BA 3308 - Ch 5 Practice Test 1

The ethical decision making model will be able to tell you whether a decision is ethical or unethical. a. True b. False

False

A firm's core values ​provide a blueprint into the firm's purpose as well as how it views ethical decision making and prioritizes stakeholders. a. True b. False

True

The _____ includes the motivational "carrots and sticks" superiors use to influence employee behavior. a. Obedience to authority b. Immediate job context c. Locus of control d. Normative approach e. Descriptive approach

b. Immediate job context

High levels of _____ create a higher probability that firms cut corners because margins are usually low. a. Profit b. Return c. Cooperation d. Competition e. Loss

d. Competition

Organizations that have ethics programs based on a _____ orientation are found to make a greater contribution than those based simply on compliance, or obeying laws and regulations. a. customer b. political c. principles d. values e. social

d. values

A study has found that those with an external locus of control ​were positively correlated with ethical decision making, whereas those with an internal locus of control were negatively correlated. a. True b. False

False

The terms moral intensity and ethical issue intensity can be used interchangeably. a. True b. False

False

In the workplace, the organization's values often have a greater influence on a decision than the person's own values. ​ a. True b. False

True

Opportunity a. results from motivational "carrots and sticks" superiors use to influence employee behavior. b. can be eliminated in a corporation. c. directly relates to barriers to individual ethics. d. relates directly to the power of the industry rivals' suppliers over other rivals. e. relates to being lucky in preventing misconduct.

a. results from motivational "carrots and sticks" superiors use to influence employee behavior.

Studies have shown that _____ within the organization have more impact on a worker's decisions on a daily basis than any other factor. a. significant others b. religion c. education d. chief executive officers e. ethical issues

a. significant others

What is the last step in the ethical decision-making process? ​ a. ​Individuals' intentions and what action they are going to take b. ​Evaluation of whether the decision is an ethical issue c. ​Analysis of individual, organizational, and opportunity factors d. ​The application of moral philosophies to the decision e. ​How others in the organization view the decision

a. ​Individuals' intentions and what action they are going to take

All of the following are true regarding institutions except a. Stakeholders closely align with institutions. b. The regulatory system aligns with political institutions. c. There is no clear link between institutional theory and the stakeholder orientation of management. d. Competition relates to economic institutions. e. Personal values and norms derive from social institutions.

c. There is no clear link between institutional theory and the stakeholder orientation of management.

Values have all the following characteristics except a. Provides guidance to organizations b. Subjective and related to choice c. Widely accepted d. Used to develop norms e. Differs across cultures and firms

c. Widely accepted

The perceived relevance or importance of an ethical issue to the individual, work group, or organization is a. organizational culture. b. immediate job context. c. ethical issue intensity. d. leadership. e. locus of control.

c. ethical issue intensity.

According to the ethical decision-making framework, the absence of punishment provides a(n) _____ for unethical behavior. a. reason b. significant other c. individual factor d. opportunity e. ethical issue intensity

d. opportunity

______________ are central to an organization and provide directions for action. a. Core values b. Normative approaches c. Ethical issues d. Opportunities e. Institutions

a. Core values

Which of the following is not one of the six "spheres of influence" to which individuals are subject when confronted with an ethical issue? a. Educational attainment b. Workplace c. Family d. Legal system e. Community

a. Educational attainment

_____ is the first sign that an unethical decision has occurred. a. Guilt b. Reward c. Punishment d. Cognitive dissonance e. Happiness

a. Guilt

_____ involves subordinates simply following the directives of a superior without question. It demonstrates the influence that significant others can exert in the workplace. a. Obedience to authority b. Locus of control c. Opportunity d. Transactional leadership e. Immediate job context

a. Obedience to authority

_____ institutions include religion, education, and individuals such as the family unit. a. Social b. Conservative c. Economic d. Liberal e. Political

a. Social

The _____ can be defined as a set of values, norms, and artifacts, including ways of solving problems shared by members of an organization. a. corporate culture b. intentions of a corporation c. ethical issue awareness d. determination of a corporation e. individual factors

a. corporate culture

. Familiarizing employees with company values and training them to recognize common ethical scenarios helps them generate a. ethical awareness. b. moral intensity. c. ethical issue intensity. d. individual values. e. principles.

a. ethical awareness.

