The Classical Philosophies and their Implication on

Business Principles and Practices

A. Socrates: The Gad-fly at the Marketplace

“the unexamined life is not worth living” – Socrates

Socrates (469 – 399 B.C.E) is one of the few individuals whom one could say has shaped the cultural
and intellectual development of the world that, without him, history would be profoundly different. He
is best known for the Socratic Method of question and answer, his claim that he was ignorant, and his
claim that unexamined life is not worth living, for human beings. He was the inspiration for Plato, the
thinker widely helps to be the founder of the Western philosophical tradition. Plato, in turn, served as
the teacher of Aristotle, thus establishing the famous triad of ancient philosophers: Socrates, Plato and
Aristotle.

1. What can entrepreneurs learn from Socrates?

The Socratic Method is a way of thinking that allows individuals to define their own purpose
for learning and explore this purpose through open-minded questioning of what they hold to be
true.

Entrepreneurs can find value in Socratic Method because they, too, are bombarded by
assumptions based on what others and they themselves believe to be the best plan of action for
pursuing a business idea.

Entrepreneurial Learning or the acquisition of knowledge necessary for creating business

venture is built around the constant questioning and testing of these assumptions theories about
what we hold to be true for validity. These assumptions can range from beliefs about what the
market wants, where opportunities lie, to the effectiveness of a new product feature.

2. Dare to disagree
Socrates insisted on our right to think for ourselves. Too often, he warned, humans sleepwalk
through life, simply going along with the crowd. This is dangerous in questions of morality, and
particularly in corporate governance. When corruption is uncovered, too often people say
“everyone else was doing it”. But our characters are our responsibility. Socrates was prepared to
die rather than go against his conscience.

B. Plato: The Philosopher-King

“Good people do not need laws to tell them to act responsibly, while bad people will find a way
around the laws” – Plato

Plato (427 – 347 B.C.E.) is one of the world’s best-known and most widely read and studied
philosophers. He was the student of Socrates and the teacher of Aristotle, and he wrote in the middle of
the fourth century B.C.E. in ancient Greece. Though influenced primarily by Socrates, to the extent that
Socrates is usually the main character in man Plato’s writings, he was also influenced by Heraclitus,
Parmenides, and the Pythagoreans.

1. The Theory of Forms

The Theory of Forms represents Plato’s attempt to cultivate our capacity for abstract thought.
Philosophy was relatively new in Plato’s day, and it completed with mythology, tragedy, and
epic poetry as the primary means by which people could make sense of their place in the
world. Like philosophy, art and mythology do so by appealing to our emotions and desires.
Philosophy appeals to the intellect. The Theory of Forms differentiates the abstract world of
thought from the world of senses, where art and mythology operate. Plato also argued that
abstract thought is superior to the world of the senses. By investigating the world of Forms,
Plato hopes to attain a greater knowledge.

2. Education for the Health of the State

In both the Republic and the Laws, Plato identifies education as one of the most important
aspects of a healthy state. He lays out detailed education programs that start with exercises
pregnant women should perform to ensure the health of the fetus, and he goes on to explain
not only what children should study but also what values they should be exposed to and what
kinds of art and physical exercise they should engage in. Plato apparently considered most of
his fellow Athenians to be hopelessly corrupt, easily inflamed by hollow rhetoric and
seduced by easy pleasures. One can achieve only so much by arguing with a corrupt soul that
a virtuous life and t seek wisdom. Plato thinks that a child’s education is the last thing that
should be left to chance or parental whim since the young mind is so easily molded.

C. Aristotle: All or Nothing

“happiness is the meaning and the purpose of life, the whole aim and end of human existence.”
– Aristotle

Aristotle (384 – 322 B.C.E.) is a towering figure in ancient Greek philosophy, making contributions to
logic, metaphysics, mathematics, physics, biology, botany, ethics, politics, agriculture, medicine,
dance, and theatre. He was a student of Plato who in turn studied under Socrates. He was more
empirically – minded than Plato or Socrates and is famous for rejecting Plato’s theory of forms.

