467 results
Search Results
202. Exploring Factors Affecting Digital Piracy Using the Norm Activation and UTAUT Models: The Role of National Culture.
- Author
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Udo, Godwin, Bagchi, Kallol, and Maity, Moutusy
- Subjects
INTERNET piracy ,SOCIAL norms ,CULTURE ,RESPONSIBILITY -- Social aspects ,MANNERS & customs - Abstract
We develop and use an integrated individual-level model to explain the driving forces behind digital piracy (DP) practice in two nations. The proposed model combines the Norm Activation model and Unified Theory of Acceptance and Use of Technology models. This study also explores the effect of culture on intention (INT) to practice DP in two nations: US (individualistic) and India (collectivistic). A survey instrument was used to collect data from 231 US and 331 Indian participants. Use of the integrated model proves to be a powerful and a viable approach to understanding DP across cultures. In each nation, all 10 path coefficients on the research model are statistically significant thereby establishing the fact that personal norm, together with other factors, influences INT to engage in DP, which in turn, may influence the actual practice. The results reveal a support for cross-cultural generalizability and applicability of the proposed model. Culture clearly plays a strong moderating role in two out of the three paths tested. The implications of the findings are discussed. [ABSTRACT FROM AUTHOR]
- Published
- 2016
- Full Text
- View/download PDF
203. Cultural Values, Utilitarian Orientation, and Ethical Decision Making: A Comparison of U.S. and Puerto Rican Professionals.
- Author
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Fok, Lillian, Payne, Dinah, and Corey, Christy
- Subjects
PUERTO Ricans ,AMERICAN attitudes ,CULTURAL values ,ETHICAL decision making ,CROSS-cultural differences ,BUSINESSPEOPLE ,UTILITARIANISM ,SPATIAL orientation ,ATTITUDE (Psychology) ,ETHICS ,INTERNATIONAL cooperation - Abstract
Using samples from the U.S. and Puerto Rico, we examine cross-cultural differences in cultural value dimensions, and relate these to act and rule utilitarian orientations, and ethical decision making of business professionals. Although these places share the same legal environment, culturally they are distinct. In addition to tests of between-group differences, a model in which utilitarian orientation mediates the influence of cultural values on ethical decisions was evaluated at the individual level of analysis. Results indicated national culture differences on three cultural values, but no between-group differences on utilitarian orientations and ethical decisions. Significant indirect effects were found; act utilitarian orientation mediated the effects of two values activity orientation and universalism on ethical decision making. Implications for international management practices and business ethics are discussed. [ABSTRACT FROM AUTHOR]
- Published
- 2016
- Full Text
- View/download PDF
204. An Examination of Financial Sub-certification and Timing of Fraud Discovery on Employee Whistleblowing Reporting Intentions.
- Author
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Lowe, D., Pope, Kelly, and Samuels, Janet
- Subjects
FRAUD ,CERTIFICATION laws ,FINANCIAL statement laws ,WHISTLEBLOWING ,EMPLOYEE psychology ,INTENTION ,DISCLOSURE ,UNITED States. Sarbanes-Oxley Act of 2002 - Abstract
The Sarbanes-Oxley Act of 2002 (SOX) requires company executives to certify financial statements and internal controls as a means of reducing fraud. Many companies have operationalized this by instituting a sub-certification process and requiring lower-level managers to sign certification statements. These lower-level organizational members are often the individuals who are aware of fraud and are in the best position to provide information on the fraudulent act. However, the sub-certification process may have the effect of reducing employees' intentions to report wrongdoing. We suggest that subordinates with knowledge of a superior who committed a fraudulent act and certified that there is no fraud will feel less personal responsibility to report the act, thus, decreasing reporting intentions. Additionally, we suggest that if the fraud is discovered subsequent to the reports being filed with the Securities and Exchange Commission (SEC), employees will perceive lower management responsiveness to investigate the fraud, which will reduce intentions to report. Using an experimental approach, we manipulate two between-participant variables: (1) the presence or absence of sub-certification by the transgressor and (2) the timing of fraud discovery, either before or after the reports have been filed with the SEC. We find that when sub-certification is present, perceived personal responsibility and intentions to report were diminished compared to when sub-certification is absent. Timing of the discovery of the fraudulent act did not influence perceived management responsiveness or reporting intentions. Supplemental analysis shows that personal responsibility partially mediates the relationship between sub-certification and reporting intentions. Our findings suggest that audit committees and senior executives may want to carefully consider the costs and benefits of the sub-certification process. [ABSTRACT FROM AUTHOR]
- Published
- 2015
- Full Text
- View/download PDF
205. Corporate Social Responsibility and Insider Trading.
- Author
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Cui, Jinhua, Jo, Hoje, and Li, Yan
- Subjects
SOCIAL responsibility of business ,INSIDER trading in securities ,PRICES of securities ,ECONOMIC efficiency ,FAIRNESS ,STOCK prices ,AMERICAN business enterprises ,PROXY ,SECURITIES industry ,ENVIRONMENTAL responsibility ,FINANCE ,ETHICS ,LAW - Abstract
This study examines the impact of corporate social responsibility (CSR) activities on insider trading. While opponents of insider trading claim that the buying or selling of a security by insiders who have access to non-public information is illegal, proponents argue that insider trading improves economic efficiency and fairness when corporate insiders buy and sell stock in their own companies. Based on extensive U.S. data of insider trading and CSR engagement, we find that both the number of insider transactions and the volume of insider trading are positively associated with CSR activities.We also find that legal insider transactions are positively related to CSR engagement even after controlling for potential endogeneitybias and various firm characteristics. Furthermore, our evidence suggests that firms perceive adjustment to CSR dimension of product as being efficient, while adjustment to diversity and environmental CSR as being inefficient. Our results of bad and illegal insider trading proxies are consistent with the interpretation that firms with high CSR ratings do not attempt to engage in unethical or bad insider trading in a significant fashion. Combined together, we consider our empirical evidence supportive of the fairness and efficiency explanation, but not the unfairness and inefficiency hypothesis. [ABSTRACT FROM AUTHOR]
- Published
- 2015
- Full Text
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206. When Empathic Concern and Perspective Taking Matter for Ethical Judgment: The Role of Time Hurriedness.
- Author
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Cojuharenco, Irina and Sguera, Francesco
- Subjects
PERSPECTIVE taking ,MORAL judgment ,EMPATHY ,EMPLOYEE loyalty ,ORGANIZATIONAL behavior ,TRUTHFULNESS & falsehood ,EMPLOYEES - Abstract
Based on a dual process view of ethical judgment, we examine the role of empathic concern and perspective taking on the acceptability of lying to protect the company. We hypothesize that these traits will matter to a different extent under conditions of high and low perceived time hurriedness. Our research hypotheses are tested in a survey of 134 US workers. Results show that empathic concern reduces the acceptability of lying to protect the company for individuals who tend to do things quickly and feel in a hurry at work. On the other hand, perspective taking reduces the acceptability of lying for individuals who experience low levels of time hurriedness. Theoretical and practical implications of the findings are discussed. [ABSTRACT FROM AUTHOR]
- Published
- 2015
- Full Text
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207. Moral Judgment and Values in a Developed and a Developing Nation: A Comparative Analysis.
