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Statistical Examination of Cultural Differences in Ethical Decisions Among Business Students

Our statistical study aimed to investigate whether significant differences exist between the ethical choices made by business students from Brazil and the United States when confronted with hypothetical scenarios involving business ethics. Through a rigorous analysis of the data, we found that while there is indeed a striking contrast in the ethical choices made by these two groups, it is not a simple binary distinction.

Problem Description:

This Statistical Analysis homework aims to examine how cultural differences affect ethical decisions in business students from Brazil and the United States. The independent variables are Brazilian and American students. The dependent variables are ethical choices (subdivided with intervening variables of Relationship Incentives and Financial Incentives). The national culture has the following intervening variables: collectivism, power distance, uncertainty avoidance, future orientation, gender egalitarianism, assertiveness, performance orientation, humane orientation, gender, and educational level.

Solution

Reliability Statistics

Cronbach's Alpha N of Items
.757 53

Reliability Statistics

Cronbach's Alpha N of Items
.951 54

The acceptable value or bench mark for Cronbach’s alpha is at least 0.7, from the reliability statistics presented above, it can be concluded that there is a strong internal consistency or reliability between the responses of matched items.

Hypotheses based on the theoretical framework and the review of previous studies done on cross-cultural differences between Brazil and United States, this study raises the following hypotheses:

Correlations

RI_America FI_America RI_Brazil FI_Brazil
RI_America Pearson Correlation 1 .886** -.039 -.144
Sig. (2-tailed) .000 .731 .198
N 104 104 82 82
FI_America Pearson Correlation .886** 1 -.026 -.129
Sig. (2-tailed) .000 .813 .247
N 104 104 82 82
RI_Brazil Pearson Correlation -.039 -.026 1 .682**
Sig. (2-tailed) .731 .813 .000
N 82 82 101 101
FI_Brazil Pearson Correlation -.144 -.129 .682** 1
Sig. (2-tailed) .198 .247 .000
N 82 82 101 101

Correlation is significant at the 0.01 level (2-tailed).

The correlation coefficients presented in the table above shows strength and direction of the relationship between financial incentives and relationship incentives for both Brazil and United States.

There is a significant, strong and positive relationship (r= 0.886, p= 0.000) between financial and relationship incentives for American participants, also, There is significant, strong and positive relationship (r= 0.682, p= 0.000) between financial and relationship incentives for Brazilian participants. However, a negative, insignificant and weak relationship exists among financial and relationship incentives of Brazil and America.

There are significant differences between the ethical choices that Brazilian and American students make on the hypothetical scenarios of business ethics.

American students will have higher scores of ethical choices than Brazilian students.

Between-Subjects Factors

Value Label N
Country 1.00 America 104
2.00 Brazil 101

Descriptive Statistics

Country Mean Std. Deviation N
FI America 2.9124 .79432 104
Brazil 2.8937 .37721 101
Total 2.9032 .62322 205
RI America 3.1860 .62348 104
Brazil 2.8640 .33727 101
Total 3.0273 .52733 205

Descriptive statistics table above shows that the mean score of financial incentives is 2.92 with a standard deviation of 0.79 for America and 2.89 with a standard deviation of 0.37 for Brazil. Also, the mean score of relationship incentives is 3.17 with a standard deviation of 0.62 for America and 2.86 86with a standard deviation of 0.33 for Brazil.

Multivariate Tests

Effect Value F Hypothesis df Error df Sig.
Intercept Pillai's Trace .974 3749.729b 2.000 202.000 .000
Wilks' Lambda .026 3749.729b 2.000 202.000 .000
Hotelling's Trace 37.126 3749.729b 2.000 202.000 .000
Roy's Largest Root 37.126 3749.729b 2.000 202.000 .000
Country Pillai's Trace .250 33.611b 2.000 202.000 .000
Wilks' Lambda .750 33.611b 2.000 202.000 .000
Hotelling's Trace .333 33.611b 2.000 202.000 .000
Roy's Largest Root .333 33.611b 2.000 202.000 .000
  • Design: Intercept + Country
  • Exact statistic

