Doing Good Is Good Business: Embedding Ethics in Teaching Entrepreneurship and Business Venturing
Henrietta Onwuegbuzie and Ijeoma Ugwuanyi
Lagos Business School
Introduction
Ethics has become an important subject of discussion in business schools and in the area of management generally,1 perhaps because it is a central virtue in management.2 There are ethical implications for every aspect of management and these pose serious challenges for management practitioners and educators.
Entrepreneurship is an area of management that has increasingly been studied as an important catalyst of the economy and the society. However, not enough attention has been paid to the ethical and moral perspective of entrepreneurship.3 The ethical challenges entrepreneurs face are similar to the challenges that managers face. The unique features of entrepreneurship however pose additional ethical challenges because entrepreneurs are involved in the act of creating value that mostly requires change of status quo.4 By this act of “creative destruction,”5 entrepreneurs are faced with the challenge of creating beneficial and sustainable businesses.
In the face of corruption and other moral ills that confront society, the burden of increasing the awareness for, and inculcating ethical values for business lies in the educational sector.6 The perception however, of some business students to the subject of ethics is that it is a separate and unrealistic concept that need not be taken seriously.7 In order to meet sustainability challenges already faced by societies, some authors have argued that educating students, using an all-round curriculum that includes ethics can help prepare the students to be agents of change.8 The curriculum therefore used in teaching students in business schools should be reformed by changing the “outcome of the business school from being focused on only business to an institution that is focused on the wellbeing of the society and community.”9
This chapter therefore discusses about connecting entrepreneurship and business ethics, while suggesting strategies for embedding ethics in teaching entrepreneurship in business schools. The strategy is threefold. The first strategy is the use of case studies. Entrepreneurship can be taught with the use of case studies that link short- and long-term profitability and sustainability to ethical practices. The second strategy deals with helping students develop social sensitivity, by considering social problems as profitable business opportunities. Students will be involved in practical assignments, to identify social problems and build sustainable, profitable business models around them. The third strategy involves experience sharing, where entrepreneurs are invited to share real-life experiences of ethical challenges they have faced in the course of their business life and how they handled them.
Entrepreneurship as a Management Discipline
Entrepreneurship is defined as a field of study that examines and seeks to understand how “opportunities to bring into existence ‘future’ goods and services are discovered, created, and exploited.”10 The field therefore involves the study of how opportunities are initiated, including how opportunities are evaluated and exploited and the kind of persons who become entrepreneurs.11
Entrepreneurship can be viewed as the process through which opportunities are discovered and developed in order to create value for a new or existing organization.12 This definition implies that entrepreneurship is a dynamic concept that changes existing situation.
The major tool used by entrepreneurs in the process of exploiting opportunities in different industries or businesses is innovation.13 Anentrepreneur, in the past has been viewed as one who starts and owns a small business. This definition is flawed by the fact that not every new small business can be said to be entrepreneurial. Drucker14 noted that for a new small business to be entrepreneurial, it must have unique characteristics more than just being new or small. Entrepreneurs are unique because they create something novel and ingenuous and transform values. A business need not be new or small to be entrepreneurial, entrepreneurship is practiced by old and large businesses as well.
Studies in entrepreneurship have been divided into three areas of research.15
The first relates to the outcome of an entrepreneur’s actions. This area considers the value that entrepreneurs generate from creative ideas and novel solutions.
The second area examines the reason behind the entrepreneur’s actions, this is also called the “psychological/sociological approach.”16 Here the point of analysis and emphasis is the individuals with their respective circumstances and experiences, including the motivations for actions taken and personal values.
The third area looks at the “how” of the entrepreneurial process. Research here focuses on the process through which the entrepreneur achieves his or her goals. This quest to understand the “how” falls under the characteristics of entrepreneurial management. The study of this process is done without regard to the personal motives or circumstances for pursuing entrepreneurial goals.
