Ben Wempe

This paper challenges a pervasive, if not always explicit assumption of the present state of theorising in business ethics. This is the idea that a workable theory of organizational ethics must provide a distinctive, unitary and integrative perspective on its subject matter. In this paper we will sketch the broad outlines of an alternative understanding of business ethics, which focuses on constraints on corporate conduct that cannot reasonably be rejected. These constraints stem from at least three different levels or spheres of social reality, i.e. the preconditions of a well-ordered society, the internal morality of economic activity and the preconditions of autonomous agency.

The call for practical guidance is a catch phrase for a widespread tendency among present theories of business ethics. Many of these explicitly seek to provide very detailed and concrete instructions for business practioncrs. We argue that on the whole this quest for practical guidance is based on a misapprehension of what applied normative theories can realistically achieve. This concern is further elaborated with special reference to the current paradigm of contractarian business ethics, Donaldson and Dunfee’s Integrative Social Contracts Theory (ISCT).

One of the more recent trends in business ethics theory is to argue for norms for corporations on the basis of a social contract model. So far, however, the application of this method of argument has been without sufficient attention for the defining features characterizing the domain of business ethics and the specific assumptions of the social contract argument. In this paper, I situate the new trend of arguing for norms of corporate morality on the basis of a social contract against the background of two earlier traditions of social contract argumentation, i.e. contract theories of politics and of social justice. A comparative analysis of these earlier families of contract theory provides an indication as to how a well-formed contract theory for business ethics should be set up.

Sandberg documents with admirable precision nine rather diverging renderings of Freeman’s call for the rejection of the separation thesis (ST). A more careful consideration of the propriety of importing phrases such as “the rejection of ST” from more established academic disciplines so as to serve in the field of normative business ethics would seem to make that precision premature and maybe even superfluous. This may well be generalized to an observation concerning currentworking methods in normative business ethics.

What should and what should not be for sale in a society? This is the central question in the Moral Limits of Markets debate, which is conducted by a group of business ethicists and liberal egalitarian political theorists. These MLM theorists, which we will dub ‘market moralists,’ all put forward a specific version of the argument that while the market is well suited to allocate some categories of goods and services, it is undesirable for the allocation of other such categories. We argue that the current MLM debate is too much framed in terms of a market/non-market dichotomy. Moreover, authors tend to distinguish insufficiently between values such as freedom, equality, and efficiency, and allocation methods such as the market, the queue, and rationing. We introduce a new conceptual scheme consisting of societal domains, values, and allocation methods to provide a better structure for this debate. The argument is illustrated from the education and healthcare domains.

Is business intimately related to ethics or can the two be separated? I argue that examining this question by focusing on how the two areas might be separated is logically flawed. Examining how business and ethics are connected, however, can bear fruit. This examination shows that business is a proper subset of ethics. Understanding this intimate connection has two practical benefits. It removes the seemingly incommensurable conflict between financial and ethical responsibilities of managers and it gives us new and positive insights into Milton Friedman’s view that the social responsibility of business is to increase its profits.

This article sets out two central theses. Both theses primarily involve a fundamental criticism of current contractarian business ethics(CBE), but if these can be sustained, they also constitute two boundary conditions for any future contractarian theory of business ethics. The first, which I label the self-discipline thesis, claims that current CBE would gain considerably in focus if more attention were paid to the logic of the social contract argument. By this I mean the aims set by the theorist and method of reasoning by which normative conclusions are drawn in the contract model. The second, to which I refer as the domain-specificity thesis, argues that current CBE needs to be better adapted to its field of application and the specific goals which it aims to establish. I will substantiate these two theses on the basis of a comparative analysis of CBE with two earlier families of social contract theories.

ISCT arguably forms the most promising impetus to a contractarian theory of business ethics presently available. In this article, I want to pay tribute to the lasting significance of Dunfee's contribution to the field of business ethics by analyzing the vital role of the idea of extant social contracts (ESCs) in the conceptual set up of the ISCT project. The construct of ESCs can be shown to shape the problem statement from which the ISCT project proceeds – indeed it helps to conceptualize the basic question which defines and delineates the domain of business ethics

In this new and entirely revised edition of his study of Green's theory of positive freedom, Ben Wempe argues that the far-reaching and beneficial influence of Green’s political doctrine, on public policy as well as in the field of political theory, was founded on a misinterpretation of his philosophical stand, since the metaphysical basis on which Green argued for his political position was largely neglected. The book discusses Green’s philosophical development and examines an important, hitherto underrated, influence that went into the formation of his philosophical opinions. It then considers Green’s metaphysics and describes how some omissions from the concise version of his metaphysical doctrine, as it is found in his published works, may be remedied by reference to Green’s unpublished material.

This paper challenges a pervasive, if not always explicit assumption of the present state of theorising in business ethics. This is the idea that a workable theory of organizational ethics must provide a unified perspective on its subject matter. In this paper we will sketch the broad outlines of an alternative understanding of business ethics, which focuses on constraints on corporate conduct that cannot reasonably be rejected. These constraints stem from at least three different levels or spheres of social reality, i.e. the preconditions of a well-ordered society, the internal morality of economic activity and the preconditions of autonomous agency

The stakeholder model of the firm (SMF) was originally conceived as a theory of strategic management, intended to remedy the biases of the stockholder model. As the model became more normative, it effectively turned into a theory of business ethics. This paper reproduces material focusing on the contribution of Professor Ed Freeman to stakeholder theorizing. These portions were extracted from a longer manuscript which argues that: 1. SMF generated a series of new questions which constitute some of the defining problems of business ethics at present; yet 2. its inherent company-centered perspective prevents it from resolving these defining problems.

This paper challenges a pervasive, if not always explicit assumption of the present state of theorising in business ethics. This is the idea that a workable theory of organizational ethics must provide a unified perspective on its subject matter. In this paper we will sketch the broad outlines of an alternative understanding of business ethics, which focuses on constraints on corporate conduct that cannot reasonably be rejected. These constraints stem from at least three different levels or spheres of social reality, i.e. the preconditions of a well-ordered society, the internal morality of economic activity and the preconditions of autonomous agency.

This article assesses the quality of Integrative Social Contracts Theory (ISCT) as a social contract argument. For this purpose, it embarks on a comparative analysis of the use of the social contract model as a theory of political authority and as a theory of social justice. Building on this comparison, it then develops four criteria for any future contractarian theory of business ethics (CBE). To apply the social contract model properly to the domain of business ethics, it should be: (1) self-disciplined, i.e., not aspire results beyond what the contract model can realistically establish; (2) argumentative, i.e., it should seek to provide principles that are demonstrative results of the contractarian method; (3) task-directed, i.e., it should be clear what the social contract thought-experiment is intended to model; and (4) domain-specific, i.e., the contractarian choice situation should be tailored to the defining problems of business ethics.