Business Ethics Journal Review

Jeremy Davis offered critical comments on our article that argued some boycotts are pro tanto morally wrong. We argued against organized boycotts over expressive acts where the actor is attempting to engage in the market place of ideas. Davis offered two versions of a direct objection to our position – one that boycotts are not attempts to silence and one that boycotts do not cause a chilling effect – and one objection based on reframing the goals of boycotts. In this Response, we argue that Davis’s direct objections are unsound and his reframing objection is consistent with our initial position.

In this Response to Hasko von Kriegstein, I defend several claims, including that the publicly-traded corporation and its assets are unowned; that managers may stand in fiduciary relations to shareholders that do not require managers to maximize shareholder wealth; and that the rights of a shareholder and of the owner of a privately-held corporation may differ fundamentally.

Johnson (2017) conceptualizes the social responsibilities of digital media platforms by describing two ethical approaches: one emphasizing the discursive freedom of platform-users, the other emphasizing protecting users from harmful posts. These competing concerns are on full display in the current debate over platforms’ obligations during the COVID-19 pandemic. While Johnson argues both approaches are grounded in democracy, we argue that democratic commitments transcend the freedom/harm dichotomy. Instead, a commitment to democracy points toward social media companies’ responsibilities to structure their platforms in ways that facilitate perspectival diversity and collective deliberation.

Mensch and Barge in their interpretation of Alasdair MacIntyre’s critique of genealogical ethics as a basis of ethical weakness in the emerging field of “leadership-as-practice,” suggest that L-A-P is lacking in ethical grounding especially because of its relativist philosophy. I address this valid ethical concern in L-A-P theory by arguing that there is a form of realism in Nietzchean axiology and that the dialogic potentialities in material-social interactions may offer a greater capacity for ethical reflexivity than a reliance on rules.

Strudler rejects shareholder primacy and argues that, once contractual obligations have been fulfilled and shareholders have received a reasonable return on investment, corporate executives may use corporate wealth for the general good. He seeks to establish this claim via an argument that, contrary to the received view, shareholders do not own corporations. After raising some questions about the latter argument, this commentary goes on to argue that the question of corporate ownership is a red herring. The argument for shareholder primacy that Strudler wants to reject does not rely on the premise that shareholders own the firm.

Alan Tomhave and Mark Vopat have argued that organized boycotts against the expressive acts of companies and their leaders are pro tanto morally wrong because they constitute an attempt to silence voices in the marketplace of ideas. I argue that such boycotts are not best viewed as attempts to silence, but rather as a morally permissible form of withdrawal of support of certain expressive acts.

Kenneth Silver (2019) criticizes our (Sollars and Tuluca 2018) use of the Capital Asset Pricing Model (CAPM) to determine the return on investment that is deserved by shareholders, and suggests shareholder primacy follows from the principal/agent model, rather than a concern for risk. We argue that Silver has misunderstood CAPM and our use of it, and that, under current law, more is required from articles of incorporation or corporate bylaws for the principal/agent model to apply to corporations.

Joseph Heath states that our paper “misinterpret[s]” and so misrepresents his account. The present Commentary corrects the record. Our paper (Cohen and Peterson 2019) outlined Heath’s account on his own terms; it explained that Heath distances himself from consequentialism. But then we argued that Heath is mistaken and so offered a repaired version of the market failures approach. Our central concern, in the original paper and in this short Commentary, is showing that the economic argument for markets is at the same time ethical, and then being more precise about the ethical consideration that does the work.