Business Ethics and Values.

653 Pages·2012·17.587 MB·English

by  Fisher, Colin M.

Business Ethics and Values
Companion Website
ON THE
For open-access student resources specifi cally written WEBSITE
to complement this textbook and support your learning,
please visit www.pearsoned.co.uk/fi sherlovellvalerosilva
A01_FISH5298_04_SE_FM.indd 1 01/11/12 11:20 AM
A01_FISH5298_04_SE_FM.indd 2 01/11/12 11:20 AM
13: Moral agency at work and a modest proposal for affecting ethics in business iii
Business Ethics
and Values
Individual, Corporate and
International Perspectives
Fourth edition
Colin Fisher
Nottingham Business School, Nottingham Trent University
Alan Lovell
Former Dean, Glamorgan Business School
Néstor Valero-Silva
Nottingham Business School, Nottingham Trent University
with a case study by Shishir Malde
A01_FISH5298_04_SE_FM.indd 3 01/11/12 11:20 AM
Pearson Education Limited
Edinburgh Gate
Harlow CM20 2JE
United Kingdom
Tel: [phone]
Web: www.pearson.com/uk
First published 2003 (print)
Second edition 2006 (print)
Third edition 2009 (print)
This edition published 2013 (print and electronic)
© Pearson Education Limited 2003, 2006, 2009 (print)
© Pearson Education Limited 2013 (print and electronic)
The rights of Colin Fisher, Alan Lovell and Néstor Valero-Silva to be identified as authors of this work have been asserted by them in
accordance with the Copyright, Designs and Patents Act 1988.
The print publication is protected by copyright. Prior to any prohibited reproduction, storage in a retrieval system,
distribution or transmission in any form or by any means, electronic, mechanical, recording or otherwise, permission
should be obtained from the publisher or, where applicable, a licence permitting restricted copying in the United Kingdom
should be obtained from the Copyright Licensing Agency Ltd, Saffron House, 6-10 Kirby Street, London EC1N 8TS.
The ePublication is protected by copyright and must not be copied, reproduced, transferred, distributed, leased,
licensed or publicly performed or used in any way except as specifically permitted in writing by the publishers,
as allowed under the terms and conditions under which it was purchased, or as strictly permitted by applicable copyright law.
Any unauthorised distribution or use of this text may be a direct infringement of the author’s and the
publishers’ rights and those responsible may be liable in law accordingly.
All trademarks used herein are the property of their respective owners. The use of any trademark
in this text does not vest in the author or publisher any trademark ownership rights in such trademarks,
nor does the use of such trademarks imply any affiliation with or endorsement of this book by such owners.
Pearson Education is not responsible for the content of third-party internet sites.
The Financial Times. With a worldwide network of highly respected journalists, The Financial Times provides global
business news, insightful opinion and expert analysis of business, finance and politics. With over 500 journalists reporting
from 50 countries worldwide, our in-depth coverage of international news is objectively reported and analysed from an
independent, global perspective. To find out more, visit www.ft.com/pearsonoffer.
ISBN: 978-0-273-75791-7 (print)
978-0-273-75793-1 (PDF)
978-0-273-78128-8 (eText)
British Library Cataloguing-in-Publication Data
A catalogue record for the print edition is available from the British Library
Library of Congress Cataloging-in-Publication Data
A catalog record for the print edition is available from the Library of Congress
10 9 8 7 6 5 4 3 2 1
16 15 14 13 12
Print edition typeset in 9.5/12pt ITC Stone serif by 73
Print edition printed and bound by Ashford Colour Press Ltd, Gosport
NOTE THAT ANY PAGE CROSS REFERENCES REFER TO THE PRINT EDITION
A01_FISH5298_04_SE_FM.indd 4 01/11/12 11:20 AM
Brief Contents
Introduction xv
Acknowledgements xxi
PART A Business ethics matters: what is it and why does it matter? 1
Chapter 1 Perspectives on business ethics and values 3
Chapter 2 Ethical issues in business 41
Chapter 3 Ethical theories and how to use them 101
PART B Individuals’ responses to ethical issues 147
Chapter 4 Personal values and heuristics 149
Chapter 5 Individual responses to ethical situations 192
Chapter 6 Whistleblower or witness? 225
PART C Organisational responses to ethical issues 257
Chapter 7 Corporate governance, an organisation’s external
accountability 259
Chapter 8 C ompliance and integrity: an organisation’s internal
accountability 299
Chapter 9 Corporate social responsibility 332
Chapter 10 Sustainability 374