1. Virtue and Happiness

The word happiness in the Ethics is a translation of the Greek term eudaimonia, which carries
connotations of success and fulfillment. For Aristotle, this happiness is our highest goal.
However, Aristotle does not say that we should aim at happiness, but rather that we do aim at
happiness. His goal in the Ethics is not to tell us that we ought to live happy, successful lives,
but to tell us what this life consists of.

2. Moral Education
A question of high importance in any investigation of ethics is how we can teach people to be
good. Aristotle is quite clear that he does not think virtue can be thought in a classroom or by
 means of argument. His ethics, then, is not designed to make people good, but rather to explain
what is good, why it is good, and how we might set about building societies and institutions that
might inculcate this goodness.
Implications to Business
 “The rational person doesn’t seek money for its own sake. The rational person uses money so
that they can spend their time on good moral works and developing their mind.”
 Aristotle concludes that the role of the leader is to create the environment in which all members
of an organization can realize their own potential. He says that the ethical role of the leader is
not to enhance his or her own power but to create the conditions under which followers can
achieve their potential. He did raise a set of ethical questions that are directly relevant to
corporate leaders who wish to behave in ethical ways.
1. Am I behaving in a virtuous way?
2. How would I want to be treated if I were a member of this organization?
3. What form of social contract would allow all our members to develop their full potential in
order that they may each make their greatest contribution to the good of the whole?
4. To what extent are there real opportunities for all employees to develop their talents and their
potential?
5. To what extent do all employees participate in decisions that affect their work?
6. To what extent do all employees participate in the financial gain resulting from their own
ideas and efforts?

D. Immanuel Kant: Duty-Based Ethics

“Act only according to that maxim by which you can at the same time will that it should become
a universal law.” – Immanuel Kant

Immanuel Kant – is one of the most influential philosophers in the history of Western philosophy. His
contributions to metaphysics, epistemology, ethics, and aesthetics have had a profound impact on
almost every philosophical movement that followed him. He was a German philosopher who advances
the theory of deontology or deontological ethics the theory of duty and obligation.

Deontology proposes that ethical behaviour is simply doing God’s will. Since most of us believe that is
good, then goodwill and loving other human beings as God loves us is the universal principle on which
all moral behaviour must be based,

The Categorical Imperative – Along with the concept of goodwill goes a concept of duty to keep one’s
promises which are known as Kant’s categorical imperative an absolute and universally binding moral
law. Kant believes in always telling the truth because if we cannot believe what others will tell us, then
agreements and even conversations with people are not possible.

Kant believes that categorical imperative is the basis to determine whether one’s action is deemed to be
ethically correct. There are three maxims:
The first maxim: an action can only be considered as ethically correct if it can be accepted or made into
universal law.
The second maxim: that a person should be treated as an end and not the means to achieve an end.
The third maxim: everyone should as a member of an ideal kingdom where he or she is both the ruler
and subject at the same time.

E. Jeremy Bentham and John Stuart Mill:Utilitarianism

“the end justifies the means” – Niccolo Machiavelli
“The said truth is that it is the greatest happiness of the greatest number that is the measure of
right and wrong” – Jeremy Bentham
“A person may cause evil to other not only by his actions but his inaction, and in either case, he
is justly accountable to them for the injury.” – John Stuart Mill

Jeremy Bentham (1748 – 1832) was an English philosopher and political radical. He is primarily
known today for his moral philosophy, especially his principle of utilitarianism, which evaluates
actions based upon their consequences. The relevant consequences, in particular, are the overall
happiness created for everyone affected by the action. He famously held a hedonistic account of both
motivation and value according to which what s=is fundamentally valuable and what ultimately
motivates us is pleasure and pain. Happiness, according to Bentham, is thus a matter of experiencing
pleasure and lack of pain.

John Stuart Mill (1806 – 1873) profoundly influenced the shape of nineteenth – century British thought
and political discourse. His substantial corpus of works includes text in logic, epistemology,
economics, social and philosophy, ethics, metaphysics, religion and current affairs.

Utilitarianism – revolves around the concept of “the end justifies the means.” It is the brainchild of
philosophers John Stuart Mill and Jeremy Bentham. It believes that outcomes as a result of an action
have a greater value compared to the latter. It also states that the most ethical thing to do is to take
advantage of happiness for the good of society.

