Introduction to Ethical Decision Making in Business
Purpose of This Resource
This Open Educational Resource (OER) is designed to help you understand the principles and processes behind ethical decision-making in business and organizational contexts. Through the study of five major ethical theories and application of a step-by-step decision-making model, you’ll develop the skills to analyze dilemmas, assess alternatives, and make responsible choices in complex situations.
In this resource, you will:
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Explore foundational ethical theories and how they apply in real life
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Learn a structured, 11-step model for making ethical decisions
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Practice applying concepts to realistic case studies
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Build confidence in navigating conflicting values and stakeholder needs
Why Ethics Matters in Business
Big Picture
Ethical decision-making is critical to responsible leadership, sustainable business success, and positive stakeholder relations.
Ethical challenges are everywhere, from managing layoffs to designing AI tools, from advertising truthfully to sourcing materials responsibly. Ethical business isn’t just about avoiding scandal; it’s about making decisions that build trust, create long-term value, and align with both personal and organizational values.
Business ethics is a form of applied ethics in which moral principles and standards are examined and implemented within the context of business practices and decision-making. It involves evaluating the ethical implications of corporate behaviour, leadership choices, and stakeholder interactions, aiming to promote integrity, fairness, and social responsibility in the pursuit of profit and organizational success.
Key Terms & Concepts
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Ethics: A system of moral principles or values.
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Ethical dilemma: A situation where two or more ethical principles conflict.
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Stakeholders: Individuals or groups affected by a decision.
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Values: Deeply held beliefs that guide behaviour and decision-making.
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Moral reasoning: The process of thinking through what is right or wrong.
What You’ll Learn
By completing this OER, you will be able to:
- Explain key ethical theories and apply them to business cases.
- Identify ethical issues in business decisions.
- Use an 11-step ethical decision-making model to analyze complex situations.
- Recognize competing values and justify choices.
- Reflect on your own ethical reasoning and leadership.
How to Use This Resource
Learning Format
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Each chapter contains key content and examples.
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Glossary terms are highlighted and are clickable for easy review.
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Interactive elements are included in the first section of the book.
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You can use this resource independently or as part of your course.
