Business Ethics

Question 1

An enterprise directed towards the accumulation and growth of profit

Answer 1

Business

Question 2

Companies that have manufacturing, marketing, service, and administrative operations in many different nations

Answer 2

Multinational Corporations

Question 3

The process by which businesses or other
organizations develop international influence
or start operating on an international scale

Answer 3

Globalization

Question 4

Businesses are merely arrangements by which
one group of people, the stockholders, advance
capital to another group, the managers, to be
used to realize specified ends and for which the
stockholders receive an ownership interest in
the venture

Answer 4

Stockholder Theory

Question 5

The management’s fundamental obligation is
not to maximize the firm’s financial success
but to ensure its survival by balancing the
conflicting claims of multiple stakeholders.

Answer 5

Stakeholder Theory

Question 6

Any group or individual that stands to benefit or
suffer from decisions made by a corporation

Answer 6

Stakeholder

Question 7

All businesses are ethically obligated to
enhance the welfare of society by satisfying
consumer and employee interests without
violating any of the general canons of justice.

Answer 7

Social Contract Theory

Question 8

A company’s strategic initiative to contribute to the well being of society and the environment

Answer 8

Corporate Social Responsibility (CSR)

Question 9

Initiatives having short-term costs for the company that are ideally not aimed for profit, but promote sustainable environmental and social development

Answer 9

Corporate Social Responsibility (CSR)

Question 10

Reidenbach and Robin’s Stages of Organizational Moral Development

Answer 10

Stage 1: AMORAL ORGANIZATION
Stage 2: LEGALISTIC CORPORATION
Stage 3: RESPONSIVE CORPORATION
Stage 4: EMERGENT ETHICAL ORGANIZATION
Stage 5: ETHICAL ORGANIZATION