Corporate Social Responsibility in International Trade and Investment

Corporate Social Responsibility in International Trade and Investment

_By: Alexandra Mes, 318408_

6a) Consider the case of Nike deciding to offshore production to low-cost developing countries. While it would bring employment to the people of this country (benefit), it may also extend child and forced labour practices. Evaluate this international business decision (IBD) in terms of the moral philosophy of teleology, deontology and the theory of justice. Organize your answer by providing an argument and an example for each philosophy.

Teleology is a moral philosophy that is based on the idea that final cause exists. It is a belief that behaviour or actions are right or tolerable when desired outcomes are produced. Relating this moral philosophy to the case of Nike deciding to offshore production to low-cost developing countries, this international business decision would probably have a positive result. Nike decides to produce there because it needs a larger production volume. This is the outcome that teleology would Nike to be responsible for.

Looking at the case from another perspective, -the teleologist as a consumer-, would probably buy the goods. This decision is based on for instance the fate of children, they contribute to the family income (Harrison, 2005). If they would not work at that age, less income would be available to live from in the family. Also, a teleologist might expect the conditions under which the children must work to become better (Harrison, 2005).

Deontology, or formalist theory, can be considered quite the opposite of teleology. This moral philosophy is based on principles and rules. Everyone must keep themselves to these rules, regardless of any consequences these may cause or restrict. Acting or behaviour must come from a sense of duty, and not from concern for any effects of decisions.

Having defined what deontology stands for, we can now have a look at the case of Nike. This international business decision seems...