the best study guide for ethics

Introduction to Business Ethics

Focus: How to act in business situations where moral values conflict.

Why study Business Ethics

To reason clearly about difficult ethical decisions and apply moral principles to real cases.

Core ethical theories

Utilitarianism, Kantian Ethics, Virtue Ethics, Justice

Discussion article example

Is There Anything ChatGPT's AI 'Kant' Do? - explores ethical AI use.

Ethical question

Is it ethical to direct ethical questions to AI?

Rest's Four-Step Model: Moral Awareness

Recognize what actions are possible and how they affect people.

Rest's Four-Step Model: Moral Judgment

Decide which action is morally right.

Rest's Four-Step Model: Moral Intention

Form an intention to act, prioritizing moral considerations over self-interest.

Rest's Four-Step Model: Moral Action

Carry out the ethical action.

Cognitive Moral Development (CMD)

Kohlberg's six stages of moral development.

CMD Stage 1 - Obedience to Authority

Avoid punishment; follow rules strictly.

CMD Stage 2 - Instrumental Purpose

Focus on self-interest or mutual benefit; "What's in it for me?"

CMD Stage 3 - Interpersonal Conformity

Seek approval; be "good" in others' eyes.

CMD Stage 4 - Social Accord & System Maintenance

Follow laws and rules to maintain social order.

CMD Stage 5 - Social Contract & Individual Rights

Balance individual rights with society's welfare; rules can change for fairness.

CMD Stage 6 - Universal Ethical Principles

Follow internal principles (justice, equality), even if they conflict with rules.

CMD Characteristics

Moral judgment is cognitive, stages progress in order, people reason at highest stage reached.

CMD Value

Helps explain ethical reasoning in business; generalizable across cultures; widely used in research.

CMD Criticisms

Gender bias, disguised value judgments, linearity may not predict behavior.

Gilligan critique

CMD reflects male "justice" perspective; women often use "care" perspective.

Derry study finding

Both male and female managers often prioritize care in ethical decisions.

Moral Recognition: Awareness

Noticing a situation has ethical implications; actions affect others.

Moral Recognition: Sensitivity

Understanding how actions impact people; being empathetic.

Moral Recognition: Attentiveness

Regularly paying attention to ethical issues; keeping morality on your radar.

Biological antecedents

Neural events linking emotion & cognition; gender-specific hormones.

Psychological antecedents

Self-regulation; disposition toward utilitarianism or Kantian ethics.

Socio-cultural antecedents

Moral intensity, environmental priming, managerial socialization.

Consequents of moral recognition

Higher awareness → less dishonesty/cheating; higher sensitivity → less bullying, more defending of others.

Limit of moral recognition

Awareness alone does not guarantee moral behavior.

Utilitarianism - main idea

Maximize overall happiness or utility.

Utilitarianism - key principles

Maximize good outcomes overall; impartiality; agent-neutral.

Bentham's Utilitarianism

Focus on total pleasure/pain; quantitative; evaluates actions.

Mill's Utilitarianism

Considers quality + quantity of pleasure; higher vs. lower pleasures.

Ideal Utilitarianism

Values intrinsic goods (knowledge, beauty, love), not just pleasure.

Common objections to utilitarianism

Transplant case; utility monster; incommensurable goods.

Example - Smart Babies

Bentham → sum total pleasure; Mill → quality + quantity; Ideal → intrinsic goods.

Kantian Ethics - founder

Immanuel Kant

Kantian Ethics - key idea

Morality comes from duty and good will, not self-interest.

Categorical Imperative

Supreme principle; rational, universal, absolute.

FUL (Formula of Universal Law)

Act only on rules you could will everyone to follow.

FH (Formula of Humanity)

Treat people as ends, never merely as means; addresses human decision-making.

FRE (Formula of the Realm of Ends)

Act as if you were a lawmaker in a community of rational beings.

Objections to Kantian ethics

Trolley problem, murderer at the door, vagueness of rules.

Discussion example

Faking it in Silicon Valley - evaluate using FUL, FH, FRE.

Virtue Ethics - founder

Aristotle

Virtue Ethics - goal

Cultivate virtues (justice, courage, generosity) to achieve eudaimonia (flourishing).

Functions Argument

Fulfilling human function through reason = good life.

Doctrine of the Mean

Virtue lies between extremes; balance.

Phronimos Argument

The wise person (phronimos) chooses rightly in context.

Objections to Virtue Ethics

Relativism, conflicting virtues, situationalism.

Discussion example

Ethical AI - using AI could deny humans opportunity to cultivate virtue.

Justice - focus

Fairness, impartiality, what we owe to one another.

Eight conceptual contrasts of justice

Conservative vs. Ideal; Corrective vs. Distributive; Procedural vs. Substantive; Comparative vs. Non-comparative.

Main objections to justice

Implausibility, vagueness, conflicts.

Discussion example

Cannabis Social Equity - is leveraging equity guidelines for market access ethical?

Nine Short Case Studies - Key Ethical Questions

ChatGPT: manipulation?; Self-Driving Cars: AI moral standards?; Amazon Fake Companies: competitor deception?; Smart Babies: breed smarter humans?; Israel AI in Gaza: risk civilian harm?; Plastic Turf Fields: harm for convenience?; Cannabis Social Equity: exploit programs?; Faking It in Silicon Valley: "fake it till you make it"?; Little Sins at Work: personal use of resources?

Quick Connections / Key Points

Bentham → actions, total pleasure; Mill → actions, quality & quantity; Ideal Utilitarianism → intrinsic goods; Kant → duty, FH addresses human decision-making; Virtue → character/virtue, balance & context; Justice → fairness; CMD stages → obedience, self-interest, conformity, social order, social contract, universal principles; Gilligan/Derry → men and women often prioritize care.