chapter 1 - understanding ethics, chapter 2 - defining business ethics, chapter 4 - corporate social responsibility, chapter 5 - corporate governance, chapter 6 - the role of government, chapter 7 - blowing the whistle, Chapter 8 - ethics and technol...
Which of the following companies implements Milton Friedman's view of the corporate world
A company that makes as much profit as possible to ensure that the investments made by the company are successful
Which of the following factors is likely to make companies revise and rewrite their codes of ethics from time to time?
A continuous change in the technology used by the company
Which of the following is true of the effective compliance program prescribed by the Federal Sentencing Guidelines for Organizations?
A high-level official (such as a corporate ethics officer) must be in charge of and accountable for the compliance program.
Which of the following exemplifies the rules of appropriate individual behavior
Alice travels to different countries for work and conducts herself according to the culture of the country she visits.
Which of the following actions is most likely to lead to the promotion of an organization's commitment to ethical behavior?
Allowing employees to visit client sites to talk about the organization's code of ethics
Which of the following best illustrates the concept of simple truth
Amelia believes that murder is wrong, a view supported by most people
For the accounting profession, the last resort for ethical guidance and leadership is the Code of Conduct issued by the _____.
American Institute of Certified Public Accountants
Which of the following statements is true of sustainable ethics?
An organization's commitment to ethical behavior must be documented in a code of ethics for everyone to begin from the same starting point.
Susan and Jessica are arguing over the importance of Arthur Dobrin's eight questions to be considered when resolving an ethical dilemma. Susan is of the view that these questions are apt and relevant. Jessica does not agree with Susan's view. Which of the following would weaken Susan's argument
Arthur Dobrin's eight questions are based on the assumption that there is sufficient time for the degree of contemplation that such questions require.
Which of the following best illustrates the social contract approach to corporate management
At Redder Enterprises, employees' wages have grown at a higher rate than inflation
In the context of a company's ethics policy, which of the following actions should an organization avoid taking?
Communicating only to internal stakeholders
Which of the following statements is true of the advances in workplace technology over the last two decades?
Companies are now able to make vast amounts of information available to employees and customers.
Information can be digitized and transmitted over fiber-optic cables because of the recent advances in technology. What implications does this have?
Companies can reduce their expenses by shipping work to countries with low labor costs.
Which of the following statements is true of enforcing global ethics?
Companies may be held accountable for ethical performance within their home countries.
Which of the following is recommended by the Organization for Economic Cooperation and Development (OECD) Guidelines?
Companies should contribute to the innovative capacities of host countries.
According to the documentation of a survey conducted by the Ethics and Compliance Officers Association survey, which of the following responsibilities ranks lowest in the category of the main responsibilities of an ethics officer?
Conducting investigations of wrongdoing
_____ is defined as a situation where one relationship or obligation places an individual or firm in direct dispute with an existing relationship or obligation
Conflict of interest
Which of the following actions does the Computer Ethics Institute consider ethical?
Considering the social consequences of one's work
The _____ is a government agency within the Federal Reserve that oversees financial products and services.
Consumer Financial Protection Bureau
Which of the following is most likely to be the next stage in making ethical behavior sustainable for an organization after it promotes its commitment to ethical behavior?
Continuously monitoring the ethical behavior of its employees as the company grows
Which of the following actions does the Computer Ethics Institute consider unethical?
Copying proprietary software without paying for it
_____ is about the way in which boards oversee the running of a company by its managers and how board members are, in turn, accountable to shareholders and the company.
Corporate governance
Which of the following is true of corporate whistle-blowing?
Corporate whistle-blowing has considerable potential for financial gain in some areas.
According to Joseph F. Keefe, which of the following is true of the major trends behind the corporate social responsibility (CSR) phenomenon
Corporations are under increasing pressure from diverse stakeholder constituencies to demonstrate that business plans and strategies are environmentally sound and contribute to sustainable development
The _____ defines a code of ethics as a central guide to support day-to-day decision making at work
Ethics Resource Center (ERC
Which of the following actions is a step toward running a company successfully
Evaluating risk-versus-reward scenarios frequently, regardless of the company's size
The _____ is a government agency established to prevent banks from failing and otherwise threatening the stability of the U.S. economy.
Financial Stability Oversight Council
Which of the following statements is true of Milton Friedman's view of the corporate world
Friedman argues that, as an employee of the corporation, a manager has an ethical obligation to fulfill his role in delivering on the expectations of his employers
Which of the following statements is advice from the Institute of Business Ethics for creating a code of ethics from scratch?
Get an endorsement from the chairperson and the board.
The principle for resolving an ethical dilemma that considers "do unto others as you would have them do unto you" is the _____.
Golden Rule
Which of the following, according to Joseph F. Keefe, is a major trend behind the phenomenon of corporate social responsibility (CSR)?
Increased transparency of companies
Which of the following statements is true of telecommuting?
It allows employees a certain degree of flexibility in terms of their work hours.
Which of the following is true of the standard of corporate governance
It appears to be at its lowest level in recent business history
Which of the following statements is true of the culpability score?
It can be increased or decreased according to predetermined factors.
Which of the following is true of ethical misconduct?
It can occur even if all the checks governing a board of directors is in place.
Walter Warburg & Co., a new investment banking firm, has dismissed the idea of establishing a code of ethics for its employees. Which of the following consequences is most likely to take place as a result of this decision?
It cannot document punishments for the violation of ethical policies.
Which of the following functions does a code of ethics perform
It clarifies an organization's cornerstones to its employees, managers, and stakeholders
Which of the following statements is true of the federal Civil False Claims Act?
It did not offer whistle-blowers protection from retaliatory behavior aimed at them.
Which of the following illustrates that a company has failed at implementing corporate social responsibility (CSR)?
It does not pay all taxes related to the profitable business operations
Which of the following statements is true of the Foreign Corrupt Practices Act?
It encompasses all the measures that were previously used to control unethical overseas transactions by U.S. corporations.
Which of the following is true of cyberliability?
It extends to any form of harassment that reaches an employee via e-mail.
In addition to achieving social benefits, which of the following best illustrates an example of a company effectively implementing corporate social responsibility (CSR
It fulfills all its legal obligations
Which of the following is true of the "comply or explain" approach to corporate governance
It gave companies the flexibility to comply with the governance standards or justify why they didn't in their corporate documents.
Which of the following is true of corporate ethics
It has moved from the domain of legal departments into the organizational mainstream
Which of the following statements is true of the Federal Sentencing Guidelines for Organizations?
It holds businesses liable for the criminal acts of their employees and agents.
Which of the following is true of the Whistleblower Protection Act of 1989?
It imposed specific performance deadlines in processing whistle-blower complaints.
