Business Law- Chapter 3: Business Ethics, Social Forces, the Law

Flashcard maker : Lily Taylor
Ethics
branch of philosophy dealing with values that relate to the nature of human conduct and values associated with that conduct.
Business Ethics
balancing the goal of profits with the values of individuals and society
Positive (codified) Law
test of whether an act is legal is a common moral standard
Natural Law
imposes higher standard of behavior than those required by positive law and they must be followed even if those higher standards run contrary to codified law (i.e. slavery)
Civil Disobedience
(refusal to obey laws) remedy natural law proponents use to change positive law.
Kant’s categorical imperative
you cannot use others in a way that gives you a one-sided benefit.
Theory of justice (social contract)
no rules at all, blank slate and universal rules would apply (rational people would think through the results and consequences if there were no rules, and would develop rules that would result in fairness.
Rights theory (entitlement theory)
1) everyone has a set of rights, 2) it is up to the governments to protect those rights.
Ethical egoism
we all act in our own self-interest and that we should limit our judgment to our own ethical egos and not interfere with the exercise of ethical egoism by others.
Utilitarians
most good for the most people
Moral relativists
resolve ethical dilemmas according to time and place
stakeholders
businesses have different constituencies (voters), stakeholders, with conflicting goals for business
Stakeholder analysis
measures the impact of a decision on a various groups and then asks whether public disclosure of that decision is defensible.
Integrity
adherence to one’s values and principles despite the costs and consequences
Conflict of interest
conduct that compromises that loyalty
primum non nocere
“above all, do no harm” (selling a product)

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