LA final chapter 3 pt 1

Question 1

the study of constitutes right or wrong behavior

Answer 1

ethics

Question 2

focuses on what constitutes right or wrong behavior in the business world and on how businesspersons apply moral and ethical principles to situations that arise in the work place

Answer 2

Business ethics

Question 3

corporations can focus on their strengths and other entities that are better suited to deal with social problems and

Answer 3

perform charitable acts can specialize in those activities

Question 4

In an ideal world, profit maximazation leads to the

Answer 4

most efficient allocation of scarce resources

Question 5

Corporation’s profits, its impact on people, and its impact on the planet

Answer 5

triple bottom line

Question 6

when making decisions, a business should evaluate the following

Answer 6

1. legal implications of each decision
2. public relations impact
3. safety risks for consumers and employees
4. financial implications

Question 7

in attempting to maximize profits, corporate executives and employees have to distinguish between ___ and ___ maximization

Answer 7

short-run and long-run

Question 8

in the short run, a company may increase its profits by continuing to sell a product, even though it knows that the

Answer 8

product is defective or dangerous

Question 9

In the long run, because of lawsuits, large settlements, and bad publicity, such unethical conduct will cause profits to

Answer 9

suffer

Question 10

business ethics is consistent only with

Answer 10

long-run maximzation

Question 11

The internet has increased the potential for major corporation to suffer damage to its

Answer 11

reputation or loss of profits through negative publicity

Question 12

The study of business ethics is concerned with the purposes of a business and how that business

Answer 12

achieves those purposes

Question 13

Business ethics is concerned with the image of the business and the impacts that the business has on the environment,

Answer 13

customers, suppliers, employees, and the global economy

Question 14

bc the law doesnt codify all ethical requirements of all persons, compliance with the law is not always..

Answer 14

sufficient to determine “right” behavior

Question 15

When two competing companies secretly agree to set prices on products, society suffers harm

Answer 15

-the companies will charge higher prices than they could if they continued to compete

Question 16

compliance with the law is sometimes called the

Answer 16

moral minimum

Question 17

Company codes are not law, they are rules that the company set forth so it can

Answer 17

enforce

Question 18

codes of conduct typically outline the company’s policies on

Answer 18

particular issues and indicate how employees are expected to act

Question 19

ethics is based more on

Answer 19

judgment than research

Question 20

Numerous companies have provided strict guidelines about what is appropriate and inappropriate when

Answer 20

making posts at one’s own or other’s social media accounts

Question 21

federal agency that investigates unfair labor practices

Answer 21

national labor relations board

Question 22

reasoning process in which the individual examines the situation at hand in light of his or her moral convictions or ethical standards

Answer 22

Ethical reasoning

Question 23

Ethical reasoning relating to business traditionally has been charactertized by two approaches:

Answer 23

1. ethical behavior in terms of duty
2. determines what is ethical in terms of consequences or outcome, of any given action

Question 24

duty-based ethical standards are often derived from revealed truths like

Answer 24

religious precepts

Question 25

duty-based ethical standards may also be derived solely from

Answer 25

philosophical reasoning

Question 26

German philosopher (Immanuel Kant) identified some general guiding principles for moral behavior, based on what he believed to be the fundamental nature of human beings

Answer 26

kantian ethics

Question 27

individuals should evaluate their actions in light of the consequences that would follow if everyone in society acted the same way

Answer 27

main theme in kantian ethics

Question 28

action is evaluated in terms of what would happen if everybody else in the same situation or category acted the same

Answer 28

categorical imperative

Question 29

believe that a key factor in determining whether a business decision is ethical is how that decision affects the rights of others

Answer 29

principle of rights

Question 30

philosophical theory developed by Jeremy Bentham and modifiied by john stuart mill

Answer 30

Utilitarianism

Question 31

Focuses on the consequences of an action, not the nature of the action itself or on any set of preestablished moral values or religious beliefs

Answer 31

utilitarianism

Question 32

Under utilitarian model of ethics, an action is morally correct or right when it produces the greatest amount of good for the greatest number

Answer 32

when an action affects the majority adversely, it is morally wrong

Question 33

Utilitarian theory requires the following

Answer 33

1. determination of which individuals will be affected byt he action in question 2. Cost-benefit analysis, which involves an assessment of the negative an positive effects of alternative actions on these individuals 3. choice among alternative actions that will produce maximum societal utility

Question 34

combines a commitment to good citizenship with a commitment to making ethical decisions, improving society and minimizing environmental impact

Answer 34

corporate social responsibility

Question 35

Corporate social responsibility is not imposed on corporations by law, it does involve a commitment to self-regulation in a way that attends to the text and intent of the

Answer 35

law, ethical norms, and global stnadards

Question 36

Social aspect requires that corporations demonstrate that they are

Answer 36

promoting goals that society deems worth while and are moving toward solutions to social problems

Question 37

Bc business controls so much of the wealth and power of this country, business has a responsibility to s

Answer 37

society to use that wealth and power in socially beneficial ways

Question 38

Some corporations publish annual social responsibility reports

Answer 38

which also may be called corporate sustainability

Question 39

corporate responsibility is most successful when a company undertakes activites that are

Answer 39

significant and related to its business operations

Question 40

other groups affected by corporate decisions

Answer 40

stakeholders

Question 41

"Stakeholder view" is that in some circumstances, one or more of these other groups may have a

Answer 41

greater stake in company decisions than the shareholders do

Question 42

corporation considers the impact of its decisions on its

Answer 42

employees, customers, creditors, suppliers, and the community in which it operates

Question 43

To avoid making a decision that may be perceived as unethical and result in negative publicity or protests, a corporation should consider the

Answer 43

impact of its decision on the stakeholders

Question 44

Most difficult aspect of the stakeholder analysis is determinig which groups interests should recieve

Answer 44

greater weight if the interests conflict

Question 45

During the Great Recession, layoffs numbered in the millions. some corporations succeeded in reducing labor costs without layoffs. To avoid slashing their workforces, these employers turned to alternatives such as

Answer 45

1. Four-day workweeks 2. unpaid vacations and voluntary furloughs 3. wage freezes 4. pension cuts 5. flexible work schedules