Irrespective of whatever direction the research on entrepreneurship takes, it is imperative to consider the ethical dilemmas entrepreneurs face, whether in the process of creating value, evaluating the motives behind their decisions, or in achieving their goals. As noted earlier however, research on the intersection of entrepreneurship and ethics, is still in its infancy, even though it is beginning to receive more attention in recent years.17
Typical Ethical Issues—with Examples
The ethical challenges that entrepreneurs face are similar to the challenges managers face, except that entrepreneurs face additional dilemmas often as a result of the nature of their operations.18 While entrepreneurs, since the days of classical Greece, have been applauded for their contribution to the economy of nations, many entrepreneurs have also been critiqued for serious unethical practices.19
Examples of some of the ethical dilemmas entrepreneurs face, which could lead to unethical decisions and practices include: conflict of interest/intellectual property theft, compromising standards; conflicting personnel and customer relationships, and; reconciling social impact and profitability. Examples of theses dilemmas are discussed in the following section, and suggested solutions are hinged on related ethical theories.
Conflict of Interest
Conceiving and developing a profitable idea are fundamental steps that an entrepreneur takes in the entrepreneurial process. Entrepreneurs are faced with considerations such as:
Where the idea is going to come from;
What they will have to give up to let the idea flourish;
How to present the product in the market; and
The quality of input or value to ensure that the output is acceptable, reliable, and desirable in the market, to mention a few.
An example of a conflict of interest regarding the beginning a new venture follows:
John is an IT expert who works for a firm in Lagos, Nigeria. John is very entrepreneurial and hopes to own his business in future. He is however confronted with the following ethical concerns:
He developed an idea while in the firm in Lagos, and this idea has become a major success in the industry. He could resign and start a similar firm using the same idea, in fact; there are several other aspects of the idea that he invented, which the company has not yet implemented. If he starts his own business with the idea, he can get investors who will invest in it, since it is already a big success in the industry. Besides, he also built the network of clientele that his current employer has, so he could easily use the network by diverting their attention to his own firm. In the midst of these thoughts going through his mind, he remembers that he signed a contract with the company that prevents him from starting a similar business while he is employed and up to five years afterward. The contract also prevents him from joining another firm that is a competitor to his current employer, until five years after he resigns. He also thought about his family, his reputation, and other concerns that maybe at stake if he made the decision of using the idea he brought to the firm. He however has the option of starting something entirely different. But this would mean starting from scratch.
The previous example illustrates an ethical dilemma regarding intellectual property “theft” and conflict of interest. Entrepreneurs could be faced with such dilemmas in trying to move from paid employment into entrepreneurship. One way of preventing such dilemmas is for employees to get a lawyer’s opinion on employment contracts before signing them.
The deontological theory of ethics, which emphasizes that individuals or agents should act according to moral rules and duties,20 provides a guide regarding how the entrepreneur should act. The deontological class of ethical theories requires that people should adhere to their obligations and duties when faced with a challenge in decision making.21 This implies that an ethical person should fulfill his or her obligations to another individual or society.
Relating the theory to this case suggests that John is duty bound to honor the agreement he signed with his employers. In this instance, a daring entrepreneur may decide to begin a new and different business from scratch, till the five-year period required by the contract elapses. The employee could then incorporate a variant of the idea he initiated in his previous employment, in his own venture.
Compromising Standards
Every business comes with certain regulatory, statutory, and industry requirements or standards. Entrepreneurs and managers are faced with the challenge of meeting and maintaining the standards in their chosen industries. At the initial stage, these requirements often seem too expensive or burdensome for the entrepreneur, but in the long run however, it pays to comply with these requirements as noncompliance usually leads to stiff penalties that are much higher than the cost of compliance. Non-compliance could also damage the reputation of the business. Following is an example:
Okeke is an entrepreneur in the business of making plastic containers. There is an industry standard as it relates to the percentage and quality of olefins22 content in the process of making plastics. Some producers of plastics however dilute the chemical content or use petroleum products that are not suitable for the process. They do this in a bid to maximize profit at the expense of customers. Even though this process reduces cost for the producers, the plastics produced are neither durable nor healthy for human use. Okeke is faced with the dilemma of using the standard prescription for producing plastics, which is far more expensive than the alternative process—which is faster, cheaper, and enables the producer make much more profit.
