TY - UNPB

T1 - Competitive Markets, Corporate Firms, and New Governance

T2 - An Ordonomic Conceptualization

AU - Pies, Ingo

AU - Beckmann, Markus

AU - Hielscher, Stefan

PY - 2009

Y1 - 2009

N2 - The purpose of this article is to develop an ordonomic conceptualization of corporate citizenship and new governance that (a) provides a framework for positively explaining the political participation of companies in new governance processes and (b) does not weaken but instead strengthens the functional role of corporations as economic actors in the market system of value creation. To this end, we develop our ordonomic approach in a critical discussion of Milton Friedman’s stance on the social responsibility of business in three steps. (1) The ordonomic perspective on the economics ethics of competitive markets argues that the social responsibility of business does not lie in maximizing profits but in addressing societal needs through the mutually advantageous creation of value. (2) The ordonomic approach to the business ethics of corporate actors claims that corporate firms can use moral commitments as a factor of production. (3) The ordonomic perspective on the process ethics of new governance holds that companies can act not only as economic actors but also participate as political and moral actors by taking ordo-responsibility in processes of new governance. This role of corporate citizens in the new governance does not weaken but, instead, strengthens the role of business firms as economic agents for value creation.

AB - The purpose of this article is to develop an ordonomic conceptualization of corporate citizenship and new governance that (a) provides a framework for positively explaining the political participation of companies in new governance processes and (b) does not weaken but instead strengthens the functional role of corporations as economic actors in the market system of value creation. To this end, we develop our ordonomic approach in a critical discussion of Milton Friedman’s stance on the social responsibility of business in three steps. (1) The ordonomic perspective on the economics ethics of competitive markets argues that the social responsibility of business does not lie in maximizing profits but in addressing societal needs through the mutually advantageous creation of value. (2) The ordonomic approach to the business ethics of corporate actors claims that corporate firms can use moral commitments as a factor of production. (3) The ordonomic perspective on the process ethics of new governance holds that companies can act not only as economic actors but also participate as political and moral actors by taking ordo-responsibility in processes of new governance. This role of corporate citizens in the new governance does not weaken but, instead, strengthens the role of business firms as economic agents for value creation.

KW - Sustainability sciences, Management & Economics

KW - New Governance

KW - Corporate Citizenship

KW - Value Creation

KW - Economic Ethics

KW - Business Ethics

KW - Process Ethics

KW - Ordonomics

KW - Stakeholder Theory

KW - Sustainability

KW - Aristotle

KW - Milton Friedman

KW - Corporate Social Responsibility

KW - New Governance

KW - Corporate Citizenship

KW - Wertschöpfung

KW - Wirtschaftsethik

KW - Unternehmensethik

KW - Prozessethik

KW - Ordonomik

KW - Stakeholder-Theorie

KW - Nachhaltigkeit

KW - Aristoteles

KW - Milton Friedman

KW - Corporate Social Responsibility

M3 - Working papers

SN - 978-3-86829-194-0

T3 - Diskussionspapiere

BT - Competitive Markets, Corporate Firms, and New Governance

PB - Martin-Luther-Universität Halle-Wittenberg

CY - Halle-Wittenberg

ER -