Advertisement

Responsibility, Sustainability and Moral Judgement in International Corporations: A Review and Critique

Chapter
  • 6.1k Downloads

Keywords

Social Responsibility Corporate Governance Moral Judgement Stakeholder Theory Corporate Responsibility 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Abstract

As moral actors, managers possess a range of values and norms which reflect, inter alia, training, education, cultural background, personality and business experience. When managers decide to act, their concern for the consequences of their actions lies at the heart of corporate responsibility. However, managers have no choice other than to pursue profitable growth based on economic efficiency, and you can’t make a moral judgement based on economic efficiency. This tension, between moral judgement and neo-classical economics, brings into question whether corporate responsibility can indeed translate into sustainable business practice.

References

  1. AACSB-The Association to Advance Collegiate Schools of Business. (2014). www.aacsb.edu/publications/datareports/data-guide.aspx. Accessed 6 March 2015.
  2. Aldrich, H. E. (1979). Organizations and environments. Englewood Cliffs: Prentice-Hall.Google Scholar
  3. Bartlett, D. (2003). Management and business ethics: A critique and integration of ethical decision-making models. British Journal of Management, 14, 223–235.CrossRefGoogle Scholar
  4. Bazerman, M. H., & Tenbrunsel, A. E. (2011). Ethical breakdowns. Harvard Business Review, 89(4), 58–65.Google Scholar
  5. Becerra, M. (2009). Theory of the firm for strategic management: Economic value analysis. Cambridge: Cambridge University Press.CrossRefGoogle Scholar
  6. Bell, D. (1971). The corporation and society in the 1970s. The Public Interest, 1971, 5–32.Google Scholar
  7. Beu, D. S., Buckley, M. R., & Harvey, M. G. (2003). Ethical decision-making: a multidimensional construct. Business Ethics: A European Review, 12(1), 88–107.CrossRefGoogle Scholar
  8. Blair, M. (1995). Ownership and control. Washington DC: The Brookings Institution.Google Scholar
  9. Boyde, E. (2013). The MBA—a degree of relevance for the 21st century? Financial Times, July 14, 2013.Google Scholar
  10. Brown, L. R. (2009). PLAN B 4.0: Mobilizing to save civilization. New York: Norton & Company (Earth Policy Institute).Google Scholar
  11. Buchholz, R. A. (1991). Corporate responsibility and the good society: From economics to ecology. Business Horizons, 34, 19–31.CrossRefGoogle Scholar
  12. Carley, M., & Christie, I. (1992). Managing sustainable development. London: Earthscan Publications Ltd.Google Scholar
  13. Carroll, A. B. (1979). A three-dimensional conceptual model of corporate performance. Academy of Management Review, 4(4), 497–505.Google Scholar
  14. Carroll, A. B. (1999). Corporate social responsibility: Evolution of a definitional construct. Business and Society, 38(3), 268–295.CrossRefGoogle Scholar
  15. Carroll, A. B., Lipartito, K. L., Post, J. E., et al. (2012). Corporate responsibility: The American experience. Cambridge: Cambridge University Press.CrossRefGoogle Scholar
  16. Castrogiovanni, G. J. (1991). Environmental munificence: A theoretical assessment. Academy of Management Review, 16, 542–565.Google Scholar
  17. Checkland, P. (1995). Systems theory and management thinking. In K. Ellis, et al. (Eds.), Critical issues in systems theory and practice 1–14. New York: Plenum Press.Google Scholar
  18. Cheit, E. F. (1964). The new place of business: Why managers cultivate social responsibility. In E. F. Cheit (Ed.), The business establishment. New York: Wiley.Google Scholar
  19. Clegg, S. R., & Ross-Smith, A. (2003). Revising the boundaries: Management education and learning in a postpositivist world. Academy of Management Learning and Education, 2(1), 85–88.Google Scholar
  20. Crane, A., & Matten, D. (2010). Business ethics (3rd ed.). Oxford: Oxford University Press.Google Scholar
  21. Daft, R. L., & Lengel, R. H. (1986). Organisational information requirements, media richness and structural design. Management Science, 32(5), 554–571.CrossRefGoogle Scholar
