Business Ethics

Question 1

Business Ethics

Answer 1

also known as corporate ethics, are the moral principles that guide business and decision making.

Question 2

Business ethics applies to …………. (Complete)

Answer 2

Business ethics applies to the behavior of organizations as a whole as well as the individuals within organizations.

Question 3

Regarding to Behavior, the definition of what is good and what is bad differs from one culture to the next.
EXPLAIN

Answer 3

Yes, It is possible to distinguish so-called “good” behavior and decisions from “bad” behavior and decisions or the “right” choice from the “wrong” choice. However, the definition of what is good and what is bad differs from one culture to the next.

Question 4

It is relatively easy to define unethical behavior as being the “wrong” choice or the “bad” decision. Examples of unethical behavior are

Answer 4

a) Using child labor for production,
b) Discharging toxic substances into the environment, and
c) Paying kickbacks to customers to retain business.

Question 5

a) Using child labor for production,
b) Discharging toxic substances into the environment, and
c) Paying kickbacks to customers to retain business.

Answer 5

Examples of unethical behavior

It is relatively easy to define unethical behavior as being the “wrong” choice or the “bad” decision

Question 6

it can be difficult to determine what is, the exactly “right” decision. This determination is
influenced by virtues and morals. (Explain)

Answer 6

Although unethical business decisions can often be defined, instead of the wrong decision, the exactly “right” decision. This determination is influenced by virtues and morals.
The Following Concepts Must Be Recognized :
Ethics
Morality
Virtue

Question 7

When analyzing ethical behavior, the following concepts should be recognized and
understood:

Answer 7

Ethics.
Morality.
Virtue.

Question 8

Define - Ethics

Answer 8

Ethics. A philosophical examination and understanding of what is right and wrong, or
good and bad.

Question 9

Define - Morality

Answer 9

Morality. Application of ethical principles.

Question 10

Define - Virtue

Answer 10

Virtue. Characteristics of morality of an individual.

Question 11

A manager who is personally and intrinsically involved with the
environment always attempts to prevent the discharge of toxic substances even
if doing so is not consistent with the overarching morality of the organization. This
individual …………..

Answer 11

is a virtuous manager.

Question 12

A manager who does not care about the environment, but knows
that the organization does not want to pollute, is applying the ethical standards
of the organization. This manager ……………….

Answer 12

is moral but not, by definition, virtuous

Question 13

Moral philosophy

Answer 13

is the branch of philosophy that contemplates what is right and wrong.
Moral philosophy consists of different concepts and streams of thought about how to
perceive right and wrong. It provides the option to study the meaning and justification of
moral claims for right and wrong.
-Business decisions should be moral. However, different moral philosophies can be used to
make those decisions. Moral philosophy can be divided into a few main streams related to
business ethics:
1 - Teleology .
2- Utilitarianism.
3- Deontology.
4- Virtue ethics.
5 - Relativism.
6 - Justice.

Question 14

1 - Teleology .
2- Utilitarianism.
3- Deontology.
4- Virtue ethics.
5 - Relativism.
6 - Justice.

Answer 14

Moral philosophy main streams ( Related to business Ethics )

Question 15

Teleology

Answer 15

From this perspective, everything is a function of its end, purpose, or goal.
The moral good is derived from what is achieved and whether the consequences of
an action are considered “good.”
a) The teleological implication for business ethics is that the effects of decisions on
multiple stakeholders should be taken into account.

Question 16

Utilitarianism

Answer 16

This theory values maximizing positive effects, such as welfare or
happiness. The morally right decision is the one that maximizes these positive
effects. The general principle is that the “greatest happiness to the greatest number
of people” is the measure for right or wrong decisions.
a) Utilitarianism is a stream within teleological philosophy. The difference between
teleology and utilitarianism is that the first focuses on the outcome in general.
If the outcome achieved is good, the decision was morally good. The second
focuses on the greater good for the greater number of people and is purely
focused on an outcome in such terms as welfare and happiness.

Question 17

Deontology.

Answer 17

What is good or right is derived from the action itself regardless of the consequences.

a) In deontology, a decision is right if it follows a moral rule or law even if the consequences of the decision are bad.
b) Deontology and teleology are opposites.

Question 18

Virtue ethics.

Answer 18

A decision is right if a virtuous person would do the same in the same
circumstances.
a) Virtue ethics is focused on the individual, not the action itself (deontology) or the
outcome (teleology). Thus, it considers the virtues of the individual carrying out
the action. This action not only is judged as right or wrong but also guides the
individual to the types of characteristics and behavior a “good” person would
seek.

Question 19

Relativism.

Answer 19

Relativism (or moral relativism) claims that no universal set of moral principles exists.
a) In relativism, a decision is right if it is based on what appears to be right or
reasonable within one’s own belief or value system.
b) Therefore, judging others’ decisions as wrong is difficult, because they can be
right according to their own value systems.
c) A common phrase from relativists is, “Who am I to judge?”

Question 20

Justice.

Answer 20

Every individual should be given what (s)he deserves.

a) The most common interpretation of justice is that equals should be treated equally, and unequals should be treated unequally.
b) EXAMPLE: The common view is that people who work more hours or in a more complex environment justifiably deserve higher pay. However, the less common view is that paying more or less based on age, gender, sexual orientation, race, or religion is justifiable.
- Justice is a broad term that could be used in different ways within society:
i) Social justice.
ii) Distributive justice.
iii) Restorative justice.
iv) Retributive justice.

Question 21

• Justice is a broad term that could be used in different ways within society:

Answer 21

i) Social justice. Everybody deserves equal economic, social, and political opportunities, irrespective of gender, race, religion, etc.
ii) Distributive justice. Assets should be allocated equally within society.
iii) Restorative justice. Those who have suffered unfairly can seek to be made whole.
iv) Retributive justice. Those who have done wrong should be punished objectively and proportionally.