In utilitarianism, the business principle holds the morally right course of action in any situations is the
one that produces the greatest balance of benefits over harms for everyone affected. So long as a course
of action produces maximum benefits for everyone, utilitarianism does not care whether the benefits
are produced by lies, manipulation, or coercion.

Business responsibility usually defined as the net benefits that accrue to those parties affected by the
choice. Thus, most utilitarians holds the position that business choices must be evaluated by calculating
the net benefits of each available alternative action.

Types of utilitarianism
1. Rule utilitarianism – is put in place to benefit the most people by using the fairest methods
possible.
2. Act utilitarianism – makes the most ethical actions possible for the benefit of the people.
The Impact of Belief Systems in the Business Setting

Religious ethics provides a set of consistent and reasonable statements regarding business. It’s a
different approach that provides new horizons for thinking. Also, in our global world, business means
dealing with people of different religions, and ignoring or misinterpreting religious ethical approaches
can cause serious problems.

A. JUDAISM: Jewish Business Ethics

Jewish business ethics is a form of applied Jewish ethics that examines ethical issues that arise
in business environment. It is noted that in the Torah, there are over 100 Mitzvot concerning the
fitness of one’s money than concerning the fitness of food. The subject thus receives an
extensive treatment in Rabbinic literature, both from an ethical and a legal point of view.

The general gravity with which business ethics are treated in Jewish thought is illustrated by the
widely quoted Talmudic tradition that in one’s judgement in the next world the first question
asked is : “were you honest in business?”

Treatment of Workers
Jews are obligated to pay their workers on time, strive to pay their workers a living wage, and
“to treat their workers with dignity and respect.”

Not Wasting time at Work

It is important not to steal company time. Employees should avoid spending too much time
online (e.g. Facebook) or another diversion when at their job.

B. CHRISTIANITY: Crucial Principles

1. The Golden Rule – Christianity offers the Golden Rule command, “Therefore all things
whatsoever ye would that men should do to you, do ye even so to them: for this is the law
and the prophets.”
2. Stewardship – Christian businessman and women are called by God to conduct their business
according to a scared standard that transcends traditional business ethics. After God created
the earth and everything in it, God appointed mankind to be stewards of the earth. As
Christian business professionals, the Lord has entrusted us with his resources, both physical
and financial, to manage them with care and skill. We honor the Lord in our business by
observing and following his principles.
3. Trust – The Lord desires for us to trust him everything. That doesn’t mean we trust him only
in our personal lives. It includes our professional lives as well. To the Lord, there is no
distinction between the two. Christian business professionals depend on the Lord’s
leadership for their business. We actively pursue God’s blessing upon our work by praying
and trusting him to provide strategic direction, resources, and earnings,
 4. Justice – The Lord delights in justice. Therefore, we must conduct business fairly. We must
not cheat our employees. Instead, we pay them fair wages and ensure that their work
conditions are appropriate. Not only is fair treatment a Biblical principle, it is likely to
improve business as employees will tend to work more productively and happily.

In the same way that we treat our employees fairly, we do the same with our clients. Instead
of cutting corners on service and prices, we provide exactly what we promise and we charge
what is fair. We only engage in endeavors that are pleasing and acceptable to the Lord, and
we refrain from those that may be profitable but involve sin.
5. Diligence – The Lord expects us to productively use whatever knowledge and resources he
has given to us, no matter how great or small. Idleness and laziness have no place in the life
of a Christian business professional. Instead, God instructs that hard work is essential in
conducting business profitably.
6. Generosity – The Lord is generous, especially towards the underprivileged. Christian
business professionals go beyond worldly expectations of generosity to help the least of
society. We do things such as hire refuges of ex-convicts, open stores in unsafe city
neighborhoods to reach people with the gospel, and donate large earnings to charitable
organizations instead of reinvesting it in our own organization.

