Biz ethics quiz 1

Corporations that run their operations according to the stakeholder theory of the firm create value by:

All of the Above: - Innovating new products - Increasing their stock price. - Developing their employees' professional skills.

The term "race to the bottom" refers to:

Moving production jobs to the country with the lowest labor cost.

the iron law of responsibility states that

in the long run, those who do not use power responsibly will lose it

businesses are expected to be ethical in their relationships with

stockholders, customers, competitors

a conception of right and wrong is

the definition of ethics

the theory of comparative advantage states that

under certain conditions, countries can benefit from specialization in the production of goods and services which they have comparative advantage in and trade them for goods and services which they do not have comparative advantage in.

Proponents against corporate social responsibility feel that public officials, not business people, should solve societal problems because:

- Business people do not have the skill-set to solve societal problems. - The private sector is not mandated to solve these issues.

A society where economic power is concentrated in the hands of government officials and political authorities is called:

A central state control system.

which of the following statements accurately describe the practice of tax inversion

A company shifts their headquarters to a foreign country

a high magnitude of consequences that increase the moral intensity of an ethical issue is best exemplified by

A food product contaminated with salmonella was distributed to stores.

company ranked amongst moth ethical

AFLAC

which of the following statements is correct about stakeholders' power

All of these answers are correct.

stakeholder engagement is

An ongoing process of relationship building between a business and its stakeholders.

In the case Corporate Social Responsibility at Gravity Payments, which view in support of corporate social responsibility is relevant according to Figure 3.3?

Balances corporate power with responsibility.

a just or fair ethical decision occurs when

Benefits and burdens are distributed equally.

according to a 2017 survey, americans hold a dim view of

Business executives

Integrity-based ethics programs

Combines concern for the law with an emphasis on employee responsibility.

Stakeholders have been able to form international coalitions more successfully through use of:

Communications Technology

which of the following companies is being the most socially responsible

Company trying its best to operate in a way which will help local students get education and jobs

when attempting to build ethical safeguards into the company, businesses can take the following specific approaches

Compliance and Integrity

cross-cultural contradictions arise due to

Differences between home and host countries' ethical standards.

In the case Equifax's Data Breach, which ethical climate dominated during the data breach?

Egoism

the main reason a number of European countries require public companies to include employee members on their boards of directors is so that

Employees interests will be explicitly represented

what is one advantage of operating as a B corporation

Government certifications are frequently conferred

An issue's public profile indicates to managers:

How significant an issue is for the organization, but it does not tell them what to do.

business managers need a set of ethical guidelines to help them

Identify and analyze the nature of ethical problem.

which statement(s) are true about global income

Income is how much one earns in a day or a year; and income at the bottom of the pyramid varies from place to place.

Global social audit standards concentrate on:

Internally focused economic benefits for the firm. Externally focused social benefits for the environment. Externally focused social benefits for key stakeholders.

A firm subscribing to the shareholder theory of the firm would mainly be concerned with providing value for its:

Investors

An ethics issue based on cross-cultural contradictions is best illustrated by which example?

Legally marketing a pesticide abroad that has been banned in the U.S.

When undertaking social initiatives, a company:

May sacrifice short-term profits.

aristotle argued

Moral virtue is a mean between two virtues

A company that channels employee behavior in a lawful direction by emphasizing the threat of detection and punishment is:

Operating under the compliance-based approach.

stakeholders stand out to managers when they exhibit

Power, legitimacy, and urgency

A firm that would like to develop a global supply chain would:

Purchase raw materials, components, or supplies from sellers in other countries.

The deep anti-Americanism that exists in some parts of the world is thought to be caused by:

Resentment of cultural penetration from U.S.-based multinational enterprises.

At the core of rights reasoning is the belief that:

Respecting others is the essence of human rights.

what is the public issue in the case businesses respond to the movement for school safety?

Second amendment rights and the safety of students in schools.

According to Barlow v. A.P. Smith Manufacturing:

Socially responsible actions are in investment in the future, thus an allowable expense.

