BGSO 4000 Midterm
Which U.S. Act prohibits executives representing U.S.-based companies from paying bribes to foreign government officials, political parties, or political candidates? a) The USA Patriot Act b) The U.K. Bribery Act c) The Corruption of Foreign Officials Act d) The U.S. Foreign Corrupt Practices Act
The U.S. Foreign Corrupt Practices Act
The components if a typical issue management process include: a) Identify issue b) Generate options c) Take action d) All of the Above
All of the above
An emerging business model that attempts to strategically balance the interests of all stakeholders to solve social and environmental problems is called: a) Balances Corporation b) B Lab c) B Corporation d) CSR Corporation
B Corporation
Legal environmental intelligence includes: a) Patterns of aggressive growth versus static maintenance b) Analysis of local, state, national, and international politics c) Considerations of patents, copyrights, or trademarks d) Information regarding costs, prices, and international trade
Considerations of patents, copyrights, or trademarks
The iron law of responsibility says that: a) In the long run, those who do not use power responsibly will lose it b) In the short run, sacrificing social goals for economic goals c) Law is most important, more than social or economic responsibility d) In the long run, economic responsibility leads to social responsibility
In the long run, those who do not use power responsibly will lose it
Patterns of government taxing and spending that are intended to stimulate or support the economy are: a) International standards policies b) Social assistance policies c) Fiscal policies d) Monetary policies
Fiscal policies
The drivers of stakeholders of engagement are: a) Scanning, assessment, and growth b) Data, strategy, and organizational development c) Goals, motivation, and operational capacity d) Financial, operational, and legal
Goals, motivation, and operational capacity
When something stands out from a background, is seen as important, or draws attention it is: a) Urgent b) Salient c) Powerful d) Legitimate
Salient
Positive reputation can be valued as an intangible corporate: a) Asset b) Liability c) Charity d) Expense
Asset
According to the United Nations, a feature of democracy is a) Fair elections b) An independent media c) A government with power balanced among executive, legislative, and judicial branches d) All of the above
All of the above
An example of an international financial and trade institution is: a) World Bank b) International Monetary Fund c) World Trade Organization d) All of the above
All of the above
Good corporate citizens: a) Strive to conduct business dealings in an ethical manner b) Make a concerted effort to balance the needs of all stakeholders c) Work to protect the environment d) All of the above
All of the above
Antitrust laws protect consumers from: a) Anticompetitive practices by business b) Selling products above cost to drive away rivals c) Conspiring with business partners to increase competition d) Firms using market dominance to expand commerce
Anticompetitive practices by business
Microfinance refers to: a) Banks lending money to a very small number of businesses b) Banks lending money to low-income businesses c) Banks lending very small amounts to wealthy businesses d) Banks charging low fees for all business loans
Banks lending money to low-income businesses
Departments, or offices, within an organization that reach across the dividing line that separates the company from groups and people in society are: a) Inter-departmental divisions b) Geographical location areas c) Boundary-spanning departments d) Organizational maps
Boundary-spanning departments
When a firm solicits its stockholders for political contributions for a particular candidate by letter and then sends those contributions to the candidate on behalf of its stockholders, it is called: a) Lobbying b) Bundling c) Collating d) Constituency building
Bundling
Failure to understand the beliefs and expectations of stakeholders: a) Causes a company's profits to increase in the short run b) Causes a company's profits to decrease in the short run c) Causes the performance-expectations gap to grow larger d) Increases the chance of a corporate buy-out
Causes the performance-expectations gap to grow larger
Integrity-based ethics programs: a) Seeks to avoid legal sanctions b) Combines concern for the law with an emphasis on employee responsibility c) Threatens employees with punishment for non-compliance with the ethics program d) Are predominately implemented within the European Union
Combines concern for the law with an emphasis on employee responsibility
Past decisions of the courts, the original basis for the U.S. legal system, are called: a) Torts b) Amendments c) Legitimate actions d) Common laws
Common laws
When attempting to build ethical safeguards into the company, businesses can take the following specific approaches: a) Institutional and Legal b) Legal and Practical c) Compliance and Integrity d) Value-based and Consequentialism
Compliance and Integrity
Which political action strategy seeks to gain support from other affected organizations to better influence policymakers? a) Information strategy b) Constituency-building strategy c) Financial-incentive strategy d) Lobbying strategy
Constituency-building strategy
Cross-cultural contradictions arise due to: a) The emergence of a developing country's economic power b) Religious differences practiced by business executives b) Differences between home and host countries' ethical standards d) All of the above
Differences between home and host countries' ethical standards
Which of these statements accurately describes a Super PAC? a) Allows limited contributions from unions b) Allows limited contributions from individuals c) Is also called the dependent expenditure-only committee d) Does not allow direct contributions to candidates or political parties
Does not allow direct contributions to candidates or political parties
When a government orders companies not to conduct business in another country because of a war, human rights violations, or lack of a legitimate government; these order are called: a) Government bailouts b) Political sanctions c) Economic sanctions d) Government stop-orders
Economic sanctions
According to management scholar Karl Albrecht, scanning to acquire environmental intelligence should focus on: a) Eight strategic radar screens b) Six management templates c) Eight process improvement models d) Six ethical decision indicators
Eight strategic radar screens
Which of the following are examples of natural monopolies? a) Electric utilities and railroads b) Cable television and the media c) Internet services and trucking d) None of the above
