...Purchasing Ethics and how it Changes the Global Marketplace Assignment 3.4 Mike Wooddell ERAU LGMT 536 – Purchasing for Logistics and Supply Chain Management June 17, 2015 Abstract As organizations increase their global footprint, the need for reliable, ethical, and sustainable suppliers also increases. Understanding this need, more businesses are engaging suppliers that are the most cost effective and not necessarily the most ethical. This brings me to the research of purchasing ethics. Specifically how do ethics change the landscape of today’s global market? This paper will look at several factors that include the cross cultural understanding of ethics, the personal and professional responsibility, and several ethical challenges such as environmental responsibility and human rights and the impact it has on the global market. Key Words: business ethics, global market, cultural factors, professional responsibility, ethical challenges I. WHAT IS ETHICS – DEFINITION AND UNDERSTANDING Clearly define what ethics mean in the global market and the domestic market and how it is interpreted in each. II. CULTURAL FACTORS IN GLOBAL MARKETS Identify how cultural factors such as religion, sexual orientation, and accepted standard practices influence or hinder international and domestic business. III. PERSONAL AND PROFESSIONAL RESPONSIBILITY TO BUSINESSES Identify the responsibility and moral obligation when ethical dilemmas occur, your personal...
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...Global Business and Ethics Raquel Padilla MGT 216 March 8, 2010 Professor Scott Bridges Global Business and Ethics “As borders disappear, people and goods are increasingly free to move, creating new challenges to global health” (Pang & Guindon, 2004). “Global interdependence is a compelling dimension of the global business environment, creating demands on international managers to take a positive stance on issues of ethical behavior, social responsibility, economic development in host countries, and environmental protection around the world” (National Multimedia, n.d). Even though many laws and regulations exist today, several large multinational companies still are having unethical behaviors and questionable practices. The purpose of this paper is to (a) describe ethical issues that became evident as a result of globalization; (b) compare ethical perceptions across cultures in regards to the situation; and (c) determine which risk and consequences were associated with the dilemma. The company selected to discuss the above topics is Nestlé. Nestlé’s Ethical Issues Unethical Marketing Practices infant’s formula. In 1977, Nestle became part of a huge ethical scandal; the company was being criticized for using unethical marketing practices putting at risk consumer’s health in order to promote its infant formula in another nation. “Many aid agencies called for the boycott of Nestle products which continued into 80’s, when Nestle decided to adopt...
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...Definition: Ethics in Global Business: The system of moral principles and rules that become standards for a group or for professional conduct. Summary: In Emerging Global Business Ethics, Jane Gebhart focuses on a publication called “Supercharging Corporate Performance. This article argues that “corporate ethical practices create an organizational climate capable of motivating the innovative and risk-taking initiatives that are essential to achieving and sustaining corporate excellence”. Focusing on 4 distinct tasks, the author suggests that organizations must be cognizant of issues in their business, managers must design a “strong competitive strategy and operating management”, define procedures and processes that elevate ethical values, and recruit/retain individuals with strong moral character. Discussion: I chose this article to discuss due to the direct relation I see in business personally. If you do not recruit individuals with a strong caliber of moral character, your corporate mission statement (however seemingly standardized and righteous it might seem) will never reach a level where each department upholds a certain level of uniform company values. To have locations dealing internationally, a business must also be aware of any issues internally. The author gives an example of a company being forced to close a plant and lay off employees. Had the corporation discovered faulty operating procedures they would have been better aligned to create a product that would...
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...other than their own? The essays in this book address the multifaceted aspects of this question and offer a range of thoughtful responses. http://www.slideshare.net/Aamirabbasi72/social-responsibility-ethics-in-the-global-market http://www.slideshare.net/christiangadams/global-leadership-and-ethical-issues-in-marketing-advertising-4511157?qid=e9770eb4-55b4-4f87-8a7c-c2734d94e211&v=default&b=&from_search=2 http://books.google.co.in/books?id=-kng8Ja5k8IC&printsec=frontcover&source=gbs_ge_summary_r&cad=0#v=onepage&q&f=false http://www.researchgate.net/publication/235314095_Ethical_issues_of_global_marketing_avoiding_bad_faith_in_visual_representation http://cdn.intechopen.com/pdfs-wm/12111.pdf http://onlinelibrary.wiley.com/doi/10.1002/9781444316568.wiem06047/pdf http://www.nfib.com/article/business-ethics-in-a-global-marketplace-22753/ file:///C:/Users/Sajid/Downloads/242-470-1-PB.pdf http://cdn.intechopen.com/pdfs-wm/12111.pdf dspace.iimk.ac.in/bitstream/2259/392/1/17-27.pdf%20rel='nofollow' http://www.hg.org/article.asp?id=7796 http://www.bms.co.in/write-a-note-on-ethics-in-global-marketing/ http://www.termpaperwarehouse.com/essay-on/Ethics-In-International-Marketing/53994 Over the years, importance of ethics in the business world has increased and the world has seen a remarkable increase in the ethical norms and concerns. With the modern day consumers having the luxury to have more than one company to offer...