- Author
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Priem, Richard, Worrell, Dan, Walters, Bruce, and Coalter, Terry
- Subjects
STUDENT ethics ,BUSINESS ethics ,PROBLEM solving ,MORAL judgment ,BUSINESS education ,CODES of ethics ,SOCIAL policy ,DEVELOPING countries ,DEVELOPED countries - Abstract
This comparative field study evaluated the moral reasoning used by U.S. and Belizean business students in resolving business-related moral dilemmas. The Belizeans, citizens of a less-developed country with Western heritage and a values-based education system, revolved the dilemmas using higher stages of moral judgment than did the U.S. business students. [ABSTRACT FROM AUTHOR]
- Published
- 1998
208. Business Ethics: A Classroom Priority?
- Author
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Pizzolatto, Allayne B. and Bevill, Sandra
- Subjects
BUSINESS ethics ,BUSINESS education ,BUSINESSPEOPLE ,CURRICULUM ,BUSINESS schools ,HIGHER education ,ETHICS education ,AMERICAN business enterprises ,EDUCATION - Abstract
"Schools of business are being blamed for much of the unethical behavior in business today" (Harcourt, 1990: p. 17); "Ethics can and should be integrated into coursework throughout students' college careers" (Spencer and Lehman, 1990: p. 7); ". . . business schools have been charged with inadequate attention to ethics" (Bishop, 1992: p. 291); "The American Assembly of Collegiate Schools of Business (AACSB) encourages schools of business to incorporate business ethics throughout the curricula" (David et al., 1990: p. 26). These quotations indicate the concern for providing ethics education in today's business curriculums. In 1976, the AACSB urged business educators to include ethics in their course curricula, however, over 15 years later there is still concern as to whether the coverage of this topic in the business curriculum is adequate. A review of the literature indicates that professors are beginning to integrate this topic into its curriculum. But what are the techniques that work? And is the topic of ethics truly being integrated into the entire business curricula? This research assesses the integration of ethics into the business curricula today. Graduating seniors in the college of business of several universities were questioned to determine: (1) the courses in which the issue of ethics was addressed; (2) how much time was devoted to the issue by the professors; and (3) the methods employed to address the issue, and students' perceptions of their effectiveness. [ABSTRACT FROM AUTHOR]
- Published
- 1996
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209. Ethical Implications of the Relationship of Purpose to Role and Function on Public Relations.
- Author
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Bivins, Thomas H.
- Subjects
PUBLIC relations ,CORPORATE public relations ,PROFESSIONALISM ,PROFESSIONAL ethics ,PRESS releases ,BUSINESS communication ,PERSUASION (Psychology) ,COMMUNICATION ,MASS media industry ,MASS media influence - Abstract
The article discusses public relations and whether and how the field should be professionally regulated. Professionalism in public relations has arisen out of a renewed concern over ethical principles. The Public Relations Society of America has made a Code of Professional Standards. The author suggests that public relations specialists need a clearer definition of the roles, functions and purposes of public relations followed by a definitive code of conduct addressing those concepts specifically.
- Published
- 1989
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210. Accountability and the Restraint of Freedom: A Deontological Case for the Stricter Standard of Corporate Disclosure.
- Author
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Brummer, James J.
- Subjects
DISCLOSURE in accounting ,FINANCIAL statements ,EXECUTIVES' attitudes ,JUSTIFICATION (Christian theology) ,MATERIALITY (Accounting) ,INTEGRITY ,WATERGATE Affair, 1972-1974 ,NO contest pleas ,PROXY statements ,INTERNAL auditing - Abstract
The purpose of the article is to give a deontological defense of the reasonableness standard of corporate disclosure presently mandated by the Securities and Exchange Commission of the U.S. government. The first, part of the article distinguishes the reasonableness standard from the older standard of materiality. The second part presents three deontological arguments, inspired by the work of Ross and Kant, for the prima facie compellingness of the new standard. [ABSTRACT FROM AUTHOR]
- Published
- 1986
- Full Text
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211. The Informative and Persuasive Functions of Advertising: A Moral Appraisal--A Comment.
- Author
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Emamalizadeh, Hossein
- Subjects
ADVERTISING ethics ,PERSUASION (Psychology) ,BUSINESS ethics ,COMMUNICATION in marketing ,INDUSTRIAL publicity ,CONSUMERS ,PROFESSIONAL ethics ,ADVERTISERS ,PERSUASION (Rhetoric) ,BRAND name products ,SOCIAL ethics - Abstract
This paper argues that the informative and persuasive dichotomy of advertising is an empty concept. All advertising messages perform only one function and that function is to persuade. It is pointed out that in a moral appraisal of an advertising message, a distinction between rational and irrational persuasion can be made. Rational persuasion is consistent with the autonomy of the consumer and hence moral. Some forms of irrational persuasion may have an adverse effect on consumer autonomy and, therefore, should be viewed as immoral. [ABSTRACT FROM AUTHOR]
- Published
- 1985
- Full Text
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212. CSR and Related Terms in SME Owner-Managers' Mental Models in Six European Countries: National Context Matters.
- Author
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Fassin, Yves, Werner, Andrea, Rossem, Annick, Signori, Silvana, Garriga, Elisabet, Weltzien Hoivik, Heidi, and Schlierer, Hans-Jörg
- Subjects
SOCIAL responsibility of business ,SMALL business ,MENTAL models theory (Communication) ,BUSINESS ethics ,CAPITALISM ,MANAGEMENT ,COGNITION ,REPERTORY grid technique - Abstract
As a contribution to the emerging field of corporate social responsibility (CSR) cognition, this article reports on the findings of an exploratory study that compares SME owner-managers' mental models with regard to CSR and related concepts across six European countries (Belgium, Italy, Norway, France, UK, Spain). Utilising Repertory Grid Technique, we found that the SME owner-managers' mental models show a few commonalities as well as a number of differences across the different country samples. We interpret those differences by linking individual cognition to macro-environmental variables, such as language, national traditions and dissemination mechanisms. The results of our exploratory study show that nationality matters but that classifications of countries as found in the comparative capitalism literature do not exactly mirror national differences in CSR cognition and that these classifications need further differentiation. The findings from our study raise questions on the universality of cognition of academic management concepts and warn that promotion of responsible business practice should not rely on the use of unmediated US American management terminology. [ABSTRACT FROM AUTHOR]
- Published
- 2015
- Full Text
- View/download PDF
213. Are You Satisfied With Your Pay When You Compare? It Depends on Your Love of Money, Pay Comparison Standards, and Culture.
- Author
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Luna-Arocas, Roberto and Tang, Thomas
- Subjects
JOB satisfaction ,COLLEGE teachers' salaries ,COLLEGE teacher attitudes ,PAY equity ,COLLEGE teachers ,SELF-evaluation ,CROSS-cultural differences ,COMPARISON (Psychology) - Abstract
We develop a theoretical model of income and pay comparison satisfaction with two mediators (love of money and pay comparison standards), examine the direct and the indirect paths of our model, and treat culture (the US vs. Spain) as a moderator. Based on 311 professors in the US and Spain, we demonstrate a positive direct path and a negative indirect path. Our subsequent multi-group analysis illustrates: For American professors, their direct path shows that income is directly related to high pay comparison satisfaction. Their indirect path reveals the following new insights: Professors with high income have a strong love of money orientation, set their pay equity comparison standards (deserved pay and other's salary) significantly higher than their own salary, and as a consequence, have low pay comparison satisfaction. For Spanish professors, love of money is not related to their pay comparison standards which are slightly (non-significantly) higher than their own self-reported income. Neither the direct nor the indirect path is significant. The standardized total effect of income to pay satisfaction is positive for American professors, but negligible for Spanish professors. Are you satisfied with your pay when you compare? Our results demonstrate that pay comparison satisfaction depends on not only one's income but also one's love of money and pay equity comparison standards which may vary across cultures. [ABSTRACT FROM AUTHOR]
