Business Ethics and Social Responsibility

Governor Pack Road, Baguio City, Philippines 2600

Tel. Nos.: (+6374) 442-3316, 442-8220; 444-2786;
442-2564; 442-8219; 442-8256; Fax No.: 442-6268 Grade Level/Section: ABM -12
Email: email@uc-bcf.edu.ph; Website: www.uc-bcf.edu.ph

MODULE 6- Ethics Subject Teacher: Kenny Jones Amlos

Foundations of the Principles of Business Ethics – The Filipino Value System

Learning Objectives:

At the end of this module, the student is expected to:

a. describe how the Filipino value system affects the attitudes of business constituents;
b. analyze simple business situations as they are affected by the Filipino value system; and
c. recommend ways of confronting ethical challenges in the business setting.

Filipino Value System in Business

The Filipino value system is rooted primarily on culture that has been set throughout the history of
Filipinos.

✓ It refers to the set of values or the value system that a majority of the Filipino have
historically held important in their lives.

The Philippine value system includes their own unique collection of consistent ideologies, moral
codes, ethical practices, etiquette and cultural and personal values that are promoted by their
society.

✓ These values influence not just the personal association of a Filipino to its society but
also to trade industry.

✓ The Filipino values can be translated as:

• Buti – it is something desired of what is good.

• Pamantayan – standards which enable us to recognize our ideas and interpret our
experiences within the context of commonly shared meaning of things, events or
actions.

• Halaga – worth, importance, evaluation or assessment.

• Ganda – encompassing everything that is to be pursued. What is beautiful must be

realized.

Different Filipino Value System and It’s Affects to the Attitudes of Business Constituents

1. Bahalana

It comes from the words “Bathala Na” more or less meaning “Leave It To God” or “Come What
May”. Bahalana is a principle used when a person does not know what to accomplish or is too
slothful to do anything at all. This beliefto put fate in God’s hands may be a sign of how religious
Filipinos may be. Further, it may show that the Filipinos are free-spirited and that they put their life
in fate’s hand.

In business:

Filipinos usually say “Bahalana” when they are unable to decide their next course of
action or when they have no idea what will happen next. All they want is to go with
the flow, not minding what the outcome might be.

Business Ethics & Social Responsibility Page 2 of 4

 Business Ethics and Social Responsibility
Governor Pack Road, Baguio City, Philippines 2600
Tel. Nos.: (+6374) 442-3316, 442-8220; 444-2786;
442-2564; 442-8219; 442-8256; Fax No.: 442-6268 Grade Level/Section: ABM -12
Email: email@uc-bcf.edu.ph; Website: www.uc-bcf.edu.ph

MODULE 6- Ethics Subject Teacher: Kenny Jones Amlos

2. Utang naLoob(Debt of Gratitude)

Gratitude orUtang naLoob is very fashionable Filipino characteristic. One does not fail to
remember the fine actions that others may have done particularly at times of great need. This
debt of gratitude is at times abused by those who have done well to others. With this system
people are forced to do something in exchange for what others do in favor.

In business:

Utang naLoob may be good or bad for business depending on a lot of considerations,
but if affects the way business is conducted especially when the business person is
confronted with ethical issue.

3. Padrino System

Padrino system, or patronage in the Filipino culture and politics is the value system where one gets
support, endorsement, or political appointment through family affiliation (nepotism) or friendship
(cronyism), as against to one’s worth. The Padrino system in the Philippines has been the root
cause of many controversies and corruption.

In business:

This creates conflict in the workplace and can result in losing qualified personnel.

4. Amor Propio (Self-respect)

Amor Propio is Spanish word which means self-love. It is also an individual’s highly emotional
reaction to protect his or her honor and dignity when they are threatened or questioned and at
some point the reaction is retaliation.

In business:

Pride is an aspect of Amor Propio. It can get in a way of constructively taking

responsibility for their actions. Too much pride in oneself can cause a lot
misunderstanding on a personal level and even in the corporate world.

5. Filial Piety

Filial Piety is a virtue of respect for one’s parents, elders, and ancestors. It is understood as
essential to maintain the collective face of the family and to avoid experiencing hiya.

In business:

The Filipino family is so intact that it is common for members of the same family work for
the same company.

6. Suki

“Suki” is a Filipino term which means “loyal customers”. In the commercial context, suki
relationships may develop between two people who agree to become regular customer and
supplier. In the marketplace, Filipinos will regularly buy from certain specific sellerswho willgive
them, in return, reduced prices.

In business:

Business Ethics & Social Responsibility Page 3 of 4

 Business Ethics and Social Responsibility
Governor Pack Road, Baguio City, Philippines 2600
Tel. Nos.: (+6374) 442-3316, 442-8220; 444-2786;
442-2564; 442-8219; 442-8256; Fax No.: 442-6268 Grade Level/Section: ABM -12
Email: email@uc-bcf.edu.ph; Website: www.uc-bcf.edu.ph

MODULE 6- Ethics Subject Teacher: Kenny Jones Amlos

Through a suki relationship usually takes time and many business transactions to be
solidified, suggesting a suki like relationship and backing it up with concessions could be
used as a measure to build trust and at the very least hasten the development of a suki
like arrangement.

7. Other Filipino Value System

Ningas Cogon, Pakikisama, Hiya

Ethical Challenges in the Business Setting

1. Business Formation
✓ all must share the same business values, principles, and ethics.

2. Employment
✓ developing a recruitment and selection process that screens candidates who seem likely
to embrace the company’s ethics can be a challenge.

3. Corporate Governance
✓ the company’s executive officers represent the company’s ethics and are, therefore,
responsible for modeling behavior and practices for the staff to emulate.

4. Compliance
✓ many companies mistakenly consider ethics and compliance intertwined-they are not.

REFERENCES:

Landa, Jocanda (2008), Filipino Value System: A Cultural Definition. Metro

Manila: PUNLAD Research House

BAL 174.4 Jerusalem, Violeta L. (2017). Business Ethics and Social Responsibility:
J487 2017 Concepts, principles, and practices of ethical standards. Manila,
Philippines: FASTBOOKS Educational Supply, Inc.

BAL 174.4 Cortez, F (2016). Business Ethics and Social Responsibility. Quezon City,
C8187 2016 Philippines: Vibal Group, Inc.

https://www.tutorialspoint.com/business_ethics

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