Chapter 5
False
A good process for ethical decision making begins with considering the legal requirements.
Principled
A person who sees beyond authority, laws, and norms and follows his own self-chosen ethical principles is most likely to be in the _____ stage of Kohlberg's model of cognitive moral development.
Ethical
A situation, problem, or opportunity in which an individual is obligated to choose among several actions that must be evaluated as morally right or wrong is a(n) _____ issue.
True
A transcendent education involves balancing self-interest with responsibility to others.
tells others that wrongdoing has occurred.
A whistleblower is a person who
Transcendent education
A(n) _____ has five higher goals that balance self-interest with responsibility to others.
Ethics
Bill, the manager of Just Right Gelato, acts with integrity and honesty because he believes in a system of rules that governs the ordering of values. The system of rules that directs Bill's behavior is known as _____.
The veil of ignorance
According to John Rawls, only a person ignorant of his own identity can make a truly ethical decision. This thought process is based on _____.
Preconventional stage
According to Kohlberg's model of cognitive moral development, people in which of the following stages tend to make decisions based on rewards and punishments and immediate self-interest?
To increase profits
According to Milton Friedman, what is the social responsibility of business?
True
According to virtue ethics, moral individuals can transcend society's rules by applying personal virtues.
Organizations have a wider range of responsibilities that extend beyond the production of goods and services at a profit.
Advocates of corporate social responsibility argue that
Compliance-based
An ethics program that is designed by corporate counsel to detect, prevent, and punish legal violations is called a(n) _____ ethics program.
Intolerance of ineffective humanity
As one of the goals of a transcendent education, speaking out against unethical actions is called _____.
Generativity
As one of the goals of transcendent education, learning how to give as well as take, to others in the present as well as to those in the future is called _____.
Whistleblowing
Assume the meeting ends with the managers deciding not to do anything about the customers who are owed money for past claims. Lori, an employee who was present in the meeting, disagrees with the decision and gives an anonymous tip to a newspaper reporter about the unethical behavior. Which of the following best describes the action taken by Lori?
Philanthropic responsibility
Better Mornings Breakfast Foods Inc. donates large quantities of its products to support a free breakfast program at a school in a disadvantaged neighborhood. This program would be listed on which layer of the pyramid of corporate responsibilities?
Universalism
Brittany works as a receptionist for a medical office. Some of the doctors have asked her to tell patients that they are in an appointment when in fact they are playing golf. She wants to quit the job because she hates to lie to people and believes that all people should uphold certain values that society needs to function. Which of the following best describes the ethical system used by Brittany?
Are designed by corporate counsel to prevent, detect, and punish legal violations.
Compliance-based ethics programs
Corporate counsel
Compliance-based ethics programs are typically designed by _____.
Obligation toward society assumed by business
Corporate social responsibility is the _____.
Sustainable growth
Economic growth and development that meet present needs without harming the needs of future generations is known as _____.
Integrity-based
Going beyond legal compliance with ADA standards and training people to understand that individuals with disabilities also have valued abilities is an example of a(n) _____ ethics program.
Obeying all laws that affect Futura's operations.
Gwen's presentation most likely centered on taking which of the following actions?
Character
Having the strength and persistence to act in accordance with one's ethics despite the challenges is referred to as moral _____.
Philanthropic
Home Depot supports Habitat for Humanity, a nonprofit that builds affordable housing for those struggling with poverty, housing, or homelessness. Donation to such an organization is an example of _____ responsibility.
Business now sees such issues as a business opportunity.
How has the view of the business community toward environmental issues changed in the twenty-first century?
Ethical climate
In Scenario C, each of the managers tends to be responsible for creating a different _____ in their respective departments.
Preconventional
In Scenario D, according to Kohlberg's model of cognitive moral development, Amare can be categorized as being in the _____ stage.
Principled
In Scenario D, according to Kohlberg's model of cognitive moral development, Lily can be categorized as being in the _____ stage.
Ethical
In Scenario E, Madison's presentation most likely focused on the _____ responsibility of the firm.
Philanthropic
In Scenario E, Sergei's presentation most likely focuses on the _____ responsibility of the firm.
False
Individuals can be ethical leaders if they have a strong moral character, regardless of what issues actually get most of their attention.
False
Integrity-based ethics programs are primarily concerned with the avoidance of illegality.
A set of guiding principles
Integrity-based ethics programs involve _____.
