International Business Ethics - Essay Example

Most multinational companies will tend to adopt universalism when faced with issues perceived as threats. There is also a tendency by some multinational countries to view whites as superior to other races and give special treatment to white employees (Carroll, 2004, p. 116; Deresky, 2008, p 31). Aspiration for achievement of moral universalism is quite impossible and in most cases unadvisable. This is because there is great inconsistency in behaviours and culture in different firms and thus difficult to reconcile moral or even business ethics.

However, the approach is viable when dealing with moral or economic issues that have internationally set standards such as natural laws and Universal Declaration of Human Rights. Moral universalism is applicable when dealing with issues pertaining to human rights (Carroll, 2004, p. 114-119; Deresky, 2008, p 55-59). Ethnocentric Approach Ethnocentric approach hypothesizes that Multinational companies apply moral from their home country and disregard the business ethics in the host country (Carroll, 2004, p.

116; Deresky, 2008, p. 33). . Some multinational companies also disregard human rights set by host countries. A good example is the propensity of some Multinational companies from Asian countries to disregard the right to equality irrespective of gender (Carroll, 2004, p. 116; Deresky, 2008, p. 69-71). MNCs from some Asian countries do not offer equal employment opportunities for men and women. Ethnocentric approach is also evident in Some Multinational companies that use money or other gifts as a form of enticement even in countries that consider enticement as a form of corruption (Carroll, 2004, p.

115-116; Deresky, 2008, p. 40-44). Ethnocentric approach is possible and advisable in some situations such as using free samples to enlighten people on a new product or even entice them to purchase. However, such enticement or behaviour should be done cautiously if host countries consider it as illegal (Carroll, 2004, p. 117). Ethical Relativism Moral Relativism is a concept, which assumes that there are different standards of defining right from wrong and no criterion can be considered universally acceptable.

Relativism approach advocates that multinational companies adopt the moral codes of the host country. Moral standards differ depending on individuals as well as culture. Moral Relativism posits that the moral standards are not static and keep changing with time. In addition, the theory supposes that authorities such as religion, culture, and governments also define the morality (Carroll, 2004, p. 116; Deresky, 2008, p. 59-61). Examples of Attempts by Multinational Organisations to Use Ethical Relativism Most multinational companies tend to apply ethical relativism since it encourages acceptability from the host country.

A good example is adherence to laws of the