The ethical dilemma discussed earlier, may be resolved, by considering the long-term repercussion of acting unethically, for short-term gain. Virtue ethics theory23 can be employed to explain how to decide, when faced with this kind of dilemma. The virtue ethics theory “is a classification within normative ethics that attempts to discover and classify what might be deemed of moral character, and to apply the moral character as a base for one’s choices and actions.”24 The founding fathers of virtue ethics theory are Plato and Aristotle.25 Chinese philosophy also has roots related to the virtue theory.26 The virtues expected from an individual include, but are not limited to honesty, discipline, meekness, benevolence, and selflessness. Virtue theory judges a person based on his actions. Thus, for example, a virtue theorist would argue that Okeke has a moral obligation to exercise the virtues of honesty and fairness in his business dealings, by acting in line with the required industry standards. By so doing, he is perceived as one who is acting ethically.27
Conflicting Personnel and Customer Relationships
In relating with customers and employees, entrepreneurs encounter ethical dilemmas. Customers expect to be treated with courtesy and given adequate attention when they come to do business. They also require information necessary for them to make decisions about whether to buy a particular product or not.
On the other hand, regarding employees, the entrepreneur must be seen as an exemplary leader, who treats and rewards his employees fairly, while taking tough decisions when necessary. The challenge can be most problematic with employees who are relatives. An example of this dilemma is as follows:
Korede is the CEO of a retail shop in Lagos, which he started with very little capital. He was very diligent and hardworking. He also had very strong personal values, including integrity and cheerfulness in all his dealings. These qualities endeared him to his customers and he secured their patronage for the little stock he kept. Korede decided to ask his rich uncle for some money to grow the business further. His uncle agreed to lend him the money and told him he could pay back at his own pace on the condition that he employ his daughter as the head of sales.
Korede agreed to this, as his uncle’s daughter was a graduate of marketing, and he thought that it would be a positive addition to have her on his team. Nevertheless, when his uncle’s daughter came on board, things did not go as Korede envisaged. She was very rude to customers and treated other employees very badly. Further, she insisted on being treated differently from everyone else in the business. Customers and employees complained and threatened to stop patronage and leave the business if she was not counseled to change or removed from the company. Although Korede is not happy with the situation, considering his agreement with his uncle, asking her to leave would mean repaying his uncle almost immediately. Since his business still needed the funds from his uncle, he was not sure what to do. He repeatedly tried to talk to his uncle’s daughter, asking her to change her attitude because of the relationship damage it was causing with both staff and customers. Rather than listen to Korede, she repeatedly threatened to ask her father to withdraw his funds. When Korede realized he might indeed have to ask her to leave, he began an earnest search for other sources of funds, for his business, but came to no avail.
Korede is now caught up in the dilemma of letting his uncle’s daughter continue to work for him, while treating his customers and employees badly or finding a way to return his uncle’s capital quickly before asking his daughter to leave his business.
This is an example of the unethical/inconvenient conditions entrepreneurs sometimes find themselves accepting when searching for funds. Entrepreneurs need to understand that it is in their best interest not to accept counterproductive conditions but to continue searching for funds with more favorable terms. Alternatively, they could find creative ways of executing their businesses with whatever funds they have.
The utilitarian theory of ethics sheds light on how to respond to such situations in the best interest of the entrepreneur.28 Theorists29 who share this view advocate that decisions that lead to the common good should be pursued. In contrast to the ethical theory of care that considers the relationship that one has with a single individual30 (in this case, Korede’s uncle and his daughter), the utilitarian theorists posit that an action is only morally acceptable if it produces the highest net benefit to the society as a whole (where the net social benefit equals social benefits minus social costs).31 Hence no single individual’s welfare should override the welfare of other individuals. The common good of all should be sought first.