  22. Daily, C. M., Dalton, D. R., & Cannella Jr., A. A. (2003). Corporate governance: Decades of dialogue and data. Academy of Management Review, 28(3), 371–382.Google Scholar
  23. Daly, H. E. (1992). Steady-state economics: Concepts, questions, policies. GAIA, 6, 333–338.Google Scholar
  24. Davies, G., Chun, R., da Silva, R. V., & Roper, S. (2003). Corporate reputation and competitiveness. London: Routledge.Google Scholar
  25. Davis, K. (1973). The case for and against business assumption of social responsibilities. Academy of Management Journal, 16, 312–322.CrossRefGoogle Scholar
  26. Davis, K. (1967). Understanding the Social Responsibility Puzzle. Business Horizons, 10(4), 45–51.Google Scholar
  27. Davis, I. (2005). The biggest contract. The Economist, May 28th 2005, 73–75.Google Scholar
  28. Deresky,H. (2000). International management: Managing across borders and cultures. New York: Pearson.Google Scholar
  29. Denny, C. M., & Evans, P. E. (2008). The corporation in modern society. Minneapolis: Hubert H. Humphrey Institute of Public Affairs, University of Minnesota.Google Scholar
  30. Der Spiegel. (2012). Industrie zockt Kinder ab. Der Spiegel, 47, 82.Google Scholar
  31. Der Spiegel. (2014a). Verbrechen zahlt sich aus. Der Spiegel, 46, 81.Google Scholar
  32. Der Spiegel. (2014b). Das ist Zwangsarbeit. Der Spiegel, 47, 80.Google Scholar
  33. Der Spiegel. (2014c). Unfaire Geschäfte. Der Spiegel, 41, 68–70.Google Scholar
  34. Der Spiegel. (2014d) Der Brokkoli gehört uns allen. Der Spiegel, 44, 127.Google Scholar
  35. Der Spiegel. (2014e) Das Zombie-System. Der Spiegel, 43, 66–76.Google Scholar
  36. Ehrlich, P. R. (1989). The limits to substitution: Meta-resource depletion and a new economic-ecological paradigm. Ecological Economics, 1(1), 9–16.CrossRefGoogle Scholar
  37. Epstein, M. J. (2008). Making sustainability work. Sheffield: Greenleaf Publishing.Google Scholar
  38. Evan, W. M., & Freeman, R. E. (1988). A stakeholder theory of the modern corporation: Kantian capitalism. In T. Beauchamp & N. Bowie (Eds.), Ethical theory and business. Englewood Cliffs: Prentice Hall.Google Scholar
  39. Fayol, H. (1949). General and Industrial Management (Constance Storrs’ translation 1949). London: Pitman.Google Scholar
  40. Fleming, P., & Jones, M. T. (2013). The end of corporate social responsibility, crisis and critique. London: Sage.Google Scholar
  41. Freeman, S. E. (1984). Strategic management: A stakeholder approach. London: Pitman Books.Google Scholar
  42. French, R., & Grey, C. (Eds.). (1996). Rethinking management education. Thousand Oaks: Sage Publications.Google Scholar
  43. Friedman, M. (1970). The social responsibility of business is to increase its profits. New York Times Magazine, 13, 1970.Google Scholar
  44. Galbraith, J. K. (1961). The Great Crash 1929. Harmondsworth: Penguin Books Ltd.Google Scholar
  45. Georgescu-Roegen, N. (1971). The entropy law and economic process. Cambridge: Harvard University Press.CrossRefGoogle Scholar
  46. Ghoshal, S. (2005) Bad management theories are destroying good management practices. Academy of Management Learning and Education, 4(1), 75–91.CrossRefGoogle Scholar
  47. Greening, D. W., & Turban, D. B. (2000). Corporate social performance as a competitive advantage in attracting a quality workforce. Business and Society, 39(3), 254–280.CrossRefGoogle Scholar
  48. Greenpeace. (2015). Homepage. stopgreenwash.org. Accessed 6 March 2015.Google Scholar
  49. Hass, J. L. (1996). Environmental (“Green”) management strategy typologies: An evaluation, operationalization and empirical development. Business Strategy and the Environment, 5, 59–68.CrossRefGoogle Scholar
  50. Hawken, P. (1993). The ecology of commerce. London: Phoenix.Google Scholar
  51. Hawken, P. (1996). The natural step: An interview with Paul Hawken. Ecological Economics Bulletin, 1(4), 6–10.Google Scholar
  52. Henkel. (2012). Nachhaltigkeitsbericht 2011. Düsseldorf: Henkel AG & Co. KGaA, Corporate Communications.Google Scholar
  53. Jensen, M., & Meckling, W. (1976). Theory of the firm: Managerial behaviour, agency costs and ownership structure. Journal of Financial Economics, 3, 305–360.CrossRefGoogle Scholar
