requirements created by the
demands of a market economy, norms of corporate culture, new customer
policies, etc. Business ethics norms can be delivered to employees at special training programs for
personnel.
Development of codes in Azerbaijan does not present much of a problem. There are specialists who can
provide advice. This book can also be of help. What companies need is the resolute will of their
management. Sooner or later, Azerbaijan companies will come to realize the paramount importance of
business ethics codes. We firmly believe it is better not to postpone the introduction of these codes for
the distant future. Codes serve the interests of all stakeholders: companies themselves and consumers of
their goods and services.
This book is the first in its kind in the Azerbaijan language. It is gratifying that the book does not
represent a translation from a foreign language, but was written in Azerbaijan as the result of the research
of our specialists. The various authors of this book have been engaged in research of business ethics
problems for the last several years and are well- known experts in this area. Their own research into
problems of business ethics, in addition to knowledge acquired in the course of trips abroad, teaching
experience at universities, training programs organized for various public and business structures, helped
them to form their own visions of the problem and to formulate valuable recommendations in this
remarkable publication. This book will no doubt be found useful in business circles, as well as by
government agencies and non-governmental organizations, state enterprises, and students of business
ethics.
Finally, this book is not only the first of its type published in Azerbaijan language, but is also one of the
few books published in our country with a considerable amount of real life cases. These case scenarios
are accompanied by notes which will help readers not only to familiarize themselves with the concepts,
but also to self-train.
Sabit
Bagirov,
Chairman
of
board,
Transparency Azerbaijan
President, Entrepreneurship
and Market Economy
Development Foundation
Rena Safaralieva
CHAPTER I. INTRODUCTION INTO BUSINESS ETHICS
The notion of ethics and morale
The study of ethics explores questions of morality and constitutes an integral part of applied philosophy.
Normative ethics is a practical discipline, as it offers recommendations on the application of the
principles of morality in practical life
1
. In other words, normative ethics teaches us what should be done,
while descriptive ethics studies what has been done in real life and is in the focus of attention of historians
and sociologists. Social ethics regulates human social behavior, while business ethics, naturally, is
concerned with business conduct. In its turn, professional ethics, which establishes standards of behavior
for certain professions, constitutes a subset of business ethics. The ethical principles pertaining to the
legal and medical professions, for instance, are among the most developed and complicated areas of
business ethics.
Morality is an abstract philosophical concept, which represents perceptions of “correct behavior” in a
human society. To pass judgment in respect to any human behavior, people refer to
moral norms,
including moral values (a set of abstract moral categories, shared by all members of a certain social
group) such as justice, goodness, honesty and honor, and moral principles (certain approaches or
theories, which people use to solve moral dilemmas). For example, “I can do the same to you as you did
to me.”
Moral norms and values can be divided into two main categories: universal and specific. These notions
can significantly differ in different societies and even change within the same society over time.
Harsh conditions of life and constant wars resulted in deaths of a considerable portion of the male
population of ancient Arabia and Arabs solved the problem of redundant females in a very simple way:
they killed newly born girls, allowing to live only those born immediately after a surviving male child.
Prophet Mohammed prohibited this practice and legalized polygamy.
This, however, does not mean that there are no universal moral norms, shared by all mankind. For
example, no human society can afford to unconditionally justify murder, because such a society will not
be able to offer guarantees of personal security. No society can justify lying in business, because this will
make business transactions insecure. Universal moral principles have been formulated by major world
religions in a more or less similar way with only relatively slight variations. Specific moral norms and
values are shared by certain groups of people within a definite time frame. In the same way, norms of
business ethics may significantly vary in different areas of business activities.
A medical doctor is obliged to help any patient, friend and enemy likewise, while a construction
company can refuse to build a metal and glass skyscraper among historic monuments. It is regretful that
the company which built the hotel ISR Plaza in Baku’s Fountain Square did not follow this principle.
In the West, soliciting of potential customers was considered unethical by many professions in 1980s, but
tough competition forced many professions (for example, lawyers and doctors) to soften their stance
towards such solicitations. However, regardless of levels of competition, there are certain situations in
which solicitation would likely be deemed inappropriate. It would be difficult to imagine that
unregulated solicitation of potential customers, for instance, elderly persons, by funeral homes
advertising their services would be welcomed.
1
Ethics, A Textbook on Philosophy, Political Science and Religion Studies, ed. by A.A. Gousseinov and E.L.Dubko, Gardariki
Publishing House, Moscow, 1999, p. 31