Ethical Theories I

(Session 2)

Dr Rebecca Chunghee Kim

 Group Contract
Group number: _________________________________________________________

1. What are your group’s goals? In the context of this semester and in this class, what do you hope to accomplish as
group? Goals can be specific to learning and/or group dynamics. List at least 3 that you share in common.

2. Ground Rules. We have provided the first 2 for you, but your group should adopt additional ground rules you
believe are necessary to help ensure everyone fully understands their responsibilities to and expectations of one
another.

Prepare for class and group meetings by completing required assignments, arriving on time, and participating fully in
team activities.
Respect the contributions and personal opinions of team members and classmates by conducting yourself in a
professional manner in class and out-of-class team meetings.

Additional ground rules unique to your group. What additional ground rules will your group adopt to increase the
likelihood your group’s success?

3. Communication. In a few sentences, explain how your group will maintain communication in a way that ensures all
members are fully informed. Be sure to exchange appropriate contact information.

4. Consequences of failure to comply: If one or more members of the team repeatedly fails to meet the group’s
agreed-upon ground rules, other members of the group will take the following actions:

Step 1: (fill in this step with your group. What will be your group’s first course of action to resolve the conflict?)

Step 2: If not resolved, one or more members bring this issue to the attention of the instructor.

Step 3: If not resolved, all members of the team will meet together with the instructor.

The instructor reserves the right to make a final decision to resolve difficulties that arise within groups. Before this
becomes necessary, the team should try to find a fair and equitable solution to the problem.

Group Members (Name & student ID) & Signatures: Date:

_______________________________________ ________________________________________

_______________________________________ ________________________________________
G1_(Nick name) Official name

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 Lecture Contents

• Theories of Business Ethics

- Deontology (Kant) & Utilitarianism

• Confucianism, Buddhism, Islam ethics

Next week
• West-East dialogue on business ethics

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 Is business
a Santa Claus?

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“We want to behave CSR and develop the local
community, not just giving money like a Santa Claus.
The company is not a Santa Claus. We view it as an
investment, not a contribution or good behaviour. So,
even though internally we call it an investment, when
we talk to Koreans, we call it social contribution. ”
(Interview with junior manager, UK business in Korea, 2007)

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 Theories of Business Ethics

• Ethical absolutism

• Ethical relativism

• Descriptive relativism

(Richard de George, 1999)

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 The big dichotomy in Western Ethics

Motivation
Action
or
Principles Outcomes

Teleological ethics
(Consequentialist
Deontological ethics Ethics)
(Non-consequentialist
ethics)

e.g., Virtue Ethics e.g., Utilitarianism

(Kant) (Mill) 11
 Kant and Virtue Ethics

Kant
• Famous German Philosopher
• He lived in his theory!
• Was born, lived and died in one
place – Königsberg.
(rarely travelled)
• He lived a very regulative life.
• Three works: Immanuel Kant (1724-1804)

- Fundamental Principles of the Metaphysic of Morals (1785)

- Critique of Practical Reason (1788)
- Metaphysics of Morals (1798)
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 Kant and Virtue Ethics

• Virtues that are seen as morally valid without

considerations about possible outcomes.
(e.g. respect / protection of the fundamental
rights of all people and nature)

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Nature, human beings, other living
organisms and eternal values do exist in
their own right, and are never only means.

We do business as part of social and

natural environments which do exist in
their own right, and are never only means.

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 A Priori
-What comes before any experience?

• The Way of Reasoning

• A priori equals prior to experience;

or, something that we know to be
true of all experience… (e.g., All
bachelors are unmarried)

• A Posteriori equals something

that we can only know to be true
following experience…
(e.g., Some bachelors are very happy)
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 The Categorical Imperative
- How to gain absolute/certain/pure knowledge?

• Categorical = Universal:
i.e. without exception, not
contestable, not
hypothetical imperative.

• Is fundamentally about
“consistency” and “respect
for humans”.

