MODULE 2

Question 1

The managerial obligation to take action that protects and improves the welfare of society along with the business’ own interests.

Answer 1

SOCIAL RESPONSIBILITY

Question 2

A manager must strive to achieve societal as well as organizational goals.

Answer 2

SOCIAL RESPONSIBILITY

Question 3

Also known as corporate social responsibility

Answer 3

SOCIAL RESPONSIBILITY

Question 4

any individual or group that is directly or indirectly affected by an organization’s decisions.

Answer 4

STAKEHOLDER

Question 5

THE THREE SOCIAL RESPONSIBILITY CHALLENGES

Answer 5

• SOCIAL AUDIT CHALLENGE
• PHILANTHROPY CHALLENGE
• SUSTAINABLE ORGANIZATION CHALLENGE

Question 6

the process of measuring the present social responsibility activities of an organization to assess its performance.

Answer 6

SOCIAL AUDIT

Question 7

an internal examination of how a particular business is affecting society.

Answer 7

SOCIAL AUDIT

Question 8

basic steps in conducting a social audit are

Answer 8

• MONITORING
• APPRAISING ALL ASPECTS OF AN ORGANIZATION’S SOCIAL RESPONSIBILITY PERFORMANCE

Question 9

promotes the welfare of others through generous monetary donations to social causes.

Answer 9

PHILANTHROPY

Question 10

• Better conserve natural resources
• Reduce organizational waste
• Recycle used resources
• Preserve the environment by protecting threatened plant and animal species

Answer 10

SUSTAINABLE ORGANIZATION CHALLENGES

Question 11

Modern managers must face the challenge of crafting ___to be successful in building and operating socially sensitive organizations over the long run

Answer 11

SUSTAINABLE ORGANIZATION

Question 12

is the degree to which a person or entity can meet its present needs without compromising the ability of other people or entities to meet their needs in the future.

Answer 12

SUSTAINABILITY

Question 13

3 IMPORTANT AREAS TO BE SUSTAINABLE

Answer 13

• ECONOMY
• ENVIRONMENT
• SOCIETY

Question 14

Minimizing waste by not over producing goods and generating a fair profit for stakeholders.

Answer 14

ECONOMY

Question 15

Protecting natural resources like air, water, and land.

Answer 15

ENVIRONMENT

Question 16

Maintaining the well-being and protection of the communities in which it does business.

Answer 16

SOCIETY

Question 17

Emphasizes that managers should focus on building organizations that are sustainable in:

Answer 17

• Economic activities (profit)
• Environmental activities (planet)
• Societal activities (people)

Question 18

IMPORTANCE OF SUSTAINABILITY

Answer 18

• INCREASED PROFIT
• INCREASED PRODUCTIVITY
• INCREASED INNOVATION

Question 19

commonly the most immediate payoff of sustainability.

Answer 19

INCREASED PRODUCTIVITY

Question 20

is “our concern for good behavior”.

Answer 20

ETHICS

Question 21

“we feel an obligation to consider not only our own personal wellbeing, but also that of other human beings.”

Answer 21

ETHICS

Question 22

is the capacity to reflect on values in the corporate decision-making process, to determine how these values and decisions affect various stakeholder groups, and to establish how managers can use these observations in day-to-day company management.

Answer 22

ETHICS

Question 23

strive for success within the confines of sound management practices, which are characterized by fairness and justice.

Answer 23

ETHICAL MANAGERS

Question 24

THREE IMPORTANT AREAS EMPLOYMENT OF ETHICAL BUSINESS PRACTICES

Answer 24

• PRODUCTIVITY
• STAKEHOLDER RELATIONS
• GOVERNMENT REGULATION

Question 25

When management is determined to act ethically toward stakeholders, then employees will be positively affected.

Answer 25

Productivity

Question 26

A positive public image can attract customers who view such an image as desirable.

Answer 26

Stakeholder Relations

Question 27

Where companies are believed to be acting unethically, the public is more likely to put pressure on legislators and other government officials to regulate those businesses or to enforce existing regulations

Answer 27

Government Regulation

Question 28

formal statement that acts as a guide for the ethics of how people within a particular organization should act and make decisions.

Answer 28

CODE OF ETHICS

Question 29

commonly address such issues as conflict of interest, competitors, privacy of information, gift giving, and giving and receiving political contributions or business.

Answer 29

CODE OF ETHICS

Question 30

ETHICAL STANDARDS

Answer 30

• UTILITARIAN STANDARD
• RIGHTS STANDARD
• VIRTUE STANDARD

Question 31

A guideline that indicates that behavior can generally be considered ethical if it provides the most good for or does the least harm to the greatest number of people.

Answer 31

UTILITARIAN STANDARD

Question 32

Corporate activity that meets this standard produces the greatest good for and the least harm to all company stakeholders including employees and customers.

Answer 32

UTILITARIAN STANDARD

Question 33

A guideline that says that behavior is generally considered ethical if it respects and promotes the rights of others.

Answer 33

RIGHTS STANDARD

Question 34

Corporate action that reflects unfair labor practices like paying abnormally low wages or using child labor would be considered unethical

Answer 34

RIGHTS STANDARD

Question 35

A guideline that determines behavior to be ethical if it reflects high moral values.

Answer 35

VIRTUE STANDARD

Question 36

Behavior that is consistent with this standard is action that reflects virtues like honesty, fairness, and compassion.

Answer 36

VIRTUE STANDARD

Question 37

Examples of business behavior that reflect this standard would include honesty in advertising about the worthwhileness of a product or paying suppliers a fair price for their goods no matter how much bargaining power is held over them.

Answer 37

VIRTUE STANDARD