Values Beliefs Ideology by liaoqinmei


Beliefs Ideology
  Capitalist, liberal and socialist ideologies
  Significance for values and beliefs?
  Major religions and secularism
  Management in a multicultural society -
  accommodating differences in individual
Value and Belief
Value and values
  Worth, desirability, usefulness - qualities influencing
  Economic purchasing power of a good or service in
  Science: an amount or ranking which gives a measure of
  Ethics: principles or standards to judge what is
  important or valued in life.
  mental acceptance of a proposition, statement, or fact,
  held to be true on the ground of authority or evidence
  when what is believed cannot be observed, or is based
  on testimony.
 philosophy of mind, value-based framework of
 body of ideas, values, beliefs guiding behaviour &
 underpinning power
   Used to define & criticise political, economic , religious
    beliefs & values.
   Is religion - an ideology?

   Is science - an ideology?

   Compare ideology and paradigm

 Ideologies embedded in institutional functions, activities
 and values.
   'Victorian values', 'gospel' of prudence, hard work but

   19 C society also had poverty, unemployment & poor

 Marx & Engels - “ideology” - feature of class-divided
Many perspectives on
  Right: conservative UK is socialist -
  state-funded welfare system
  Left: Soviet Union was practising
  state capitalism.
  many variations in different
  economies: China, Japan, USA,
  Germany, Sweden.
Unethical or ethical?
 Capitalism essentially unethical?
  system based on exploitation and greed.
   actions based on self-interest (for a Kantian -
 Capitalism essentially ethical
   the more laissez faire - the more ethical it is
   maximises human freedom and, from history, well-
     economic superiority cf. other economic systems

     works on a large scale

     social benefits from economic performance.

     unregulated it can produce harsh social
     where costs > benefits - regulate
Capitalist, free enterprise system
     Asia and 14thC (Catholic) Italy.
     Protestantism and the 'capitalist work ethic'
 private ownership: property + means of production
 consumer freedom to "buy/sell as I choose"
 reward for producers who satisfy consumer needs.
 free competition - "smoke filled rooms", cartels &
 public interest.
 can we achieve economic goals in isolation?
 flourishes across races, creeds and politics
14thC. Italy (banking)
Mercantilism and state monopolies
English capitalist growth
  17thC --> 1920s.
    technological advance & industrialisation

    liberalisation, corporations, enterprise funding

  post-Civil War. Go West, agriculture, communications,
  population growth. Corporate institutions.
  Bureaucratic systems (stability & growth). Economies
  of speed & efficiency. Mass marketeers & distribution.
  International expansion
Tensions within the capitalist
   right to property & liberty to do what
   one wishes with it, free from
   external interference.
   right to justice and a fair share of
   the product of one’s society

      Liberte, Egalite, Fraternite

   reconciling liberty and equality - not
  Liberalism - various political
Libertarianism (agency theory)
  principles of liberalism and individualism
    negative - a person is diminished, damaged if principles
     violated. Privacy - sovereign right to be left alone.
    natural rights (born with) - independent of social or
     political institutions
  John Locke (1632-1704) philosophy of individual
    NOT interfering & imposing on rights of others

    NO obligation to do anything for others and vice versa

    NO right to paid employment or other material necessities.

  Insistence on individual rights constrains intervention.
  NANNY State: intrusion for common good or
  general welfare
Focus on basic rights: freedom. life, property and liberty
  legitimately owned property - two principles of justice:
    in acquisition: originally acquired without infringing the rights of
    in transfer: voluntarily transferred by previous legitimate owner
      not acting under duress.
Role of state
  defend & promote these rights
  enforce laws of ownership & property transfer
  defend the realm & protect against violence to person or property
  enforce the law of contract.
  No role to provide education or health or general welfare unless
  owners of property agree to fund it
  Minimise taxation. Leave to charity, social provision for those who
  cannot afford to pay or insure.
oppose slavery, children working in
   self-determination of smaller nations

   universal suffrage,

   press freedom

   trade unions

   religious tolerance

   hierarchy and privilege

Adam Smith and the “Invisible Hand”
1776 Wealth of Nations.
Individual efforts aggregated for the general
benefit by the 'hidden hand' of individuals acting
and choosing in own self-interest
Governments: refrain from regulating business
Laissez-faire encourages free trade and wealth
Smoke-filled rooms and moral sentiments
  moral defense of capitalism

  critique of corporate social responsibility.
 Egalitarianism (utilitarian)
Fairness - most important societal value                       Role of
   right to a fair share in the product of that society        state
   share to the weak generally > laissez faire portion         define fair
     Problem: defining & measuring fairness and "felt fairness"
                                                               share +
     Judgment about fairness depend on subjective views policies to

     State intervention                                       distribute
   Strong egalitarianism
     Equal share for all. Utopian dream. A caricature.

