Global Business

According to Mark Tercek, which type of companies would be suitable partners on conservation initiatives promoted by The Nature Conservancy?

All of these

Ethical ______ is the ability to perceive whether a situation or decision has an ethical dimension.

Awareness

Which stakeholder groups does CEO Mark Tercek identify as potential partners in advancing environmental causes?

Businesses, governments, environmental groups

________________ ties an organization's products directly to a social concern through a marketing program.

Cause-related marketing

Chapter 2

Chapter 2

Chapter 2 Video

Chapter 2 Video

Chapter 3

Chapter 3

Chapter 4

Chapter 4

Chapter5

Chapter 5

Which of the following is derived from precedents established by judges?

Common Law

The decision to develop an environmental effort inside the Goldman Sachs organization is an example of:

Corporate citizenship

_____ impose(s) fines or imprisonment as punishment for breaking the law.

Criminal Law

Which approach to stakeholder theory focuses on the actual behavior of the firm and usually addresses how decisions and strategies are made for stakeholder relationships.

Descriptive approach

Which of the following is NOT a primary stakeholder group? a. investors b. customers c. shareholders d. employees e. the Media

E. The Media

When the panel mentions investments that are "good for business and the environment at the same time," they are making the point that social responsibility efforts must accomplish a company's:

Economic and philanthropic responsibilities at the same time

Which of the following is NOT a secondary stakeholder group? a. television news reporters b. special interest groups c. employees d. trade associations e. magazines

Employees

The ability to perceive whether a situation or decision has an ethical dimension is defined as ______.

Ethical awareness

Active bribery is an offense committed by the official who receives the bribe.

False

Applying a personal moral philosophy is the first step in the ethical decision-making process.

False

Fortunately, social responsibility and ethics are completely interchangeable terms.

False

The Sarbanes-Oxley Act made it illegal for U.S. businesses to issue bribes to foreign government officials.

False

The focus of core practices is on developing an individual's morals, rather than on structurally sound organizational practices and integrity for financial and nonfinancial performance measures.

False

Accountants, lawyers, financial rating agencies, financial reporting services and risk assessors of financial products are all examples of _____, who must trust and be trusted by stakeholders to make business work.

Gatekeepers

The _____ is a set of 10 principles concerning human rights, labor, the environment, and anti-corruption. This document seeks to create openness and alignment among business, government, society, labor, and the United Nations.

Global Compact

______ is one of the most important and oft-cited elements of virtue, and refers to being whole, sound, and in an unimpaired condition.

Integrity

Which of the following is true of the Sherman Antitrust Act?

It prohibits organizations from holding monopolies in their industries.

Individual differences in relation to a generalized belief about how one is affected by internal versus external events or reinforcements is known as ______.

Locus of Control

What concept refers to a person's personal philosophy about what is right or wrong?

Morals

_____ involves the conditions for encouraging or limiting ethical behavior in an organization through rewards for ethical behavior or failing to prohibit unethical behavior.

Opportunity

Elena, an employee at ABC Marketing, has observed misconduct at work and wonders if she should report it. In the end, she decides not to do so because of the possible repercussions at work. Which of the following has determined the Elena's action?

Organization factors

Businesses that partner with The Nature Conservancy to address conservation and the environment are attempting to meet:

Philanthropic responsibilities

_____ is exaggerated advertising, blustering, and boasting upon which no reasonable buyer would rely.

Puffery

Groups that influence and/or are affected by a company and that neither engage in economic exchanges with the firm nor are fundamental to its daily survival are collectively called

Secondary Stakeholders

Those who have influence in a work group, including peers, managers, coworkers, and subordinates, are referred to as significant others. Which of the following is supported by research concerning significant others?

Significant others within an organization have more impact on a worker's decisions on a daily basis than any other factor.

The idea that businesses might partner with outside stakeholders to address environmental concerns is a concept related to:

Social responsibility

Which of the following arguments against corporate social responsibility is discussed in the clip?

Social responsibility efforts increase costs and thus threaten the firm's ability to maximize shareholder value

_____ are groups or individuals who have a claim in some aspect of a company's products, operations, markets, industry, and outcomes

Stakeholders

The Act/Agency that makes regular surprise inspections to ensure businesses maintain safe working environments is called the _____.

The Occupational Safety and Health Administration

Which of the following statements is correct? a. Social responsibility is associated with decreased profits. b. Primary stakeholders do not typically engage in transactions with a company. c. The degree to which a firm understands and addresses stakeholder demands can be referred to as a stakeholder orientation. d. Ethical issues are usually easy to detect and simple to fix. e. Secondary stakeholders are essential for a company's survival

The degree to which a firm understands and addresses stakeholder demands can be referred to as a stakeholder orientation.

Rawls used what he called the veil of ignorance which led him to develop ______.

The difference principle in that economic and social equalities should be arranged to provide the most benefit to the least advantaged members of society

According to researchers, normative values largely originate from all of the following EXCEPT ______.

The media

Which statement best describes ethical issue intensity?

The perceived relevance or importance of an ethical issue to the individual, work group, and/or organization

Based on the discussion shown in this clip, the panelists' view of corporate citizenship is congruent with following historical perspective:

The stakeholder model

Congress passed the FSGO in 1991 to create an incentive for organizations to develop and implement programs designed to foster ethical and legal compliance. These guidelines, developed by the U.S. Sentencing Commission, apply to all felonies and class A misdemeanors committed by employees in association with their work.