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...Global Business and Ethics University of Phoenix Organizational Ethics and Social Responsibility MGT216 October 2nd 2010 Global Business and Ethics Business practices vary from one country to another based on the culture of origin. Understanding a country’s culture, society, and hierarchy allows business practices to run more smoothly while preventing unethical circumstances. Training allows expatriate managers to communicate in foreign languages whereas not implementing selective perception or assume that the culture is similar to their own. There are many risks associated with ethics in globalization but what role do ethics play in global business? Conducting business overseas can cause many ethical issues. Some of the possible ethical issues faced while conducting business overseas are corruption, human rights, different work environments, local customs, and cultures. By providing structure, training, and guidance to expatriates aids in preventing these ethical issues. This directional approach allows the expatriates a better understanding of the cultural norms. In addition to a better understanding of the overseas cultures, training allows the managers to have self confidence, adjust to the environment with ease, an increase in performance and relationships with foreign clientele (Trevino & Nelson, 2006). Managers will need to understand the foreign language in which the business task is assigned. According to Trevino and Nelson...
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...Global Organization and Cultural Perspective (Nike) Once an organization, like Nike, becomes a global organization, and the business goes to other countries to gain more profits, it will encounter challenges and ethical issues. Some of the challenges for a global organization are child labor laws, wages, and outsourcing. An example is a Nike sweatshop labor case that stirred up a big controversy over ethical business practices. Because of this issue the organization has to deal with the negative perception, and the organization needed to solve this ethical issue to remain profitable and ethical in the eyes of the consumers and stakeholders. The Nike Corporation is one of those global organizations which brought their business to other countries to provide economic opportunity to the host country, and in turn obtain more profits due to cheap labor cost. The organization outsourced its manufacturing plants to several countries in order to lessen costs and become more efficient in productivity. The outrage and protests that followed were far from what Nike expected; the company was labeled as forcing “children to slave away in hazardous conditions for below-subsistence wages” (Hill, 2009). Because of this issue, a wide protest of globalization and human rights activists accused the Nike organization for taking advantage of the workers overseas and exposing their workers in unsafe working environment. Although Nike was making billions of dollars in profit, however, it has...
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...sports name in wear and equipment. So, why is Nike’s ethics in question? Has greed and publicity become their motto at any costs? Nike spends multimillion dollars a year hiring well-known athletes to advertise their products yet cannot seem to stay out of the media’s eye of their contracting or subcontracting techniques of their products to be built in third world countries. In 1996, Nike has been charged by critics with engaging in a variety of unethical employment practices in countries that exercise little or no control over the conditions of labor or whose governments are corrupt and can be bought off (De George, 2006, chap. 20). In dealing with business issues, a company needs to be aware (what are the issues), articulate (justify and express decisions), and application (reach a decision, train and explain ethics to employees). Ethical behavior has to start at the top of a company and work its way down. Here we will compare ethical perceptions across cultures about the ethical situation, discuss the ethical issues that became evident due to globalization, and discuss the risks and consequences associated with the Nike ethical dilemma. Compare Ethical Perceptions Across Cultures About the Ethical Situation Trevino and Nelson (2007) defines business best stating the “definition of ethics—the principles, norms, and standards of conduct governing an individual or group—focuses on conduct.” (p. 13). Business ethics vary in different parts of the world. Several countries...
