Intro to Business - Chapter 2

Which of the following statements about social responsibility is true?

The obligation that a business has to act socially responsible extends beyond the investors in the company to include workers, suppliers, consumers, and communities.

Which of the following statements about utilitarianism is true?

Utilitarianism holds that an action that affects the majority adversely is morally wrong.

A company has achieved the level of _____ responsibilities when it has met its ethical, legal, and economic responsibilities.

philanthropic

The highest level of the corporate social responsibility pyramid is:

philanthropic responsibilities

Social responsibility goes beyond obligations provided by law or union contract. Two important aspects of social responsibility are that the obligation is both:

voluntary and broad

_____ is the set of moral standards for judging whether something is right or wrong.

Ethics

Which of the following statements about ethics training is true?

Ethics training is formal training to develop awareness of inappropriate behavior and to practice appropriate responses.

Which of the following is an example of an ethical business activity?

The employee reported to his supervisors that a co-worker had misappropriated company funds.

Which of the following statements about human rights is true?

None of the above statements about individual rights is true.

_____ is the practice of limiting investments to securities in companies that behave in accordance with the investor's beliefs about ethical and social responsibility.

Social investing

_____ is the concern of businesses for the welfare of society as a whole.

Social responsibility

_____ are all the individuals or groups to whom a business has a responsibility.

Stakeholders

_____ is the practice of tying philanthropy closely to the corporate mission or goals and targeting donations to regions where a company operates.

Strategic giving

A retailer that allowed its employees to handle a customer complaint without having to ask for permission or direction from management would have:

empowered its employees to help customers

A company can only be concerned about its _____ responsibilities once it has met its economic and legal responsibilities.

ethical

One of the keys to ethical business behavior is:

how the company's top management conducts themselves

A code of ethics:

is accurately described by all of the above

Social investing:

is the practice of limiting investments to companies that have ethical policies that match those of the investor

Another factor influencing business ethics is _____, or what is fair according to prevailing standards of society.

justice

Codes of ethics:

may be influential in determining a person's decision-making behavior