Which of the following statements best describes business ethics?
It involves applying ethical and moral standards to business behavior
Which of the following is true of the concept of global ethics?
It is a highly complex subject.
Which of the following is true of a whistle-blower hotline?
It is a telephone line that employees use to anonymously alert a company of suspected misconduct.
Which of the following is a characteristic of the UN Global Compact?
It is a voluntary corporate initiative that promotes good corporate citizenship.
Identify a true statement about value chain
It is composed of the key functional inputs that an organization provides in the transformation of raw materials into a delivered product or service
Which of the following statements is true of thin consent according to Adam Moore?
It is given when an employee has no other choice.
Which of the following statements is true of thick consent?
It is given when employees have realistic job alternatives.
Which of the following is true of corporate governance
It is the system by which business corporations are directed and controlled
Which of the following statements is true of globalization?
It leads to the replacement of regional trade blocs with national markets.
Identify a true statement about the corporate governance committee of a company
It monitors the ethical performance of the corporation.
Which of the following is true of the compensation committee of a company
It oversees the salaries and bonuses of the senior executives only
Which of the following statements is true of the Sarbanes-Oxley Act?
It prohibits retaliation against whistleblowers and encourages the act of whistle-blowing itself.
Which of the following is true of the Sarbanes-Oxley Act (SOX)?
It protects employees of companies who provide evidence of fraud.
Which of the following statements is true of transparency?
It provides avenues to increase organizational efficiency.
Which of the following is true of the CRAFTED principles of governance
It recommends creating a culture of consistency, accountability, and responsibility
Identify a true statement about a company's organizational culture
It represents the sum of all the policies and procedures from each of the functional departments in the organization
Which of the following statements is true of Title II of the Sarbanes-Oxley Act?
It requires senior auditors to rotate off an account every five years and junior auditors every seven years.
Which of the following statements is true of the UN Global Compact?
It serves as a guideline for transparency and public accountability.
Which of the following is true of the "comply or else" approach to corporate governance
It set stiff financial penalties for companies that refused to abide by the operational standards
Spark Inc. (SI), a multinational corporation, had reported large losses in the previous financial year. To overcome these losses, the company planned to take the instrumental approach to corporate management. Which of the following best illustrates this approach
It uses its resources to enhance the productivity of employees and thus increases profits
Which of the following statements is true of the False Claims Act of 1863?
It was designed to prevent profiteering from the Civil War.
Which of the following statements is true of utilitarianism?
Its use leads to situations in which there is no accountability for individual actions.
Which of the following is true of Lawrence Kohlberg's stages of ethical reasoning
Kohlberg states that stereotypical behavior is recognized, and conformity to that behavior develops in the conventional stage of moral development
Which of the following is an example of an organization's instrumental approach to corporate social responsibility (CSR)?
Larsen's Corp., an investment company, uses different mechanisms to increase profits and has performance incentives for its employees
Which of the following risks is most likely to occur as a result of organizational transparency?
Loss of market advantage through corporate espionage
Which of the following statements is true of marketing
Marketers see themselves as providing products (or services) to customers who have already expressed a need for and a desire to purchase those products
The most famous advocate of the instrumental approach model to corporate social responsibility is the Nobel Prize-winning economist _____.
Milton Friedman
Which of the following is a disadvantage of globalization?
Multinational corporations are depleting the natural resources of less-developed countries.
How has globalization affected the economy?
National markets are being overtaken by regional trade blocs.
Which of the following is true of stakeholders
Not every stakeholder is relevant in every business situation
Which of the following is true of the penalties under the Foreign Corrupt Practices Act?
Officers, directors, stockholders, employees, and agents are subject to a fine of up to $250,000 per violation and imprisonment for up to five years.
Which of the following statements is true of organizational culture
Organizational culture includes the values, beliefs, and norms shared by all employees of that organization
Some of the employees, including the top managers and the board of directors, of Warburges Inc. have been in the news lately for accepting bribes and using corporate resources for personal expenses. Which of the following characteristics did the firm fail to demonstrate?
Organizational integrity
_____ describes the characteristic of publicly committing to the highest level of professional standards and then sticking to that commitment.
Organizational integrity
According to the documentation of a survey conducted by the Ethics and Compliance Officers Association, which of the following responsibilities ranks highest among the chief responsibilities of an ethics officer?
Overlooking hotline/guideline/internal reporting
Which of the following is true of the technology used to monitor employees at the workplace?
Packet-sniffing software can intercept and archive all communications on a network.
Which of the following statements accurately explains the basic categories of ethics
Personal integrity, a category of ethics, looks at ethics from an external rather than an internal viewpoint
The illegal and unethical practice of providing old (or early) investors above-average returns on their investment with funds raised from new (or late) investors in the absence of any real business operation to generate profits is referred to as the _____.
Ponzi scheme
Which of the following is a routine governmental action?
Providing police protection for the transit of goods across a country
The creation of the _____ was an attempt to reestablish the perceived independence of auditing companies after the corporate accounting scandals of the early 2000s
Public Company Accounting Oversight Board
Which of the following requirements is included in the status of organizational probation under the Federal Sentencing Guidelines for Organizations (FSGO)?
Reporting a business's financial condition to the court on a periodic basis
_____ will create a distinction between thin consent and thick consent according to Adam Moore.
The state of the job market
Which of the following is the most likely reason why organizations maintain their own internal auditors
To monitor the accuracy of financial functions
In what way did the "comply or else" approach differ from the "comply or explain" approach to corporate governance
Unlike "comply or explain," the "comply or else" approach did not offer corporations an easy way to avoid conforming to the operating standards
Which of the following is a difference between internal and external whistle-blowing?
Unlike external whistle-blowing, the examples of internal whistle-blowing receive no media attention.
Which of the following is a difference between grease payments and bribes under the Foreign Corrupt Practices Act?
Unlike grease payments, bribes induce foreign officials to act in violation of their lawful duty.
Which of the following is a difference between the UN Global Compact and the Organization for Economic Cooperation and Development (OECD) Guidelines for Multinational Enterprises?
Unlike the UN Global Compact, the OECD guidelines uses a more governmental approach for the issues featured in the UN's nongovernmental Global Compact.
_____ is a legal concept that means a party may be held responsible for injury or damage even when he or she was not actively involved in an incident.
Vicarious liability
Which of the following scenarios exemplifies instrumental value
Victoria possesses half a million in her bank account
The _____ states that there should be a key restriction in the legislation to limit the ability of banks to trade on their own accounts (termed proprietary trading).
Volcker rule
The _____ of 1989 guaranteed the anonymity of federal employees, but not that of other employees.