  54. Keynes, J. M. (1953). The general theory of employment interest and money. New York: Harcourt Brace Jovanovich.Google Scholar
  55. Khurana, R., & Nohria, N. (2008). It’s time to make management a true profession. Harvard Business Review, 86(10), 70–77. https://hbr.org/2008/10/its-time-to-make-management-a-true-profession.Google Scholar
  56. Klein, N. (2002). No logo. New York: Picador.Google Scholar
  57. Kotler, P., & Lee, N. (2005). Corporate social responsibility. Hoboken: Wiley.Google Scholar
  58. Krajewski, M. (2014). The Great Lightbulb Conspiracy. IEEE Spectrum. http://spectrum.ieee.org/geek-life/history/the-great-lightbulb-conspiracy. Accessed 24 Sept 2014.Google Scholar
  59. Kurucz, E. C., Colbert, B. A., & Wheeler, D. (2008). The business case for corporate social responsibility. In A. Crane, et al. (Eds.), The Oxford handbook of corporate social responsibility (S. 83–112). Oxford: Oxford University Press.Google Scholar
  60. Leopold, A. (1949). A sand county Almanac. Oxford: Oxford University Press.Google Scholar
  61. Locke, J. (1690). Two Treatises of Government (1764 edition. ed. T. Hollis). http://oll.libertyfund.org/titles/locke-the-two-treatises-of-civil-government-hollis-ed. Accessed 6 March 2015.
  62. Mantz, J. W. (2008). Improvisational economies: Coltan production in the eastern Congo. Social Anthropology, 16(1), 34–50.CrossRefGoogle Scholar
  63. McDonough, W., & Braungart, M. (2002). Cradle to cradle: Remaking the way we make things. New York: North Point Press.Google Scholar
  64. Melé, D. (2008). Corporate social responsibility theories. In A. Crane, et al. (Eds.), The Oxford handbook of corporate social responsibility (pp. 47–82). Oxford: Oxford University Press.Google Scholar
  65. Mintzberg, H. (1973). The nature of managerial work. New York: Harper and Row.Google Scholar
  66. Mintzberg, H. (1983). The case for corporate social responsibility. The Journal of Business Strategy, 4(2), 3–15.CrossRefGoogle Scholar
  67. Mintzberg, H. (2004). Managers not MBAs. San Francisco: Berrett-Koehler Publishers Inc.Google Scholar
  68. Mintzberg, H., Raisinghani, D., & Théorêt, A. (1976). The structure of “unstructured” decision processes. Administrative Science Quarterly, 21, 246–275.CrossRefGoogle Scholar
  69. Nestlé. (2012). Creating shared value. Summary Report 2011. Nestlé S.A., Public Affairs, Vevey.Google Scholar
  70. Orlitzky, M. (2008). Corporate social performance and financial performance: A research synthesis. In A. Crane, et al. (Eds.), The Oxford handbook of corporate social responsibility (pp. 113–134). Oxford: Oxford University Press.Google Scholar
  71. Pearce, D., Markandya, A., & Barbier, E. B. (1989). Blueprint for a green economy. London: Earthscan Publications Ltd.Google Scholar
  72. Porter, M. (1980). Competitive strategy: Techniques for analysing industries and competitors. New York: The Free Press.Google Scholar
  73. Porter, M. (1985). Competitive advantage: Creating and sustaining superior performance. New York: The Free Press.Google Scholar
  74. Porter, M. (1990). The competitive advantage of nations. London: Macmillan.CrossRefGoogle Scholar
  75. Porter, M. E., & Kramer, M. R. (2002). The competitive advantage of corporate philanthropy. Harvard Business Review, 80(12), 56–68.Google Scholar
  76. Porter, M. E., & Kramer, M. R. (2006). Strategy and society. Harvard Business Review, 84(12), 78–92.Google Scholar
  77. Porter, M. E., & Kramer, M. R. (2011). Creating shared value. Harvard Business Review, 2011, 89(1/2) 62–77.Google Scholar
  78. Protherough, R., & Pick, J. (2002). Managing Britannia: Culture and management in modern Britain. Denton: The Brynmill Press.Google Scholar
  79. Rawls, J. (1971). A theory of justice (revised edition 1999). Cambridge: Harvard University Press.Google Scholar
  80. Sandel, M. J. (2013). Market reasoning as moral reasoning: Why economists should re-engage with political philosophy. Journal of Economic Perspectives, 27(4), 121–140.CrossRefGoogle Scholar
  81. Schaefer, A., & Harvey, B. (1998). Stage models of corporate ‘greening’: A critical evaluation. Business Strategy and the Environment, 7(3), 109–123.CrossRefGoogle Scholar
  82. Schein, E. H. (2010). Organizational culture and leadership (4th ed.). San Francisco: Jossey-Bass.Google Scholar