C. ISLAM: Ethics from the Qur’an

1. Business Ethics for Islam
The Prophet Muhammad emphasize that honesty and kind dealings with customers are the
secrets of success in business. The Prophet gave many teachings on business and economic
issues, he covered almost every aspect of business and economics. Here are only a few major
principles of fair business dealings according to Islam:
 No fraud or deceit, the Prophet is reported to have said. “When a sale is held, say,
There is no cheating”
 Sellers must avoid making too many oaths when selling merchandise. The Prophet is
reported to have said, “Be careful of excessive oaths in a sale, though it finds markets,
it reduces abundance.”
 Mutual consent is necessary. The prophet is reported to have said, “The sale is
complete when the two parties involved departing with mutual consent.”
 Be strict regarding weights and measures. The prophet is reported to have said,
“When people cheat in weights and measures, their provision is cut off from them.”
He told the owners of measures and weights, “You have been entrusted with affairs of
which some nations before you were destroyed”
 The Prophet forbade monopolies. “Whoever monopolizes is a sinner.”
 Free enterprise, the price of the commodities should not be fixed unless there is a
situation of crisis or extreme necessity.
 Hoarding merchandise to increase the prices is forbidden.

2. Honesty – Islam requires its adherents to be honest in their dealings with Muslims and
Muslims alike. Indeed, honesty is one of the most important moral principles which testifies
to a Muslim’s devoutness.
 The Prophet considers betraying the trust one of the signs of hypocrisy: “the signs of the
hypocrite are three: when he speaks, he lies when he promises he breaks his promise and
when he is entrusted he betrays the trust.”

3. Truthfulness
The Prophet said, “The seller and the buyer have the right to keep or return good as long as
they have not parted; and if both parties speak the truth and describe the defects and qualities
of the goods, their transaction will be deprived of all blessings.”
He also said, “Be truthful, for truthfulness leads to righteousness, and righteousness leads to
Paradise. A man keeps on telling the truth until he becomes known as a truthful person.”

4. Proficiency
A Muslim, no matter what his occupation may be, must carry out duties with efficiency and
to the best of his ability, making efficiency his guiding principle in all his endeavors.

D. HINDUISM: Non – violence

It is estimated that 950 million of people practice Hinduism, mainly in India.

Hinduism is the third religion in the world by a number of believers, behind Islam and
Christianity.

Ethical Principles of Hinduism: ahimsa (Non – violence), detachment (abandonment of the fruits
of the action), Truthfulness, Not to steal, Self – control, discipline, appropriate words and
thoughts, and motivation to achieve the goal.

Karma (action) is one of the salient features of Hinduism and the teaching of Gita, thus, a person
has the right to do his karma but not to think of its fruits.

The Tata Group with 80 companies operating in the sectors of Services, Materials, Engineering,
Energy, Consumer Products, Chemicals, Communication and Information Systems, it is the
most respected business house in India.

Having created institutes of excellence both in the Indian industry and the social world, this
group symbolizes the true essence of Indian ethics. To begin with, 63% of the capital of parent
firm, Tata Sons Limited, is held by Tata (Philanthropic) Trusts, which has education and
research centers, and scientific and cultural establishments. The five core Tata values that
underpin the way they describe their business processes include:

Integrity: To conduct business fairly, with honesty and transparency such that everything done
stands the test of public scrutiny.

Understanding: To be caring, show respect, compassion, and humanity for colleagues and
customers around the world and always work for the benefit of India.
 Excellence: To constantly strive to achieve the highest possible standards in their da-to-day
work and in the quality of goods and services they provide.

Unity: To work cohesively with colleagues across the group and with customers and partners
around the world, building strong relationships based on tolerance, understanding, and mutual
cooperation.

Responsibility: To continue to be responsible, sensitive to the countries, communities, and

environments in which they work, always ensuring that what comes from the people goes back
to the people many times over.

E. BUDDHISM: Maxims for Business

Buddhism is an ancient philosophical system that follows the teachings of the Buddha.

1. Work Hard, No Excuses

“Too cold, too hot, too late” can always be the excuses to those who do not want to work.
They let their chance pass by.

This short aphorism is a reminder of two things: 1) opportunity favors the hard worker, and
2) those with a lacklustre work ethic are always going to find an excuse. Whether you have a
stellar commitment to productivity, or you’re just looking for a reminder that your hard work
matters personally, this is a good maxim to remember. If you have a good work ethic and a
great attitude, very little will stand in your way. And if you’re the type who always has an
excuse, you can bet the opportunities will pass you by.