Egoism
Jarrett believes that ethical behavior is anything that provides the maximum benefit for himself. What ethical system does Jarrett subscribe to?
Conventional stage
Jessie's behavior is typically guided by what she thinks would be acceptable to her parents. According to Kohlberg, which of the following stages of moral development does Jessie's behavior exemplify?
An ethical issue
Joan is a traveling sales representative. Most of her colleagues fill out inaccurate expense records in order to be eligible for extra reimbursement. Joan can either do the same thing or record real, accurate expenses. Joan's situation is an example of _____.
Awareness
Making ethical decisions takes moral _____, which helps a person realize that an issue has ethical implications.
realizing that an issue has ethical implications.
Moral awareness involves
Knowing which actions are morally defensible.
Moral judgment involves
principles, rules, and values people use in deciding what is right or wrong
Moral philosophy refers to the _____.
True
Most people have unconscious biases that favor themselves and their own group.
Corporate social responsibility
Old Salt, a manufacturer of various snack chips, changed its packaging to a more eco-friendly material. Additionally, it has reduced the water used in its production processes. Old Salt states that these actions make the earth a "better place to eat." In this scenario, Old Salt is participating in _____.
Virtue ethics
Omar acknowledges the importance of the conventional rules of society, but he wants to hold himself to a higher standard, according to the principles that he has decided are moral and ethical. Which of the following best describes the system that Omar uses?
Universalism
Once a year at the annual employee meeting, the president of Federated Finance reminds everyone of his belief that there are certain values that everyone can agree on, such as honesty, fairness, and respect for life. Which ethical system does the president believe in?
False
Profit maximization and corporate social responsibility necessarily lead to opposing corporate policies.
Universalism
Rafael believes that everyone should uphold honesty, justice, and kindness so that society can function at its best. Which ethical system best fits Rafael's beliefs?
Preconventional stage
Steve is a marketing agent who determines his work behavior solely on whether he thinks he can do actions without receiving immediate punishment from his boss. According to Kohlberg, which of the following stages of moral development does Steve's behavior exemplify?
True
Sustainable growth refers to economic growth and development that meet the organization's present needs without harming the ability of future generations to meet their needs.
Whistleblowing
Telling others, inside or outside the organization, about wrongdoing is called _____.
Kyosei and human dignity.
The Caux Principles are based on two ethical ideals
Risk
The creation and distribution of wealth generate by-products that can cause injury, loss, or danger to people and the environment. Because of that, we are said to live in a(n) _____ society.
the processes by which decisions are evaluated and made on the basis of right and wrong.
The ethical climate of an organization refers to
True
The ethical system known as egoism is similar to Adam Smith's concept of the invisible hand in business.
Egoism
The management of an organization follows the ideology that if they work keeping in mind the company's own economic self-interest, the total wealth of the society will be maximized. Which of the following best describes the ethical system used by the organization?
Economic, legal, ethical, and philanthropic
The order of the levels in the pyramid of global corporate social responsibility and performance from bottom to top is _____.
Understanding all moral standards and recognizing all moral impacts.
The process for ethical decision making begins with
Philanthropic
Which of the following responsibilities sits at the top of the pyramid of global corporate social responsibility and performance?
Ethical climate
The top executives of Granite Financial have established processes to review the company's financial dealings and communications with customers to make sure everything is legal and honest yet remain focused on profits. These processes are part of the company's _____.
Moral character
To behave ethically, an individual will require not just moral awareness and moral judgment but also
The greatest good for the greatest number should be the overriding concern of decision makers.
Utilitarianism is centered around the idea that
False
Values are the rules that govern people's behavior and identify the "goods" that are worth seeking.
The moral principles and standards that guide behavior in the world of business
What are business ethics?
Rewards and punishment
What do people in the preconventional stage of Kohlberg's model of cognitive moral development base their decisions on?
To choose more independent boards of directors
What does the Sarbanes-Oxley Act, passed in 2002, require of companies?
To create sustainable economic development and improvement of quality of life worldwide for all organizational stakeholders
What is the goal of ecocentric management?
Moral philosophy
When Pam has to decide whether something is right or wrong, she considers the writings of the ancient teachers Confucius and Marcus Aurelius, whose works she has read many times. These books form the basis of Pam's _____.
Relativism
When he stays in hotels, Jamal packs whatever towels he hasn't dirtied into his suitcase. Because all his friends do the same thing, he thought it was acceptable to do so. In this scenario, which of the following ethical systems has Jamal used to rationalize his decision?