Fundamental Principles of
the Metaphysic of Morals
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The Formula of Autonomy or of Universal Law

Act only according to that maxim whereby you

can at the same time will that it should become
a universal law.
(Kant, I.: Fundamental Principles of the Metaphysics of Morals, 1785)

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 Perfect and Imperfect Duties

• Perfect duties: not to act by maxims that result in

logical contradictions when we attempt to
universalize them.
e.g.) do not steal, murder, lie, rape.
=> blameworthy if not met

• Imperfect duties which are still based on pure

reason, but which allow for desires in how they are
carried out in practice.
e.g.) act beneficially.
=> You shall receive praise.
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The Formula of Respect for the Dignity of Persons

Act in such a way that you treat humanity, whether in

your own person or in the person of any other, always
at the same time as an end and never merely as a
means to an end.
(Kant, I.: Fundamental Principles of the Metaphysics of Morals, 1785)

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The Formula of Legislation for a Moral Community

Therefore, every rational being must so act as if he

were through his maxim always a legislating member
in the universal kingdom of ends.
(Kant, I.: Fundamental Principles of the Metaphysics of Morals, 1785)

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 Kant and Business

• Like human being, businesses can also be held

morally responsible.

• Employer-employee relationships

• Human rights / sweatshops

However
• What is right? (Is right phenomenon the same
between Malaysia and the UK?)
• Conflict between welfare and freedom of choose
of individuals.
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 Mill and Utilitarianism

Decisions are outcome-

oriented.

(e.g. measures that do the

greatest good for the
greatest number of people.)

John Stuart Mill

(20 May 1806 – 8 May 1873)

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I strive to be responsible towards others,
the society and environment because it
makes me / things / the world better.

We strive to be responsible towards

stakeholders, society and the environment
because it serves our business.

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Right acts are those that achieve "the greatest
good for the greatest number.“

Comprised of Four Notions:

1. Consequentialism
2. Hedonism
3. Maximalism
4. Universalism

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 Consequentialism

The principle holds that

the rightness of actions
is determined by their
consequences.

Question:
• Are bribes needed to secure deals?
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 Hedonism
Pleasure and the absence of pain

Question:
• How do you define pleasure and
pain?
• No higher / lower level pleasure?
• Did Mill understand pleasure as a
mental state or activity?
• Can pleasure be acquired directly?

"Happiness is like a cat, If you try to coax it or call it, it will avoid
you; it will never come. But if you pay no attention to it and go
about your business, you'll find it rubbing against your legs and
jumping into your lap.“ (William Bennett, 1985 – September 20, 1988)
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 Maximalism

A right action is one

that has not merely
some good consequence,
but the greatest amount
possible (with negatives
taken into account).

Question:
• How can you quantify the variance?
• What about minor victims?
• What about animal or trees? 30
 Universalism

Meant to take into

account the interests
of everyone…

Question:
• What about national, cultural, or religious boundaries?
• What about animals or trees?
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 Strength and weakness of Utilitarianism

Strength
• Explains common morality
• Objective basis for decision-making

Weaknesses
• Is happiness only matter? (Monism?)
• An inhumane calculus?
• Problems with outcome calculation (e.g., IMF)
• Distributional consequences for minorities
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 Discussion

How could you analyse/approach current

bribery issues with:

1) Kant’s categorical imperative, or

2) Mill’s Utilitarianism?
• Break into the groups.
• Take 15 minutes to discuss.
• One member of your group may be asked to share
the main points of your discussion.
• Please be back at …………………
Source: The Unwelcome gift

https://www.unodc.org/documents/treaties/UNCAC/E-Learning/English/gifts_hospitality_receiving/index.htm
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 Lecture Review 1
(Imaginary story)
• Please read the interesting imaginary story and answer two
questions:

1) What should you do?

2) Why would you do that?

• Try to use theories/ideas that you’ve learned today.

• Please write not more than 700 words.

• Deadline for submission: 23:55, 21st of October (Thursday)

** No late submission allowed. **
Please submit into the Manaba system ONLY.
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Edinburgh March
2010