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Content uploaded by Keith Leavitt
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All content in this area was uploaded by Keith Leavitt on Jul 17, 2014
Content may be subject to copyright.
Automatic Ethics: The Effects of Implicit Assumptions and Contextual
Cues on Moral Behavior
Scott J. Reynolds
University of Washington, Seattle
Keith Leavitt
United States Military Academy, West Point
Katherine A. DeCelles
University of Toronto
We empirically examine the reflexive or automatic aspects of moral decision making. To begin, we
develop and validate a measure of an individual’s implicit assumption regarding the inherent morality of
business. Then, using an in-basket exercise, we demonstrate that an implicit assumption that business is
inherently moral impacts day-to-day business decisions and interacts with contextual cues to shape moral
behavior. Ultimately, we offer evidence supporting a characterization of employees as reflexive inter-
actionists: moral agents whose automatic decision-making processes interact with the environment to
shape their moral behavior.
Keywords: automatic social cognition, moral decision making, moral behavior
Scholars and practitioners alike have argued that moral and
ethical behavior is critical to long-term survival (Donaldson,
2003; George, 2007; Godfrey, 2005).
1
As a result, more and more
research is exploring why employees behave morally and immor-
ally (Trevin˜o, Weaver, & Reynolds, 2006). Research in this area
has traditionally focused on the rational and deliberate aspects of
moral decision making (Jones, 1991; Kohlberg, 1981; Rest, 1986),
but in recent years scholars have paid more attention to the
reflexive, automatic, and intuitive aspects of morality (Haidt,
2001; Reynolds, 2006). As work in this area progresses, one major
hurdle has become apparent. Despite strong theoretical arguments
for the relationship between automatic processes and moral behav-
ior, there is no direct empirical evidence of this relationship.
Furthermore, though many have acknowledged that organizations
can play an important role in shaping automatically driven moral
behavior (e.g., Ashforth & Anand, 2003; Banaji, Bazerman, &
Chugh, 2003; Bandura, 1997; Chugh, 2004; Chugh, Banaji, &
Bazerman, 2005; Sonenshein, 2007), these discussions have been
relatively abstract and inferential in nature. No research has em-
pirically examined how an organization might affect the relation-
ship between an individual’s automatic decision-making process
and the individual’s moral behavior.
The purpose of this research is thus twofold. First, we draw from
literatures on moral decision making and automatic social cogni-
tion to develop a measure of one specific element of an individ-
ual’s automatic processing system: an implicit assumption about
the moral nature of business. Second, we develop a characteriza-
tion of employees as reflexive interactionists, moral agents whose
automatic decision-making processes interact with contextual fac-
tors to influence their moral behavior, and empirically demonstrate
that an implicit assumption about the moral nature of business can
interact with contextual cues to shape moral behavior. Ultimately,
this research extends current research in moral decision making
(Reynolds, 2006; Sonenshein, 2007) and automatic social cogni-
tion (Greenwald, McGhee, & Schwartz, 1998) and generates prac-
tical implications for improving individual behavior in organiza-
tions.
Automatic Social Cognition and Moral
Decision Making
The literature on automatic (or implicit) social cognition is
predicated upon the argument that social judgments are rapidly
constructed from past experience in a process that is automatic and
without conscious deliberation (Bargh & Chartrand, 1999; Bargh,
Gollwitzer, Lee-Chai, Barndollar, & Troetschel, 2001). In this
literature, automatic or implicit cognitive processing is described
as nonconscious processing of information such that “introspec-
tively unidentified (or inaccurately identified) traces of past expe-
rience mediate attributions” made in current exchanges (Green-
wald & Banaji, 1995, p. 15). In other words, individuals approach
even the most novel social situations informed by underlying
experience. This experience is stored in what are referred to as
knowledge structures, schematic mental structures that describe
1
We consider the terms moral and ethical to be synonymous.
Scott J. Reynolds, Michael G. Foster School of Business, University of
Washington, Seattle; Keith Leavitt, Army Center for the Professional
Military Ethic, United States Military Academy, West Point; Katherine A.
DeCelles, Rotman School of Management, University of Toronto, Toronto,
Ontario, Canada.
We thank Greg Bigley, Tara Ceranic, Jennifer Gephart, Tony Green-
wald, Tom Lee, Linda Trevin˜ o, and Gary Weaver for their help in the
development of this research.
Correspondence concerning this article should be addressed to Scott J.
