Skip to main content Accessibility help
×
×
Home

The Enduring Potential of Justified Hypernorms

  • Markus Scholz (a1), Gastón de los Reyes (a2) and N. Craig Smith (a3)

Abstract:

The profound influence of Thomas Donaldson and Thomas Dunfee’s integrative social contracts theory (ISCT) on the field of business ethics has been challenged by Andreas Scherer and Guido Palazzo’s Habermasian approach, which has achieved prominence of late with articles that expressly question the defensibility of ISCT’s hypernorms. This article builds on recent efforts by Donaldson and Scherer to bridge their accounts by providing discursive foundations to the hypernorms at the heart of the ISCT framework. Extending prior literature, we propose an ISCT* framework designed to retain ISCT’s practical virtue of managerial guidance while answering the demands of Scherer and Palazzo’s discursive account. By subscribing to a suitable portfolio of discursively justified hypernorms, we argue, companies unlock the valuable moral guidance of ISCT*, which says to treat these hypernorms as unequivocal outer bounds to the pursuit of business and as a starting point to tailor local norms through discursive stakeholder engagement.

  • View HTML
    • Send article to Kindle

      To send this article to your Kindle, first ensure no-reply@cambridge.org is added to your Approved Personal Document E-mail List under your Personal Document Settings on the Manage Your Content and Devices page of your Amazon account. Then enter the ‘name’ part of your Kindle email address below. Find out more about sending to your Kindle. Find out more about sending to your Kindle.

      Note you can select to send to either the @free.kindle.com or @kindle.com variations. ‘@free.kindle.com’ emails are free but can only be sent to your device when it is connected to wi-fi. ‘@kindle.com’ emails can be delivered even when you are not connected to wi-fi, but note that service fees apply.

      Find out more about the Kindle Personal Document Service.

      The Enduring Potential of Justified Hypernorms
      Available formats
      ×

      Send article to Dropbox

      To send this article to your Dropbox account, please select one or more formats and confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your <service> account. Find out more about sending content to Dropbox.

      The Enduring Potential of Justified Hypernorms
      Available formats
      ×

      Send article to Google Drive

      To send this article to your Google Drive account, please select one or more formats and confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your <service> account. Find out more about sending content to Google Drive.

