Chapter 2 Quizzes

Business law refers to 1. the laws and regulations that govern the conduct of business. 2. formalized rules and standards that describe what a company expects of its employees 3. the extent to which businesses meet the legal, ethical, economic, and voluntary responsibilities placed on them by their stakeholders. 4. An identifiable problem, situation, or opportunity that requires a person to choose from among several actions that may be evaluated as right or wrong, ethical or unethical. 5. a business's obligation to maximize its positive impact and minimise its negative impact on society.

1

Many people are under the impression that misconduct is more rampant than it really is because the mass media 1. focus more on misconduct than good ethical conduct 2. focus equally on misconduct and good ethical conduct 3. rarely report on the ethical conduct of business 4. focus more on good ethical conduct than misconduct. 5. support businesses by giving the public the impression that misconduct is not widespread.

1

Which of the following is not an example of misusing company resources? 1. engaging in activities that are not necessary for the job. 2. spending an excessive amount of time in personal emails. 3. submitting persona expenses on company expense reports 4. shipping personal items using a firm's account number 5. using the company copier for personal use.

1

Which of the following involves the activities and organizational processes adopted by businesses to meet their social responsibilities? 1. social dominance 2. corporate citizenship 3. organizational ethics 4. codes of ethics 5. economic responsibility

2

The most common way that businesses exercise community responsibility is through 1. obeying the law 2. recycling 3. donations to charitable organizations 4. submission of environmental reports. 5. establishing codes of ethics

3

Which of the following is true about the role of the Federal Trade Commission's Bureau of Consumer Protection? 1. It doesn't investigate unfulfilled holiday delivery promises by online shopping sites or scholarship scams. 2. It protects companies from unfair consumer demands. 3. It protects consumers against unfair, deceptive, or fraudulent practices. 4. The Division of Enforcement investigates consumer violations of laws. 5. It is divided into three divisions.

3

Ricardo observes his coworker stealing reams of printer paper to take home. In deciding whether or not to report this behavior, what must he do first? 1. seek guidance from his spouse 2. confront the colleague about the situation 3. discuss the situation hypothetically with his manager 4. evaluate the ethics of his choice and decide whether to ask for guidance 5. discuss the situation with other colleagues

4

Chen's manager is frequently seen watching funny videos on the TikTok app at work. As a result, Chen and the rest of the team use the video-sharing social networking app at work as well. This is an example of? 1. Personal ethics 2. the influence of coworkers 3. opportunity for misconduct 4. individual moral standards 5. the influence of managers

5

Social responsibility is an area of business with issues that ? 1. stays constant due to consistent societal demands. 2. are easy to resolve 3. will eventually be completely resolved. 4. change occasionally in response to society's demands 5. change constantly in response to society's demands

5

Which of the following is not a question to consider in determining whether an action is ethical? 1. would this activity be accepted by your coworkers 2. are there any potential legal restrictions or violations that could result from the action 3. does your company have a specific code of ethics or policy on the action. 4. how does this activity fit with your own beliefs and values 5. is this activity customary across all industries in your country

5

Which of the following statements about the Dodd-Frank Act passed by the US Congress in 2010 is false? 1. It establishes the Consumer Finance Protection Bureau. 2. It protects consumers from deceptive financial practices. 3. It increases accountability and transparency in the financial industry. 4. It encourages whistleblowers to provide information about corporate misconduct through monetary rewards. 5. It provides monetary rewards to those organizations that take action against employees involved in professional misconduct.

5

Which of the statements about the Dodd-Frank Act passed by the US Congress in 2010 is false? 1. It increases accountability and transparency in the financial industry. 2. It establishes the Consumer Financial Protection Bureau. 3. It protects consumers from deceptive financial practices. 4. It encourages whistleblowers to provide information about corporate conduct through monetary rewards. 5. It provides monetary rewards to those organizations that take action against employees involved in professional misconduct.

5

Laws regarding workplace safety are enforced by:

OSHA

Studies have found a direct relationship between social responsibility and What in business?

Profitability

Which of the following is an argument that supports social responsibility? Socially responsible decision-making by businesses can prevent increased government regulation. Businesses may not have the expertise needed to assess and make decisions about social and economic issues. Participation in social programs gives businesses greater power, perhaps at the expense of concerned stakeholders. The responsibility of business is to society is to earn profits and create jobs. Social problems are the responsibility of the government agencies and officials who can be held accountable by voters.

Socially responsible decision-making by businesses can prevent increased government regulation.

Which of the following has developed a Corruption Perceptions Index that ranks countries by their perceived levels of corruption? Daniels Fund Ethics Initiative Global Business Ethics Survey Transparency International Consumer Financial Protection Bureau Ethics & Compliance Initiative

Transparency International

An ethical issue is an identifiable problem, situation, or opportunity that requires a person or organization to choose from among several actions that may be evaluated as ethical or unethical. T or F

True

Citizens can contact senators regarding public policy issues and legislation. The US Senate website lists 3 ways citizens can contact their senator: an online contact form, postal mail, and telephone. This relates to the understanding that consumers have the right to be heard. T or F

True

Cory often felt belittled by comments her boss made. On multiple occasions, her boss criticized Cory's work in front of the entire department, making her feel like a target. This is an example of a hostile environment. T or F

True

Samantha, the president of an artificial intelligence firm, has an obligation to the company's owners and investors, which includes providing all relevant information to investors about the current and projected performance of the firm. T or F

True

The Dodd-Frank Act is an example of how the most basic ethical and social responsibility concerns have been codified by laws and regulations. T or F

