Humans: Why They Triumphed, By Matt Ridley, WSJ, paper edition, Saturday/Sunday W1, May 22-23, 2010

There are a variety of explanations for the progress of technology in the contemporary theories of evolution.  Human evolution toward tool-making has been attributed to geological catastrophes, brain physiology, DNA blueprints, and, now, sociological patterns.  Ridley reports that “collective intelligence” seems to be the source of cultural innovation with an explosion of new tools in Africa about 45,000 years ago.  Collective concerns seem to outweigh the individual in this new image of humankind.

For the past century or so, Darwinism has presented psychologies that are problematic for Christian business ethics.  The Bible has a rich balance of personal and corporate responsibility.  But the “social justice” view of the Progressives in America does have an emphasis on the group or class as the important level of attention for ethics.  This is not consistent with the Founders, such as George Washington, of the colonial period, cf. Peter Lillback’s George Washington’s Sacred Fire.

Biblical Issues in Business

Activity in the business should assume a high level of personal responsibility, including giving glory to God for all events in the marketplace (James 4:13 – 17).

The gleaning principle shows attention to charity for particular people in trouble (Leviticus 19:9 – 10; Deuteronomy 24:21, 22).

Human nature is created in the Image of God — not plastic to macro-evolution (Genesis 1:26, 27; Romans 3:23 and 10:9, 10)

Discussion Question

How might views about human nature affect business activities and ethics?

The Big Slick and the Big Easy, by:Douglass McCollam, WSJ, paper edition, A13, May 8, 2010

We still do not know the extent or implications of the “Big Slick.”

“Even as the governor spoke, oil continued to gush from the ruined remains of BP’s Deepwater Horizon rig at the rate of about 10,000 gallons an hour, an event best characterized less as an oil “spill” than as an erupting, underwater oil volcano.”

“At the site of Deepwater Horizon, BP moved a custom-built, four-story, 100-ton containment dome into place, and began lowering it through 5,000 feet of roiling ocean in an attempt to land it over the worst of the ruptured pipes. “

Biblical Issues in Business

Stewardship of the earth is part of the cultural mandate — destruction is not part of the long-term productive use of resources (Genesis 1:28)

Extreme recklessness is discussed and prohibited in biblical thinking. Businesses must look proactively for risk and cover it. But some risk is unavoidable for survival. (Exodus 22:5, 6)

No rush to judgment! Thorough investigation must be a part of assigning blame and penalties to responsible parties who are proven to do evil against others via the environment. (Deuteronomy 13:14)

Discussion Questions: While all efforts are made to remedy the spill, what steps should be taken to determine causes and consequences with all parties involved? Are there important distinctions among the lawful, reasonable and ethical courses of action for BP?

Did FDR End the Depression? By Burton Folsom, Jr. and Anita Folsom

WSJ, paper edition, A17, April 12, 2010

Today unemployment is at its highest level in the US since the late 1970s and, before that, since the 1930’s and World War II.Despite advocacy of more government programs by Presidents Roosevelt and Truman, the Democratic majorities in the U. S. Congress of 1945 cut taxes dramatically and price controls were eliminated. Shortly thereafter, 1946 showed an unemployment rate of 3.9% and stayed there for many years into the 1950’s.

Biblical Issues in Business

Employment is critical to a happy life due to our human nature as God’s creatures with a drive to subdue the earth via the exchange of goods and services (Genesis 1:28).

The family, with its extensions in businesses and companies, is the locus and motivation of economic activity for most people (I Timothy 5:8).

In addition to family, the church supported by tithes and the government supported by taxes are critical institutions, especially as it ensures public safety (Romans 13).

Discussion Question: Why would the tax cut after World War II lead to greater employment rates nationally in the US?  How do tax rates affect business strategy?

