Business Ethics and Social Responsibilities Flashcards
Which of the following are examples of a firm being socially responsible to the community?
(1) Bus company provides “Priority Seat” to senior citizen and the needy
(2) Convenient store offers special discount during summer vacation
(3) Restaurants launches the campaign of “Saves $1 by less rice”
A. (1) and (2) only
B. (1) and (3) only
C. (2) and (3) only
D. (1), (2) and (3)
Answer: B
Which of the following is NOT a stakeholder of a fur firm? A. Employees of the firm B. Competitors of the firm C. Animal right association D. None of the above
Answer: D
Which of the following shows that a firm is socially responsible to its customers? (1) Provides safe products and services (2) Offers customer the rights to choose (3) Sells the products at “bottom” price A. (1) and (2) only B. (1) and (3) only C. (2) and (3) only D. (1), (2) and (3)
Answer: A
Which of the following are the reasons of electric company comply with more stringent standard than legal requirement in fuel supply? (1) Enhances the corporate image (2) Seeks support from the society (3) Prevents the government to impose more strict control A. (1) and (2) only B. (1) and (3) only C. (2) and (3) only D. (1), (2) and (3)
Answer: D
Why do businesses have a stronger emphasis on social responsibility?
(1) Bearing social responsibility will result in grow in profit
(2) Raising awareness towards social responsibility for the public
(3) Growing expectation on corporate social responsibility by the pressure group
A. (1) and (2) only
B. (1) and (3) only
C. (2) and (3) only
D. (1), (2) and (3)
Answer: C
How does a firm provide social responsibility to its employees? (1) Paying the employees on time (2) Offering a harmonious working environment (3) Issuing bonus A. (1) and (2) only B. (1) and (3) only C. (2) and (3) only D. (1), (2) and (3)
Answer: A
What is corporate social responsibility?
A. A set of principles to govern business behaviour
B. An attitude for a firm to meet the expectation of different stakeholders
C. A regulation for a firm to comply with
D. A guideline for a firm’s employees to follow
Answer: B
What are the benefits of a firm for timely repayment of debt to creditor?
(1) Avoiding to pay extra interest charges
(2) Getting a more advantageous terms and conditions of loan application
(3) Higher chance to get approval for loan application
A. (1) and (2) only
B. (1) and (3) only
C. (2) and (3) only
D. (1), (2) and (3)
Answer: D
Which stakeholders’ expectation has been satisfied when a restaurant distribute lunchbox to the needy in society? A. Customer B. Government C. Society D. Employee
Answer: C
Which of the following is NOT the reason why a firm decides to take social responsibility?
A. Consumers affect business decision through their buying behaviour
B. Shareholders only concern about company profit
C. More emphasis on the right of employees
D. Suppliers only provide goods to firms repaying the debt on time
Answer: B
Which of the following behaviour is legal but unethical?
A. Textile manufacturer raises product price due to price rise of raw materials
B. Firm uses pirated software for the sake of cost cut
C. Hotel wastes a plenty of food when serving buffet
D. Supplier commits corruption when dealing with purchaser of a firm
Answer: C
What are the consequences when a firm behaves unethically? (1) Loss of goodwill (2) Ruin of corporate image (3) Subject to legal punishment A. (1) and (2) only B. (1) and (3) only C. (2) and (3) only D. (1), (2) and (3)
Answer: A
Which of the following is NOT an effective measure to ensure employees to behave ethically?
A. Appreciating those employees with high ethical standard
B. Designing code of ethics for the employees
C. Emphasising education on moral and ethics
D. Accepting those unethical behaviour that result in making profits
Answer: D
Which of the following business decisions is affected by ethics?
A. Company doing clearance sale
B. Mini-bus company offers special discount to the elderly
C. Company provides minimum wage to employees
D. Company pays the tax on time
Answer: B
Which of the following is a correct description about business ethics?
A. There are clearly defined consequences for the violation of business ethics.
B. There is a clear definition of business ethics.
C. Business ethics are the principles and moral standards which a business sees as acceptable.
D. Business ethics will not change over time.
Answer: C
Which of the following business decisions revealed compliance of business ethics?
A. A mobile phone manufacturer launches different versions of mobile phones to boast up sales.
B. A skin beauty company exaggerates the effects of different treatments.
C. A computer company offers very limited number of special discounted items to attract customers.
D. A travel agent provides accurate information on the itinerary.
Answer: D
Which of the following are appropriate actions when a firm taking business ethics and social responsibility into consideration?
(1) Using bio-degradable packaging
(2) Providing special discount to under privileged group
(3) Design products to cater the need of customers
A. (1) and (2) only
B. (1) and (3) only
C. (2) and (3) only
D. (1), (2) and (3)
Answer: A
Which of the following are examples of misuse of company resources? (1) Use of the Internet for personal use during office hours (2) Absence for work deliberately (3) Inappropriate sick leave A. (1) and (2) only B. (1) and (3) only C. (2) and (3) only D. (1), (2) and (3)
Answer: B
What is code of ethics?
A. A list of formalised rules and standards that illustrate the behaviour the business expects employees to observe and follow
B. A set of principles and moral standards which a business sees as acceptable
C. A set of rules and standards which state the standard operating procedure
D. A set of tactics and methods to improve the operating efficiency
Answer: A
List three stakeholders of a real estate agency and explain their concerns respectively. (6 marks)
Answer:
Customer: Concerns about the agency can deliver faithful property referral service without any deception. (2)
Employees: Concerns about the agency can pay the salary and commission without any delay. (2)
Government: Concerns about the agency can fill the tax return properly and pay the tax on time without any deliberate missing or deferral. (2)
What are the negative consequences if a toy manufacturer does not bear social responsibility? List three stakeholders and provide explanations. (6 marks)
Answer:
Employees: When employees have a feeling of being deprived of, they may initiate strike. (2)
Customers: Customer may boycott company’s products if they have negative impression on the company. (2)
Government: Government may impose more strict rules and regulations if it is believed that the company does not bear social responsibility. (2)
From the perspective of supplier and society, explain how a supermarket can bear social responsibility. (4 marks)
Answer:
Supplier: To pay back the supplier on time (2)
Society: Setting up recycle box to collect unused items from nearby residents (2)
Explain the conflict between employees and shareholders as well as customers and shareholders respectively.
(4 marks)
Answer:
Employees and shareholders: Employees concern about the rise of salary while shareholders concern about the rise of profit. (2)
Customers and shareholders: Customers demand for better product and service quality while shareholders worry about the improvement of product and service quality would result in cost boast up. (2)
What are the benefits brought to Kowloon Motor Bus Limited (KMB) by bearing social responsibilities? List out three benefits and provide explanations. (6 marks)
Answer:
Betterment of goodwill: Passengers are more willing to use the bus service. (2)
Enhance confidence of investors: Investors will have more confidence to KMB and boast up the stock price. (2)
Receive support from society: Easier to seek support from society on controversial issue like restructure of bus route. (2)
