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CONFUCIANISM
Application to Doing Business in the
21st Century
by Edgar D. Vargas
SPENTREP S10
Prof. Jorge Saguinsin
China and Confucianism
China has emerged
as an economic
power
 Confucianism
played a significant
role in its history
culture




Knowledge and
understanding of
Confucianism
would be a an
advantage in doing
business with China
Corporate Scandals
GSK bribery
scandal
 Melanine scandal
 Fake beef meat
 Enron Case
 BW Shares scandal




Confucian ethical
principles have set
up a series of
practical guidelines
and rules for
businessmen to
adhere to

Integrity is Good Business
CONFUCIANISM


A way of life
– Confucius (553-479BC)
– Followed by the Chinese for
over 2000 years
– Largely vilified, suppressed
and purged during the
Cultural Revolution
– Substance of learning,
source of value, & social
code of the Chinese
– Korea, Japan & Vietnam
CONFUCIANISM


Western term
–
–
–
–
–



A worldview
A social ethic
Political ideology
Scholarly tradition
Way life

Philosophy is preserved
– The Confucian Analects
– The Great Learning
– The Doctrine of the Mean
CONFUCIANISM
Confucianism – did not begin from Confucius
 Not founder


– Buddha : Buddhism
– Jesus Christ: Christianity


Confucius – Transmitter
– Reanimate the old to attain the new
– Revitalize the meaning of the past by advocating a
ritualized life
Ethical teachings include the following
values:









Li: includes ritual, propriety, etiquette, etc.
Hsiao: love within the family: love of parents
for their children and of children for their
parents
Yi: righteousness
Xin: honesty and trustworthiness
Ren: benevolence, humaneness towards others;
the highest Confucian virtue
Chung: loyalty to the state, etc.

" The fundamental concern of the Confucian
tradition is learning to be human."
Confucianism – core elements
Confucian De (virtue) -Practice of De is the essence
of living
Confucian
 Contingent on humanity
within interrelated social
relationships
 relationship-determining
being can live morally
and properly in society

Aristotle’s phronesis
 Hinges on practical
wisdom
 Self-determining being
can live well in society
Confucianism – core elements

Confucian De (virtue) –represented by ren
(benevolence or humanity)

Ren
• an extensive love of human beings and through
the cultivation of the Dao /Tao or the “Way”
• Enables a moral person to practice benevolence
for both the physical and moral well-being of
others
• Love is calibrated by the relative proximity and
distance of one’s relationships
Confucianism – core elements
Humanity is fulfilled with the practice of Ren
as moral behavior according the principles of
Li
Li or rite/ritual propriety – a pattern of
behaviour that is the foundation of human
virtue
 Regulates appropriate conduct within one’s
various relationships
Confucianism – core elements
Li


includes multiple types of etiquette; informs
individuals of their relationship roles
– “let father be father, son be son”



Not focused upon external appearance but
manifestation of one’s inner morality
Confucianism – core elements


Confucianism accepts hierarchical levels of
love as the natural order in relationships as
guarantee of social harmony
Confucianism and Business
Confucianism
 a rich resource for a theory of business ethics
in contemporary business
 Asserts that virtue enters society and
propagated through leaders
 Provides a solution to the need for ethics and
character based practices within the corporate
world
Confucianism and the Leader
Confucianism
 Applying Confucian tradition
 The CEO, GM or political leader
– More than a functionary or operative of
productivity
– An exemplar of values – one models the way of
virtue
Confucianism and the Leader
Leader who demonstrates de by his actions
Confucius says:
“He who exercise government by means of his
virtue may be compared to the north polar
star, which keeps its place and all stars turn
towards it”
Confucianism and the Leader
A virtuous leader must understand and behave
according to Li
Confucius says,
“If you govern them with decrees and
regulate them with punishments, they will evade
them, but will have no sense of shame.
If you lead with virtue and regulate them
with rule of propriety, people will have a sense of
shame and abide by the rules.”
Basic Application of Confucianism
in Business
Confucian ethics were fully incorporated
into traditional Chinese business activities.
 it was immoral for those of senior positions
to indulge on profits for their own.
 the risk-taking commercial activities of the
merchants should meet people’s various
needs.