Following the utilitarian theory, Korede would need to let his uncle’s daughter go. He could seek audience with his uncle, to explain the challenge he is having with his daughter and why he needs to let her go in spite of the fact that he had hoped she would be a good contributor to the business. Korede’s uncle might understand his predicament and decide to allow Korede pay back when he can. Otherwise, if he insists on withdrawing his funds, Korede can plead for some time to enable him gather and return the funds. It is much better for Korede to let his uncle’s daughter go, than to allow her continue treating customers and staff badly, which will imply moral harm to others and eventually kill the business by driving away customers and staff. Korede could also find other creative ways to manage his business on less funds, even if it means growing more slowly than he would have liked.
Reconciling Social Impact and Profitability
In recent years, there has been an outcry for businesses to wake up to their social and environmental responsibilities. In the past this was known as corporate social responsibility and it encouraged companies to give back to society from the profit made. It also reminded companies to reduce their carbon footprint. More recently, new schools of thought such as impact investing,32 “social impact/social entrepreneurship,”33 “social economy,”34 and so on, have developed and referred to for-profit businesses with a social purpose. The businesses are thus driven by the goal to achieve the triple bottom line—financial profit, social benefit, and mitigation of environmental damage. To achieve these goals, such start-up businesses are designed to solve social problems while making profit. Entrepreneurs can find balancing all three performance standards challenging as illustrated in the following example:
Nkechi started a training school in hair-dressing for young girls in a particular community. The segment targeted was indigent girls, who were interested in learning the skill. She would train them without charge, and they could work in her salon as a means of paying for their training. An investor approached Nkechi, promising financial support on the condition that she changes her business model. The proposed new model would require: (1) that Nkechi forfeit the social impact she is making in the community; (2) that she move to the city because of the generally higher income levels, and therefore attract higher paying customers and make more profit.
The investor wants her to suspend all plans for training indigent girls and focus on maximizing profit. Nkechi’s dilemma follows:
On one hand, she recognizes that her original plan is more sustainable as besides empowering the girls and giving them a brighter future, the training school assures her of a steady stream of trained labor, while remaining reasonably profitable. Above all, she wanted to ensure that girls were kept off the streets, by teaching them a skill that could get them gainfully employed. Having a steady supply of trained labor was also important, because in the hairdressing industry, most businesses survived by poaching good hands from one another and few, if any, trained hair dressers.
On the other hand, Nkechi considered that if she moved to the city, while she would make more profit in the short term, she could more easily lose her stylists to aggressive competitors who could poach her staff. She would then have to join the poaching game to replace them. Even if she eventually makes more money, was it worth more than the lives she was transforming? Nkechi was now wondering how sensible it was to accept the funding or if she should continue with her original plan.
The virtue theory of ethics,35 which emphasizes good actions as explained earlier backs up the decision to remain with the plans of making an impact in the society as it relates with moral character of being benevolent. Based on the virtue theory of ethics, Nkechi’s actions toward improving the lives of indigent girls and the society as a whole take precedence over the quest to make more money for herself, even though she could eventually make even more money while empowering the girls. Besides the investor’s option offers less guarantee of long-term sustainability, since she will stop having a pool of trained hands from her training school and may easily lose her staff to aggressive competitors in the city, who can poach them.
Many of the entrepreneurs who remain firm in their plans of making an impact in society are often rewarded with successful, profitable businesses and customer loyalty in the long run. Customers who patronize such businesses are usually sympathetic to the social cause being achieved, and see their purchase of goods and services as their way of contributing to the social goal.
