open ended Flashcards
differences between classic economic models of capitalism, socialism, and communism. 13-16
communism- planned economy. the government decides everything about the production of goods. decides how many are made and the cost of each product. the government assigns people to jobs.
socialism- similar to the system under communism HOWEVER the government only owns and operates certain industries and aspects of productions while there is still room for individual enterprises.
capitalism- market economy. under capitalism, the production of goods is decided by the supply and demand. it encourages innovation, which is essential to a growing economic system, from individuals. there’s a lot of freedom for businesses and entrepreneurs and they are encouraged by the idea of getting profit.
What role(s) should government play in social responsibility; (b) should government create more
regulations to encourage businesses to uphold social responsibility; or (c) should government take a laissez-
faire (hands-off) approach and allow businesses to be only as socially responsible as they choose?
chapter 2
a. I think that the government should play a role in making sure businesses have social responsibility for the environment! The state of the environment affects everyone on Earth, and it’s important to regulate what these bigger corporations do to contribute to issues in the environment like pollution by trash, etc. I think the government should make sure that these corporations are following procedures for such.
b. I think the government should create regulations for companies to have social responsibility, yes. It’s important for companies to be contributing well to the population in terms of not having unfair pricing and misrepresenting anything to do with financing.
c. I personally don’t think the government should be too lax about social responsibility from companies but there’s a lot of factors to go into it. People have differing opinions about what could be considered ethical or unethical, or unfair pricing, or things like that.
After considering characteristics of entrepreneurs, do you think you would be a good candidate to start your
own business? Why or why not?
pg 12-14
Yes, I believe I would be a good candidate because what makes an entrepreneur is their ability to take risks and be able to make those big choices to expand their business. I would do a lot of assessing of physical resources that I would need for starting and running my business as well as trying to understand different technological systems to try to do what’s best for my business and for any customer needs.
Do you thing a business operating internationally is better advised to adopt a single standard of ethical
conduct or to adapt to local conditions? What are: (b) advantages; and (c) disadvantages of adapting to local
conditions?
chapter 2
I think that a business operating internationally has to adopt ethical conduct on a case by case/local basis. There are different values in every country and it may become complex but in order to find success in international affairs, you have to consider aspects of the other country.
The advantages are that you will most likely have more successful business ventures and have a better reputation with international countries. It shows that you respect the countries you are working with.
The disadvantages are that it’s much more complex rather than sticking to your own firm, personal belief. You are constantly having to adapt to different expectations. It also might come with a higher economic cost.