Whistleblower Protection Act
The _____ first addressed the issue of retaliation against federal employees who bring accusations of unethical behavior.
Whistleblower Protection Act of 1989
As a message to an organization's stakeholders, _____ should represent a clear corporate commitment to the highest standards of principled behavior
a code of ethics
A company is of the view that what is best for its shareholders may not be best for its employees and the community. It also believes that the most efficient means to achieve increased profits is to close its factory and move production overseas, which is not agreed upon by its shareholders. This is an example of _____.
a conflict of interest
The basic assumption of ethical theory is that
a person as an individual or community is in control of all the factors that influence the choices he or she makes
In the context of the basic categories of ethics, _____ is just doing the right thing, and it is something most people can understand and support
a simple truth
Which of the following will most likely influence the moral standards of an individual
a strict family upbringing
The _____ keeps track of a company's financial transactions by documenting money coming in and money going out and balances the accounts at the end of the period
accounting function
Bector Airlines supports relief camps in the Republic of Cadmia with donations of both money and employee-donated volunteer hours. It also provides packaged food in times of natural crises such as hurricanes, earthquakes, etc. This is an example of _____ corporate social responsibility (CSR
altruistic
In _____ corporate social responsibility (CSR), organizations take a philanthropic approach by underwriting specific initiatives to give back to the company's local community or to designated national or international programs
altruistic
Marketing professionals abide by a code of ethics adapted by the _____.
american marketing association
The code of ethics adapted by the _____ speaks about doing no harm, fostering trust, and improving "customer confidence in the integrity of the marketing exchange system
american marketing association (AMA)
The first step in the three-step process for solving an ethical problem is to
analyze the consequences
The belief that an activity is safe because it will never be found out is a common rationalization behind an employee's unethical conduct. To deter unethical behavior based on this rationalization, a manager should _____.
announce the misconduct publicly
_____ is one of the four key areas of concern upon which the UN Global Compact focuses.
anticorruption
The study of how ethical theories are put into practice refers to _____.
applied ethics
When ethical theories have to be put into practice, one moves into the area of _____.
applied ethics
The concept of cyberliability:
applies the legal concept of liability to the world of computers.
The difference between intrinsic value and instrumental value is that
as opposed to intrinsic value, instrumental value refers to the quality by which the pursuit of one value is a good way to reach another value
Catherine, a board member of Clayton Inc., is also part of an operating committee that is responsible for overseeing the accounting policies of the company. This committee is known as the _____.
audit committee
The _____ of an organization is staffed by members of the board of directors plus independent or outside directors.
audit committee
The certification of an organization's financial statements or books, by an impartial third-party professional, as being accurate is offered by the _____.
auditing function
The Organization for Economic Cooperation and Development (OECD) Guidelines believe that less-developed countries should:
benefit from a corporation's advanced technology.
The Dodd-Frank Wall Street Reform and Protection Act stipulated that if more than $1 million is collected, the whistle-blower is entitled to _____ of the monies collected.
between 10 and 30 percent
Organizations pursue operational efficiency through detailed monitoring of their _____, that is, how much money is left after all the bills have been paid from the revenue generated from the sale of their product or service
bottom line
Under the Foreign Corrupt Practices Act, payments made with the knowledge that any portion of the payment is to be passed along to a foreign official for a prohibited purpose under the Foreign Corrupt Practices Act are known as _____.
bribes
_____ is the application of standards of moral behavior to business situations
business ethics
The practices of making a company's operations _____ to offset damage to the environment through their greenhouse gas emissions was initially developed as a solution for those industries that face significant challenges in reducing their emissions
carbon neutral
The research and development (R&D) department of an organization
carries the responsibility for the future growth of the organization
Fred, a manager in a multinational corporation, is a supporter of Milton Friedman's instrumental contract. Fred believes that corporations:
carry no moral obligation to the countries in which they operate.
A(n) _____ is defined as a central guide that supports day-to-day decision making at work
code of ethics
The _____ of a company is an operating committee responsible for determining the salaries, bonuses, and perks for the CEO and other senior executives
compensation committee
The Cadbury report, established to address financial aspects of corporate governance, argued for a guideline of _____, which gave companies the flexibility to act in accordance with governance standards or clarify why they do not in their corporate documents.
comply or explain
The policy of corporate social responsibility (CSR), where doing what's best for the customers translates into what's best for the company in the long run, exemplifies the _____.
concept of doing well by doing good
When employees observe unethical behavior or are asked to do something that conflicts with their own personal values, one of the clichéd guidelines available to them is to _____.
consult the company code of ethics
In the context of ethical theories, a challenge takes the form of a dilemma in which the decision one must make requires one to make a right choice knowing full well that one is
contradicting a personal ethical principle in making that choice
Title VIII of the Sarbanes-Oxley Act addresses issues related to _____.
corporate and criminal fraud accountability
Another term for corporate social responsibility (CSR) is _____.
corporate citizenship
Corporations that experiment with corporate social responsibility (CSR) initiatives run the risk of creating adverse results as
employees feel that they are working for an insincere, uncaring organization
Telecommuting has changed the work environment in a way that:
employees have begun to expect a level of flexibility in taking care of their personal needs during work hours.
Prior to 2002, legal protection for whistle-blowers existed only through legislation that:
encouraged the moral behavior of employees who felt compelled to speak out.
The _____ approach for resolving an ethical dilemma considers which decision would provide the greatest good for the greatest number of people
ends-based
A feature of the standard of corporate governance is that it _____.
ensures that officers of an organization fulfill their obligations to their stakeholders
Exotic Crafts Inc., a handicraft manufacturing company, has an established marketing department responsible for various important functions. The marketing department is most likely engaged in _____.
ensuring that the products reach the hands of a satisfied customer
Organizations pursuing a clearly defined sense of social conscience in managing their financial responsibilities to shareholders, their legal responsibilities to their local community and society as a whole, and their ethical responsibilities to do the right thing for all their stakeholders follow a(n) _____ corporate social responsibility (CSR) initiative
ethical
Globalization raises concerns about the:
ethical behavior of economically advanced nations toward developing ones.