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...Ethical Organization Profile University Of Phoenix Angel L. Medina MGT/216 Organizational Ethics and Social Responsibility October 15, 2010 Dr. Steven Englehart Large companies have formal performance management systems with a matrix process on every employee that is held every 6 months or once a year. The matrix is a sort of a syllabus for measurements of job performances. The written appraisals will have an influence on any salary adjustment, promotion, upgrades, transfers and positions. In the mean time it is a manager’s responsibility to oversee all the tenures performances, ethical behavior, and moral standards throughout the year. When managers give continues feedback performance against those objectives are measured employees are not surprised by the annual performance. Ethics is the branch of philosophy that seeks to determine how human actions may be judged right or wrong. When the study of ethics is applied to management it is necessary to discuss all basic ethical position, but the nature of the profession and conditions under the management operation. Ethics is not the same as moral, since ethics uses common experiences as its point of managing from right and wrong. There are two types of rights moral rights, in which the claim is based on moral principles, and legal rights in which the claims based on law. Any such claim your obligation as a manager is to manage and hold them accountable for the company’s matrix as tenures. Rights are accepted when they...
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...Ethics and Values in a Global Setting Daniel Reeves CMGT/530 May 30, 2011 LYDIA BELL Ethics and Values in a Global Setting As more businesses broaden their reach by exploring the global market. Leaders should realize the importance of personal values when hiring candidates to represent their organization. This is done by Identifying individuals personal values. According to Heathfield (2007) article, Secrets of Leadership Success, “Values provide the basis for judgments about what is important for the organization to succeed in its core business.” Organizations can complete this by implementing a value system assessment of personal during the hiring process as well as throughout their employment. This way they can compare and monitor all changes over time. The next step is to align the values and ethics of individuals with the values and mission of the organization. This step is important because no one should be forced to represent something or someone they don’t believe in. Likewise no company should have to hire someone who does not believe in or support the values and mission of there organization. There has to be a common ground. Once this is reached organizations can take there values and mission and explore the global market. As we enter the global market, we see how are personal ethics and values are used differently. We know as individuals are personal ethics and values are a set of established rules that govern how we live. This is the same mindset of individuals...
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...2010 Benny Van Calster – EMBA 2009-2011 AMS - Take Home Exam – Global Business Law & Ethics [GLOBAL BUSINESS LAW & ETHICS – PROF. DONALD MAYER] Take home exam for course of Global Business law & ethics. Based on teaching notes & B. Nelson book. Q1 of CVD CASE -> State why Karl Mann’s boss has provided advice that was ethically & strategically to be ignored … + Why is digging a shallow trench a poor choice? We have clearly seen in the course that the legal and ethical behavior of an organization and its employees should support the long-term business strategy. It is imperative that ‘sustainable growth’ is the driving force of any organization… and this should be based on the People-Profit-Planet structure we have reviewed in the course. If we look to the advice of Karl Mann’s boss we could analyze it as following: 1. Profit: the decision/advice will support the short-term goal of profits, but not in a foreseeable and sustainable way; the risk which is embedded in his advice (i.e. possible death of people) is too high for the corporation! If something happens with injuries of workers the reputation of the corporation is damaged as such that the long-term profit is at risk… 2. People: this is clearly not the right advice in order to prevent damages and injuries at the people side. He reckons there have been accidents with dead people before, and still advices to go down that route ..; clearly an unethical decision where he –on purpose- risks the life of his workers. This...
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...Global Business Ethics-Nike’s Sweatshops Ann T. Dale MGT/216 Global Business Ethics-Nike’s Sweatshops Nike is a worldwide sports name in wear and equipment. So, why is Nike’s ethics in question? Has greed and publicity become their motto at any costs? Nike spends multimillion dollars a year hiring well-known athletes to advertise their products yet cannot seem to stay out of the media’s eye of their contracting or subcontracting techniques of their products to be built in third world countries. In 1996, Nike has been charged by critics with engaging in a variety of unethical employment practices in countries that exercise little or no control over the conditions of labor or whose governments are corrupt and can be bought off (De George, 2006, chap. 20). In dealing with business issues, a company needs to be aware (what are the issues), articulate (justify and express decisions), and application (reach a decision, train and explain ethics to employees). Ethical behavior has to start at the top of a company and work its way down. Here we will compare ethical perceptions across cultures about the ethical situation, discuss the ethical issues that became evident due to globalization, and discuss the risks and consequences associated with the Nike ethical dilemma. Compare Ethical Perceptions Across Cultures About the Ethical Situation Trevino and Nelson (2007) defines business best stating the “definition of ethics—the principles, norms, and standards of conduct governing...
