BUSINESS ETHICS AND SOCIAL

RESPONSIBILITY
LESSON 6: THE CLASSICAL PHILOSOPHERS
INTRODUCTION
 Philosophy’s literal meaning is “love of wisdom” (philo - love),
(sophos – wisdom). The most common definition of philosophy
is that it is an action people carry out when they look to
understand major truths about themselves, the world in which
they live, as well as their relationships to the world and to each
other.
 Business philosophy on the other hand, is the set of principles
and beliefs that a company is working toward to achieve
success. It is an important epitome that is being used as a guide
for the business to keep moving forward towards their ultimate
goal.
SOCRATES, ON DARING TO DISAGREE

 His known for his classic philosophy, HAVE THE

COURAGE TO DISAGREE. He is best known for the
Socratic method of question and answer. The
Socratic method is a way of thinking that allows
individuals to define their own purpose for learning.
In business, administrators ought not to sleepwalk
or basically oblige the group.
PLATO’S CLASSIC PHILOSOPHY

 Plato was a student of Socrates before forming the Academy,

his own school. Early Platonic dialogues reflect the early
teachings of Socrates; later dialogues show more of Plato’s
original thought. Plato argued that our senses provide only
illusion and that reason can provide true knowledge.
 THE POWER TO RULE. His prime belief was that a person must
study themselves in order to find out their level of character. He
is acclaimed for his choices regarding the matter of the real
world. In business, it is constantly vital to know the qualities and
shortcomings of everybody.
PLATO’S CLASSIC PHILOSOPHY

 Plato discusses psuche, usually translated as “soul” or

“mind” in numerous works that extend over years of his
life. He speaks of a tripartite mind including the
appetitive soul, the affective soul, and the rational soul.
ARISTOTLE’S ON LETTING PEOPLE SEEK
FULFILLMENT

 Aristotle was a student of Plato who, after leaving the Academy

at Plato’s death, founded his own school, the Lyceum.
 He recognized the importance of pleasure and pain in human
motivation, Aristotle advocated a “golden mean” between the
extremes of human activity.
 He recognized four factors that affected human ability to
achieve the good life: individual differences, habit, social
supports, and freedom of choice.
 Psychological thought after Aristotle moved from a pursuit of
knowledge to a pursuit of gratification and the determination of
what constitutes a good life.
ARISTOTLE’S (VIRTUE AND HAPPINESS)

 The word happiness in the Ethics is a translation of the

Greek term eudaimonia, which carries connotations of
success and fulfilment.
 For Aristotle, this happiness is our highest goal.
However, Aristotle does not say that we should aim at
happiness, but rather that we do aim at happiness.
 His goal in the Ethics is not to tell us that we ought to
live happy, successful lives, but to tell us what this life
consists of.
CONFUCIUS

 is a Chinese teacher, editor, politician, and philosopher of the

spring and autumn period of Chinese history.
 The philosophy of Confucius emphasized personal and
governmental morality, correctness of social relationships,
justice and sincerity.
 Confucius' principles had a basis in common Chinese tradition
and belief. He championed strong family loyalty, ancestor
worship, respect of elders by their children and of husbands by
their wives.
 He also recommended family as a basis for ideal government.
CONFUCIUS

 The most famous of his golden rule: DO NOT DO UNTO

OTHERS WHAT YOU DO NOT WANT OTHERS DO UNTO
YOU, and his famous classic philosophy is LIVE A
CONTENTED, MORAL AND HAPPY LIFE. Confucian
values can aid in the creation of business leaders who
are true leaders of the society.
THE IMPORTANCE OF “GUANXI”

 Guanxi” literally means “relationships”, and interpersonal

relationships in Chinese business are extremely valuable, as
Guanxi has been stated to be their ‘second currency’.
 The Chinese business mentality is very much one of “You scratch
my back, I’ll scratch yours.” In essence, this translates to
exchanging favours, which are expected to be done regularly
and voluntarily. What underpins this ideology is the concept of
respect within a business context. Respect between all with
whom you conduct business with should be something we
imitate from the Chinese business culture, as Confucius said;
“without feelings of respect, what is there to distinguish men from
beasts?
PLUTARCH, ON BEING A GOOD ROLE MODEL

