Chapter 2

Question 1

The study of right and wrong and of the morality of the choices individuals make

Answer 1

Ethics

Question 2

The application of moral standards to business situations

Answer 2

Business ethics

Question 3

Knowingly or unknowingly taking someone else’s words, ideas, or other original materials without acknowledging the source

Answer 3

Plagiarism

Question 4

When businesspeople take advantage of a situation for their own personal interest rather than for the employer’s interest

Answer 4

Conflict of interest

Question 5

Factors affecting ethical behavior

Answer 5

1. Individual factors
2. Social factors
3. Opportunity

Question 6

Provides sweeping legal protection for employees who report corporate misconduct

Answer 6

Sarbanes-Oxley Act of 2002

Question 7

A guide to acceptable and ethical behavior as defined by an organization

Answer 7

Code of ethics

Question 8

Informing the press or government officials about unethical practices at one’s organization

Answer 8

Whistle-blowing

Question 9

The recognition that business activities have an impact and the consideration of that impact in business decision making

Answer 9

Social responsibility

Question 10

Adopting a strategic approach to fulfilling economic, ethical, environmental, and social responsibilities

Answer 10

Corporate citizenship

Question 11

Latin phrase meaning “let the buyers beware”

Answer 11

Caveat emptor

Question 12

The view that society will benefit most when business is left alone to produce and market profitable products that society needs

Answer 12

Economic model of social responsibility

Question 13

The concept that business should emphasize not only profits but also the impact of its decisions on society

Answer 13

Socioeconomic model of social responsibility

Question 14

All activities undertaken to protect the rights of consumers

Answer 14

Consumerism

Question 15

A plan designed to increase the number of employees from underrepresented groups at all levels within an organization

Answer 15

Affirmative action program

Question 16

A government agency with the power to investigate complaints of employment discrimination and the power to sue firms that practice it

Answer 16

Equal employment opportunity commission (EEOC)

Question 17

Workers with little education or vocational training and a long history of unemployment

Answer 17

Hard-core unemployed

Question 18

The contamination of water, air, or land through the actions of people in an industrialized society

Answer 18

Pollution

Question 19

A comprehensive report of what an organization has done and is doing with regard to social issues that affect it

Answer 19

Social audit