ABSTRACTThis article introduces an “ordonomic” approach to corporate citizenship. We believe that ordonomics offers a conceptual framework for analyzing both the social structure and the semantics of moral commitments. We claim that such an analysis can provide theoretical guidance for the changing role of business in society, especially in regard to the expectation and trend that businesses take a political role and act as corporate citizens. The systematicraison d'êtreof corporate citizenship is that business firms can and—judged by the criterion of (...) prudent self-interest—“should” take on an active role in rule-finding discourses and rule-setting processes with the intent of realizing a win-win outcome of the economic game. We identify—and illustrate—four ways that corporate citizens can employ moral commitments as a factor of production to enhance their processes of economic value creation. (shrink)

Kidney markets are prohibited in principle because they are assumed to undermine the seller’s dignity. Considering the trade-off between saving more lives by introducing regulated kidney markets and preserving the seller’s dignity, we argue that it is advisable to demand that citizens restrain their own moral judgements and not interfere with the judgements of those who are willing to sell a kidney. We also argue that it is advisable not only to limit the political implications of the moral argument of (...) dignity concerns toward a market-based solution but also to re-evaluate the dignity argument itself. First, if the dignity argument is to be given normative force, it must also consider the dignity violation of the potential transplant recipient. Second, there seems to be no compelling notion of dignity that demonstrates why it is morally permissible to donate but not to sell a kidney. (shrink)

This article introduces an “ordonomic” approach to corporate citizenship. We believe that ordonomics offers a conceptual framework for analyzing both the social structure and the semantics of moral commitments. We claim that such an analysis can provide theoretical guidance for the changing role of business in society, especially in regard to the expectation and trend that businesses take a political role and act as corporate citizens. The systematicraison d'êtreof corporate citizenship is that business firms can and—judged by the criterion of (...) prudent self-interest—“should” take on an active role in rule-finding discourses and rule-setting processes with the intent of realizing a win-win outcome of the economic game. We identify—and illustrate—four ways that corporate citizens can employ moral commitments as a factor of production to enhance their processes of economic value creation. (shrink)

This article contributes to the debate about the political role of the business firm. The article clarifies what is meant by the “political” role of the firm and how this political role relates to its economic role. To this end, the authors present an ordonomic concept of corporate citizenship and illustrate the concept by way of comparison with the Aristotelian idea of individual citizenship for the antique polis. According to our concept, companies take a political role if they participate in (...) rule-setting processes and rule-finding discourses. Though this political role of the corporation is in principle ambivalent, the authors conclude that in such processes of “new governance” the economic and political roles of the firm need not contradict each other but can follow the same win-win logic of individual self-perfection through cooperative social interactions. (shrink)

ABSTRACT:The notion of “democracy” has become a much-debated concept in scholarship on business ethics, management, and organization studies. The strategy of this paper is to distinguish between a principle of organization that fosters participation and a principle of legitimation that draws on consent. Based on this distinction, we highlight conceptual shortcomings of the literature on stakeholder democracy. We demonstrate that parts of the literature tend to confound ends with means. Many approaches employ type I democracy notions of participation and often (...) take for granted that this also improves type II democratic legitimation. We hold this to be a mistake. We provide examples of the ambiguity of organizational procedures and show that under some circumstances a decrease in the degree of participation may actually increase legitimation because a governance structure that results in higher productivity can provide higher benefits for all parties involved, serve their interests and therefore meet their agreement. Less type I democracy may mean more type II democracy. We believe this to be an important insight for judging the legitimacy of both capitalistic firms and competitive markets. (shrink)

Dieser Aufsatz zeichnet aus einer ordonomischen Perspektive nach, wie das Revival der Tugendethik seit den späten 1950er-Jahren eine philosophische Literatur tugendethischer Marktkritik hervorgebracht hat, die von Ökonomen argumentativ zurückgewiesen und in Form einer Tugendethik des Marktes konstruktiv überboten worden ist. Besonders betont wird, inwiefern diese Entwicklung – die Rehabilitierung der Tugendethik innerhalb der ökonomischen Theorie – dazu beitragen kann, die doppelte Herausforderung des Kommunitarismus besser zu bewältigen. Diese besteht darin, auf die Gesellschaftsfähigkeit von Gemeinschaften ebenso zu achten wie auf die (...) Gemeinschaftsfähigkeit der modernen Gesellschaft. (shrink)

The renaissance of Aristotelian virtue ethics has produced an extensive philosophical literature that criticizes markets for a lack of virtues. Drawing on Michael Sandel’s virtue-ethical critique of price gouging during natural disasters, we (1) identify and clarify serious misunderstandings in recurring price-gouging debates between virtue-ethical critics and economists. Subsequently, (2) we respond to Sandel’s call for interdisciplinary dialogue. However, instead of solely calling on economics to embrace insights from virtue ethics, we prefer a two-sided version of interdisciplinary dialogue and argue (...) that virtue ethics should embrace economic insights. In particular, we argue that if virtue ethics is to preserve its social relevance under modern conditions, it should re-conceptualize its notion of virtue and re-evaluate the self-interested but effective—and in this sense solidary—help among strangers via markets as virtuous rather than devaluate it as greed, that is, as vicious price gouging. (shrink)

Bioethics, Volume 36, Issue 4, Page 453-460, May 2022.

