Social Resposibility

Once an issue has been identified, its implications must be:

Analyzed.

A just or fair ethical decision occurs when:

Benefits and burdens are distributed in fair proportions.

Which of the following is not an example of an ethical criterion?

Corporate driven.

What is one advantage of operating as a B corporation?

Government certifications are frequently conferred.

The theory of comparative advantage states that:

Productivity rises more quickly when countries produce goods and services for which they have a natural talent.

Global market channels involve a firm producing goods in:

Their home country and exporting them to other countries.

Government has distinctive resources and competencies including:

- Knowledge of public policy. - Ability to enforce the rules. - Revenue from taxation.

Positive reputation can be valued as an intangible corporate:

Asset.

By law, the financial records of publicly held companies are required to be:

Audited by a certified professional accounting firm.

According to a 2017 survey, Americans hold a dim view of:

Business executives.

Failure to understand the beliefs and expectations of stakeholders:

Causes the performance-expectations gap to grow larger.

As an additional employee benefit to promote spirituality, companies have begun to provide employees with the services of:

Chaplains.

A purchasing agent directing her company's orders to a firm from which she received a valuable gift, is an example of:

Conflict of interest.

Legal environmental intelligence includes:

Considerations of patents, copyrights, or trademarks.

The costs of corporate social responsibility may ultimately be passed on to the:

Consumer through high prices.

Stakeholder partnerships, high-tech communication networks, and sustainability audits are examples of:

Corporate/Global Citizenship.

Ethical challenges for information technology employees include:

Data privacy and copyright protection.

Over time, the nature of business's relationship with its stakeholders often:

Evolves through a series of stages.

When a company puts its commitment to social and environmental responsibility into practice worldwide, not only locally or regionally, it is called:

Global Corporate Citizenship.

The drivers of stakeholder engagement are:

Goals, motivation, and operational capacity.

Experts attribute the growth of nongovernmental organizations to:

Greater openness in many societies.

The use of social media to conduct stakeholder engagement has:

Increased the ability to share information amongst employees and partners.

Corporations working collaboratively with other businesses and concerned persons and organizations is an example of stakeholder:

Networks.

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

Positively.

A firm that would like to develop a global supply chain would:

Purchase raw materials, components, or supplies from sellers in other countries.

Under the U.S. Corporate Sentencing Guidelines, if a firm has developed a strong ethics program, corporate executives found guilty of criminal activity may have their sentence:

Reduced.

Stakeholder engagement is, at its core, a:

Relationship.

Which company ethics safeguard is commonly implemented as an employee "helpline"?

Reporting mechanisms.

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

Right or wrong.

The issue management process is a:

Systematic process companies use when responding to public issues that are of greatest importance to the business.

Which of the following statements is not true about the interactive social system?

The boundary between business and society is clear and distinct.

Which argument says that stakeholder management realistically depicts how companies really work?

Descriptive argument.

Public issues are also sometimes referred to as:

Social issues and sociopolitical issues.

The explosive use of social media is an example of which environment?

Customer.

Business managers need a set of ethical guidelines to help them:

Identify and analyze the nature of ethical problem.

According to general systems theory, boundary exchanges are exemplified by which of the following?

- An industrial company installs new equipment in its plant to comply with environmental regulations. - A software company develops an application for a client. - A purchasing department employee negotiates a price on parts with a supplier.

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.

Proactive companies are:

Much less likely to be blindsided by crises and negative surprises.

The most effective ethics programs utilize which of the following:

Written policy. Posters. Quick reference guides.

What kind of power might a local community use to influence a company's decisions?

Publicizing an issue. Lobbying government policy makers for regulations. Challenging whether a specific business activity should continue.

Why should business be ethical, according to Figure 5.1?

All of these answers are correct.

This inter-American organization (North and South America) was created to unite organizations focusing on corporate social responsibility from Canada to Chile.

Forum Empresa.

An issue's public profile indicates to managers:

How significant an issue is for the organization, but it does not tell them what to do.

Which of the following is not true about justice reasoning?

The reasoner is interested in the net value of benefits.

People's ethical beliefs come from:

Their religious background, family, and education.

Integrity-based ethics programs:

Combine concern for the law with an emphasis on employee responsibility.

Stakeholders have been able to form international coalitions more successfully through use of:

Communications technology.

The capability of corporations to influence government, the economy, and society, based on their organizational resources is called:

Corporate power.

Ethics policies typically cover all of the following issues except:

Encouraging discriminatory personnel practices.

The iron law of responsibility says that:

In the long run, those who do not use power responsibly will lose it.

temporary issue management:

Is an interactive, forward-thinking process.

In the case Insuring Uber's App-On Gap, which type of power do Uber customers have?

Legal and economic.

Firms that generally act only when forced to do so, and then in a defensive manner, are:

Reactive.

Stakeholder engagement is:

The process of ongoing relationship building between a business and its stakeholders.

