Discrimination and Profit

Dragos Bigu ()
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Dragos Bigu: Spiru Haret University, Bucharest, Romania

REVISTA DE MANAGEMENT COMPARAT INTERNATIONAL/REVIEW OF INTERNATIONAL COMPARATIVE MANAGEMENT, 2009, vol. 10, issue 5, 1021-1027

Abstract: In this paper I analyze the relation between anti-discrimination policies applied by a company and its profit. Some authors argue that the problem of discrimination should not be approached at the company level, because this will negatively affect its profit, but at the public policy level. I try to show that a company can apply anti-discrimination policies with a positive impact on profit. Policies of the first type have as their aim to ensure fairness in the selection process. Other policies give privilege to the members of discriminated groups in the selection process. At last, companies can implement a minimum quota system for members of a discriminated group. I prove that these three types of policies can positively affect the company’s profit.

Keywords: discrimination; hiring policies; profit maximization; affirmative action; quota system. (search for similar items in EconPapers)
JEL-codes: J71 (search for similar items in EconPapers)
Date: 2009
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Persistent link: https://EconPapers.repec.org/RePEc:rom:rmcimn:v:10:y:2009:i:5:p:1021-1027

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