Center: 
Barcelona
Discipline(s): 
International Business
Course code: 
IB 343
Terms offered: 
Fall
Spring
Credits: 
3
Language of instruction: 
English
Instructor: 
Jeaninne Horowitz Gassol
Description: 

Business ethics do not deal with what is legal, but with the application of moral standards to business decisions.  The majority of moral standards relate to personal behavior, which is not necessarily legislated and varies according to cultural differences. We are taught that the primary purpose of a business is to earn a profit, however, the path towards achieving this goal can, in many instances, create dilemmas about justice, equity and honesty.  In this course we will study business ethical dilemmas within an intercultural framework.  We will address the issue of ethics from different points of view: society, environment, individual and corporative. 

Attendance policy: 

Attendance is mandatory for all IES classes, including field studies. Any exams, tests, presentations, or other work missed due to student absences can only be rescheduled in cases of documented medical or family emergencies. If a student misses more than three classes in any course half a letter grade will be deducted from the final grade for every additional absence. Seven absences in any course will result in a failing grade.

Learning outcomes: 

By the end of the course, the students are able to:

·         identify and state issues concerning business ethics.

·         summarize basic ethical theories and apply them to business issues.

·         discuss the concept of Corporate Social Responsibility and the concept of stakeholders.

·         describe different ways of managing business ethics.

·         recall case studies on issues related to business ethics around the world.

Method of presentation: 

·         Lectures – Students are presented with content, motivated and challenged to reflect on issues.  Issues are clarified and expanded upon.

·         Class discussions – Analysis of readings, case studies exchange of ideas and cultural perspectives.

·         Online Reader – Selection of reading material in different areas of business ethics.

·         Case Studies – Opportunity to study real life situations and how the actors involved reacted.

·         Movies – Documentaries and movies related to business ethics and Corporate Social Responsibility

·         Student Presentations – Students will have the opportunity to research and present to the class ethical issues in different business sectors.

LANGUAGE OF PRESENTATION: English

Required work and form of assessment: 

 

The final grade will be determined as follows:

·         Class preparation and participation: Based on attendance, and quality participation defined as relevance, evidence, originality, implications and form in participation. 25%

·         Midterm: In-class essay test on basic ethical theories as applied to a business case study, analysis of concepts and readings discussed in class. Graded according to how much evidence from readings and class discussions is used to answer the questions. Students are requested to write as clearly as possible. 25 %

·         Team Project Analysis of an Issue: Students will form teams of up to 5 students and will develop a team project presentation about a business ethics issue selected by the team and approved by the professor.  Teams will be graded on the basis of the in-depth of their analysis of ethical dilemmas using research, team discussions and readings. Team project presentations will have a 25-minute time limit and written reports a 10-max page length. 30%

·         Final exam: Take-home essay exam analyzing case studies, identifying issues, actors and stating possible solutions. Questions will be posted in Moodle Online Classroom. An electronic version must be mailed to professor anytime before or/on the exam due date.  20%

content: 

 

Session 1: Introduction: Why Business Ethics? 
The objectives, methodology, content and organization of the work are presented in detail.    

 

Session 2: The individual responsibility: Peter Green’s first day (Case Study). Peter Green is a young salesman who recently joined a company. Welcome to the real world?

Video viewing: The Corporation 1/6    Matthews, John, Goodpaster, Kenneth & Nash, Laura. “Peter Green’s First Day”, in Policies and Persons: A Casebook in Business Ethics, New York: McGraw-Hill, 1991, pp. 11, 12.

Rupal, Jain, Importance of Ethics in Business, Atharva Institute of Management Sutdies, Mumbail. Ezine Articles: ezinearticles.com May 30, 2008

Andrew Wicks, Bidhan Parmar (2009) An Introduction to Ethics.   Prod. #: UV1040-PDF-ENG

 

Session 3: Philosophies of Ethics and Ethical Dilemmas.