2. Work Hard but Rest Well

“None can live without a toil” and a craft that provides your needs is a blessing indeed. But
if you toil without rest, fatigue and weariness will overtake you, and you will be denied of
the joy that comes from labor’s end.

This maxim, from the Dhammavadaka, is perfect for those in business, and a good reminder
you can send to your favourite workaholic. It is true that life would not be so full without
work, and it’s always nice to read an ancient passage reminding you to be grateful for your
work and to get sufficient rest. One of the values of practicing Buddhism is a focus on
centering and balance, and this passage tells you that it’s OK to enjoy the fruits of your
labor.

3. Be Mindful
“You will always be getting praise and blame, but do not let either affect the poise of the
mind: follow the calmness, the absence of pride.”

The Buddhist practice of mindfulness can be a key to good business, reducing supply costs
and increasing your potential to work with compassion. This saying, from the Sutta Nipata,
 instructs the mind and heart to be balanced, objective and mindful of the fog of pride.
Remember to be calm, and not to obsess too much about positive or negative feedback. If
you do a job long enough, you are bound to have great moments of achievements, as well as
great moments of failure.

4. Follow the Eightfold Path

The Eightfold Path is the fourth of Buddha’s Four Noble Truths and a key component of
behavioural practices that are crucial to Buddhist life. While you may not be looking for a
new faith system, these eight signposts could prove helpful for your business dealings.
 Prajña Ditthi – seeing reality unfiltered, and as it actually exists.
 Prajña Sankappa – the purifying wisdom and intention of harmlessness
 Sila Vaca – saying the truth, practicing non – harm in your speech patterns
 Sila Kammata – non-harmful action (this applies to self and others)
 Sila Ajiva – commitment to a non-harming life
 Samadhi Vayama – seeking the mindful discipline to improve oneself constantly and
over time
 Samadhi Sati – awareness of reality and freedom from temptations, cravings, and
distractions
 Samadhi Samadhi – proper concentration and meditation

5. Discover your World

“Your work is to discover your world and then with all your heart give yourself to it.” This is
an attributed quote from the Buddha, who like Jesus and Socrates never wrote anything
down. When you’re in business, it’s always nice to know that your work, which can be such
a big part of your own world really matters to the outside world. Take a deep breath and
remember for a moment that every action you take, in business and in life, is part of larger
journey of self – discovery. These words from the Buddha can be exhilarating and helpful to
reinvigorate the waning worker, as well as an indication that what you choose to put your
entire self into really does matter.

6. Serve Others
“The most valuable service is one rendered to our fellow humans,” This adage tells you that
your work is valuable only in as much as it helps other people.

Taking a relevant and honourable approach to your work, and finding out precisely how it
produces value to yourself and to the marketplace, but primarily to other individuals is an
important step on the way to performing your work with mindfulness.

7. Be at Present
“Do not dwell in the past, do not dream of the future, concentrate the mind on the present
moment” Living in the present is of utmost importance, and it can definitely help you in your
work. These days happen to everyone, and with a deep breathe and a mindful moment, you
can incorporate this saying from the Buddha into your work day and gladly turn to
concentrate on the moment.
 8. Embrace Change
“You can only lose what you cling to.” Change is everywhere constant, eternal. The Buddha
wishes to communicate here that nothing is permanent, and that adaptation and flexible
fluidity are paramount to happiness and avoiding disappointment and suffering.

Concentrating on detachment from dogmas, old rules, and other tired modes of thought and
action will help keep your business and your work product strong, as it is generally positive
to embrace the change that you cannot otherwise escape. Roll with it. Go with the flow.
Keep calm and carry on.

9. Take one step at a time

“A jug fills drop by drop.” This classic saying from the Buddha means that things happen
step by step, and that methodological piecemeal work is often superior to big splashes. When
you concentrate on the small things, the big things fall into place and this is often true for the
business world. Take heart, workers, and know that your small efforts can amount to great
success.

F. CONFUCIANISM: The Golden Rule

“Do not impose on others what you do not wish for yourself.”

Confucius was fifth century BCE Chinese thinker whose influence upon East Asian intellectual
and social history is immeasurable.

