ETHICS- It is derived from the Greek word ethikos, which means having to do with character.

 theory of morality or right conduct.

According to Campbell Jones, René ten Bos and Martin Parker “ethics” came from a Greek word ethos which means “
character or habit

According to Clarence Walton, Aristotle derived the words ethics from ethos, which in turn found it source in ethimos
which means regulatory and routine.

ETHICS- reiterates and validates our authentic humanness and humanity.

 Make us realize that a man is a free creature endowed with intellect and rationality.

MORALITY – Originated from the Latin term mos and its plural from mores which was used to refer to someone’s
disposition or character.

 the set of beliefs of an individual and principles and judgments shared.

BUSINESS ETHICS ARE DEFINED AS FOLLOWS:

 study of what is the right and wrong

 study of the perceptions of people about morality, moral norms, moral rules and ethical principles
 study, evaluation, analysis and questioning, decision makers use in resolving moral issues

FOUNDATIONS OF THE PRINCIPLES OF BUSINESS ETHICS

 Exercise due care- All professionals are held to a special standard of competency and care in their work.
 Confidentiality- Many business relationships require the exchange of confidential information.
 Fidelity to special responsibility- A principle of devotion to duty. Duties may arise from a law, contract or implicit
business relationship.
 Avoidance of the appearance of a conflict of interest- Business people should not place themselves in position
where they personal incentives to take actions which could be harmful to their firms or clients-whether
 Willing compliance with the law- Managers should willingly comply with the law. Further, they should comply
with the spirit of the law and avoid attempts to circumvent the intent of legal restrictions.
 Acting in good faith in negotiations- Good faith may be defined as acting fairly within the context of
 a transaction. An individual must be appropriately forthright and make factual statements honestly.
 Respect for the liberty and constitutional rights of others- Workplace restrictions on basic rights, including those
pertaining to speech, religion, freedom from invidious discrimination and access to government

RESPECT FOR HUMAN WELL-BEING- Managers must respect the physical and emotional well-being

of employees, clients, customers and other stakeholders.

CLASSICAL PHILOSOPHIES SPECIFICALLY VIRTUE ETHICS (SOCRATES, PLATO, ARISTOTLE, CONFUCIUS, ETC.)

SOCRATES- A Greek philosopher from Athens who is credited as the founder of Western philosophy

 first moral philosophers of the ethical tradition of thought.

 Examine subject in the style of question and answer.

Socratic Method or Socratic debate- is a form of cooperative argumentative dialogue between individuals, based on
asking and answering questions

Plato - virtue-based eudaemonistic conception of ethics.

 happiness or well-being (eudaimonia) is the highest aim of moral thought and conduct
 virtues (aretê: ‘excellence’)- requisite skills and dispositions

Aristotle – Known for Nichomachean Ethics in the 4th century B.C.

 He held the eudaimonia is constituted, not by honour, wealth orpower but by rational activity.
 manifest as honesty

IMPACTS OF DIFFERENT BELIEF SYSTEMS ON BUSINESS ETHICS

Human beings have different personalities, different goals, values and belief systems.

 Companies with cultural diversity welcome people with different backgrounds from different cultures
BUDDHISM- religion that’s originated in India around 525 BC.

 flexible system that allows to adapt to a country-specific

 tradition that focuses on personal spiritual development.

The Buddha- history of Buddhism is the story of one man's spiritual journey to Enlightenment

Siddhartha Gautama - The Buddha- finding the path to Enlightenment, Siddhartha was led from the pain of suffering and
rebirth Buddha or ‘Awakened One'.

A life of luxury- Opinions differ as to the dates of Siddhartha Gautama's life

 dated his birth and death as circa 566-486 BCE

 born into a royal family in the village of Lumbini in present-day Nepal

Enlightenment- seated beneath the Bodhi tree Siddhartha became deeply absorbed in meditation, and reflected on his
experience of life

Ethics in Buddhism

 Abortion- Buddhists believe that life should not be destroyed,

 Capital Punishment- doctrine the death penalty is clearly inconsistent with Buddhist teaching.
 Euthanasia and Suicide- against involuntary euthanasia.
 War- Non-violence is at the heart of Buddhist thinking and behaviour.
 Animals- believe souls are reborn as animals
 Contraception- based on the idea what is wrong to kill for any reason
 Organ Donation- wish to relieve suffering.

Buddhism on Business Ethics

Buddhists have moral obligations and should be refrained from doing the following:

 Harming or taking lives of beings

 Taking what is not give
 Engaging in sexual misconduct
 Lying or spreading gossip
 Taking intoxicating substances such as alcohol or drugs.

