ABSTRACT

Advances in technology, communication, and transportation have minimized the world’s borders, creating a new global economy. More and more countries are attempting to industrialize and compete internationally. Because of these trends, more and more organizations are doing business outside their home countries. These transactions across national boundaries define global business that is having an impact on leaders in public, not-for-profit, and private sector organizations. Globalization brings together people with different cultures, values, laws, and ethical standards. Today’s increasingly international or global organizations and their leaders must not only understand the values, culture, and ethical standards of her or his own country but also be sensitive to those of other countries while also recognizing how much they influence many aspects of organizational behavior including employees’ acceptance of and adherence to organizational norms and values. Today’s leaders must understand that along with strong ethical leadership, a strong organizational culture in support of ethical behavior will play a key role in guiding employees’ behavior no matter where they may find themselves in this increasingly global world.