framework to address these concerns and offer recommendations for managers to better support their service employees in overcoming the absence of customer recognition. [ABSTRACT FROM AUTHOR]

This paper develops and tests a new conceptual model incorporating the indirect impact of two ethical ideologies (idealism and relativism) on Chinese consumers' ethical judgments under four ethically problematic consumption situations (active benefit, passive benefit, deceptive practice, and no/indirect harm) through two cultural values (integration and moral discipline). Data from a large-scale online consumer survey in five major Chinese cities (N = 1046) support most hypotheses. The findings are consistent with the postulated global impact of ethical ideology on forming an individual's beliefs and values and highlight the importance of a thorough understanding of the significant determinants of consumer ethics to promote ethically responsible consumption behaviors. This study also uses an emic approach to conceptualize and measure Chinese cultural values by using cultural constructs and measures that are designed explicitly in the Chinese context. [ABSTRACT FROM AUTHOR]

This paper examines the effect of the 2018 change to the International Ethics Standards Board for Accountants (IESBA) Code of Ethics, NOCLAR, which is currently being rolled out to its approximately 138-member countries' Code of Ethics. NOCLAR is an acronym for non-compliance with laws and regulations, and as enacted, NOCLAR adds language to the Code of Ethics that explicitly grants accountants the right to break confidentiality in the face of illegal acts (IESBA, http://www.ifac.org/publications-resources/responding-suspected-illegal-act, 2012). We use an experiment involving 113 Chartered/Certified Professional Accountants (CPA) from the US and Canada to examine how NOCLAR influences professional responsibility. We find that NOCLAR clarifies professional accountants' professional responsibility to report fraud and elevates their professional responsibility to report illegal acts to an external authority. Implications for the accounting profession, society, and the implementation of the Code of Ethics are discussed. [ABSTRACT FROM AUTHOR]

In this paper, we study the relationship between Economic Policy Uncertainty (EPU) and carbon dioxide (CO2) emissions. Using an extensive dataset from 23 countries consisting of 6800 firm-year observations, we provide strong evidence that EPU increases firms' CO2 emissions. Our main inference is robust when using alternative measures of CO2 emissions and EPU, alternative econometric specifications and samples, and several approaches to control for possible endogeneity. In a set of additional analyses, we first show that a board's characteristics (i.e., board gender diversity and board independence) significantly moderate the studied relationship. Second, cross-country characteristics (i.e., government effectiveness, control of corruption, and democracy) seem important in the relationship between EPU and CO2 emissions. Our findings significantly contribute to the debate on firms' ethical responsibility in managing climate change and CO2 emissions. [ABSTRACT FROM AUTHOR]

This paper draws on an institutional logics perspective to illuminate a hitherto underexplored context for CSR professional identity construction. It draws on an empirical study of 65 CSR professionals in South Korea and aims to deepen our understanding of CSR professional identity construction by investigating the contested nature of the CSR professional field between, on the one hand, societal-normative expectations of the profession, and, in the absence of stable professional logics, CSR professionals' desired professional identity, on the other. Our study reveals how CSR professionals engage with, and respond to, this complexity through constructing one of three distinctive professional identities based on different logic constellations. This process reveals a snapshot of professional logics 'in-the-making'. [ABSTRACT FROM AUTHOR]

For this issue of JBE, Zyphur and Pierides (J Bus Ethics 143(1):1–16, 2017) have written a paper on a concept that they have labeled relational validity. The purpose of the paper and of their advocacy for the concept of relational validity is to improve the way that quantitative research (QR) is done by expanding our understanding of its ethics-laden aspects. I agree entirely with the authors that every decision regarding QR is an ethics-laden one and that our research as a whole would be improved by recognition of this fact. I disagree with the authors regarding some of the ways that this improvement might be brought about. [ABSTRACT FROM AUTHOR]

This paper is the Introduction to the Special Issue comprising a selection of papers submitted to the 19th IESE International Symposium on Ethics, Business and Society. The main topic of the Symposium was “Ethical Challenges in Strategic Management.” The paper presents the rationale and context of the Symposium. We begin with a brief historical overview of the evolution of the relationship between ethics and strategy. We propose four pillars that are at the core of a definition of strategy and elaborate on how ethics can contribute to strategy. We present the six papers that make up this selection within the framework of the four aspects introduced in the previous section. We conclude with some proposals for further research that consider the content of the papers. [ABSTRACT FROM AUTHOR]

Some researchers interested in assessing moral reasoning among business practitioners or students have developed their own vignettes or scenarios set in business contexts, based on assumptions that the situations presented in the often-used Defining Issues Test (DIT) will somehow be inappropriate for these specific types of respondents. This paper is the first to examine in depth both the actual details contained in these business-oriented scenarios and empirical findings emerging from them. Among this paper's conclusions are: (1) assumptions underpinning the presumed superiority of business-oriented vignettes have yet to be tested; (2) the DIT possesses considerable advantages unavailable in alternative measures; (3) many business-oriented scenarios have underlying Dilemma themes that seem inherently ambiguous and thus of questionable relevance for assessing moral reasoning; (4) these scenarios have no obvious equivalent in the DIT and thus cannot definitively be placed under the umbrella of the latter's demonstrated construct validity; and (5) meaningful empirical findings have not clearly emerged from investigations using business-oriented vignettes. In light of these conclusions, we recommend that investigators interested in moral reasoning advance knowledge in a coherent and unified way by using the DIT that seems entirely appropriate for use among respondents with business experience or training. Although alternative measures may have value for assessing ethical judgments, evidence of their validity as a measure of moral reasoning is lacking. [ABSTRACT FROM AUTHOR]

