Corporate Responsibility for Wealth Creation and Human Rights

Description

Georges Enderle proposes a radically new understanding of corporate responsibility in the global and pluralistic context. This book introduces a framework that integrates the ideas of wealth creation and human rights, which is illustrated by multiple corporate examples, and provides a sharp critique of the maximizing shareholder value ideology. By defining the purpose of business enterprises as creating wealth in a comprehensive sense, encompassing natural, economic, human and social capital while respecting human rights, Enderle draws attention to the fundamental importance of public wealth, without which private wealth cannot be created. This framework further identifies the limitations of the market institution and self-regarding motivations by demonstrating that the creation of public wealth requires collective actors and other-regarding motivations. In line with the UN's Guiding Principles on Business and Human Rights, this book provides clear ethical guidance for businesses around the world and a strong voice against human right violations, especially in repressive and authoritarian regimes and populist and discriminatory environments. Cover Reviews Half-title Title page Copyright information Dedication Contents List of Figures, Tables and Boxes Figures Tables Boxes Preface Acknowledgments 1 Introduction and Overview Seven Features of Wealth Creation Human Rights as Public Goods in Wealth Creation Implications for Corporate Responsibility Notes 2 The Context of Globalization, Sustainability and Financialization Globalization Significance for Wealth Creation Significance for Human Rights Sustainability Financialization Notes Part I Wealth Creation: The Purpose of Business and the Economy The Purpose of Business and the Economy 3 Semantics and the Wealth of Nations A Brief Semantic Exploration What Makes a Country Rich? Focusing on the Wealth of Nations Notes 4 Wealth Includes Natural, Economic, Human and Social Capital Wealth Includes Natural, Economic, Human and Social Capital Notes 5 Wealth Is a Combination of Private and Public Wealth Notes 6 Wealth Creation Is about Producing and Distributing Wealth Thomas Piketty: Capital in the Twenty-First Century Joseph Stiglitz: The Price of Inequality Richard Wilkinson and Kate Pickett: The Spirit Level Notes 7 Creating Wealth Involves Material and Spiritual Aspects Illustrations of Wealth Creation with Spiritual Aspects Conceptual Clarifications Notes 8 Creating Sustainable Wealth in Terms of Human Capabilities Critique of Utility-Based and Resource-Based Approaches Essential Elements of the Capability Approach Limitations of the Capability Approach Concluding Remark 9 Creating Means Making Something New and Better Conceptual, Theoretical and Methodological Clarifications Systemic Changes for Ethical Innovations Notes 10 Wealth Creation Needs Self-Regarding and Other-Regarding Motivations Key Role of Motivation in Any Economic Activity Self-Interest Fails to Create Public Wealth Other-Regarding Motivations Are Indispensable for Creating Public Wealth Notes Part II Human Rights as Public Goods in Wealth Creation Introduction 11 All Internationally Recognized Human Rights Are at Stake 12 Human Rights Constitute Minimal Ethical Requirements The Moral Reality of Human Rights Human Rights Also Exist Today as Explicitly Recognized Norms of Popular Morality, Political Practice and Legal Institutions throughout the World Three Types of Obligations to Secure Human Rights Gewirth's Approach to Justifying Human Rights Human Rights Related to Sen's Capability Approach Human Rights as Minimal Ethical Requirements in the Context of Morality and Ethics Notes 13 Cost-Benefit Considerations about Human Rights as Goals, Means and Constraints Multiple Approaches of Cost-Benefit Analysis A General CBA Approach to Human Rights with Limited Additional Requirements Notes 14 Human Rights as Public Goods Why Public Goods and Global Public Goods? Identifying Human Rights as Public Goods Human Rights as Final and Intermediate Goods Need for Collective Actors and Other-Regarding Motivations Notes Part III Implications of Wealth Creation and Human Rights for Corporate Responsibility 15 The Ethics of Business Organizations Is Called Corporate Responsibility Focusing on the Ethics of Business Organizations Responsibility: A Key Concept in Contemporary Ethical Thinking Corporate Responsibility in the UN Framework and Guiding Principles on Business and Human Rights and Some Ethical Explications Introduction Basic Assumptions in the UN Framework for Business and Human Rights Ethical Obligations of Securing Human Rights Subjects of Obligations Types of Obligations Criteria of Assigning Obligations Determining Corporate Responsibility for Human Rights Notes 16 The Moral Status of the Business Organization Significance of Business Organizations as Nonstate Actors A Historic Perspective on Corporate Responsibility What Concepts of Business Organizations Are Compatible with Moral Actors? Necessary Conditions for Moral Agency of Business Organizations Notes 17 Mapping Corporate Responsibilities Corporate Responsibilities for Creating Natural, Economic, Human and Social Capital Corporate Responsibilities for Creating Private and Public Wealth Further Corporate Responsibilities for Creating Wealth in a Comprehensive Sense Corporate Responsibilities for Respecting Human Rights Addressees of Corporate Responsibility Notes 18 Corporate Governance for Wealth Creation and Human Rights A Brief Overview of Different Conceptions of Corporate Governance Contributions to a New Perspective of Corporate Governance Dealing with Trade-offs Notes 19 A Case in Point: Corporate Responsibility for Less Income Inequality Introduction Corporate Responsibility for Less Income Inequality in Business Organizations Corporate Responsibility for Paying at Least Living Wages Corporate Responsibility for Ethically Acceptable Top Incomes Corporate Responsibility for Less Income Inequality in Society Setting a Credible Example and Supporting Initiatives in Society to Reduce Income Inequality Conclusion Notes 20 A Case in Point: How Can Universities Promote Corporate Responsibility in Their Supply Chains? The Experience of the University of Notre Dame Introduction: Setting the Stage The Experience of the University of Notre Dame: In Search of the Right Policy The Enthusiastic Beginning and Its Failed Outcome A Pilot Project on Worker Participation with Verité Expanding the Assessment Process to a Broader Scale Recommendations for Notre Dame's Policy of Promoting Corporate Responsibility in Its Supply Chains of Notre Dame Licensed Products Reflections on and beyond the Notre Dame Experience Suggestions to Other Universities Research Opportunities Conclusion Notes Epilogue Bibliography Index of Names Index of Subjects