What distinguishes terminal values from instrumental values?

The distinction between terminal values and instrumental values is fundamental in understanding personal values and ethics in business and leadership. Terminal values refer to the ultimate goals or end states that individuals strive to achieve in life, such as happiness, fulfillment, or social recognition. These values represent what a person ultimately wishes to attain or experience.

On the other hand, instrumental values refer to the means or behaviors that individuals adopt to achieve their terminal values. These could include values like honesty, responsibility, or ambition, which are the guiding principles that direct how people behave and make choices in order to reach their terminal goals.

The correct answer highlights this relationship effectively: terminal values are indeed about the end goal, while instrumental values are about the means to achieve that goal. This understanding is crucial for leaders, as it helps them align their personal values with their organization’s mission and engage their teams effectively. Recognizing that ends and means are interlinked allows for a more nuanced approach to ethical decision-making and goal setting in a business context.