Reynolds, Michael G. Foster School of Business, University of Washing-
ton, Box 353200, Seattle, WA 98028. E-mail: heyscott@u.washington.edu
Journal of Applied Psychology © 2010 American Psychological Association
2010, Vol. 95, No. 4, 752–760 0021-9010/10/$12.00 DOI: 10.1037/a0019411
752
relationships between concepts (Greenwald et al., 1998). The term
implicit association refers generically to any association of this
type. In recent years, scholars have distinguished between different
kinds of implicit associations, including implicit attitudes (e.g.,
Greenwald et al., 1998), implicit stereotypes (Greenwald, Oakes,
& Hoffman, 2003), implicit self-esteem, and implicit self-concept
(Greenwald & Farnham, 2000). Leavitt, Fong, and Greenwald
(2007) recently argued that implicit assumptions are associations
between concepts (e.g., work and prestige). In this view, such
associations represent the degree of mental “closeness” of con-
cepts and constitute an assumption of abstract relatedness. Though
implicit assumptions may be taken for granted by the individual,
they represent the basic unit of understanding that allows for
day-to-day behavior.
Implicit associations are both theoretically and empirically dis-
tinct from explicit attitudes. Explicit attitudes are beliefs and
opinions developed through cognitive deliberation. Individuals are
self-aware of such attitudes and beliefs, which thus can be captured
through self-report measures. In contrast, implicit associations are
mental representations that allow for automatic responses to ex-
perience; they are activated without conscious effort by exposure
to strongly associated stimuli (Bargh, 2006). Given this, implicit
associations are especially sensitive to cultural context and often
reflect culturally pervasive themes (Banaji, 2001).
It is theorized that implicitly associated concepts are frequently
activated by one another and that the consequent accessibility of
these “related” categories informs judgments, intentions, and be-
havior outside of conscious awareness (Greenwald & Banaji,
1995; Greenwald et al., 2002). Indeed, empirical work has repeat-
edly demonstrated that implicit associations, assumed or mea-
sured, can affect behavior (Bargh, 1997; Bargh, Chen, & Burrows,
1996; Dijksterhuis & Bargh, 2001; Kay, Wheeler, Bargh, & Ross,
2004; Uhlmann, Poehlman, & Bargh, 2007). Scholars have argued
that automatically driven behaviors are most apparent in situations
where norms of behavior are relatively ambiguous or poorly struc-
tured (e.g., Greenwald, Uhlmann, Poehlman, & Banaji, 2009).
Given these conditions, we believe, implicit associations are rel-
evant to the study of moral decision making.
Philosophers have theorized about the processes of moral deci-
sion making for centuries (Singer, 1994). With a few important
exceptions (e.g., Hume, 1983/1751), rational thought has taken a
primary and dominant position in this literature (Haidt, 2001).
Scholars have recently drawn from writings in moral philosophy
on moral intuition (e.g., Kant, 1785/1994; Ross, 1930) and bur-
geoning physiological and clinical research in the area (e.g.,
Greene & Haidt, 2002) to suggest that moral decision making is
also impacted, if not dominated, by reflexive or automatic cogni-
tive processes (Haidt, 2001; Reynolds, 2006). Reynolds (2006)
argued that moral intuition is a result of the fact that an individ-
ual’s descriptive knowledge of any given moral situation is inter-
twined with normative assessments of that situation. In terms of
the automatic social cognition literature, these normative valua-
tions would be manifest as implicit associations between concepts
(e.g., bribery) and their normative valence (e.g., immoral).
Whereas there are perhaps innumerable concepts that can inter-
sect with the moral domain, in this research we chose to examine
the individual’s nonconscious normative valuation of business. We
chose business because the concept is very general and common
and is germane to anyone who encounters moral issues at work. As
such, the implications of any findings could be quite generalizable
and could pave a path for similar research on more specific
concepts. In the following section, we consider implicit assump-
tions about the moral nature of business and develop hypotheses
about how such beliefs can shape behavior.
An Implicit Assumption About the Moral
Nature of Business
Business is a generic concept that in colloquial language repre-
sents a conglomeration of objects, people, activities, and institu-
tions. Though individual understandings of business vary in minor
details, at an abstract level everyone holds a general understanding
of what business represents. Furthermore, business is generally
linked to a particular set of norms and principles. As several
management scholars have suggested (Ghoshal & Moran, 1996;
Morrison & Milliken, 2000; Pfeffer, 1997), business is associated
with an economic paradigm that emphasizes competition, fiduciary
responsibilities, maximizing shareholder returns, and other tradi-
tional, economics-minded, capitalistic values and behaviors (e.g.,
Friedman, 1962).
