LEGL CH 5

An overemphasis on long-run profit maximization is the most common reason that ethical problems occur in business. T/F

FALSE

1. GetTogether, A Social Media Company encourages its managers to behave ethically, reasoning that lower-level employees will take their cues from management. One of the most important ways to create and maintain an ethical workplace is for GetTogether's management to a. demonstrate a commitment to ethical decision making. b. discreetly engage in unethical or illegal acts. c. look the other way when an employee engages in an unethical act. d. direct employees to "do as we say, not as we do."

a. demonstrate a commitment to ethical decision making.

1. Palette Paints, Inc. expends funds and takes steps to ensure that all employees are safe on the job, that all products are safe for consumers, and that the environmental impact of the corporation is minimal. Palette Paints appears to believe in the concept of a. the moral minimum. b. corporate social responsibility. c. "grey areas" in the law. d. government oversight.

b. corporate social responsibility.

1. In making business decisions, Ridgeline Utility Service Company and other corporations should strive to be "good citizens" by evaluating a. the legal implications of each decision. b. the public relations impact. c. the safety risks for consumers and employees. d. all of the choices.

d. all of the choices.

An action may be legal but not ethical. T/F

TRUE

The FCPA is a criminal law. T/F

TRUE