International Business Test 1 Ch 4

Under the veil of ignorance, everyone is imagined to be ignorant of:

A. all of his or her particular characteristics

Internal stakeholders:

A. are individuals or groups who work for or own the business.

According to John Rawls:

A. each person should be permitted the maximum amount of basic liberty compatible with a similar liberty for others.

Cultural relativism suggests that:

A. ethics are nothing more than a reflection of culture and that a firm should adopt the ethics of the culture in which it is operating.

Identify the correct statement about the rights theories.

A. human beings have fundamental rights and privileges that transcend national boundaries.

Any personal institution that is capable of moral action such as a government or corporation is a:

A. moral agent.

Facilitating payments are:

A. permitted under the amended foreign corrupt practices act

Which of the following observations about the foreign corrupt practices act is true?

A. the act outlawed the paying of bribes to foreign government officials to gain business.

The ____ occurs when a resource is shared by all, but owned by no one, is overused by individuals, resulting in degration

A. tragedy of the Commons

To guard against abuse of employment practices and other nations, multinational should do all of the following except:

B. Adhere to working conditions of the host country if they are clearly inferior to those in a multinational's home nation

Which of the following was designed to allow GM to operate ethically in south Africa as long as the company did not obey the apartheid laws in its own south African operations?

B. Sullivan Principles

The utilitarian approach to business ethics suggests that:

B. The moral worth of actions or practices is determined by their consequences.

The righteous moralist suggest that:

B. a multinationals home country standard of ethics are the appropriate ones for companies to follow in foreign countries

Grease payments:

B. are facilitating payments made to expedite routine government action

Child labor is permitted and widely employed in country X. A multinational company entering country X decide to employ minors in its subsidiary, even though it is against the multinationals home country ethics. Which of the following approaches to business ethics would justify the actions of the multinational company?

B. cultural relativism

Identify the correct statement about environmental regulations.

B. environmental regulations are similar across developed and developing nations.

Which of the following enables managers to walk away from a decision that is profitable, but unethical?

B. moral courage

Identify the incorrect statement pertaining to foreign multinationals doing business in countries with repressive regimes.

B. no multinational company does business with nations that lack the democratic structures and human rights records of developed nations

Expatriate managers my experience more than the usual degree of pressure to violate their personal ethics because all all of the following reasons except:

B. they are psychologically and geographically closer to the parent company.

Which of the following refers the values and norms that employees of an organization share?

C. Organization culture

Which of the following is not likely to lead to unethical behavior?

C. a strong personal ethical code governing the conduct of an individual.

According to the Friedman doctrine:

C. businesses should not undertake social expenditures beyond those mandated by the law and required for the efficient running of the business.

Rawls' philosophy that inqualities are justified if they benefit the position of the least-advantaged person is known as the:

C. difference principle

Ethical dilemmas exists because of all of the following reasons except:

C. doing the right thing, or knowing what the writing might be, is often far too easy.

Identify the incorrect statement regarding ethical issues in international business.

C. ethical practices of all nations are similar in nature

The convention on combating bribery of foreign public officials in international business transactions excludes

C. facilitating payments made to expedite routine government action.

Managers of international business can do all following to make sure ethical issues are considered in business decisions except:

C. make sure that leaders within the business do not articulate the rhetoric of ethical behavior

____ mean standing in the shoes of the stakeholder and asking how the proposed decision may impact that stakeholder

C. moral imagination

The Kantian approach to ethics suggests that:

C. people should be treated as ends and never purely as means to the ends of others.

The United Nations Universal declaration of human rights, Related to employment, uphold all of the following except:

C. prohibition of the trade unions

External stakeholders:

C. typically compromise customers, suppliers, lenders, etc.

According to the ____ approach, the best decisions are those that produce the greatest good for the greatest number of people.

C. utilitarian

Article one of the united nations universal declaration of human rights states:"All human beings are born free and equal in dignity and rights." This best echoes:

D. Kantian ethics.

Whihc of the following, in a business setting, is taken to mean benevolent behavior that is the responsibility of successful enterprises?

D. Noblesse Oblige

The idea that universal notions of morality transcend different cultures is implicitly rejected by:

D. cultural relativism

According to the naïve immoralist:

D. if firms in a host nation do not follow ethical norms then the manager of a multinational should also not follow ethical norms there

Establishing ____ involve a business' resolve to place moral concerns ahead of other concerns in cases where either the fundamental rights of the stakeholders or key moral principles have been violated.

D. moral intent

The idea that businesspeople should consider the social consequences of economic actions when making business decisions and that there should be a presumption in favor of decisions that have both good economic and social consequences is known as:

D. social responsibility

According to ____, the social responsibility of business is to increase profits, so long as the company stays within the rules of the law.

D. the Friedman doctrine

Justice theories of business ethics focus on:

D. the attainment of a just distribution of economic goods and services.