Ethics and stakeholder management in organizational contexts

Ethics & Stakeholder Management

Businesses and societies should not continue to focus on unlimited growth. The reason for this is that unlimited growth will ultimately reach a point where today's growth compromises the prospects for future growth tomorrow. Businesses and societies should instead focus on sustainable growth. Such growth is not necessarily slower, but is conducted in a more focused, intelligent fashion; unlimited growth implies a certain wanton nature. Sustainable growth allows for growth not only today but in the future as well, so as to meet the needs of future generations.

Environmental problems tend to be a "tragedy of the commons," meaning that the negative impacts are widespread, affecting society as a whole. Thus, responsibility for environmental problems lies with all members of society. Individuals, corporations and governments all must take stewardship of the issue. The concept of the greatest good for the greatest number can be applied to environmental issues. If an economic actor acts strictly in its own interest, it may compromise the environment. if, however, that actor acts with the greatest good for the greatest number in mind, they will be more environmentally responsible. If each person, corporation and government acts in such a manner, the common good will be protected. If not, one actor or group can contribute significant damage to the commons at the expense of the others.