Based on economic ethics, this paper reflects on and aims to improve the semantics of responsibility. The traditional concept of responsibility is threatened with erosion when responsibility is attributed to an actor who is unable to exercise individual control over the outcome of his actions. In the modern world-society this is increasingly the case. The concept of ordo-responsibility is helpful in identifying a suitable approach for the attribution and acceptance of responsibility. The perspective of economic ethics systematically differentiates between the (...) initial basic game of business and the related meta-games of politics and public discourse. In this way, the focus shifts to the rule-setting processes and rule-finding discourses for which the actors can accept governance responsibility and discourse responsibility, respectively. These two forms of ordo-responsibility demonstrate a characteristic which is extremely important for processes of New Governance: they can be attributed to corporative actors, and they can be perceived by them in their own well-reflected interests. (shrink)

Can private companies legitimately regulate sharing markets, and if yes, how? Whereas scholars have either criticized sharing platforms for expanding into private and public arenas or welcomed them to counterbalance encroaching government regulations, studies document their unbridled popularity. On the basis of a special version of social contracts theory pioneered by James Buchanan, we develop a heuristics that helps guide reasoning about the legitimacy of the sharing economy’s regulatory function. First, we discuss the conditions under which free and responsible individuals (...) deliberately subject themselves to rules without their prior direct participation, that is, exit, voice, and constitutional limits. Second, we suggest sharing platforms can use novel ordo-responsibilities to establish a sharing constitution that takes these conditions into account. Third, we argue that sharing platforms can legitimately do so within an enabling institutional environment in society, the provision of which relies on the joint efforts of sharing platforms, political actors, and civil society. (shrink)

Millions of people in the developing world lack access to curative drugs. Pogge identifies the cause of this problem as a lack of redistribution across borders. In contrast, this article shows that institutional shortcomings within developing countries are the main issue. These different explanations are the result of diverging analytic approaches to ethics: a cosmopolitan approach versus an ordonomic approach. This article compares both approaches with regard to how they conceptualize and propose to solve the problem of providing life-saving pharmaceuticals (...) to the poor in developing countries. (shrink)

Many public debates about the societal significance and impact of agriculture are usefully framed by Paul Thompson’s distinction between the “agrarian” and the “industrial vision.” The key argument of the present paper is that the ongoing debate between these visions goes beyond academic philosophy and has direct effects on the political economy of agriculture by influencing the scope of rent-seeking activities that are undertaken primarily in the name of the agrarian vision. The existence of rent-seeking activities is shown to reflect (...) the fact that the agrarian vision is not universally supported, which is certainly true of the industrial vision as well. The key argument of the present paper is that these two philosophical visions of agriculture are not radically incongruent. Rather, they share a common ground within which they are even mutually supportive. If agricultural policy making is oriented toward this common ground, it may reduce overall dissatisfaction with the resulting institutional regime of agricultural production. Such an agricultural policy may also stimulate the emergence of new business practices that not only enable efficient agricultural production but also minimize negative ecological impact and preserve cultural landscapes. (shrink)

In einem grundlegenden Aufsatz, der hier in deutscher Ubersetzung zusammen mit dem englischen Original abgedruckt wird, leisten Bruni und Sugden einen innovativen Beitrag zur interdisziplinaren Verstandigung zwischen Philosophie und Okonomik. Ausgangspunkt ist der Befund, dass tugendethische Ansatze oft ausgesprochen marktkritisch sind, weil sie durch den Markt eine Erosion sozialer Normen und intrinsischer Motivation befurchten. Bruni und Sugden kritisieren die traditionelle Tugendethik dahingehend, dass diese den Markt an sachfremden Idealen messe und dadurch in eine wirtschaftsfremde und sogar wirtschaftsfeindliche Schieflage gerate. Der (...) Gegenansatz von Bruni und Sugden bestimmt den Markt als Praxis mit einem eigenstandigen Ziel (telos). Dieses besteht in der wechselseitigen Vorteilsgewahrung zwischen Tauschpartnern. Von hier ausgehend, identifizieren sie (ohne Anspruch auf Vollstandigkeit) acht Tugenden, die der Praxis des Marktes forderlich sind. Hierin sehen Bruni und Sugden einen Beitrag, die Menschen, die sich als moralische Subjekte verstehen, mit einem wichtigen Bereich ihrer alltaglichen Lebenspraxis zu versohnen. Dieser Band leitet dazu an, sich mit den Thesen von Bruni und Sugden intensiv und kritisch auseinanderzusetzen. Methodische Handreichungen erleichtern die Textanalyse. Besonders anregend fur die Diskussion sind ein Dutzend Kurzkommentare, die den Aufsatz von verschiedenen Blickwinkeln aus beleuchten. (shrink)

