As a result of this merger, pepsi now has control over 80 percent of its bottling network. Merger, acquisition, ethical issues, social issues, human resource issues. This study defines and traces the emergence and evolution within the business literature of the concepts of values, business ethics and corporate social responsibility to illustrate the increased emphasis that has been placed on these issues over time. Sage reference the complete guide for your research journey. Whether you work for a small business or a major corporation, following ethical principles matters. Business law today from aba issues, articles insight. The enron corporation was created in 1985 out a merger of two major gas pipeline companies.
Business ethics articles articles on corporate governance, organizational ethics, creating an ethical culture, leadership, and global business ethics. Iosr journal of business and management iosrjbm eissn. Business ethics resources sections business ethics resources. Other leading journals also date from this period, with business ethics quarterly appearing in 1991, and business ethics. Critics typically argue that undesired takeovers ultimately harm society due to external costs not borne by the acquiring firm. Practically every article that has ever been written about the economic, legal or ethical aspects of acquisitions and mergers has proceeded to discuss the topic from the viewpoint of the initiators, the predators, to use a pejorative term. In brief the current upward trend of cpa firm merger and acquisition activity. Business ethics articles markkula center for applied ethics. Read the role of business ethics in merger and acquisition success. Unit 5international business ethics miranda misercola american intercontinental university november 7, 2015 abstract the purpose of this paper is to analyze two different acquisitions or mergers to demonstrate how such business transactions can cause legal barriers to entry market.
A corporates responsibility to employees during a merger free. Very little has been written about the individuals who try to prevent an acquisition or a merger. Articles on professional ethics in business including the behavior of managers and employees in matters such as loyalty and honesty. Ethical dilemmas during mergers, acquisitions, and takeovers. I suggest that these attitudes fail to recognize that a principal function of ethics is to facilitate cooperation. Two ethical issues in mergers and acquisitions springerlink. An empirical study, journal of business ethics on deepdyve, the largest online rental service for scholarly research with thousands of academic publications available at your fingertips. For consumer groups and society at large, research has shown that good ethics is good business. The paper begins with an examination of traditional attitudes towards business ethics. It can be studied from a variety of different angles, whether its philosophically.
Mergers and acquisitions with a reference to ethical, social and human resource. But when small business owners find themselves in the gray area with a customer or other business relationship, there is. One has to do with the rights of employees affected in mergers and acquisitions and the second concerns the responsibilities of shareholders during these activities. The role of business ethics in merger and acquisition success. Sage video bringing teaching, learning and research to life. To define, develop and study the concept of business and leadership ethics. Cq press your definitive resource for politics, policy and people. The study of business ethics and law often merge when it comes to standards of conduct expected by all aspects of society. Josiah royce and the genuine moral life, he debates the issue of. Corporate mergers and acquisitions, journal of business ethics 16. An empirical study article pdf available in journal of business ethics 691 january 1992 with 1,788 reads how we measure reads.
There are some ethical obligations we have, in virtue of our jobs, that dont apply to others. In summary, a key element of a successful merger andacquisition transaction is the careful integration of the companies ethics and compliance programs. The journal of business ethics publishes only original articles from a wide variety of methodological and disciplinary perspectives concerning ethical issues related to business that bring something new or unique to the discourse in their field. The 1980s witnessed a dramatic increase in hostile takeovers in the united states.
Enron scandal the evolution of business ethics mba. Some overlooked ethical issues in acquisitions and mergers. Business loyalty a topic that could be considered important in the broad concept of business ethics is employees loyalty to the company. At dissimilar times of the world, people, particularly leaders of. The management teams of both companies face ethical dilemmas prior to beginning the merger, as negotiations proceed and. Sage reference encyclopedia of business ethics and society. Managing business ethics is a textbook that offers more prescriptive advice than most books on business ethics. Business ethics high impact list of articles ppts journals 1417. Although employees are drastically affected by a merger or an. Business ethics, corporate social responsibility and. A suggested ethical framework for evaluating corporate. The organisational world is still shaking from the impact of individual and organisational actions that are contrary to the openended community standards of ethics. Abstract as this is a dissertation, an academic thesis, it is important to define the objectives of my research, even if ex post facto, explicitly. Business ethics or business ethics is a discipline in applied ethics, which deals with the analysis of the moral of how economic actors companies, shareholders, employees, customers, etc.