A situation in which there is no obvious right or wrong decision, but rather a right or right answer, is termed _____.
ethical dilemma
By its very definition, a(n) _____ cannot really be resolved in the sense that a resolution of the problem implies a satisfactory answer to the problem
ethical dilemma
_____ refers to a situation in which there is no obvious "right" or "wrong" decision, but rather a "right" or "right" answer
ethical dilemma
_____ looks at the information available to people to resolve an ethical dilemma, and draws conclusions based on that information in relation to their own ethical standards
ethical reasoning
According to the concept of _____, the traditions of one's society, one's personal opinions, and the circumstances of the present moment define one's ethical principles
ethical relativism
Walter's Inc., a cement manufacturing firm, fails to meet the deadline for delivering 500 kg of cement to QuickContruct Inc. The officer responsible for the distribution and sale at Walter Inc. bribes the officer at QuickContruct Inc. to alter the date of delivery in the original contract. Which of the following concepts is best illustrated in the above scenario
ethical transgression
The field of _____ is the study of how people try to live their lives according to a standard of "right" or "wrong" behavior
ethics
Derek oversees the investigation of wrongdoings in his organization and provides additional guidance and support to the employees. He also develops training programs for every department to maintain organizational conduct. Which of the following positions does Derek most likely hold in his company?
ethics officer
Edmund has been recently appointed as executive in-charge of the code of conduct for Elmer Enterprises. He administers the code of conduct among the organization's employees and oversees the investigations of wrongdoings in the organization. He also provides additional guidance and support to the employees. Edmund is most likely to be the _____ of the organization.
ethics officer
The _____ of an organization is the senior executive responsible for monitoring its moral standards both internally and externally.
ethics officer
A company's commitment to ethical behavior affects:
every managerial level and every department of the organization equally and increases its efficiency.
In _____ whistle-blowing, an employee who discovers corporate misconduct brings it to the attention of law enforcement agencies and/or the media.
external
Sandra, an executive officer of a company, has collected reports which prove that the CEO has been misappropriating company and investor funds. She takes the matter public and issues a statement against the CEO. Sandra is an _____ whistle-blower.
external
Companies can make vast amounts of information available to customers through their _____ sites.
extranet
Jordan, a software engineer, is responsible for maintaining the private piece of his company's internet network that is accessible to clients by means of a unique password. This piece of the company's network is known as the _____.
extranet
The term _____ refers to a private piece of a company's Internet network that is made available to customers and/or vendor partners on the basis of secured access by unique password.
extranet
Brendon Inc. required a permit to open its business in a foreign country. Although it had met all the requirements for the permit, the officials delayed providing Brendon Inc. with the permit. To expedite the process, the company made a payment to a high-ranking official who has the authority to grant the permit. Which of the following types of payment does this scenario exemplify?
facilitation payment
Under the Foreign Corrupt Practices Act, payments that are acceptable (legal) provided they expedite or secure the performance of a routine governmental action are called _____.
facilitation payments
The King II report, released by the committee formed by Mervyn King, on corporate governance
formally recognized the economic, environmental, and social aspects of a company's activities
In the context of the value chain of an organization, _____ is a support activity
general administration
The accounting profession is governed by a set of _____.
generally accepted accounting principles
A general standard of business practice that can be applied equally to all countries over and above their local customs and social norms is called a _____.
global code of conduct
According to Joseph F. Keefe, which of the following is a major trend behind the corporate social responsibility (CSR) phenomenon
globalization
"Do unto others as you would have them do unto you" explains the _____.
golden rule
Under the Foreign Corrupt Practices Act, payments to foreign officials in order to expedite or secure the performance of a routine governmental action are known as _____.
grease payments
The main function of a code of ethics is to _____.
guide managers and employees in making sound decisions and choices every day
Over the last five decades, codes of ethics
have been adopted by an increasing number of organizations who share them with all their stakeholders
Less-developed nations are countries which:
have poor economic, social, and technological infrastructure.
An example of intrinsic value is _____.
health
Altra Partners (AP) believes in maintaining sustainable ethics. It has recently established a code of ethics and organized comprehensive training sessions for all its members. Which of the following steps is most likely to be undertaken next by AP?
hiring an ethics officer
In internal whistle-blowing, an employee who discovers corporate misconduct brings it to the attention of:
his or her manager or supervisor.
The inside members of a company's board of directors
hold managerial positions within the company
If an employee leaves a company, the _____ department should host an exit interview to ensure that anything the organization can learn from the employee's departure is fed back into the company's strategic plan for future growth and development
human resources
The efficient management of providing payroll and benefits for happy and productive employees is looked after by the _____ department of an organization
human resources
ThinkNow is an advertising firm based in Dallas, Texas. One of its departments is in charge of the hiring process and is responsible for the orientation of newly hired employees. Which of the following organizational areas does this department represent
human resources
In the context of the value chain of an organization, which of the following is a line function of an organization
human resources management
Brenner Inc. (BI) is formulating its ethics policy with the goal of increasing employee loyalty and improving customer satisfaction. In order to meet these goals, BI should ensure that its policy:
includes threats of punishments balanced with rewards.
Brendon joins Almer Inc. as the head of the research and development (R&D) team. In order to allow Almer Inc. to capture and maintain a leading position in the market, Brendon should _____.
incorporate customer feedback from market research and competitive feedback from closely monitoring the organization's competition
Which approach to corporate social responsibility (CSR) assumes that there are no external consequences to the actions of the corporation and its managers
instrumental approach
The quality by which the pursuit of one value is a good way to reach another value is known as _____.
instrumental value
Anderson Enterprises endorses low power distance which implies that the firm lays emphasis on a less consultative or democratic work structure. Subordinates work on important assignments and managers often socialize with them. Which of the following concepts is being reflected in the above scenario
organizational culture
As an internal document, a code of ethics should represent a clear guide to _____ for making good decisions and choices
managers and employees
In an organization, _____ see themselves as providing products (or services) to customers who have already expressed a need for and a desire to purchase those products
marketers
The first step in a policy of disregarding the corporate governance model is the decision to:
merge the roles of chief executive officer (CEO) and chairperson of the board into one individual.
Identify an example of instrumental value
money
One of the responsibilities of the audit committee of a company is to
monitor the company's accounting policies and procedures
A perspective of business ethics that involves recommending what should be happening in a business situation is termed _____ perspective
normative
In the context of business ethics, a _____ perspective evaluates the degree to which the observed customs, attitudes, and rules within a business can be considered ethical
normative
An argument made by the advocates of ethical business conduct about the human resources department is that it should _____.
not be the sole creator of the code
A fact about the effect of globalization is that multinational corporations:
often take advantage of the unrestrictive legal environments of less-developed countries.
Corporate social responsibility (CSR) always assumes that a corporation is
operating in a competitive environment
The principle for resolving an ethical dilemma in which one considers the question of what would happen if everyone made the same decision as him or her is termed _____ principle
rules-based
According to the value chain of an organization, which of the following is classified as a primary activity
sales and marketing
Hoffmann Enterprises (HE), a manufacturer of industrial goods, primarily focuses on meeting the demands of the market with quality products. It also undertakes environmental protection endeavors that promote the use of renewable sources of energy. HE illustrates the _____ approach to corporate management
social contract
The _____ approach to corporate management refers to the perspective that a corporation has an obligation to society over and above the expectations of its shareholders
social contract
According to the _____ to management, by recognizing stakeholders and not just shareholders, corporations must maintain a long-term perspective rather than simply delivering quarterly earnings numbers
social contract approach
The problem with virtue ethics is that
societies can place different emphasis on different virtues
A _____ is defined as someone with a share or interest in a business enterprise
stakeholder
A well-written code of ethics:
states policies for behavior in specific situations.