We suggest that beyond holding just a simple description of
what business represents, individuals also hold a normative valu-
ation (make a normative association) of business such that it is
implicitly assumed to be inherently moral or immoral (Reynolds,
2006). As Suchman (1995) argued, morality is an aspect of legit-
imacy. Thus, an implicit assumption that business is inherently
moral would reflect a belief that the predominant economic para-
digm with which business is associated is morally valid and thus
legitimate (Pfeffer, 1981; Pfeffer & Salancik, 1978). So the person
who believes that business is inherently moral (legitimate) would
believe that business should be an exercise in intense competition
emphasizing shareholder obligations, financial performance, and
other traditionally capitalistic practices. In contrast, an implicit
belief that business is immoral would reflect a view that traditional
business norms and practices are perhaps unwarrantedly aggres-
sive and even harmful. As a result, those who hold an implicit
assumption that business is immoral would be more leery of the
traditional, economics-minded, capitalistic business paradigm and
would instead lean toward more collaborative and more people-
oriented views, values, and beliefs (e.g., Freeman, 1984). Thus, we
offer the following:
Hypothesis 1: An implicit assumption that business is moral
will be positively associated with traditional, economics-
minded, capitalistic values and beliefs.
We believe that this implicit assumption will be associated with
definitively moral behaviors (Jones, 1991) in addition to individual
values and beliefs. Empirical evidence of a link between elements
of the traditional, economic paradigm and immoral behavior can
be found in research on deliberate moral decision making. For
example, Kish-Gephart, Harrison, and Trevin˜o’s (2010) meta-
analysis suggests that Machiavellianism, an individual trait that
emphasizes competition and self-advancement, is associated with
immoral behavior. In other research, the traditional, economic
paradigm is often represented as a more realistic and less idealistic
view of the world, and research has demonstrated that realism is
associated with immoral behavior whereas idealism is associated
with moral behavior (O’Fallon & Butterfield, 2005).
753
RESEARCH REPORTS
Though a link between an implicit belief about the moral nature
of business and moral behavior may exist, current theory suggests
that such a link requires a contextual cue in order for the associ-
ation to become salient (Greenwald & Banaji, 1995; Greenwald et
al., 2002). By definition, a contextual cue refers to the message
imbued in a discernible element of the environment (Weick, 1995).
A contextual cue can convey a great deal of information, and the
relevance of any single piece of information to automatically
driven behavior is a function of the extent to which the information
taps into existing associations (Greenwald & Banaji, 1995; Green-
wald et al., 2002). Thus, to the extent that a cue is salient to an
existing implicit association, it can activate the association and
initiate a behavioral response. In this research, we focus on the
extent to which a cue communicates key concepts of the predom-
inant economic and capitalistic paradigm of business (e.g., com-
petition, stockholders) as opposed to concepts that contrast such a
view (e.g., collaboration, nonowner stakeholders). We argue that if
an individual implicitly believes that business is inherently moral
and is provided cues by the context that are consistent with this
implicit assumption, that belief will become salient to the individ-
ual and the individual will engage in behaviors consistent with that
paradigm. Moreover, the cues will strengthen the implicit belief’s
influence upon the associated behaviors. As a result, competitive
tendencies can become ultracompetitive behaviors; a preference
for shareholders can become an overemphasis on shareholders;
and capitalistic tendencies can be taken to more extreme conclu-
sions. In many cases, these points of excess will constitute im-
moral behavior. We expected that those who implicitly assume that
business is immoral and are provided cues consistent with that
implicit association would become increasingly less likely to en-
gage in these kinds of behaviors and would thus be less likely to
act immorally.
Empirical findings support an interactionist view of automatic
moral behavior. A host of research supports the general proposi-
tion that individual behavior is shaped by the interaction between
individuals and their environments (Bandura, 1986; Chatman,
1989; Schneider, 1983), and this view has been repeatedly con-
firmed in the ethics literature (Ford & Richardson, 1994; Trevin˜o
et al., 2006). With regard to specific contextual cues, we fully
expected explicit cues to activate these implicit beliefs, but re-
search has shown that individual business behaviors can also be
influenced by subtle contextual cues such as the placement of a
briefcase in a visible location (Kay et al., 2004). Thus, we char-
acterize employees as reflexive interactionists, moral agents whose
moral behavior is shaped by the interplay between their implicit
assumptions about morality and the contextual cues, both explicit
and subtle, that pertain to moral behavior they receive.
Hypothesis 2: Implicit assumptions will interact with contex-
tual cues to shape moral behavior such that an implicit as-
sumption that business is moral and a competitive cue will
result in the most immoral behavior in business-related tasks.
Study 1
We designed Study 1 to achieve two purposes. First, we sought
empirical evidence of the validity of an Implicit Association Test
(IAT) that measures individual implicit assumptions about the
morality of business. Second, we intended to test Hypothesis 1.
