Business ethics development of working adults: a study in Vietnam

DOIhttps://doi.org/10.1108/JABS-05-2013-0027
Date05 January 2015
Published date05 January 2015
Pages33-53
AuthorLam D. Nguyen,Bahaudin G Mujtaba,Frank J. Cavico
Subject MatterStrategy,International business
Business ethics development of working
adults: a study in Vietnam
Lam D. Nguyen, Bahaudin G. Mujtaba and Frank J. Cavico
Lam D. Nguyen is an
Associate Professor in
Management based at
Department of
Management,
Bloomsburg University of
Pennsylvania,
Bloomsburg,
Pennsylvania, USA.
Bahaudin G. Mujtaba is a
Professor in Management
and Frank J. Cavico is a
Professor in Business
and Law and both are
based at The H. Wayne
Huizenga School of
Business and
Entrepreneurship, Nova
Southeastern University,
Fort Lauderdale, Florida,
USA.
Abstract
Purpose The purpose of this paper is to ascertain if age, gender, management experience and
government work experience actually make a difference in the ethical development of respondents in
Vietnam, an emerging economy in Southeast Asia.
Design/methodology/approach A quantitative self-administered survey was conducted with a
convenience sample of Vietnamese working adults obtained through educational institutions,
businesses and entrepreneurs and private and public sector organizations. This study used Clark and
Clark’s (1966) Personal Business Ethics Scores measure. The Vietnamese version questionnaire was
distributed, and a total of 704 surveys were fully completed and analyzed.
Findings Statistically significant differences were found in the variables of age, gender and
government work experience. Management experience did not lead to any significant differences.
Consequently, Kohlberg’s moral development theory regarding ethical development is partially
supported.
Research limitations/implications This study used a convenience sample population. Future
studies can compare specific populations in different parts of the country with similar working
backgrounds and demographic variables. The small sample size is not necessarily representative of an
entire country or the culture in Vietnam. Furthermore, it would be meaningful to investigate the
relationship between ethical development and the demographic variables among other Asian countries
near Vietnam. Finally, longitudinal studies can be implemented by future researchers to investigate the
effects of changes in demographic variables on moral development.
Practical implications Females should be studied more to determine the factors that they consider
when making decisions that impact others. Having longer time “socializing” with organizational values
might be a stronger influence on ethical behaviors of a person. Vietnamese people are less tolerant for
unethical behaviors when they are much younger and when they are much older.
Social implications The importance of ethics education programs at the national and organizational
levels is underscored as a key element to combat corruption. Several specific recommendations on how
to enhance the fight against corruption and bribery were provided.
Originality/value This study contributes to the moral development theory research and sheds light on
the impact of age, gender, government work experience and management experience gained through
the development process on ethical decision-making of Vietnamese people. Academicians, managers,
practitioners, government leaders and the like can benefit from the findings of this paper.
Keywords Business ethics, Vietnam, Corruption, Government experience, Moral development
Paper type Research paper
Introduction
Every day people make decisions. They frequently encounter ethical issues, as ethics is a
part of human beings’ life. Thus, being ethical is important, not only to the individual but also
to the organization to which he or she belongs and, above all, to the society (Conroy and
Emerson, 2004;Lawrence and Weber, 2011). Ethical behavior of a business and its
employees has been the focus of different stakeholder groups including business
community and society (Burns, 2012). In the business environment, managers and
employees alike at all levels often deal with work-related ethical issues, and therefore,
Received 14 May 2013
Revised 30 April 2014
20 May 2014
Accepted 25 May 2014
DOI 10.1108/JABS-05-2013-0027 VOL. 9 NO. 1 2015, pp. 33-53, © Emerald Group Publishing Limited, ISSN 1558-7894 JOURNAL OF ASIA BUSINESS STUDIES PAGE 33
ethical behavior is expected of everyone in the modern workplace. There have been many
authors and researchers who have studied ethics and the unethical behaviors of managers
and senior officers of major firms (Clark, 2008;Crary, 2008;McGill, 2008;Desplaces et al.,
2007;Gao, 2004;Klein et al., 2007;Lawson, 2004;Cherry et al., 2003;Nonis and Swift,
2001;Ridley and Husband, 1998). Researchers know that greed influences people to
behave unethically; furthermore, a contributing factor could also be a person’s lack of
education, young age or lack of management experience that leads him/her to make ethical
lapses in judgment.
Although there has been extensive research on ethics in the Western world, little is known
about Vietnam’s culture, business practices and professional ethical standards. Vietnam is
clearly an emerging economy in Southeast Asia with an impressive integration to the global
economy. With a market economy mechanism, Vietnamese government leaders have
created a much improved investment environment while maintaining a stable political
environment over the past few decades (Nguyen et al., 2012). Thus, understanding of its
culture, business practices and ethical standards is necessary for global entrepreneurs. In
this study, the authors will shed light on these topics and particularly examine if a business
ethics measure, the Personal Business Ethics Scores (PBES), developed in the USA, can
also be applied in Vietnam. A key research question thus would be to ascertain if age,
gender, management experience and government work experience actually make a
difference in the ethical decision-making of Vietnamese respondents. Building on the
theory of Cognitive Moral Development, the purpose of this study is to determine whether
the variables of age, gender, government work experience and management experience,
gained through the maturation process, are related to ethical decision-making. There
plainly is a need for further study using widely accepted survey instruments, for
cross-cultural comparisons. Accordingly, achieving a better scientific understanding of
ethical perceptions from Vietnamese entrepreneurs, civil servants and a general sample of
working adults would be of keen interest to academicians and practitioners.
Literature review
Moral development, according to researchers (Kohlberg, 1969;Mujtaba, 2010;Rich and
DeVitis, 1994), is “the growth or ability of an individual to distinguish right from wrong, to
develop a framework of ethical values, and to learn to act morally”. According to Kohlberg
(1984),Clark and Clark (1966) and, more recently, Mujtaba et al. (2011), the term
“development” refers to continuous changes and learning that take place from the
beginning of life until the end. Moral development occurs through the process maturity,
socialization, aging, education and cultural reinforcements. Moral development consists of
the progressive and continuous changes that take place during one’s socialization years,
especially as a result of learning and experience in the culture.
According to Kohlberg (1969), people develop morally through three broad levels that
include six developmental stages of moral judgment. Kohlberg’s approach focuses on the
motivation behind an individual’s decision based on his or her level and stage of cognitive
moral development, not the decision itself. As per Baxter and Rarick (1987), explained in
Table I, Level I, which is Preconvention Morality, includes Stage 1 “Punishment orientation”
and Stage 2 “Reward orientation”. People at this level are dominantly self-focused and their
actions are oriented toward either avoiding punishment or receiving rewards. Moral values
do not come from within the individual. Level II, which is Conventional Morality, includes
Stage 3 “Good-boy/good-girl orientation” and Stage 4 “Authority orientation”. People at this
level see morality as more than simple rewards or punishment avoidance. They try to live
up to others’ expectations such as friends, family, community and society. What other
people think about them is really important to the individuals. Thus, they try to maintain a
good image or reputation in the eyes of others. People feel a sense of duty to conform with
rules and regulations. Thus, people make decisions based on the moral value of other
people and of the broader society, instead of their own. Level III, which is Postconventional
PAGE 34 JOURNAL OF ASIA BUSINESS STUDIES VOL. 9 NO. 1 2015

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