Ethics Teaching Strategy
Teaching ethics in entrepreneurship can be achieved using a threefold strategy: case studies, developing social sensitivity by building profitable business models that solve social problems, and experience sharing from listening to the entrepreneurial journeys of established entrepreneurs. These three strategies fall under the broad category of experiential teaching methods. The theoretical underpinning for these teaching methods is the experiential learning theory by Kolb,36 which is the most recognized theory of experiential learning. The experiential learning method seeks to differentiate traditional learning methods from contemporary (experiential learning) methods. The traditional learning methods used in teaching entrepreneurship in schools includes writing business plans, the use of texts, and lectures.37 The experiential learning process however involves “the process whereby knowledge is created through the transformation of experience.”38 Experiential learning takes place when the students participate in some activity, reflect upon the activity, gain insight from the analysis, and make a change in their understanding of issues from the result of the analysis.39 Some experiential teaching methods include, but are not limited to the use of case studies, videos, experience sharing sessions, games, and simulation exercises. Even though these methods have proven to be effective, scholars note that it may not entirely replace the traditional learning methods as it has its own advantages.40 Indeed, experiential teaching methods provide a compatible complement to traditional methods.
This chapter considers three main experiential learning strategies (case studies, developing social sensitivity through for-profit socially driven business models, and experience sharing) as they have been used by the author, and proven effective in teaching both E/MBAs at the Lagos Business School, Pan Atlantic University in Nigeria. These strategies are elucidated thus:
First, through the use of case studies that link short- and long-term profitability and sustainability to ethical practices. This teaching model is designed to bring a slice of reality into the classroom. By discussing various scenarios of ethical challenges faced by entrepreneurs during their entrepreneurial process, students are helped to shape their thinking.
Entrepreneurs are usually faced with several dilemmas as mentioned earlier. People sometimes think that it is impossible to be ethical in business, especially in contexts where corruption is prevalent. By reading and discussing case studies, where entrepreneurs make bold ethical choices that demand sacrifice, the students learn that having to make a sacrifice does not justify choosing an unethical path. It is especially those of companies well known to the audience, incidentally in the long run, they see how ethical choices end up being to the advantage of the organization.
Students should be helped to understand the importance of making decisions that balance profit-making, both short- and long-term goals, as well as sustainability. The cases selected for use should bear in mind the different circumstances found in different countries and cultures, such that appropriate cases are chosen for each audience.
The second part of the strategy is focused on developing social sensitivity through entrepreneurship that entails developing profitable business models aimed at solving social problems. This involves helping students understand how they can create value by addressing the social challenges they identify, using profitable business models. As explained earlier, teaching students about the benefits of crafting for-profit businesses with a social purpose, is important for this generation and fundamental for sustainability. In spite of the economic progress that nations across the world have made, the social and environmental problems have continued to multiply. Besides environmental degradation and climate change, rising social ills such as terrorism and other criminal activities have triggered a movement toward the concept of impact investing, which refers to investments that seek to “achieve positive social impact beyond financial returns.”41
By creating entrepreneurs, who understand that they can make profit from solving social problems, many of the societal ills triggered by poverty are eliminated. Society becomes more peaceful as a result and businesses can thrive. Entrepreneurship can thus become a tool for social transformation and contribute to accelerating social and economic development. As quoted by Nelson Mandela:
“Like slavery and apartheid, poverty is not natural. It is man-made and it can be overcome and eradicated by the actions of human beings ...
Overcoming poverty is not a gesture of charity. It is an act of justice. It is the protection of a fundamental human right ... the right to dignity and a decent life.”42
Consequently, by teaching students that business can be a tool to transform lives and society, while making profit, a new breed of entrepreneurs can be developed to bridge the gap between economic growth and social development. Inculcating the concept of “social impact” profitable businesses in students takes quite an effort. Traditionally, the world of social impact has always been considered dichotomous from the world of profit-making. This teaching reconciles these two hitherto dichotomous worlds. Hopefully, as students begin to understand that social problems constitute potentially profitable business opportunities, they will be encouraged to build businesses that address these problems and earn a living from such businesses.
The third strategy is based on experience sharing. This involves inviting entrepreneurs to class to share real-life experiences of ethical challenges faced in the course of their entrepreneurial journeys. It helps if the age of some of the entrepreneurs is within the age range of the class being taught to allow the experiences resonate more strongly.
