Rick's Word Of The Day

Marijuiana in the industry

receccon — Tue, 24 Nov 2009 22:50:12 +0000

This artical shows the threat that medical marijuiana has on our business activities. I do not believe that an employeer can drug test for a “legal” subastance unless it pertains to a negative work ethic that effects day to day activities. Another question we might wanna ask is, what did you expect? This is pertaining to thoses areas that have legalized marijuiana. For thoses regions, i do not understand how they can legalize a substance without understanding the outcomes. This could have easily been forseen if they would concentre on business activities to generate a profit rather then do whatever society wants, because society is not a whole and will probable never become one.

http://www.baltimoresun.com/health/sns-200911030802mctnewsservbc-wrk-medicalpot-de637,0,1453502.story

Politicians and Sports

receccon — Tue, 24 Nov 2009 22:44:32 +0000

Since the ancient times of the Greek Olympics to the present, politicians and sports have always had a symbiotic relationship. Any time politicians are involved it seems that ethics considerations become unclear. The ethical question at hand is the ethical background of a politician accepting free tickets to sporting events. The problem here is favoritism.

These questions were brought up again during the World Series. News reports that certain elected officials and their aides were receiving barging tokens in the form of tickets. “New York Governor David A. Paterson, Vice-President Joe Biden, Rep. Tim Holden (D., Pa.) and Sen. Robert Casey (D., Pa.) were just a few of the politicians mentioned in a Wall Street Journal article who attended this year’s World Series” (http://www.thefreelibrary.com/Gov.+Paterson%2c+and+Yankee+Tickets+Bring+Up+Ethics%2c+Sports%2c+and…-a0211829070)

Business is Business

receccon — Tue, 24 Nov 2009 22:03:28 +0000

This artical provides informations regarding business ethics. Two personality traits are significantly correlated to ethical connections; Difference of business ethics from everyday business acticities. These activites isclude; how the fit between business bureaucracies and conscience is particularly poor. Also, to view ethics as a product of agreed-upon norms and a product of culture is the norm throughout those business that do not believe in strong ethics. In todays highly competitive marketplace, it is essential to think of business activities as business activities and anything else is know as obsolete when striving to increase the shareholders whealth.(Krohe Jr. J. Ethics are nice but business is business. (cover story). Across the Board [serial online]. April 1997;34(4):16. Available from: Business Source Premier, Ipswich, MA. Accessed November 24, 2009.)

Principles of Managerial Moral Responsibility

receccon — Tue, 24 Nov 2009 21:57:23 +0000

The purpose of this paper is to formulate and defend a set of moral principles applicable to management. Our motivation is twofold: 1) to increase the consistency and utility of Integrative Social Contracts Theory (ISCT); and 2) to initiate an alternative stream of business ethics research and resources. To do so we must specify what counts as sufficient guidance in navigating the ethical terrain of business. In doing so, a key element of ISCT, Substantive Hypernorms, is found to be flawed beyond repair. So we propose and defend a remedy: prima facie moral principles. After delineating the appropriate criteria and format for such principles, we formulate, explain, and defend five of them. We conclude with a brief comment on future research possibilities. (

Soule E, Hedahl M, Dienhart J. Principles of Managerial Moral Responsibility. Business Ethics Quarterly [serial online]. October 2009;19(4):529-552. Available from: Business Source Premier, Ipswich, MA. Accessed November 24, 2009.)

Empty Promises Aren’t Enough to Prevent Unethical Behavior.

receccon — Tue, 24 Nov 2009 21:35:37 +0000

The article touches base on the ethical issues that prevent positive results from merging, specifically with Bank of America. The author argues that ethical lapses and fraud in business aren’t likely to decrease unless penalties for same become much stiffer. Real deterrence involves prison sentences for those in deserve of this disciplinary action. Bank of America’s alleged failure to be honest with its shareholders about its acquisition of Merrill Lynch & Co., and accusations of fraudulent financial reporting lodged against General Electric Co. are discussed. (http://0-web.ebscohost.com.library.coastal.edu/ehost/pdf?vid=8&hid=5&sid=e7b590d6-b3b4-4122-9d96-a2bca48bcb30%40sessionmgr14)

Deceptive Marketing and Its Impact on Firm Value.

receccon — Tue, 24 Nov 2009 21:14:52 +0000

Research between marketing to financial performance has mainly focused on how marketing assets and actions add perceived value to the product/service offered. It’s evenly important to recognize how marketing decisions can decrease value. The established theory and in-depth interviews with practitioners identify a set of factors that can explain the “heterogeneity” in the scale of indirect costs associated with negative marketing-related events. Specifically, they address how the regulatory exposure of deceptive marketing, which carries no direct cost to the firm, affects shareholder value. The analysis shows that incidents of exposed deceptive marketing are associated with significant, negative abnormal returns amounting to a drop of 1%, which translates into a wealth loss of $86 million for the median-sized firm in the sample. When deception is highly egregious or directed at vulnerable populations, firm value is more negatively affected than when the potential to mislead and harm is not readily verifiable. Furthermore, when the cited product has substantial brand market share, the levels of egregiousness and target audience explain substantially more of the variation in event impact than when brand market share is low. The results are robust to alternative stock-portfolio-based measures of abnormal returns, model specification, and examination of risk. (Tipton M, Bharadwaj S, Robertson D. Regulatory Exposure of Deceptive Marketing and Its Impact on Firm Value. Journal of Marketing [serial online]. November 2009;73(6):227-243. Available from: Business Source Premier, Ipswich, MA. Accessed November 24, 2009)

