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Patriarchy is a form of social organization in which the father is the head of the family or a society in which men govern or rule. Patriarchy was a system that perpetuated itself because the male children would inherit the father's lands, wealth, and so on. The influence of patriarchy can be seen in all the world's cultures to varying degrees. The number of men in important governmental positions compared with the number of women is frequently quoted when discussing both the causes and effects of patriarchy. Feminists have expanded the definition of patriarchy to include how cultures view maleness and masculinity as the standard others are judged against in an attempt to expose power relationships between groups and individuals.

Due to the focus of this encyclopedia on business ethics and society, this entry will discuss the second definition of patriarchy as it affects business. There are two distinct views regarding the relationship between capitalism and patriarchy. The “unified system” theory contends that men's authority over women causing economic dependency is due to women's ability to have children. Thus, according to this view, capitalism and patriarchy are both part of the same overarching social system because they share the same concept of gender roles: men as powerful authorities and women as caretakers. A less extreme interpretation of this theory is that it is natural and appropriate for men to be in power and women to be in the home due to each gender's supposedly natural inclinations and skills. Another theory states that women's economic dependency on men is just one way the social power system becomes obvious. This power system, patriarchy, may or may not correspond with capitalism. This theory is the “dual systems theory,” meaning that patriarchy and capitalism may be similar in some ways and at some moments in time, but they are not the same system. One persuasive example is that although women have gained social rights in some countries and the old rules of patriarchy have become less powerful, the free trade market has not changed and economic development of those countries has continued to grow, thus implying that patriarchy is not a necessary condition for capitalism. Arguments have been made for and against each theory.

Many businesses seem to follow the pattern of patriarchy, with men in key positions of power. While this trend has slowly been changing in developed nations, patriarchy is still accepted as the natural order of society in many developing countries. There is pressure on individuals within these nations to maintain this system. For example, women in many developing countries are not given access to education, believed by many researchers to be a prerequisite for becoming economically independent. Some believe that educating a female family member would put one's family in danger. There have been examples of rapes and murders as a reprisal for such actions. Keeping their female counterparts subservient may play a role in the lack of economic development in these countries because women become an unutilized resource of labor and innovation. Nations that have recently become more accepting of women in the workforce have, in general, seen a more marked increase in national wealth. India and China are examples of this.

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