2.2 Ethical and Environmental Considerations

Question 1

Ethics

Answer 1

Whether a business decision is thought to be morally right or wrong

Question 2

Fair trade products

Answer 2

A product that a customer pays a higher price for and offer better trading terms

Question 3

Social responsibility

Answer 3

An approach to managing businesses in which the interests of all groups in society are taken into account when making decisions

Question 4

The environment

Answer 4

The natural world which we live

Question 5

External costs

Answer 5

External costs of production arise when a business’ activites result in harmful effects on other people

Question 6

Non-renewable resources

Answer 6

Resources which only a limited amount exists

Question 7

Global warming

Answer 7

The gradual heating of the Earth’s surface, oceans and atmosphere

Question 8

Environmental responsibility

Answer 8

The taking of decisions by businesses, consumers,governments and other groups with the intention of protecting the environment

Question 9

Sustainability

Answer 9

The methods of production which can be continued in the long term without damage to the environment

Question 10

Recycling

Answer 10

The reuse of raw materials used in making products