Globalization and global ethics is becoming an important issue and is slowly making its way into the media and policy maker’s minds. The world has changed much in the past 40 years and new values, assumptions and business mediums have been developed. Ethics is the natural assumptions businesses have when dealing with each other.
Before we can really discuss global ethics we should take just a moment to define what ethics really is. Ethics is a value bases system of looking at the world. There is no single standard of ethics but anywhere there is international business there are definite assumptions about right and wrong.
It would be nearly impossible for a business do deal with another business without some level of ethical behavior. Cheating, lying, and squeezing the other company or country is likely to cause great anxiety between the two parties. They may decide not to work with each other at all.
As the global economy expands people will begin to deal more often with other from different cultures, values, religions, and beliefs. In the business world this can be very frustrating if we don’t have enough knowledge about the other culture; even worse if we refuse to learn anything about our business partners.
Let us take the example of money. Consumer beliefs can be analyzed by taking a look at their money ethic and their attitude towards business (Vitell, S., Singh, J. & Paolillo, J., 2007). If the culture believes that money is something which can be stolen, cheated or swindled from another person or that business is an extension of your personal self there may be some ethical problems for a country that believes business has principles of fairness and social responsibility embedded within it. There won’t be much business going on between these two types of people unless the ethical issue is resolved.
We may have an ethical issue as it relates to recruiting in foreign countries or dealing with inherently discriminatory cultures (Libertella, A., Sora, S. & Natale, S., 2007). For example, many Western countries may not want to deal with Sudan due to their alleged violation of the Darfur resident’s rights. Eastern countries may not have an issue with this as within their countries any revolt would be treated in a similar manner. Likewise it would be difficult to send the most qualified African American to work as a representative in a country that still engages in apartheid.
We may also run into issues selling to customers that are opposed to our products, our country or our policies. The ethical values of other cultures have a huge affect on the types of products they will or will not purchase (Choi, C., Eldomiaty, T. & Kim, S., 2007). For example, you might have a hard time selling pork rinds or Israeli army toys to people in the Middle East who have experience occupation.
Global ethics and global economics are tied so closely that the two cannot be drawn apart. The economic treaties and alignments countries prefer are based in part on their ethical values and ideological backgrounds. Likewise there can be no business unless basic concepts of fairness, justice and equitable treatment are adhered to by two organizations.
