Business Ethics Final Review (Mods. 4-5)

Which of the following is part of the discovery process? A. assessment B. answering C. planning D. response E. assuring

A. assessment

What does mediation involve? A. the conflict is settled by a jury of peers B. an objective third party helps two parties settle their differences C. a judge becomes involved to rule on the case D. an independent third party determines the settlement E. an independent third party forces the losing party to pay a fine

B. an objective third party helps two parties settle their differences

Which of the following is a barrier to communication between leaders and followers? A. Power differentials B. Groupthink C. Disciplinary procedures D. The presence of hotlines E. Regulation

A. Power differentials

Why are leaders important even in a democratic organization? A. Employees are ill equipped to make ethical decisions. B. Leaders are the only ones with both character and competence. C. It is hard to motivate employees to make decisions. D. Leaders often make the final call on major decisions. E. Employee morale is low in these organizations.

D. Leaders often make the final call on major decisions.

How might a comprehensive code of conduct prove ineffective in curbing misconduct? A. The code of conduct focuses on global versus domestic issues. B. The code of conduct discourages nonverbal communication. C. The code of conduct is communicated to too many stakeholders. D. The code of conduct is not effectively communicated to employees. E. The code of conduct has too many examples.

D. The code of conduct is not effectively communicated to employees.

When handling a conflict situation, it is important for a leader to realize that the other party's concerns are _________. A. unproven B. correct C. wrong D. superior E. legitimate

E. legitimate

Which of the following is a step companies take in the recovery process? A. avoiding media reports that portray the firm in an unfavorable light B. shifting blame onto other stakeholders C. attempting to discover misconduct situations D. developing a crisis management plan E. reinforcing the firm's reputation with positive messages

E. reinforcing the firm's reputation with positive messages

Which of the following is true about dissent in organizations? A. Ethical cultures are likely to have strong internal dissent mechanisms. B. Hotlines are the preferred mechanism for reporting dissent. C. Those that report concerns are unlikely to experience retaliation. D. Dissent should be eliminated as it harms group cohesion. E. External reporting is the best way of resolving misconduct.

A. Ethical cultures are likely to have strong internal dissent mechanisms.

What is a downside to being a variable-sum leader? A. There is zero tolerance for dissent among employees. B. They measure success by how much the other side loses. C. They might give in to employees making unethical decisions. D. They try to avoid compromise at all costs. E. They refuse to collaborate on an acceptable solution.

C. They might give in to employees making unethical decisions.

An ethical leader with good interpersonal communication skills should ____________. A. never reprimand employees B. give up authority to maintain beneficial relationships C. demonstrate both respect and firmness in communication D. avoid delivering negative news E. place employee needs over organizational needs

C. demonstrate both respect and firmness in communication

Leaders with an avoiding conflict management style are more likely to exhibit ______________. A. ethical behavior B. high assertiveness C. ethical complacency D. high levels of cooperation E. a win-at-all-cost attitude

C. ethical complacency

Which mediation skill is important for an ethical leader to have in a conflict situation? A. defensiveness B. analytical skills C. use of neutral language D. the ability to impose penalties E. a zero-sum approach

C. use of neutral language

An effective team should possess which characteristic? A. Ambiguity B. Skepticism C. Diversity D. Extroversion E. Uniformity

C. Diversity

What should an ethical leader do if a conflict begins to escalate? A. Take the other party's side. B. Agree to a compromise. C. Bring the discussion back to the core issues. D. Reprimand those causing the conflict. E. Decide the conflict is not worth pursuing.

C. Bring the discussion back to the core issues.

To help prevent misconduct, ethical leaders should: A. Maintain a ratio of 3:1 for supervisors to employees B. Maintain at least 10 attorneys on staff at all times C. Develop and manage systems to maintain an ethical culture D. Write a new code of conduct each month E. Immediately fire any employee who is accused of misconduct

C. Develop and manage systems to maintain an ethical culture

Good communication skills __________. A. are usually verbal B. do not contribute to ethics C. come naturally D. promote decentralization in organizations E. promote leader-follower congruence

E. promote leader-follower congruence

Which situation demonstrates reciprocity? A. In response to co-workers help making a deadline, you assist them with a similar crisis B. You violate the rules by taking home office supplies. C. You shout at someone who has done nothing wrong. D. You avoid a conflict whenever possible. E. You do not thank your boss for your raise.