Method
Sample and procedure. Participants were intentionally
drawn from two demographically distinct pools. The first pool was
an undergraduate environmental business strategy class at a large
midwestern university. The second was an online forum on moun-
tain biking. Thirty-five students and 24 forum members completed
the instrument. Forum membership can vary on a daily basis, but
we estimate that this represents approximately a 40% response
rate. As expected, the groups were statistically different in terms of
age, F(1, 57) ⫽147.55, p⫽.00, Cohen’s d⫽2.89; full-time work
experience, F(1, 57) ⫽294.46, p⫽.00, Cohen’s d⫽4.29; and
political party affiliation, F(1, 57) ⫽14.01, p⫽.00, Cohen’s d⫽
0.94. In the combined sample, 53% were female and 88% were
Caucasian; 61% were under 25 and 3% were over 55. At least 66%
reported 1 year or more of full-time work experience.
Measures.
Independent variable. An implicit assumption about the
moral nature of business was measured with a web-based version
of Greenwald and colleagues’ IAT method (Greenwald et al.,
1998, 2002). The IAT is a computer exercise built upon an obser-
vation that tasks requiring responses to incompatible or unassoci-
ated categories require slightly more time than identical tasks
requiring responses to compatible or associated categories. For a
full discussion and meta-analysis of the IAT, please see Greenwald
et al. (2009).
In this IAT, the primary concept categories were business and
sports, and the secondary concept categories were ethical and
unethical. As per the developed IAT methodology, the control
category sports was used as an arithmetic control parceling out
participants’ tendency to associate a similarly familiar category
with ethical versus unethical behavior (Greenwald et al., 1998).
Sports was chosen as the control category for two reasons. First,
the features of sports are highly analogous to those of business
(e.g., supervisors are similar to coaches). Second, sports and busi-
ness share ideals about fair play and competition, and recent media
exposure has made moral conduct salient in both domains.
Twenty-four conceptually comparable terms were generated for
categorization, six for each category (see Table 1).
To score the measure, we used the Greenwald improved D
algorithm (see Greenwald, Nosek, and Banaji, 2003, for a com-
plete description), which produces a standardized difference score.
A score of zero suggests no relative difference between the
strength of association between the concepts of business and
ethical and business and unethical. Positive scores suggest a stron-
ger association between business and ethical, and negative scores
suggest a stronger association between business and unethical. The
algorithm accounts for time necessary to recover from errors and
removes trials on which participant response is faster than 300 ms
or slower than 3,000 ms. In this sample, a normal distribution with
variance between subjects (M⫽⫺.02, SD ⫽.41, range ⫽⫺.73 to
.97) indicated an individual difference in implicit cognitive struc-
tures (Greenwald et al., 1998). We also computed three sub-D
scores for each participant using one third of the trials (Greenwald
& Farnham, 2000). Results (␣⫽.77) indicated that participants
responded consistently throughout the task, and thus we consid-
ered the measure to be internally reliable.
To provide evidence of the IAT measure’s construct validity, we
gathered three direct measures. First, we asked participants
754 RESEARCH REPORTS
“Which response best describes your ‘gut reaction’ to the word
‘business’?” (1 ⫽very good, 5⫽very bad;M⫽2.78, SD ⫽0.89).
The implicit belief was correlated as expected with this response
(r⫽⫺.26, p⬍.05). Second, we asked, “Which statement best
captures what you believe?” (1 ⫽cheating is more prevalent in
sports than in business, 5⫽cheating is more prevalent in business
than in sports;M⫽3.53, SD ⫽0.70). As expected, the implicit
belief was negatively correlated with this response (r⫽⫺.27, p⫽
.04). Third, we asked, “Which statement best captures what you
believe?” (1 ⫽business is much more ethical than sports, 5⫽
sports is much more ethical than business;M⫽3.58, SD ⫽0.91).
As expected, the implicit belief was negatively correlated with this
response (r⫽⫺.44, p⫽.00).
Dependent variables. We utilized two measures of traditional,
economics-minded, capitalistic values and beliefs. First, using an
approach developed by Reynolds, Schultz, and Hekman (2006),
we asked participants, “In general, how much consideration do you
think managers should give the following six (6) groups?” We
listed six major stakeholder groups (e.g., customers, employees)
and asked participants to distribute 100 points among the groups.
Traditional, economics-minded, capitalistic values and beliefs
were measured as the amount of points distributed to the share-
holders/owners.
Second, we employed Mehrabian’s (1996) 20-item measure of
libertarianism. The items (e.g., “We need a stronger government to
create a better society,” “Our society can improve only with more
government controls over individuals and businesses”; 1 ⫽
strongly disagree, 7⫽strongly agree) assess the extent to which
an individual values personal freedom and the principles of a free
market. We associated more libertarian views with traditional,
economics-minded, capitalistic values and beliefs. The measure
demonstrated high reliability (␣⫽.93).