The strongest testimony to this format of teaching entrepreneurship is an experience I had while teaching entrepreneurship to a class of MBAs in 2014. I invited an ex-MBA student, who is now a well-known entrepreneur, to share his experiences and entrepreneurial journey with the incumbent MBA class. The students connected more strongly with his story than they had done with the case studies. This was principally because the students knew him and how financially successful his business is. The entrepreneur explained how remaining ethical in spite of operating in an industry and market where corruption is prevalent had given him a clear competitive advantage.
Even those students who had come to believe that it was impossible to do business ethically in the Nigerian context were noticeably moved to reconsider their stance.
As noted earlier, the three strategies fall under the experiential teaching methods. Previous studies43 have indicated that these methods have a positive impact on the decision of students to become entrepreneurs. Experiential methods are thus more likely to be effective for teaching entrepreneurship and, by extension, ethics within the entrepreneurship curriculum. Each of the three strategies mentioned earlier reinforce one another to instill ethical entrepreneurial practices in students.
Advice for Teachers
Teaching ethics through entrepreneurship may be difficult. As already pointed out, students may not take the lessons seriously initially, especially in contexts where corruption is prevalent. We however suggest that bringing entrepreneurs to the class to share their experiences, and most importantly, showing exemplary leadership in matters concerning ethics as a teacher or facilitator will help the students accept ethics more easily.
Students should however be made to understand that being ethical will sometimes entail making sacrifices at different stages of their entrepreneurial journeys. They must also be made to realize that this sacrifice is worth making and is usually rewarded both in terms of long-term profitability and sustainability. Encouraging students to foster personal virtues and values makes it easier for them to meet the demands of practicing ethics in both their personal lives as well as in business.
Further, giving students projects where they are required to actually start businesses exposes them to real-life challenges that entrepreneurs face. It also helps the lessons that they learn in class resonate better as they are given an opportunity to put into practice what they have been taught in the classroom.
It is also proposed that students who are found wanting for ethical misconduct should be openly punished, as this could serve as a deterrent for other students to refrain from indulging in such acts.
Developing Versus Developed Country Perspectives
The international data used in this study further supports his assertion. In countries where corruption is less, a moral cycle operates, as economic growth, innovation, and the fight against corruption all strengthen each other. The economic environments of developed and developing countries are largely different. Wilhelm44 notes that there are higher rates of corruption in developing countries in relation to that of developed countries, and that this causes the challenges faced by entrepreneurs in the developing countries to be more severe. Entrepreneurs found in either of these contexts therefore face different challenges and dilemmas, in addition to what may be considered as general to entrepreneurs. Entrepreneurs in developing countries face infrastructure and institutional breakdown, including corruption and lack of capital to fund their new ventures.45 The success rate of these entrepreneurs will therefore be enhanced by addressing the structural and socioeconomic problems through for-profit, social impact entrepreneurs.
Summary and Conclusion
This chapter started by acknowledging the need for more research as relates to the intersection between ethics and entrepreneurship. It described the field of entrepreneurship and its relationship with ethics. The chapter also provided examples of dilemmas faced by entrepreneurs. Three strategies for embedding ethics in teaching entrepreneurship were also elaborated. The three approaches discussed include the use of case studies, creating social sensitivity through impact-driven entrepreneurship projects and experience-sharing sessions, where entrepreneurs come to share experiences about their entrepreneurial journeys. Some advice was provided for teachers and finally, developing and developed country perspectives relating to entrepreneurship and the practice of ethics were discussed.
In view of the forgoing, embedding ethics in teaching entrepreneurship and indeed all aspects of management is considered of utmost importance. Exposing students to the realities and the way forward even when faced with ethical dilemmas helps to prepare their minds for the future. Prior preparation gives them the knowledge, confidence, will power, and resilience, to face challenges associated with acting ethically. Research in this area will also help the students and entrepreneurs in the field solve certain problems that they encounter.
Exercises for the Classroom
These exercises are intended to highlight the benefits of ethical practices in entrepreneurship. They can also be used to teach ethics. They consider different scenarios that entrepreneurs can be faced with and poses questions.