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...Unlike utilitarianism, which focuses on the consequences of an action, and deontological ethics, which focuses on moral rules; virtue ethics focuses on doing something simply because it’s the right thing to do based on established virtues. Aristotle (Irbe, 2000) listed several virtues and vices that correspond to different “actions” or “feelings”. Each virtue has two corresponding vices that accompany it, one of the vices occurs when there is an excess of the virtue, and the other occurs when the virtue is deficient. The feeling associated with modesty is shame. If there is too much shame, it would be shyness; however not enough shame would be shamelessness. Virtue ethics focuses on choices that an individual should make based on morals that hold true regardless of the laws and customs of a person’s specific culture. Essentially everyone should be held accountable to the same virtues even if local laws and customs allow the behavior. One should apply virtue ethics to both their personal lives as well as their professional lives. In the 1990’s major concerns were exposed in the manufacturing community about working conditions in factories located in third-world countries (Sethi, Veral, Shapiro, & Emelianova, 2010). Major pressure was then placed on numerous manufacturing companies in an attempt to force them to change their practices and improve working conditions in their factories. While it is the goal of every company to continually increase profits, a company should...
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...Abstract In this paper I will analyze the case study of Mattel Inc. and their Global Manufacturing Principles (GMP) and applying it to three different virtue ethics; fairness, honesty and justice. Then I will apply deontology, “always act in such a way that you can also will that the maxim of your action should become a universal law. Public concerns about worker exploitation and environmental degradation arose with the expansion of outsourcing and production in emerging economies where poverty, abundant labor, and need for job creation provided unprecedented opportunities for large multinational corporation (MNCs) to shift production from high-wage countries to low-wage countries. Starting with isolated complaints from civil society organizations, human rights groups, and organized labor in the mid-eighties, the anti-sweatshop movement became a major force by early nineties in the United States, Canada, Europe, and other industrially advanced countries. Global companies were under fire for operating factories with working conditions that violated basic human rights and labor laws in terms of wages and working conditions. Instances of worker exploitation and employment of underage workers were widespread. Mattel was in the middle of all of this and had also taken steps to respond to public concerns with regard to sweatshop-like conditions and worker exploitation in toy manufacturing factories in China and other developing countries. These efforts were quite similar...
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...Introduction Globalization involves companies that not only operate in a variety of countries but that divide their activities in different countries, producing one part of a product here, another part there, assembling them elsewhere, marketing them throughout the world and controlling and coordinating all these activities from a home base. Globalization also involves the growing importance of international organizations, especially the World Trade Organization. Nike, Inc. is a company that has come to symbolize both the benefits and the risks inherent in globalization regarding the various difficulties and complexities companies face as they seek to balance both company performance and good corporate citizenship in today’s global world. Ethical Issues Resulting From Globalization The athletic footwear industry experienced an explosive growth in the last two decades with Nike, Inc. (1972) as one of the largest company dominating the market. The company, once called “Blue Ribbon Sports, has evolved from being an importer and distributor of Japanese specialty running shoes to becoming the world leader in the design, distribution and marketing of athletic footware.” (Info.Nike) Knight, one of the original founders of Nike, Inc. realized that while lower-cost, high-quality Japanese producers were beginning to take over in the United States, most leading footwear companies were still manufacturing their own shoes in higher-cost countries like the United States and Germany...
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...Advantages and Disadvantages of Collaboration in the Workplace Teams and groups exist in all levels of industries and organizations. Groups can be small or large, local or remote, coached or self-directed. Teams are found at all levels of business, from a multi-billion dollar corporation that builds jets to a small waterpark employing lifeguards and clerks. Successful teams need some form of leadership, good communication, problem-solving skills, and a purpose. Successful groups can achieve tremendous results,. When teams work together, everyone is working toward one common goal and completing the project with successful results. Average groups do just enough to achieve a goal, and then there are groups that are extraordinary. They achieve superior results and team members come away from the group experience with a newfound respect of what he or she helped accomplish. A study revealed eight performance indicators linking extraordinary groups and group members agreed. Each team member agreed teams must: have a compelling purpose, a shared leadership role, team structure, full engagement among members, embrace member differences, learn the unexpected, build trusting relationships, and achieve outstanding results. Whether the team is for-profit or not, volunteers or employees, face-to-face or virtual, these eight indicators emerged (Bellman & Ryan, 2010). Athletics and businesses share many of the same qualities. The head coach sets goals for his team as does the business...
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