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      • Faculty Publications  (212)

      Ethical Behavior Remove Ethical Behavior →

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      • January 2023
      • Technical Note

      Ethical Analysis: Honesty and Self-Interest

      By: Nien-hê Hsieh and Christopher Diak
      Information asymmetry is pervasive in business and can often confer great advantage. This note distinguishes forms of deceptive behavior in the face of information asymmetry and aims to help students analyze their impermissibility.  View Details
      Keywords: Ethics; Analysis; Balance and Stability
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      Hsieh, Nien-hê, and Christopher Diak. "Ethical Analysis: Honesty and Self-Interest." Harvard Business School Technical Note 323-067, January 2023.
      • 2023
      • Working Paper

      'It Wouldn’t Have Mattered Anyway': When Overdetermined Outcomes Justify Our Sins

      By: Stephanie C. Lin, Julian J. Zlatev and Dale T. Miller
      We identify and document an “overdetermined outcome defense” which occurs when one learns that circumstances besides one’s own actions were sufficient to produce a negative effect (e.g., deciding not to go to the gym, but later discovering that the gym had been...  View Details
      Keywords: Moral Sensibility; Decision Making; Outcome or Result; Behavior
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      Lin, Stephanie C., Julian J. Zlatev, and Dale T. Miller. "'It Wouldn’t Have Mattered Anyway': When Overdetermined Outcomes Justify Our Sins." Harvard Business School Working Paper, No. 23-045, January 2023.
      • 2022
      • Chapter

      Corporate Misconduct’s Relevance to Society through Everyday Misconduct

      By: Eugene Soltes
      Terms like "corporate misconduct" and "white-collar crime" typically bring to mind major scandals like Enron or Bernie Madoff. This popular perception overlooks another important—and in fact much more typical—type of deviance: "everyday misconduct." Everyday misconduct...  View Details
      Keywords: Research; Crime and Corruption; Society
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      Soltes, Eugene. "Corporate Misconduct’s Relevance to Society through Everyday Misconduct." Chap. 2 in A Research Agenda for Financial Crime, edited by Barry Rider, 31–48. Edward Elgar Publishing, 2022.
      • 2022
      • Book

      Complicit: How We Enable the Unethical and How to Stop

      By: Max H. Bazerman
      It is easy to condemn obvious wrongdoers such as Elizabeth Holmes, Adam Neumann, Harvey Weinstein, and the Sackler family. But we rarely think about the many people who supported their unethical or criminal behavior. In each case there was a supporting cast of...  View Details
      Keywords: Complicity; Enabling; Ethics; Behavior; Personal Characteristics; Society
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      Bazerman, Max H. Complicit: How We Enable the Unethical and How to Stop. Princeton, NJ: Princeton University Press, 2022.
      • 2022
      • Working Paper

      Beliefs About Giving Across Contexts

      By: Christine L. Exley, John-Henry Pezzuto and Marta Serra-Garcia
      A rich literature investigates prosocial behavior by exploiting a variety of methods, the validity of which has been debated. While this literature has compared behavior inside and outside of the laboratory, an open question is how participants view prosocial behavior...  View Details
      Keywords: Prosocial Behavior; Behavior; Philanthropy and Charitable Giving; Values and Beliefs
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      Exley, Christine L., John-Henry Pezzuto, and Marta Serra-Garcia. "Beliefs About Giving Across Contexts." Working Paper, September 2022.
      • 2022
      • Working Paper

      Imagining the Future: Memory, Simulation and Beliefs about COVID

      By: Pedro Bordalo, Giovanni Burro, Katherine B. Coffman, Nicola Gennaioli and Andrei Shleifer
      How do people form beliefs about novel risks, with which they have little or no experience? A 2020 U.S. survey of beliefs about the lethality of COVID reveals that the elderly underestimate, and the young overestimate, their own risks, and that people with more health...  View Details
      Keywords: Expectations; Memory; COVID-19 Pandemic; Perception; Behavior; Decision Choices and Conditions; Values and Beliefs
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      Bordalo, Pedro, Giovanni Burro, Katherine B. Coffman, Nicola Gennaioli, and Andrei Shleifer. "Imagining the Future: Memory, Simulation and Beliefs about COVID." NBER Working Paper Series, No. 30353, August 2022.
      • Article