_____ corporate social responsibility (CSR) refers to the philanthropic approach to CSR in which organizations target programs that will generate the most positive publicity or goodwill for the organization but which runs the greatest risk of being perceived as self-serving behavior on the part of the organization
strategic
Society refers to a(n)
structured community of people bound together by similar traditions and customs
A primary activity of an organization according to the value chain is that of _____.
supply chain management
The UN Global Compact states that businesses should:
support a precautionary approach to environmental challenges.
_____ is ethical behavior that persists long after the latest public scandal or the latest management buzzword.
sustainable ethics
_____ serves as a support line function to key functional areas in an organization's value chain
technology / human resources management
_____ has made it difficult for organizations to precisely measure the amount of time that employees are on-site.
telecommuting
_____ refers to a new capability that allows employees to work from home and log into to their company's network remotely.
telecommuting
Walter Salmon's checklist to assess the quality of the board recommends:
that there be three or more outside directors for every insider
The Sarbanes-Oxley Act of 2002 is also known as:
the Corporate and Criminal Fraud Accountability Act.
The argument over privacy at work has traditionally centered on:
the amount of time that employees were on-site.
The formula used to calculate the total fine sentenced by the Federal Sentencing Guidelines for Organizations (FSGO) is:
the base fine multiplied by the culpability score.
Merging the roles of the chief executive officer and the chairperson of the board of an organization is advantageous because _____.
the board is led by someone familiar with the inner workings of the organization
Under federal law, video surveillance is legal only if:
the camera focuses on publicly accessible areas.
The definition of corporate social responsibility as the actions of an organization that prioritize social benefit over maximizing profits and meeting legal obligations assumes that
the corporation is operating in a competitive environment
Ideally, the human resources function within an organization should be directly involved in
the documentation of disciplinary behavior and remedial training, if needed.
The Cadbury report, established by Sir Adrian Cadbury in 1992 to address financial aspects of corporate governance, addressed
the financial aspects of corporate governance
The maximum penalty that a judge can impose upon an organization for violating the Federal Sentencing Guidelines for Organizations is a penalty worth:
the full amount of the organization's assets.
The stage in which an individual is focused on self-chosen ethical principles found to be comprehensive and consistent is _____.
universal ethical principle orientation
Actions placed within a strictly moral context instead of basing actions on the needs of a particular situation is termed _____.
universal ethics
Actions that are taken out of duty and obligation to a purely moral ideal, rather than based on the needs of the situation, are known as _____.
universal ethics
In the context of _____, actions are taken out of duty and obligation to a purely moral ideal rather than based on the needs of a situation
universal ethics
Ethical choices that offer the greatest good for the greatest number of people are referred to as _____.
utilitarianism
Ethics for the greater good or _____ is an approach more focused on the outcome of one's actions rather than the apparent virtue of the actions themselves
utilitarianism
The marketing challenge is more directly aligned to the debate between universal ethics and _____.
utilitarianism
_____ is represented by ethical choices that offer the greatest good for the greatest number of people
utilitarianism
_____ refers to ethical choices that consider the greatest good for the greatest number of people.
utilitarianism
A composition of the key functional inputs that an organization provides in the transformation of raw materials into a delivered product or service is termed _____.
value chain
_____ refers to a set of personal principles formalized into a code of behavior
value system
The Greek philosopher Aristotle's belief in individual character and integrity established the concept of _____.
virtue ethics
_____ refers to a concept of living one's life according to a commitment to the achievement of a clear ideal
virtue ethics
If the corporate governance in an organization is poor, it _____.
weakens the company's potential and makes it less attractive to investors
Which of the following questions is identified by Arthur Dobrin to resolve an ethical dilemma
what do your feelings tell you?
An employee who discovers corporate misconduct and chooses to bring it to the attention of others is referred to as a(n) _____.
whistle-blower
A(n) _____ is a telephone line where employees can leave messages to alert a company of suspected corporate misconduct without revealing their identity.
whistle-blower hotline
Title IX of the Sarbanes-Oxley Act focuses on:
white-collar crime penalty enhancements.
The two types of whistle-blowing, internal and external, are categorized based on:
whom the whistle-blower chooses to inform.
Which of the following is the final step of the three-step process for solving an ethical problem
making a decision
Which of the following responsibilities was granted to the Consumer Financial Protection Bureau (CFPB)?
Authority to examine and enforce regulations for banks and credit unions with assets over $10 billion
Which of the following employees is an external whistle-blower?
Benjamin, who alleges to the federal government that the company he works for is fixing prices with its competitors
Which of the following illustrates a firm having a triple bottom-line (3BL) approach
Brink-T Technologies donates ten percent of its profit to charity, reduces toxic emission from its plants, and has ten percent increase in financial turnovers
Which of the following is true of business ethics
Business ethics should not be applied as a separate set of moral standards or ethical concepts from general ethics
Which of the following principles and standards of behavior is advocated by both the Organization for Economic Cooperation and Development (OECD) and the UN Global Compact?
Businesses should abolish child labor, combat bribery, and fight corruption.
How can companies discourage unethical behavior in their employees
By conducting regular audits and random spot checks
Whistle-blowers who expose fraudulent behavior against the government are entitled to between 10 and 30 percent of the amount recovered under the federal _____.
Civil False Claims Act
_____ is one of the newest and increasingly questionable practices in the world of corporate social responsibility (CSR).
Carbon neutral operations
Cathy heads the research and development (R&D) team of Anderson Enterprises. Which of the following R&D functions should Cathy and her team undertake to allow the organization capture and maintain a leading position in its market
Cathy and her team should make a complex set of risk assessments and technical judgments in order to deliver a product design
Downerz Enterprises (DE) has been in the news for fraud by one its directors. As a result, the trustees of DE have appointed a new director who has established a strict code of ethics. He has announced extensive training for every member of the organization. An ethics officer has also been hired by DE. Which of the following steps is most likely to be taken next by the new director to maintain ethical behavior in the organization?
Celebrate and reward the ethical behavior demonstrated by its employees.
Which of the following steps is the immediate next stage in making ethical behavior sustainable for a company after it hires an ethics officer?
