49) ________ arguments suggest that improving working conditions beyond the level required by
the law and necessary to maximize employee productivity will reduce profits and are therefore not
appropriate.
A) Rawls’
B) Kantian
C) Sullivan’s
D) Friedman’s
50) According to the ________ point of view, a firm should adopt the ethics of the culture in which
it is operating.
A) cultural relativism
B) righteous moralist
C) naive immoralist
D) utilitarian approach
51) According to the ________, even if a manager of a multinational sees that firms from other
nations are not following ethical norms in a host nation, that manager should maintain the
standards of the company’s home country.
A) cultural relativist
B) righteous moralist
C) utilitarian
D) naive immoralist
52) A British firm that sets up production units in China is accused of releasing untreated chemical
waste into water bodies. The manager of the firm defends the firm stating that, factories in China
set up by French and American firms also release untreated chemical waste into water bodies.
What approach to business ethics is the manager using?
A) righteous moralist
B) utilitarian
C) naive immoralist
D) cultural relativist
53) Business ethics that either deny the value of business ethics or apply the concept in a very
unsatisfactory way are termed
A) straw man.
B) the Sullivan principles.
C) just distribution.
D) rights theories.
54) The ________ approaches to ethics hold that the moral worth of actions or practices is
determined by their consequences.
A) naive immoralist
B) cultural relativist
C) righteous moralist
D) utilitarian
55) ________ recognize that human beings have fundamental rights and privileges that transcend
national boundaries and cultures.
A) Rights theories
B) Utilitarians
C) Cultural relativists
D) Kantian ethics
56) According to ________, the social responsibility of business is to increase profits, so long as
the company stays within the rules of law.
A) the naive immoralist
B) the righteous moralist
C) cultural relativism
D) the Friedman doctrine
57) According to the Friedman doctrine,
A) ethics are nothing more than the reflection of culture.
B) a multinational’s home-country standards of ethics are inappropriate to follow in foreign
countries.
C) businesses should not undertake social expenditures beyond those mandated by the law and
required for the efficient running of a business.
D) if a manager of a multinational sees that firms from other nations are not following
environmental legislation in a host nation, that manager should not either.
58) Miranda is a cultural relativist, which means she likely believes
A) a firm should adopt the ethics of the culture in which it is operating.
B) the only social responsibility of a firm is to increase profits.
C) a firm’s ethical policies should remain the same in all cultures.
D) a multinational should follow its home-country cultural practices in all the host countries where
it has operations.
59) Child labor is permitted and widely employed in Country X. A multinational company
entering Country X decides to employ minors in its subsidiary, even though it is against the
multinational’s home-country ethics. Which of the following approaches to business ethics would
justify the actions of the multinational company?
A) righteous moralist
B) cultural relativism
C) the justice theory
D) the rights theory
60) A multinational company is accused of paying bribes to the government of a host country to
obtain permission to build a production factory. The public relations manager of the company
defends the company’s actions as being ethically sound; he states that in the host country, paying
bribes to government officials is the accepted norm and is in keeping with the social practices in
the host country. The public relations manager is using which of the following philosophical
doctrines to defend the actions of the company?
A) the Friedman doctrine
B) righteous moralist
C) noblesse oblige
D) cultural relativism
61) In its extreme viewpoint, ________ suggests that if a culture supports slavery, it is all right to
use slave labor in the country.
A) the Friedman doctrine
B) noblesse oblige
C) righteous moralist
D) cultural relativism
62) The righteous moralist suggests that
A) ethics are nothing more than the reflection of culture.
B) a multinational’s home-country standards of ethics are the appropriate ones for companies to
follow in foreign countries.
C) the social responsibility of business is to increase profits, so long as the company stays within
the rules of law.
D) if a manager of a multinational sees that firms from other nations are not following ethical
norms in a host nation, that manager should not either.
63) According to the naive immoralist,
A) a multinational’s home-country standards of ethics are the appropriate ones for companies to
follow in foreign countries.
B) the social responsibility of business is to increase profits, so long as the company stays within
the rules of law.
C) ethics are nothing more than the reflection of a culture.
D) if firms in a host nation do not follow ethical norms then the manager of a multinational should
not follow ethical norms there either.
64) An American manager in Colombia routinely pays off the local drug lord to guarantee that his
plant will not be bombed and that none of his employees will be kidnapped. The manager argues
that such payments are ethically defensible because everyone is doing it. The manager’s argument
exemplifies which of the following ethical approaches?
A) naive immoralist
B) Kantian ethics
C) righteous moralist
D) noblesse oblige
65) The utilitarian approach to business ethics suggests that
A) people should be treated as ends and never purely as means to the ends of others.
B) the moral worth of actions or practices is determined by their consequences.
C) people have dignity and need to be treated as such.
D) human beings have fundamental rights and privileges that transcend national cultures.
66) Mahatma Gandhi felt the best decisions are those that produce the greatest good for the
greatest number of people. This demonstrates the ________ perspective.
A) naive immoralist
B) Friedman doctrine
C) Kantian ethics
D) utilitarian
67) The products of Carmen Stores, an international sports apparel chain, are manufactured in
sweatshop factories in China. According to the company president, using sweatshop labor offers a
means of livelihood to children and young adults, as well as supplies good quality apparel to
customers at a lower cost. She asserts that the actions of the company are justified because it
results in the benefit of the maximum number of people. The company president’s argument is
based on which of the following ethical viewpoints?
A) the righteous moralist
B) the Friedman doctrine
C) Kantian approach to business ethics
D) utilitarian approach to business ethics
68) The Kantian approach to ethics suggests that
A) human beings have fundamental rights and privileges that transcend national boundaries.
B) the moral worth of actions or practices is determined by their consequences.
C) people should be treated as ends and never purely as means to the ends of others.
D) ethics are nothing more than the reflection of culture.