LITERATURE REVIEW OF FACTORS AFFECTING THE ATTITUDE TOWARD ETHICS: UNDERSTANDING THE RANKING OF LEBANON Carole DOUEIRY VERNE - Professeur Associé à la FGM ABSTRACT Our paper treats the literature review of the factors affecting the attitude toward ethics such as gender, religious beliefs and age including the intergenerational effect. Lebanon has slipped from the 63 rd position in 2006 to the 134th position in 2011 on the corruption perception index (CPI) established by Transparency International (TI) and one of the reasons for the increase in the perception of corruption is the low level of ethics at the individual level. KEY WORDS Gender, age, ethical attitude, religious beliefs, corruption. 1. INTRODUCTION Ethical attitude in the business field is a subject that received a great attention during the last decade in many countries and notably in developing countries where the corruption is considered common. Many studies have shown a relation between ethical attitude and the other variables like age, gender and religion but a few have focused on the ethics transmission between generations. The links between personal characteristics of individuals (i.e. age, gender and religious beliefs) and their level of ethics were frequently tested in many countries and were found significant. However, these types of research were not often interested in the ethics transmission between generations. 1 Many studies have examined the empirical link between ethical or moral attitude, gender, religion and values transmission between generations (youths, parents or grandparents). Other studies insist mainly on the family role regarding the ethical attitude of the youths and the intergenerational transmission of moral values. Lebanon has slipped from the 63rd position in 2006 to the 134th position in 2011 on the corruption perception index (CPI) established by Transparency International (TI) and one of the reasons for the increase in the perception of corruption is the low level of ethics at the individual level. The purpose of this paper is to present a literature review regarding the link between personal characteristics and ethical attitude taking into account the intergenerational effects. The sections of the paper are the following: section 2 analyses the link between ethical attitude and gender. Section 3 treats the relationship between ethical attitude and religious beliefs. Section 4 analyses the link between ethical attitude and age and includes the intergenerational effect in a same family. Section 5 shows the ranking of Lebanon and section 6 comments and concludes. 2. THE LINK BETWEEN ETHICAL ATTITUDE AND GENDER About the link between ethical attitude and gender, Yankelovich (1972) found males and females to have a different moral orientation with “women having a greater sense of commitment to doing things for others and men more pessimistic”. Gilligan (1982) expanded further on the difference in moral orientation by gender. She suggests that females frame moral questions as problems of care, involving empathy and compassion, while men frame moral questions as problems of justice, rights and fairness. Gilligan did not say that women are “better” (i.e. more ethical) than men. Nor did she say that there is any absolute association between gender and ethical orientation; just that there may be a tendency in the direction indicated above. Gilligan’s contribution is acknowledged by a number of writers on the question of gender differences in 2 ethical decision making (EDM) in organizations (e.g. Betz et al., 1989; Bateman & Valentine, 2010). Indeed, Betz, O’Connell and Shepard (1989) hypothesize that men are more concerned with money and advancement and women were most interested in relationships and helping people. The gender socialization approach contends that males and females will respond differently to the same set of conditions. Men seek competitive success and are more likely to break rules. Women are more likely to adhere to rules, as they are concerned about doing tasks well and establish harmonious relationships. Atakan et al. (2008) determined that men emphasize a rationale based on the economics of the situation, which likely represents a more consequencebased type of reasoning. While many studies have reported that females tend to exhibit a higher level of ethical attitude (Betz et al., 1989), others have found no difference between males and females (Singhapakdi and Vitell, 1990). In a study of senior executives, Das (2005) found no significant difference between the genders regarding their ethical preferences. On the other hand, a number of studies produced different results. Simga-Mugan et al. (2005) reported that gender does have a significant impact on ethical sensitivity with the females showing greater ethical sensitivity. 