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Examining CEOs’ Moral Reasoning in the Automotive Industry

Author

Listed:
  • Beatriz García-Ortega

    (Department of Management, Universitat Politècnica de València, Camino de Vera s/n, Building 7D, 46022 Valencia, Spain)

  • Blanca de-Miguel-Molina

    (Department of Management, Universitat Politècnica de València, Camino de Vera s/n, Building 7D, 46022 Valencia, Spain)

  • Javier Galán-Cubillo

    (Doctoral Program in Business Management, Universitat Politècnica de València, 46022 Valencia, Spain)

Abstract

This paper examines the moral reasoning trends of CEOs (chief executive officers) in the automotive industry, gauging their relations to ethical behaviors and scandals as well as analyzing the influence of scandals and other factors on their moral reasoning. For such a purpose, we carried out a moral reasoning categorization for the top 15 automotive companies in vehicle production in 2017 by applying Weber’s method to letters written by CEOs for the period 2013–2018. A positive global trend was observed, with some CEOs reaching high levels, although the evolution was uneven without clear patterns and, in the light of facts, not sufficient, at least in the short term. We also found evidence linking the moral reasoning stages with the ethical performance of companies and introduced the concept “tone ‘into’ the top”, reflecting how CEO moral reasoning can be shaped by the company and external factors. This paper stresses the importance of considering the moral tone at the top in relation to company ethical behaviors and the interest of education in business ethics. The outcome is useful for CEOs and other managers seeking to improve corporate social responsibility (CSR) and company ethical performance and to anticipate conflicts as well as to leverage for future research.

Suggested Citation

  • Beatriz García-Ortega & Blanca de-Miguel-Molina & Javier Galán-Cubillo, 2019. "Examining CEOs’ Moral Reasoning in the Automotive Industry," Sustainability, MDPI, vol. 11(21), pages 1-24, October.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:21:p:5972-:d:280760
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    1. Beatriz Garcia-Ortega & Javier Galan-Cubillo & Blanca de-Miguel-Molina, 2022. "CSR and CEO’s Moral Reasoning in the Automotive Industry in the Era of COVID-19," SAGE Open, , vol. 12(2), pages 21582440221, May.

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