GDB Midterm Exam Ch. 5

What are the next four steps a company should take in the decision-making process once it has identified its stakeholders? List the steps in the correct order, starting with step two at the top of the list.

1. judge the ethics of the proposed strategic decision 2. establish moral intent 3. engage in ethical behavior 4. audit the decisions

Which statement BEST explains how a manager's personal ethics might be challenged in international transactions?

Expatriate managers may face more pressure to violate their personal ethics.

Jeff is a manager at a toy manufacturing facility. Which of these situations demonstrate how Jeff uses his moral imagination?

Jeff decided not to outsource parts to a company in Asia because he knew the company used small children as laborers.

The justice theory attributed to _____ emphasizes the socially just distribution of goods in society.

John Rawls

What theories concentrate on the fair distribution of economic goods and services in a society?

Justice

In order to expedite routine government actions, what was specifically excluded from the Convention on Combating Bribery of Foreign Public Officials in International Business Transactions?

facilitating payments

Roboton Inc. moved its production facilities to a new nation where it freely dumps its harmful waste in the rivers and causes environmental degradation. In this case, Roboton has contributed to the

global tragedy of the commons.

Bennie is managing a call center in Italy. He is finding it difficult to motivate employees to meet their call volume using the standard tactics employed in the United States. Finally, Bennie is told that if he starts offering "daily cash bonuses" to employees, they will meet their targets. He is torn between doing what he believes is right and meeting his numbers. Bennie is facing a challenge to ______.

his personal ethics

What do scientists believe occurs as the result of the increasing amount of carbon dioxide in the atmosphere?

the carbon dioxide reflects heat back to the earth's surface and the earth's temperature increases

The managers of ABC Manufacturing are struggling to meet their increased quota. They decide to eliminate two quality control steps in the manufacturing process. This is unethical behavior that was a result of

unrealistic performance goals.

What is one thing a company must have in order to build an organizational culture that emphasizes ethical behavior?

The business must explicitly articulate values that emphasize ethical behavior.

What is the focus of the justice theories?

a fair distribution of economic goods and services

According to Rawls's theory of justice, all economic goods and services should be distributed equally except when _____.

an unequal distribution would provide everyone with an advantage

"Everyone is doing it" is not sufficient to prove that an action is ethically justified and is a criticism against _____.

the naive immoralist

According to Milton Friedman, what is the social responsibility of a business?

to increase profits

When the Morrison Manufacturing company was fined by the US government for the amount of carbon dioxide it released into the air, it decided to move its business to Thailand where it knew there were fewer restrictions on air emissions. Environmentalists would most likely question the ______ implications of this decision.

ethical

Companies that decide to relocate their production activities to a nation where there are fewer environmental regulations which allows the company to dump production waste into rivers are contributing to the _____.

global tragedy of the commons

TimeTurner Corp. is a company based in the United States that manufactures luxury wrist watches. By western standards, if the company uses sweatshop labor to make these watches it is most likely to be considered

unethical

Which of Hofstede's dimensions are likely to be found in nations where corruption is epidemic?

high power distance

Jennifer doesn't understand why the management team decided to continue supporting the supplier in India when it was obvious that a better product at a better price was available from a supplier in Indonesia. According to the text, what is the best starting point to understand this decision?

understand the process the management team uses to makes decisions

When Byron Manufacturing decided to recycle component parts, it not only saved the company money, it also limited the amount of waste it sent to landfills. This decision reflects the idea of _____.

CSR

Under Rawls' ______ principle, the long-run expectations of the least-advantaged social group need to be maximized.

difference

Scandinavia scores high on the individualism and uncertainty avoidance measures of societal culture. According to Hofstede's dimensions of societal culture, Scandinavia is more likely to engage in ______ business behavior than countries which score high on masculinity and power distance measures.

ethical

The main criticism of the righteous moralist approach is that

its supporter go too far. The home-country standards are not always applicable,

Giving people that which they are due is an example of a(n) ______ distribution.

just

Marion, a manager at a multinational investment firm located in Italy, knows that the company isn't reporting accurate profits to the government. She explains that this action is fine because all the multinational investment firms behave in the same manner. Marion's behavior reflects the ideas of a _____.

naive immoralist

Today, Freedom House ranks Myanmar as _____.

partly free

The Universal Declaration of Human rights was adopted by the _____ and is a global expression of what many believe are the rights to which all human beings are inherently entitled.

United Nations

The police have located a suspect in a dirty bomb threat to a major city. They plan to do whatever is necessary to locate the bomb -- including torture. Which approach to ethics are the police using in this situation?

Utilitarianism

Rights such as freedom of association and freedom of speech are

not universally accepted.

Ethical issues arise in international business when

environmental regulations in host nations are less stringent than those in the home country.

______ ethics holds that one should always respect the humanity in others and act in accordance with rules that could apply to everyone.

Kantian

In a business setting, noblesse oblige refers to _____ behavior considered to be the responsibility of successful enterprises.

benevolent

According to the Convention on Combating Bribery of Foreign Public Officials in International Business Transactions, the bribery of a foreign public official is considered a(n) _____.

criminal offense

What was taking place in South Africa when the apartheid system was dominant?

There was mandated segregation between whites and nonwhites.

The Universal Declaration of Human Rights has been ratified by _____.

almost every country