Why Values Trump Rules and Regulation

receccon — Tue, 24 Nov 2009 21:04:50 +0000

It seems that no matter where we travel now a days the rules and regulations seem to be increasingly growing and have stronger implementation plans. The goal is to increase our financial stability and ethical impressions within our communities. More rules create loopholes that values do not. If those in leadership roles want to shape behavior, they must pay more attention to instilling values. They are the underpinning of belief, and that’s what inspires people and gives them a sense of mission and purpose. Only beliefs and the values that underpin them can be shared. Values perform a kind of double duty by acting as both a source and a mechanism for regulation. Regulation can only go so far. We must find the values and behaviors that will sustain innovation and ethical action. President Obama wants to impose more rules on the financial industry by, among other things, creating a Consumer Financial Protection Agency. “More regulation, and in particular a Consumer Financial Protection Agency could be a very good thing, but I would suggest we don’t rush to regulation without careful consideration of two key questions: What is the source of the regulation? Is regulation being imposed on people from the outside or is it coming from within, and Is the mechanism another list of “dos and don’ts” or is it something deeper, something that inspires consistent and right behavior?”

Government is best which governs the least; this saying is often used to support the argument for less regulation. As Americans we can avoid engendering a culture of responsibility by inviting people to believe in the same shared beliefs and values so that they are encouraged not forced act responsibly. (http://www.businessweek.com/managing/content/nov2009/ca2009113)

MASTERS IN DECEPTION

receccon — Tue, 24 Nov 2009 20:50:12 +0000

Born in Sri Lanka, he obtained an MBA from University of Pennsylvania’s Wharton School, and later founded Galleon Group, a hedge fund. Rajaratnam and his wife established a fellowship and a scholarship to help students attend the high priced institution. Rajaratnam’s was arrested on Oct. 16, the U.S. Securities and Exchange Commission alleged he participated in a “massive” insider trading scheme. Rajaratnam tapped into his network of friends and close business associates to get inside tips which asserted Rajaratnam had traded illegally on Galleon’s behalf. The question at hand is the deliberate use of education to better ones financials is widely considered unethical. Rajaratnam is one of the many that has found a loop hole in the educational assistance programs that have now been scattered all over the U.S. and even in some cases worldwide. These “education insider traders” have managed to turn educational assistance into a money grubbing shallow business that has brought a large amount of pain to those students whom of which do not carefully read any agreements, and are now stuck with full tuition bills from receiving “assistance” from traders such as Rajaratnam. (McClearn M. MASTERS IN DECEPTION?. Canadian Business [serial online]. November 9, 2009;82(19):38-40. Available from: Business Source Premier, Ipswich, MA. Accessed November 24, 2009.)

Influence of Ethical Leadership Behavior

receccon — Tue, 24 Nov 2009 20:26:23 +0000

This article examines the model of ethical leadership on job satisfaction and sentimental organizational commitment. Managers have the potential to become the communication and “lead-by-example” leaders that teach followers how to behave. Specifically, through ethical leadership behavior those managers can righteously influence employees’ perceptions of what an ethical environment should be like. Leadership has both a direct and indirect influence on follower job satisfaction and affective commitment. The indirect effect of ethical leadership involves shaping perceptions of ethical climate, which in turn, engender greater job satisfaction and affective organizational commitment. The correct guidance from peers in leadership positions will positively impact organizational members’ that is measured by job satisfaction and affective commitment to the organization. (http://0-www.springerlink.com.library.coastal.edu/content/5918211152738k13/)

The Effect of Personality on Employees’ and Reactions to Fairness

receccon — Tue, 24 Nov 2009 20:03:51 +0000

The point of this study was to examine how personalities restrained the interactive effect of fairness and perceptions that determine the favorability on employees’ attitudes. “Data were collected from seniors enrolled at a mid-Atlantic university via questionnaires that were administered to students prior to graduation and after beginning their full-time jobs ( n = 1,581).” Employees that possessed high levels of conscientiousness reported a higher level of job satisfaction when the employees believed that their job mattered and rewards were only given to those who deserve them. Employees with high levels of extraversion report greater intentions to stay in their current position when fairness is not an issue and social rewards are highly active. Understanding that; “conscientious employees develop positive attitudes even in work settings where there are less than optimal levels of extrinsic rewards shows that even when organizations cannot provide high levels of pay or promotion opportunities, highly conscientious employees are likely to maintain positive perceptions of their work environments as long as practices are fair.” In situations where the work context offers high levels of social support then managers should focus on selecting applicants who score high on extraversion. Therefore, determining the correct action of fairness and the affect on stakeholders differs depending on the situation.(http://0-search.ebscohost.com.library.coastal.edu/login.aspx?direct=true&db=buh&AN=45127543&site=ehost-live)