A. In response to co-workers help making a deadline, you assist them with a similar crisis

What is group polarization? A. When the group moves toward a more extreme position than what each member would have done individually. B. When the communicator takes little account of the needs of the receiver. C. When the group focuses on the needs of individuals and on building relationships between the parties. D. When the leader attempts to balance the needs of all the parties involved. E. When individuals go along with group decisions even when those decisions conflict with their own values.

A. When the group moves toward a more extreme position than what each member would have done individually.

Training employees in leadership techniques _________________. A. is a form of employee empowerment B. is a good way to establish a leadership hierarchy C. teaches employees important moral philosophies D. eliminates the need for managers E. encourages employees to listen to their personal values

A. is a form of employee empowerment

__________ occurs when ethical leaders observe and identify ethical risk areas. A. Disciplining B. Avoiding C. Recognizing D. Discovering E. Responding

C. Recognizing

According to Ethics Consultant, David Gebler, most unethical behavior is committed ______________. A. For personal gain B. Because employees generally dislike following rules C. Due to boredom D. To meet performance goals E. On Tuesday afternoons

D. To meet performance goals

Which of the following is important in catching misconduct internally before it becomes a major issue? A. Disciplinary procedures B. Employee feedback C. The use of teams D. A response plan E. Monologue

B. Employee feedback

In a rigid hierarchical organization, communication generally consists of ______________. A. listening B. employee feedback C. two-way communication D. dialogue E. one-way communication

E. one-way communication

Why is the collaborating style of management most favorable to ethical conflict resolution? A. Leaders are willing to compromise their values for favorable outcomes. B. Leaders desire to meet the needs of others but adhere to their own goals and values. C. It totally disregards the zero-sum approach to conflict resolution. D. It enables the company to meet the needs of all its stakeholders. E. It creates a solution in which both parties to a conflict can win.

B. Leaders desire to meet the needs of others but adhere to their own goals and values.

Why is the mixed-motive conflict management style considered to be the most effective? A. It seeks win-win situations for everyone involved. B. It seeks to win at any cost necessary. C. It is the most effective way to achieve productivity. D. It bases decisions on the goals and values of the firm. E. It pursues profits above all else.

D. It bases decisions on the goals and values of the firm.

Separating the people from the issue in an ethical conflict situation allows the leader to approach the conflict situation with more __________. A. power B. resources C. compromise D. superiority E. objectivity

E. objectivity

Which statement best describes how autocratic leaders communicate? A. They tend to establish open communication cultures. B. They tend to use more nonverbal signals. C. They limit communication to need-to-know information. D. They engage in highly transparent communication. E. They do not communicate with subordinates.

C. They limit communication to need-to-know information.

What is a disadvantage of small group communication and decision making? A. Decision making is usually uncreative. B. It can lead to excessive risk taking. C. Most individuals are too timid to participate. D. It destroys group cohesion. E. No leader is present in the discussion.

B. It can lead to excessive risk taking.

When might a zero-sum conflict approach be necessary? A. When both sides need to be appeased. B. When winning is more important than ethics. C. When the situation requires compromise. D. When compromise would break a law. E. When a conflict requires collaboration.

D. When compromise would break a law.

According to the information shared in this section, ________ might provide a solution to a disagreement, but it is unlikely that both parties will be happy with the decision. A. verbal threats B. mediation C. collaboration D. litigation E. intimidation

D. litigation

Which statement is true about employee feedback? A. It helps to eliminate the need for managers in the organization. B. It is not as important as feedback from employers. C. It trains employees in ethical conduct. D. It tricks employees into believing their opinions matter. E. It helps leaders identify the firm's strengths and weaknesses.

E. It helps leaders identify the firm's strengths and weaknesses.

Which of the following statements about nonverbal communication is false? A. It can signal whether an employee is truly paying attention. B. It can be complex when different cultures are involved. C. It provides important clues about an individual's emotional state. D. It can be harder to control than verbal communication. E. It is less trustworthy than verbal communication.

E. It is less trustworthy than verbal communication.

How can ethical leaders increase employee empowerment? A. Discipline employees who violate the firm's ethical policies. B. Develop a detailed code of conduct. C. Avoid identifying an issue as being unethical. D. Discourage conflicts within the organization. E. Make discussions about ethics commonplace.

