Chapter 9
Which of the following is NOT generally an action for a company to consider in crafting a strategy of social responsibility?
Actions to look out exclusively for the best interests of shareholders
Which of the following is most likely to be morally valid from the perspective of ethical relativism?
Bribing a government official in an underdeveloped country to obtain a permit to build a hospital
The "triple bottom line" refers to what three performance metrics a company should simultaneously succeed in?
Economic, social, and environmental.
Which of the following is not a part of the business case for why companies should act in a socially responsible manner?
Every business has a moral duty to be a good corporate citizen
How do ethical principles apply to businesses?
They are not materially different from ethical principles in general How do ethical principles apply to business? Deal primarily with the company's duty to comply with legal requirements and conform to ethical norms of society, in general.
According to the school of ethical universalism
To the extent there is common moral agreement about right and wrong actions and behaviors across multiple cultures and countries, there exists a set of universal ethical standards to which all societies, all companies and all individuals can be held accountable in those instances where basic moral standards really do not vary significantly according to local cultural beliefs, traditions, religious convictions, or time and circumstance, there exists a common set of ethical standards that applies to the members of all societies, all companies, and all businesspeople.
Notions of right and wrong, fair and unfair, moral and immoral, ethical and unethical
are present in all societies, organizations, and individuals; some of the most important concepts (for example, being truthful) of what is right and what is wrong resonate with people of most cultures, and are thus universal.
Good corporate citizens
go beyond meeting society's expectations for ethical strategies and business behavior by fostering social benefit and balancing the interests of all.
An environmental sustainability strategy consists of a company's deliberate actions to
meet the current needs of customers, suppliers, shareholders, employees, and other stakeholders in a manner that protects the environment, provides for the longevity of natural resources, maintains ecological support systems for future generations, and guards against ultimate endangerment of the planet.
The school of ethical relativism holds that
when there are cross-country or cross-cultural differences in what is deemed fair or unfair, what constitutes proper regard for human rights, and what is considered ethical or unethical in business situations, it is appropriate for local moral standards to take precedence over what the ethical standards may be elsewhere.