      When Hiring CEOs, Focus on Character

      By: Aiyesha Dey
      The author, an associate professor at Harvard Business School, has studied the ways in which the lifestyle behaviors of CEOs—in particular, materialism and a propensity for rule breaking—may spell trouble for a company. Her research, which includes looking at...  View Details
      Keywords: CEOs; Lifestyle; Risk Management; Recruitment; Ethics
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      Dey, Aiyesha. "When Hiring CEOs, Focus on Character." Harvard Business Review 100, no. 4 (July–August 2022): 54–58.
      • 2022
      • Working Paper

      Moral Thin-Slicing

      By: Julian De Freitas and Alon Hafri
      Given limits on time and attention, people increasingly make moral evaluations in a few seconds or less, yet it is unknown whether such snap judgments are accurate or not. On one hand, the literature suggests that people form fast moral impressions once they already...  View Details
      Keywords: Moral Judgement; Thin Slices; Social Media; Fake News; Misinformation; Moral Sensibility; Behavior; News
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      De Freitas, Julian, and Alon Hafri. "Moral Thin-Slicing." Harvard Business School Working Paper, No. 23-002, July 2022. (Revised December 2022.)
      • July 2022
      • Article

      When Alterations Are Violations: Moral Outrage and Punishment in Response to (Even Minor) Alterations to Rituals

      By: Daniel H. Stein, Juliana Schroeder, Nicholas M. Hobson, Francesca Gino and Michael I. Norton
      From Catholics performing the sign of the cross since the 4th century to Americans reciting the Pledge of Allegiance since the 1890s, group rituals (i.e., predefined sequences of symbolic actions) have strikingly consistent features over time. Seven studies (N = 4,213)...  View Details
      Keywords: Ritual; Morality; Groups; Norms; Commitment; Groups and Teams; Values and Beliefs; Change; Moral Sensibility; Behavior
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      Stein, Daniel H., Juliana Schroeder, Nicholas M. Hobson, Francesca Gino, and Michael I. Norton. "When Alterations Are Violations: Moral Outrage and Punishment in Response to (Even Minor) Alterations to Rituals." Journal of Personality and Social Psychology 123, no. 1 (July 2022): 123–153.
      • 2022
      • Working Paper

      Moral Deteriorations Sever Firm Identity

      By: Julian De Freitas, Zarema Khon, Pechthida Kim and Samuel G.B. Johnson
      Firms change over time. Which changes are so damaging that consumers believe the firm’s very identity ceases to exist? We explored this question using Twitter data and eight experiments involving nearly 3,000 subjects. Consumers judged that moral deteriorations were...  View Details
      Keywords: Corporate Identity; Morality; Brand Activism; Social Media; Business Ethics; Firm Stereotypes; Consumer Behavior; Public Opinion; Moral Sensibility; Brands and Branding; Government and Politics
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      De Freitas, Julian, Zarema Khon, Pechthida Kim, and Samuel G.B. Johnson. "Moral Deteriorations Sever Firm Identity." Harvard Business School Working Paper, No. 22-077, June 2022.
      • 2022
      • Working Paper

      Beliefs about Gender Differences in Social Preferences

      By: Christine L Exley, Oliver P. Hauser, Molly Moore and John-Henry Pezzuto
      While there is a vast (and mixed) literature on gender differences in social preferences, little is known about believed gender differences in social preferences. This paper documents robust evidence for believed gender differences in social preferences. Across a wide...  View Details
      Keywords: Social Preferences; Gender; Behavior; Attitudes; Values and Beliefs
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      Exley, Christine L., Oliver P. Hauser, Molly Moore, and John-Henry Pezzuto. "Beliefs about Gender Differences in Social Preferences." Harvard Business School Working Paper, No. 22-079, June 2022.
      • 2022
      • Book

