Ch. 2 Business ethics and Social responsibility

Match the stages of social responsibility with the appropriate example. -Financial viability -Compliance with legal and regulatory requirements -Ethics, principles, and values -Philanthropic activities

Financial viability- Starbucks offers investors a healthy return on investment, including paying dividends. Compliance with legal and regulatory requirements- Starbucks specifies in its code of conduct that payments made to foreign government officials must be lawful according to the laws of the U.S. and the foreign country. Ethics, principles, and values- Starbucks offers healthcare benefits to part-time employees and supports coffee growers by offering them fair prices. Philanthropic activities- Starbucks created the Starbucks Foundation to award grants to eligible nonprofits and to give back to its communities.

Knowing the importance of employee relations, what is the likely result of a company that listens to employees' grievances and treats them fairly?

Higher morale among employees

______ is an example of conflict of interest.

Insider trading

Which craft brewer is the first all0wind -powered brewery in the United States?

New Belgium Brewing Company

Thinking of the various categories for misconduct in the workplace, select from the following the person who is engaged in misconduct based on "fairness and honesty"

Sandra takes reams of copy paper from the office to use with her printer at home.

Match the terms to their descriptions.

Social responsibility- this relates to the impact of an entire businesses' activities on society Business ethics- this relates to an individual's or work group's decision that society evaluates as right or wrong

All of the following are questions to consider in determining whether an action is ethical EXCEPT __________.

Will this activity further my career?

Which behavior is the most common ethical problem for employees?

abusive behavior

_____ is difficult to assess and manage because of diversity in culture and lifestyle.

abusive behavior

physical threats, false accusations, use of profanity's and yelling at others all fall under which category of organizational misconduct?

abusive behavior

money given in exchange for a special favor is called a ______ and it benefits an individual or a company at the expense of other stakeholders.

bribe

What type of behavior creates a hostile workplace environment but has little legal recourse?

bullying

The legal rules and regulations that govern the conduct of business is referred to as ______.

business law

The legal ability to enter into a contract is called contractual _________ and my be restricted by age or mental capacity.

capacity

According to the consumer bill of rights, the right to ________ ensures that consumer have access to a variety of goods and services at competitive prices.

choose

Criminal and civil laws are derived from four sources. Which source refers to precedents established by judges?

common law

sustainability can be defined as.

conducting activities in such a ways as to provide for the long-term well-being of the natural environment.

This exists when a person must choose whether to advance his or her own personal interests or those of others

conflict of interest

The activities that independent individuals, groups, and organizations undertake to protect their rights as consumers is called _________.

consumerism

A ________ is a mutual agreement between two or more parties that can be enforced in a court if one part chooses not to comply.

contract

According to most states, all of the following contract should be in writing EXCEPT ___________.

contracts for the sale of goods under $500

_______ protect the ownership rights on material (often intellectual property) such as books, music, videos, photos, and computer software.

copyrights

The extent to which businesses meet the four dimensions of social responsibility placed on them by stakeholder is referred to as _______ citizenship.

corporate

The extent to which businesses meet the legal, ethical, economic, and voluntary responsibilities placed on them by their stakeholder is referred to as ________.

corporate citizenship

Laws are classified as either criminal or civil. _______ law not only prohibits a specific kind of action, such as unfair competition or mail fraud, but also imposes a fine or imprisonment for violation the law. ________ law specifies the rights and duties of individuals and organizations and violations may result in fines but not imprisonment.

criminal civil

Businesses must first be responsible to their owners, who are primarily concerned with _______.

earning a profit

Wind power, solar power, and nuclear power are all forms of alternative ________ sources that businesses are turning to in order to reduce carbon emissions.

energy

Codes of _______ are formalized rules and standards that describe what the company expects of it s employees.

ethics

Fairness and honesty are at the heart of business ______ and relate to the general values of decision makers.

ethics

Organizations that adopt integrity-based ethical initiatives recognize that _______.

ethics should be a part of core organizational values

Bankruptcy is sometimes called ________ insolvency.