Posted by Andrew Peterson

Brin Drove Google’s Pullback, by Jessica E. Vascellaro

WSJ, paper edition, A1, March 25, 2010

“Google Inc. co-founder Sergey Brin pushed the Internet giant to take a risky step of abandoning its China-based search engine as that country’s efforts to censor the Web and suppress dissidents smacked of the “totalitarianism” of his youth in the Soviet Union.”  Now, that is leadership by normative principle, intelligent business and a good heart with a long-term vision.

The recent issue of Harvard Business Review includes an article, “Leadership in the Age of Transparency” (April 2010).  But has the vote whipping for the healthcare bill by the Speaker evidenced such transparency in practice?  Or is it true what Christian business author Jim Collins sees about “How the Mighty Fall” (2009).

Collins describes five stages of collapse that feature pride and arrogance: 1. Prideful Hubris, 2. Undisciplined Expansion, 3. Denial of Risk, 4. Desperate “Silver Bullets”, and, finally, 5. Irrelevance and Death.  Happily, he shows “why some companies never give in.”  We can practice God-honoring and effective leadership, whether in public companies, private businesses, non-profits, or government.

Biblical Issues in Business

1. Excellent administration must be both morally good in order to be really great? (II Samuel 12)

2. Both long-term as well as short-term results must be maintained in biblical perspective.  (I Thessalonians 1:2, 3)

3. We remember that ‘might make right’ with an eye to short-range victories, is committed at the expense to partners, colleagues, customers, vendors … and fellow citizens.  (Psalm 60:11-12)

Discussion Question: In light of Scripture, what are the principles and practices of good leadership for our company, family and/or church?

Haiti and the Voodoo Curse

WSJ, paper edition, A13, February 7, 2010

Does religion have real consequences in culture and its business practices?  ‘You betcha.’ Lawrence Harrison observes that Haitian culture is greatly influenced by voodoo, “It’s followers believe that their destinies are controlled by hundreds of capricious spirits who must be propitiated through voodoo ceremonies.”  Now, despite billions of foreign aid over the past decades, the country must be “built, not rebuilt,” cf. Peter Coclants, WSJ, A15, February 3, 2010.  “Haiti also lacks a culture that encourages a strong work ethic, the accumulation of capital, and the passing of assets on to future generations.”

When Harrison co-edited Culture Matters: How Values Shape Human Progress (2000) with Samuel Huntington, he included a chapter by David Landes, economic historian, Harvard University.  Landes opened his presentation by referring to the importance of culture for business and progress with “Max Weber was right.”  How does the aftermath of the tragic earthquake in Haiti confirm this point?

Biblical Issues in Business

1. Confidence: a loving God controls the universe and His providence brings rain on the just and the unjust, including business (Psalm 47:8).

2. Consequences: a just God does have contingencies in reality for blessing and cursing based on the ethics of human behavior, including the marketplace (Romans 12:19).

3. Discernment: “Bad things do happen to good people and vice versa.”  But we can bring an ethical analysis to suffering, whether it be a punishment (James 5:15) or a strengthening event, (James 1:2-4).  Regardless, we are to “speak the truth in love” and keep the Lord’s commandments, by His grace (Ephesians 4:15).

Discussion Question: In light of Scripture, what lessons can we and other societies draw from this living … and dying … case study of Haiti today in 2010?

Posted by Andrew Peterson

Apple’s iPad Changes the Landscape for App Developers

WSJ, paper version, B1, January 29, 2010

By Yukari Iwatani Kane

With 125 million credit cards in the iTunes archive, Apple can sell a lot of things.  They have chosen to approach the e-book world now in the same way the music market was addressed by the iTunes store.  Yet the app market for the iPhone is becoming another important new group developed by Apple.  Now the iPad will inherit all these users when they want a larger screen on which to operate.  App developers have both “a blessing and a curse” with a new gadget for development.  They lose the cameras of the iPhone.  And like the iPhone, they cannot run any other applications in the background when an App is engaged.  So, both Amazon with their Kindle e-books and Pandora with their streaming music will be “huddling here to figure out what’s the right approach.”  Like him or not, Steve Jobs was able to commandeer most of the Wall Street Journal the day after a state of the union speech earlier this week.