- Published
- 2015
- Full Text
- View/download PDF
214. Social and Environmental Performance at SMEs: Considering Motivations, Capabilities, and Instrumentalism.
- Author
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Arend, Richard
- Subjects
SMALL business research ,SOCIAL responsibility of business ,NATURE ,COMPETITIVE advantage in business ,ENVIRONMENTAL policy ,SURVEYS - Abstract
Our analysis of recent survey data of US small- and medium-sized enterprises explores the question of how these entrepreneurial ventures can do well by doing good-i.e., how they can build a competitive advantage with their social and environmental practices. We focus on several firm characteristics and choices involving motivations and capabilities. We use hierarchical OLS to analyze the survey data to find that an orientation to, commitments to, and dynamic flexibility in, the firm's CSR and green policies are significant factors in a firm's CSR- and green-based competitive advantages. So, while some tradeoffs are likely between activities aimed at financial performance and those also aimed at improving social/environmental performance, opportunities do exist for small- and medium-sized enterprises to do both well and good. We consider several implications for theory and practice that continue in this instrumentalist perspective. [ABSTRACT FROM AUTHOR]
- Published
- 2014
- Full Text
- View/download PDF
215. Environmental Mutual Funds: Financial Performance and Managerial Abilities.
- Author
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Muñoz, Fernando, Vargas, Maria, and Marco, Isabel
- Subjects
MUTUAL fund management ,SOCIAL responsibility of business ,MUTUAL fund managers ,MUTUAL funds - Abstract
This article analyzes the financial performance and managerial abilities of a sample of US and European socially responsible (SR) mutual funds. The period analyzed commences from January 1994 and concludes in January 2013 and yields 18 US and 89 European green funds. The results obtained for green fund managers are compared with those achieved for conventional and other forms of SR mutual fund managers. We control for the mutual fund investment objective (distinguishing between domestic and global portfolios) and for the effect of crisis market periods. For US SR funds, partitioning the data into crisis and normal periods reveals that SR funds obtain statistically insignificant performance in crisis periods but underperform relative to the market in normal periods. Furthermore, the findings indicate that green funds do not perform worse than other forms of SR mutual funds. For European SR funds partitioning the data into crisis and normal periods reveals that SR funds obtain statistically insignificant performance irrespective of market conditions. Similar to the US findings, green Europe SR funds do not perform worse than other forms of SR mutual funds. Managerial abilities are not evident in the findings though unsuccessful timing of the market is revealed for both Europe and US global green funds. When analyzing managerial abilities in crisis and non-crisis market periods, US green fund managers achieve better results in crisis market periods and the opposite occurs for green fund managers in European market. [ABSTRACT FROM AUTHOR]
- Published
- 2014
- Full Text
- View/download PDF
216. Temptation, Monetary Intelligence (Love of Money), and Environmental Context on Unethical Intentions and Cheating.
- Author
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Chen, Jingqiu, Tang, Thomas, and Tang, Ningyu
- Subjects
TEMPTATION ,STUDENT cheating ,CROSS-cultural differences ,SELF-control ,MILD cognitive impairment ,OPEN plan schools ,PANEL analysis ,CHINESE students ,STUDENTS ,STRUCTURAL equation modeling - Abstract
In Study 1, we test a theoretical model involving temptation, monetary intelligence (MI), a mediator, and unethical intentions and investigate the direct and indirect paths simultaneously based on multiple-wave panel data collected in open classrooms from 492 American and 256 Chinese students. For the whole sample, temptation is related to low unethical intentions indirectly. Multi-group analyses reveal that temptation predicts unethical intentions both indirectly and directly for male American students only; but not for female American students. For Chinese students, both paths are non-significant. Love of money contributes significantly to MI for all students. In Study 2, using money as a temptation and giving them opportunities to cheat on a matrix task, most Chinese students (78.4 %) do not cheat in open classrooms; supporting survey and structural equation modeling (SEM) results in Study 1. However, students in private cubicles cheat significantly more (53.4 %) than those in open classrooms (21.6 %). Finally, students' love of money attitude predicts cheating. Factor rich predicts the cheating amount, whereas factor motivator predicts the cheating percentage. Our results shed new light on the impact of temptation and love of money as dispositional traits, money as a temptation, and environmental context (public vs. private) on unethical intentions and cheating behaviors. [ABSTRACT FROM AUTHOR]
- Published
- 2014
- Full Text
- View/download PDF
217. Do Variations in the Strength of Corporate Governance Still Matter? A Comparison of the Pre- and Post-Regulation Environment.
- Author
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Harp, Nancy, Myring, Mark, and Shortridge, Rebecca
- Subjects
CORPORATE governance ,FINANCIAL disclosure ,UNITED States. Sarbanes-Oxley Act of 2002 ,FINANCIAL analysts ,STOCK exchanges ,DELEGATED legislation - Abstract
Corporate scandals brought the issue of corporate governance to the forefront of the agendas of lawmakers and regulators in the early 2000s. As a result, Congress, the New York Stock Exchange, and the NASDAQ enacted standards to improve the quality of corporate governance, thereby enhancing the quantity and quality of disclosures by listed companies. We investigate the relationship between corporate governance strength and the quality of disclosures in pre- and post-regulation time periods. If cross-sectional differences in corporate governance policies affect the quality of financial disclosures, the quality of information available to analysts varies with such policies. Specifically, higher quality disclosures, produced as a result of strong corporate governance, should lead to more accurate and less dispersed analysts' forecasts. Our analysis suggests that voluntary implementation of stronger corporate governance enhanced the quality of disclosures in the pre-regulation period; however, exceeding current corporate governance standards does not appear to result in higher quality disclosures post-regulation. These results suggest that SOX and the stronger regulations enacted by U.S. exchanges were effective in reducing variation in the quality of financial information available to investors. [ABSTRACT FROM AUTHOR]
- Published
- 2014
- Full Text
- View/download PDF
218. The Crucial Role of Turnover Intentions in Transforming Moral Disengagement Into Deviant Behavior at Work.
- Author
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Christian, Jessica and Ellis, Aleksander
- Subjects
LABOR turnover ,PSYCHOLOGICAL disengagement ,EMPLOYEE attitudes ,WORK ethic ,DEVIANT behavior ,PSYCHOLOGICAL contracts (Employment) ,SOCIAL cognitive theory ,ORGANIZATIONAL behavior ,NURSES ,INTERNET surveys ,JOB absenteeism - Abstract
Organizational deviance represents a costly behavior to many organizations. While some precursors to deviance have been identified, we hope to add to our predictive capabilities. Utilizing social cognitive theory and psychological contract theory as explanatory concepts, we explore the role of moral disengagement and turnover intentions, testing our hypotheses using two samples: a sample of 44 nurses from a hospital system in the Southwestern United States (Study 1), and a sample of 52 working adults collected from an online survey system (Study 2). Results strongly supported our hypotheses in both samples, indicating that the self-regulatory deactivation inherent in moral disengagement led to increased organizational deviance; effects that were much more pronounced when turnover intentions were high. Our findings support the increased role of cognition in determining behavior when environmental pressures stemming from the psychological contract have been altered, leading to a number of theoretical and practical implications, particularly in industries with high turnover rates. [ABSTRACT FROM AUTHOR]
- Published
- 2014
- Full Text
- View/download PDF
219. Benchmarking Tendencies in Managerial Mindsets: Prioritizing Stockholders and Stakeholders in Peru, South Africa, and the United States.