Celebrating and rewarding the ethical behavior demonstrated by its employees
A qui tam lawsuit is a lawsuit brought on behalf of the federal government by a whistle-blower under the _____ of 1863
Civil False Claims Act
_____ is a gray area in which a person's ethical principles are defined by the traditions of his or her society, personal opinions, and the circumstances of the present moment.
Ethical relativism
Which of the following is an example of corporate social responsibility (CSR
Dawson Inc. uses a clean-fuel technology shuttle for employee conveyance
The Organization for Economic Cooperation and Development (OECD) Guidelines for Multinational Enterprises were initially a part of the _____.
Declaration on International Investments and Multinational Enterprises
Which of the following represents a legal accounting practice
Deferring receipts from one quarter to the next to manage tax liability
Why is it difficult for many organizations to make the transition from corporate social responsibility (CSR) as a theoretical concept to CSR as an operational policy
Delayed response in financial gains tests the commitment of those organizations that are inclined to dispense with experimental initiatives
Which of the following is an advantage of globalization?
Developing nations can leverage their natural resources to attract foreign investment.
Which of the following is a human resources function within an organization
Documentation of periodic performance reviews
The _____ refers to the legislation that was promoted as the "fix" for the extreme mismanagement of risk in the financial sector that led to a global financial crisis in 2008-2010.
Dodd-Frank Wall Street Reform and Consumer Protection Act
The _____ introduced a reward program for whistle-blowers who report securities law violations to the Securities and Exchange Commission (SEC) or the Commodity Futures Trading Commission (CFTC).
Dodd-Frank Wall Street Reform and Protection Act
Which of the following is the first stage in making ethical behavior sustainable for a company?
Establishing a code of ethics
Which of the following philosophical positions is adopted by multinational corporations when working in countries whose laws and regulations are less restrictive than the one in their own country?
Ethical relativism
The _____ is a legislative response to the corporate accounting scandals of the early 2000s that cover the financial management of businesses.
Sarbanes-Oxley Act
The _____ of 2002 incorporates the "comply or else" approach to corporate governance
Sarbanes-Oxley Act
The _____ of 2002 introduced greater accountability for chief executive officers and boards of directors in signing off on the financial performance records of the organizations they represent
Sarbanes-Oxley Act
The "Office of the Whistleblower" was created by the _____.
Securities and Exchange Commission
Charlotte works for an advertising agency. She is usually late in responding to e-mails and work-related queries. She has a change of attitude when she realizes that an important project she was responsible for was delayed due to similar behavior from her manager. Now, Charlotte replies to her e-mails on time. Which of the following indicates that this change in Charlotte's behavior is a result of adopting the Golden Rule
She empathizes with others when she faces a similar situation
Information can be digitized and transmitted over fiber-optic cables because of the recent advances in technology. Which ethical obligation of this new capability is now being realized?
Should customers be informed that their personal information is being sent to other countries?
Which of the following statements is true of a company's value chainn
Supply chain management and operations are the primary activities
HP Chase Inc., an investment banking firm, has decided to make ethical behavior sustainable in its organization. It has set up the process of monitoring ethical behavior by establishing a code of ethics. Which of the following stages is HP Chase Inc. most likely to undertake next?
Support the code of ethics with extensive training for every member of the organization
Which of the following legislations required full disclosure of funds that were taken out of or brought into the United States before the Foreign Corrupt Practices Act was introduced?
The Bank Secrecy Act
Ken reported misconduct in his organization to the Securities and Exchange Commission. He was able to provide substantial evidence and won the case. The amount recovered was over $1 billion. Which of the following laws states that Ken is eligible to receive between 10 and 30 percent of the amount recovered?
The Dodd-Frank Wall Street Reform and Consumer Protection Act
Which of the following is true of facilitation payments under the Foreign Corrupt Practices Act (FCPA)?
The FCPA finds them acceptable if they expedite a routine governmental action.
Sebastian and Amy are arguing over secondary legislations that were in place prior to the passing of the Foreign Corrupt Practices Act (FCPA). Amy is of the opinion that the FCPA encompasses all secondary measures that were in use to prohibit corrupt practices. Sebastian disagrees with Amy on this point. Which of the following, if true, would strengthen Amy's argument?
The FCPA requires corporations to fully disclose all transactions conducted with foreign officials in line with the SEC provisions.
Which of the following is a legislation that was introduced to control bribery and other less obvious forms of payment to overseas officials and politicians by American publicly traded companies?
The Foreign Corrupt Practices Act
Which of the following bodies has approached the issue of standardizing global ethical conduct by promoting behavior guidelines that multinational corporations can publicly support?
The Organization for Economic Cooperation and Development
Which of the following did the government formulate to penalize corporate wrongdoing
The Sarbanes-Oxley Act
Which of the following legislations could fine companies for failing to disclose bribes and other forms of payments to foreign officials before the Foreign Corrupt Practices Act was introduced?
The Securities and Exchange Commission
Which of the following government agencies jointly enforce the Foreign Corrupt Practices Act?
The U.S. Department of Justice (DOJ) and the Securities and Exchange Commission (SEC)
Which of the following key U.S. legislations is an attempt to discourage, if not prevent, illegal conduct within organizations?
The U.S. Federal Sentencing Guidelines for Organizations
Why was the Foreign Corrupt Practices Act criticized?
The act formally recognizes the facilitation payments, which would otherwise be acknowledged as bribes.
Which of the following is true of the changes that telecommuting has introduced into the work environment?
The availability of employees is being defined by their accessibility.
Which of the following statements is true of corporate social responsibility (CSR)
The awakening to CSR for most companies happened only after being surprised by public responses to issues that had not previously been a part of their business responsibilities
Which of the following principles should a company follow for effective corporate governance
The board of directors and the CEO should work together when evaluating risk-versus-reward scenarios
Which of the following statements is true of the code of ethics of an organization?
The code of ethics does not have a perfect model.
Which of the following statements is most likely to be true of an organization's code of ethics?
The code of ethics is written for the employees of an organization, and the stakeholders are not required to follow it.
Which of the following statements is a piece of advice from the Institute of Business Ethics for creating a code of ethics?
The code should be publicly shared on platforms associated with the company.
Which of the following statements is true of codes of ethics
The codes are structured to empower employees to make effective decisions confidently
Which of the following statements is true of the effects of telecommuting?
The concept of being at work has become more flexible.
GeoTransmit, a large multinational telecommunications company, hid from its investors the extensive debt and losses it had accumulated. Its fraudulent accounting behavior was eventually discovered, and the company went bankrupt. Which of the following statements is true of the future of GeoTransmit and its stakeholders
The different stakeholders of GeoTransmit will be affected in different ways
What is the reason for the increased monitoring of employees at work by organizations?