PART D The international context 411
Chapter 11 Global and local values – and international business 413
Chapter 12 Globalisation and international business 454
Chapter 13 Moral agency at work and a modest proposal for affecting
ethics in business 497
Chapter 14 Concluding integrative case studies 525
A01_FISH5298_04_SE_FM.indd 5 01/11/12 11:20 AM
vi Brief Contents
Filmography 549
References 563
Index 603
A01_FISH5298_04_SE_FM.indd 6 01/11/12 11:20 AM
Contents
Introduction xv
Acknowledgements xxi
PART A Business ethics matters: what is it and why does it matter? 1
Chapter 1 Perspectives on business ethics and values 3
Learning outcomes 4
Introduction 4
Stories and business ethics 4
Case study 1.1: The News of the World story 7
The business case for business ethics 11
Stakeholder theory 18
Business and organisational ethics 20
Case study 1.2: Biography and philosophy 26
Boundaries of jurisdiction or spheres of justice 31
Defining the boundaries of the economic sphere 34
Reflections 37
Summary 38
Typical assignments 38
Group activity 1.1 39
Useful websites 40
Chapter 2 Ethical issues in business 41
Learning outcomes 42
Introduction 43
Part one: The map of business ethics issues 43
Part two: Encouraging goodness 51
Case study 2.1: The Nationwide Foundation 52
Case study 2.2: British Sugar and Sunday trucking 53
Case study 2.3: Farepak 54
A01_FISH5298_04_SE_FM.indd 7 01/11/12 11:20 AM
viii Contents
Case study 2.4: AIDS drugs and patent rights in South Africa 56
Case study 2.5: Child labour in developing countries 58
Case study 2.6: David Shayler and whistleblowing on MI5 59
Part three: Creating a level playing field, benignness 60
Case study 2.7: Paying for staff’s professional training 62
Case study 2.8: Executive fat cats and banker’s bonuses 63
Case study 2.9: The oil companies and the 2000 fuel crisis 65
Case study 2.10: Providing new drugs on the NHS to people
with multiple sclerosis 67
Case study 2.11: Discriminating against employees – the Metropolitan
Police Service 68
Case study 2.12: The British railway system: priorities, profits
and governance 70
Part four: Preventing indifference to others 72
Case study 2.13: The case of Shell’s missing oil barrels 75
Case study 2.14: BAT, Nottingham University and the honorary professor 78
Case study 2.15: Lord Browne of Madingley 78
Case study 2.16: Economy with the truth when dealing with the tax authorities 80
Case study 2.17: Fraudulent businesses – Parmalat, Satyam & Madoff 81
Case study 2.18: Lord Black and Hollinger International 83
Case study 2.19: BAT and allegations of cigarette smuggling 85
Case study 2.20: The retention of dead babies’ organs in hospitals 87
Part five: Discouraging badness 87
Case study 2.21: British Airways and Virgin Atlantic 88
Case study 2.22: The hospital consultants 90
Case study 2.23: Supermarkets’ treatment of their supply chains 91
Case study 2.24: The Super Size Me sales promotion 93
Case study 2.25: Sexual harassment 94
Case study 2.26: The Firestone Tire recall issue 95
Case study 2.27: Huntingdon Life Sciences 96
Reflections 98
Summary 98
Typical assignments 99
Group activity 2.1 99
Recommended further reading 99
Useful websites 100
Chapter 3 Ethical theories and how to use them 101
Learning outcomes 102
Introduction 102
A map of ethical theories 102
Applying ethical theories 138
Reflections 144
A01_FISH5298_04_SE_FM.indd 8 01/11/12 11:20 AM
Contents ix
Summary 144
Typical assignments 145
Group activity 3.1 145
Recommended further reading 145
Useful websites 146
PART B Individuals’ responses to ethical issues 147
Chapter 4 Personal values and heuristics 149
Learning outcomes 150
Introduction 150
Perceptions of values 153
Case study 4.1: Chris’s managerial development: a fable 162
Values and ethical thinking 165
Heuristic thinking 166
Decision-making heuristics 167
Values as heuristics in ethical reasoning 171
Value heuristics and priority setting 173
Integrity and loyalty as value heuristics 179
Discussion of the Dilemma simulation in Activity 4.4 185
Reflections 186
Summary 187
Typical assignments 188
Group activity 4.1 189
Group activity 4.2 190
Recommended further reading 190
Useful websites 191
Chapter 5 Individual responses to ethical situations 192
Learning outcomes 193
Introduction 193
Categories of response to ethical issues 193
Competing stances: the possibility of cognitive dissonance 198
Case study 5.1: Disabled access 205
Case study 5.2: Particularized and categorisation 214
Influences on choice of stance 215
Reflections 220
Summary 221
Typical assignments 222
Group activity 5.1 222
A01_FISH5298_04_SE_FM.indd 9 01/11/12 11:20 AM