- Author
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Parnell, John A., Scott, Gregory J., and Angelopoulos, Georgios
- Subjects
BENCHMARKING (Management) ,STOCKHOLDERS ,STAKEHOLDERS ,EMERGING markets ,SOCIAL responsibility of business ,EXECUTIVES ,PROFITABILITY ,ORGANIZATIONAL performance ,FACTOR analysis - Abstract
Managers in Peru, South Africa, and the United States were classified into four groups along Singhapakdi et al. (J Bus Ethics 15:1131–1140, 1996 ) Perceived Role of Ethics and Social Responsibility (PRESOR) scale. In Peru and the United States, individuals in the ethics andsocial responsibility first category reported greater satisfaction with organizational performance than did those in the profits first category. Moral capitalists—individuals who report high emphases on both social responsibility and profits—reported the highest satisfaction with performance in the United States. Managers in the United States are more likely than their counterparts in Peru and South Africa to reject the mutual exclusivity of prioritizing social responsibility and profits simultaneously. Directions for future research are outlined. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
220. Corporate Social Responsibility and Firm Productivity: Evidence from the Chemical Industry in the United States.
- Author
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Sun, Li and Stuebs, Marty
- Subjects
SOCIAL responsibility of business ,INDUSTRIAL productivity ,CHEMICAL industry ,BUSINESS ethics ,DATA envelopment analysis ,REGRESSION analysis - Abstract
Prior research suggests that participating in corporate social responsibility (CSR) activities can lead to higher future productivity. However, the empirical evidence is still scarce. The purpose of this study is to examine the relationship between CSR and future firm productivity in the U.S. chemical industry. Specifically, this study examines the relationship between CSR in year t and firm productivity in year ( t + 1), ( t + 2), and ( t + 3). We use Data Envelopment Analysis, a non-parametric method, to measure firm productivity. Results from the regression analysis support a significantly positive relationship between CSR and future firm productivity, suggesting that CSR can lead to higher productivity in the chemical industry. The findings add to the validity of the proposition in prior research. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
221. The Benefit Corporation and Corporate Social Responsibility.
- Author
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Hiller, Janine S.
- Subjects
BENEFIT corporations (Business structure) ,SOCIAL responsibility of business ,BUSINESS ethics ,CORPORATE purposes ,COMMERCIAL law ,SOCIAL responsibility - Abstract
In the wake of the most recent financial crisis, corporations have been criticized as being self-interested and unmindful of their relationship to society. Indeed, the blame is sometimes placed on the corporate legal form, which can exacerbate the tension between duties to shareholders and interests of stakeholders. In comparison, the Benefit Corporation (BC) is a new legal business entity that is obligated to pursue public benefit in addition to the responsibility to return profits to shareholders. It is legally a for-profit, socially obligated, corporate form of business, with all the traditional corporate characteristics combined with societal responsibilities. Considering the history and perception of shareholder primacy in United States law, it is argued that this new business structure is an ethical step toward empowering socially committed commercial entities. The contribution of this research is to provide a fundamental base of knowledge about the new legal form of business, the BC, upon which further study may rely. First, the legal history of the corporation is briefly reviewed in order to provide context to the relationship of the corporate form to society, including exploration of the premise that shareholder wealth maximization is its best and only purpose. Second, the BC is described in detail, and state statutes are compared. Third, the BC is placed within the context of corporate social responsibility. Finally, opportunities for future research are discussed. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
222. Driven to Be Good: A Stakeholder Theory Perspective on the Drivers of Corporate Social Performance.
- Author
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Brower, Jacob and Mahajan, Vijay
- Subjects
STAKEHOLDER theory ,SOCIAL responsibility of business ,SOCIAL responsibility ,BUSINESS ethics ,CORPORATE culture ,AMERICAN business enterprises - Abstract
Despite growing evidence of the benefits to a firm of improving corporate social performance (CSP), many firms vary significantly in terms of their CSP activities. This research investigates how the characteristics of the stakeholder landscape influence a firm's CSP breadth. Using stakeholder theory, we specifically propose that several factors increase the salience and impact of stakeholders' demands on the firm and that, in response to these factors, a firm's CSP will have greater breadth. A firm's CSP breadth is operationalized as the number of different sub-domains of CSR for which a firm has taken positive actions and is captured using a unique dataset from Kinder, Lydenburg, and Domini (KLD). This data set includes positive and negative firm actions across more than 35 different dimensions of socially responsible behavior. Findings based on a longitudinal, multi-industry sample of 447 US firms during the period from 2000 to 2007 demonstrate that firms which: (1) have greater sensitivity to stakeholder needs as a result of the firm's strategic emphasis on marketing and/or value creation, (2) face greater diversity of stakeholder demands, and (3) encounter a greater degree of scrutiny or risk from stakeholder action have a greater breadth of CSP in response to the stakeholder landscape that they face. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
223. How Ethical are U.S. Business Executives? A Study of Perceptions.
- Author
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Stevens, Betsy
- Subjects
BUSINESS ethics ,EXECUTIVES ,PUBLIC opinion ,CORRUPT practices of executives ,RELIABILITY (Personality trait) ,PUBLIC opinion polls - Abstract
Not much has been written about how the ethics of U.S. business executives are perceived by the American public, yet the perception of integrity is important to both businesses and their investors. This study examines the U.S. public's perceptions of the ethics of American business executives using Gallup Poll data for the past thirty years. Organizations with unethical executives have trouble attracting investors, customers, and new managerial talent. They suffer lawsuits, market share deterioration, and often prison time for the once-revered leaders. This study also looked at the U.S.'s relative standing on the Corruption Perceptions Index and the Edelman Trust Barometer. Confidence in the ethics of the U.S. business executive remains fairly low on the Gallup Poll surveys and the U.S. has declined on the CPI and Edelman Trust Barometer. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
224. Compound Conflicts of Interest in the US Proxy System.
- Author
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Clark, Cynthia and Van Buren, Harry
- Subjects
PROXY ,INSTITUTIONAL investors ,CONFLICT of interests ,ORGANIZATIONAL transparency ,FIDUCIARY responsibility ,INVESTMENT advisors ,STOCKHOLDERS' voting ,UNITED States. Sarbanes-Oxley Act of 2002 ,GOVERNMENT policy - Abstract
The current proxy voting system in the United States has become the subject of considerable controversy. Because institutional investment managers have the authority to vote their clients' proxies, they have a fiduciary obligation to those clients. Frequently, in an attempt to fulfill that obligation, these institutional investors employ proxy advisory services to manage the thousands of votes they must cast. However, many proxy advisory services have conflicts of interest that inhibit their utility to those seeking to discharge their fiduciary duties. In this article, we describe the current proxy advisory network as an example of how current notions of conflicts of interest fall short when explaining the behavior of an interconnected set of market players whose remit is to act in the best interests of their investors. We discuss what participants in this system should do to bring transparency and accuracy to the proxy advice industry. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
225. Morally Contentious Technology-Field Intersections: The Case of Biotechnology in the United States.
- Author
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Cole, Benjamin and Banerjee, Preeta
- Subjects
BIOTECHNOLOGY ,STEM education ,MAMMAL cloning ,DOLLY (Sheep) ,PROTESTANT fundamentalism ,SOCIAL norms ,RELIGIOUSNESS - Abstract
Technologies can be not only contentious-overthrowing existing ways of doing things-but also morally contentious-forcing deep reflection on personal values and societal norms. This article investigates that what may impede the acceptance of a technology and/or the development of the field that supports or exploits it, the lines between which often become blurred in the face of morally contentious content. Using a unique dataset with historically important timing-the United States Biotechnology Study fielded just 9 months after the public announcement of the successful cloning of the first mammal (i.e., Dolly the sheep)-we find that microlevel factors (i.e., conservative Christianity) predict unfavorable judgments of the technology-field intersection while macrolevel representations [i.e., exposure to Science, Technology, Engineering, and Mathematics disciplines and media coverage] predict more favorable judgments. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
226. Is it Spillover or Compensation? Effects of Community and Organizational Diversity Climates on Race Differentiated Employee Intent to Stay.
- Author
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Singh, Barjinder and Selvarajan, T.