True

The right to What assures consumers that their interests will receive full and sympathetic consideration when the government formulates policy?

be heard

Antonia must resolve an urgent work issue but needs Graham's help. She has emailed and called him several times, but Graham doesn't respond to any of her communications. Antonia texts him as a last resort but he fails to return the communication. Graham's behavior is an example of ?

bullying

A large retailer had a dispute with personal care suppliers and decided to exclusively stock one brand of shampoo. Customers complained and requested other popular shampoo brands, but the retailer insists consumers buy this brand. This is a violation of consumers' right to ?

choose

All of the following are associated with dishonesty except: Stealing Competition Lack of disclosure Lying Lack of integrity

competition

Apple removed several third-party screen time tools from the App store. Shortly after, Apple introduced its own screen time tool, attracting scrutiny from critics. The aspect of fairness at issue here is

competition

Sophie lobbies government agencies and encourages friends, family and coworkers to boycott companies whose actions are irresponsible or harmful. This is called ?

consumerism

Acme corporation makes a strong effort to meet or exceed the legal, ethical, economic and voluntary responsibilities expected from its stakeholders. This company is demonstrating ?

corporate citizenship

Jumps & Hops Beer Co. notices competitors talk about using wind energy. Although Jumps & Hops does not use any alternative energy solutions, it decides to add "fueled by wind energy" to its packaging to see if it increases sales. What activity is the company engaging in?

greenwashing

The fact that environmental responsibility requires trade-offs means that it: instigates trade relations facilitates international competition promotes the practice of fair trade imposes costs on both business and the public helps in generating profits

imposes costs on both business and the public

Jack believes consumer relationships are the most important relationships, but his coworker Nia maintains that businesses must first be responsible to their ?? who are primarily concerned with earning a profit.

owners

A manager presents a subordinate's ideas in a management meeting but takes full credit for the work. The manager is engaging in ?

plagiarism

Andy runs out of time to create a marketing plan for his company. He downloads a sample marketing plan he finds online and decides to submit it as his own work. This example relates to ?

plagiarism

What term refers to a business's obligation to maximize it's positive impact and minimize it's negative impact on society?

social responsibility

Philanthropic contributions made by a business to a charitable organization represent the ?? dimension of social responsibility?

voluntary

Which of the following statements is true of business ethics?Ethical conduct does not have any impact on business relationships Ethical issues are not affected by social perceptionsEthical conflicts do not evolve into legal disputes Business ethics does not go beyond legal issues Ethical issues are not limited to for-profit organizations

Ethical issues are not limited to for-profit organizations

A furniture company continues to sell a dresser despite multiple complaints of tipping and falling. According to the Consumer Bill of Rights, the right to be informed means the business must not knowingly sell anything that could result ini personal injury or harm to consumers. T or F

False

Businesses that do not have hard-to-reach financial objectives are more likely to experience unethical behavior. T or F

False

Businesses that do now have hard-to-reach financial objectives are more likely to experience unethical behavior. T or F

False

Company resource abuse is most commonly seen in the form of employees stealing office supplies for personal use. T or F

False

Corporate citizenship does not include the activities and organizational processes adopted by businesses to meet their social responsibilities. T or F

False

Corporate social responsibility refers to the laws and regulations that govern the conduct of business. T or F

False

Labor unions create a barrier to achieving safety in the workplace. T or F

False

The four dimensions of social responsibility are categorized as follows: financial, legal, management and ethics. T or F

False

An up-and-coming video game developer is told she must include a warning label on her new first-person shooter video game. Lime many others in the entertainment industry, the developer claims that requiring warning labels on video games violates her which amendment right?

First Amendment

Luca's father is the CEO of a textile company. His father tells him that the company may file for bankruptcy in the near future and suggests Luca sell off his company stock. Luca follows the advice and cashes out. This behavior is an example of?

Insider Trading

Which of the following is a reason why a code of ethics is important? It serves as an internal document, which is not shared with the public, suppliers, or regulatory authorities. It alerts employees about important issues and risks to address It provides an individual approach to dealing with ethical decisions It negates the need to have systems for reporting or places to go for advice when facing an ethical issue. It negates the need to evaluate and improve ethical decision making

It alerts employees about important issues and risks to address

Anna works for a shoe manufacturer. A superior pressures Anna to ask her former employer for a copy of an internal document. Anna believes her boss wants her to engage in theft of trade secrets. This ethical issue is related to: Business Relationships Plagiarism Communications Social Responsibility Conflicts of interest

Business Relationships

A former executive of British Airways was indicted for accepting X in the form of $5 million in payments from an airport contractor in exchange for helping the ground handling company win contracts. What is this an example of?

Bribes

IKEA has been criticized in the past for failing to issue furniture recalls in a timely manner. In the realm of business ethics, this is an issue related to: Financing Product Design Communications Conflict of Interest Business Relationships

Communications

Adam Neumann, former WeWork CEO, made money on real estate properties he owned and then leased back to WeWork. Investors were concerned the arrangement was an example of: Bribery Conflict of Interest Intimidating behavior Misuse of company time Bullying

Conflict of Interest

What is defined as the activities that individuals, groups and organizations undertake to protect their rights as customers?

Consumerism

Which of the following involves the activities and organizational processes adopted by businesses to meet their social responsibilities? Code of Ethics Corporate Citizenship Economic Responsibility Social dominance Organizational ethics

Corporate Citizenship

What is the extent to which businesses met the legal, ethical, economic, and voluntary responsibilities place on them by their various stakeholders?

Corporate citizenship