enterprise and society

Question 1

what is ethics?

Answer 1

the manner by which we live our lives according to a standard of “right’ “wrong” behaviour

Question 2

what are moral standards?

Answer 2

principles based on religious, cultural or philosophical beliefs by which judgements are made about goodand bad behaviour

Question 3

what is a stakeholder?

Answer 3

any organisation/entity/person that has an interest in the ethical operation of the organisation

Question 4

what are the rules of ethical decision making?

Answer 4

-utilitarian rule
-moral rights rule
-practical rule
-justice rule

Question 4

what is the utilitarian rule?

Answer 4

an ethical decision should produce the greatest good for the greatest number of people

Question 5

what is the justice rule?

Answer 5

an ethical decision should distribute benefits and harm among people in a fair, equitable, and impartial manner

Question 6

what is the practical rule?

Answer 6

an ethical decision should be one that a manager has no hesitation about communicating to people outside the company because the typical person in a society would think the decision is acceptable

Question 7

what is the moral rights rule?

Answer 7

an ethical decision should maintain and protect the fundamental rights and privileges of people

Question 8

what are the effects of ethical behaviour?

Answer 8

-increased efficiency + effectiveness
-increased company performance
- increased national standard of living, well-being and prosperity

Question 9

what are the effects of unethical behaviour?

Answer 9

-reduced efficiency + effectiveness
-reduced company performance
-reduced national standard of living, well-being and prosperity

Question 10

what is social responsibility?

Answer 10

the way a company’s manager and employees view their duty or obligation to make decisions that protect, enhance, and promote the welfare and well-being of stakeholders and society as a whole

Question 11

why be socially responsible?

Answer 11

-helps to build a good reputation
-quality of life in the company increases

Question 12

what are the 4 approaches to social responsibility?

Answer 12

1.obstructionist
2.defensive
3.accommodative
4.proactive

Question 13

what is an obstructionist approach?

Answer 13

companies and their managers choose not to behave in a socially responsible way and instead, behave unethically and illegally

Question 14

what is a defensive approach?

Answer 14

companies and their managers behave ethically to the degree that they stay within the law and strictly abide by legal requirements

Question 15

what is an accommodative approach?

Answer 15

companies and their managers behave legally and ethically and try to balance the interests of different stakeholders as the need arises e.g DELL

Question 16

what is a proactive approach?

Answer 16

companies and their managers actively embrace socially responsible behaviour, going out of their way to learn about the needs of different stakeholder groups and using organisational resources to promote the interest of all stakeholders e.g LEGO

Question 17

reasons for CSR:

Answer 17

-build connection, reputation and trust among customers
-long term survival
-shareholders activism
-influence of pressure groups
-concern for environment

Question 18

Reasons for not promoting CSR:

Answer 18

-may take management focus away from core business activity
-may appear cosmetic (no genuine social benefit)
-may make organisation more vulnerable to revelation of bad/ unethical business practice

Question 19

what does equality focus on in the workplace? what does it aim to eliminate?

Answer 19

focuses on the fair treatment of all employees. Aims to eliminate any signs of discrimination in the workplace

Question 20

what does equity take into account in a business?

Answer 20

a person’s unique circumstances e.g paid internships

Question 21

is equity the same as equality?

Answer 21

no

Question 22

what does inclusion concentrate on?

Answer 22

the idea that making employees feel valued and safe at work is every employer’s responsibility

Question 23

what does inclusion foster and allow?

Answer 23

it fosters employees uniqueness and allows leaders to create effective teams by embracing each employees individual qualities and being open to every employees feedback

Question 24

sources of diversity:

Answer 24

-age
-gender
-race and ethnicity
-religion
-disability
-sexual orientation

Question 25

what is distributive justice in the workplace?

Answer 25

where there is a fair distribution of pay, promotions, job titles and office space

Question 26

what is procedural justice in the workplace?

Answer 26

the use of fair procedures to determine how to distribute outcomes to organisational members

Question 27

why manage diversity?

Answer 27

-enhances profitability
-increased innovation
-new pool of potential employees
-enhanced brand image

Question 28

how to achieve diversity management:

Answer 28

-secure top management commitment
- increase diversity awareness and skills
-attention to how employees are evaluated
-empower employees to challenge discriminatory
- provide diversity training

Question 29

what is the global environment?

Answer 29

The set of global forces and conditions that operate beyond an organisation’s boundaries but affects a manager’s ability to acquire and utilise resources

Question 30

what is the task environment?

Answer 30

the set of forces and conditions that originates with suppliers, distributors, customers, and competitors and affects an organisation’s ability to obtain inputs and dispose of its outputs e.g new product introduction

Question 31

what is the general environment?

Answer 31

the wide-ranging global, economic, technological, sociocultural, demographic, political, and legal forces that affect an organisation and its task environment e.g natural disaster

Question 32

what is a supplier?

Answer 32

Individuals and organizations that provide an organization with the input resources that it needs to produce goods and services

Question 33

what is meant by global outsourcing?

Answer 33

The purchase or production of inputs or final products from overseas suppliers to lower costs and improve product quality or design

Question 34

what is a distributor?

Answer 34

organisations that help other organisations sell their goods or services to customers

Question 35

what is a customer?

Answer 35

individuals and groups that buy goods and services that an organisation produces

Question 36

what is a competitor?

Answer 36

organisations that produce goods and services that are similar to a particular organisation’s goods and services

Question 37

what are barriers to entry?

Answer 37

factors that make it difficult and costly for the organisations to enter a particular task environment or industry

Question 38

what are economic forces?

Answer 38

interest rates, inflation, unemployment, economic growth, and other factors that affect the general health and well-being of a nation or the regional economy of an organisation

Question 39

what is technology in the general environment?

Answer 39

The combination of skills and equipment that managers use in designing, producing, and distributing goods and services

Question 40

what are sociocultural forces?

Answer 40

Pressures emanating from the social structure of a country or society or from the national culture

Question 41

what is national culture?

Answer 41

The set of values that a society considers important and the norms of behaviour that are approved or sanctioned in that society

Question 42

what is demographic forces?

Answer 42

Outcomes of change in, or changing attitudes toward, the characteristics of a population, such as age, gender, ethnic origin, race, sexual orientation, and social class

Question 43

what are political and legal forces?

Answer 43

Outcomes of changes in laws and regulations, such as deregulation of
industries, privatization of organizations, and increased emphasis on environmental protection

Question 44

what is globalisation?

Answer 44

The set of specific and general forces that work together to integrate and connect economic, political, and social systems across countries, cultures, or geographical regions so that nations become increasingly interdependent and similar

Question 45

what is a tariff?

Answer 45

a tax that government imposes on imported or, occasionally, exported goods

Question 46

what is a free trade doctrine?

Answer 46

the idea that if each country specializes in the production in the production of the goods and services that it can produce most efficiently. this will result in the best use of global resources and lower prices

Question 47

what is individualism?

Answer 47

A worldview that values individual freedom and self-expression and
adherence to the principle that people should be judged by their individual achievements rather their social background

Question 48

what is collectivism?

Answer 48

A worldview that values subordination of the individual to the goals of the group and adherence to the principle that people should be judged by their contribution to the group