Scenario 1
Suppose you are a young graduate who is seeking to get a job in a multinational oil company. One of the requirements of the recruitment process is that you are not more than 26 years of age and that you must come from a certain area of the country. You are however more than 26 years of age and come from a different part of the country, but you desperately need the job. Especially since you are the first son of a family of seven children and have parents who earn a low income.
Questions
If you had the option of forging your birth certificate to get the job, would you do so, given your personal circumstances?
What ethical theory would guide your decisions?
Scenario 2
Assume you are an apprentice in a computer repair store. In this store, your master and other store owners in the area, charge exorbitant prices for minor repairs that they do for customers. You are aware of this, and think that this is an unfair practice, especially as they can still make high margins on moderate charges. You have talked with your boss about this but he insists that it is the way things are done in the business and that if you chose to do otherwise, he will ask you to leave his shop. You do not have other options as you had been searching for jobs and apprenticeship slots without success until you met your present boss.
Questions
What steps are you likely to take in this circumstance?
Have you been in a similar circumstance in the past? How did you surmount the challenge?
Do you consider playing along by also charging exorbitant prices for the repairs you do for customers?
What ethical theories/principles would back up your views?
Scenario 3
A very tough situation came up in a manufacturing company, (Philips Manufacturing Company) in which you are the product manager. The company signed up a partnership deal with another manufacturing company (Nicks Manufacturing Company). The partnership deal with this new company has a lot of potential as the new company has up-to-date technology and infrastructure for making the kind of products that your own company manufactures. The partnership recently got a contract to produce a large amount of these products. The president of the firm offering the contract has demanded a bribe of 1 percent of the contract value for the contract deal to be sealed. Your company stands a chance of making huge sales from this contract and from future seals with the firm.
Giving or accepting bribe is against your company policy, and against your personal values. The partner firm does not see anything wrong with giving the bribe and have threatened to end the partnership if your company does not agree to offer the bribe.
Questions
If you were in the position to make the final decision on this matter, what would that decision be?
What other alternatives are there that you may explore?
Suggest ethical theories and principles that may aid the decision-making process?
__________________
1 Akrivouand Bradbury-Huang (2014).
3 Hicks (2013); Hannafey (2003).
8 Akrivou and Bradbury-Huang (2014).
9 Akrivou and Bradbury-Huang (2014, 232).
11 Shane and Venkataraman (2000).
15 Stevenson and Jarillo (1990).
16 Stevenson and Jarillo (1990, 8).
17 Harris, Sapienza, and Bowie (2009); Hannafey (2003); Béchard and Grégoire (2005).
22 Chemical raw materials called olefins that come from petroleum. They include ethylene, propylene, and butadiene, which are building blocks for familiar plastics such as polyethylene, polyester, polyvinyl chloride, and polystyrene. Read more: www.environmentalleader.com/2013/08/12/sustainable-source-of-plas-tics-ingredients-discovered/#ixzz3ntWhPRCY
27 One other curious ethical challenge is how business schools teach entrepreneurial finance. Start-up firms can use personal credit card debt, institutional loans and loans or grants from family, friends, and fools. The ethically challenged suggestion is not to pay debt! Stretching accounts payable terms and converting debt to equity are normal if unconventional sources of start-up money. But counseling students that not paying debt is a source of financing seems ethically challenged.
28 Cavanagh, Moberg, and Velasquez (1981).
29 Brandt (1979); Rachels (1999); Velasquez (1998); Schumann (2001).
31 Brandt (1979); Rachels (1999); Velasquez (1998); Schumann (2001).
33 Harris, Sapienza, and Bowie (2009).
34 Mook, Quarter, and Ryan (2012).
36 Kolb (1984).
37 Sherman, Sebora, and Digman (2008).
38 Kolb (1984, 38).
39 Sherman, Sebora, and Digman (2008).
40 Sherman, Sebora, and Digman (2008, 40).
43 Arasti, Falavarjani, and Imanipour (2012); Sherman, Sebora, and Digman (2008).
45 Boso, Story, and Cadogan (2013).
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