3. THE LINK BETWEEN ETHICAL ATTITUDE AND RELIGIOUS BELIEFS Similarly, several studies indicate a link between ethical attitude and religion. At least three studies (Singhapakdi et al., 1999a; Singhapakdi et al., 1999b; Kurpis et al., 2008) examined the link between religiosity and perceptions of an ethical problem and found that religiosity is a significant determinant of one’s perceptions of an ethical problem. Those who have strong religious 3 beliefs are more likely to perceive the existence of ethical problems when faced with questionable situations. Other studies (Clark and Dawson, 1996) conclude that religiosity seems to be clearly linked to ethical judgments in the sense that those with stronger religious beliefs are likely to be more ethical, at least in terms of their beliefs/judgments. Consistent with these findings, the practicing of one’s religion has a much stronger influence on ethical judgments and attitudes than does merely completing a religion or ethics course (Conroy and Emerson, 2004). Religiosity also appears to be linked to one’s intentions to behave ethically. That is, someone who has stronger religious beliefs is more likely to intend to behave ethically (Emerson and Mckinney, 2010). But on the other hand, although it seems that ethics and religion should be related, other research suggests mixed conclusions on the relationship (Parboteeah, Hoegl, Cullen, 2008). 4. THE RELATION BETWEEN ETHICAL ATTITUDE AND AGE INCLUDING THE INTERGENERATIONAL EFFECT Concerning the link between ethical attitude, age and intergenerational effects, Jean Piaget (1965) was the first to undertake the study of moral development and reasoning based on studies with children. Trevino (1986) followed with a “person-situation” inter-actionist model that can be applied to research in ethical decision making of professionals in organizations. In the same way, Trevino’s model shows that younger professionals, who are generally at a lower stage of moral development than older professionals, would be more likely to look to external factors, or others, to help resolve ethical dilemmas. Findings by Allmon et al. (2000) suggest that older youths exhibit more ethical inclinations. In a similar analysis, Arlow and Ulrich (1980) find that younger business students exhibit lower ethical standards than older business executives. These findings may support Kohlberg’s stages (1969) of moral development model. It seems that differences exist between generations regarding the ethical attitude even though Lam & Hung (2005) find no link between age and ethical 4 attitude: “No systematic relationship is found between age and the likelihood of being ethical”. Intergenerational research on political and social attitude shows that many forms of influence are transmitted from parents to their children, including political affiliation, religious values, orientation toward achievement, gender and racial attitudes. However, over time, the intergenerational influences tend to decline. Moore, Wilkie, Lutz (2002) have also studied the intergenerational influences on consumption and brand choice where the intergenerational influences refer to the within-family transmission of information, beliefs, and resources from one generation to the next. It is a fundamental mechanism by which culture is sustained over time. Socialization helps society function by reinforcing particular beliefs, traditions, and values. It also helps people develop their personal identities and play new roles as they move through their life cycles. The family is the first and typically the most powerful socialization agent; parents and other family members serve as channels of information, sources of social pressure, and support for one another. As a family develops, it creates a distinct lifestyle, pattern of decision making, and style of interaction (Sillars, 1995). Theory suggests that family influences constitute a powerful socializing agent in the children's lives. Moreover, in spite of the loose ties between family members nowadays, especially in the developed countries, recent findings show that there is inculcation of values and family influence is still alive and well (Mittal and Royne, 2010). 