 The ancient Greek historian and educator, understood that

humans are incredibly social creatures, who constantly observe
the people around them and imitate them. He is famous in his
philosophy, BE A GOOD ROLE MODEL.
 In organizational terms, that means what you say to your
employees is less important than what you do.
 They will watch how you behave, how you treat others, how you
cope with pressure and whether you follow through on your
promises.
 And they will imitate you, they will follow your lead.
 EPICURUS, ON THE ART OF HAPPINESS

 THE ART OF HAPPINESS. Epicurus was a fourth century Greek philosopher

who taught, rather scandalously, that the aim of life was simply to be as
happy as possible here on Earth. He warned that humans are very bad at
being happy, and very good at inventing reasons to be miserable. Today,
some companies are embracing Epicurus' philosophy, and trying to teach
their employees the art of happiness.
 Today, some companies are embracing Epicurus' philosophy, and trying to
teach their employees the art of happiness. Tony Hsieh, the CEO of
American shoe company Zappos, is so committed to the company's
courses in happiness that he sold the company to Amazon on the
agreement it would be able to continue with its unique happy culture.
(The Guardian, 2020)
RUFUS, ON KEEPING TRACK OF ONE’S
ETHICAL PROGRESS
 Musonius Rufus was known as the Socrates of Rome.
 He was another Stoic, who taught that philosophy
cannot just be theoretical. If you want to be an ethical
individual or an ethical company, you can't just study
ethics, you must practice it, every day, to get into good
habits.
 The ancient Greek word for ethics is the same word for
habit. (The Guardian, 2020)
 RUFUS, ON KEEPING TRACK OF ONE’S
ETHICAL PROGRESS
 You also need to keep track of your progress, to see how you are
performing. You cannot just rely on your intuitions, because they
are often wrong.
 So, the ancient Greeks learned to keep accounts of themselves.
 They would track their daily behavior in journals, keeping
account of how many times they lost their temper, for example,
or got too drunk.
 Then they could see if they were really improving their
behavior, or just going around in circles. (The Guardian, 2020)
 RUFUS, ON KEEPING TRACK OF ONE’S
ETHICAL PROGRESS
 In organizational terms, keeping track of ourselves means trying to take
an evidence-based assessment of our performance.
 We might say we are a green company, but how do we know if we are
making progress? We might say we are a happy organization, but how do
we know? We can keep track of this, for example by asking our employees
(anonymously) how worthwhile they feel their job is.
 Then see if, in a year, we have managed to enhance their sense of
purpose. (The Guardian, 2020)
 Today, we use balanced score card, where we keep track on our
performance from begging one cycle to the end.
IMMANUEL KANT
One of the most influential philosophers in the history of Western philo
advances the theory of deontology or deontological ethics, the theory o
obligation.

One of the most

influential philosophers in
the history of Western
philosophy. He advances
the theory of deontology
or deontological ethics,
the theory of duty and
obligation.
 THE ETHICS OF BENTHAM AND MILL:
UTILITARIANISM

 Jeremy Bentham, an attorney, a consultant to the British Parliament

in the late-eighteenth century.
 Utilitarian ethical theories are based on one’s ability to predict the
consequences of an action. When making moral decisions, we are
advised to select that action which produces the greatest amount of
good for the greatest number of people.
 If the balance of good or happiness or usefulness outweighs that of
evil, harm, or unhappiness, then the choice is a moral one.
 Due to this emphasis on the outcome of ethical decisions,
utilitarianism is classified as a consequentialist theory.
 THE ETHICS OF JOHN RAWLS: JUSTICE THEORY

Rawls is a uniquely American political

philosopher, and this can be seen
from his emphasis on political liberty.
He labeled his ethics to be “justice as
fairness,” and he developed it over
nearly a lifetime. In Western thought,
Rights theories, a right refers to a
person’s just claim or entitlement.
Justice theories define justice as the
ideal, morally correct state of things
and persons.