Intro to Business Ch2

is a systematic analysis of a firm's success in using funds earmarked for meeting its social responsibility goals.

A corporate social audit

A political action committee is

A means through which organizations legally contribute to campaign funds in order to influence the government

Which of the following statements best defines the term "whistleblower"?

A person who discovers and tries to put an end to a company's unethical, illegal, or socially irresponsible actions by publicizing them

Which of the following BEST defines the obstructionist stance toward social responsibility?

Approach to social responsibility that involves doing as little as possible and may involve attempts to deny or cover up violations

A company that produces and distributes alcoholic beverages places all legally required warning labels on its products.​ However, in countries where such warning labels are not​ required, it does not do so. What approach to social responsibility does this BEST​ demonstrate?

Defensive stance?

Which of the following is an example of a government-created agency to regulate environmental issues?

EPA

Which of the following is true of ethics?

Ethics are based on individual beliefs and social concepts and vary from person to person.

Which of the following issues would likely be addressed in an organization's code of ethics?

Gift giving and receiving

Which of the following scenarios is an example of whistleblowing?

Ida contacts the Food and Drug Administration to report contamination problems at the pharmaceutical company where she works.

What is collusion?

Illegal agreement between two or more companies to commit a wrongful act

Which of the following is TRUE of ethics?

Includes beliefs that it is good to help others and wrong to steal, for example

What is the term for the illegal practice of using special knowledge about a firm for profit or gain?

Insider trading

An organization that __________ conducts business in a way that treats employees respectfully, complies with proper accounting procedures, and stands behind the quality of its products or services.

Is socially responsible

Which of the following statements BEST describes ethical behavior?

It means that individuals act in a manner that follows their beliefs and social norms about what is right and good.

Which of the following is TRUE concerning a code of ethics?

It should be specific to lead the employees, but also should allow some freedom of judgment.

is the extent to which the organization conforms to local, state, federal, and international laws.

Legal compliance

The National Association of Realtors hires a consulting group to meet with members of Congress and the Senate and​ develop, advance, and influence legislation concerning the ownership and operation of real estate. This is an example of​ _______.

Lobbying

An automobile manufacturer learns about an ignition switch defect that may cause serious safety issues but rather than enact an expensive recall of hundreds of thousands of​ vehicles, management covers it up. Which approach to social responsibility would this BEST​ demonstrate?

Obstructionist stance?

Which of the following is a company exhibiting when they have the highest degree of social responsibility?

Proactive stance

Which of the following scenarios BEST represents business ethics?

Sam was at home reading his email when he realized he had accidentally been included on a private work email about one of his colleagues. Sam immediately contacted the email's sender and explained that he would keep the information confidential.

Which of the following is the BEST definition of managerial ethics?

Standards of behavior that guide individual managers in their work

Which of the following defines a defensive stance toward social responsibility?

The approach to social responsibility by which a company meets only minimum legal requirements in its commitments to groups and individuals in its social environment

Which of the following defines an accommodative stance toward social responsibility?

The approach to social responsibility by which a company, if specifically asked to do so, exceeds legal minimums in its commitments to groups and individuals in its social environment

Which of the following is the definition of regulation?

The establishment of laws and rules that dictate what organizations can and cannot do

Which of the following is the BEST definition of ethical compliance?

The extent to which the members of the organization follow basic ethical and legal standards of behavior

Which of the following BEST describes a conflict of​ interest?

When an activity may benefit an individual to the detriment of the organization

_______ involves public​ disclosure, often by an​ employee, of​ corruption, a​ wrongdoing, or illegal or unethical conduct on the part of others within an organization.

Whistle-blowing

Absco Enterprises meticulously follows all laws and regulations and attempts to satisfy ethical​ requirements, but it does not go out of its way to address social or environmental issues unless it is persuaded to do so. This would suggest that the company has adopted​ a(n) _______ stance to social responsibility.

accommodative

A manager who discriminates against a member of a protected class in an employment decision such as​ hiring, firing,​ training, or promotion demonstrates​ _______ behavior.

both unethical and illegal

Ethical or unethical behaviors by employees and managers in the context of their jobs are referred to as​ _______.

business ethics

​John, a purchasing​ agent, is offered an​ all-expense paid trip to Hawaii by a supplier if he agrees to award a substantial amount of business to the supplier. Accepting this trip would constitute​ _______.

conflict of interest?

A group of people who work together to create a Passenger's Bill of Rights that protects airline ticket buyers is an example of

consumerism

Organized efforts by​ individuals, groups, and the government to help protect consumers from unfair business practices are referred to as​ _______.

consumerism

A senior level manager in a corporation learns that the Chief Financial Officer is going to be indicted the following day on charges of accounting fraud. He quickly sells his shares of stock in the​ corporation, fearing that the stock will fall after news of the indictment. This is an example of​ _______.

insider trading

Which of the following best describes the use of persons or groups to formally represent an organization or group of organizations before political bodies?

lobbying

If you work as a supplier to a corporation, you are a(n)

organizational stakeholder

As the owner of a store that sells high-quality accessories, Drew supports her local community's women's shelter through donations of cash as well as items such as leather handbags, a kind of social responsibility known as

philanthropic giving

Phyllis's company donates​ $1 million to the local humane shelter so that it can build a new facility in the area. This is an example of​ _______.

philanthropic giving

Companies cannot legally donate to political campaigns but they can influence government through

political action committees

A group formed for the purpose of soliciting funds and then contributing those funds to the campaigns of politicians is known as​ a(n) ______

political action committee​ (PAC)

Which of the following is the approach to social responsibility by which a company actively seeks opportunities to contribute to the well-being of groups and individuals in its social environment?

proactive stance

Direct influence to shape social responsibility practices by the government is most often accomplished through​ _______.

regulation

Which of the following is the BEST definition of legal compliance?

the extent to which the organization conforms to local, state, federal, and international laws

Moving factory production to an area with low wages and few health regulations may not be illegal, but it would mostly likely be considered

unethical behavior