MGT 302: Chapter 5

A policy of racial segregation and political and economic discrimination against nonwhites in South Africa was known as the

apartheid system.

International businesses frequently have to address ethical issues that develop because

countries have different business laws, practices, and regulations.

A business strategy that does not violate the accepted principles of right or wrong governing the conduct of businesspeople's is called a(n) _____ strategy.

ethical

What characteristic helps managers walk away from a decision that is profitable, but not ethical?

Moral courage

Which of the following statements explains how a manager's personal ethics might be challenged in international transactions?

Expatriate managers may face more pressure to violate their personal ethics.

Which well-known advocate for human rights was elected president of South Africa following the apartheid movement in South Africa?

Nelson Mandela

Garrett Hardin described hoe herders shared common land for grazing. It was advantageous to the poor to place more and more livestock on the commons because it would mean more income. Why did these actions result in ultimate tragedy?

The commons were overgrazed and eventually destroyed by the livestock.

In an organization where personal ethics are important, which individual should be hired?

The individual who has a disappointing interview despite having verified glowing letters of recommendation that attest to his integrity.

Which of the following accurately describes developed nations in terms of the environment?

They have more substantive environmental regulations.

It is wrong to cheat on a test. Conversely, it is right to

accept responsibility for your actions.

Organizational ______ is the name given to the values and norms that are shared among employees of an organization.

culture

To ensure that the business has appropriate legal compliance programs and acts in an ethical manner, some firms now have created a position for a(n) _____ officer

ethics

A payment which ensures that a business receives the standard treatment that it ought to receive from a foreign government is known as

speedy money.

A _____ strategy is a conscious and proactive use of methods that do not harm the planet, people or profits while leaving a positive impact.

sustainable

Individuals or groups who work for or own the business are referred to as _____ stakeholders.

internal

Which aspect of international business convinced Leon Sullivan to lead the way in eliminating apartheid in South Africa?

Ethics

How do facilitating payments benefit a company?

smooths the progress of services to which the business is entitled

In the 1980s, Western businesses questioned the ethics of operating in South Africa because the apartheid system in place there

violated basic human rights.

Which four of the following are determinants of ethical behavior?

Leadership, Personal ethics, Societal culture, and Organizational culture

_____ refers to the moral obligation to act in an honorable and benevolent manner.

Noblesse oblige

Which two theories provide the moral compass that is important when thinking through the ethical implications of decisions in a systematic way?

Rawl's theory of justice and Rights theories

Many companies develop a formal statement of primary values and ethical standards for employees and managers to follow. This is called a

code of ethics.

Which two of the following are examples of external stakeholders?

customers and suppliers

The idea that business people should favor decisions that have both good economic and social consequences is corporate

social responsibility.

Maria has decided to send a letter to her state representative regarding the ten industrial plants in her community that release toxic emissions into the air which could create health problems in the future for families living in the area. What phenomenon is Maria concerned with?

tragedy of the commons

Jennifer doesn't understand why the management team decided to continue supporting the supplier in India when it was obvious that a better product at a better price was available from a supplier in Indonesia. According to the text, what is the best starting point to understand this decision?

understand the process the management team uses to make decisions

TimeTurner Corp. is a company based in the United States that manufactures luxury wrist watches. By western standards, if the company uses sweatshop labor to make these watches it is most likely to be considered

unethical.

The managers of ABC Manufacturing are struggling to meet their local increased quota. They decide to eliminate two quality control steps in the manufacturing process. This is unethical behavior that was a result of

unrealistic performance goals.

An amendment to the Foreign Corrupt Practices Act allowed for the use of _____ in which a business ensured that it will receive the standard treatment it ought to receive from a foreign government.

facilitating payments

The accepted standards or ways of doing things in a particular setting are known as _____.

norms

Heidi told her husband that there was no possible way she could meet her monthly sales goal now that her manager had doubled it. She decided the only way to make the new goal was to add 5% to every sales order and hide this cost under "personal needs" when she submitted her report. What is causing Heidi to act in this unethical manner?

unrealistic performance goals

Which strategy is considered a sustainable strategy?

A strategy designed to reduce CO2 emissions.

According to the text, which three of the following actions can managers take to ensure that ethical issues are considered in business decision making?

Build an organizational culture that values ethical behavior, favor hiring and promoting of people with a sense of personal ethics, and implement decision-making processes that consider ethical aspects of business decisions

The _____ of a company reflect what the company believes to be good, right, and desirable.

values

Rights such as freedom of association and freedom of speech are

not universally accepted.

Global warming is said to be the result of which greenhouse gas?

Carbon dioxide

_____ are situations where none of the available alternatives seems morally acceptable.

Ethical dilemmas

Which of the following acts outlaws the payment of bribes to foreign government officials to gain businesses?

Foreign Corrupt Practices Act

According to the Sullivan principles, what two conditions were GM required to fulfill in order to continue to operate in South Africa?

GM should do everything possible to promote the abolition of apartheid laws and GM could not obey the apartheid laws in its own South African operations

Jeff is a manager at a toy manufacturing facility. Which of these situations demonstrate how Jeff uses his moral imagination?

Jeff decided not to outsource parts to a company in Asia because he knew the company used small children as laborers.

What are the next four steps a company should take in the decision-making process once it has identified its stakeholders? List the steps in the correct order, starting with step two at the top of the list.

Judge the ethics of the proposed strategic decision, establish moral intent, engage in ethical behavior, and audit the decisions

Roboton Inc. has moved its production to a new nation. It freely dumps its harmful waste in the rivers and causes environmental degradation there. In this case, Roboton has contributed to the

global tragedy of the commons.