- Subjects
DIVERSITY in the workplace ,EMPLOYEE retention ,WORK environment ,SOCIOLOGY of work ,EMPLOYEE attitudes ,EMPLOYMENT of minorities ,COMMUNITY life - Abstract
Business ethics scholars have long viewed organizational diversity climate as a reflection of organizational ethics. Previous research on organizational diversity climate, for the most part, has neglected to consider the influence of community diversity climate on employment relations. In order to address this gap in the literature, we examined the relationship between organizational and community diversity climates in impacting employees' intent to stay with their organization. In doing so, we tested two competing hypotheses. First, we tested for the positive spillover of community diversity climate on employees' intent to stay in their organization. Second, we tested for the compensation hypothesis, whereby community diversity climate moderated the organizational diversity climate-employee intent to stay relationship, with the above relationship being stronger for individuals hailing from communities with poor diversity climates. In addition, we also posited a three-way interaction model of community diversity climate, organizational diversity climate, and employee racial affiliations with the interaction between organizational and community diversity climates on intent to stay being stronger for the minority employees. The results of the study, which are based on a survey of 165 employees working in a Midwestern US organization, supported the compensation hypothesis with the interactive influence of organizational and community diversity climates on employee intent to stay being stronger for minorities, as opposed to White employees. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
227. Ethical Standards for Stockbrokers: Fiduciary or Suitability?
- Author
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Angel, James and McCabe, Douglas
- Subjects
CODES of ethics ,STOCKBROKERS ,CONFLICT of interests ,SALES commissions ,FINANCIAL markets ,FIDUCIARY responsibility ,ETHICS - Abstract
What are the ethical obligations of the sellers of financial products to their customers? Stockbrokers in the U.S. have a legal and ethical requirement to recommend only 'suitable' investments to their customers. This is a fairly weak standard. Currently, there are proposals to raise the standard to a fiduciary one in which the recommendations would have to be in the best interests of the clients. Brokers sell solutions to financial problems. Similar to an auto mechanic or a doctor, the product often consists of both the professional advice and its implementation. There are numerous conflicts of interest between brokerage firms and their customers in that the products that pay the highest commissions may not be the best ones for the customers. The societal perspective adds complications, however. Society depends on modern financial markets to raise capital for productive enterprises and to spread risk. Issuers of financial products need distribution channels for their products just like the producers of any other products. Commissions create powerful incentives for the distribution channels, but at the same time produce conflicts of interest-a type of ethical pollution. Just as our society tolerates some pollution as a byproduct of other useful activities, it may be useful to tolerate some of these financial conflicts of interest. The nature of the relationship should govern the ethical standard. Those selling advice, regardless of how they label themselves, should adhere to a best-interest fiduciary standard. More limited relationships should be limited to the mandate involved in the relationship. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
228. Discourses of Charisma: Barack Obama's First 6 Months as the President of the USA.
- Author
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Takala, Tuomo, Tanttu, Sanja, Lämsä, Anna-Maija, and Virtanen, Aila
- Subjects
CHARISMA ,PRESIDENTS of the United States ,NEWSPAPERS ,DISCOURSE analysis ,SOCIAL constructionism ,LEADERSHIP ethics - Abstract
This study aims to investigate discourses of the charisma of Barack Obama in articles in a leading Finnish newspaper during the first 6 months of his presidency. The results show that the media created a very enthusiastic atmosphere around Obama. His charisma was built up mostly around his person, with the emphasis on an exceptional personality, life story and behaviour. In addition, the various crises that arose were used to reinforce the picture of Obama as charismatic. The findings undermine the idea of a single form of charismatic leadership and provide empirical support for the framework put forward by Steyrer (Organizational Studies 19(5), 807-828, 1998), that various types of charismatic leadership exist: In this study paternalistic, heroic, missionary and majestic are identified. The study contributes to Steyrer's framework by showing that certain types of charisma occur in different social contexts. The results also suggest that ethics is constructed as a crucial part of charismatic leadership, but the construction of Obama's charisma in contrast to others raises ethical concerns. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
229. Cross-Cultural Perceptions of Business Ethics: Evidence from the United States and China.
- Author
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Gift, Michael, Gift, Paul, and Zheng, QinQin
- Subjects
CROSS-cultural studies ,BUSINESS ethics ,GRADUATE students ,SENSORY perception ,INTERNATIONAL business enterprises - Abstract
A number of empirical studies have examined business ethics across cultures, focusing primarily on differences in ethical profiles between cultures and groups. When managers consider whether or not to develop a business relationship with those from a different culture, their decision may be affected by actual differences in ethical profiles, but potentially even more so by their perceptions of ethicality in the counterpart culture. The latter issue has been largely ignored in extant empirical research regarding cross-cultural ethical profiles. In this study, we employ a design that allows for a more complete analysis of cross-cultural perspectives, examining both the manner in which selected cultures view themselves and the manner in which those same cultures perceive the ethical profiles of others. To this end, we surveyed master's students in business fields at several universities in the United States and China-two countries/cultures that engage in a significant amount of business transactions-and examined differences in personal ethical profiles across cultures, differences in one group's ethical profile and the way it is perceived by the other group, and differences in perceived ethical profiles across cultures; that is, differences in how groups view each other. Findings suggest meaningful discrepancies in the ethical perceptions formed toward the counterpart culture. Results support a role for ethical perceptions in future research, and further examination and inquiry into the development and adaptation of ethical perceptions in cross-cultural business dealings. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
230. Board Composition and Corporate Social Responsibility: An Empirical Investigation in the Post Sarbanes-Oxley Era.
- Author
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Zhang, Jason, Zhu, Hong, and Ding, Hung-bin
- Subjects
BOARDS of directors ,SOCIAL responsibility of business ,UNITED States. Sarbanes-Oxley Act of 2002 ,FINANCIAL performance ,OUTSIDE directors of corporations ,WOMEN directors of corporations ,STOCK exchanges - Abstract
Although the composition of the board of directors has important implications for different aspects of firm performance, prior studies tend to focus on financial performance. The effects of board composition on corporate social responsibility (CSR) performance remain an under-researched area, particularly in the period following the enactment of the Sarbanes-Oxley Act of 2002 (SOX). This article specifically examines two important aspects of board composition (i.e., the presence of outside directors and the presence of women directors) and their relationship with CSR performance in the Post-SOX era. With data covering over 500 of the largest companies listed on the U.S. stock exchanges and spanning 64 different industries, we find empirical evidence showing that greater presence of outside and women directors is linked to better CSR performance within a firm's industry. Treating CSR performance as the reflection of a firm's moral legitimacy, our study suggests that deliberate structuring of corporate boards may be an effective approach to enhance a firm's moral legitimacy. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
231. Deficiencies in the Code of Conduct: The AICPA Rhetoric Surrounding the Tax Return Preparation Outsourcing Disclosure Rules.
- Author
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Desai, Renu and Roberts, Robin
- Subjects
CODES of ethics ,TAX return preparation industry ,DISCLOSURE ,OFFSHORE outsourcing ,ACCOUNTING firms - Abstract
In this article, we examine the American Institute of Certified Public Accountants' (AICPA) efforts to conceal the offshoring of tax return preparation services by U.S. Certified Public Accountants (CPAs) through recommending an inadequate disclosure format for this type of work. We draw on Giddens' theory of trust and expert systems, the professionalism literature, and Flyvbjerg's concept of power to analyze the underlying agenda behind the revised ethics rulings (AICPA Ethics Ruling No. 112 under Rule 102, No. 12 under Rule 201, and No. 1 under Rule 301). Specifically, we examine (1) the AICPA leadership's stated professional justifications for outsourcing and its recommended client disclosures, (2) risks associated with outsourcing tax return preparation work overseas and the trust issues that result, and (3) the resistance to the AICPA leadership's recommended outsourcing disclosure rules within the rank and file of the CPA profession. We argue that our analysis reveals the AICPA's on-going promotion of their private interests, thus continuing to raise systemic concerns regarding the public's trust in the U.S. public accounting profession. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
232. Saving for Retirement Without Harming Others.
- Author
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Daskal, Steven
- Subjects
RETIREMENT planning ,401(K) plans ,ETHICAL investments ,RESPONSIBILITY ,ORGANIZATIONAL behavior ,MUTUAL funds - Abstract
This article discusses moral issues raised by defined contribution retirement plans, specifically 401(k) plans in the United States. The primary aim is to defend the claim that the federal government ought to require 401(k) plans to include a range of socially responsible investment (SRI) options. The analysis begins with the minimal assumption that corporations engage in behavior that imposes morally impermissible harms on others with sufficient regularity to warrant attention. After motivating this assumption, I argue that individual investors typically share in the responsibility for the harms imposed by corporations in which they invest, and that they therefore have a moral obligation to incorporate considerations of social responsibility into their investment decisions, when possible, to avoid being complicit in morally impermissible corporate behavior. I further argue that individuals are subject to substantial institutional and structural pressures that create a powerful incentive to invest in 401(k) plans, even though such plans typically lack any SRI options. To eliminate this pressure to commit indirect harm in the process of saving for retirement, I recommend that the federal government requires 401(k) plans to incorporate a range of SRI options, and I defend this proposal from several possible objections. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
233. A Comparison of Young Publics' Evaluations of Corporate Social Responsibility Practices of Multinational Corporations in the United States and South Korea.
