The Social

1
The Social Political Environment of
BusinessBA 107 Discussion Section Week 6
2
Housekeeping

• Hand in your case studies!!!
• Reminder NO lecture on Monday
• There IS section next Friday! With Readings!
• NO GSI office hours next week
• Section Attendance
• Readings
• Other Comments/Suggestions?

3
Business Ethics

• Business Ethics is NOT the same as Corporate
  Social Responsibility
• Level of Analysis Individual vs. Company
• Business Ethics is NOT the same as Personal
  Ethics
• Organizational and Responsibility Issues
• Less control over situation
• We do not preach morals here

4
Methods of Ethical Reasoning

• Utilitarian
• Cost-benefit analysis
• Can be difficult to measure
• Tyranny of the majority/minority
• Rights-based
• Gains/Losses in basic human rights
• Who decides?
• Justice
• Fair distribution of gains and losses
• Equality of opportunity and treatment
• Can be difficult to measure

5
Another McWane Video

• Keep in mind the three methods of ethical
  reasoning
• Utilitarian
• Rights-based
• Justice
• What would business ethics demand of Rester? How
  would whistle blowing be analyzed?

6
Ethics case studies

• Analyze the ethical issues involved in the Rester
  case according to the utilitarian ethical
  perspective.
• Debate Topic
• Team 1 Utilitarian
• Team 2 Rights
• Team 3 Justice

7
Whistle Blowing

• Utilitarian
• Potential costs
• Career risk
• Reduce company reputation
• Reduce share price
• Potential benefits
• Career gain
• Improve company performance (longer term)
• Protect long-term company viability

8
Debate (1)

• Utilitarian method Do the total costs exceed the
  total benefits?
• Potential costs
• Potential benefits

9
Debate (2)

• Rights method What gains or losses in basic
  rights may occur?

10
Debate (3)

• Justice method Are costs and benefits
  distributed fairly?