Roll of Marketing in Society

Question 1

A formal statement of standards that governs professional conduct is called a

(A) customer bill of rights.
(B) business mission statement
(C) corporate culture
(D) code of ethics
(E) caveat emptor

Answer 1

(D) code of ethics

Question 2

President John F. Kennedy’s assertion that consumers have certain rights led to legislation that guaranteed all of the following EXCEPT the right to

(A) be informed
(B) be heard
(C) choose
(D) bargain
(E) safety

Answer 2

(D) bargain

Question 3

Which of the following organizations administers the GATT (General Agreement on Tariffs and Trade)?

(A) The United Nations
(B) The European Union
(C) The World Trade Organization
(D) The North American Free Trade Agreement
(E) The Securities and Exchange Commission

Answer 3

(C) The World Trade Organization

Question 4

Which of the following statements most accurately describes antidumping laws?

(A) They set the price that foreign producers must charge.
(B) They control the maximum price of imported products.
(C) They prevent foreign producers from competing on the basis of price.
(D) They prevent foreign-manufactured goods from selling at below cost.
(E) They protect consumers from cheaply manufactured foreign products.

Answer 4

(D) They prevent foreign-manufactured goods from selling at below cost.

Question 5

Lutèce Brands, Inc., acknowledges that its French pastries may contribute to health problems in some of its customers, but the company claims that the benefits (such as personal pleasure and taste) outweigh the risks. The company’s approach to moral reasoning is best described as

(A) moral idealism
(B) utilitarianism
(C) categorical imperative
(D) enlightened self-interest
(E) situational ethics

Answer 5

(B) utilitarianism

Question 6

Which of the following would be considered a nonprofit organization?

(A) A homeless shelter that charges a fee for its services and uses the proceeds for the upkeep of the shelter
(B) A drug rehabilitation center in which revenues in excess of cost go to the owners
(C) A vaccination clinic owned by an individual entrepreneur
(D) A bookstore open to the public for business
(E) A hospital that has a publicly traded common stock

Answer 6

(A) A homeless shelter that charges a fee for its services and uses the proceeds for the upkeep of the shelter