Ethical Issues in Three Economies: China, Jamaica, and the U.S.A.
Ethical issues arise in many different forms across very different cultural, economic and even geographic situations. In a paper written by Lillian Fok, et al, the question is raised whether participants in three significantly varied economies will tend to have similar responses to ethical questions encountered during typical business scenarios. Business professionals from China, Jamaica, and the United States were presented with situations and ethically questionable decisions (and in some cases, illegal). The subjects were then asked how likely they would have been to make the same choices and their probable justifications. The researchers found both similarities and distinct differences that they concluded can be attributed to cultural and environmental variations between the respondents’ countries of origin.
Five different scenarios were presented to the participants to gauge their ethical positions under certain circumstances. In only one of the five was there any statistically significant difference in the respondents’ propensity to agree with the ethically questionable position. The scenario concerned a willingness to pursue a profitable venture that would knowingly result in increased pollution. The Chinese and American participants were less willing to engage in the polluting behavior than the Jamaicans. The researchers posit that Jamaica is more apt to tolerate violations of pollution regulations due to “its concern for rebuilding its economy.” (Fok, et al. Page 25) The pressures of a burgeoning economy are much higher for Jamaica than for the post-industrial Chinese and U.S. economies and may affect the rationalization to elevate progress over environmental protections.
Concepts of positive and normative economics can be found in the study conducted by Fok and her colleagues. Positive economic statements include the statistical presentation of similarity and variation between the groups of respondents. Several different techniques for analyzing statistical data are used including Sum of Squares, Mean, and Standard Deviation. These positive statements provide factual information taken from the experiment. However, the paper also contains normative economic statements when it provides conclusions about the reasons for certain responses such as the inference that the Chinese are more open to considering ethical issues because of their desire to engage in global markets.
Aspects of a market economy such as efficiency and economizing may play a role in shaping the ethical valuations demonstrated in the paper. For instance, in a country such as Jamaica, where resources are scarcer due to geographical constraints, one might find an increased value placed on their efficient use. In China, a communist government controls the majority of resources and determines what it considers to be proper economizing of those resources to promote the greatest benefit to the population as a whole. And in the United States, where a capitalist market system is the basis for the entire economy, one might expect respondents to be more self-serving in their answers.
Conclusion
The article entitled “Differences in Business Ethical Values” provides desirable insight to the possible variations in ethical decision making by business professionals in three countries with very different economies. Some insights may be easily understood, such as a tendency for Chinese respondents to cite a company’s responsibility to the public as rationale for making an ethical decision. Another conclusion made by the researchers may be both unexpected as well as encouraging, that the gaps in responses from culturally diverse groups are gradually lessening and “critical thought patterns are becoming increasingly similar.” (Fok, et al. Page 25) What is clear, though, is that positive and normative economics and market influences do affect the ethical values of each group to one degree or another.

References

Fok, L., Hartman, S., & Kwong, K. (2005, Winter). A study of differences in business ethical values in mainland China, the U.S. and Jamaica. Review of Business, 26(1), 21-26.