LAW 308-2

  1. Ethics
    The study of what is right or good for human beings
  2. Business Ethics
    The study of what is right or good for human beings in a business setting
  3. Ethical Fundamentalism
    individuals look to a central authority or set of rules to guide them in ethical decision making
  4. Ethical Realitivism
    asserts that actions must be judged by what individuals subjectivly feel is right or wrong for themselfs
  5. Situational Ethics
    one must judge a persons actions by first putting onesself in in the actors situation.
  6. Utilitarianism
    Moral actions are those that produce the greatest net pleasure over pain.
  7. Act Utilitarianism
    assesses each seperate act according to wheather it maximizes pleasure over pain
  8. Rule Utilitarianism
    Supports rules that on balance produce the greatest pleasur for society
  9. Cost-Benefit Analysis
    qualifies the benefits and cost of alternatives
  10. Deontology
    holds that actions must be judged by their motives and means as wel as their results
  11. Social Ethics Theories
    Focus on a persons obligations to other members in society and and on the individuals rights and obligations within society
  12. Social Egalitarians
    believe that scoiety should provide all its members with equal amounts of goods and services regardless of their relative contributions.
  13. Distributive Justice
    stresses equality of opportunity rather than results
  14. Libertarians
    stress market outcomes as the basis for distributing societys rewards.
  15. Intuitionism
    a rational person posseses inherent power to assess the corectness of actions
  16. Good person
    individuals should seek out and emulate good role models
  17. Kohlbergs stages of moral development
    Preconventional (Childhood) - Self Perspective - Justification Punishment/Reward

    Conventional (Adolecent) - Group Perspective - Justification Group Norms

    PostConventional (Adult) - Universal Perspective - Justification Moral Principals
  18. Corporations as Moral Agents
    Corporations are statutorily created entitys it is not clear whether they should be held morally responsible
  19. Regulation of Business
    Governmental regulation has ben necessary because all conditions for a perfect competition has not been satisfied and free competition cannot by itself achieve other societal objectives
  20. Corporate Governance
    vast amounts of wealth and power have become concentrated in a small number of corporations, which in turn are controlled by a small group of corporate oficers
  21. Arguments against social responsibility
    • 1.) Profitability - becasue corporations are artificial entities established for profit making activities their only scoial obligation should be to return as muc money as possible to shareholders
    • 2.) Unfairness - whenever corporations engage in social activities, such as supporting the arts/ education, they divert funds rightfully belonging to shareholders and or employees unrelated to third parties.
    • 3.) Accontability - a corporation is subject to less public acountability than public bodies are
    • 4.) Expertise - Although a corporation may have a high level of expertise in selling, there is absolutly no gaurantee that any promotion of social activities will be carried on with the same degree of competence.
  22. Arguments in favor of social responsibility
    • 1.) The social contract - because society allows for the creation of corporations and gives them special rights including a grant of limited liability corporaitons owe a responsibility to society
    • 2.) Less Governement Regulation - by taking a more proactive role in addressing societys problems corporaitons create a climate of trust and respect tha thas the effect of reducing government regulation.
    • 3.) Long-run profits - corporate involvment in social causes creates goodwill, which simply makes good business sense.
Card Set
LAW 308-2
LAW 308 Exam CH 2