- Author
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Kim, Daewook and Choi, Myung-Il
- Subjects
INTERNATIONAL business enterprises ,SOCIAL responsibility of business ,YOUNG adults ,PUBLIC relations ,STAKEHOLDERS - Abstract
The purpose of this study was to examine how young publics in the United States and South Korea perceive the corporate social responsibility (CSR) practices of multinational corporations and evaluate the effectiveness of CSR practices in terms of organization-public relationship (OPR). Results showed that young publics in the United States and South Korea differently characterized CSR practices of multinational corporations and evaluated relationships with them. Young American participants evaluated the CSR practices of multinational corporations more favorably than did the young Korean participants. In addition, four CSR practices (internal environment, moral, discretionary, and relational) were associated with OPR dimensions in the United States, while only relational CSR practices were significantly related to OPR dimensions in South Korea. Overall, the findings highlight that cultural and societal meanings were embedded in identifying CSR practices and evaluating the relationship with multinational corporations involved in CSR practices. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
234. Corporate Ethics and Compliance Programs: A Report, Analysis and Critique.
- Author
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Weber, James and Wasieleski, David
- Subjects
LEGAL compliance ,BUSINESS ethics ,ETHICS & compliance officers ,EMPLOYEE reviews ,RISK assessment ,SOCIETIES - Abstract
This research reports on the current state of ethics and compliance programs among business organizations in the United States. Members of the Ethics and Compliance Officers Association (ECOA), the premier professional association for managers working in this field, were asked to provide in-depth responses to a series of questions covering various elements of their corporate ethics and compliance programs. The findings from this analysis indicate that ethics and compliance programs have multiple components that are implemented developmentally, are influenced by regulatory and legal efforts and have evolved into more sophisticated approaches that include risk assessment and employee performance appraisal. However, these programs remain vulnerable to sufficient resource allocation by the organization to be fully effective. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
235. The Chief Officer of Corporate Social Responsibility: A Study of Its Presence in Top Management Teams.
- Author
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Strand, Robert
- Subjects
SOCIAL responsibility of business ,SENIOR leadership teams ,CORPORATIONS ,SUSTAINABILITY ,DOW Jones Sustainability Indexes - Abstract
I present a review of the top management teams (TMTs) of the largest public corporations in the U.S. and Scandinavia (one thousand in total) to identify corporations that have a TMT position with 'corporate social responsibility' (CSR) or a 'CSR synonym' like sustainability or citizenship explicitly included in the position title. Through this I present three key findings. First, I establish that a number of CSR TMT positions exist and I list all identified corporations and associated position titles. Second, I show that Scandinavian corporations are significantly more likely than U.S. corporations to have such CSR TMT positions. This finding serves as evidence that the U.S. may have been surpassed by a subset of Europe, i.e., Scandinavia, in at least one relevant measure of explicit CSR, whereby this study may serve witness to a noteworthy juncture post Matten and Moon's (Academy of Management Review, 33(2):404-424, ) 'Implicit & Explicit CSR' article. And third, I show that corporations with a CSR TMT position are three times more likely to be included in the Dow Jones Sustainability Index (DJSI) than corporations with none. A range of further research opportunities stemming from these findings include exploring whether explicit attention to CSR by the corporation is indicative of a longer term trend that has to do with attention to responsible business and whether a move away from the expression 'CSR' toward the expression 'sustainability' is underway and what this may entail. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
236. Effects of Illegal Behavior on the Financial Performance of US Banking Institutions.
- Author
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Zeidan, Mohamad
- Subjects
FINANCIAL performance ,CORRUPT practices in the banking industry ,CORPORATION law ,BUSINESS ethics ,FINANCIAL market reaction ,STOCKHOLDERS - Abstract
This study investigates whether financial performance is affected by corporate violations of laws and regulations. In a sample of 128 publicly traded banks that were subject to enforcement actions by US regulatory authorities over a 20-year period, we observed a significant negative market reaction pursuant to the violations. However, the market reaction did not vary meaningfully in accordance with the severity or repetitiveness of the violation. The results of this study are in conformity with previous research on industries other than banking, notably with regard to negative market reaction. This confirms that shareholders in the banking industry react in a manner considerably similar to their counterparts in other industries. [ABSTRACT FROM AUTHOR]
- Published
- 2013
- Full Text
- View/download PDF
237. A Three-Country Study of Unethical Sales Behaviors.
- Author
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Li, Ning and Murphy, William
- Subjects
SALES culture ,SALES ,BUSINESS ethics ,CUSTOMER orientation ,BUSINESS-to-business transactions ,INTERNATIONAL business enterprises ,ETHICS - Abstract
A major challenge in global sales research is helping managers understand sales ethics across countries. Addressing this challenge, our research investigates whether a few demographic variables and psychographic variables reduce unethical sales behaviors (USBs) in Canada, Mexico, and the USA. Further, using literatures associated with business ethics, national culture, and customer orientation advocacy, we hypothesize why sales managers should expect similarities and differences in USBs between countries. We tested hypotheses using a sales contest scenario and six USBs, examining survey responses from 948 business-to-business salespeople of a multinational company's sales force in Canada, Mexico, and the USA. The results reveal that several psychographic variables (such as commitment, relationship to sales manager, and achievement need) affect salespeople's tendency to engage in USBs differently in each country. In addition, business ethics, individualism, and customer orientation advocacy associated with each country can be used to anticipate similarities and differences in USBs between countries. This research offers important theoretical contributions and implications for more effectively managing sales forces and reducing USBs across countries. [ABSTRACT FROM AUTHOR]
- Published
- 2012
- Full Text
- View/download PDF
238. Managerial and Public Attitudes Toward Ethics in Marketing Research.
- Author
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Aggarwal, Praveen, Vaidyanathan, Rajiv, and Castleberry, Stephen
- Subjects
EXECUTIVES' attitudes ,MARKETING research ,PUBLIC opinion ,MORAL judgment ,STAKEHOLDERS ,CONSUMERS ,ETHICS ,CONSUMER attitudes - Abstract
This research updates and significantly extends Akaah and Riordon's (J Market Res 26:112-120, ) evaluation of ethical perceptions of marketing research misconduct among marketing research professionals. In addition to examining changes in perceptions toward key marketing research practices over time, we assess professionals' judgments on the ethicality, importance, and occurrence of a variety of new marketing research ethics situations in both online and offline contexts. In a second study, we assess ethical judgments of the public at large using a representative sample of US consumers-key stakeholders ignored in prior research on unethical marketing research practices. Generally speaking, disapproval of unethical research conduct has grown across the board in the last 20 years for both managers and marketing researchers. The same misconduct elicits a stronger disapproval in the online environment compared to the offline environment. Compared to marketing researchers, managers tend to think that unethical research conduct occurs more frequently. Those who conduct marketing research or use its findings (i.e., marketing researchers and managers) are less tolerant of unethical research conduct than the general public. [ABSTRACT FROM AUTHOR]