   Weak egalitarianism
     not equal but reduction in inequalities - ideological basis of most
       social democratic movements.
     Rawls' (weak egalitarian, just system)

          maximize benefits to weakest member
          recognise value of incentives & inequalities for economic
Nation of 1000 members
strong egalitarian policy (GNP £10 million).
    strongest and weakest each gets 1 % of this GNP

 weak egalitarianism
   incentives foster innovation & growth, national GNP of
    £25 m.
       Strong few receive 1 % of GNP (£250,000)
       Weak majority receive 0.5 % (£12,500)
With similar price levels which is the fairer or more
 just society?
    Virtue-oriented liberals

Locke's analysis does little to control the brutal.

de Tocqueville (1805-1859) 'virtue theory'
  a civil religion and network of voluntary, liberal
  democratic societies.

T.H. Green (1836-1882) “communitarianism”
  democratic, pluralistic society of voluntary
  'anti-statist' - no undue intervention by
  government bureaucracy.
 Socialism - late 18th and 19th
Utopian socialism
  Thomas More’s Utopia.
  common sharing, community of property & means of
  Communes to practise 'true Christianity' & redress harsh
  socio-economic conditions of industrial change.
Revolutionary socialism
  Marx & Engels’ Communist Manifesto (1848)
  radical socialism - industrial conditions in Manchester
  reject private property as a social force for good
  capitalism and revolutionary socialism are moral opposites
  Marxism - Das Capital
An economic analysis not a moral philosophy
Tenet: class conflict will continue until economic forces in
  society are liberated from the pursuit of continuous
  profit (capitalism)
  All change follows from economic production - politics,
  religion, philosophy and the arts.
  Society is divided into classes defined by economic
  religious, race, gender & other class conflicts stem from
  economic differences.
  The state (controlling political/legal authority) has a
  class character
  Change it (peacefully or violently).
   Socialist criticisms of
Workforce Exploitation
   the majority can only sell their labour. Their return is wages.
   Labour a factor of production - sold at less than real value vs. what
   is produced.
   employer hires labour solely to create added or 'surplus value'.
   surplus value = profit
   To maximise profits, minimise costs (wages & exploitation).
   people commoditised - not ends in themselves
   Individual separated from product of his/her labour.
   Cash nexus - wages are an economic not social obligation
   'Divide and rule' - one class controls the others
   Deskilling suppresses creativity and expression
   Substitution with machine technology devalues character/dignity of
  Socialist criticisms of
  capitalism - 2
Protection of vested interests
   Ownership rewards a minority over the un-propertied majority
   Inequality of master/servant relationships
Effects of over-production
   Capitalism fundamentally unstable. Growth, slump, change cycle
   Cannot provide jobs + higher living standards and maximise
   Labour suffers from market fluctuations & bargains from weakness.
   Capitalists have reserves.
Institutional inequalities
   Institutions - monarchies, religions, owners, speculators, political
   parties, banks etc maintain class rule & live off exploitation.
   “Workers of the world unite”.
   Abolish capitalism for justice and equality (ethical values)
Moral justification of
capitalism and free enterprise
 "Capitalism is morally preferable to socialism" because it:
        enhances moral value of individual freedom thru. thrift &
       greater wealth for more people

       Efficient distribution system

       Preferred - we are free to choose our own economic
    When is profit acceptable - not excessive or exploitative?
    What other mechanisms are at play? Note unions and
    government in wage determination, profit sharing, better
    living standards etc
    Does capitalism, private ownership & mass production really
    led to alienation of labour ? Will it disappear if no
  Friedman: The Business of
                      is Business
  Business obligation than to its shareholders
business has no wider
managers assuming a wider obligation are acting irresponsibly and
  are agents whose role is to maximise returns for shareholders.

  no right to use shareholders' funds for social programmes.

  Action that detracts from this is tantamount to theft

Decisions about social provision are political decisions
  it is not the task of business people to act as politicians.

  Artifacts (the company) cannot have social responsibility only people

  "invisible hand" ensures that the pursuit of private ends leads to
   maximisation of social benefit.
  Business pursuit of social ends will lead to sub optimum social
  Legal conformance - the minimum and maximum social obligation.