legal

In business law, the state or condition of being lawful is referred to as ________.

legality

Studies have shown that organizations that employ a diverse set of leaders tend to be ______ profitable.

more

Abusive behavior is difficult to assess and manage because ________.

people have very diverse cultures and lifestyles

An individuals values, principles, and standards of conduct are referred to as _________.

personal ethics

When employees copy the work or ideas of others and present it as his or her own this is called __________.

plagiarism

A number of studies have found a direct relationship between social responsibility and _______ as well as a link that exists between employee commitment and customer loyalty.

profitability

Real, personal, and intellectual property are all covered under ______ law when it comes to disputes about ownership and transfer.

property

OSHA regulates the _______ of employees in the workplace.

safety

To truly create an ethical culture, manager must _________.

show a strong commitment to ethics and compliance.

Jacinta has high individual moral standards and values but the opportunity still exists for her to engage in misconduct in her company. Which of the following is a key factor in keeping Jacinta from behaving unethically?

the behavior of her manager's and co-workers.

Spending work hours looking at personal email, submitting personal expenses on company expense reports and using the company copier for personal use are all examples of _______.

the misuse of company resources

What is the most common way businesses exercise their community responsibility?

through donations to charitable organizations?

True or False: Ethical issues often emerge from conflict?

true

A key component of ethical communications from companies to consumers is that the communication be ______.

truthful

Match the description to the pollution term it represents. Water pollution Air pollution Acid rain Global warming Land pollution

water pollution- the burial of industrial waste that may leech into undergrounds water supplies Air pollution- usually the result of smoke and other pollutants emitted by manufacturing facilities Acid rain- Chemical compounds that react with air and rain Global warming- carbon dioxide in the earths atmosphere prevents the earth's surface from cooling Land pollution- results from the dumping of residential and industrial waste, strip mining, forest fires, and poor forest conservation

Maribeth has first-hand knowledge that her supervisor is engaged in insider trading. At a minimum, this practice goes against company policy and may even be illegal so Maribeth reported her supervisor to the Securities and Exchange Commission. Maribeth is acting as a _____________.

whistelower

A code of ethics serves to ______.

-help to establish uniform ethical conduct -alert employees about important issues and risks -provide the foundation for evaluating ethical decision making

Aiden does not offer any direction to his employees regarding ethical behavior. Because of this, Aiden is putting his company at risk for which of the following?

=manipulation -dishonesty -conflicts of interest

Social responsibility is defined as ________.

A business's obligation to maximize its positive impact and minimize its negative impact on society

______ is/are principles and standards that determine acceptable conduct in business.

Business ethics

Which scenario exemplifies one of the most common ways employees abuse company resources?

Callie uses her company computer to shop online and check her Facebook page.

Read the items to determine if they apply to civil or criminal law

Criminal law: - enforced by the state or nation -imposed a fine or imprisonment - prohibits a specific kind of action like unfair competition Civil law: - enforced through the courts system by individuals or organizations - specifies the rights and duties of individuals and organizations - imposes a fine, but not imprisonment

Congress passed the _______ - __________ Act, which includes a "whistleblower bounty program"

Dodd- Frank Act

According to John F. Kennedy, which of the following represent the four basic rights of consumers?

- The right to choose - The right to be heard - The right to be informed - The right to safety

Select from the following those items that represent a misuse of company resources.

- Using the company computer for sending personal e-mails - submitting personal expenses on a company expense report - Using the company copier for personal use

Which of the following are the three most common factors that executives give for increase in employee turnover?

- loss of trust in the company -unfair employee treatment - a lack of transparency among company leaders

According to your text, ethical decisions in organizations are influenced by which of the following key factors?

- the opportunity to engage in misconduct - individual moral standards and values - the influence of managers and co-workers

Select the questions to consider when determining whether an action is ethical

- Are there legal restrictions? - How does this activity fit with your own beliefs and values? -Is this action customary in your industry? Would this activity be accepted by your co-workers?