SINGAPORE MANAGEMENT UNIVERSITY AY2008-09 Term 2 Examinations April 2009 LGST001 Ethics and Social Responsibility Name of instructor: Practice Assoc Prof lan MACDUFF INSTRUCTIONS TO CANDIDATES 1 The time allowed for this exarnination paper is 2 hours. 2 This examination paper contains a total of ONE (1) question with THREE. (8) sub-ouestions and comprses THREE (3) pages including this instructon sheet. 3 You are required to answer ALL questions. 4 PART Aisa letter that you should read caretully; PART B provides you with specific instructions for your written response; 5 PART Bcontains THREE questions: = Question (a) is worth 35 marks = Question (b) is worth 45 marks = Question (c) is worth 20 marksLastoo1 PART A Dear Scholar This letter comes to you an behalf of the Law Ministers of the Association of South East Asian Nations. As you may be aware, the ASEAN Ministers have resolved that, consistent with the priorities of all regional governments, itis necessary to formulate a framework of commercial, political and — above all — ethical responsibilities. The purpose of this letter to you, as an expert in the field of ethics and social responsibilty, is to commission you to prepare a dratt document tor the next meeting of ASEAN Law Ministers in which you provide a response to the questions outlined in PART B. In order to facilitate your response, please consider especially the issues outlined in the next three paragraphs. ‘The concems that lead to this invitation are these: 4. Atthe Davos summit this year (2009) the Deputy Chairman of the Indian Planning ‘Commission was quoted as observing: “Confidence grows at the rate a coconut tree grows and falls at the rate a coconut falls”. The Ministers are thus especially concerned with net only confidence in the business sector but also, more importantly, fundamental issues of trust and the manner in which ethical practice is fundamental to the maintenance of trust. 2, The Ministers were advised at the summit that there is reason to think that there are universal principles that underlie ethical obligations and responsibilities. To that effect, one of the Ministers quoted from a text used in the Ethics and Social Responsibility course at Singapore Management University, in which the author, ‘Tom Donaldson, suggested that “There are fundamental values that cross cultures, and companies must uphold them’ and these are the values of “respect for human dignity, respect for basic rights, and good citizenship.” (Donaldson & Werhane, pages 477 & 480) Similarly, Richard de George was quoted, from the same text, thus: “The basic norms of morality apply to every society, whatever the background institutions, These norms are not dependent on particular background condition, Murdering one’s competitor, destroying the property of thase who do not pay for protection, distributing poisoned food as pure — all such acts are unethical, no matter what the system.” [p.467]3. Further, it was suggested to the Ministers that, even though it may be necessary and possible to establish principles of ethical responsibilty, ethical theory was divided on whether coercion — in the name of ethical goals — was justified. On the one hand, it was suggested, consequentialist and utilitarian theories might justify coercion, but on the other hand, Kant was quoted as arguing that “ull virtue is best left to the ‘internal legislation’ of rational beings”; and Voltaire was quoted as claiming that ‘virtue supposes liberty’. The question is therefore open, in the Ministers’ minds, on this question of the role of governments, regulation, and legislation in matters of ethics. Last 001 PART B: ‘The Ministers’ specific requirements are that you: (1) Compare and contrast the contribution of each of the principal ethical traditions to contemporary ethical discourse, in relation to the three themes identified in the prececing letter; and (2) Using your preferred ethical model - or a selection of them ~ identity a set of principles wnich you recommend should be adopted, by reterence to THREE ot tne following areas of particular concem to the Ministers and to the governments of the region, that is Corporate Social Responsibility; or Corruption; or Advertising and marketing; or Workplace issues; of Obligations in relation to the environment; or Ethical responsibilities of the professions’ or Ethical issues in the contemporary virtual or online word; oF Challenges of international business praciice in 2 globalised world; and erpaoge (3) Provide a succinct executive summary. at the end of your paper. drawing together your key conclusions and principles