ch 3- ethics

Question 1

ethics

Answer 1

study of what constitutes right and wrong behavior

Question 2

Business ethics

Answer 2

Looks at the decisions businesses make/have to make and if they are right or wrong and overall how business ppl apply moral principles in decision making

Question 3

The Fraud Reduction and Data Analytics Act

Answer 3

identify and assess fraud risks and used to prevent, detect, and respond to fraud in fed govt agencies.

Question 4

Dodd-Frank Act

Answer 4

Strengthens oversight of financial institutions to prevent economic crises and protect consumers.

Question 5

Gray areas in the law

Answer 5

Laws can be difficult to interpret bc of broad language making it hard to determine how provisions apply to specific situations
and how courts will interpret/ enforce a law in specific cases

Question 5

Sarbanes-Oxley Act (SOX)

Answer 5

Enhances corporate accountability and prevents fraud through stricter financial reporting and internal controls

Question 6

Laws intended to address one situation can also be applied to other situations too (T or F)

Answer 6

T

Question 7

The moral minimum

Answer 7

The minimum level of ethical behavior expected by society which is just merely compliance with the law

Question 8

Failure to meet the moral minimum does not have consequences (T or F)

Answer 8

F - It does have consequences

Question 9

Industry ethical codes

Answer 9

Specific codes for industries
ex : ANA

Question 10

business as a pure profit max

Answer 10

• yes if bus stick to profit max things can move to where they are highly valued but business can actually benefit from behaving ethically and be hurt by not behaving ethically

Question 11

businessess as corporate citizens

Answer 11

• people started do dislike profit maximization theory and investors and others began to look past profits and dividends and look more closey at triple bottom line
• companies are now viewed as citizens expected to participate in communities

Question 12

triple bottom line

Answer 12

-profit people planet

Question 13

Four part analysis

Answer 13

when making a decison bus shoudl think about

The legal impactions
The public relations impact
The safety risks
The financial implications

Question 14

Ethical issues in business

Answer 14

Businesses must develop integrity and trust by being honest, treating people fairly, and fostering diversity and equal opportunity in the workplace.

They must comply with federal and state laws on environmental, financial reporting, and safety standards.

Question 15

Attitude of top management

Answer 15

Top management must demonstrate commitment to ethical decision-making, as their behavior sets the tone for an ethical workplace.

Immediate corrective action against unethical conduct is key to fostering and maintaining good business ethics.

Question 16

ethical reasoning

Answer 16

A reasoning process in which individuals link their moral ethical standards to the situation(applies to business and ppl)

Question 17

2 categories of ethiscs

Answer 17

• duty based
  -outcome based

Question 18

duty based

Answer 18

idea that every person/bus has duties to others including humans and planet

Question 19

outcome based

Answer 19

determining what is ethical by looking at consequences or outcomes of any action

Question 20

religious ethical principles

Answer 20

Every religion has beliefs or principlas on how one should treat others

Christianity - bible

Question 21

principal of rights

Answer 21

beleif that humans have fundamental rights

when determining if a business decision is ehtical - must look at how it impacts the rights of the ppl

Question 22

principal of rights theory issue

Answer 22

Rights theory faces challenges when prioritizing conflicting rights, such as choosing between employees’ and shareholders’ interests or deciding layoff criteria (e.g., tenure vs. salary).

Firms must balance the rights of various stakeholders, including customers, employees, the community, and society as a whole.

Question 23

Resolving conflicts

Answer 23

theorists believe that whichever right is stronger in a particular circumstance takes precedence.

Question 24

Categorical imperative

Answer 24

Individuals should evaluate their actions in the light of the consequences that would follow if everyone acted the same way
Can be applied to any action

Question 25

People are not a means to an end

Answer 25

when people are treated merely as a means to an end, they are being treated as the equivalent of objects and are being denied their basic humanity.

Question 26

utilitiarianms - outcome

Answer 26

Actions are judged by their consequences, aiming to achieve the greatest good for the greatest number of people.

A “good” action maximizes overall benefit for those affected.

Question 27

Cost benefit analysis

Answer 27

A determination of which individuals will be affected by the action in question.

A cost-benefit analysis, which involves an assessment of the negative/ positive effects of alternative actions

A choice among alternative actions that will produce maximum societal utility (the greatest positive benefits for the greatest number of individuals).