Results
Means, standard deviations, and a correlation matrix of the
variables are presented in Table 2. Hypothesis 1 held that the
implicit assumption would be positively associated with tradi-
tional, economics-minded, capitalistic values and beliefs. Results
of linear regression (see Table 3) showed that the implicit assump-
Table 1
IAT Categories and Terms
Categories
a
Business Sports Ethical Unethical
Terms Boardroom Locker room Giving Stealing
CEO Coach Being honest Lying
Customers Fans Helping Hurting others
Corporation Stadium Being fair Cheating
Profits Trophy Following rules Breaking rules
Sales Athlete Considering others Insulting others
Note. IAT ⫽Implicit Association Test.
a
Pairings (random ordering): (a) business/ethical and sports/unethical; (b) business/unethical and sports/ethical.
Table 2
Means, Standard Deviations, and Correlation Matrix of Variables in Study 1
Variable MSD 1234567891011
1. Implicit assumption
a
⫺0.02 0.41 —
2. Age (categorical) 1.81 1.17 .29
ⴱ
—
3. Gender 0.47 0.50 .10 .27 —
4. Caucasian (dummy) 0.88 0.33 .22 ⫺.01 .14 —
5. Full-time experience
(categorical) 3.15 2.18 .08 .80
ⴱⴱ
.36
ⴱⴱ
.17 —
6. Political affiliation 1.21 0.40 .21 .48
ⴱⴱ
.45
ⴱⴱ
.19 .48
ⴱ
—
7. “Business is bad” 2.78 0.89 ⫺.26
ⴱ
⫺.22 ⫺.19 .09 ⫺.11 ⫺.38
ⴱⴱ
—
8. “Cheating is more
prevalent in business
than in sports” 3.53 0.70 ⫺.27
ⴱ
⫺.40
ⴱⴱ
⫺.23 ⫺.10 ⫺.35
ⴱⴱ
⫺.32
ⴱ
.43
ⴱⴱ
—
9. “Sports is more ethical
than business” 3.58 0.91 ⫺.44
ⴱⴱ
⫺.40
ⴱⴱ
⫺.19 ⫺.11 ⫺.28
ⴱ
⫺.56
ⴱⴱ
.50
ⴱⴱ
.41
ⴱⴱ
—
10. Consideration for
shareholders 17.90 9.79 .28
ⴱ
.10 ⫺.09 ⫺.05 ⫺.02 .14 ⫺.41
ⴱⴱ
⫺.01 ⫺.30
ⴱⴱ
—
11. Libertarianism 4.38 1.04 .30
ⴱ
.46
ⴱⴱ
.50
ⴱⴱ
.08 .52
ⴱⴱ
.60
ⴱⴱ
⫺.42
ⴱⴱ
⫺.43
ⴱⴱ
⫺.44
ⴱⴱ
⫺.01 —
Note. n ⫽59.
a
The Implicit Association Test measure is continuous. Subsequently, “perceptions of sports” would be the inverse of “perceptions of business” and
“immoral” would be the inverse of “moral.”
ⴱ
p⬍.05.
ⴱⴱ
p⬍.01.
755
RESEARCH REPORTS
tion was positively associated with a belief about how much
consideration managers should give shareholders: The more they
implicitly believed in the inherent morality (legitimacy) of the
traditional business model, the more consideration they thought
shareholders/owners should receive. In addition, the implicit as-
sumption was significantly correlated with libertarianism: The
more each participant implicitly believed in the inherent morality
of business, the more libertarian were his or her views. These
results provided evidence in support of Hypothesis 1.
Discussion
Study 1 provided evidence of the validity of the IAT measure
and evidence supporting Hypothesis 1. In Study 2, we sought to
gather additional evidence of the validity of the IAT measure and
to test Hypothesis 2.
Study 2
Method
Sample. Participants were 126 undergraduate students en-
rolled in an introductory management course at a West Coast
university. They ranged in age from 18 to 50 years (M⫽21.65,
SD ⫽3.65); 75 (59.5%) were women (2 missing). Twelve (9.8%)
reported three or more years of work experience, and eight (6.5%)
reported none. The sample was 43% Caucasian and 48% Asian.
Procedure. Participants learned about the experiment through
an online system that coordinated a research requirement in the
course. More than 200 students were enrolled in multiple sections
of the course. Given that five other opportunities were available,
the participation rate (60%) was quite high. In each session,
participants completed the IAT via computer. They then completed
a pen-and-paper in-basket exercise. In the exercise, they were
asked to imagine themselves as a manager in a fictitious company
we created with several tasks to complete (e.g., reassigning sales
personnel, ordering office supplies). Tasks relevant to the hypoth-
esis tests were reading a memo from the president and completing
an insurance claim.