  A trader sponsors her local home
  of the mentally and physically

  Using Friedman's view, what
  factors may lead this to be a
  legitimate or illegitimate act?
Critique of Friedman
  the firm is not separate from the society in
  which it is operating. It is part of that society.
  the firm is a "responsible artifact".
  Big business decisions and consequences
  (investment, unemployment, etc) require a
  political response.
  business people have a strong influence on
  law-makers. Heavy representation in state
  policy and administration
  Peer network and social backgrounds
The Social Contract View
 The firm has contract with society
    institutional recognition through limited liability and legal
    society provides resources and infrastructure for socially
     desirable outputs: production, employment, wealth creation.
    the firm can make a fair profit, subject to being a good
     citizen (controlling pollution, protecting health & safety,
     supporting community activities etc).
 Society gives
    limited liability in return for socially responsible behaviour.

    permission to operate

 if business reneges on contract, society has right to
    withdraw permission to operate e.g. revoke license

    impose conditions on its operations e.g. energy saving "duty
     of care"
Stakeholder Theory (Kantian
and utilitarian)
 moral obligation not just to its shareholders but to stakeholders
 also - those who can be affected by its actions (or inactions).
   Employees

   Shareholders

   Customers

   Suppliers

   local community

   Government

   competitors?

   natural environment

 But this is covered by commercial and social contract !!!
 Discuss the implications of
 stakeholder theory for:

 A. the owner (sole proprietor) of
 a restaurant in a regional town
 B. the chief executive of a
 privatised water company
   What are the virtues and who are the virtuous in a
   capitalist system?
 the entrepreneurs?
     Innovating

     taking chances with their own (and other people's)
   the petit bourgeois?
     carefully managing their money

     spending in a restrained way

     saving to protect against a rainy day?
   Values and beliefs in religion
  Acquisition of polico-economic ideas thru. socialisation & education
  Yet many values and beliefs based on a religious faith (something
  more than ideology) - we feel more fulfilled:

    'The believer who has communicated with his god is not merely a
     man who sees new truths of which the unbeliever is ignorant; he
     is a man who is stronger. He feels within him more force either
     to endure the trials of existence, or to conquer them.'
Ingredients of religion
    Charisma.

    The Sacred and the Profane.

    Dogma.

    Rites, behaviours, ceremonies, rituals.

    The Cult.
Business and religion
  Do the world's main religions +
  humanism reflect capitalist values?
  Do managers, in multicultural societies,
  need understanding of leading religious
   Do religious similarities/differences
  influence formal and informal
  exchanges between organisational
  members at home and in the global
Nirvana achieved through goodness but not during lifetime.
Cycle of karma and rebirth
Karma affects how we will be reborn and our lives on the journey
Goodness in this life enhances future lives and vice versa.
worldly things are transient but take life sseriously.
Those on the path should not try too hard to change things, but
develop acceptance and forbearance through meditation.
Noble Truths: life is suffering caused by self-seeking .
Take the Eightfold Path:
right knowledge, right thinking, recognition of the noble truths,
willingness to abandon all that interferes with personal liberation.
Buddhism - ethical precepts
  Refrain from taking life (vegetarianism)
  Do not take what is not given
  Practise charity
  Avoid sexual misconduct through self-
  Practise right speech. Refrain from lying
  and malicious gossip
  Abstain from intoxicating drinks and drugs
  Find a 'right livelihood' which does not
  interfere with achieving the precepts.
Buddhism - Cardinal virtues
  love, compassion, joy, equanimity
  (absence of greed, hatred, envy).
  no underlying self, self-seeking is
 Other virtues
    generosity, righteousness

    patience and wisdom

   the greatest virtue = compassion for
Christianity - "Sin"a dominant
feature need of salvation & forgiveness
      inherent selfishness, pride and self-reliance
      Goodness of creation inspires motivation & enterprise.
       Business activity: working with God for the common
    Moral dilemma?
      What business does vs. actions undermining well-being.

    Imperative: love thy neighbour + focus on the needy
      ideologies encouraging elitism, alienation or conflict

      governments that oppress access to God's bounty

      respect individuality - the "Golden rule"

      "growth and expression" in work and business.

      The vocation, a 'call' to do God's work diligently

    Protestant - Catholic variants.
Christianity - "Sin"a dominant
feature need of salvation & forgiveness
      inherent selfishness, pride and self-reliance
      Goodness of creation inspires motivation & enterprise.
       Business activity: working with God for the common
    Moral dilemma?
      What business does vs. actions undermining well-being.