Tests of Between-Subjects Effects

Source Dependent Variable Type III Sum of Squares df Mean Square F Sig.
Corrected Model FI .018a 1 .018 .046 .831
RI 5.314b 1 5.314 20.982 .000
Intercept FI 1727.268 1 1727.268 4426.308 .000
RI 1875.447 1 1875.447 7404.946 .000
Country FI .018 1 .018 .046 .831
RI 5.314 1 5.314 20.982 .000
Error FI 79.216 203 .390
RI 51.414 203 .253
Total FI 1807.034 205
RI 1935.500 205
Corrected Total FI 79.234 204
RI 56.728 204
  • R Squared = .000 (Adjusted R Squared = -.005)
  • R Squared = .094 (Adjusted R Squared = .089)

Since the p-value for FI (0.831) is greater than significance level (0.05), we do not reject the null hypothesis and conclude that American students do not have higher scores of ethical choices (Financial incentives) than Brazilian students.

Similarly, since the p-value for RI (0.000) is less than significance level (0.05), we reject the null hypothesis and conclude that American students significantly have higher scores of ethical choices (Relationship incentives) than Brazilian students.

Female students will have higher scores of ethical choices than Male students.

Between-Subjects Factors

Value Label N
I am a _____ student. 1.00 Male 32
2.00 Female 50

Descriptive Statistics

I am a _____ student. Mean Std. Deviation N
RI_America Male 3.5556 .78127 32
Female 3.0696 .48271 50
Total 3.2593 .65684 82
FI_America Male 3.3764 .86729 32
Female 2.8400 .65859 50
Total 3.0493 .78712 82
RI_Brazil Male 2.8669 .29940 32
Female 2.9081 .32029 50
Total 2.8921 .31109 82
FI_Brazil Male 2.9307 .32571 32
Female 2.9539 .30924 50
Total 2.9449 .31398 82

Multivariate Tests

Effect Value F Hypothesis df Error df Sig.
Intercept Pillai's Trace .993 2820.442b 4.000 77.000 .000
Wilks' Lambda .007 2820.442b 4.000 77.000 .000
Hotelling's Trace 146.516 2820.442b 4.000 77.000 .000
Roy's Largest Root 146.516 2820.442b 4.000 77.000 .000
q0005 Pillai's Trace .139 3.096b 4.000 77.000 .020
Wilks' Lambda .861 3.096b 4.000 77.000 .020
Hotelling's Trace .161 3.096b 4.000 77.000 .020
Roy's Largest Root .161 3.096b 4.000 77.000 .020
  • Design: Intercept + q0005
  • Exact statistic

Tests of Between-Subjects Effects

Source Dependent Variable Type III Sum of Squares df Mean Square F Sig.
Corrected Model RI_America 4.607a 1 4.607 12.149 .001
FI_America 5.613b 1 5.613 10.075 .002
RI_Brazil .033c 1 .033 .340 .561
FI_Brazil .011d 1 .011 .105 .746
Intercept RI_America 856.450 1 856.450 2258.333 .000
FI_America 754.012 1 754.012 1353.366 .000
RI_Brazil 650.754 1 650.754 6669.713 .000
FI_Brazil 675.683 1 675.683 6778.390 .000
q0005 RI_America 4.607 1 4.607 12.149 .001
FI_America 5.613 1 5.613 10.075 .002
RI_Brazil .033 1 .033 .340 .561
FI_Brazil .011 1 .011 .105 .746
Error RI_America 30.339 80 .379
FI_America 44.571 80 .557
RI_Brazil 7.805 80 .098
FI_Brazil 7.975 80 .100
Total RI_America 906.014 82
FI_America 812.645 82
RI_Brazil 693.683 82
FI_Brazil 719.104 82
Corrected Total RI_America 34.947 81
FI_America 50.184 81
RI_Brazil 7.839 81
FI_Brazil 7.985 81
  • R Squared = .132 (Adjusted R Squared = .121)
  • R Squared = .112 (Adjusted R Squared = .101)
  • R Squared = .004 (Adjusted R Squared = -.008)
  • R Squared = .001 (Adjusted R Squared = -.011)

The p-values for RI (0.001) and FI (0.002) are less than significance level (0.05), we reject the null hypothesis and conclude that female students have higher scores of ethical choices (both financial and relationship incentives) than Male students in America. However, the p-values for RI (0.001) and FI (0.002) are less than significance level (0.05), we reject the null hypothesis and conclude that female students have higher scores of ethical choices (both financial and relationship incentives) than Male students in Brazil.