The contextual cue was manipulated in the corporate memo. In
the memo, the company CEO praised the corporate culture. In the
competitive condition, he described it as a culture “that emphasizes
success—we do what it takes to be competitive!” In the noncom-
petitive condition, he described it as a culture “that emphasizes
values—we will always do what is right!” Manipulations were
checked with four items (e.g., “[This company’s] culture empha-
sizes success”) scored on a 7-point agreement scale (1 ⫽strongly
disagree, 7⫽strongly agree). Results indicated that those reading
the competitive cues viewed the culture as more competitive and
success-oriented than the other condition, F(1, 124) ⫽65.68, p⫽
.00, Cohen’s d⫽1.47. Following this exercise, students completed
a survey. All data were provided anonymously.
Measures. Immoral behavior was measured in the insurance
claim exercise. Participants were informed that company product
had been destroyed en route to the marketplace and that they were
responsible for filing the insurance claim. Participants were pro-
vided the cost of the product, the advertised price of the product,
and the going rate of the product on the black market. They were
then instructed to complete the form by indicating the value of the
product for reimbursement. Immoral behavior was measured as a
dichotomous variable. As values at or below the advertised price
were based on legitimate standards defensible in their own right
(cost or price), they were considered to be moral and were scored
as zero. In contrast, values above the advertised price of the
product were based on illegitimate standards (black market) and
were therefore deemed to be immoral. Immoral values were coded
as 1. To confirm this assessment, we submitted these behaviors to
an expert panel consisting of 10 business school professors with an
average of 9.50 years experience conducting research on business
ethics. As expected, the panel rated submitting a claim based on a
value under the fair market value as ethical (1 ⫽very unethical,
7⫽very ethical;M⫽5.00, SD ⫽1.56) and submitting a claim
based on a value over the fair market value as unethical (M⫽1.30,
SD ⫽0.48).
The explicit belief about business was measured with an estab-
lished five-item scale (Weaver, Trevin˜o, & Cochran, 1999). The
items measured the extent to which the participants believed that
Table 3
Linear Regression Results for Study 1
Variable
Consideration given to shareholders Libertarianism
BSE
p
2
95% CI BSE
p
2
95% CI
Constant 20.86
ⴱⴱ
5.45 .00 [9.93, 31.79] 2.50
ⴱⴱ
0.43 .39 [1.63, 3.36]
Sex ⫺3.32 2.84 .03 [⫺9.01, 2.38] 0.52
ⴱ
0.22 .09 [0.07, 0.97]
Caucasian (dummy) ⫺3.56 4.01 .02 [⫺11.61, 4.49] ⫺0.34 0.32 .02 [⫺0.94, 0.30]
Full-time experience ⫺0.30 0.67 .00 [⫺1.65, 1.04] 0.13
ⴱ
0.05 .11 [0.03, 0.24]
Political affiliation 5.11 3.84 .03 [⫺2.59, 12.81] 0.84
ⴱⴱ
0.30 .13 [0.23, 1.44]
Implicit assumption
a
6.76
ⴱ
3.22 .08 [0.30, 13.23] 0.52
ⴱ
0.25 .07 [0.01, 1.03]
R
2
.13 .52
Adjusted R
2
.05 .47
F1.58 11.36
ⴱⴱ
Note. n ⫽59. Including age and full-time experience resulted in collinearity problems (variance inflation factor ⫽3.81), so the variable with the least
variance (age) was removed. CI ⫽confidence interval.
a
The Implicit Association Test measure is continuous. Subsequently, “perceptions of sports” would be the inverse of “perceptions of business” and
“immoral” would be the inverse of “moral.”
ⴱ
p⬍.05.
ⴱⴱ
p⬍.01.
756 RESEARCH REPORTS
five socially oriented concepts (e.g., “seeking the good of society,”
“treating people fairly”) should be important to a firm. The scale
demonstrated acceptable reliability (␣⫽.82).
The implicit assumption was measured with the IAT exercise
described in Study 1. In this case, the mean for the implicit
assumption was positive (.17), which reflected the expected
strength of the traditional business paradigm in a business school
setting.
Though the IAT method has demonstrated high levels of pre-
dictive validity (Greenwald et al., 2009), we sought additional
evidence of the predictive validity of this particular IAT measure.