The evidence gathered from the electronic trail of e-mails from employees can cause potential damage to an organization.
Which of the following statements is true of ethical relativism
The idea of relativism implies some degree of flexibility as opposed to strict black-and-white rules
Which of the following explains why employers are in favor of monitoring and restricting the actions of their employees?
The implications of vicarious liability for employers
In the context of the history of business ethics, identify a dramatic change that has taken place in the business environment over the past five decades
The increased presence of an employee voice has made employees feel more comfortable speaking out against actions of their employers that they feel to be irresponsible
Which of the following is an effect of merging the roles of the chief executive officer and the chairperson of the board
The independence of the board is compromised
Which of the following statements is true of less-developed countries and multinational corporations in the context of globalization?
The long-term economic viability of less-developed countries is threatened by the activities of multinational corporations.
Which of the following statements is true of ethical challenges in organizations
The main reason behind bending the rules regularly in organizations is the motive of gaining profits
What is the difference between the old social contract approach and the modern social contract approach to corporate management
The modern social contract approach aims to meet the demands of all stakeholders and the shareholders, whereas the old social contract approach was based only on economic growth
Which of the following statements is true of the social contract approach to corporate management
The modern social contract approach argues that there is an obligation for the corporation to meet the demands of society rather than just the demands of a targeted group of customers
Arthur and Nicole are arguing over the creation of a code of ethics for an organization. Arthur believes that it would be good for organizations to follow the advice from the Institute of Business Ethics before creating the code of ethics, while Nicole disagrees with him. Which of the following actions would an organization take if it agrees with Arthur?
The organization would determine the topics on which employees require guidance.
Which of the following checks, when in place, reduces the risk of fraud or unethical behavior in a corporation?
The participants of the governance process must be made accountable effectively.
Which of the following elements is most likely be included by an organization in its code of ethics?
The policies for behavior in specific situations
Which of the following is a problem with the universal ethics approach
The problem with this approach is the reverse of the weakness in ethics for the greater good
Which of the following statements is true of parties charged with vicarious liability?
They are held responsible for the actions of their subordinates.
Which of the following statements is true of whistle-blowers?
They are often criticized and considered troublemakers.
Which of the following statements describe the terms "morals" and "values
They are often used to mean the same thing
Which of the following statements is true of keystroke loggers?
They can record typed-in information even if it is deleted.
Which of the following is true of the Organization for Economic Cooperation and Development (OECD) Guidelines for Multinational Enterprises?
They carry no criminal or civil enforcement.
Which of the following is true of the three principles for resolving an ethical dilemma
They do not offer a perfect solution or resolution for every situation
Which of the following statements is true of qui tam lawsuits?
They establish whistle-blowers as deputized petitioners for the government in a case.
Which of the following is true of the penalties under the Federal Sentencing Guidelines for Organizations (FSGO)?
They include organizational probation.
Identify a feature of the outside members of an organization's board of directors
They may comprise the company's creditors, suppliers, or consultants
Which of the following statements is true of ethics officers?
They monitor the ethical performance of the organization both internally and externally.
Why were the guidelines offered by Richard DeGeorge for organizations doing business in other countries criticized?
They overlooked issues related to the quality of goods produced.
Which of the following statements is true of the guidelines offered by Richard DeGeorge for organizations doing business in other countries?
They represented an ethical ideal that, at best, provided a conceptual foundation.
Which of the following is a major risk faced by whistle-blowers by speaking out about an organization's misconduct?
They risk losing their career and financial stability.
Which of the following is true of managers in an organization with good corporate governance?
They should fulfill a fiduciary responsibility to the owners.
Happy Times (HT) is an alcohol manufacturing brand that deals with several types of alcoholic beverages. HT uses social media for promoting the message of responsible drinking. It sponsors the FreeTaxi program for customers with HT membership on Christmas and New Year's Eve. It has also initiated several community welfare projects where a percentage of the profits go to the Hunger Relief Fund for Children. In the given scenario, which of the following is best illustrated
corporate citizenship
The term "_____" is best defined as the actions of an organization that are targeted toward achieving a social benefit over and above maximizing profits for its shareholders and meeting all its legal obligations
corporate conscience
The system that directs and controls business organizations is termed _____.
corporate governance
One of the primary responsibilities of an organization's _____ is to ensure compliance with the company's internal code of ethics
corporate governance committee
One of the changes that have occurred in a business environment over the last five decades is that _____.
corporate social responsibility has advanced from an abstract debate to a core performance-assessment issue
Corporate governance is the process by which _____.
corporations are directed and controlled
Henry Ford II recognized that _____.
corporations do not operate in an isolated environment
An organization can move its ethical commitment to a global scale successfully by:
creating an ethical standard that respects the local customs of other countries.
One way through which companies reduce unethical behavior in their employees is by _____.
creating and maintaining a corporate culture of trust
Amanda and Ross have been chosen to go to Ethiopia for their university's International Student Exchange Program. They read about the beliefs, attitudes, practices, norms, traditions, cuisine, and music of Ethiopia to better adapt to the place. Amanda and Ross are reading about the _____ aspect of Ethiopia
cultural
The legal concept of _____ holds employers liable for the actions of their employees through Internet communications to the same degree as if they had written those communications on company letterhead.
cyberliability
The _____ is a fine that is set high enough by the Federal Sentencing Guidelines for Organizations to match all the assets of an organization and effectively puts the organization out of business.
death penalty
A perspective of business ethics that is a simple documentation of what is happening in a business situation is termed _____ perspective
descriptive
In the context of business ethics, the _____ perspective is a summation of the customs, attitudes, and rules that are observed within a business
descriptive
The Organization for Economic Cooperation and Development (OECD) guidelines recommend:
disclosure on all material matters regarding the corporation.
A true statement about corporate social responsibility (CSR) initiatives is that they _____.
do not always generate immediate financial gains to the organization
Alan, an employee at Urania Corp., finds a major discrepancy in the company's inventory list. Upon further investigation, he discovers that his department head has been tampering with the inventory data for personal profits. He immediately reports it to a higher authority within the organization with proof. In this scenario, Alan plays the role of an _____ whistle-blower.
internal
_____ whistle-blowing involves an employee bringing corporate misconduct to the attention of his or her manager or supervisor, who then follows established procedures to address the misconduct within the organization.
internal
The main focus of the Cadbury report, established by Sir Adrian Cadbury in 1992 to address financial aspects of corporate governance, was on _____.
internal governance
Emily, a website designer, is hired by an organization to create an internal website that contains information meant to be accessed solely by employees. This website is the company's _____.
intranet
The term _____ refers to a company's internal website that contains information for employee access only.
intranet
Riley was granted the title of Doctor of Medicine by a medical school in Ohio. His parents were extremely happy and content with his achievement. The worth attached to the feelings experienced by Riley's parents is an example of _____.
intrinsic value
The quality by which a value is a good thing in itself and is pursued for its own sake, whether anything comes from that pursuit or not, is called a(n) _____.
intrinsic value
The audience for the code of ethics of an organization should include the:
investors of the organization.
