On the Edge: Business Ethics In Saudi Culture

In 1936, Standard Oil Company of California (Socal) found oil in Saudi Arabia and the following year it joined with Texaco to form Casoc- renamed Aramco in 1948- 3 joint ty owned subsidiary staffed by American managers and formed to drill for oil in Saudi Arabia. Saudi Arabia's all became, and remains today, an economic necessity for the United States. The managers of Soca1 and Texaco, however, were unsure how much of Saudi culture they should accept or go along with.

Saudi Arabia is the birthplace of Islam, and its legal, political, and social systems, which are based on the “Sunni” version of Islam, are viewed by Saudis as divinely Inspired. For the Saudis, Islam is the only legitimate source of morality. This morality, however, does not recognize basic rights such as freedom of speech, freedom of the press, the right to vote, or the right to run for office. It does not recognize the right to a trial by jury; crimes are tried before Islamic judges who base their decisions on the teachings of Islam. It does not recognize freedom of religion: Every Saudi must be Muslim under penalty of death. The Saudi brand of Islam treats women in ways that Westerners would label discriminatory. Women cannot supervise men, must wear in public a black. veil covering the entire body including the head and face, must have a husband's or father 's permission to travel and must be accompanied by a male relative, and must enter buses by the rear door and sit in special sections. Men can have up to four wives but women only one husband. Although men can divorce without giving cause, women can divorce only for cause. Saudi Arabia does not recognize the right of free association nor the right to unionize.

1. Saudis repeatedly asserted that Saudi morality did not accept Westerners' understanding of human rights. Saudis Claimed that Islam set the moral norms people should follow, and apart from these, other moral standards have no validity.

2. Should they accept the culture's refusal to recognize human rights or should they try to initiate reform? Why?