African Journal of Business Ethics

Our own worst enemies – The chase for global rankings

Dr Ugljesa Radulovic — 2024-12-04

Next year will be the 20th anniversary of the African Journal of Business Ethics. As a journal, our focus is, and always has been, publishing scholarly research about business ethics in Africa. In this regard, unlike many of our so-called ‘international’ counterparts, we will never reject a manuscript which presents findings from some part of Africa with the line: ‘Unfortunately, your results lack global relevance’.

The role of workplace spirituality and spiritual leadership in promoting ethical behaviour in the South African small business environment

Mangaleni Hlatywyao — 2024-12-04

The rise of unethical leadership practices suggests a need to emphasise value-based workplaces and leadership, encompassing workplace spirituality and spiritual leadership. Most previous research focusing on ethical behaviour in the work context has been conducted with larger organisations. This study examines the influence of workplace spirituality and spiritual leadership on ethical behaviour within the small business context. A quantitative survey research design was employed. The final sample consisted of 385 employees of small, medium, and micro enterprises (SMMEs) in various industries in a central district of South Africa. Structural equation modelling was utilised during the data analysis process. The study revealed that workplace spirituality and spiritual leadership had a positive and statistically significant influence on ethical behaviour in SMMEs, and workplace spirituality mediates the relationship between spiritual leadership and ethical behaviour. The study extends on existing literature as this relationship has previously not been investigated in the African small business context. Also, the findings hold practical significance for small businesses struggling with unethical behaviours and leadership. The findings of the study imply that a culture of spirituality in the workplace enhances the impact of spiritual leadership in promoting ethical behaviour in the small business environment.

An empirical study of regulatory compliance in South African banks

Aliksa Olivier — 2024-12-04

Event studies are vital analytical tools used to gauge if unusual investment returns result from events within defined time frames. This article explores events marked by the disclosure of administrative penalties imposed on South African publicly traded financial institutions between 2011 to 2021 due to non-compliance with regulations. Results reveal statistically significant abnormal returns occur in at least 70% of cases, with negative events like fines correlating with negative returns. The findings emphasise the impact of regulatory fines on the performance of listed financial institutions. Banks are advised to monitor and manage conduct risk systematically and carefully.

Pursuing a communitarian ethic for corporate governance to strengthen health promotion: A scoping review

Judith King — 2024-12-04

The magnitude of South Africa’s diet-related non-communicable disease burden calls for scrutiny of sugar-sweetened beverage manufacturers’ business ethics in terms of the commercial determinants of health. We gathered and analysed relevant literature from five electronic databases to determine whether a communitarian ethic can strengthen corporate governance in support of public health. Twenty-nine of 648 results were selected for data extraction and analysis. Six thematic categories were identified: the reciprocal nature of the corporation in society; perspectives on ‘corporate citizenship’; integrative approaches to corporate sustainability; critiques of Corporate Social Responsibility; legal regulation to engender communitarian consciousness; and the social contract perspective. We found that in tackling the human and economic toll of South Africa’s obesogenic environment, a diverse range of theoretical and practical perspectives supports the concept that a communitarian ethic for corporate governance can normalise accountability for population health as a human right.