We will study the philosophical basis of ethics and will look at what are ethical dilemmas and how to we deal with them.                                                        Donaldson, Thomas & Werhane, Patricia H. 1983. Introduction to Ethical Reasoning. Downloaded 17/08/2010 from: http://faculty.wiu.edu/E-Solymossy/Presentations/KJWW/Introduction%20to%...

 

Session 4: Philosophies of Ethics and Ethical Dilemmas (Continued)        

 

Session 5: Environmental Ethics: Global Dumping.

The business of toxic waste exemplifies the possibility of creating business value at the expense of social and environmental values.

Video viewing:  Ghana: Digital Dumping Ground.      Clapp, J. “Seeping through Regulatory Cracks” in SAIS Review, vol. XXII no. 1, Winter-Spring 2002.

Polgreen, Lydia, and Simons, Marlise (October 2, 2006). Global Sludge End in Tragedy for Ivory Coast. New York Times.

Chandler, Geoffrey. The global corporation: provider or parasite? Amnesty International UK Business Group. http://www.amnesty.org.uk/action/nw/tun/tualert2/global.html

 

Session 6: Goals, Processes, Success: The Parable of the Sadhu. Through a case study depicting a Wall Street financial analyst facing a dilemma in mountaineering, we study how each of our behaviors combines a process and a goal.                                                       McCoy, Bowen (1997). The Parable of the Sadhu. Harvard Business Review, (75 N°3). May-June 1997. pp. 54-61.

 

Session 7: The Economics of Ethics: Shareholders versus Stakeholders.

We will analyze two opposing views on the subject.

Video viewing: The Corporation 1/6-2/6        Friedman, Milton (1970). The Social Responsibility of Business is to Increase its Profit. New York Times Magazine.

Freeman, R. Edward.  Stakeholder Theory of the Modern Corporation. Downloaded 18/8/2010 from: http://academic.udayton.edu/LawrenceUlrich/Stakeholder%20Theory.pdf

Chee Soon Juan. “A Robinson Crusoe Allegory”, excerpt from: To be free, Clayton: Monash Asia Institute, 1998 (pp. 1-2).

 

Session 8: Globalization and Sustainable Development.

Globalization of economies and societies has consequences in terms of human development and environmental problems. The issues and challenges of globalization and the concept of sustainable development are analyzed.

Video viewing:  “The Corporation” 3/6 The Johannesburg Declaration on Sustainable Development, World Summit on Sustainable Development (4 September 2002).

Assadourian, Erik.  The Rise and Fall of Consumer Cultures.  In State of the World 2010, Worldwatch Institute Report, New York: W.W. Norton, 2010, pp. 3-21. Downloaded 18/8/2011 from: Blogs.worldwatch.org/transformingcultures

 

Session 9: International Governance and Corporate Social Responsibility.

The issue of international governance is addressed. At the legal level, the means and limits of international law are discussed. Beyond this relatively weak international framework, the rise of corporate social responsibility as a means for business to address its responsibilities is discussed.

Video viewing:  “The Corporation” 4/6 Albala, Nuri. “International law: justice as a commodity”, in Le Monde Diplomatique – English language edition (December 2003).

Meacher, Michael. “The planet's polluters should be put in the dock”, in The Guardian, October 25, 2003.

Frankental, P. “Corporate social responsibility - a PR invention?” in Corporate Communications: An International Journal, 14 February 2001, vol. 6, no. 1, pp. 18-23(6).

Crane, Andrew, Matten, Dirk (2007). McEurope: McDonald’s responds to ethical criticism in Europe. Business Ethics, Oxford University Press.

 

Session 10: Global Labor Markets: Exploitation or Development?

The issues raised by competitiveness and businesses trying to cut costs.

Video viewing: New Heroes Kailash Satyarthi. Child Slavery in India.        The United Nations Declaration of the Rights of the Child.

Basu, Kaushik. 2003.   The Economics of Child Labor, Scientific American, October issue. pp 64-91

Meyers, C. Wrongful Beneficence: Exploitation and Third World Sweatshops, Journal of Social Philosophy, Vol. 35 No. 3, Fall 2004, 319–333.

