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4.If we are later called upon to defend our decision, we will be better prepared to do so.5.BECAUSE IT MAKES YOU THINK.Should perspective matter in evaluation ethical behavior?o Personal background?o Religion?o Individual vs. Society?o Right vs. wrong?Chapter 37: Business Ethics and Decision Making:Can we learn to be more ethical?Baylor Incident:Hubris- excessive pride and DetachmentSocial and Organizational PressureObedience to authorityoI’m just doing my job! (blindly following)oGiving our responsibility up- “had to do it so I did”oStanley Milgram's famous experiment: People predicted that less than 1% of participants would obey the experimenter’s instructions to administer apparently injurious shocks to innocent, protesting victims. 65% ended up doing so.oAcceptability Heuristic: People often judge whether their decision is right not in terms of content of ethics, but whether it will be acceptable to their superiors
oAll business actors must keep in mind this very human tendency to defer to authority, so that they can guard against its potentially corrosive influenceConformity biasoAlso know as the theory of social proof- tells us that people tend to take their cuesas to proper behavior in most social contexts from the actions of othersoIn our decision making, we have a bias toward conforming to the actions and standards of others that we perceive to be accepted by our peersoSolomon Asch’s famous experiment- Found that when asked to tell which of threelines was the same length as a fourth line, subjects had no difficulty whatsoever unless they were placed in an experimental condition in the presence of six of the experimenter’s confederates who gave obviously wrong answers. Almost all subjects found it very painful to give the obviously correct answer in contradiction of these stranger’s erroneous errorsoWhen everyone else is doing it so you do it; wait to see what others do first- don’twant to stand outoThus, people are more likely to undertake unethical actions in the workplace if peers are engaging in similar behavior. And they certainly are less likely to blow the whistle on unethical activity when peers seem to accept it, just as a bystander to crime is less likely to help the victim when others nearby aren’t helpingGroupthinkoThe impairment of individual decision making and can also play a role here as people attempt to merge into their social collectiveoCauses collections of people to make much different decisions than the same people would make individuallyoGroup decisions are often more extreme than the median decision that members inthe group would make individuallyoThings are done differently in a group- can’t disagreeoMore of a mob mentalityoEx: Bay of Pigs and space shuttle Challenger disasterFalse Consensus EffectoInclinations to follow authority and submit to peer pressure are reinforced by the false consensus effect- the tendency to believe that other people will think the