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Ties that Unwind: Dynamism in Integrative Social Contracts Theory 1

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  • Robert Phillips
  • Michael Johnson-Cramer

Abstract

Social contract theory offers a powerful method and metaphor for the study of organizational ethics. This paper considers the variant of the social contract that has arguably gained the most attention among business ethicists: integrative social contracts theory or ISCT [Donaldson and Dunfee: 1999, Ties That Bind (Harvard Business School Press, Boston)]. A core precept of ISCT – that consent to membership in an organization entails obligations to follow the norms of that organization, subject to the moral minimums of basic human rights – is a reasonable and appealing notion. One potential challenge for those attempting to apply this idea, however, lies in the dynamic nature of social norms. Organizational norms evolve, often through the conscious efforts of community members and leaders. As currently formulated, ISCT offers a framework that under-appreciates the evolving nature of moral norms. In this paper, we extend ISCT by considering the circumstances under which the terms of and parties to social contracts change. We also consider a number of principles that should be considered as the terms and parties to organizational social contracts change. Copyright Springer Science+Business Media, Inc. 2006

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  • Robert Phillips & Michael Johnson-Cramer, 2006. "Ties that Unwind: Dynamism in Integrative Social Contracts Theory 1," Journal of Business Ethics, Springer, vol. 68(3), pages 283-302, October.
    • Handle: RePEc:kap:jbuset:v:68:y:2006:i:3:p:283-302
    DOI: 10.1007/s10551-006-9015-7
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    Cited by:

    1. Cedric Dawkins, 2014. "The Principle of Good Faith: Toward Substantive Stakeholder Engagement," Journal of Business Ethics, Springer, vol. 121(2), pages 283-295, May.
    2. Duane Windsor, 2018. "Dynamics for Integrative Social Contracts Theory: Norm Evolution and Individual Mobility," Journal of Business Ethics, Springer, vol. 149(1), pages 83-95, April.
    3. Kirsten Martin, 2016. "Understanding Privacy Online: Development of a Social Contract Approach to Privacy," Journal of Business Ethics, Springer, vol. 137(3), pages 551-569, September.
    4. Frances Chua & Asheq Rahman, 2011. "Institutional Pressures and Ethical Reckoning by Business Corporations," Journal of Business Ethics, Springer, vol. 98(2), pages 307-329, January.
    5. Rachel LoMonaco-Benzing & Jung Ha-Brookshire, 2016. "Sustainability as Social Contract: Textile and Apparel Professionals’ Value Conflicts within the Corporate Moral Responsibility Spectrum," Sustainability, MDPI, vol. 8(12), pages 1-19, December.
    6. Dirk Gilbert & Michael Behnam, 2009. "Advancing Integrative Social Contracts Theory: A Habermasian Perspective," Journal of Business Ethics, Springer, vol. 89(2), pages 215-234, October.
    7. Welter, Friederike & Smallbone, David, 2015. "Creative forces for entrepreneurship: The role of institutional change agents," Working Papers 01/15, Institut für Mittelstandsforschung (IfM) Bonn.
    8. Ben Wempe, 2009. "Extant Social Contracts and the Question of Business Ethics," Journal of Business Ethics, Springer, vol. 88(4), pages 741-750, October.
    9. Ryan Burg, 2009. "Deliberative Business Ethics," Journal of Business Ethics, Springer, vol. 88(4), pages 665-683, October.
    10. Kirsten Martin, 2012. "Diminished or Just Different? A Factorial Vignette Study of Privacy as a Social Contract," Journal of Business Ethics, Springer, vol. 111(4), pages 519-539, December.
    11. Livia Levine, 2019. "Digital Trust and Cooperation with an Integrative Digital Social Contract," Journal of Business Ethics, Springer, vol. 160(2), pages 393-407, December.
    12. Ugo Pagallo & Massimo Durante, 2009. "Three Roads to P2P Systems and Their Impact on Business Practices and Ethics," Journal of Business Ethics, Springer, vol. 90(4), pages 551-564, December.
    13. Tolga Ulusemre & Xin Fang, 2022. "How do Expatriate Managers Draw the Boundaries of Moral Free Space in the Case of Guanxi?," Journal of Business Ethics, Springer, vol. 176(2), pages 311-324, March.
    14. Paul Neiman, 2013. "A Social Contract for International Business Ethics," Journal of Business Ethics, Springer, vol. 114(1), pages 75-90, April.
    15. Federico Ast, 2019. "The Deliberative Test, a New Procedural Method for Ethical Decision Making in Integrative Social Contracts Theory," Journal of Business Ethics, Springer, vol. 155(1), pages 207-221, March.
    16. Ben Wempe, 2008. "Four Design Criteria for any Future Contractarian Theory of Business Ethics," Journal of Business Ethics, Springer, vol. 81(3), pages 697-714, September.
    17. Katherina Glac & Tae Kim, 2009. "The “I” in ISCT: Normative and Empirical Facets of Integration," Journal of Business Ethics, Springer, vol. 88(4), pages 693-705, October.
    18. Jeffrey S. Harrison & Joyce van der Laan Smith, 2015. "Responsible Accounting for Stakeholders," Journal of Management Studies, Wiley Blackwell, vol. 52(7), pages 935-960, November.

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