      Decision Leadership: Empowering Others to Make Better Choices

      By: Don A. Moore and Max H. Bazerman
      When we think of leaders, we often imagine lone, inspirational figures lauded for their behaviors, attributes, and personal decisions, and leadership books often reinforce that view. However, this approach ignores a leader’s mission to empower others. Applying decades...  View Details
      Keywords: Empowerment Leadership; Leadership; Employees; Decision Making; Management Style
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      Moore, Don A., and Max H. Bazerman. Decision Leadership: Empowering Others to Make Better Choices. New Haven: Yale University Press, 2022.
      • December 2021
      • Case

      Slice Labs: Creating a Fraud-free Online Insurance Platform

      By: Amit Goldenberg, Max Bazerman and Ruth Page
      "Slice Labs: Creating a Fraud-Free Online Insurance Platform" engages students with the challenge of how to influence other parties to not engage in fraud in the context of digital insurance. The case is centered around Slice, a digital insurance company that was...  View Details
      Keywords: Technology; Insurance; Digitization; Honesty; Negotiation; Fraud; Ethics; Negotiation Process; Negotiation Tactics; Negotiation Types; Social Psychology; Conflict and Resolution; Trust; Fairness; Moral Sensibility; Values and Beliefs; Crime and Corruption; Insurance Industry; Technology Industry; United States; Canada
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      Goldenberg, Amit, Max Bazerman, and Ruth Page. "Slice Labs: Creating a Fraud-free Online Insurance Platform." Harvard Business School Multimedia/Video Case 921-712, December 2021.
      • Fall 2021
      • Article

      Strategy as a Way of Life: Businesses Must Root Strategy in Moral Purpose to Thrive in a Complex, Rapidly Changing World

      By: Ikujiro Nonaka and Hirotaka Takeuchi
      Doing the ordinary things in life a little bit better every day elevates individuals. All of us gained mother's wisdom by living with her, by watching her from behind her, by being scolded by her, and being told over and over again, to be honest, not to tell a lie or...  View Details
      Keywords: Strategy; Moral Sensibility; Organizational Culture; Organizational Change and Adaptation
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      Nonaka, Ikujiro, and Hirotaka Takeuchi. "Strategy as a Way of Life: Businesses Must Root Strategy in Moral Purpose to Thrive in a Complex, Rapidly Changing World." MIT Sloan Management Review 63, no. 1 (Fall 2021): 56–63.
      • July 2021
      • Article

      Consumers—Especially Women—Avoid Buying from Firms with Higher Gender Pay Gaps

      By: Tobias Schlager, Bhavya Mohan, Katherine DeCelles and Michael I. Norton
      We document a unique driver of consumer behavior: the public disclosure of a firm’s gender pay gap. Four experiments provide causal evidence that when firms are revealed to have gender pay gaps, consumers are less willing to pay for their goods, a reaction driven by...  View Details
      Keywords: Pay Gap; Perceived Wage Fairness; Purchase Intention; Gender; Wages; Fairness; Perception; Consumer Behavior
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      Schlager, Tobias, Bhavya Mohan, Katherine DeCelles, and Michael I. Norton. "Consumers—Especially Women—Avoid Buying from Firms with Higher Gender Pay Gaps." Special Issue on Consumer Psychology for the Greater Good. Journal of Consumer Psychology 31, no. 3 (July 2021): 518–531.
      • Article

      The Deception Spiral: Corporate Obfuscation Leads to Perceptions of Immorality and Cheating Behavior

