Business Ethics in the Digital Age

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Ethical dilemmas

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Business Ethics in the Digital Age

Definition

Ethical dilemmas are situations in which a person faces conflicting moral choices, where choosing one option may lead to compromising another ethical principle. These dilemmas often arise in complex scenarios where individuals must weigh the consequences of their decisions, leading to significant moral uncertainty. The essence of ethical dilemmas lies in their potential to challenge one's values and beliefs, making it difficult to determine the most ethically sound course of action.

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5 Must Know Facts For Your Next Test

  1. Ethical dilemmas can occur in both personal and professional settings, often involving situations like whistleblowing or balancing stakeholder interests.
  2. Utilitarianism provides a framework for evaluating ethical dilemmas by assessing actions based on their overall consequences for the greatest number of people.
  3. Stakeholder theory emphasizes the need to consider the impact of decisions on all affected parties, which can create additional layers of complexity in ethical dilemmas.
  4. Whistleblowing is a common ethical dilemma where individuals must choose between loyalty to their organization and the need to report unethical behavior.
  5. The tone at the top significantly influences how individuals perceive and handle ethical dilemmas within organizations, as leadership sets the cultural and ethical standards.

Review Questions

  • How does utilitarianism approach ethical dilemmas, and what are its strengths and weaknesses?
    • Utilitarianism approaches ethical dilemmas by focusing on the consequences of actions and aiming to maximize overall happiness for the greatest number. Its strength lies in its straightforwardness and emphasis on outcomes, making it easier to evaluate complex decisions. However, its weakness includes potential neglect of individual rights and justice, as it may justify harmful actions towards minorities if they benefit the majority.
  • Discuss how stakeholder theory can complicate the resolution of ethical dilemmas within organizations.
    • Stakeholder theory complicates the resolution of ethical dilemmas because it requires decision-makers to consider the interests and impacts on multiple parties, including employees, customers, investors, and the community. This added complexity can lead to conflicts when stakeholders have differing priorities or values. Balancing these competing interests can make it challenging to arrive at a solution that is perceived as ethical by all parties involved.
  • Evaluate the impact of a strong ethical culture on managing ethical dilemmas within an organization.
    • A strong ethical culture significantly aids in managing ethical dilemmas by promoting open communication, accountability, and shared values among employees. When leadership sets a positive tone at the top, it encourages individuals to voice concerns and seek guidance when faced with difficult decisions. This supportive environment helps individuals navigate ethical dilemmas more effectively, fostering a sense of responsibility and collective commitment to ethical behavior throughout the organization.

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