Confucian ethics are described as humanistic. This ethical philosophy can be practiced by all the
members of a society. Confucian ethics is characterized by the promotion of virtues,
encompassed by the Five constants:

The Five constants are:

1. Ren – benevolence, humaneness
2. Yi – righteousness or justice
3. Li – proper rite
4. Zhi – knowledge
5. Xin – integrity

The other virtues are:

1. Zhong – loyalty
2. Xiao – filial piety
3. Jie – continency
4. Cheng – honesty
5. Shu – kindness, and forgiveness
6. Lian – honesty, and cleanness
7. Chi – shame, judge, and sense of right and wrong
 8. Yong – bravery
9. Wen – kind and gentle
10. Liang – good, kindhearted
11. Gong- respectful, reverent
12. Jian – frugal
13. Rang – modestly, self – effacing

Confuciansim, the most profound and dynamic thought system in traditional Chinese culture, has for
centuries exerted great influences on China’s economy, politics, and culture. It is not surprising, then,
that traditional Chinese business culture was deeply associated with Confucianism.

1. Humanness
Ren is the Confucian virtue denoting the good feeling a virtuous human experiences when being
altruistic. It is considered the essence of the human being endowed by Heaven at the same time
the means by which man can act according to the principle of Heaven and become one with it.

The ethical principles could provide a set of useful rules and guidelines for the business
activities. The central doctrine of Confucianism, Ren, which means goodness, benevolence,
humanity, and kind – heartedness, occupied a prominent role in balancing ethics with the pursuit
of profits.

2. Rite and Right

Li means rite, reason, ratio. It also means custom, mores, rules, propriety, and ceremonies.

Li exerted great influences on business activities. It was helpful in setting ethical principles that
guide interpersonal relationship in a hierarchical society.

Li was helpful in keeping the paternal feudal system alive and was also important in directing
people to behave ethically and politely. It has played and indispensable role even in modern
business activities where quality services and politeness to customers are priorities.

3. Integrity
In addition to Ren and Li, Xin another virtue meaning integrity, honesty, and trustworthiness,
was also important in directing business activities. Only when ethical integrity was highlighted
could justice be practiced and harmony is achieved in the business community.
The idea that honesty and trustworthiness could lead to a harmonious and benign society found
lots of followers among overseas Chinese business people.

4. Loyalty
Confucius himself did not propose that “might makes right” but rather that a s superior should
be obeyed because of his moral rectitude. In addition, loyalty does not mean subservience to
authority. This is because reciprocity is demanded from the superior as well. As Confucius
 stated “a prince should employ his minister according to the rules of propriety; ministers should
serve their prince with faithfulness”

5. Filial piety
In Confucian philosophy, filial piety is a virtue of respect for one’s parents and ancestors. Filial
piety is central to Confucian role ethics.

6. Respect
The Chinese business mentality is very much one of “You scratch my back, I’ll scratch yours”.
In essence, this translates to exchanging favors, which is expected to be done regularly and
voluntarily. What underpins this ideology is the concept of respect within a business context.
Respect between all with whom you conduct business with should be something we imitate from
the Chinese business culture, as Confucius said; without feelings of respect, what is there to
distinguish men from beasts?

G. TAOISM: Action without Action

Taoism or Daoism is a spiritual, philosophical, and religious tradition of Chinese origin that
emphasizes living in harmony with the Tao. The term Tao means “way,” “path” or “principle”,
nd can also be found in Chinese philosophies and religions other than Taoism.

1. The “Way”
In Taoism, it is “the One, which is natural, spontaneous, eternal, nameless and indescribable.
It is at one the beginning of all things and him way in which all things pursue their course.”
It has variously been denoted as the “flow of the universe,” a “conceptually necessary
ontological ground,” or a demonstration of nature. The Tao also is something that individuals
can find immanent in themselves.

2. Good Behavior
Taoist believe such good behaviour is an essential part not only of self – improvement but
for improving the world as a whole.
a. Cultivate the Tao within oneself, and one’s virtue will be perfected.
b. Cultivate it within the household, and one’s virtue will be abundant.
c. Cultivate it within the neighborhood, and one’s virtue will be enduring.
d. Cultivate it within the nation, and one’s virtue will be overflowing.
e. Cultivate it within the entire world, and one’s virtue will be universal.

