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Drivers
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Internal
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Natural SME tendencies?
- Lack of adherence to formal standards
- Owners are in a good position to bring their ethical outlook to bear
- Close relationship between moral judgement and moral action
- Quinn 1997
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The owner's traits
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Cognitive moral development - look at Kohlberg
- The latter stages of of CMD are centred on the complexity of the form of thinking, rather than the thinking itself.
- CD is promoted by being exposed to increasingly varied and complex moral and relational environments.
- Three stages
- Pre-conventional
- Conventional
- Principled
- Kohlberg and Hersch, 1977
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Trevino model
- Ego Strength, field independence, LOC
- Carr, 1968. Business ethics are different.
- Hierarchical position impacts ethical compromise
- Introversion
- The owner's objectives for being in business
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External
- Presenting an ethical image
- Establishing relationships with stakeholders
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Barriers
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Internal
- Resources
- Perceived reciprocative value
- Owner's introversion has clouded judgement
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External
- Lack of reciprocation
- Feeling of exploited goodwill
- Misunderstanding the societal values that exist.