The relevance and importance of stakeholders and their issues is known as:

Stakeholder materiality

Which U.S. Act prohibits executives representing U.S.-based companies from paying bribes to foreign government officials, political parties, or political candidates:

The U.S. Foreign Corrupt Practices Act

a leadership role in addressing emerging management issues is often taken by

The public affairs department.

representation on the world bank's board of directors is based on

The size of the member nation's economy.

Purpose of the World Trade Organization

To eliminate barriers to free trade among nations.

the primary purpose of the international monetary fund is to

To make currency exchange easier.

In the case Insuring Uber's App-On Gap, which stakeholders supported ending the App-On Gap?

Uber customers, Uber drivers, consumer lawyers.

A critic of globalization might argue that companies decide to manufacture in China mainly because of China's:

Weak health and safety regulations

interactions between business and society occur

Within a finite natural ecosystem.

stakeholder engagement, is, at its core

a relationship

All of the following values are present in most ethical decisions except:

be kind

ethical challenges for information technology employees include

data privacy copyright protection

which country passed major anti-corruption reforms in 2016

mexico

Single-party rule by communist parties still remains in:

vietnam

according to an annual gallup poll which was ranked highest for honesty and ethics

nurses

Mature adults typically base their ethical reasoning on broad principles and relationships such as:

o Human rights and constitutional guarantees of human dignity o Universal principles of justice

a corporation's issue management activities are usually overseen by

Both the board of directors and top management levels.

contemporary issue management

Is an interactive, forward thinking process.

a recent study found that, compared to the 1980's, managers today place what importance on moral values

Slightly more important

In the case Insuring Uber's App-On Gap, which type of power do Uber customers have?

legal and economic

an individual who is a supporter of globalization would argue that it helps the developing world by

all are correct

the components of a typical issues management process include

all are correct

which of the following is the result of the inseparable relationship between business and society

all business decisions have a social impact the vitality of business depends on society's actions and attitudes

Good corporate citizens:

all of the above

an example of an international financial and trade institution is

all of the above

the core components upon which a company's ethical performance depends include

all of the above

business managers need a set of ethical guidelines to help them

dentify and analyze the nature of ethical problems

A business and its stakeholders coming together for face-to-face conversations about issues of common concern is called stakeholder:

dialogue

all of the following are commitments of the principals of the code of professional conduct of the american institute of certified public accountants except

due process

a free enterprise system refers to

economic asset that are privately owned and exchanged in an open market

The issue of reactive management policies occurs in which stage of global corporate citizenship?

engaged

the unspoken understanding among employees of what is and is not acceptable behavior is called

ethical climate

the most significant motivator of corporate social reporting is

ethical concerns

an example of a global action network, or GAN is

Kimberley Process

which of these is not an objective of the global reporting initiative?

Providing tax incentives for global corporate citizens.

all of the following are external stakeholders of the firm except

managers

An analysis of the stability or instability of a government is an example of scanning the:

political

Firms that generally act only when forced to do so, and then in a defensive manner are:

reactive

the most effective ethics programs utilize which of the following

Written policy. -Posters. -Quick reference guides.

which statement is not correct about the business-society interdependence

actions by government rarely significantly affect business

Because of the risks and opportunities public issues present, organizations need:

A systematic way of identifying, monitoring, and selecting public issues.

according to general systems theory, boundary exchanges are exemplified by which of the following

all are correct

As an additional employee benefit to promote spirituality, companies have begun to provide employees with the services of:

chaplains

The costs of corporate social responsibility may ultimately be passed on to the:

consumer through high proces

Modern corporations should be socially responsible because they:

create jobs, influencing the lives of employees.

The explosive use of social media is an example of which environment?

customer

the three strategies of globalization can be summarized using

sell, make, buy

Business leaders like Henry Ford, developed these programs to support the recreational health needs of their employees

Paternalistic programs

when a community group sues a company for the health effects caused by the disposal of toxic chemicals

legal power

the fiduciary duty of managers benefits a firm's

all of the above

positive reputation can be valued as an intangible corporate

asset