The United Nations (UN) 2030 Agenda for Sustainable Development has considerable potential for achieving a more sustainable future. However, the concrete realisation of Sustainable Development Goals (SDGs) is impeded by how they are implemented by a diverse set of competent agents. This conceptual paper draws on social impact theory to investigate how businesses can utilise the SDG framework to achieve positive social outcomes. We identify two pathways that can guide businesses to improve their SDGs interventions, which entail considering the interconnections between the goals that are directly or indirectly affected by the initiative at stake and the inclusiveness of the actors affected by the SDGs. Building on the literature on hybrid organising (to frame interconnectedness) and the literature on multi-stakeholder partnerships and deliberative governance (to frame inclusiveness), we discuss a set of organisational mechanisms and transformations that can help businesses ensure that their SDGs interventions are more socially impactful. By doing so, this paper extends the literature on the role of companies for sustainable development and provides some practical implications. [ABSTRACT FROM AUTHOR]

Promoting ethical practice within an organization has been a continuous challenge in the business ethics community. To enrich organizational practices for promoting business ethics across an organization, this paper aims to introduce the voices of practitioners working in organizations that offer exemplary practices. Based on semi-structured interviews with 21 engineers working in the health products industry, we identified 12 pervasive ethical values that we grouped to four categories: fiduciary, economic, engineering, and process values. As ethics has been embraced as a core element of the ethical practice of our study participants regardless of their rankings and roles in their organizations, we investigated organizational strategies for promoting ethical practice. We identified four categories of organizational strategies: symbols, memberships, practices, and systems. Each strategy affected the 12 ethical values in different ways. Lastly, we identified three characteristics of the industry contexts that appeared to influence ethical values: customer impact, economic norms, and highly regulated industry. We discuss how the findings from this paper can potentially promote new discussions and practices in the business ethics community. [ABSTRACT FROM AUTHOR]

Furthering an integrative ethics-as-practice framework, this paper explores the professional practices, self-understanding and ethics of lawyers working in the Germanic legal context. Existing studies of the legal profession often argue that changing conditions in law have led to a 'constrained morality' and an 'erosion of ethos' among lawyers. While the current study acknowledges shifts in lawyers' ethos, it challenges the claim of an erosion or 'lack' of morality. The narratives of the interviewed practitioners rather suggest that socio-discursively constituted professional practices, identity and ethics are complex and contingent. Focusing on the 'moral rules in use' and how lawyers negotiate ethical matters 'from within' evokes ongoing ambiguities and struggles inscribed in ethical (self-)positions, pointing, as such, to the limits of assessing lawyers' conduct as 'ethical' or 'unethical'. The study thereby extends both normative and practice-based business and professional ethics studies. [ABSTRACT FROM AUTHOR]

Increasingly organizations have dedicated systems and personnel (recipients) to receive and handle internal whistleblower reports. Yet, the complexity of handling whistleblower reports is often underestimated, and there is a dearth of literature that attempts to describe or analyse the challenges internal recipients face. This paper uses an agency theory inspired lens to provide insight into the complexity of internal whistleblowing, with the aim to identify focal points for improving internal whistleblowing processes. We conceive of internal recipients as agents of two principals in the event of whistleblowing: owner/top management as well as whistleblowers. We identify sources of agency problems and agency costs within these double-agent relationships. We provide avenues for solving these problems and reducing the agency costs. We close by offering paths for future research. [ABSTRACT FROM AUTHOR]

In this introductory essay, we outline the relationship between political dissensus and radical democracy, focusing especially on how such a politics might inform the study of business ethics. This politics is located historically in the failure of liberal democracy to live up to its promise, as well as the deleterious response to that from reactionary populism, strong-man authoritarianism, and exploitative capitalism. In the context of these political vicissitudes, we turn to radical democracy as a form of contestation that offers hope in an affirmative, inclusive and sustainable alternative. On this basis we introduce the papers in the special issue as a collective exploration of the ethics and politics of radical democracy as manifesting in dissensus and the subversion of corporate and elite power by alternative democratic practices and realities. [ABSTRACT FROM AUTHOR]

This study focuses on examining the thematic landscape of the history of scholarly publication in business ethics. We analyze the titles, abstracts, full texts, and citation information of all research papers published in the field's leading journal, the Journal of Business Ethics, from its inaugural issue in February 1982 until December 2016—a dataset that comprises 6308 articles and 42 million words. Our key method is a computational algorithm known as probabilistic topic modeling, which we use to examine objectively the field's latent thematic landscape based on the vast volume of scholarly texts. This "big-data" approach allows us not only to provide time-specific snapshots of various research topics, but also to track the dynamic evolution of each topic over time. We further examine the pattern of individual papers' topic diversity and the influence of individual papers' topic diversity on their impact over time. We conclude this study with our recommendation for future studies in business ethics research. [ABSTRACT FROM AUTHOR]