ISLAM- began in Arabia and was revealed to humanity by the Prophet Muhammad.

 believe that there is only one God. The Arabic word for God is Allah.

History

Abraham is called Ibrahim by Muslims. They see him as the father of the Arab

 Ismael and Isaac (Isma’il in Arabic)

 according to Islam: Jesus is one, Moses is one and the Prophet Muhammad is one known as a friend of God.

Ethics on Islam

Abortion-Muslims regard abortion as wrong and haram (forbidden)

Capital Punishment- Even though the death penalty is allowed, forgiveness is preferable. peace, is a predominant
Qur'anic theme.

Euthanasia and Suicide in Islam- Muslims are against euthanasia. They believe that all human life is sacred because it is
given by Allah,

Jihad- meaning of Jihad is struggle or effort, means much more than holy war.

Muslims use the word Jihad to describe three different kinds of struggle

 believer's internal struggle to live out the Muslim

 struggle to build a good Muslim society.
 Holy war: the struggle to defend Islam

Muslims believe that:

 living creatures were made by Allah.

 Allah loves all animals
 Animals exist for the benefit of human beings.
 Animals must be treated with kindness and compassion.
Contraception- Islam is strongly pro-family and regards children as a gift from God.

Circumcision- still the largest single religious group to circumcise boys.

 also known as tahara, meaning purification.

 Sunnah, Muhammad stated that circumcision was a "law for men.“

War- Islam sets down clear guidelines as to when war is ethically right, and clear guidelines

 in self defence
 when other nations have attacked an Islamic state
 if another state is oppressing its own Muslims

Islam on Business Ethics

 Shariah, the Islamic religious law based on the Qu’ran,

 legal authority.
 Islam favours trading or business, but it has to obey rules and most importantly
 Possible gains from the trade or business should not result in materialism

CHRISTIANITY- world's biggest religion, with about 2.1 billion followers worldwide.

 Holy Land 2,000 years ago.

History

 focused on the life, death and resurrection of one person

Capital Punishment- For much of history, the Christian Churches accepted that capital punishment was necessary.

Organ Donation- Sacrifice and helping others are key themes across all forms of Christianity

War- The main Christian view of war ethics is contained in the doctrine of the Just War

Animal Rights- For most of history Christians largely ignored animal suffering.

Circumcision- In the Old Testament circumcision is clearly defined as a covenant between God and all Jewish males.

Euthanasia Christians are mostly against euthanasia. The arguments are usually based on the beliefs that life is given by
God

Life is a gift from God

 All life is God-given.

 Birth and death are part of the life processes which God has created, so we should respect them therefore no.

Same-Sex Marriage- is a divisive issue in many Christian churches, but not all.

CHRISTIANITY IN BUSINESS ETHICS

 Christians belief that all are based on the Bible containing Old and New Testaments.
 considered that God called them for particular occupation or business.
 should be conducted in ethical manner and for the good of community.

SHINTOISM- The folk religion of Japan, one of the chief principles is purity.

 Shinto tradition believes that number four (4) is unlucky and it symbolizes death.

JUDAISM- Relies on Torah for its written law, and has had a great impact on marketing and business ideology.

Judaism on Business Ethics

 Honesty on the market

 Fair pricing
 Business relation

FILIPINO VALUE SYSTEM

(crab mentality)

set of values that majority of the Filipino have historically held important in their lives.
DIFFERENT FILIPINO PRACTICES

 Filipino Time- Being late”. This trait is used as an excuse for being tardy in meetings,
 Padrino System- Patronage happens when one gains favour, promotion or political position through family
 Utang na Loob- indebtedness in gratitude is the concept of “paying back”
 Pakikisma- Filipino trait describes how individual takes care of their interpersonal relationships
 Bahal na- One of the Filipino practices wherein they leave everything to chance.
 Mamaya na habit-An employee may produce mediocre outputs due to doing everything haphazardly.
 Filipino Hospitality- relationship between the guest and the host.

CODE OF ETHICS – Policy statement issued by a company, a form of legislation within the company binding its
employees

 Written set of guidelines by an organization

Elements under Code of Ethics

Introduction or Preamble- It carries a statement by the top-ranked officer of the corporation

Purpose and Values - The leading section of the code typically provides an abbreviation mission statement followed by
values.

Rules of Conduct - Typically subdivided by the IBE or The Institute of Business Ethics, a London-based organization.

 specify categories of problems such as conflicts of interest; taking offering bribes, gifts, favor etc;

Implementation, Reporting and Sanctions- The final section of a code will deal with administrative implementation of
the code and sanctions against code violations.