      By: D.M. Markowitz, M. Kouchaki, J.T. Hancock and F. Gino
      In four studies, we evaluated how corporate misconduct relates to language patterns, perceptions of immorality, and unethical behavior. First, we analyzed nearly 190 codes of conduct from S&P 500 manufacturing companies and observed that corporations with ethics...  View Details
      Keywords: Obfuscation; Corporate Unethicality; Deception; Deception Spiral; Organizations; Values and Beliefs; Ethics; Perception; Behavior
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      Markowitz, D.M., M. Kouchaki, J.T. Hancock, and F. Gino. "The Deception Spiral: Corporate Obfuscation Leads to Perceptions of Immorality and Cheating Behavior." Journal of Language and Social Psychology 40, no. 2 (March 2021): 277–296.
      • Article

      Birds of a Feather...Enforce Social Norms? Interactions Among Culture, Norms, and Strategy

      By: Hongyi Li and Eric J. Van den Steen
      Does culture eat strategy for breakfast? This paper investigates the interactions among corporate culture, norms, and strategy, in order to better understand this issue and related questions. It first shows, through microfoundations, how the forces that drive toward...  View Details
      Keywords: Culture; Norms; Organizational Culture; Strategy; Values and Beliefs
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      Li, Hongyi, and Eric J. Van den Steen. "Birds of a Feather...Enforce Social Norms? Interactions Among Culture, Norms, and Strategy." Strategy Science 6, no. 2 (June 2021): 166–189.
      • Article

      'Many Others Are Doing It, So Why Shouldn't I?': How Being in Larger Competitions Leads to More Cheating

      By: Celia Chui, Maryam Kouchaki and Francesca Gino
      In many spheres of life, from applying for a job to participating in an athletic contest to vying for a date, we face competition. Does the size of the competition pool affect our propensity to behave unethically in our pursuit of the prize? We propose that it does....  View Details
      Keywords: Unethical Behavior; Cheating; Competitors; Social Norms; Ethics; Behavior; Competition; Societal Protocols
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      Chui, Celia, Maryam Kouchaki, and Francesca Gino. "'Many Others Are Doing It, So Why Shouldn't I?': How Being in Larger Competitions Leads to More Cheating." Organizational Behavior and Human Decision Processes 164 (May 2021): 102–115.
      • Article

      Does Observability Amplify Sensitivity to Moral Frames? Evaluating a Reputation-Based Account of Moral Preferences

      By: Valerio Capraro, Jillian J. Jordan and Ben Tappin
      A growing body of work suggests that people are sensitive to moral framing in economic games involving prosociality, suggesting that people hold moral preferences for doing the “right thing”. What gives rise to these preferences? Here, we evaluate the explanatory power...  View Details
      Keywords: Moral Preferences; Moral Frames; Observability; Trustworthiness; Trust Game; Trade-off Game; Moral Sensibility; Reputation; Behavior; Trust
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      Capraro, Valerio, Jillian J. Jordan, and Ben Tappin. "Does Observability Amplify Sensitivity to Moral Frames? Evaluating a Reputation-Based Account of Moral Preferences." Journal of Experimental Social Psychology 94 (May 2021).
      • March 16, 2021
      • Article

      From Driverless Dilemmas to More Practical Commonsense Tests for Automated Vehicles

      By: Julian De Freitas, Andrea Censi, Bryant Walker Smith, Luigi Di Lillo, Sam E. Anthony and Emilio Frazzoli
      For the first time in history, automated vehicles (AVs) are being deployed in populated environments. This unprecedented transformation of our everyday lives demands a significant undertaking: endowing complex autonomous systems with ethically acceptable behavior. We...  View Details
      Keywords: Automated Driving; Public Health; Artificial Intelligence; Transportation; Health; Ethics; Policy; AI and Machine Learning
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      De Freitas, Julian, Andrea Censi, Bryant Walker Smith, Luigi Di Lillo, Sam E. Anthony, and Emilio Frazzoli. "From Driverless Dilemmas to More Practical Commonsense Tests for Automated Vehicles." Proceedings of the National Academy of Sciences 118, no. 11 (March 16, 2021).
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