Morality and Markets: A Response to Boatright

In his Society for Business Ethics presidential address, “Does business ethics rest on a mistake?” John Boatright argues that we should move away from what he calls the Moral Manager Model of Business Ethics toward a Moral Market Model, in which the focus is not on the individual responsibilities of managers but on the regulation of economic markets to achieve ethical ends. Boatright’s message is a very important one. Market mechanisms and market values increasingly dominate our society, and it is important that business ethicists recognize this and ask how they can contribute to such a society. But this should not mean throwing out or even downplaying the Moral Manager Model. I shall argue here that economic markets are inherently hostile both to regulation and to moral values, and that their beneficence depends critically on the political context of traditional moral values and individual responsibility that the Moral Manager Model supports. Indeed, as we go through a period of commercial and cultural globalization, marked by a combination of rapid economic development and moral uncertainty, the need for moral managers has never been greater.Boatright begins by identifying three problems with the Moral Manager Model of business ethics. First, to the extent that it describes the desired aims of business ethics, he contends that business ethics is fighting a losing battle. The most admired corporate executives today are not “moral managers” at all but hard-headed and ruthless economic actors. Secondly, its application is effectively restricted to the senior managers of large companies: it does not speak to the situation of the majority of managers and working people. Thirdly, he suggests, most people nowadays are primarily economic actors. In business and in our home lives we act and think as market participants, striving to get the best deal.