    Imperative: love thy neighbour + focus on the needy
      ideologies encouraging elitism, alienation or conflict

      governments that oppress access to God's bounty

      respect individuality - the "Golden rule"

      "growth and expression" in work and business.

      The vocation, a 'call' to do God's work diligently

    Protestant - Catholic variants.
  teachings & practices seek 'liberation' or moksha - a way of
  "seeing" partly achieved through good actions.
  Samsara: belief in rebirth - a cycle until a soul achieves
  liberation and integration into the 'ultimate being'.
  Karma: Life's actions affect future lives of our soul.
  Hindu ethics in scriptures (Vedas) explore links between
     social and spiritual life:

     moral actions: honesty, friendship, charity, truthfulness,

      modesty, celibacy, religious worship, purity of heart, and
      Abimsa, non-violence (Gandhi).
     Pursuit of virtues avoids the vices: bad intentions,

      swearing, falsehood, gambling, egoism, cruelty, adultery,
      theft, injury to life.
  All God's creation is good
  Wrong behaviour arises through disobedience of the 'Sharia'
  The Qur'an (scripture revealed to Muhammad) and Sunna set
  out the 'way of life' of the Prophet, recorded in the tradition
  God provides all necessary guidance for a life of good conduct .
  Believers must follow this in private and public.
  Tenets: the unity of God, human beings and of religion.
  Shari'a requires (no exceptions)
    regulates almost every relationship across all Muslim
      society, spiritual (between Creator & self) and secular.
    decent and benevolent actions

    no wrongdoing or harm to others

    Golden rule: deal with others as you would wish them to
      deal with you.
Islamic ethical business &
  history of international trade & diverse customs:
  free enterprise & private property:
    Respect "community" and others right to 'eminent domain'

    Avoid abuse/waste

  Profit: valid reward if reflecting brotherhood, solidarity, charity
  & payment of 'Zakat' (tax).
  Halal & Haram distinction between legitimate and illegal (riba)
  Riba: No money lending but reasonable, fixed interest (profit)
  Muslims may profit from own work or, if capital is involved,
  when risk of loss is shared.
  No profiteering from misfortune of others.
  Speculation is contentious - legitimate risk vs. gambling
Islamic ethical business &
Honest contractual obligations
 key to commercial regulation between
 Muslims & non-Muslims.
 Taking unfair advantage of others is not
 Unconditional fairness: the means & end
 of all transactions
 Honesty: a virtue and requirement.
 Investment in mutual funds or other
 financial ventures: acceptable if investors
 share risk of potential loss.
  Life's task: show God's 'righteousness' and 'holiness'
  Torah and rabbinic teaching - the Talmud
  Right and wrong actions - determined by God's laws.
    nothing immoral about possession & wealth acquisition

    Endeavour will satisfy economic needs.

    Pursuit of wealth is morally legitimate & essential.

    No spiritual value or redemption in poverty.

    powerful, all-pervasive Greed can result in injustice &
         fear of uncertainty fosters Greed
         minimise risk through legitimate or moral means.
         In a world where we know our future needs and can
           satisfy them, there would be no fraud, exploitation or
           business immorality.
  God will provide - so - no need to be unethical
  Let the buyer beware? God's sees & knows everything so - full
  disclosure by seller.
  Origins: classical Greek thought and European Enlightenment
  Parallels in Buddhism and Confucianism.
  Main tenets
      'man is the measure of all things' - autonomous, rational,
    the world sustains & constrains what we can do.

    Interpret life & the world from natural, rational perspectives

    Strive to endure, enjoy & work.

    scepticism about belief in fate & the supernatural

    rejection of authoritarian religions and ideologies.

  commitment to democracy, education, science, secularism.
  freedom & responsibility - obligation to judge, choose & act
Knowledge of values, beliefs
and ideologies
 Essential understanding for
   democratic pluralism in global & tech. environments.
   balancing political or religious beliefs in a multicultural society by
     not opposing different belief-systems

     adopting the 'Golden Rule' in day to day practice.
       Capitalism: supported and challenged by various
   these have moral commitments (more than greed/envy).
   major religions - not opposed to non-exploitative business
   share belief in
     uniqueness of the individual and place in community.

     business contribution to community needs and adherence to
       its norms.
     problems in reconciling raw profit-seeking with religion &

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