Case study Nike, http://www.mallenbaker.net/csr/CSRfiles/nike.html

 

Session 11: The Ethics of Marketing Practices.

Can we sell any product as long as someone wants to buy it? Can we advertise a product which is dangerous to health and which creates an addiction that may result in death? The behavior of tobacco companies has been severely criticized and has become an archetype of unethical business behavior.

Video viewing: “Making a Killing: Philip Morris, Kraft and Global Tobacco Addiction”        Yach, Derek & Bettcher Douglas. “Globalization of Tobacco Marketing, Research and Industry Influence: Perspectives, trends and impacts on human welfare”, in Development, Vol. 42, No. 4 (1999), pp. 25-30.

 

Session 12: The Business of Water.

Should water provision be free for all or a source for business?

Video viewing: Agua                                     Gleick, Peter H., Wolff, Gary; Chalecki, Elizabeth L., Reyes, Rachel. The New Economy of Water. Pacific Institute for Studies in Development, Environment, and Security, February 2002.  Downloaded 18/8/2011 from: http://www.pacinst.org/reports/new_economy_of_water/new_economy_of_water...

 

Session 13: Teamwork organization and guidance.

A list of proposed cases for the team project will be posted in moodle. Prior to this session, students should organize teams and co-ordinate to select one topic per team. Students who wish to address a topic, which is not listed, are encouraged to contact the instructor before the session.

List of proposed teamwork topics will be placed in Moodle virtual classroom.

Video viewing: The Corporation 5/6                

 

Session 14: Midterm exam                         

 

Session 15: The Ethics of Energy. 

Energy is greatly needed, specially as world population grows, but how to obtain it and distributed it creates many ethical dilemmas.

Video viewing:  “The Corporation” Chapters 6/6       Busby, J. Climate Change and Collective Action: Troubles in the Transition to a Post-Oil Economy.  In The International Politics of Oil. Vol. 2, No. 1, May 2006

The Ethical Challenges of energy. In The ethics of Energy: A framework for action. Kimmins, J. P., Chaiperson COMEST, UNESCO. 2001.

Energy Today and Tomorrow. In The ethics of Energy: A framework for action. Kimmins, J. P., Chaiperson COMEST, UNESCO. 2001.

 

Session 16: Workplace ethical issues:  Gender differences.

Video Viewing: Different commercials portraying women.   Women in the boardroom.  The Economist, Jul 21st 2011

The plough and the now, The Economist, Jul 21st 2011

Harassment Case

 

Session 17: Financial Markets and Crisis

Video Viewing: Inside Job                             

 

Session 18: Financial Crisis.

Why did the 2008 world financial crisis happen? Discussion of the movie and readings.            Katz, C. Interpretations of the economic crisis. International Socialist Review, Issue 75, January–February 2011

What went wrong?  The Economist.  Online Edition. Mar 6th 2009

Greed and Fear.  The Economist.  Online Edition. Jan 22nd 2009

 

Session 19: Technological issues: Genetically Modified Organisms

Often, risks associated to technological advances are potentially high but not (yet) assessed. The public is less and less prone to take corporate discourses on absence of risks for granted, and international trade institutions are not adapted to implement the precautionary principle.

Video Viewing: Life running out of control     Hoban, Thomas J. Public Attitudes towards Agricultural Biotechnology. ESA Working Paper 04-09, May 2004 in: www.fao.org/es/esa

Meacher, Michael. “Are GM crops safe? Who can say? Not Blair”, in The Independent, June 22, 2003.

Sinaï, Agnès. “New Monsanto and GMO Propaganda : Seeds of irreversible change”, in Le Monde Diplomatique – English language edition (July 2001).