5. RANKING OF LEBANON The Corruption Perceptions Index (CPI) ranks countries/territories based on how corrupt their public sector is perceived to be. A country/territory’s score indicates the perceived level of public sector corruption on a scale of 0-10, where 0 means that a country is perceived as highly corrupt and 10 means 5 that a country is perceived as very clean. A country’s rank indicates its position relative to the other countries/territories included in the index1. We chose randomly a sample of 34 countries out of 183 already assessed on the base of Transparency International. The two tables indicate the results of CPI in 2006 and 2011. Table 1: Corruption Perception Index 2006 Country Rank 1 4 6 11 11 14 15 16 17 18 20 20 23 31 32 34 36 37 39 40 42 51 51 54 60 63 70 70 70 70 1 Country Finland Denmark Sweden Luxembourg United Kingdom Canada Hong Kong Germany Japan France Belgium United States Spain United Arab Emirates Qatar Taiwan Bahrain Cyprus Oman Jordan Korea (South) South Africa Tunisia Greece Turkey Lebanon Saudi Arabia Ghana China Senegal Corruption Perception Index 2006 9.6 9.5 9.2 8.6 8.6 8.5 8.3 8 7.6 7.4 7.3 7.3 6.8 6.2 6 5.9 5.7 5.6 5.4 5.3 5.1 4.6 4.6 4.4 3.8 3.6 3.3 3.3 3.3 3.3 www.transparency.org 6 84 90 138 156 Sri Lanka Gabon Cameroon Bangladesh 3.1 3 2.3 2 Table 2 : Corruption Perception Index 2011 Country Rank 2 2 4 10 11 12 14 14 16 19 22 24 25 28 30 31 32 43 46 50 56 57 61 64 69 73 75 80 86 100 112 120 134 134 Thus, it Country Corruption Perception Index 2011 Finland 9,4 Denmark 9,4 Sweden 9,3 Canada 8.7 Luxembourg 8.5 Hong Kong 8.4 Germany 8 Japan 8 United Kingdom 7.8 Belgium 7,5 Qatar 7,2 United States 7,1 France 7 United Arab Emirates 6.8 Cyprus 6,3 Spain 6.2 Taiwan 6.1 Korea (South) 5.4 Bahrain 5,1 Oman 4.8 Jordan 4.5 Saudi Arabia 4.5 Turkey 4.2 South Africa 4.1 Ghana 3.9 Tunisia 3.8 China 3.6 Greece 3.4 Sri Lanka 3.3 Gabon 3 Senegal 2.9 Bangladesh 2.7 Cameroon 2.5 Lebanon 2.5 is obvious that between 2006 and 2011, corruption decreased in many countries, contributing to an increase in the CPI and in the ranking of 7 these countries on the scale of Transparency International (TI). For example, the CPI of Sweden has increased from 9.2 to 9.3 and the ranking of this country improved from the sixth to the fourth place. Canada and Japan observed also an increase of the CPI from 8.5 to 8.7 for Canada and from 7.6 to 8 for Japan. Other countries showed a slight increase of corruption on the scale of TI, contributing to a decrease of the CPI and of the ranking of these countries. For example, because of the political problems, Greece observed a decrease of the CPI from 4.4 to 3.4 with a ranking of 80 instead of 54 in 2006. Lebanon has slipped from the 63rd place in 2006 to the 134th place in 2006 with a decrease of the CPI from 3.6 to 2.5. Right now, Lebanon occupies the same rank (134th rank) as Cameroon, Eritrea, Guyana, Niger, Pakistan, etc… 6. CONCLUSION The literature review showed the main factors that could affect the attitude toward ethics. The structure of the family is playing an important role in the level of transmission of moral values between generations especially in the MENA countries. However, this structure is becoming more heterogeneous (proportion of males/females, size, number of generations living under one roof…), and many countries are experiencing diversity in religion races and cultures that are becoming added features to the families. Even if the family is still active in transmitting values in certain religious communities and cultural groups, its efficiency might vary according to the religious beliefs and will lead in multicultural countries to different levels of ethical attitudes in religious subgroups. The schools, the universities and the workplace can contribute in the enhancement of ethics and replace partially the role of the family structure in transmitting ethics. The slipping of Lebanon in the CPI ranking should incite researchers to focus on ethical behavior and ethical attitude in Lebanon to better understand the factors that led to this situation. A field research could be performed in 8 Lebanon to test an ethical model that includes the above factors with their respective weight. A comparative approach between sub groups based on one of the factors can demonstrate the impact of this factor on the attitude toward ethics in Lebanon. REFERENCES Allmon, D. E., D. Page and R. Roberts (2000), ‘Determinants of Perceptions of Cheating: Ethical Orientation, Personality and Demographics’, Journal of Business Ethics 23, 411–422. Arlow, P. and T. Ulrich (1980), ‘Business Ethics, Social Responsibility and Business Youths: An Empirical Comparison of Clark’s Study’, Akron Business and Economic Review (Fall), 17–22. Atakan, M. G. S., S. Burnaz and Y. I. 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