Overlooked ethical questions in acquisitions and mergers. The most recent lesson on the importance of business ethics came with the wall street collapse, as once highly esteemed financial institutions made headlines for their bad choices and questionable behavior. Follow breaking business news and headlines on the worlds most important companies from the wall street journal. With the recent rash of mergers and friendly and unfriendly takeovers, two important issues have not received sufficient attention as questionable ethical practices. Business ethics, corporate social responsibility and corporate governance. Business ethics is a broad field because there are so many different topics that fall under its umbrella. Ethics and business success overview ethics are the principles of right and wrong that are accepted by an individual, a social group, or society as a whole. This study adopted the structural equation modeling approach to. The institute for global ethics, founded by kidder, has a short article concerning wrong. Most ethical discussions of acquisitions and mergers focus on the ethical. The importance of practicing business ethics universalclass. Given the importance of business ethics, its imperative that we all do our best to promote ethical behavior in business. These articles explore the topic of business ethics in detail and offer some advice on how you can run an ethical organization and encourage others to do the same thing.
How much do a companys ethics matter in the modern professional climate. Business ethics 6 ways playing poker can help you in business and 2 ways it cant many skills needed in the game of poker translate well into being an entrepreneur. Corporate mergers and acquisitions are undertaken with the belief that the combined companies will be able to grow more rapidly and be competitively stronger than they were as independent companies. Whats the difference between ethics and business ethics. From its inception the journal has aimed to improve the human condition by providing a public forum for discussion and debate about ethical issues. Ten years into the business the owners decided to purchase a second company four. Further that despite the emphasis on competition in modern market economies, business like all other forms of social activity is possible only where people are prepared to respect rules in the. An important rule to remember during the preacquisition phase is that considering culture is a vital aspect of successfully merging ethics and compliance programs.
Why you need good business ethics edward lowe foundation. At dissimilar times of the world, people, particularly leaders of the world, were blind. Pdf the role of business ethics in merger and acquisition. Proponents argue that well planned mergers enhance the value of the firm and the value of the firm to society. Different companies, different approaches, one cohesive corporate culture. Ethical dilemmas during mergers, acquisitions and takeovers. Mergers and acquisitions with a reference to ethical. Sage business cases real world cases at your fingertips. Ethics digital article when i was a student at the stanford graduate school of business, the professors constantly admonished us to look at the big picture. Article the values that sustain entrepreneurs by ray smilor. When it comes to professional ethics, we take into consideration our personal values, family background, culture, education, and religion or philosophy before making important decisions. On t he one han d, business ethics has an external emphasis considering t he gap. A read is counted each time someone views a publication summary such as the title, abstract, and list of authors, clicks on a figure, or views or downloads the fulltext. In april, the company decided to purchase and merge its two largest bottling companies, the pepsi bottling group and pepsi americas.
Foust and presented in his book loyalty to loyalty. Professional ethics markkula center for applied ethics. Business training media business training media is a global provider of workplace ethics training programs for employees, managers, supervisors and students. The new digital platform for everything business law today, from a global network of leading business lawyers engaging business law cases and topics. Many people believe that by following laws, people will exhibit ethical behavior. Until 2010, pepsicos americas beverages consisted of one business unit led by eric foss. Some overlooked ethical issues in acquisitions and mergers by. What ethical leaders can do to help ensure success. This article will focus on the following eight ethical issues. Business ethics mehrdad salehi, mojtaba saeidinia, mohammadreza aghaei management and science university, malaysia abstract business ethics being part of the larger social ethics, always been affected by the ethics of the era. Sage books the ultimate social sciences digital library. Although business ethics was seen to have become more institutionalized in the 1990s, in the 2000s evidence came out that more than a few business executives and managers had not been compiling with the publics desire for high ethical standards.
1035 618 449 813 45 45 1383 1504 1373 1464 1488 1192 349 356 755 943 4 25 284 515 1176 573 286 1123 714 166 570 1412 889 286 1436 62 728 798 887 780 374 738