Summary/Analysis
INTRODUCTION
Main idea: Frequent ethical lapses by corporate executives require university administrators and business school faculty members to evaluate study curricula regarding ethics
Specific Section: Ethical Egoism
Thesis statement: Despite the reinterpretation of ethical egoism, as long as it is based solely on self-interest, ethical teachings will be rendered useless.
SUMMARY
Business schools teach students to think critically and equip them with tools to be financially successful and become better contributors to the society. However, recent events in the corporate sectors have seen frequent lapses in ethical behavior. Maybe an evaluation is due regarding the ethics in the curriculums of business schools. Integrating ethical thinking might help in establishing a sense of compassion for others as unethical and immoral actions of corporate executives have financially drained the economy.
ANALYTICAL ARGUMENT
Ethical egoism requires reinterpretation. The basic understanding of the concept ethical egoism is that everyone should further their self-interest as it is the smart, rational and ethical thing to do (Cavico & Mujtaba, 2009). The new interpretation should make the concept narrow, in a way that it serves no subjective meanings in serving self-interests by tactics such a fraud or manipulation. The concept of ethical egoism is too broad. In universities and colleges it is most probably being taught in a way that opens a small window of opportunity for students (future executives) to exploit their positions. They would find it easier to justify their otherwise immoral actions based on the fact that ethical ideology demands them to take care of self-interests.
People who have worked in the corporate sector, especially in the financial sector, would understand the complexity of business matters when it comes to adhering to standards of professionalism and ethics. For instance, financial analysts working in investment banks are generally prohibited to take part in the trade for they hold inside information. However, they might try to hint something to their friend or relative about the stocks.
On the surface they are not breaking any laws as they did not directly communicate where to invest but rather implied. And from ethical egoism it might also be justified that they are not breaking the law yet, they are taking care of their self-interest. For this reason, it is imperative that ethical egoism should not be open for such interpretations.
There must be a clause or an addition of altruism added into the concept of ethical egoism. Ethical altruism would suggest that one should think of their actions in terms of how they impact others. Continuing with the previous example a financial adviser holding inside information should prohibit tipping anyone off regarding the investment. The advisor’s first duty is to the clients of the bank that pay their salary.
On a broader level it must be kept in mind that the resources in the society are limited. Competition determines who get the most share. There is a conflict in the society where different factions struggle for the same limited resources. Under these circumstances, implying the old definition of ethical egoism will make it very easy to step on toes and do whatever it takes to serve self-interests.
It might be argued that law would take action against such individual however, it must be kept in mind that there are many grey areas. These are the areas where law might not have access but ethical and moral values do guide how to act. When the element of altruism are added to the concept of ethical egoism it will be almost impossible for anyone to justify their immoral actions according to the definition. The financial adviser would think of the impact it will have on the society and other deserving investors as buying a hot stock makes its price go up, making it more expensive for the ‘late’ investors. Altruism would dictate not to manipulate their position and refrain from sharing inside information.
REFERENCE
Cavico, F. J., & Mujtaba, B. G. (2009). The state of business schools, business education, and business ethics. Journal of Academic and Business Ethics, 2, 1.