A society where economic power is concentrated in the hands of government officials and political authorities is called:

A central state control system.

Mature adults typically base their ethical reasoning on broad principles and relationships such as:

Human rights and constitutional guarantees of human dignity; and universal principles of justice.

The primary goal of a "vulture fund" is to:

Make a profit.

Which country passed major anti-corruption reforms in 2016?

Mexico.

The Principles and Standards of Ethical Supply Chain Management Conduct includes the principle:

Protect confidentiality.

Which of these is not an objective of the Global Reporting Initiative (GRI)?

Providing tax incentives for global corporate citizens.

Which one of the following is considered to be a nonmarket stakeholder of business?

Nongovernmental organizations.

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

Compliance and Integrity.

The phenomenon of a person or group holding multiple stakeholder duties is referred to as:

Role sets.

The role of special interest groups is an important element in acquiring intelligence from which environment?

Social.

Proponents against corporate social responsibility feel that public officials, not business people, should solve societal problems because:

- Business people do not have the skill set to solve societal problems. - The private sector is not mandated to solve these issues.

Which of the following statements is (are) correct about stakeholders' power?

- Different stakeholders have different types and degrees of power. - Shareholders' voting power is limited to the percentage of share owned by the shareholder. - It uses resources to achieve a desired decision or outcome.

Global social audit standards concentrate on:

- Internally focused economic benefits for the firm. - Externally focused social benefits for the environment. - Externally focused social benefits for key stakeholders.

A member of the Chartered Financial Analyst Institute (CFA) must:

- Promote the integrity of and uphold the rules governing global capital markets. -Act with integrity, competence, diligence, respect, and in an ethical manner with the public. -Maintain and improve their professional competence.

Which of the following statements is true about corporate social responsibility?

Businesses should monitor and prevent social problems in advance of their becoming major issues; and corporations should be accountable for any actions that affect people, their communities, and the environment.

How did Intel eliminate conflict minerals from their supply chain?

By collaborating with most suppliers in the chain including smelters, processors, and traders.

An example of a Global Action Network, or GAN, is:

The Kimberley Process.

Which U.S. Act prohibits executives representing U.S.-based companies from paying bribes to foreign government officials, political parties, or political candidates?

The U.S. Foreign Corrupt Practices Act.

The most important agreement which codifies human rights is:

The Universal Declaration of Human Rights.

A conception of right and wrong is:

The definition of ethics.

Which of these components are not considered during a risk-assessment audit to gauge the effectiveness of a firm's ethics programs?

The financial bottom line.

Representation on the World Bank's board of directors is based on:

The size of the member nation's economy.

Managers responding to the needs of the local education system as a normal or routine aspect of its operations is an example of an organization in the:

Transforming stage.

In the case Insuring Uber's App-On Gap, which stakeholders supported ending the App-On Gap?

Uber customers, Uber drivers, consumer lawyers.

When the benefits of an action outweigh its costs, the action is considered ethically preferred according to:

Utilitarian reasoning.

Organizations founded with a core mission to create and sustain social value are called social:

Ventures.

Single-party rule by communist parties still remains in:

Vietnam.

A critic of globalization might argue that companies decide to manufacture in China mainly because of China's:

Weak health and safety regulations.

Assets that a person accumulates and owns at a certain point in time are called:

Wealth.

Which type of employee is most likely to report ethical issues in the workplace?

Executives.

If a manager approaches ethics with benevolence in mind, he or she would stress what?

Friendly relations with an employee.

Business managers need a set of ethical guidelines to help them:

Identify and analyze the nature of the ethical problem.

With the explosive growth of technologies that facilitate the sharing of information, this kind of stakeholder power has become increasingly important:

Informational power.

Building ethical safeguards into a company's everyday routines is called:

Institutionalizing ethics.

A firm subscribing to the shareholder theory of the firm would mainly be concerned with providing value for its:

Investors.

A stakeholder analysis:

Involves understanding the nature of stakeholder interests.

The main drawback to utilitarian reasoning is that:

It is difficulty to accurately measure both costs and benefits.

An ethics issue based on cross-cultural contradictions is best illustrated by which example?

Legally marketing a pesticide abroad that has been banned in the U.S.

Microfinance refers to banks:

Lending money to low-income businesses.

All of the following are external stakeholders of the firm except:

Managers.

When undertaking social initiatives, a company:

May sacrifice short-term profits.

Aristotle argued:

Moral virtue is a mean between two virtues.

The instrumental argument says stakeholder management is:

More effective as a corporate strategy.

The term "race to the bottom" refers to:

Moving production jobs to the country with the lowest labor cost.

The Heritage Foundation scored which nation of the world among the most repressed in 2018?

North Korea.

A company that channels employee behavior in a lawful direction by emphasizing the threat of detection and punishment is:

Operating under the compliance-based approach.

Business leaders, like automaker Henry Ford, developed these programs to support the recreational and health needs of their employees.

Paternalistic programs.

