Skip to main content
Log in

Ethical Decision Making in Multinational Organizations: A Culture-Based Model

  • Published:
Journal of Business Ethics Aims and scope Submit manuscript

Abstract

The purpose of this paper is to analyze the relationship between national culture and ethical decision making. Established theories of ethics and moral development are reviewed and a culture-based model of ethical decision making in organizations is derived. Although the body of knowledge in both cross-cultural management and ethics is well documented, researchers have failed to integrate the influence of cultural values into the ethical decision-making paradigm. A conceptual understanding of how managers from different nations make decisions about highly ethical issues will provide business ethics researchers with a sound theoretical foundation upon which future empirical inquiry can be based.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Similar content being viewed by others

References

  • Adler, N.: 1983, ‘A Typology of Management Studies Involving Culture’, Journal of International Business Studies (Fall), 29–47.

  • Bochner, S. and R. W. Perks: 1971, ‘National Role Evocation as a Function of Cross-Cultural Interaction’, Journal of Cross-Cultural Psychology 2, 157–164.

    Google Scholar 

  • Butler, M.: 1993, ‘Strategic Management of Worker Health, Safety, and Environmental Issues in Mexico' Maquiladora Industry’, Human Resource Management 32(4), 479–503.

    Google Scholar 

  • Ciulla, J.: 1991, ‘Why is Business Talking about Ethics? Reflections on Foreign Conversations’, California Management Review 34(1), 67–87.

    Google Scholar 

  • Colby, A., L. Kohlberg, J. C. Gibbs and M. Lieberman: 1983, ‘A Longitudinal Study of Moral Development’, Monographs of the Society for Research in Child Development 48, 1–124.

    Google Scholar 

  • DeGeorge, R.: 1987, ‘The Status of Business Ethics: Past and Future’, Journal of Business Ethics 6, 201–213.

    Google Scholar 

  • Donaldson, T. and P. Werhane: 1993, Ethical Issues in Business (Prentice-Hall, Englewood Cliffs, NJ).

    Google Scholar 

  • Evans, W. M.: 1990, Organizational Theory (Wiley, New York).

    Google Scholar 

  • Fritzsche, D. and H. Becker: 1984, ‘Linking Managerial Behavior to Ethical Philosophy – An Empirical Investigation’, Academy of Management Journal 27, 166-175.

    Google Scholar 

  • Ginsberg, L. and N. Miller: 1991, ‘Value-Driven Management’, Management Decision 29(4), 4–8.

    Google Scholar 

  • Gowdy, J.: 1994, ‘Progress and Environmental Sustainability’. Environmental Ethics 16, 41–55.

    Google Scholar 

  • Graham, J. L.: 1985, ‘Cross-Cultural Marketing Negotiations: A Laboratory Experiment’, Marketing Science 4, 130–146.

    Google Scholar 

  • Gutierrez, S.: 1993, ‘Can You Make it in Mexico?’, Financial Executive 9, 20–23.

    Google Scholar 

  • Hegarty, W. and H. Sims: 1979, ‘Organizational Philosophy, Policies, and Objectives Related to Unethical Decision Behavior: An Laboratory Experiment’, Journal of Applied Psychology 64(3), 331–338.

    Google Scholar 

  • Hofstede, G.: 1980, Culture' Consequences: International Differences in Work-Related Values (Sage, Beverly Hills, CA).

    Google Scholar 

  • Hofstede, G.: 1983, ‘Dimensions of National Culture in Fifty Countries and Three Regions’, in J. D. Deregowski, S. Dziurawiec and R. C. Annios (eds.), Expiscations in Cross-Cultural Psychology (Swets and Zeitlinger, Lisse, Netherlands), 335–355.

    Google Scholar 

  • Hofstede, G.: 1984, ‘The Cultural Relativity of the Quality of Life Concept’, Academy of Management Review 9, 389–398.

    Google Scholar 

  • Hofstede, G.: 1994, ‘Management Scientists are Human’, Management Science 1, 4–13.

    Google Scholar 

  • Hui, C. H. and H. C. Triandis: 1984, What Does Individualism-Collectivism Mean: A Study of Social Scientists (Unpublished Manuscript, University of Illinois, Department of Psychology).

  • Jones, T.: 1991, ‘Ethical Decision Making by Individuals in Organizations; An Issue-Contingent Model’, Academy of Management Review 16(2), 366–395.

    Google Scholar 

  • Kohlberg, L.: 1984, Philosophy of Moral Development (Harper and Row, New York).

    Google Scholar 

  • Kohlberg, L. and D. Candee: 1984, ‘The Relationship of Moral Judgement to Moral Action’, in W. M. Kurtines and J. L. Gerwitz (eds.), Morality, Moral Behavior and Moral Development (Wiley, New York), 52–73.