      The Enduring Potential of Justified Hypernorms
      Available formats
      ×

Copyright

References

Hide All
Andrews, K. R. 1969. The progress of professional education for business. Theological Education, 5: 144–66.
Baumann-Pauly, D. 2013. Managing corporate legitimacy: A toolkit . London: Routledge.
Bicchieri, C. 2016. Norms in the wild: How to diagnose, measure, and change social norms. New York: Oxford University Press.
Boatright, J. R. 2000. Globalization and the ethics of business. Business Ethics Quarterly, 10(1): 16.
Brenkert, G. G. 2009. ISCT, hypernorms, and business: A reinterpretation. Journal of Business Ethics, 4(88): 645–58.
Bucar, B., Glas, M., & Hisrich, R. D. 2003. Ethics and entrepreneurs: An international comparative study. Journal of Business Venturing, 18(2): 261–81.
Buchanan, A. 1996. Perfecting imperfect duties: Collective action to create moral obligations. Business Ethics Quarterly, 6(1): 2742.
Castka, P., & Balzarova, M. A. 2008. Adoption of social responsibility through the expansion of existing management systems. Industrial Management & Data Systems, 108: 297309.
Conger, S., & Loch, K. D. 2000. Invitation to a public debate on ethical computer use. ACM SIGMIS Database, 32(1): 5869.
Donaldson, T. 1996. Values in tension: Ethics away from home. Harvard Business Review, 74(5): 4862.
de los Reyes, G., Scholz, M., & Smith, N. C. 2017. Beyond the “win-win”: Creating shared value requires ethical frameworks. California Management Review, 59(2): 142–67.
Donaldson, T., & Dunfee, T. W. 1994. Toward a unified conception of business ethics: Integrative social contracts theory. Academy of Management Review, 19(2): 252–84.
Donaldson, T., & Dunfee, T. W. 1999. Ties that bind: A social contracts approach to business ethics. Boston, MA: Harvard Business School Press.
Donaldson, T., & Dunfee, T. W. 2002. Ties that bind in business ethics: Social contracts and why they matter. Journal of Banking & Finance, 26(9): 1853–65.
Donaldson, T., & Dunfee, T. W. 2003. Social contracts, sic et non. In Heugens, P., van Oosterhout, J, & Vromen, J. (Eds.), The social institutions of capitalism. Evolution and design of social contracts: 109126. Cheltenham, United Kingdom: Edward Elgar Pub.
Donaldson, T., & Schoemaker, P. J. H. 2013. Self-inflicted industry wounds: Early warning signals and pelican gambits. California Management Review, 55(2): 2445.
Donaldson, T. 2017. Donaldsonian themes: A commentary. Business Ethics Quarterly, 27(1): 125–42.
Douglas, M. 2000. Integrative social contracts theory: Hype over hypernorms. Journal of Business Ethics, 26(2): 101–10.
Dunfee, T. W. 2006. A critical perspective of integrative social contracts theory: Recurring criticisms and next generation research topics. Journal of Business Ethics, 68(3): 303–28.
Dunfee, T. W., Smith, N. C., & Ross, Jr., William, T. 1999. Social contracts and marketing ethics. Journal of Marketing, 63(3): 1432.
Dworkin, R. 1973. The original position. The University of Chicago Law Review, 40(3): 500–33.
Forest Stewardship Council (FSC). 2014. FSC international standard: Principles and criteria for forest stewardship. Bonn, DE (FSC-STD-01-001 V5-1 EN).
Gilbert, D. U., & Behnam, M. 2009. Advancing integrative social contracts theory: A Habermasian perspective. Journal of Business Ethics, 89(2): 215–34.
Gradert, M., & Engel, P. 2015. A comparison of 4 international guidelines for CSR. Copenhagen: Danish Business Authority.
Habermas, J. 1984. The theory of communicative action. Volume I: Reason and the rationalization of society. Boston, MA: Beacon Press.
Habermas, J. 1985. The theory of communicative action. Volume II: Lifeworld and system: A critique of functionalist reason. Boston, MA: Beacon Press.
Habermas, J. 1990. Moral consciousness and communicative action. Cambridge, MA: MIT Press.
Habermas, J. 1993. Justification and application: Remarks on discourse ethics. Cambridge, MA: MIT Press.
Habermas, J. 1996. Between facts and norms: Contributions to a discourse theory of law and democracy. Cambridge, MA: MIT Press.
Habermas, J. 1998. The inclusion of the other: Studies in political theory. Cambridge, MA: MIT Press.
Habermas, J. 2001. Constitutional democracy: A paradoxical union of contradictory principles? Political Theory, 29(6): 766–81.
Habermas, J. 2003. Introduction: Realism after the linguistic turn. In Habermas, J., Truth and justification: 149. Cambridge, MA: Polity Press.
Habermas, J. 2006. Political communication in media society: Does democracy still enjoy an epistemic dimension? The impact of normative theory on empirical research. Communication theory, 16(4): 411–26.
Hahn, R. 2012a. Inclusive business, human rights and the dignity of the poor: A glance beyond economic impacts of adapted business models. Business Ethics: A European Review, 21(1): 4763.
Hahn, R. 2012b. Standardizing social responsibility? New perspectives on guidance documents and management system standards for sustainable development. IEEE Transactions on Engineering Management, 59(4): 717–27.
Hahn, R., & Weidtmann, C. 2016. Transnational governance, deliberative democracy, and the legitimacy of ISO 26000: Analyzing the case of a global multistakeholder process. Business & Society, 55(1): 90129.
Hartman, L. P., Shaw, B., & Stevenson, R. 2003. Exploring the ethics and economics of global labor standards: A challenge to integrated social contract theory. Business Ethics Quarterly, 13(2): 193220.
Hursthouse, R. 1995. Fallacies and moral dilemmas. Argumentation, 9(4): 617–32.
Hussain, W., & Moriarty, J. 2016. Accountable to whom? Rethinking the role of corporations in political CSR. Journal of Business Ethics, 116.