Basic Application of Confucianism
in Business
Business activities should be subjected to
ethical principles with righteousness rather
than profits as their core principles.
 Collective benefits should outweigh
individual benefits; spiritual values against
material values

Basic Application of Confucianism
in Business
Ren –core value of Confucianism
 Benevolence, humanity, kindness and
goodness
 Plays significant role when it comes to
pursuing profits and balancing ethics
 The ethics of Confucianism aim to weed out
some evil practices in carrying business
activities such as cheating, manipulating
supply and demand so as to increase rates,
corruptions of civil servants, etc.
Basic Application of Confucianism
in Business
Li – set of ethical principles governing people
to behave politely and ethically – posed deep
impact on business activities
 Mutual respect, politeness, quality service
and good interpersonal relationship in a
hierarchical society are considered priorities
in doing business, outweighing the pursuit
of profits
Basic Application of Confucianism
in Business
Xin – faithfulness, trustworthiness and honesty
 When thoroughly practices, harmony and
mutual benefits is achieved in the business
activities
Yi – righteousness, the responsibilities of doing
good for human being.
 Guides the flow business as people are guide to
know what is the right thing to do in spite of
losing great profits
CONCLUSION


Confucian ethics and philosophy have
universal applicability to modern business
relationships anywhere in the world.
....more business applications
Crisis management
“Success depends upon previous preparation
and without such preparation there is sure to
be failure.”
Business relationships
“Without feelings of respect, what is there to
distinguish men from beasts.”
....more business applications
Strategy and Preparation
“If you think in terms of a year, plant a seed;
if terms of ten years, plant trees; if it terms of
100 years, teach the people.”
“If you do not change direction, you may end
up where you are heading”
....more business applications
Profits
“Better a diamond with a flaw than a pebble
without”
Goals-setting
“When it is obvious that the goals cannot be
reached, don’t adjust the goals, adjust the
action steps”
Thank You!
Reference







www.britannica.com/EBchecked/topic/132104
/Confucianism
http://confucianism.freehostingguru.com/
http://www.academia.edu/2096971/The_Role_
of_Classical_Confucian_Philosophy_in_the_D
evelopment_of_Chinese_Business_Ethics
http://www.business-in-guangzhou.com/abasic-analysis-of-confucianism-and-its-impacton-traditional-chinese-business/

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Confucianis mver1

  • 1. CONFUCIANISM Application to Doing Business in the 21st Century by Edgar D. Vargas SPENTREP S10 Prof. Jorge Saguinsin
  • 2. China and Confucianism China has emerged as an economic power  Confucianism played a significant role in its history culture   Knowledge and understanding of Confucianism would be a an advantage in doing business with China
  • 3. Corporate Scandals GSK bribery scandal  Melanine scandal  Fake beef meat  Enron Case  BW Shares scandal   Confucian ethical principles have set up a series of practical guidelines and rules for businessmen to adhere to Integrity is Good Business
  • 4. CONFUCIANISM  A way of life – Confucius (553-479BC) – Followed by the Chinese for over 2000 years – Largely vilified, suppressed and purged during the Cultural Revolution – Substance of learning, source of value, & social code of the Chinese – Korea, Japan & Vietnam
  • 5. CONFUCIANISM  Western term – – – – –  A worldview A social ethic Political ideology Scholarly tradition Way life Philosophy is preserved – The Confucian Analects – The Great Learning – The Doctrine of the Mean
  • 6. CONFUCIANISM Confucianism – did not begin from Confucius  Not founder  – Buddha : Buddhism – Jesus Christ: Christianity  Confucius – Transmitter – Reanimate the old to attain the new – Revitalize the meaning of the past by advocating a ritualized life
  • 7. Ethical teachings include the following values:       Li: includes ritual, propriety, etiquette, etc. Hsiao: love within the family: love of parents for their children and of children for their parents Yi: righteousness Xin: honesty and trustworthiness Ren: benevolence, humaneness towards others; the highest Confucian virtue Chung: loyalty to the state, etc. " The fundamental concern of the Confucian tradition is learning to be human."
  • 8. Confucianism – core elements Confucian De (virtue) -Practice of De is the essence of living Confucian  Contingent on humanity within interrelated social relationships  relationship-determining being can live morally and properly in society Aristotle’s phronesis  Hinges on practical wisdom  Self-determining being can live well in society
  • 9. Confucianism – core elements Confucian De (virtue) –represented by ren (benevolence or humanity) Ren • an extensive love of human beings and through the cultivation of the Dao /Tao or the “Way” • Enables a moral person to practice benevolence for both the physical and moral well-being of others • Love is calibrated by the relative proximity and distance of one’s relationships
  • 10. Confucianism – core elements Humanity is fulfilled with the practice of Ren as moral behavior according the principles of Li Li or rite/ritual propriety – a pattern of behaviour that is the foundation of human virtue  Regulates appropriate conduct within one’s various relationships
  • 11. Confucianism – core elements Li  includes multiple types of etiquette; informs individuals of their relationship roles – “let father be father, son be son”  Not focused upon external appearance but manifestation of one’s inner morality
  • 12. Confucianism – core elements  Confucianism accepts hierarchical levels of love as the natural order in relationships as guarantee of social harmony
  • 13. Confucianism and Business Confucianism  a rich resource for a theory of business ethics in contemporary business  Asserts that virtue enters society and propagated through leaders  Provides a solution to the need for ethics and character based practices within the corporate world
  • 14. Confucianism and the Leader Confucianism  Applying Confucian tradition  The CEO, GM or political leader – More than a functionary or operative of productivity – An exemplar of values – one models the way of virtue
  • 15. Confucianism and the Leader Leader who demonstrates de by his actions Confucius says: “He who exercise government by means of his virtue may be compared to the north polar star, which keeps its place and all stars turn towards it”
  • 16. Confucianism and the Leader A virtuous leader must understand and behave according to Li Confucius says, “If you govern them with decrees and regulate them with punishments, they will evade them, but will have no sense of shame. If you lead with virtue and regulate them with rule of propriety, people will have a sense of shame and abide by the rules.”
  • 17. Basic Application of Confucianism in Business Confucian ethics were fully incorporated into traditional Chinese business activities.  it was immoral for those of senior positions to indulge on profits for their own.  the risk-taking commercial activities of the merchants should meet people’s various needs. 
  • 18. Basic Application of Confucianism in Business Business activities should be subjected to ethical principles with righteousness rather than profits as their core principles.  Collective benefits should outweigh individual benefits; spiritual values against material values 
  • 19. Basic Application of Confucianism in Business Ren –core value of Confucianism  Benevolence, humanity, kindness and goodness  Plays significant role when it comes to pursuing profits and balancing ethics  The ethics of Confucianism aim to weed out some evil practices in carrying business activities such as cheating, manipulating supply and demand so as to increase rates, corruptions of civil servants, etc.
  • 20. Basic Application of Confucianism in Business Li – set of ethical principles governing people to behave politely and ethically – posed deep impact on business activities  Mutual respect, politeness, quality service and good interpersonal relationship in a hierarchical society are considered priorities in doing business, outweighing the pursuit of profits
  • 21. Basic Application of Confucianism in Business Xin – faithfulness, trustworthiness and honesty  When thoroughly practices, harmony and mutual benefits is achieved in the business activities Yi – righteousness, the responsibilities of doing good for human being.  Guides the flow business as people are guide to know what is the right thing to do in spite of losing great profits
  • 22. CONCLUSION  Confucian ethics and philosophy have universal applicability to modern business relationships anywhere in the world.
  • 23. ....more business applications Crisis management “Success depends upon previous preparation and without such preparation there is sure to be failure.” Business relationships “Without feelings of respect, what is there to distinguish men from beasts.”
  • 24. ....more business applications Strategy and Preparation “If you think in terms of a year, plant a seed; if terms of ten years, plant trees; if it terms of 100 years, teach the people.” “If you do not change direction, you may end up where you are heading”
  • 25. ....more business applications Profits “Better a diamond with a flaw than a pebble without” Goals-setting “When it is obvious that the goals cannot be reached, don’t adjust the goals, adjust the action steps”