Graduate students will have higher scores of ethical choices than undergraduate students.

Between-Subjects Factors

Value Label N
Are you an undergraduate or graduate business student enrolled in an accredited institution in the United States? 1.00 Yes 67
2.00 No 14

Descriptive Statistics

Are you an undergraduate or graduate business student enrolled in an accredited institution in the United States? Mean Std. Deviation N
RI_America Yes 3.3167 .66355 67
No 2.8757 .31615 14
Total 3.2405 .63848 81
FI_America Yes 3.1382 .79156 67
No 2.5186 .41051 14
Total 3.0311 .77451 81
RI_Brazil Yes 2.9066 .32751 67
No 2.8466 .21540 14
Total 2.8962 .31073 81
FI_Brazil Yes 2.9500 .32406 67
No 2.8975 .26617 14
Total 2.9410 .31393 81

The means score of RI and FI for American undergraduate students are 3.32 and 3.14 with standard deviations 0.66 and 0.79 respectively. Also the mean score of RI and FI for American graduate students are 2.88 and 2.52 with standard deviations 0.32 and 0.41 respectively.

Similarly , The means score of RI and FI for Brazilian undergraduate students are 2.91 and 2.95 with standard deviations 0.33 and 0.32 respectively. Also the mean score of RI and FI for Brazilian graduate students are 2.85 and 2.90 with standard deviations 0.22 and 0.27 respectively.

Multivariate Tests

Effect Value F Hypothesis df Error df Sig.
Intercept Pillai's Trace .989 1665.707b 4.000 76.000 .000
Wilks' Lambda .011 1665.707b 4.000 76.000 .000
Hotelling's Trace 87.669 1665.707b 4.000 76.000 .000
Roy's Largest Root 87.669 1665.707b 4.000 76.000 .000
q0002 Pillai's Trace .105 2.239b 4.000 76.000 .073
Wilks' Lambda .895 2.239b 4.000 76.000 .073
Hotelling's Trace .118 2.239b 4.000 76.000 .073
Roy's Largest Root .118 2.239b 4.000 76.000 .073
  • Design: Intercept + q0002
  • Exact statistic

Tests of Between-Subjects Effects

Source Dependent Variable Type III Sum of Squares df Mean Square F Sig.
Corrected Model RI_America 2.253a 1 2.253 5.863 .018
FI_America 4.446b 1 4.446 8.065 .006
RI_Brazil .042c 1 .042 .429 .514
FI_Brazil .032d 1 .032 .321 .572
Intercept RI_America 444.056 1 444.056 1155.515 .000
FI_America 370.568 1 370.568 672.306 .000
RI_Brazil 383.290 1 383.290 3941.493 .000
FI_Brazil 395.973 1 395.973 3983.921 .000
q0002 RI_America 2.253 1 2.253 5.863 .018
FI_America 4.446 1 4.446 8.065 .006
RI_Brazil .042 1 .042 .429 .514
FI_Brazil .032 1 .032 .321 .572
Error RI_America 30.359 79 .384
FI_America 43.544 79 .551
RI_Brazil 7.682 79 .097
FI_Brazil 7.852 79 .099
Total RI_America 883.187 81
FI_America 792.198 81
RI_Brazil 687.152 81
FI_Brazil 708.471 81
Corrected Total RI_America 32.612 80
FI_America 47.990 80
RI_Brazil 7.724 80
FI_Brazil 7.884 80
  • R Squared = .069 (Adjusted R Squared = .057)
  • R Squared = .093 (Adjusted R Squared = .081)
  • R Squared = .005 (Adjusted R Squared = -.007)
  • R Squared = .004 (Adjusted R Squared = -.009)

Since the p-values for RI (0.018) and FI (0.006) are less than significance level (0.05), we reject the null hypothesis and conclude that undergraduate students have higher scores of ethical choices than graduate students in the United States. Also, Since the p-values RI (0.514) and FI (0.572) are less than significance level (0.05), we do not reject the null hypothesis and conclude that Graduate students do not have higher scores of ethical choices than undergraduate students in Brazil.