International Organization for Standardization (ISO). 2010. ISO 26000:2010 Guidance on Social Responsibility. https://www.iso.org/standard/42546.html.
International Organization for Standardization (ISO). 2017. ISO TMB: ISO 26000 is confirmed. December 11, 2017. http://iso26000.info/iso/iso-standards/iso-26000/iso-tmb-iso-26000-confirmed.
Logsdon, J. M., & Wood, D. J. 2002. Business citizenship: From domestic to global level of analysis. Business Ethics Quarterly, 12(2): 155–87.
Mayer, D., & Cava, A. 1995. Social contract theory and gender discrimination: Some reflections on the Donaldson/Dunfee model. Business Ethics Quarterly, 5(2): 257–70.
McCarthy, D. J., & Puffer, S. M. 2008. Interpreting the ethicality of corporate governance decisions in Russia: Utilizing integrative social contracts theory to evaluate the relevance of agency theory norms. Academy of Management Review, 33(1): 1131.
Mena, S., & Palazzo, G. 2012. Input and output legitimacy of multi-stakeholder initiatives. Business Ethics Quarterly, 22(3): 527–56.
Mui, Y. Q. 2012. Ex-loan officer claims Wells Fargo targeted black communities for shoddy loans. The Washington Post, June 12, 2012. https://www.washingtonpost.com/business/economy/former-wells-fargo-loan-officer-testifies-in-baltimore-mortgage-lawsuit/2012/06/12/gJQA6EGtXV_story.html.
Palazzo, G., & Scherer, A. G. 2006. Corporate legitimacy as deliberation: A communicative framework. Journal of Business Ethics, 66(1): 7188.
Phillips, R. A., & Johnson-Cramer, M. E. 2006. Ties that unwind: Dynamism in integrative social contracts theory. Journal of Business Ethics, 68(3): 283302.
Plessy v. Ferguson. 1896. United States Reports, 163: 537–64.
Reisel, W. D., & Sama, L. M. 2004. Applying ISCT when norms are incompatible: The case of access to life-saving medicines in South Africa. Paper presented at the conference: Contractarian Approaches to Business Ethics: Evolution of Integrative Social Contract Theory, Philadelphia, PA.
Scherer, A. G. 2015. Can hypernorms be justified? Insights from a discourse–ethical perspective. Business Ethics Quarterly, 25(4): 489516.
Scherer, A. G., & Palazzo, G. 2007. Toward a political conception of corporate responsibility: Business and society seen from a Habermasian perspective. Academy of Management Review, 32(4): 1096–120.
Scherer, A. G., & Palazzo, G. 2008. Globalization and corporate social responsibility. In Crane, A., McWilliams, A., Matten, D., Moon, J. & Siegel, D. S. (Eds.), The Oxford handbook of corporate social responsibility: 413–31. Oxford, United Kingdom: Oxford University Press.
Scherer, A. G., & Palazzo, G. 2011. The new political role of business in a globalized world: A review of a new perspective on CSR and its implications for the firm, governance, and democracy. Journal of Management Studies, 48(4): 899931.
Scherer, A. G., Palazzo, G., & Baumann, D. 2006. Global rules and private actors: Toward a new role of the transnational corporation in global governance. Business Ethics Quarterly, 16(4): 505–32.
Scherer, A. G., Palazzo, G., & Matten, D. 2014. The business firm as a political actor: A new theory of the firm for a globalized world. Business & Society, 53(2): 143–56.
Scherer, A. G., Palazzo, G., & Seidl, D. 2013. Managing legitimacy in complex and heterogeneous environments: Sustainable development in a globalized world. Journal of Management Studies, 50(2): 259–84.
Scherer, A. G., Rasche, A., Palazzo, G., & Spicer, A. 2016. Managing for political corporate social responsibility: New challenges and directions for PCSR 2.0. Journal of Management Studies, 53(3): 273–98.
Shaw, B. 2000. Book review dialogue: Ties that bind. American Business Law Journal, 37(3): 563–78.
Smith, N. C. 2001. Social marketing and social contracts: Applying integrative social contracts theory to ethical issues in social marketing. In Andreason, A. R. (Ed.), Ethics in social marketing: 125–59. Washington, D.C.: Georgetown University Press.
Stark, A. 2015. Inverting Donaldson’s framework: A managerial approach to international conflicts of cultural and economic norms. Business Ethics Quarterly, 25(4): 535–58.
Suddaby, R., Bitektine, A., & Haack, P. 2017. Legitimacy. Academy of Management Annals, 11(1): 451–78.
United States Department of Labor. 2013 Judge orders Bank of America to pay almost $ 2.2 million for racial discrimination against more than 1,100 African-American job seekers. Sept. 23, 2013. https://www.dol.gov/newsroom/releases/ofccp/ofccp20131967.
van Oosterhout, J. H., Heugens, P. P. M., & Kaptein, M. 2006. The internal morality of contracting: Advancing the contractualist endeavor in business ethics. Academy of Management Review, 31(3): 521–39.
van Oosterhout, J. H., & Heugens, P. P. M. 2009. Extant social contracts in global business regulation: Outline of a research agenda. Journal of Business Ethics, 88: 729–40.
Windsor, D. 2016. Dynamics for integrative social contracts theory: norm evolution and individual mobility. Journal of Business Ethics, 113.
Recommend this journal

Email your librarian or administrator to recommend adding this journal to your organisation's collection.

Business Ethics Quarterly
  • ISSN: 1052-150X
  • EISSN: 2153-3326
  • URL: /core/journals/business-ethics-quarterly
Please enter your name
Please enter a valid email address
Who would you like to send this to? *
×

Keywords

Metrics

Altmetric attention score

Full text views

Total number of HTML views: 0
Total number of PDF views: 0 *
Loading metrics...

Abstract views

Total abstract views: 0 *
Loading metrics...

* Views captured on Cambridge Core between <date>. This data will be updated every 24 hours.

Usage data cannot currently be displayed