E. Make discussions about ethics commonplace.

Which of the following factors impact the length of time it takes for companies to recover from ethical misconduct? A. The length of time it takes for the company to resolve the issues B. None of these answer options impact the length of time it takes for companies to recover C. How stakeholders perceive the company's response D. All three answer options impact the length of time it takes for companies to recover E. How the company responds after discovering the misconduct

D. All three answer options impact the length of time it takes for companies to recover

What is a potential downside of overusing the compromising style of conflict management? A. Resolution becomes impossible. B. Misconduct can be ignored. C. Each side has to give something up. D. The two sides avoid talking to one another. E. One side of the conflict always loses.

C. Each side has to give something up.

In order to promote an open communication culture, leaders should ____________________. A. adopt more of a democratic process toward ethical decision making B. encourage employees to use the hotline rather than report to managers C. secure employee input for every decision D. discourage dissent as it can disrupt operations and expose wrongdoing E. establish a reprimand system for employees who do not meet performance goals

A. adopt more of a democratic process toward ethical decision making

What is the problem with an accommodating style of conflict management? A. Leaders are likely to actively engage in misconduct themselves. B. Leaders might allow unethical employees to continue their misconduct. C. Leaders will seek to avoid conflict at any cost necessary. D. Leaders are unwilling to collaborate or compromise. E. Leaders will do whatever they can to make sure the other side loses.

B. Leaders might allow unethical employees to continue their misconduct.

What do zero-sum leaders believe? A. Conflict resolution is unimportant for maintaining ethical conduct. B. Different approaches should be adapted depending upon the situation. C. There should be zero tolerance for misconduct in the organization. D. Both sides of an ethical conflict can obtain a favorable outcome. E. There always has to be a winner and a loser in a conflict situation.

E. There always has to be a winner and a loser in a conflict situation.

Why might listening be just as important as speaking for an ethical leader? A. It allows leaders to convey important information. B. It can keep leaders from having to speak much. C. It can establish credibility and increase morale among employees. D. It enables leaders to avoid a complex decision making process. E. It is a good way to hide a leader's bad communication skills.

C. It can establish credibility and increase morale among employees.

Why are managers reluctant to engage in the discovery process? A. Most discovery mechanisms are ineffective in detecting misconduct. B. Discovery forces leaders to acknowledge financial losses. C. They fear uncovering misconduct could harm the firm's reputation. D. They are required to hire outside auditors, which is costly. E. Discovery usually involves having to lay off employees.

C. They fear uncovering misconduct could harm the firm's reputation.

____________ occurs when both the communicator and receiver considers the unique worth of the other party and tries to understand what the other is communicating. A. Monologue B. Nonverbal communication C. Listening D. Dialogue E. Diatribe

D. Dialogue

Why might ethical conflicts be important to an ethical culture? A. Ethical conflicts are the most important way to create an ethical culture. B. Ethical conflicts often warrant government intervention. C. Ethical conflicts are used to root out unethical employees. D. Ethical conflicts can be used to identify ethical issues. E. Ethical conflicts in an organization are always the result of misconduct.

D. Ethical conflicts can be used to identify ethical issues.

Why is an organization characterized by workplace politics perceived negatively by employees? A. The leader almost always faces scrutiny and ends up departing the organization. B. Leaders of these firms never distribute rewards and focus on retribution. C. Nonverbal communication is not considered to be important. D. Followers are rewarded based on whether they serve the leader's best interests. E. These companies do not have ethical codes.

D. Followers are rewarded based on whether they serve the leader's best interests.

What is the best way to avoid an ethical misconduct disaster? A. Hire managers who will use negative reinforcement to get employees to act ethically. B. Create a solid defense to explain why the firm engaged in misconduct. C. Fire all employees who violate company standards. D. Identify a potential ethical issue before it snowballs into a crisis. E. Avoid addressing ethical issues until they become more serious.

D. Identify a potential ethical issue before it snowballs into a crisis.

What might be true of leaders who adopt a competing style of conflict management? A. They are flexible and adaptable. B. They are usually considered to be ethical. C. They score high on cooperativeness. D. They score high on assertiveness. E. They are more willing to compromise.

D. They score high on assertiveness.