BUS 100 WEEK 4,5,6

Scholars found that spirituality affects employee and organizational performance in what way

Positively

People everywhere depend on ethical systems to tell them whether their actions are

Right or wrong

A large sporting goods store that raised the age for purchase of some firearms in response to public concerns for gun control were seen by detractors as

Risking their reputation by engaging in politics

Businesses are expected to be ethical in their relationships with

Stockholders. Customers. Competitors

The core components upon which a company's ethical performance depends include

The values and virtues of the managers. The personal character of the managers and employees. The traditions, attitudes, and business practices built into a company's culture

People's ethical beliefs come from:

Their religious background, family, and education

Cooperation between business and government often occurs when

They encounter a common problem or enemy

Investors may receive an economic benefit from the ownership of stock by receiving:

dividends and capital gains

When attempting to build ethical safeguards into the company, businesses can take the following specific approaches:

Compliance and Integrity.

Which political action strategy seeks to gain support from other affected organizations to better influence policymakers

Constituency-building strategy.

Which of the following is an example of fulfilling social objectives through stock ownership?

Divesting from Chinese companies that made products using forced labor.

The directors of a company are a central factor in corporate governance because they

Exercise formal legal authority over company policy.

An argument in support of high executive compensation is:

High salaries provide an incentive for innovation and risk-taking.

Why should business be ethical

Most people want to act in ways that are consistent with their own sense of right and wrong. Ethical behavior protects business firms from abuse by unethical employees and competitors. Society's stakeholders expect it from businesses.

Government regulations help balance negative externalities such as

No smoking rules enforced to mitigate the effects of second-hand smoke

Proponents of business as a political participant argue

A pluralistic system invites many participants; and business is a vital stakeholder of government.

Government's role is to create and enforce laws that

Balance the relationship between business and society

Public policies and government regulations are shaped by

Business Special interest groups. Government.

The board committee that administers and approves salaries and benefits of high-level managers in a company is called

Compensation.

Which ethical criterion is described by the idea that a company should strive for efficiency

Egoism

Which of the following are examples of natural monopolies

Electric utilities and railroads

The unspoken understanding among employees of what is and is not acceptable behavior is called

Ethical climate

An argument that opposes the idea of high executive pay is

High salaries divert resources that could be used to invest in the business.

Which of the following is a key feature of effective boards of directors

Hold regular meetings without the CEO present.

One of the main reasons that American executives are paid so much is:

Pay is set by the compensation committees of the board, largely comprised of other CEOs who have an interest in pushing compensation up.

A common tactic in a financial-incentive political strategy is

Political contributions

A recent study found that, compared to the 1980s, managers today place what importance on moral values, such as honesty and forgiveness

Slightly more important.

Around the world, government

Sometimes cooperates and sometimes is in conflict with business.

Which of the following statements is not true about shareholders

They own equal shares of company assets

A legal right of shareholders is:

To vote on members for the board of directors.