Ethical approaches to business in Western and Middle Eastern contexts

Middle Eastern Approaches to Ethics and Theory

For purposes of this discussion, I will concern myself with two articles; U.S. Business' Code of Ethics as an Instrument to Comply With the Foreign Corrupt Practices Act by Da La Pena and Presha Neidermeyer, and; the Formation of Trust and Commitment in Business Relationships in the Middle East: Understanding Et-Moone Relationships by Ibrahim Abosag and Joong-Woo Lee. These articles present ethical dilemmas that are largely specific to either/both the Western and Middle Eastern regions.

With regard to the first article, the moral dilemma has got to do with the payment and acceptance of bribes. It largely concerns itself with FCPA, an act that "makes illegal bribing foreign officials by any U.S. issuer, domestic concern, any major type of organization with major place of business in the U.S. and any U.S. citizen." It is important to note that given the nature of global business, with competition becoming more intense as the world increasingly becomes a global village, companies may find it profitable to influence persons of interest via the issuance of rewards or other forms of payment so as to gain favors of some kind. While these favors could result in the advancement of the business agenda which could be beneficial to shareholders and other key stakeholders, engagement in foreign corrupt practices disadvantages other business entities and works against the leveling of the playing field. The authors of the very first article come with up some key concerns that relate to consequentialism. Consequentialism, in essence, focuses on "the question of what is the ethically right thing to do in a particular situation ... "(Hope, Savulescu, and Hendrick, 2008). On this front, an action is regarded right or desirable if the consequences it promotes are deemed favorable. Contravening FCPA provisions could lead to legal sanctions. It is, therefore, important to note that Western ethical theories largely focus on the wrongness or rightness of a course of action on the basis of the said action's consequences. Middle Eastern countries have a different viewpoint. In this case, the consequences of ethical decisions may not be of key concern.

On that note, when it comes to the second article, it is important to note that as the authors point out (as cited in Gao, Sirgy, & Bird, 2005), far as the development of business relationships is concerned, "recent literature has indicated that mutuality needs to be reciprocated in kind by parties." In essence, therefore, with reference to Saudi Managers, "business benefits combined with personal appreciation are the main determinants of a strong relationship." Business relationships are, therefore, founded on the formation of friendship and trust, as well as lasting relationships; as opposed to underhand economic benefits. It is this significant level of likeability and trust that leads to what the authors refer to as Et-Moone relationships, in which case Et-Moone's partners do not necessarily expect immediate or even future returns on their actions."