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Reliance Theories and Moral Obligation - Essay Example

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Reliance Theories and Moral Obligation

The rationale of adopting a stakeholder concept to decision making in business borrows heavily from the legalistic reliance theories, social contract theory, and the nature of the market. Reliance theories emphasize on the consideration of detrimental reliance in place of contract enforcement and formation. It is true that the legal and political systems depend on the foundation of free choice. Taking choice as the first concept in decision making has results that implicate on other activities. What matters is the relationship between the decision maker and the affected. There are some obligations that arise, as a result, of the relationship. The obligation depends on two variables. First is if the affected depended on the choice of the decision and second, whether the decision maker was aware of the reliance or not. It is necessary to understand whether the stakeholder theory stands out to be of ethical or economic importance to the society. There is a need to behave well and keep off regulations of a capitalistic government because its regulations are undesired. Modern corporations emphasize the social nature of any business. The interplay of business, government, and the society matches with the context of the social contract. The government’s role is to provide advance social expectations through its regulations. The four reasons for the adoption of stakeholder construct, therefore, reinforce the philosophical argument that forms its basis from the moral and legal arguments of responsibility and reliance. ...Show more
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This essay "Reliance Theories and Moral Obligation" concerns the ideas of reliance theories and moral obligation. It is mentioned here that the fundamental western philosophy argues that human beings are to some extent self-reliant…
Reliance Theories and Moral Obligation
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