 

Session 20: The Internet, e-ethics and International Law

The Internet is emblematic of the globalization of business. As a new means of cross-borders communication, it is not regulated by a set of rules at the international level. We study the ethical issues involved through the example of the selling of nazi objects on the auction site of Yahoo! Pfanner, Eric. Regulating the Internet in a Multifaceted World. The International Herald Tribune (June 26, 2011)

Akdeniz, Y. 2001. Case Analysist Against Racism and Antisemitism. Electronic Business Law Report, 1(3), 110-120

Diamond, E. and Bates, S. “Law and order comes to cyberspace”, in Technology Review (October 1995).

 

Session 21: Health and Ethics: We will look at ethical issues that arise from health care.

Videos Viewing:

Unethical testing

Money Talks      Selick, K. Nobody should profit from health care? Get real. Globe and Mail, Wednesday, Nov. 10: Downloaded 18/8/2011 from: http://www.theglobeandmail.com/news/national/time-to-lead/healthcare/nob...

Pawluk, Hal. The Myth of High Drug Research Costs. Feb 02, 2004. Downloaded 18/8/2011 http://blogcritics.org/culture/article/the-myth-of-high-drug-research/

ProPublica report: big pharma paid hundreds of physicians over $100,000 in speaking fees. Center Watch News Online. November 8, 2010 11:12 AM

Abramson, John. Drug Profits Infect Medical Studies. Published on Saturday, January 7, 2006 by the Los Angeles Times. Downloaded 18/8/2011 http://www.commondreams.org/views06/0107-28.htm

 

Session 22: Team project presentations          

 

Session 23: Team project presentations          

 

Session 24: Concluding session- summary of the key “take-away” messages of the course.    

Required readings: 

 

 

Abramson, John. Drug Profits Infect Medical Studies. Published on Saturday, January 7, 2006 by the Los Angeles Times. Downloaded 18/8/2011 http://www.commondreams.org/views06/0107-28.htm

Akdeniz, Y. 2001. Case Analysist Against Racism and Antisemitism. Electronic Business Law Report, 1(3), 110-120

Albala, Nuri. “International law: justice as a commodity”, in Le Monde Diplomatique – English language edition (December 2003).

Andrew Wicks, Bidhan Parmar (2009) An Introduction to Ethics.   Prod. #: UV1040-PDF-ENG

Assadourian, Erik.  The Rise and Fall of Consumer Cultures.  In State of the World 2010, Worldwatch Institute Report, New York: W.W. Norton, 2010, pp. 3-21. Downloaded 18/8/2011 from: Blogs.worldwatch.org/transformingcultures

Basu, Kaushik. 2003.   The Economics of Child Labor, Scientific American, October issue. pp 64-91

Busby, J. Climate Change and Collective Action: Troubles in the Transition to a Post-Oil Economy.  In The International Politics of Oil. Vol. 2, No. 1, May 2006

Case study Nike, http://www.mallenbaker.net/csr/CSRfiles/nike.html

Chandler, Geoffrey. The global corporation: provider or parasite? Amnesty International UK Business Group. http://www.amnesty.org.uk/action/nw/tun/tualert2/global.html

Chee Soon Juan. “A Robinson Crusoe Allegory”, excerpt from: To be free, Clayton: Monash Asia Institute, 1998 (pp. 1-2).

Clapp, J. “Seeping through Regulatory Cracks” in SAIS Review, vol. XXII no. 1, Winter-Spring 2002.

Crane, Andrew, Matten, Dirk (2007). McEurope: McDonald’s responds to ethical criticism in Europe. Business Ethics, Oxford University Press.

Diamond, E. and Bates, S. “Law and order comes to cyberspace”, in Technology Review (October 1995).

Donaldson, Thomas & Werhane, Patricia H. 1983. Introduction to Ethical Reasoning. Downloaded 17/08/2010 from: http://faculty.wiu.edu/E-Solymossy/Presentations/KJWW/Introduction%20to%...

Energy Today and Tomorrow. In The ethics of Energy: A framework for action. Kimmins, J. P., Chaiperson COMEST, UNESCO. 2001.