    Google Scholar 

  • Kohlberg, L.: 1969, ‘Stage and Sequence: The cognitive-Developmental Approach to Socialization’, Handbook of Socialization Theory and Research (Rand McNally, Chicago).

    Google Scholar 

  • Kroeber, A. L. and C. Kluckhohn: 1952, ‘Culture: A Critical Review of Concepts and Definitions’, Peabody Museum Papers 47, 12–22.

    Google Scholar 

  • Manning, F. V.: 1981, Managerial Dilemmas and Executive Growth (Reston, Reston, VA).

    Google Scholar 

  • Negandhi, A. R.: 1979, ‘Convergence in Organizational Practices: an Empirical Study of Industrial Enterprise in Developing Countries’, in C. J. Lammers and D. J. Hickson (eds.), Organizations Alike and Unlike (Routledge & Kegan Paul, London), 323–345.

    Google Scholar 

  • Nisan, M. and L. Kohlberg: 1982, ‘University and Cross-Cultural Variation in Moral Development: A Longitudinal and Cross-Sectional Study in Turkey’, Child Development 53, 865–876.

    Google Scholar 

  • Penn, W. and B. Collier: 1985, ‘Current Research in Moral Development as a Decision Support system’, Journal of Business Ethics 4, 131–136.

    Google Scholar 

  • Pulakos, E. D. and K. N. Wexley, 1983: ‘The Relationship Among Perceptual Similarity, Sex and Performance Ratings in Manager-Subordinate dyads’, Academy of Management Journal 26, 129–139.

    Google Scholar 

  • Rosen, H.: 1980, The Development of Sociomoral Knowledge (Columbia University Press, New York).

    Google Scholar 

  • Schneider, S.: 1989, ‘Strategy Formulation: the Impact of National Culture’, Organization Studies 10(2), 149–169.

    Google Scholar 

  • Schneider, S. and A. Meyer: 1991, ‘Interpreting and Responding to Strategic Issues: The Impact of National Culture’, Strategic Management Journal 12, 307–320.

    Google Scholar 

  • Shaw, J. B.: 1990, ‘A Cognitive Categorization for the Study of Intercultural Management’, Academy of Management Review 15, 626–645.

    Google Scholar 

  • Sikkink, K.: 1993, ‘Human Rights, Principled Issue-Networks, and Sovereignty in Latin America’, International Organization 47(3), 411–441.

    Google Scholar 

  • Skinner, B. F.: 1971, Beyond Freedom and Dignity (Knopf, New York).

    Google Scholar 

  • Smircich, L.: 1973, ‘Concepts of Culture and Organizational Analysis’, Administrative Science Quarterly 28, 330–358.

    Google Scholar 

  • Speer, A.: 1981, Infiltration (MacMillan, New York).

    Google Scholar 

  • Sundaram, A. and J. Black: 1992, ‘The Environment and Internal Organization of Multinational Enterprises’, Academy of Management Review 17(4), 729–757.

    Google Scholar 

  • Trevino, L.: 1986, ‘Ethical Decision Making in Organizations: A Person-Situation Interactionist Model’, Academy of Management Review 11, 601–617.

    Google Scholar 

  • Triandis, H., K. Leung, M. Villareal and F. Clark: 1985, ‘Allocentric Versus Idiocentric Tendencies: Convergent and Discriminant Validation’, Journal of Research in Personality 19, 395–415.

    Google Scholar 

  • Triandis, H., R. Bontempo, M. Villareal, M. Asai and N. Lucca: 1988, ‘Individualism and Collectivism: Cross-Cultural Perspectives on Self-Ingroup Relationships’, Journal of Personality and Social Psychology 54(2), 323–338.

    Google Scholar 

  • Turiel, E., C. Edwards and L. Kohlberg: 1978, ‘Moral Development in Turkish Children, Adolescents, and Young Adults’, Journal of Cross-Cultural Psychology 9, 75–85.

    Google Scholar 

  • Vitell, S., S. Nwachukwu and J. Barnes: 1993, ‘The Effects of Culture on Ethical Decision-Making: An Application of Hofstede' Typology’, Journal of Business Ethics 12, 753–760.

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Rights and permissions

Reprints and permissions

About this article

Cite this article

Robertson, C., Fadil, P.A. Ethical Decision Making in Multinational Organizations: A Culture-Based Model. Journal of Business Ethics 19, 385–392 (1999). https://doi.org/10.1023/A:1005742016867

Download citation

  • Issue Date:

  • DOI: https://doi.org/10.1023/A:1005742016867

Keywords

Navigation