Utilitarianism
Which ethical system states that the greatest good for the greatest number should be the overriding concern of decision makers?
The Caux Principles
Which ethical system was developed by a group of international executives, including business leaders from Japan, Europe, and the United States?
Philanthropic responsibility
Which level of the pyramid of global corporate social responsibility and performance represents a company's efforts to be a good global corporate citizen, such as supporting community programs?
Egoism
Which of the following best describes the ethical system used by Han to make his decision?
Universalism
Which of the following best describes the ethical system used by Jamila to make her decision?
Relativism
Which of the following best describes the ethical system used by Keith to make his decision?
Emphasizing short-term revenues over long-term considerations
Which of the following has been identified as a factor that contributes to unethical behavior?
Failure to establish a written code of ethics
Which of the following is a danger sign that organizations may be allowing or even encouraging unethical behavior?
Empathy
Which of the following is a goal of a transcendent education?
How would you feel if your actions were reported on the front page of a newspaper?
Which of the following is a question associated with the "sunshine" ethical framework?
Proposing a moral solution.
Which of the following is most likely to be the last step in an ideal ethical decision-making process?
Principled
Which of the following is one of Kohlberg's stages of cognitive moral development?
Civil aspiration
Which of the following is one of the five higher goals of a transcendent education?
Many whistleblowers suffer consequences such as being ostracized.
Which of the following is true of whistleblowing?
Ethical
Which of the following levels of corporate social responsibility of business includes meeting societal expectations that are not written as law?
Economic responsibility
Which of the following levels of the pyramid of global corporate social responsibility and performance represents a company's requirement to be profitable?
Universalism
Which of the following options best describes the ethical approach used in option 3?
Courage
Which of the following plays a role in the moral awareness involved in identifying an act as unethical, the moral judgment to fully consider the repercussions, and the moral character to take the ethical action?
Economic responsibility
Which of the following responsibilities lies at the base of the pyramid of global corporate social responsibility and performance?
Ethical responsibility
Which of the following responsibilities of business did Pork producer Smithfield Foods take on by discontinuing the practice of confining sows in gestation crates during pregnancy, conforming to external expectations though not legally required?
Focus on real-life situations that employees can relate to.
Which of the following should be done for constructing an effective ethics code?
The programs do not create a moral commitment to ethical conduct.
Which of the following statements about compliance-based ethics programs are true?
It requires strict adherence to accounting rules.
Which of the following statements about the Sarbanes-Oxley Act is true?
Ethical behavior should be based on the opinions and behaviors of relevant other people.
Which of the following statements best describes relativism?
Egoism
Which of the following terms best describes the ethical approach used in option 1?
Relativism
Which of the following terms best describes the ethical approach used in option 2?
Greenwashing
Which of the following terms refers to misleading marketing claims about the environmentally friendly nature of a product?
Compliance-based
Which of the following types of ethics program does Diana prefer for the company?
Integrity-based
Which of the following types of ethics program does Eli prefer for the company?
Mutuality
Which of the goals of a transcendent education involves viewing success not merely as personal gain, but as a common victory?
Relativism
Which philosophy would be the most likely to emphasize that there are different ethics in different cultures?
The rank-and-file employees
Who often suffers the most when corporations behave unethically?
Legal
Within the pyramid of global corporate social responsibility and performance, doing what is required by global stakeholders is categorized as a(n) _____ responsibility.
Civil aspiration
Zach believes that it is important to do more than just avoid lying. He also tries to use his words to encourage others and promote understanding. Which goal of transcendent education does this behavior most closely represent?
Relativism
_____ acknowledges the existence of different ethical viewpoints and uses norms as guidelines.
Egoism
_____ considers acceptable behavior to be that which maximizes benefits for the individual.
Ecocentric management
_____ has as its primary goal the creation of sustainable economic development and improvement of quality of life worldwide for all organizational stakeholders.
Sustainability
_____ in business is considered compatible with the natural ecosystems that generate and preserve life.
Life-cycle analysis
_____ is a process of analyzing all inputs and outputs, through the entire "cradle-to-grave" life of a product, to determine the total environmental impact of the production and use of a product.
Ethics
_____ is the system of rules that governs the ordering of values.
Economic
_____ responsibilities of business are to produce goods and services that society wants at a price that perpetuates the business and satisfies its obligations to investors.