The ethical tension over whether countries have differentiated responsibilities for climate change mitigation evokes the tale of a master and a man. The one who thinks she is the master is analogous to the wealthier, industrialized nations and their market actors, and the human is the rest of humanity, particularly those citizens of less developed countries. Since 1992, there has been formal, stated agreement that there should be differentiated responsibilities for climate change mitigation between developed and developing nations, but differentiation remained a sticking point in negotiations over implementation at Copenhagen in 2009. Putting the parties in the climate change differentiation debate in analogy with the characters of Tolstoy’s story, “Master and Man,” this paper seeks to advance the common appreciation for the moral foundations of differentiation.

The effectiveness of professional sanctions against violations rests upon the severity of sanctions and detection of violations. Here we examine perceptions of professional violation detection in auditing where the professional standards may conflict with the interests of the auditor’s firm. Using a sample of future and experienced auditors, we test the relationship between professional violations and auditors’ perceptions of the likelihood that severely-sanctioned violations will be discovered (a) by the audit profession, and (b) by the auditor’s firm. In our study, an auditor’s belief that professional bodies are likely to detect professionalviolations relates positively to auditor professionalism. However, we find beliefs that the audit firm will detect severely-sanctioned professional violations negatively affect auditor professionalism. In our study, the lowest level of professionalism occurs when auditors believe that their own audit firm, but not the audit profession, will detect a professional violation. We also find that auditors’ internalization of professional standards relates positively to auditor professionalism. Implications for future research and practice are discussed.

In part 1 of the paper, I develop a Platonic business ethic, emphasizing Plato’s Republic. I approach business ethics from a virtue ethics position, and I attempt to show that a Platonic craftsmanship model infuses a corporation with a type of managerial wisdom and justice, molds temperate and courageous corporate characters, and entails a morally fine type of self-interest. I also show that it is basic to two influential management theories.In part 2, I use Amartya Sen’s Development as Freedom to show that the craftsmanship model is central to the concept of development. This concept is important in ethical discussions of both globalization and transnational corporations. Thus, I attempt to globalize Platonic business ethics using a craftsmanship model.In my concluding remarks, I attempt to show that the Plato/Sen position on development can be illustrated by both American and non-American capitalist firms functioning in our globalized world.

A great deal has been written in recent years about the justification, if any, for the current levels of executive compensation. The folk consensus is that the current levels of executive compensation are unjustifiably high from both a moral and an economic perspective. In the case of the former, the compensation level is unfair and unjust. And in the case of the latter, the compensation level is not in the broader interests of other stakeholders or of firm-value maximization.In this paper I counter this folk wisdom. I argue that executive compensation is a facet of the Stockholder Model, in which the primary objective of the firm is taken to be the maximization of shareholder wealth, and as such any moral critique of executive compensation is by default a critique of the Stockholder Model. Thus a necessary and sufficient condition for a moral defense of executive compensation is a moral defense of the Stockholder Model. I provide such a defense. Once the Stockholder Model is accepted then any moral or economic defense of executive compensation rests on its compatibility with shareholder wealthmaximization. I argue that the current levels of executive compensation are consistent with the overarching corporate goal of shareholder wealth maximization. Thus the current levels of executive compensation are both morally and economically justified.

Research on small-to-medium enterprises (SMEs) and the ethical dimension of their internationalization initiatives has not been sufficiently undertaken, with research in international business and business ethics focusing primarily on multinational enterprises and their corresponding social responsibilities. This paper addresses this lacuna by discussing the ethical issues surrounding the process by which such firms utilize network-expanding strategies to legitimate themselves to foreign networks and partners. Through a longitudinal grounded theory approach, this paper illustrates how SME internationalization is a relationally-influenced and ethically-laden process that needs careful deliberation and reflection. Because their internationalization initiatives give rise to issues that do not diminish one’s responsibility for ethical behavior, SMEs need to create an ethical infrastructure that, while cognizant of their resource constraints, enables them to develop and sustain a strong sense of character and integrity to deal with the challenges surrounding SME internationalization.

Organizations have a vested interest in customers, employees, and users to disclose information within existing expectations of privacy. This empirical examination uses theoretical sampling and experimental design to identify the factors individuals consider when disclosing information within privacy expectations. The findings from a factorial vignette survey are theoretically generalizable and show that an individual’s relationship to the recipient (familiarity) and the degree to which the information is protected from being easily transferred to others (friction) positively influence the odds that disclosure is judged to be withinprivacy expectations. The results have implications for data gathering and management of customer, user, and employee information, and suggest a two pronged strategy for organizations targeting the disclosure of information by individuals inside and outside the organization: (1) taking into consideration the familiarity of the recipient and (2) increasing the information friction of the environment.

Market events of the past few years have resurrected long unheeded calls for the professionalization of the occupation of business manager, not in terms of increased technical proficiency, but in terms of a renewed vigor to shape the practice of management and the education of those who will fill its ranks along the lines of the “ideal of service” which characterizes socially established professions like law and medicine. In this paper I argue that the push to professionalize business management can be grounded in an ISCT (Integrative Social Contracts Theory) treatment of the “vulnerable values” argument which itself has served as a source for the professionalization of medicine and law. Additionally, I offer a sketch of an argument that once business managers are considered to be members of a profession, we can begin to develop an account of “business malpractice” which would, when it occurs, represent an ethical violation of the “publicpledge” that members of all professions make to serve the broader good of society.

Providing access to medicines and health care is one of the most challenging issues facing society today. In this paper the author highlights some of the complexities of the health value chain as well as the problems that the world’s poor have in terms of access to medical care and medicines. He then attempts to delineate the roles and responsibilities of all stakeholders in order to define the specific corporate responsibilities of pharmaceutical companies in the context of the entire responsibility system—the strength of which is determined by its weakest link. Finally, he looks forward to a transformational change being wrought for pro-poor health development by forging new coalitions that cut across both the health and traditional development stakeholders.

Deception has been practiced by sellers since the beginning of the marketplace. Research in marketing ethics has established benchmarks and parameters forethical behavior that include honesty, full disclosure, equity, and fairness. Deception in marketing, however, has not received the same level of attention. This paper proposes to treat deception in marketing within the context of criminology. By examining deception in marketing within the context of criminology, additional insight can be gained into identifying its antecendents and the likelihood of its occurrence. To this end, deception in marketing is interpreted under the empathy/harm matrix, Cressey’s fraud triangle, and the transparency/time-lag matrix. These frameworks are then combined into a diagram detailing antecedents affecting the likelihood of marketing agents participating in deceptive marketing actions. A number of propositions are presented.