True

In a dilemma all of the alternatives have negative consequences, so the less harmful choice is made.

True

The ethical component of a corporate culture relates to the values, beliefs, and established and enforced patterns of conduct that employees use to identify and respond to ethical issues.

True

The opportunities that employees have for unethical behavior in an organization can be nearly eliminated through formal codes, policies, and rules that are adequately enforced by management.

True

A corporate culture can be defined as ______.

a set of values, beliefs, goals, norms, and ways to solve problems that employees of an organization share

According to Nature Conservancy CEO Mark Tercek, why should companies invest in environmental causes?

a. Because it will help them be better stewards of the natural resources businesses need

Which of the following involve efforts to recruit, hire, train, and promote qualified individuals from groups that have been discriminated against into employment positions? a. affirmative action programs b. dual relationships c. employment quotas d. facilitation payments e. optimizations

a. affirmative action programs

The concept that refers to how closely workplace decisions align with a firm's stated strategic direction and its compliance with ethical and legal considerations is defined as

accountability

Many studies have found a positive relationship between which of the following?

an ethical culture and good business performance

The concept of board members being linked to more than one company is known as _____

an interlocking directorate

The Sarbanes-Oxley Act (SOX) _____.

attempts to eliminate conflicts of interest by prohibiting accounting firms from providing both auditing and consulting services to the same client companies without special permission from the client firm's audit committee

All of the following generate discussion about the ethical nature of a decision EXCEPT _____. a. individuals in the business b. government agency c. special interest groups d. blogs and podcasts e. the mass media

blogs and podcasts

The practice of offering something in order to gain an illicit advantage is

bribery

The term that comprises organizational principles, values, and norms that may originate from individuals, organizational statements, or from the legal system that primarily guide individual and group behavior in business is defined as _____.

business ethics

Abusive or intimidating behavior __

can differ from person to person

A(n) _____ exists when an individual must choose whether to advance his or her own interests, those of the organization, or those of some other group.

conflict of interest

The Sarbanes-Oxley Act was passed to provide oversight of _____.

corporate accounting practices

An organization that has a strong ethical environment usually has a core value of placing _____ interests first.

customers

Directors share a ______, which means all their decisions should be in the best interests of the corporation and its stakeholders.

duty of loyalty

The four levels of social responsibility are ___

economic, legal, ethical, and philanthropic

Which of the following is NOT a factor in the ethical decision-making model?

employee benefits packages

What does the Federal Sentencing Guidelines for Organizations (FSGO) focus on?

encouraging ethical and legal compliance by reducing penalties for firms with effective compliance programs

The three fundamental elements that motivate people to be fair are _____.

equality, reciprocity, and optimization.

A problem, situation, or opportunity requiring an individual, group, or organization to choose among several actions that must be evaluated as right or wrong is called a(n) _____.

ethical issue

The relevance or importance of an ethical issue in the eyes of the individual, work group, and/or organization is known as ______.

ethical issue intensity

A payment made to obtain or retain business and is not considered a bribe within the United States is defined as _____.

facilitation

Corporate governance is defined as

formal systems of accountability, oversight, and control

The Consumers' Bill of Rights decreed by President John F. Kennedy specified all of the following EXCEPT the right to

freedom

The Consumer Financial Protection Bureau (CFPB) _____.

has supervisory power over credit markets as well as the authority to monitor lenders

Which of the following is an office, created by the Dodd-Frank Wall Street Reform and Consumer Protection Act, which is charged with creating a better system for analyzing the financial industry?

he Office of Financial Research

The shareholder model of corporate governance

is founded on the goal of maximizing wealth for investors and owners

Before anything else, businesses must _____ to survive

make a profit

The term ethical culture is associated with all of the following except _____.

maximizing profits and placing shareholder's first

The concept in the chapter that is defined as a situation where the person is faced with multiple choices, all of which are undesirable as defined by the person is called a _____.

moral dilemma

According to the text, business ethics comprises organizational principles, values, and __________ that may originate from individuals, organizational statements, or from the legal system.

norms

Some examples of what concept can include human rights, freedom of speech, and the fundamentals of justice?

principles

Creating a perception or belief by words that intentionally deceives someone is

related to lying by commission

The Dodd-Frank Wall Street Reform Act _____.

seeks to improve financial regulation, increase oversight of the industry, and prevent the types of risk-taking, deceptive practices, and lack of oversight that led to the 2008-2009 financial crisis

An organization's obligation to maximize its positive impact on stakeholders and to minimize its negative impact refers to its _____.

social responsibility

The two-way relationship between a firm and its stakeholders is conceptualized by the _____

stakeholder interaction model

Which of the following statements best describes an opportunity?

the conditions in an organization that limit or permit ethical or unethical behavior

In the stakeholder interaction model

there are reciprocal relationships between the firm and its stakeholders

The concept that centers around enduring beliefs and ideals that are socially enforced, such as teamwork, trust, and integrity is called _____

values

Which dimension of social responsibility refers to business's contributions to society?

voluntary responsibilities

Which of the following is NOT one of the top types of observed misconduct?

working more hours than reported

Discrimination on the basis of all but which of the following is defined as harassment?

years of experience