3. Leadership by Example
Taoist texts suggest that the ideal way for a leader to run their country is by example and
with minimal intervention:
a. I take no action and the people are of themselves transformed.
b. I love tranquillity and the people are of themselves rectified.
c. I do not engage in affairs and the people of themselves become rich.
d. I have no desires and the people of themselves become simple.
So a good leader is one that the people respect and whose instructions are willingly followed. The good
leader achieves this by living virtuously in private and living publicly so as to influence his people for
the good.

H. SHINTOISM: The Way of the Gods

Shinto (way of the gods) also called kami-no-michi is an ethnic religion of the people of Japan.
The word Shinto comes from “shin” meaning “spirit” and “to” meaning “a philosophical path or
study”. Shin or kami refers to the divinity, or sacred essence, that manifests in multiple forms;
rocks, trees, rivers, animals, places, and even people can be said to possess the nature of kami.

Everything has a Soul

The Japanese religions Confucianism, Shintoism, and Buddhism are transcendental in nature.
This means that each believes that every single thing, including people, has its own soul or spirit
or numen as the Japanese call it. Work is understood to be a self – expression of the great life
force, and Japanese people unconsciously and sometimes consciously, try to unify themselves
with the great life force by concentrating on their own work.

Superiority of Groups
The second aspect of transcendentalism that affects Japanese working practices, and therefore
ethics, is the emphasis on groups. In the group environment, a group is considered to be superior
to its ordinary members mainly because, while the group is expected to be able to connect with
the numen of the universe in a direct way, the members of the group individually are not related
to the force in the same way. The only way for the members to connect with the life force is
through the activities of their group.

Four Circles of Business Relationships

Groups exist on all levels, but in Japan, there four concentric rings that encompass them all.
These rings from inner to outer, are family, fellows, japan, and the world. Japanese people and
organizations are likely to attribute different ethics or moral practices to each circle.

The business also uses the four rings to delineate the nature of their business dealings. The
family circle consists of closely – related business partners, while the fellow circle is made up of
cross – shareholding corporations, steady customers, banks fellow traders and the like. The third
is the Japan circle. In this circle, fellow circle ethics are substantially replaced by the principle of
free competition. Competitors, unrelated corporations, ordinary stockholders and so forth all fall
within this circle. The last circle is all other competitors around the world.

Perception of Work
“Ask most Japanese about what they do and they will answer, “I am a company employee” and
add, “I work for Toshiba.” They give their company’s name. Few people answer with a job title
 such as accountant or salesman. “For Japanese, the company name is more important than the
job title, for Japanese people the community they belong to is much important that what they do.

The Filipino Value System and Its Effects on Business

A. Utang na Loob - or debt of gratitude means that one does not forget the good deed that others
may have done to him or her especially in times of great need. This debt of gratitude is sometimes
abused by those who have done well to other as they may ask favors or things that may either be
unreasonable or beyond the means of the one debt.
B. Filial Piety – is a virtue of respect for one’s parents, elders, and ancestors. Filipinos are taught to
become polite and respectful individuals. This is also due to the influence of Christianity that tells
them to honor both parents and elders. The use of “po and opo” when in conversation with an elder
or someone who is older is a manifestation of how Filipinos respect their elders.
Filial Piety may be good or bad business depending on a lot of considerations, but it is definitely
affects the way business is conducted especially when the business person is confronted with
ethical issues.
C. Padrino – or patronage in the Filipino culture, business, and policies is the value system where one
gains favour, promotion, or political appointment through family affiliation or friendships, as
opposed to one’s merit. The Padrino System in the Philippines has been the source of many
controversies and corruption, both in government and in the business sector. Padrino System is
definitely bad for business especially when the business person is confronted with ethical issues.
The Padrino System cannot be made as a basis for ethical decisions in business.
D. Suki – the word “suki” is a Filipino term which means “loyal customer”. This so –called “market –
exchange partnership” can be developed into an agreement where one can be a regular customer
and supplier. Customer satisfaction is essential to the survival of any business, small – scale or
large – scale; and retailers now that satisfied customers are loyal customers. Consequently, retailers
develop strategies to build relationships that result in customers returning to make more purchases.
By responding to customer needs, business owners endeavour to meet or exceed customer
expectations for their product or service. This increases the likelihood of gaining sukis.

