An analysis of business ethics in the cultural contexts of different religions

• Published in: Business ethics (Oxford, England) Vol. 29; no. 3; pp. 570 - 586
• Main Authors: Gallego‐Alvarez, Isabel, Rodríguez‐Domínguez, Luis, Martín Vallejo, Javier
• Format: Journal Article
• Language: English
• Published: Oxford Blackwell Publishing Ltd 01-07-2020
• Subjects: Business ethics; Consumers; Corporate strategies; Crime prevention; Cultural differences; Cultural factors; Human rights; Islam; Morality; Panel data; Religion
• ISSN: 0962-8770; 2694-6416; 1467-8608; 2694-6424
• DOI: 10.1111/beer.12277

The aim of our research is to analyze how different religions influence business ethics. We develop an index of practices in the field of business ethics, made up of 19 items containing practices related to workers, consumers, products, human rights, management of ethical conflicts, and crime prevention. Also, we consider a wide range of religion affiliations. To undertake this research, we use a panel data sample composed of 11,956 firm‐year observations from 18 countries. Drawing on stakeholder theory, we posit some hypotheses based on the religions considered. The results obtained show that a higher percentage of religious adherents in the country where a company does business usually involve the implementation of more ethical practices in the corporate field. These findings are obtained for Christian, Islamic, Jewish, and Hindu religions. In contrast, this does not stand for Buddhist and folk religions. Also, countries where there is no predominant religion do not show a confluence between religion and ethical corporate practices.