What App Developers Are Saying About the iPad

WSJ, electronic version, January 29, 2010

By Yukari Iwatani Kane

“Just as the offerings in Apple’s App Store helped fuel the iPhone’s success, software tailored for its new iPad will likely have a big impact on sales of the device. Scott Forstall, Apple’s senior vice president of iPhone software at Apple, on Wednesday predicted “a whole ‘nother gold rush for developers” as they race to exploit the iPad’s 9.7-inch screen and other features.”

Biblical Issues in Business

1. Law of large numbers, Mark 4:3 – 8, “Listen!  A sower went out to sow.”

The new product from Apple, iPad, will possibly be a success at least due to the law of large numbers.  Like the parable of the sower, we are taught to broadcast widely and to look then for receptive hearts as we move down the “sales funnel.”  125 credit card accounts are a lot of “seeds” for prospective buyers.

2. It is not about you, James 4:15, “Instead you ought to say, “If it is the Lord’s will, we will live and do this or that.”

No doubt Steve Jobs and company do many good and productive actions in their marketing.  But is the result outside of God’s providence, really? Should we be proud of our skill in business whether in success or failure?

Discussion Question:  What can we imitate in the Apple approach to marketing?  What should we avoid?

posted by Andrew Peterson

Steve Jobs’s Tablet Device Looks to Repackage TV, Magazines, Just as iPod Changed Music Sales, Wall Street Journal, Thursday, January 21, 2010.

http://online.wsj.com/article/SB10001424052748703405704575015362653644260.html

It looks like next week holds another game changer from Apple.  At an invitation-only event, the company will unveil its new product, “On Monday, Apple sent out an invitation to a media event on Jan. 27 “to see our latest creation.” The tablet, which Apple currently plans to ship in March, will have about a 10- to 11-inch touch screen, say people familiar with the situation.”

Such sustaining innovation highlights God’s marvelous creation where there are such inventions made all the time.  His making of the universe and mankind gives us a wonderful world where new gadgets geared to beauty and productivity roll out from the R & D shop (Psalm 8:1 – 4).  In a free market we have opportunity to see this creativity on display for the consumer to choose the products that add to the efficiency and aesthetic quality (Psalm 8:5 – 9).

The announcement will have to do with the business model for media delivery, too.  As Apple re-made the music industry with a “fee” approach to product downloads, will they make a similar platform for the “old media” of TV and newspaper sources?  Will this thrive like the iTunes store if Google and YouTube continue to promote the “free” model? What is a fair price for a product … especially an Apple gadget?

Relevant standards and issues for discussion from Christian biblical ethics:

• The product is the private property of the producer until transferred in a free exchange for an agreed price (Exodus 20:15).

• Advertising and warranty claims must be transparent and honored by the producer (Exodus 20:16).

• The consumer has choice and should not be coerced to buy a product – none of us would want that for our own choices (Matthew 22:39).

• The free market with a limited government vs. socialism is the best political economy for price determination (Romans 13:4 for the defined role of government).

Assuming that Protestant Christian faith affects how the business person applies the fundamental principles that underlie good commerce, are we at risk of losing the benefit of these principles?  Today the concept of the separation of faith and government has invaded the commercial and business world.  As a result, we do not study the Christian contribution to commerce in any way.  In our pulpits, churches leave business at the door, in part reinforcing that Christianity has little to do with business. In our business schools we do not teach “Christian principles,” but we do explore the potential contributions of other religions. 

Business people today know that the global marketplace and the movement into the post-modern world has created a different set of market values.  These values are invading the commercial space.  While efforts are being made to hold onto proper behavior, a clear understanding of the source of proper behavior is no longer part of the business school curriculum. Indeed the governments have endeavored to legislate the proper values and behavior of commerce.  The financial crisis of 2008 has added fuel to the view that the state should exercise the regulatory oversight of the marketplace to insure proper behavior.  This activity demonstrates a shift in perspectives or a shift in worldviews.