- Published
- 2012
- Full Text
- View/download PDF
239. When Ethics are Compromised by Ideology: The Global Competitiveness Report.
- Author
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Bergsteiner, Harald and Avery, Gayle
- Subjects
IDEOLOGY ,ETHICS ,ECONOMIC competition ,COMPETITIVE advantage in business ,CAPITALISM ,SOCIAL responsibility of business ,ORGANIZATIONAL performance ,RESEARCH methodology - Abstract
The Global Competitiveness Report raises ethical issues on multiple levels. The traditional high ranking accorded the US is largely attributable to fallacies, poor science and ideology. The ideological bias finds expression in two ways: the inclusion of indices that do not provide competitive advantage, but that fit the Anglo/US ideology; and the exclusion of indices that are known to offer competitive advantage, but that do not fit the Anglo/US ideology. This flaw is compounded by methodological problems that raise further doubt as to the reliability and validity of the survey results. The resultant false high ranking of the US, a strong proponent of Anglo/US capitalism, pseudo-legitimizes the propensity of US-dominated institutions and entities to persuade, coerce and, in the worst-case force other countries and their constituents to adopt Anglo/US practices and behaviours. This is ethically reprehensible because research shows that these practices and behaviours, when compared with other approaches, are sub-optimal in the results they produce for individuals, corporations and nations. The report also unjustly and unnecessarily stigmatizes entire groups of countries with little conceivable benefit to anyone. Given the report's gravitas through the profound global influence it exerts on the decisions of top government and business leaders, these are serious ethical and economic issues. [ABSTRACT FROM AUTHOR]
- Published
- 2012
- Full Text
- View/download PDF
240. Stakeholder Theory, Fact/Value Dichotomy, and the Normative Core: How Wall Street Stops the Ethics Conversation.
- Author
-
Purnell, Lauren and Freeman, R.
- Subjects
STAKEHOLDER theory ,NORMATIVITY (Ethics) ,SECURITIES industry ,SOCIAL responsibility of business ,ETHICS ,CORRUPTION - Abstract
A review of the stakeholder literature reveals that the concept of 'normative core' can be applied in three main ways: philosophical justification of stakeholder theory, theoretical governing principles of a firm, and managerial beliefs/values influencing the underlying narrative of business. When considering the case of Wall Street, we argue that the managerial application of normative core reveals the imbedded nature of the fact/value dichotomy. Problems arise when the work of the fact/value dichotomy contributes to a closed-core institution. We make the distinction between open- and closed-core institutions to show how in the case of the closed-core, ethical decision-making is viewed by the institution as a separate domain from the core business of the institution. The resulting blind spot stifles meaningful exchanges with stakeholders attempting to address the need for reform. We suggest in conclusion that ethical considerations are less about casting a value judgment and more about creating a process for meaningful conversation throughout an institution and its stakeholders. [ABSTRACT FROM AUTHOR]
- Published
- 2012
- Full Text
- View/download PDF
241. Moral Intensity, Issue Importance, and Ethical Reasoning in Operations Situations.
- Author
-
Valentine, Sean and Hollingworth, David
- Subjects
REASON ,ETHICAL decision making ,OPERATIONS management ,FINANCIAL services industry ,REGRESSION analysis ,MORAL judgment ,PROFESSIONAL ethics ,ETHICS - Abstract
Previous work suggests that moral intensity and the perceived importance of an ethical issue can influence individual ethical decision making. However, prior research has not explored how the various dimensions of moral intensity might differentially affect PIE, or how moral intensity might function together with (or in the presence of) PIE to influence ethical decision making. In addition, prior work has also not adequately investigated how the operational context of an organization, which may embody conditions or practices that create barriers to ethical decision making, may differ from other functional areas of an organization. Consequently, this study investigated the relationships among moral intensity, perceived ethical issue importance, and three stages of the ethical reasoning process: recognition of an ethical issue, ethical judgment, and ethical intention. Using an internet-based, self-report survey containing two operations management scenarios and various ethics measures, information was collected from business professionals working for a Midwestern financial services organization. The hierarchical regression results indicated that some dimensions of moral intensity were positively related to PIE, ethical issue recognition, and ethical judgment, and that PIE was associated with increased ethical issue recognition and ethical judgment. The steps of ethical reasoning were also positively interrelated. [ABSTRACT FROM AUTHOR]
- Published
- 2012
- Full Text
- View/download PDF
242. The Cut and Paste Society: Isomorphism in Codes of Ethics.
- Author
-
Holder-Webb, Lori and Cohen, Jeffrey
- Subjects
CODES of ethics ,BUSINESS failures ,UNITED States. Sarbanes-Oxley Act of 2002 ,FINANCIAL statements ,CORPORATE governance ,MISLEADING financial statements ,ETHICS - Abstract
Regulatory responses to the business failures of 1998-2001 framed them as a general failure of governance and ethics rather than as firm-specific problems. Among the regulatory responses are Section 406 of Sarbanes-Oxley Act, SEC, and exchange requirements to provide a Code of Ethics. However, institutional pressures surrounding this regulation suggest the potential for symbolic responses and decoupling of response from organizational action. In this article, we examine Codes of Ethics for a stratified sample of 75 U.S. firms across five distinct industries and find that content and language converge across organizations in ways undesired by the regulators, and that language is used to minimize the effects of the Code on constraining organizational behavior. There is, however, a noteworthy exception in the sections of the Codes dedicated the ethics of financial reporting. Although this material still contains legalistic boilerplate information, it does offer concrete guidance and emphatic language pertaining to the need to maintain the integrity of reporting practices. This suggests that the corporate understanding of the source of the failures is one of fraudulent financial reporting. Aside from the matter of financial reporting, the vague and stylized content of the Codes was a predicted response and constitutes a rational response to the regulation. The regulation, however, clearly states the belief that Codes should vary from firm to firm and that individual firms should determine the specific content of a Code. Aside from financial reporting matters, the observed result suggests that regulatory efforts may have failed to instigate corporate change in attitudes toward and enforcement of higher ethical standards by corporate actors. [ABSTRACT FROM AUTHOR]
- Published
- 2012
- Full Text
- View/download PDF
243. The Cost of Being Female: Critical Comment on Block.
- Author
-
Sayers, Rachel
- Subjects
WOMEN employees ,SEX discrimination in employment ,WAGE differentials ,MARITAL status discrimination in employment ,SOCIAL factors ,SEXISM - Abstract
Women currently earn 77 cents for every dollar earned by men. Explanations abound for why, exactly, this wage gap exists. One of the more potent justifications attributes this pay differential to the unequal effects of marriage on the sexes: the marital asymmetry hypothesis. However, even when marital status is accounted for, a small but significant residual gap remains. This article argues that this is the result of social factors. Entrenched societal sexism causes all of us to harbor unconscious bias about the capabilities and proper gender roles of women. This bias, in turn, leads us to discount work completed by females, especially in professional environments. Employers are not immune from this effect, and the undervaluation of female ability affects hiring practices, leading to the residual wage gap. [ABSTRACT FROM AUTHOR]
- Published
- 2012
- Full Text
- View/download PDF
244. Do Muslims Believe More in Protestant Work Ethic than Christians? Comparison of People with Different Religious Background Living in the US.