The UN Global Compact:
is the largest initiative of its kind in the world.
Under the Federal Sentencing Guidelines for Organizations, the death penalty:
is warranted where the organization was operating primarily for a criminal purpose.
The Cadbury report, established by Sir Adrian Cadbury in 1992 to address financial aspects of corporate governance, recommended
it considered the impact of corporations' on the larger community
The need for certified financial documents assumes great importance for an organization when _____.
it goes public by selling stock in the organization on a public stock exchange
Resolving the different perspectives on the issue of monitoring employee activity is difficult because:
it is difficult to determine where work ends and personal life begins.
It is difficult to track the history of internal whistle-blowing because:
it rarely receives attention from the media.
The "comply or explain" approach to corporate governance was problematic because _____.
its definition of what constitutes an acceptable explanation for not complying was vague
Setting up a governance system that allows organizations to be directed and controlled
leads to underpinning the integrity and efficiency of financial markets
Which of the following is a disadvantage of technological advances in a workplace?
loss of privacy
The False Claims Act was strengthened in 1986 to:
make it easier and safer for whistle-blowers to come forward.
A commitment to good corporate governance:
makes a company more attractive to investors.
Over the last five decades, corporate ethics has moved from the domain of human resource departments into the _____.
organizational mainstream
The board of directors of a company
oversees the governance of the organization
Over the last five decades, the issue of corporate social responsibility has advanced from an abstract debate to a core _____ issue with clearly established legal liabilities
performance-assessment
Over the last five decades, codes of ethics have matured from cosmetic public relations documents into _____ documents
performance-measurement
Alison Anderson, the CEO of Anderson Inc., laid the foundation for an apt professional behavior in her workplace. She is honest, aware, and sensitive and is considered a role model by young entrepreneurs. Which of the following basic categories of ethics is depicted in this scenario
personal integrity
Which of the following is one of the four basic categories of ethics
personal integrity
_____, demonstrated by someone's behavior, looks at ethics from an external rather than an internal viewpoint
personal integrity
The lowest level of moral development in Lawrence Kohlberg's stages of ethical reasoning is the _____ stage
preconventional
A policy that results when a company develops a clear sense of what it stands for as an ethical organization is known as a _____.
proactive ethical policy
The original reason for the enactment of the Civil False Claims Act was to:
protect the government from fraudulent defense contractors.
A _____ is a lawsuit brought on behalf of the federal government by a whistle-blower under the False Claims Act of 1863.
qui tam lawsuit
A policy that results when an organization is driven by events and/or a fear of future events is known as a _____.
reactive ethical policy
The difference between reactive and proactive policies of an organization is that:
reactive policies are driven by events and/or a fear of future events, whereas proactive policies are driven by a clear sense of what is construed as ethical for the organization.
Resolution of an ethical dilemma can be achieved by first _____.
recognizing the type of conflict one is dealing with
If the board of an organization is to serve its purpose in setting the operational tone for the organization, it should be composed of members who:
represent professional conduct in their own organizations.
The Whistleblower Protection Act of 1989 guaranteed the anonymity of the whistle-blower unless:
revealing the name would protect public safety.
The problem with a utilitarian approach to ethics is
the idea that the ends justify the means
In external whistle-blowing, an employee who discovers corporate misconduct brings it to the attention of:
the law enforcement agencies
A multinational company working in a less-developed nation will face ethical relativism when:
the local customs of the less-developed nation come into conflict with the company's policies.
The instrumental approach to corporate social responsibility (CSR) states that
the only obligation of a corporation is to maximize profits for its shareholders
In an organization, conflict of interest is most likely to occur when
the organization's product has the potential to be harmful to the organization's customers
The merging of the roles of the chief executive officer and the chairperson of a board is inadvisable because _____.
the power of the stockholders is minimized
The term "business ethics" is sometimes considered an oxymoron because
the recent spate of financial scandals portrays organizations as fundamentally unethical
Amanda heads the human resources department in Elenear Enterprises. The management has entrusted her with certain functions. Within the organization, Amanda should be directly involved in
the recruitment and selection of the right candidates for different positions
The UN Global Compact focuses on:
the welfare of workers around the world.
Universal ethics argues that
there are certain principles that should apply to all ethical judgments
A criticism of the triple bottom-line (3BL) approach is that _____.
there is no record or real evidence on how it can be measured
In September and October 2008, financial markets around the world suffered a severe crash as:
there was aggressive lending to subprime borrowers in a deregulated environment.
One of the common characteristics of the King I and King II reports on corporate governance was that _____.
they both incorporated a code of corporate practices that looked beyond corporations
The advances in technology have affected customers in a way that:
they have round-the-clock access to customer services.
Andrew is informed by his company that he should be open to monitoring as a part of the company's plans to improve productivity. Because of his qualifications and work experience, he knows that he would have no difficulty finding a similar position in another company. Andrew agrees to the policy, knowing that he can switch jobs if the new policy affects his job satisfaction. He has given his company _____ consent.
thick
Michelle receives a formal notification from her company stating that it will be monitoring all her e-mail and web activity. The notification also indicates that her continued employment with the company will depend on her agreement to abide by its monitoring policy. Because jobs are hard to come by, Michelle accepts. The consent given by Michelle can be classified as _____ consent.
thin
In the context of the creation of a code of ethics, the Institute of Business Ethics advises companies:
to introduce practical examples of the code in all company internal (and external) training programs and induction courses.
Multinational companies are also known as _____.
transnational corporations
Bretton Inc. (BI), a multinational corporation, releases detailed financial statements at the end of every quarter of a year. It is open and honest with its clients in all communication and clearly states the terms and conditions of its contracts. In this scenario, which of the following organizational characteristics is best illustrated by BI?
transparency
_____ in business means that stakeholders have visibility deep into the processes and information of an organization.
transparency
The approach that considers a company's social, financial, and environmental impact rather than focusing solely on its financial impact is the _____ approach
triple bottom line
The fiduciary responsibility of a manager is ultimately based on his or her _____.
trust
Joe feels pressured to lie to his client to keep an important contract because of intense market competition. He feels they will never discover the truth. Joe is
undergoing a functional fixedness
A person is focused on self-chosen ethical principles that are found to be comprehensive and consistent at the _____ stage of Kohlberg's stages of ethical reasoning
universal ethical principle orientation