In an approach developed by Reynolds et al. (2006), participants
were informed that the company had sold a warehouse and had
$100,000 to distribute at their discretion. They were further in-
formed that coworkers had suggested three different outlets for the
money: a stockholder dividend, an employee-managed scholarship
program, and a community youth development program. Prefer-
ence for stockholders over nonowner stakeholders was measured
as the amount of money (ranging from $0 to $100,000) distributed
to the stockholders (M⫽$42,289, SD ⫽$38,374). An implicit
assumption that the traditional, economics-minded capitalistic
model is moral should be manifest in a preference for stockholders
at the expense of stakeholders. Partial correlational analysis dem-
onstrated that after controlling for the effects of the manipulation
and the explicit belief, an implicit assumption that business is
moral was significantly associated with a preference for stockhold-
ers (r⫽.20, p⫽.03). This result provided additional evidence of
the predictive validity of this IAT measure.
Results
Means, standard deviations, and a correlation matrix of the
variables are presented in Table 4. Results of binary logistic
regression are presented in Table 5. As Model 1 reveals, none of
the main effects were significant. This result notwithstanding, the
model was hierarchically well formulated, which allowed for a test
of interaction effects (Jaccard, 2001). Hypothesis 2 held that the
implicit assumption would interact with the contextual cue to
shape immoral behavior such that a belief that business is moral
and a competitive cue would lead to immoral behavior. Results of
Model 2 indicate that the interaction between the implicit assump-
tion and the competitive cue (condition) significantly influenced
the decision to seek reimbursement for more than the advertised
price. The results indicate (see Figure 1) that those who believed
that business is inherently moral and received a competitive cue
were 33 times more likely to file a claim based on an illegitimate
valuation. These results supported Hypothesis 2.
Discussion
Study 2 satisfied two objectives. First, the distribution exercise
provided additional evidence of the predictive validity of the IAT.
Second, the insurance claim exercise provided evidence that the
implicit belief the business is moral can interact with contextual
cues to shape moral behavior, as Hypothesis 2 predicts. We note
that in this exercise neither the explicit measure nor the competi-
tive cue was a significant predictor of moral behavior. In hindsight,
we speculate that these findings are the result of using a dichoto-
mous, less statistically sensitive, dependent variable. Indeed, those
findings make the interaction effect all the more noteworthy.
General Discussion
The research contributes to the literature in at least three ways.
First, the research demonstrates an association between a concept
(business) and its normative valence, thus advancing the notion of
an implicit assumption and opening a door to other similar mea-
sures. Given that a concept can have a moral association, as
Reynolds’ (2006) model of moral decision making suggests, the
empirical possibilities both for concepts with obvious moral di-
mensions (e.g., bribery) and for those with less obvious moral
dimensions (e.g., globalization) would seem to be limitless.
Second, this research demonstrates a relationship between an
implicit assumption about the moral nature of business and moral
behaviors. In particular, these findings provide evidence that im-
plicit assumptions about morality help explain variance in moral
behavior above and beyond that explained by explicit beliefs.
Thus, we provide empirical evidence of the importance of both the
deliberate and the intuitive aspects of decision making (Haidt,
2001; Reynolds, 2006; Schneider & Shiffrin, 1977).
Finally, this research makes a contribution by developing and
empirically assessing the characterization of employees as reflex-
ive interactionists. Though the field has acknowledged the roles of
deliberate reasoning, automatic processes, and context in shaping
moral behavior (Banaji et al., 2003; Caruso, Epley, & Bazerman,
2006; Chugh, 2004; Chugh et al., 2005; Wade-Benzoni, Tenbrun-
sel, & Bazerman, 1996), no studies have empirically examined
how individual behavior might be a product of the interaction
between automatic cognitive processes and environmental factors.
Accordingly, this research makes a contribution by demonstrating
Table 4
Means, Standard Deviations, and Correlation Matrix of Variables in Study 2
Variable MSD123456
1. Claim (dichotomous) 0.17 0.38 —
2. Age 21.65 3.58 ⫺.09 —
3. Gender 0.39 0.48 ⫺.17 ⫺.03 —
4. Contextual cue (condition) 0.58 0.50 ⫺.05 .07 .04 —
5. Explicit belief 5.82 0.86 .07 ⫺.11 ⫺.06 ⫺.07 —
6. Implicit assumption 0.17 0.42 .10 ⫺.05 ⫺.02 ⫺.15 ⫺.00 —
Note. n ⫽126.
757
RESEARCH REPORTS
that implicit assumptions about the moral nature of business in-
teract with cues from the organization environment salient to the
implicit association and thereby shape moral behavior.
Limitations
This research is not without limitations. For example, the IAT
method has been subject to many criticisms (e.g., Arkes & Tetlock,
2004). Though the most common objections have been addressed
at length (Greenwald & Nosek, 2001; Greenwald, Rudman, Nosek,
& Zayas, 2006; Greenwald et al., 2009), we acknowledge continu-
ing concerns with the method. With regard to possible objections
to the IAT we developed, we suggest that the variance found
between individuals, the use of a prevalent control concept (i.e.,
sports), and evidence of construct and predictive validity indicate
that the measure captured a powerful and important implicit asso-
ciation that, though likely shaped by a predominant cultural par-
adigm, still varies greatly across individuals. Future research can
assess our claim.
