Ethics can be described as the discipline that deals with good and bad judgment as well as with moral expectations and obligations (Aras, 2006). In the conventional approach to business ethics (Schaefer, 2016), decisions and actions are influenced by norms and expectations of human behavior in a given society. Whether or not one is ethical is defined by the prevailing thought processes in that society (Beauchamp, 1983). One of the biggest challenges with this approach is mainly posed by the fact that norms vary considerably within the society as well as from society to society.
According to Carrol (2010), the human behavioral spectrum can be divided into three parts: behavior that is governed by laws and enforced by judicial systems, behavior …show more content…
Carol (2008) further suggests that decisions are only moral if they promote individual long-term interest. Individualism is thus a philosophy that promotes ethical behavior by discouraging short-term unethical practices, resulting in more benefits in the long run. With the Individual approach, ethical behavior is likely to be reciprocated between all stakeholders involved because these individuals are motivated to engage each other as they would want to be …show more content…
The company is a global brand, with a presence in over 150 countries and generates billions of dollars in annual revenue. Like many other corporate giants in the late 90’s, Mattel faced an ethical crisis in 1997 when an investigative news feature exposed one of its factories in Indonesia for hiring and overworking children (Mattel sets a conduct code for its suppliers, 1997). In order to mitigate this, the organization designed a code of conduct as well as social responsibility guidelines to instill best practices in the undertaking of all of its future activities. This global code of conduct came to be known as Mattel’s Global Manufacturing Principles (GMP). The company followed this up with an independent, external auditing mechanism, known as the Mattel Independent Monitoring Council
According to Carrol (2010), the human behavioral spectrum can be divided into three parts: behavior that is governed by laws and enforced by judicial systems, behavior …show more content…
Carol (2008) further suggests that decisions are only moral if they promote individual long-term interest. Individualism is thus a philosophy that promotes ethical behavior by discouraging short-term unethical practices, resulting in more benefits in the long run. With the Individual approach, ethical behavior is likely to be reciprocated between all stakeholders involved because these individuals are motivated to engage each other as they would want to be …show more content…
The company is a global brand, with a presence in over 150 countries and generates billions of dollars in annual revenue. Like many other corporate giants in the late 90’s, Mattel faced an ethical crisis in 1997 when an investigative news feature exposed one of its factories in Indonesia for hiring and overworking children (Mattel sets a conduct code for its suppliers, 1997). In order to mitigate this, the organization designed a code of conduct as well as social responsibility guidelines to instill best practices in the undertaking of all of its future activities. This global code of conduct came to be known as Mattel’s Global Manufacturing Principles (GMP). The company followed this up with an independent, external auditing mechanism, known as the Mattel Independent Monitoring Council