Electrical utilities and railroads
The unspoken understanding among employees of what is and is not acceptable behavior is called: a) Ethical climate b) Efficiency c) Success d) Rites and rituals
Ethical climate
This inter-American organization (North and South America) was created to unite organizations focusing on corporate social responsibility from Canada to Chile. a) Business for Social Responsibility b) Canadian Business for Social Responsibility c) Forum Empresa d) Foundacion Empresay Sociedad
Forum Empresa
Under the Sarbanes-Oxley Act, corporations are required to: a) Have executives vouch for the accuracy of a firm's financial reports b) Have their audit committee comprised of only executives employed by the firm c) Collect reimbursements from the U.S. government if financial restatements occur d) All of the above
Have executives vouch for the accuracy of a firm's financial reports
Expert witness testimony is often collected: a) Through company newsletters b) On the steps of the White House c) In Congressional hearings d) From the Wall Street Journal
In Congressional hearings
Public policy tools involve a combination of: a) Incentives and political favors b) Penalties and prison terms c) Incentives and penalties d) Political favors and prison terms
Incentives and penalties
Building ethical safeguards into a company's everyday routines is called: a) Change management b) Justifying ethics c) Institutionalizing ethics d) Ethical awareness
Institutionalizing ethics
The main drawback of utilitarian reasoning is that: a) The majority may override the rights of those in the minority b) Managers using this reasoning process often fail to consider the means taken to reach the end c) It is difficult to accurately measure both costs and benefits d) Cost-benefit calculations can only be provided by accountants
It is difficult to accurately measure both costs and benefits
When a business seeks to overturn a law after it has been passed or threatens to challenge the legal legitimacy of the new regulation in the courts, this is called: a) Accumulating b) Overturn lobbying c) Legal challenges d) Funneling
Legal challenges
The primary goal of a "vulture fund" is to: a) Provide countries with debt-relief b) Pay back loans in default c) Increase global financial stability d) Make a profit
Make a profit
When undertaking social initiatives, a company: a) Must take out social responsibility insurance b) Will always receive long-term profits c) May sacrifice short-term profits d) Risks going bankrupt in nearly all cases
May sacrifice short-term profits
Policies that affect the supply, demand, and value of a nation's currency are: a) International standards policies b) Social assistance policies c) Fiscal policies d) Monetary poilcies
Monetary policies
The term "race to the bottom" refers to: a) Seeking to mine valuable minerals from the bottom of the ocean b) Moving production jobs to the country with the lowest labor cost c) Efforts to deconstruct the assembly process in manufacturing industries d) An old concept of globalization that is no longer relevant
Moving production jobs to the country with the lowest labor cost
Which on of the following is considered to be a nonmarket stakeholder of business? a) Customers b) Nongovernmental Organizations c) Creditors d) Stockholders
Nongovernmental Organizations
An analysis of the stability or instability of a government is an example of scanning the: a) Social environment b) Legal environment c) Geophysical environment d) Political environment
Political environment
Which company ethics safeguard is commonly implemented as an employee "helpline"? a) Top management commitment b) Code of ethics c) Reporting mechanisms d) Compliance tracking
Reporting mechanisms
The three strategies of globalization can be summarized using what three words? a) Channels, operations, and chains b) Export, locate, and purchase c) Sell, make, and buy d) Ethics, imports, and sell
Sell, make, and buy
A firm subscribing to the ownership theory of the firm would mainly be concerned with providing value for its: a) Shareholders b) Customers c) Board of Directors d) Community
Shareholders
Corporate power refers to: a) The capability of competitors to influence legislation, trade, and the stock market, based on their organizational resources b) The capability of politicians to influence corporations, employees, and unions, based on their organizational resources c) The capability of corporations to influence government, the economy, and society, based on their organizational resources d) The capability of CEOs to influence product development, employee morale, and currency indices, based on their organizational resources
The capability of corporations to influence government, the economy, and society, based on their organizational resources
Stakeholder engagement is: a) Any issue that is of mutual concern to an organization and one or more of its stakeholders b) Competitive intelligence being collected ethically and systematically c) The process of ongoing relationship building between a business and its stakeholders d) The acquisition of information gained from analyzing the multiple environments
The process of ongoing relationship building between a business and its stakeholders
People's ethical beliefs come from: a) Legislative action and judicial decisions. b) Reading the company's profit and loss statements. c) Their religious background, family, and education. d) The organization's code of ethics.
Their religious background, family, and education
Economic leverage occurs when a business uses its economic power to: a) Hire lobbyists to gain a desired political action b) Pay for the costs of regulation to acquire a desired political action c) Threaten to leave a location unless a desired political action is taken d) Buyout another firm to acquire a desired political action
Threaten to leave a location unless a desired political action is taken
Dark money refers to: a) Anonymous contributions to for-profit organizations b) Money collected illegally by PACs c) Soft money d) Undisclosed contributions to tax-exempt organizations
Undisclosed contributions to tax-exempt organizations
When the benefits of an action outweigh its costs, the action is considered ethically preferred according to: a) Utilitarian reasoning b) Virtue ethics c) Theological reasoning d) Plato and Aristotle
Utilitarian reasoning
The five types of stakeholders' power recognized by most experts are: a) Voting, economic, political, legal, and informational power b) Social, legal, environmental, economic, and political power c) Social, regulatory, voting, governance, and information power d) Economic, informational, legal, shareholder, and political power
Voting, economic, political, legal, and informational power