Corporate Moral Agency, Positive Duties, and Purpose

Nien-hê  Hsieh

Chapter | The Moral Responsibility of Firms | 2017

Corporate Moral Agency, Positive Duties, and Purpose

Abstract

A long-standing question in business ethics is whether business enterprises are themselves moral agents with distinct moral responsibilities. To date, the debate about corporate moral agency has focused on responsibility for past wrongdoing that involves violating negative duties (i.e., duties to refrain from certain actions). In this chapter, I explore what we can learn by focusing on positive duties to engage in specific actions, including rescue (e.g., aiding victims of natural disaster), beneficence (e.g., donating medicines), and justice (e.g., strengthening weak legal regimes). The aims of the chapter are twofold. The first is to advance the debate about corporate moral agency by broadening it to include questions about positive duties. The second is examine the case for justifying these sorts of positive duties by attributing moral agency to business enterprises. Such duties are controversial because they may require activities that come at the expense of profits. Attributing moral agency to business enterprises may be thought to avoid this controversy given that most theories of morality recognize positive duties on the part of all moral agents to help others even if at some cost to their own projects. In the end, I conclude that rather than defend such duties by way of assigning moral agency to business enterprises, we would do better to provide an account of the purpose of the for-profit business enterprises that is not simply about the pursuit of profit.

Keywords: Corporate Social Responsibility and Impact; Moral Sensibility; Mission and Purpose;

Format: Print

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Hsieh, Nien-hê. "Corporate Moral Agency, Positive Duties, and Purpose." In The Moral Responsibility of Firms, edited by Eric Orts and N. Craig Smith. Oxford University Press, 2017.

This case explores the evolution of Nike’s global product sourcing strategy, in particular ongoing efforts to improve working conditions at its suppliers’ factories. When the case opens in July 2018, Vice President of Sourcing Amanda Tucker and her colleagues in Nike’s Global Sourcing and Manufacturing division were focusing on three key supply chain challenges: sourcing from suppliers that meet compliance standards, challenging and encouraging suppliers to improve capabilities, and being responsive to consumer demand across the world.

Case | HBS Case Collection | April 2017 (Revised August 2018)

Making Target the Target: Boycotts and Corporate Political Activity

Nien-hê Hsieh and Victor Wu

Through the challenges facing Target, the case examines ways in which corporations can become involved in political and legislative debates and processes, ranging from campaign contributions to lobbying to political activism. In 2016, Target CEO Brian Cornell must determine how to respond to the debate over North Carolina's recently signed law, commonly known as "HB2," that invalidated LGBT non-discrimination ordinances at the local level. In contrast to other organizations, Target did not threaten to leave the state. However, its public statement in support of LGBT rights prompted a boycott against its stores. Adding to the difficulty was the fact that Target was caught on the other side of the debate in 2010 in one of the earliest high-profile controversies resulting from the Supreme Court Citizens United ruling. Target had contributed to a super PAC supporting business friendly candidates. As one of the candidate's opposition to same-sex marriage became well publicized, Target faced a consumer boycott as well as a shareholder proposal to change its policies on political contributions. The case covers current campaign finance regulations as they relate to business as well as Target's lobbying activities regarding online sales tax legislation.

Keywords: boycott; corporate accountability; corporate political activity; lobbying; LGBTQ; campaign contributions; campaign finance; retail; shareholder activism; Public Opinion; Social Issues; Corporate Social Responsibility and Impact; Mission and Purpose; Problems and Challenges; Laws and Statutes; Rights; Crisis Management; Risk Management; Media; Political Elections; Taxation; Corporate Accountability; Values and Beliefs; Fairness; Diversity; Customers; Communication; Business and Government Relations; Retail Industry; United States;

Citation:

Hsieh, Nien-hê, and Victor Wu. "Making Target the Target: Boycotts and Corporate Political Activity." Harvard Business School Case 317-113, April 2017. (Revised August 2018.) View Details

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Corporate Moral Agency, Positive Duties, and Purpose

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