Additionally, though our research measured this implicit asso-
ciation, we did not consider its origins. Reynolds’ (2006) discus-
sion of ethical prototypes suggests that such assumptions are
formed from years of experience but can nevertheless be altered
through new experiences and personal reflection. Thus, we expect
such factors as educational and functional backgrounds (Hambrick
& Mason, 1984), social networks (Brass, Butterfield, & Skaggs,
1998), and ethics training (Frisque & Kolb, 2008) to be relevant.
Future research can explore these issues in detail.
We also recognize limitations specific to Study 2. First, we have
argued that salience is the key characteristic of contextual cues, but
the cue we utilized was explicit and had a normative tone. Future
research could explore our hypothesis with a more subtle and more
agnostic contextual cue to verify our core argument. Second, we
used a dichotomous dependent variable. A scalar measure of moral
behavior would provide more generalizable results. Third, we note
that whereas Study 2 revealed a relationship between an implicit
belief, a contextual cue, and moral behavior, it did not investigate
the process by which the cue turned or translated that implicit
belief into a behavior. Future research could explore the mechanics
of these automatic processes while controlling for well-
documented moral traits (e.g., relativism, moral attentiveness) and
thereby provide a more thorough treatment of this phenomenon.
Theoretical and Practical Implications
Our research has important theoretical and practical implica-
tions. For example, our findings spark questions about the tension
between organizational responsibility and individual moral agency
(Ashforth & Anand, 2003; Bandura, 1999; Sykes & Matza, 1957).
This research suggests that implicit assumptions can be activated
by the social context to influence immoral behavior independent of
cognitive and deliberate attempts to justify one’s actions. In other
words, perhaps there is less moral agency in moral decisions than
previously considered, and perhaps organizations bear more re-
sponsibility for the actions of their members than is currently
understood. Our research suggests that organizations might take a
proactive approach to influencing employees’ perceptions of busi-
ness as a complex activity filled with moral obstacles. Rather than
displaying confidence that business is a moral venture, leaders
instead might warn employees against possible immoral behavior
within the business context. This might be accomplished in new
employee socialization (Ashforth & Anand, 2003), as well as in
employee training (Frisque & Kolb, 2008). To the extent that
organizations are aware of the contextual cues they propagate,
perhaps there is power to improve moral behavior within their
boundaries.
Last, we acknowledge that for some these findings might pro-
vide an excuse or a justification for immoral actions. For example,
Non-competitive cue
Probability
of acting
immorally
Business is
immoral
1.0
Business is
moral
Competitive cue
Figure 1. The interaction of implicit assumption and contextual cue on
immoral behavior.
Table 5
Binary Logistic Regression Results for the Hierarchically Well-Formulated Model in Study 2
Variable
Model 1 Model 2
BSEExp(B)BSEExp(B)
Constant ⫺2.95 1.84 0.05 ⫺8.04
ⴱ
4.11 0.00
Contextual cue (condition) ⫺0.12 0.49 0.89 7.40 4.75 1629.10
Explicit belief 0.22 0.30 1.24 1.12 0.66 3.06
Implicit assumption 0.68 0.59 1.97 ⫺1.95 5.77 0.14
Contextual Cue ⫻Explicit Belief ⫺1.40 0.79 0.25
Contextual Cue ⫻Implicit Assumption 3.50
ⴱⴱ
1.35 33.11
Explicit Belief ⫻Implicit Assumption 0.14 0.91 1.14
⫺2 log likelihood 99.65
Note. n ⫽126. Unstandardized regression coefficients are shown. Dependent variable equals claim amount.
ⴱ
p⬍.05.
ⴱⴱ
p⬍.01.
758 RESEARCH REPORTS
recent theoretical work suggests that certain occupations are reg-
ularly associated with implicit beliefs that can “morally seduce”
employees to do wrong (Moore, Tetlock, Tanlu, & Bazerman,
2006, p. 3). Whereas our research may help to explain immoral
behavior, it is not an excuse or a justification for immoral behav-
ior. We urge researchers to explore these issues to find strategies
to prevent such behaviors.
In closing, we believe that our research represents a promising
new approach to understanding individual moral behavior in or-
ganizations. In our opinion, the potential contributions of such an
approach are not just empirical but also theoretical and practical.
For these reasons, we are hopeful that more research along these
lines will dramatically increase our knowledge of moral behavior
in organizations.
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Revision received February 15, 2010
Accepted February 22, 2010
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