- Author
-
Zulfikar, Yavuz
- Subjects
PROTESTANT work ethic ,CHRISTIANS ,MUSLIM Americans ,AMERICAN Catholics ,TURKS ,RELIGIOUS identity ,UNIVARIATE analysis ,MULTIVARIATE analysis ,QUESTIONNAIRES - Abstract
This study examines the work ethic characteristics of Protestant, Catholic, and Muslim people who are living in the US. People originally from Turkey were targeted under the Muslim group. Since a significant number of people selected 'none' as their religious affiliation in the survey, this group has also been included in the final analysis. Eight hundred and three people (313 Protestants, 180 'none', 96 Muslims, 86 Catholics, and 128 other) participated in this questionnaire study. The analyses revealed that Muslim Turks reported greater scores on four of the five Protestant work ethic (PWE) characteristics. Protestants scored higher than Catholics on all characteristics, but there was no significant difference. [ABSTRACT FROM AUTHOR]
- Published
- 2012
- Full Text
- View/download PDF
245. Ethical Cultures in Large Business Organizations in Brazil, Russia, India, and China.
- Author
-
Ardichvili, Alexandre, Jondle, Douglas, Kowske, Brenda, Cornachione, Edgard, Li, Jessica, and Thakadipuram, Thomas
- Subjects
BIG business ,BUSINESS ethics ,CORPORATE culture - Abstract
This study focuses on comparison of perceptions of ethical business cultures in large business organizations from four largest emerging economies, commonly referred to as the BRICs (Brazil, Russia, India, and China), and from the US. The data were collected from more than 13,000 managers and employees of business organizations in five countries. The study found significant differences among BRIC countries, with respondents from India and Brazil providing more favorable assessments of ethical cultures of their organizations than respondents from China and Russia. Overall, highest mean scores were provided by respondents from India, the US, and Brazil. There were significant similarities in ratings between the US and Brazil. [ABSTRACT FROM AUTHOR]
- Published
- 2012
- Full Text
- View/download PDF
246. Ethical Issues in Outsourcing: The Case of Contract Medical Research and the Global Pharmaceutical Industry.
- Author
-
Adobor, Henry
- Subjects
OFFSHORE outsourcing ,MEDICAL research ,PHARMACEUTICAL industry ,ETHICAL problems ,ECONOMIC competition ,CLINICAL drug trials ,STAKEHOLDERS - Abstract
The outsourcing of medical research has become a strategic imperative in the global pharmaceutical industry. Spurred by the challenges of competition, the need for speed in drug development, and increasing domestic costs, pharmaceutical companies across the globe continue to outsource critical parts of their value chain activities, namely contract clinical research and drug testing, to sponsors across the globe, typically into emerging markets. While it is clear that important ethical issues arise with this practice, unraveling moral responsibility and the allocation of responsibility is not so clear, considering that contracts, by their very definition transfer responsibility from the principal to the agent. This research provides a framework for exploring some of the ethical issues, including attributions of moral responsibility associated with Contract Medical Research. Using a theory of strategic and moral behavior, the research shows that both clients and sponsors in contract research have individual and collective responsibility to ensure that due care and diligence is exercised in the performance of clinical research. The research suggests some guidelines for stakeholder action. [ABSTRACT FROM AUTHOR]
- Published
- 2012
- Full Text
- View/download PDF
247. Contextualizing Voice and Stakeholders: Researching Employment Relations, Immigration and Trade Unions.
- Author
-
Martínez Lucio, Miguel and Connolly, Heather
- Subjects
STAKEHOLDERS ,LABOR unions ,INDUSTRIAL relations ,EMIGRATION & immigration ,EQUALITY - Abstract
This article aims to outline some of the ways in which issues of migration and employment relations have been studied in the European context, cross referencing recent interventions in the USA. The argument is a discussion of some of the different dimensions of migration and the way debates within Industrial Relations have been shaped. More specifically, the article will look at the way trade unions have made the ethical turn towards questions of migration and equality. The article will observe the way these issues have been academically framed and the manner in which the 'problem' of migration is conceptualized. It will attempt to provide a framework for discussing the way we have been analysing these issues and the ethical dimensions of these discussions. The relevance of the article is that institutionally responding to migration is not solely a question of adjusting employment relations or Industrial Relations institutions to various 'new' constituencies. The article will show that the topic raises issues as to how we actually understand what the study of employment and especially Industrial Relations are. The article also argues that there is a growing need for researchers to be aware of ethical issues when studying in the area of migration, and to be sensitive to competing voices and methodologies in this area. In particular we need approaches that are multidimensional and that emphasize the history and context of change in social constituencies, the new mechanisms of representation within communities, the role of the political in terms of discourses and resources, and the broad play and spaces of regulation and social policy. [ABSTRACT FROM AUTHOR]
- Published
- 2011
- Full Text
- View/download PDF
248. Impact of Ethical Leadership and Leader-Member Exchange on Whistle Blowing: The Moderating Impact of the Moral Intensity of the Issue.
- Author
-
Bhal, Kanika and Dadhich, Anubha
- Subjects
LEADERSHIP ethics ,WHISTLEBLOWING ,COMMERCIAL crimes ,GRADUATE students ,CORPORATE governance - Abstract
Given the prevalence of corporate frauds and the significance of whistle blowing as a mechanism to report about the frauds, the present study explores the impact of ethical leadership and leader-member exchange (LMX) on whistle blowing. Additionally, the article also explores the moderating role of the moral intensity [studied as magnitude of consequences (MOC)] of the issue on this relationship. The article reports results of three experimental studies conducted on the postgraduate students of a premier technology institute in India. Ethical leadership, LMX, and moral intensity are manipulated through scenarios. Study one ( n = 81) manipulates ethical leadership (ethical/unethical) and quality of LMX (low and high) as independent variables; study two ( n = 80) manipulates ethical leadership and moral intensity (high and low MOC), and study three ( n = 87) manipulates LMX and MOCs to assess their individual and joint effects on whistle blowing. Results show that not only do ethical leadership and LMX predict whistle blowing, but these relationships get moderated by the moral intensity of the issue as well. [ABSTRACT FROM AUTHOR]
- Published
- 2011
- Full Text
- View/download PDF
249. The Value of Corporate Philanthropy During Times of Crisis: The Sensegiving Effect of Employee Involvement.
- Author
-
Muller, Alan and Kräussl, Roman
- Subjects
CORPORATE giving ,EMPLOYEES ,ENGAGEMENT (Philosophy) ,ORGANIZATIONAL behavior ,HURRICANE Katrina, 2005 - Abstract
Recent research suggests that philanthropy's value to the firm is largely mediated by contextual factors such as managers' assumed motives for charity. Our article extends this contingency perspective using a 'sensegiving' lens, by which external actors' interpretations of organizational actions may be influenced by the way in which the organization communicates about those actions. We consider how sensegiving features in philanthropy-related press releases affect whether investors value those donation decisions. For the empirical investigation in this study, we analyze abnormal returns to announcements by U.S. Fortune 500 firms documenting their donations to Hurricane Katrina disaster relief in 2005. We expect that in general, donation decisions would be controversial given the uncertainty surrounding the hurricane's economic effects at the time. However, we also propose that announcements emphasizing employee involvement in the donation send investors positive signals about the firm's ability to bounce back from the disaster's adverse effects. We find empirical support for the proposed hypotheses, and discuss the implications for theory and practice. [ABSTRACT FROM AUTHOR]
- Published
- 2011
- Full Text
- View/download PDF
250. Green and Good? The Investment Performance of US Environmental Mutual Funds.
- Author
-
Climent, Francisco and Soriano, Pilar
- Subjects
MUTUAL funds ,ENVIRONMENTALISM ,ATTITUDE (Psychology) ,RISK perception ,CAPITAL assets pricing model ,ETHICAL investments - Abstract
Increased concern for the environment has increased the number of investment opportunities in mutual funds specialized in promoting responsible environmental attitudes. This article examines the performance and risk sensitivities of US green mutual funds vis-à-vis their conventional peers. We also analyze and compare this performance relative to other socially responsible investing (SRI) mutual funds. In order to implement this analysis, we apply a CAPM-based methodology and find that in the 1987-2009 period, environmental funds had lower performance than conventional funds with similar characteristics. However, if we focus on a more recent period (2001-2009), green funds achieved adjusted returns not significantly different from the rest of SRI and conventional mutual funds. [ABSTRACT FROM AUTHOR]
- Published
- 2011
- Full Text
- View/download PDF
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