Ethical decision-making practices in SMEs: the role of risk acceptance and confidence level Online publication date: Fri, 14-Oct-2022
by Mohammad Rashed Hasan Polas; Mosab I. Tabash; Asghar Afshar Jahanshahi; Valentina Gomes Haensel Schmitt
International Journal of Business Governance and Ethics (IJBGE), Vol. 16, No. 4, 2022
Abstract: The aim of this study is to examine the factors influencing ethical business decision-making on environmental issues, among employees of SMEs. To do so, a survey study was performed with 394 top managers of SMEs in the UAE using a questionnaire, and the data was statistically evaluated using SmartPLS 3.0. The results suggest that prior technology use has significant positive relationships with ethical decision-making and the level of risk acceptance. Furthermore, perceived competitive pressure has significant positive relationships with ethical decision-making and confidence level. In comparison, the level of risk acceptance and confidence level have significant positive relationships with ethical decision-making. Results also demonstrate that the level of risk acceptance mediates the relationship between prior technology use and ethical decision-making. There is also a significant and positive association between perceived competitive pressure and ethical decision-making with a mediating impact of the confidence level.
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