Normative approaches focus on a. how organizational decision makers should approach an issue. b. methods for adopting values and norms within an organization. c. models that describe an individual's moral philosophies. d. ways to determine the moral intensity of an ethical issue. e. how organizational decision makers make ethical decisions.

a. how organizational decision makers should approach an issue.

Those who have influence in a work group are referred to as significant others and include a. peers, managers, coworkers, and subordinates. b. family members, peers, and coworkers. c. spouses and friends. d. employees in similar job situations. e. employees who hold the same job.

a. peers, managers, coworkers, and subordinates.

_____ relates to individuals' perceptions of social pressure and the harm they believe their decisions will have on others. a. Ethical awareness b. Moral intensity c. Individual factors d. Ethical issue intensity e. Social awareness

b. Moral intensity

Normative business ethics takes into account the _____ realities outside the legal realm in the form of industry standards. a. Descriptive b. Political c. Social d. Economic e. Normative

b. Political

The _____ states that economic and social equalities should be arranged to provide the most benefit to the least-advantaged members of society. a. equality principle b. difference principle c. constitutional principle d. liberty principle e. justice principle

b. difference principle

Research concerning nationality and the ability to make ethical decisions a. shows no relationship between the two. b. is hard to interpret in a business context because of cultural differences. c. suggests that organizations should be very concerned about an employee's nationality. d. suggests that corporations pay a lot of attention to such research. e. suggests that the influence of nationality on corporate culture is growing.

b. is hard to interpret in a business context because of cultural differences.

Following the ethical directives of a superior relates to a. an internal locus of control. b. obedience to authority. c. moral intensity. d. gender. e. ethical issue intensity.

b. obedience to authority.

___________ reflects the integrity of decisions made and is a function of many factors.​ a. ​Ethical awareness b. ​Ethical culture c. ​Organizational environment d. ​Moral intensity e. ​Corporate culture

b. ​Ethical culture

_____ is an organizational factor that gives a company specific characteristics. Over time, stakeholders begin to see the company as like a living organism with a mind and will of its own. a. Oversight b. Significant others c. Corporate culture d. The ethical climate e. The legal climate

c. Corporate culture

_____ culture involves values and norms that prescribe a wide range of behavior for organizational members, while _____ culture reflects the integrity of decisions made and is a function of many factors, including corporate policies, top management's leadership on ethical issues, the influence of coworkers, and the opportunity for unethical behavior. a. Ethical; corporate b. External; internal c. Corporate; ethical d. Positive; negative e. Compromising; collaborative

c. Corporate; ethical

When we discuss _____ approaches, we are talking about how organizational decision makers actually approach ethical issues. a. Normative b. Individual c. Descriptive d. Organizational e. Values-based

c. Descriptive

_____ is the ability to perceive whether a situation or decision has an ethical dimension. a. Ethical issue intensity b. Locus of control c. Ethical awareness d. Moral intensity e. Opportunity

c. Ethical awareness

Which of the following would not be considered a negative reinforcement of employee behavior? a. Demotions b. Firings c. Ignoring the behavior d. Reprimands e. Pay penalties

c. Ignoring the behavior

Which of the following is the first step in the ethical decision making process? a. Being socialized into the firm's corporate culture b. Applying a personal moral philosophy in order to individualize the ethical decision making process c. Recognizing that an ethical issue exists d. Soliciting the opinions of others in a work group or in the overall business in order to gain feedback e. Enforcing the firm's ethical standards with rewards and punishment

c. Recognizing that an ethical issue exists

Which of the following is not considered a significant other group in the workplace? a. Peers b. Managers c. Spouses d. Coworkers e. Subordinates

c. Spouses

The relationship between business ethics and age a. shows a negative correlation. b. is simple, and greater experience leads to better ethical decision making. c. is complex, although experience helps older employees make ethical decisions. d. suggests that employees with less experience have a greater ability to deal with complex industry-specific ethical issues. e. does not demonstrate a statistically significant correlation.

c. is complex, although experience helps older employees make ethical decisions.