Editor's Notes

  1. Confucianism, the way of life propagated by Confucius in the 6th–5th century bce and followed by the Chinese people for more than two millennia. Although transformed over time, it is still the substance of learning, the source of values, and the social code of the Chinese. Its influence has also extended to other countries, particularly Korea, Japan, and Vietnam.Confucianism, a Western term that has no counterpart in Chinese, is a worldview, a social ethic, a political ideology, a scholarly tradition, and a way of life. Sometimes viewed as a philosophy and sometimes as a religion
  2. Confucianism, the way of life propagated by Confucius in the 6th–5th century bce and followed by the Chinese people for more than two millennia. Although transformed over time, it is still the substance of learning, the source of values, and the social code of the Chinese. Its influence has also extended to other countries, particularly Korea, Japan, and Vietnam.Confucianism, a Western term that has no counterpart in Chinese, is a worldview, a social ethic, a political ideology, a scholarly tradition, and a way of life. Sometimes viewed as a philosophy and sometimes as a religion
  3. The thought of ConfuciusThe story of Confucianism does not begin with Confucius. Nor was Confucius the founder of Confucianism in the sense that Buddha was the founder of Buddhism and Christ the founder of Christianity. Rather Confucius considered himself a transmitter who consciously tried to reanimate the old in order to attain the new. He proposed revitalizing the meaning of the past by advocating a ritualized life. Confucius’ love of antiquity was motivated by his strong desire to understand why certain life forms and institutions, such as reverence for ancestors, human-centred religious practices, and mourning ceremonies, had survived ... (100 of 12,108 words)
  4. Beliefs:Confucian ethical teachings include the following values:Li: includes ritual, propriety, etiquette, etc.Hsiao: love within the family: love of parents for their children and of children for their parentsYi: righteousnessXin: honesty and trustworthinessJen: benevolence, humaneness towards others; the highest Confucian virtueChung: loyalty to the state, etc.