Frankental, P. “Corporate social responsibility - a PR invention?” in Corporate Communications: An International Journal, 14 February 2001, vol. 6, no. 1, pp. 18-23(6).

Freeman, R. Edward.  Stakeholder Theory of the Modern Corporation. Downloaded 18/8/2010 from: http://academic.udayton.edu/LawrenceUlrich/Stakeholder%20Theory.pdf

Friedman, Milton (1970). The Social Responsibility of Business is to Increase its Profit. New York Times Magazine.

Gleick, Peter H., Wolff, Gary; Chalecki, Elizabeth L., Reyes, Rachel. The New Economy of Water. Pacific Institute for Studies in Development, Environment, and Security, February 2002.  Downloaded 18/8/2011 from: http://www.pacinst.org/reports/new_economy_of_water/new_economy_of_water...

Greed and Fear.  The Economist.  Online Edition. Jan 22nd 2009

Harassment Case. Downloaded 18/8/2011 from: http://college.cengage.com/business/ferrell/ethics/7e/improve/wwyd/ch03....

Hoban, Thomas J. Public Attitudes towards Agricultural Biotechnology. ESA Working Paper 04-09, May 2004 in: www.fao.org/es/esa

Katz, C. Interpretations of the economic crisis. International Socialist Review, Issue 75, January–February 2011

Matthews, John, Goodpaster, Kenneth & Nash, Laura. “Peter Green’s First Day”, in Policies and Persons: A Casebook in Business Ethics, New York: McGraw-Hill, 1991, pp. 11, 12.

McCoy, Bowen (1997). The Parable of the Sadhu. Harvard Business Review, (75 N°3). May-June 1997. pp. 54-61.

Meacher, Michael. “Are GM crops safe? Who can say? Not Blair”, in The Independent, June 22, 2003.

Meacher, Michael. “The planet's polluters should be put in the dock”, in The Guardian, October 25, 2003.

Meyers, C. Wrongful Beneficence: Exploitation and Third World Sweatshops, Journal of Social Philosophy, Vol. 35 No. 3, Fall 2004, 319–333.

Pawluk, Hal. The Myth of High Drug Research Costs. Feb 02, 2004. Downloaded 18/8/2011 http://blogcritics.org/culture/article/the-myth-of-high-drug-research/

Pfanner, Eric. Regulating the Internet in a Multifaceted World. The International Herald Tribune (June 26, 2011)

Polgreen, Lydia, and Simons, Marlise (October 2, 2006). Global Sludge End in Tragedy for Ivory Coast. New York Times.

ProPublica report: big pharma paid hundreds of physicians over $100,000 in speaking fees. Center Watch News Online. November 8, 2010 11:12 AM

Rupal, Jain, Importance of Ethics in Business, Atharva Institute of Management Sutdies, Mumbail. Ezine Articles: ezinearticles.com May 30, 2008

Selick, K. Nobody should profit from health care? Get real. Globe and Mail, Wednesday, Nov. 10: Downloaded 18/8/2011 from: http://www.theglobeandmail.com/news/national/time-to-lead/healthcare/nob...

Sinaï, Agnès. “New Monsanto and GMO Propaganda : Seeds of irreversible change”, in Le Monde Diplomatique – English language edition (July 2001).

The Ethical Challenges of energy. In The ethics of Energy: A framework for action. Kimmins, J. P., Chaiperson COMEST, UNESCO. 2001.

The Johannesburg Declaration on Sustainable Development, World Summit on Sustainable Development (4 September 2002).

The plough and the now, The Economist, Jul 21st 2011

The United Nations Declaration of the Rights of the Child.

What went wrong?  The Economist.  Online Edition. Mar 6th 2009

Women in the boardroom.  The Economist, Jul 21st 2011

Yach, Derek & Bettcher Douglas. “Globalization of Tobacco Marketing, Research and Industry Influence: Perspectives, trends and impacts on human welfare”, in Development, Vol. 42, No. 4 (1999), pp. 25-30.