OCR A-level Religious Studies (H573) · Ethics · Business ethics
Mini-Lesson
Business Ethics
Business ethics asks how moral principles apply to companies. Key debates: corporate social responsibility (CSR), the shareholder versus stakeholder question, and the ethics of globalisation.
Work through each screen, weigh the range of scholarly views, answer the questions as you go and collect ⭐ stars. Press Start when you are ready.
CSR
Corporate social responsibility
Corporate social responsibility (CSR) is the idea that a business should take responsibility for its impact on society and the environment, not just its profits.
Examples: fair pay, safe conditions, honest marketing, environmental care, community investment.
Debate: is CSR a genuine duty, or just good public relations that ultimately serves profit?
Quick check
What is CSR?
?Corporate social responsibility (CSR) is best described as:
Friedman
Friedman: the shareholder view
Milton Friedman argued that 'the social responsibility of business is to increase its profits'. On this shareholder view:
A company managers are employed by the owners (shareholders) and must act in their interests.
They should make as much profit as possible within the law and the rules of fair, open competition.
Spending company money on 'social causes' is, he argued, effectively spending other people money without their consent.
Quick check
Friedman
?According to Friedman, what is the primary social responsibility of a business?
Stakeholder theory
Stakeholder theory
Edward Freeman stakeholder theory says a business has duties to everyone affected by it — not only its shareholders.
Stakeholders include employees, customers, suppliers, the local community and the environment.
Good business balances these interests, treating people as more than tools for profit.
Contrast: shareholder view = one duty (profit for owners); stakeholder view = many duties (all affected groups).
Sort it
Shareholder or stakeholder?
Tap a claim, then the view it fits.
💰 Shareholder
🤝 Stakeholder
Globalisation
The ethics of globalisation
Globalisation is the growing integration of world markets, with goods, capital and labour moving across borders.
Benefits: jobs, cheaper goods, economic growth and development in poorer countries.
Concerns: exploitation of cheap labour ('sweatshops'), poor conditions, environmental damage, and a 'race to the bottom' as firms seek the weakest regulations.
Whistleblowing raises its own dilemma: loyalty to the employer versus the public good.
Quick check
Globalisation
?Which is a common ethical criticism of globalisation?
Applying theories
Applying ethical theories
The theories give different verdicts:
Kant: employees and customers must be treated as ends, never merely as means to profit — so exploitation is always wrong.
Utilitarianism: weigh the happiness of all stakeholders; a practice is justified if it maximises overall welfare.
Natural Law: supports an ordered society and human flourishing; against practices that harm workers dignity.
Situation Ethics: asks what is the most loving outcome for those affected.
Match it
Key ideas
Tap a term, then its meaning.
Term
Means
Quick check
Kant in business
?How would Kant judge a company that treats its workers merely as tools to raise profit?
Recap
The big ideas to take into the exam
CSR: responsibility for social and environmental impact, not just profit
Friedman: shareholder view: the business duty is to increase profits within the law
Freeman: stakeholder view: duties to all affected groups
Globalisation: growth and jobs, but risks of exploitation and a race to the bottom