BUSINESS ETHICS

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SECOND SEMESTER
MODULE-3
SESSION:6
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TOPIC 1:
APPROACHES

 TELEOLOGICAL APPROACH

 DEONTOLOGICAL APPROACH

 UTILITARIAN APPROACH
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Fundamental theories

 Descriptive ethics

 Analytical ethics

 Normative ethics

 Relative ethics

 Universalism
 Descriptive
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ethics

 It is the study of people ,belief, behaviour about morality

 It describe and observe the people’s actual behaviour

 It deals with what people actually belief to be right or wrong and

accordingly hold up the human actions acceptable or non
acceptable or punishable under a custom and law.
 It also known as comparative ethics

 It compares past and present activities of one society and

others.
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Analytical ethics

 It also known as meta ethics ,Just ethics ,critical

ethics etc
 It look at the nature of ethics

 It move from the how, when enquiry of descriptive

ethics view point to asking why
Normative ethics
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 It moves the evolution of ethical behaviour

from past to future.
 Present information what should be done in
the future rather than what was done in the
past both part of descriptive and analytical
ethics.
 It determine what is right or wrong without
bias describing actions.
Ethicalz relativism

 Relativist believe that what is right determined by culture

and individual believes and that there are no universal
rule.
 It is the view that there is no universal ethical standard
which can be applied to all people in all society.
 There is no universal rule that defined right or
wrong(morality)
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 Instead of morality is determined by the standard

of a persons own authority.
 It may be govt, a religion, a family member ,culture
etc
 Moral truth is not same for all the people at all time
at all place.
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Universalism
 It believes ethical principles are for everybody.

 There are universal rule for define morality

 Moral truth is same for all the people at all time,

at all place.
 Moral universalism is in the form of human rights.
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Teleological approach

 Derived Greek word- Tele-end and logos-science - to end

science

 It look at consequence result of action or outcome of action

 It determine the ethics of an art by looking to the

consequences of the decision.

 The result of action to decide whether it is right or wrong

(morality).
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 Morality of an action is contingent with the outcome
of that action.
 Morality of action is contingent with the outcome of
action so the morality right action would produce
good outcome while morality wrong action would
produce bad action / output.
 It also known as consequentialist ethics.

 It opposed to deontological approach.

 This theory consider egoism and utilitarism.

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 Ego

actions are judge ethical or unethical

based on the consequence to one self. Actions
that maximize self interest are performed.
 Utilitarism

actions are judged as ethical or unethical

based on consequence to others.
Deontological approach
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 Greek word-deon-to duty

 It also called duty theory

 It focus on nature of duty and obligations

 The duty & obligations determine whether actions

are right or wrong.
 It is duty based ethics

 It focus on only act not in consequence.

 Difference
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Teleology
 It is a consequential theory
 Goodness and badness determine by the
result or outcomes or consequences.
 Consequence based view of ethics was
introduced by Jeremi Benthan,John Stuart
mill, peter sindel etc .it is known as
utilitarian approach.
 It examine past experiences in order to
predict the result of a present action.
Deontology
 Duty theory
 Goodness or badness is
determined by action or duty.
 Rules based view of ethics was
first proposed by immanual Kant
is known as Kantian ethics.
 It follows what is morally right
based on the values that are
instilled in each person
Utilitarianism
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 It is the philosophy used in making ethical decisions
that aims to achieve the greatest good for the greatest
number.
 It is a teleological theory

 It is based on principles of ability

 it is normative

 This philosophy is associated with Jeremi Bentham-

john Stuart mill-peter sindel
 The term ‘utilitarianism’ gives emphasis on utility or
usefulness rather than on pleasure.
 Utilitarism has 3 possibility
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 Actual utilitarianism-action or pleasure based

–Jeremi Bentham
 Rule utilitarianism:-rule based-John Stuart Mill

 Preference utilitarianism: Maximum individual

or people –peter sindel
 universalism
• It believes ethical principles are for everybody.
• There are universal rule for define morality
• Moral truth is same for all the people at all
time, at all place.
• Moral universalism in the form of human
rights.
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TOPIC: 2
APPROACHES

 SOCRATES, PLATO, ARISTOTLE,

 JOHN STUART MILL, IMMANUEL KANT,

 JEREMY BENTHAM, KARL MAX

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JEREMEY BENTHAM

 Jeremy Bentham equated happiness with pleasure and

absence of pain

 People desire pleasure and seek to avoid pain.

 He focuses on teleological approach of ethics.

 This theory based in ancient Hedonism (pleasure

seeking)

 Highest good is the greatest pleasure for greatest number

of people.
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THANK YOU
 BUSINESS ETHICS
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MODULE: 3
SESSION:7
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TOPIC: 3

 PROCESS OF ETHICAL
DECISION MAKING IN BUSINESS
 TOPIC:4

LAWRENCE KOHLBERG’S
z THEORY ON MORAL
COGNTIVE DEVELOPMENT
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 TOPIC:5
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WHISTLE BLOWING
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Whistle z Blowing is the instance of reporting improper
activities to an appropriate person—
Richard T. De George

 A whistle blower is an employee, former

employee or member of an organization,
especially business or Govt. agency, who reports
the misconduct to people or entities that have
the power presumed willingness to take
corrective actions.
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Topic: 6
LAW Vs ETHICS
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RELATIVISM VS.
UNIVERSALISM
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TOPIC:8
FOR AND AGAINST BUSINESS ETHICS
 Arguments for business  Arguments against
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ethics: business ethics:
 1) Holistic approach.  1) No need for ethics
separately.
 2) Leadership.
 2) Demand and supply forces
 3) Employee commitment.
only operate.
 4) Investor loyalty
 3) Compliance of law.
 .5) Customer satisfaction
 4) Conflicts of interest.
 .6) Business is a co-operative effort.
 5) Profit is the object of
 7) Higher profits. business.

 8) Changing mindset of shareholders.  6) Poor moral standards of

society
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THANK YOU