Once an organization has implemented the issue management program, it must:

Study the results and make necessary adjustments.

One factor in determining the moral intensity of an ethical issue is how quickly the consequences take effect, a factor that is known as:

Temporal immediacy.

hich statement characterizes the moral reasoning typically found in a child?

"I'll let you play with my toy if I play with yours."

The fiduciary duty of managers benefits a firm's:

- Shareholders. - Customers. - Employees.

Good corporate citizens:

- Strive to conduct all business dealings in an ethical manner. - Make a concerted effort to balance the needs of all stakeholders. - Work to protect the environment.

A leadership role in addressing emerging management issues is often taken by:

- The public affairs department. - The government relations department. - The department of sustainability or environmental, health and safety.

An example of an international financial and trade institution is:

- World Bank. - International Monetary Fund. - World Trade Organization.

What stakeholder group(s) can exercise legal power?

-Customers. -Shareholders. -Employees.

The percentage of global wealth concentrated at the base of the Pyramid is:

70 percent.

Which of the following companies is being the most socially responsible?

A company trying its best to operate in a way which will help local students get education and jobs.

A high magnitude of consequences that increases the moral intensity of an ethical issue is best exemplified by which of the following?

A food product contaminated with salmonella was distributed to stores.

Which of the following is not an example of stakeholders' economic power?

A social group protests a government's decision to raise taxes.

Because of the risks and opportunities public issues present, organizations need:

A systematic way of identifying, monitoring, and selecting public issues.

Most ethics or compliance officers are entrusted to:

Act as a liaison between the company and their temporary employees.

Which statement is not correct about the business-society interdependence?

Actions by governments rarely affect business.

Under the World Trade Organization's most-favored nation rule:

All import restrictions are illegal unless proven scientifically.

According to the United Nations, a feature of democracy is:

All of these answers are correct.

Businesses are expected to be ethical in their relationships with:

All of these answers are correct.

The components of a typical issues management process include:

All of these answers are correct.

An emerging business model that attempts to strategically balance the interests of all stakeholders to solve social and environmental problems is called:

B Corporation.

In the case Corporate Social Responsibility at Gravity Payments, which view in support of corporate social responsibility is relevant according to Figure 3.3?

Balances corporate power with responsibility.

Which of the following is the result of the inseparable relationship between business and society?

Both of these answers are correct: All business decisions have a social impact and the vitality of business depends on society's actions and attitudes.

stakeholder map is a useful tool because:

Both of these answers are correct: It enables managers to quickly see how stakeholders feel about an issue, and it allows managers to evaluate what outcomes are likely regarding an issue.

Departments, or offices, within an organization that reach across the dividing line that separates the company from groups and people in society are:

Boundary-spanning departments.

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

Ethical climate.

Some companies have created a department of corporate citizenship to:

Centralize under common leadership wide-ranging corporate citizenship functions.

Which of these statements is true about the U.K. Bribery Act?

Contains a strict liability offense for failure to prevent bribery by commercial organizations.

When working well, the issue management process:

Continuously cycles back to the beginning and repeats.

Modern corporations should be socially responsible because they:

Create jobs, influencing the lives of employees.

A market stakeholder is exemplified by which of the following?

Creditors.

As business becomes increasingly global:

Cross-cultural contradictions will increase.

Those in support of corporate social responsibility believe the practice:

Discourages government regulation.

All of the following are commitments of the Principles of the Code of Professional Conduct of the American Institute of Certified Public Accountants except:

Due Process.

A free enterprise system refers to:

Economic assets that are privately owned and exchanged in an open market.

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

Egoism.

According to management scholar Karl Albrecht, scanning to acquire environmental intelligence should focus on:

Eight strategic radar screens.

In the case LafargeHolcim and ISIS in Syria, a utilitarian benefit of keeping the plant open was:

Employees received paychecks.

The main reason a number of European countries require public companies to include employee members on their boards of directors is so that:

Employees' interests will be explicitly represented.

The issue of reactive management policies occurs in which stage of global corporate citizenship?

Engaged.

An analysis of the stability or instability of a government is an example of scanning which environment?

Political.

Stakeholders stand out to managers when they exhibit:

Power, legitimacy, and urgency.

Concerns about corporate social responsibility are exemplified by which of these statements?

Requires skills businesses may lack.

The deep anti-Americanism that exists in some parts of the world is thought to be caused by:

Resentment of cultural penetration from U.S.-based multinational enterprises.

At the core of rights reasoning is the belief that:

Respecting others is the essence of human rights.

What is the public issue in the case Businesses Respond to the Movement for School Safety?

Second amendment rights and the safety of students in schools.

The three strategies of globalization can be summarized using what three words?

Sell, make, and buy.

giant step is taken toward improving ethical performance throughout the company when:

Senior-level managers signal to employees that they believe ethics is a high priority.

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.

A firm that has global operations has:

Some or all of their manufacturing or service operations abroad.