  83. Steffen, W., Sanderson, A., Tyson, P. D., et al. (2004). Global change and the earth system: A planet under pressure. Berlin: Springer-Verlag.Google Scholar
  84. Stern, N. (2007). The economics of climate change. Cambridge: Cambridge University Press.CrossRefGoogle Scholar
  85. Stewart, M. (2009). The management myth. New York: Norton.Google Scholar
  86. Stiglitz, J. (2002). Globalisation and its discontents. London: Penguin Books.Google Scholar
  87. Stiglitz, J. (2012). The price of inequality. New York: Norton.Google Scholar
  88. SustainAbility. (1995). Who needs it? Market implications of sustainable lifestyles. London: SustainAbility Ltd.Google Scholar
  89. Swanson, D. L. (1995). Addressing a theoretical problem by reorienting the corporate social performance model. Academy of Management Review, 20(1), 43–64.Google Scholar
  90. Taylor, F. (1911). The principles of scientific management. New York: Harper and Brothers.Google Scholar
  91. The Economist. (2002). Special Report: Bribery and Business. The Economist. 2 March 2002:67–70.Google Scholar
  92. The Economist. (2005a). Bad for business? The Economist. 19 February 2005:53.Google Scholar
  93. The Economist. (22 January 2005b). The good company. A survey of corporate social responsibility, The Economist. 22 January 2005.Google Scholar
  94. The Economist. (2007). Green made good, The Economist. 15 September 2007. www.economist.com. Accessed 6 March 2015.
  95. The Economist. (2008). Just good business. A special report on corporate social responsibility. The Economist. 19 January 2008.Google Scholar
  96. The Economist. (2009). Forswearing greed. The Economist. 6 June 2009:64–65.Google Scholar
  97. The Economist. (2014a). Global wealth. The Economist. 18 October 2014:85.Google Scholar
  98. The Economist. (2014b). Free exchange. The Economist. 8 November 2014:71.Google Scholar
  99. The Economist. (2014c). The third great wave. A special report on the world economy. The Economist. 4 October 2014.Google Scholar
  100. The Economist. (2014d). Buttonwood: All it needs is love. The Economist. 15 November 2014:64.Google Scholar
  101. The Guardian. (2014). UK renewable energy subsidy changes anger solar industry, The Guardian. 2 October 2014. www.theguardian.com/environment/2014/oct/02/uk-renewable-energy-subsidy-changes-anger-solar-industry. Accessed 6 March 2015.
  102. Thomas, A. B. (1993). Controversies in management. London: Routledge.Google Scholar
  103. Thompson, J. D. (1967). Organisations in action. New York: McGraw Hill.Google Scholar
  104. Turner, K. R., Pearce, D., & Bateman, I. (1994). Environmental economics: An elementary introduction. London: Harvester Wheatsheaf.Google Scholar
  105. Van de Ven, A. H., & Poole, M. S. (1995). Explaining development and change in organizations. Academy of Management Review, 20, 510–540.Google Scholar
  106. Wartick, S. L., & Mahon, J. F. (1994). Toward a substantive definition of the corporate issue construct. Business & Society, 33(3), 293–311.CrossRefGoogle Scholar
  107. Whittington, R. (1993). What is strategy—an does it matter? London: Routledge.Google Scholar
  108. Whitley, R. (1995). Academic knowledge and work jurisdiction in management. Organization Science, 16(1), 81–105.CrossRefGoogle Scholar
  109. Whitley, R. (2007). Business systems and organisational capabilities. Oxford: Oxford University Press.CrossRefGoogle Scholar
  110. Wood, D. (1991). Corporate social performance revisited. Academy of Management Review, 16(4), 691–718.Google Scholar
  111. Wood, D. (2010). Measuring corporate social performance. A review. International Journal of Management Reviews, 12(1), 50–84.CrossRefGoogle Scholar
  112. World Vision Australia. (2011). Our Guilty Pleasure: Exploitative Child Labour in the Chocolate Industry, World Vision Australia, East Burwood VIC.Google Scholar
  113. Young, M. D. (1992). Sustainable Investment and Resource Use. Paris: Parthenon Publishing Group. (UNESCO/Carnforth).Google Scholar

Copyright information

© Springer Fachmedien Wiesbaden 2016

Authors and Affiliations

  1. 1.HTW DresdenDresdenDeutschland

Personalised recommendations