Determinants of Ethical Behavior
Determinants of Ethical Behavior
Determinants of Ethical Behavior
Personal Ethics
Generally accepted principles of right and wrong governing the conduct of individuals
Our personal ethical code exerts a profound influence on the way we behave as
businesspeople
The first step to establishing a strong sense of business ethics is for a society to
emphasize strong personal ethics
Expatriate managers may experience more than the usual degree of pressure to
violate their personal ethics
Decision-Making Processes
Organization Culture
The climate in some businesses does not encourage people to think through the
ethical consequences of business decisions
Result of an organizational culture that deemphasizes business ethics, reducing all
decisions to be purely economic
Pressure from the parent company to meet unrealistic goals that can only be
attained by cutting corners or acting in an unethical manner
This often results in managers will violating their own personal ethics and engage in
unethical behavior
Leadership
Leaders help to establish the culture and values of an organization, and they set the
example that others follow