“Suki” may be good or bad for business depending on a lot of considerations, but it definitely
affects the way business is conducted especially when the business person is confronted with
ethical issues.
E. Bahala na – has been loosely translated as “come what may”. Hence, it referred to as the Filipino
version of fatalism that is, leaving everything in the hands of fate.

But “bahala na” actually comes from the word “Bathala na,” which means God. Hence, the
expression “Bathala na,” actually means, “let God take charge of the affairs;” or “I have done my
part, let God take charge of the rest;” or “whatever happens, God has willed it.”

However, others use the “bahala na” concept erroneously to mean the person’s state of helplessness
and resignation of one’s fate. Sometimes it is used to refer to the person’s ignorance or laziness to
do anything at all.
 On the contrary, “bahala na” attitude requires courage from the person to face the challenges or
uncertainties as in business endeavors.

F. Mañana Habit- comes from the Spanish word “Mañana” which literally means “tomorrow” or
“an unspecified future time”. Hence, Mañana hait refers to procrastination or putting off for
tomorrow what can be done today.

Punctuality and tardiness

Related to “Mañana Habit” is the Filipino’s sense of time. Filipino time is minutes or even hours
late of the standard time. In other words, Filipinos tend to be late in meetings, events, etc. this
behaviour has not only caused conflicts in relationships, or missed opportunities but also
discourages others including foreigners from getting involved in supposedly productive activities
as too much time is wasted on waiting. In business, “Mañana Habit” and tardiness are definitely
bad habits and has no place in the workplace.

G. Amor Propio – literally means, “love of self” or self – love. Amor propio refers to a person’s
feeling of self – respect and personal worth or the quality of being worthy of esteem or respect,
sometimes an inflated feeling of pried as superior to others or sometimes even feelings of excessive
pride. Filipinos feel pressured to meet the status quo of the society when it cimes to economic
standing. One indication of this might be a willingness to spend more than what they can afford to
a party rather than be shamed by their economic circumstances.
H. Filipino Family Values
1. Hospitality – refers to friendly and generous reception and entertainment of guests, visitors,
or strangers. This trait is particularly favourable in business, especially in the service sector.
2. Humor, Adapatability, and Creativity – Filipinos sense of joy and humor is evident in
their optimistic approach to life and its travails. The ability to laugh at themselves and their
predicament is an important coping mechanism that contributes to emotional balance and
capacity to survive. These are manifested in the ability to adjust too often difficult
circumstances and prevailing physical and social environments. Filipinos have a high
tolerance for ambiguity that enables them to respond calmly to uncertainty or lack of
information. Filipinos often improvise and productive and innovative use of whatever is
available. These qualities have been repeatedly demonstrated in their capacity to adapt to
living in any part of the world and in their ability to accept change.
3. Resilience, Resourcefulness and the Ability to Survive – as a people who have been
constantly under the rule of numerous powerful countries over time, and as a place that is
constantly plagued by natural calamities, Filipinos have developed a sense of resourcefulness
of the ability to survive with whatever they have, Filipinos have the extraordinary ability to
make something out of basically nothing for the sake of survival. These are particularly good
traits in the business setting.
4. Faith and Religiosity – the Philippines is approximately 92.5% Christian (mostly Roman
Catholic), 5.6% Muslim and 1.9% other religions, including the Taoist – Buddhist religious
beliefs of Chinese and the indigenous animistic beliefs of some peoples in upland areas that
resisted 300 years of Spanish colonial rule.
 This is a reflection of the Filipinos’ strong faith in God as seen in their various practices.
This includes the numerous Church Holidays they observe, the customary (and obligatory)
Sunday Mass, the individual’s basis of their moral standpoints, the influence of the Church
on the minds, actions, and opinions of the majority, importance of the Sacraments, Praying at
almost any possible time of the day, extreme practices during Holy week, etc.
While not a guarantee, being religious is a positive trait that is favourable in business and in
the workplace.

5. Hard Work and Industry – Filipinos are universally regarded as excellent workers who
perform well whether the job involves physical labor and tasks or highly sophisticated
technical functions. This propensity for hard work, which often includes a highly competitive
spirit is driven by the desire for economic security and advancement for oneself and one’s
family.