All of the following are true with regards to organizational factors except a. Employees approach ethical issues on the basis of what they learned from others in the organization. b. An alignment between a person's own values and the values of the organization help create positive organizational outcomes. c. Congruence in personal and organizational values is related to commitment, satisfaction, motivation, ethics, work stress, and anxiety. d. Ethical choices in organizations are most often made individually. e. Just as a family guides an individual, specific industries give behavioral cues to firms.

d. Ethical choices in organizations are most often made individually.

_____________ is/are important in establishing a foundation for normative values. a. Corporate conduct b. Descriptive approaches c. Codes of ethics d. Institutions e. Opportunity

d. Institutions

Which of the following is not an individual factor that affects business ethics? a. Nationality b. Age c. Religion d. Significant others e. Education

d. Significant others

The ethical decision making process in business includes all of the following except a. Individual factors b. Opportunity c. Ethical issue intensity d. Society's view of the decision e. Organizational factors

d. Society's view of the decision

People who believe in _____ go with the flow because they feel the events in their lives are uncontrollable. a. ethical decision making b. internal locus of control c. an ethical culture d. external locus of control e. significant others.

d. external locus of control

Studies have found that more than a third of the unethical situations that lower- and middle-level managers face come from _____. a. stakeholder expectations and pressures. b. pressures to satisfy customers. c. pressures from the government to perform at a high level. d. internal pressures and ambiguity surrounding internal organizational rules. e. struggles to obey relevant laws.

d. internal pressures and ambiguity surrounding internal organizational rules.

Philosopher John Rawls believed a. political institutions significantly influenced the development of values. b. ethical decision making models should only use normative approaches. c. competition should be completely free of government intervention. d. justice principles were beliefs that everyone could accept. e. opportunity factors had the greatest influence over business ethical decision making.

d. justice principles were beliefs that everyone could accept.

_____ have been found to decrease unethical practices and increase positive work behavior. a. High educational attainment levels b. High levels of community involvement c. Charismatic leaders d. Strong religious beliefs e. Good personal values

e. Good personal values

External and internal rewards relate to which part of the ethical decision making framework? a. Individual factors b. Significant others c. Cognitive moral development d. Obedience to authority e. Opportunity

e. Opportunity

For people who begin the value shift that leads to unethical decisions, which of the following is not a usual justification to reduce and eliminate guilt? a. I need a paycheck and can't afford to quit right now. b. Those around me are doing it so why shouldn't I? c. If I don't do this, I might not be able to get a good reference from my boss when I leave. d. If I don't do this, I might never be promoted. e. This is in keeping with my personal morals and the code of conduct, so it is okay.

e. This is in keeping with my personal morals and the code of conduct, so it is okay.

Codes, rules, and compliance are essential in organizations. However, an organization built on _____ is more likely to develop a high integrity corporate culture. a. a charismatic leader b. the preferences of the CEO c. the grapevine d. formal relationships e. informal relationships

e. informal relationships

Employees who believe they control the events in their lives by their own effort and skill have a(n) a. external locus of control. b. moral intensity c. obedience to authority d. opportunity e. internal locus of control.

e. internal locus of control.

Multiple elements work on individuals to affect their behavior. While an individual may intend to do the right thing, _____ can alter this intent. a. cognitive dissonance b. familial expectations c. religious beliefs d. the desire for financial gain e. organizational or social forces

e. organizational or social forces

An ethical corporate culture needs _____ along with _____ to establish an ethics program and monitor the complex ethical decisions being made by employees. a. individual ethics; ethical issue intensity b. ethical issue intensity; ethics training c. organizational factors; individual factors d. employee evaluations; good intentions e. shared values; proper oversight

e. shared values; proper oversight

The thought experiment used by John Rawls that examined how individuals would formulate principles if they did not know what their future position in society would be is called a. equality principle b. utilitarian veil c. liberty principle d. universal principle e. veil of ignorance

e. veil of ignorance