English summary: Karl Popper's critical rationalism rests on a theory of social learning. It is an integrative approach, well suited for tackling methodological and even political problems. Thus, Popper's philosophy has important implications for the social sciences. This calls for a new assessment in order to examine how critical rationalism improves our understanding and designing of the institutions of modern, open societies. German description: Karl Popper gehort zu den einflussreichsten Philosophen des 20. Jahrhunderts. Das thematische Spektrum seiner Schriften reicht von (...) der Wissenschaftstheorie uber die Methodologie der Sozialwissenschaften bis hin zu politischen Stellungnahmen gegen totalitare Gefahrdungen der Demokratie. Dieser interdisziplinaren Ausrichtung liegt ein einheitlicher Denkansatz zugrunde: der kritische Rationalismus als eine Theorie sozialen Lernens. Das Potential dieses Denkansatzes zur Ausrichtung insbesondere jener Wissenschaften, die sich mit dem Phanomen der modernen, offenen Gesellschaft auseinandersetzen, ist langst noch nicht ausgeschopft und wird in der rein philosophie-internen Popper-Rezeption wenig berucksichtigt. Die Autoren dieses Bandes untersuchen den kritischen Rationalismus aus einer gesellschaftstheoretischen Perspektive. Damit wenden sie sich an alle, die an den theoretischen Grundlagen demokratischer Wirtschafts- und Gesellschaftspolitik interessiert sind. In ihren Untersuchungen befassen sie sich mit der zentralen Frage: Welchen Beitrag liefert der kritische Rationalismus zum besseren Verstandnis und zur Gestaltung offener, demokratisch verfasster Gesellschaften? (shrink)

It is the nature of powerful ideas that they can summarize a ground-breaking concept in a plain and simple message. In this sense, the concept of sustainability is a very powerful idea. However, although the sustainability debate has already brought about considerable conceptual progress, a pivotal dimension to sustainable development has so far been widely neglected. This article argues that in addition to the ecological, economic, and social dimension, sustainability critically depends on the moral dimension of institutional legitimacy. Against the (...) backdrop of globalization, conventional models of creating and legitimizing institutions are increasingly challenged. Therefore, it is also business that is to play an ever more important role in contributing to fair and functioning institutions. The article discusses “corporate citizenship” as an economic concept as a useful starting point for this new understanding of the business of business. In effect, the underlying objective of this paper is to present a theoretical link between the concepts of sustainability and corporate citizenship. The central thesis is that private enterprises who cooperatively take responsibility for their institutional environment strengthen the moral dimension of institutional legitimacy: They actively contribute to empowering sustainability by corporate citizenship. (shrink)

The Covid-19 pandemic reveals a new phenomenon, unaddressed by the existing literature on “price gouging” in times of emergency. While merchants – getting large remuneration for providing desperately needed goods – evoke public moral outrage for assumed “price gouging”, employees – getting large remuneration for providing desperately needed services – do not cause such outrage but rather experience moral appraisal for their valuable commitment. To address this inherent inconsistency of moral judgment, we propose to embrace insights from research on folk (...) economics. By understanding the folk perception underlying public outrage at “price gougers,” business ethics might better enlighten the moral legitimacy of anti-“price gouging” measures. (shrink)

This article develops an "ordonomic" approach to business ethics in the age of globalization. Through the use of a three-tiered conceptual framework that distinguishes between the basic game of antagonistic social cooperation, the meta game of rule-setting, and the meta-meta game of rule-finding discourse, we address three questions, the answers to which we believe are crucial to fostering effective business leadership and corporate social responsibility. First, the purpose of business in society is value creation. Companies have a social mandate to (...) organize mutually advantageous cooperation. Second, business ethics should teach the management competencies necessary to fulfill business's societal mandate. These competencies are optimization competence in the basic game of value creation, governance competence in the meta game of (political) rule setting, and the three discourse-related skills of orientation competence, reception competence, and communication competence necessary for engaging in the meta-meta game. Third, companies can help solve global problems through global corporate citizenship if they participate as political and moral actors in rule-setting processes and rule-finding discourse aimed at laying the foundation for value creation on a global scale. (shrink)