ABC’s of Relationship Selling, 13e (Futrell)
Chapter 2 Ethics First . . . then Customer Relationships
1) The ethical behavior of an employee is influenced by managers, co-workers, and the
organization.
2) The world views and belief systems of employees from the same country are typically
identical.
3) An individual in the pre-conventional stage of morality asks, “What can I get away with?”
4) Individuals at the principled moral level base ethical decisions on laws and consequences.
5) Most sales people operate at the conventional level of moral development.
6) Sales representatives at the preconventional moral development level would most likely be
unconcerned about lying to customers if getting caught was unlikely.
7) Morals refer to people’s adherence to right or wrong behavior and right or wrong thinking.
8) At the preconventional moral development level, an individual conforms to the expectations
of others.
9) Based on levels of moral development, a professional salesperson is in the minority among
sales personnel.
10) The Core Principles of Professional Selling require people whose personal character is at
level 2.
11) A fixed point of reference must be separate from you.
12) Multiple world religions adhere to the Core Principles.
13) Ethical behavior refers to conducting yourself in the proper manner and treating others fairly.
14) An ethical dilemma arises in a situation when each alternative choice has some undesirable
elements due to potentially negative ethical consequences.
15) An ethical sales manager should set realistic and obtainable goals.
16) If management decides to increase the number of territories in a state, there is a possibility
the earnings of the salespeople working that state will decrease.
17) Josh Damon sells industrial-sized heating and cooling systems. His territory includes Illinois,
Iowa, and Missouri. Management at Damon’s firm has decided to increase the number of
territories in each sales region. Damon will most likely be excited about the opportunity this
presents for him to earn more money.
18) If a salesperson has a drug or alcohol problem, a manager has the ethical responsibility to fire
the individual based on right-to-work laws.
19) Today employers have the right to terminate salespeople for poor performance, excessive
absenteeism, unsafe conduct, and poor organizational citizenship.
20) Cooperative acceptance means that employees cannot be discriminated against in
employment practices and they have the right to be free of sexual and racial harassment.
21) Although several federal laws influence record keeping, they are primarily directed at private
employers.
22) Although discrimination on the basis of a person’s sex is illegal, there are no laws against
sexual harassment.
23) To prevent sexual harassment, companies rely on top management support, training for all
employees, and clear procedures for filing grievances.
24) The most often misused company assets are automobiles, expense accounts, samples, and
damaged-merchandise credits.
25) It is easy to distinguish between a gift and a bribe.
26) A salesperson who exaggerates about product capabilities may be guilty of
misrepresentation.
27) Generally, the more knowledgeable the customer, the greater the chances the court will
interpret an incorrect statement by a salesperson as an actionable misrepresentation rather than as
sales puffery.
28) A salesperson should thoroughly educate all customers before making a sale to avoid future
legal problems.
29) Regardless of whether a buyer is knowledgeable about a product or not, he/she does not have
a duty to look beyond the assertions of a salesperson and investigate the product individually.
30) Durham Building Supplies requires anyone who wants to use its product to purchase only
from it; this contractual arrangement is called an exclusive dealership.
31) Reciprocity occurs when Mario trades a load of firewood for an oil change for his Toyota
Tacoma.
32) A cooling-off law gives the buyer three weeks to cancel the contract, return any
merchandise, and obtain a full refund.
33) A code of ethics formally states a company’s values regarding social and ethical issues.
34) The single most important factor in improving the climate for ethical behavior in a sales
force is the existence of a detailed code of ethics.
35) Control systems that monitor and penalize the ethical behavior of salespeople are a useful
tool in creating an ethical work environment.
36) A person with integrity is honest without compromise or corruption.
37) Integrity, trust, and character are the building blocks of a professional salesperson’s values.
38) Which term refers to the different beliefs people have about the world?
A) Multiculturalism
B) Social morals
C) World ethics
D) Worldview
E) Citizenship
39) Which of the following factors has the LEAST influence on an individual’s core belief
system?
A) physical appearance
B) religious background
C) family upbringing
D) life experiences
E) personality
40) Which of the following questions would most likely be asked by a person at the
preconventional level of moral development?
A) What can I get away with?
B) What does my family want me to do?
C) What am I legally required to do?
D) What is the right thing to do?
E) What does society expect from me?
41) Which of the following questions would most likely be asked by a person at the principled
level of moral development?
A) What does society expect from me?
B) What is the right thing to do?
C) What am I legally required to do?
D) What does my family want me to do?
E) What can I get away with?
42) According to the text, why do most employees in organizations succumb to questionable
ethical standards or only follow formal policies?
A) Most people are in the conventional and principled levels of moral development.
B) Few organizations develop and enforce very stringent codes of ethics.
C) Most people are in the preconventional and conventional levels of moral development.
D) Few people in an organization are considered stakeholders or stockholders.
E) Most people exhibit behavior that is close to the principled level of moral development.
43) According to a survey of adult Americans, people are most likely to base ethical and moral
decisions on the:
A) legal outcome.
B) current situation.
C) principle of justice.
D) historical culture.
E) religious standard.
44) A Barna Research study finds that all of the following are primary influences on the ethical
and moral decision-making process of Americans EXCEPT:
A) religion
B) books
C) the Internet
D) television
E) family
45) According to the text, your conscience is usually not the best guide for making moral and
ethical decisions because it:
A) is at the conventional level
B) remains too stationary
C) changes based on the situation
D) is too distant from the circumstances
E) relies on conflicting belief systems
46) All of the following may eliminate the need for additional laws governing right and wrong in
business settings EXCEPT:
A) stringent codes of ethics.
B) moral organizational cultures.
C) ethical examples from top management.
D) standardization of fixed points of reference.
E) support for corporate social responsibility programs.
47) All of the following are characteristics of ethical behavior EXCEPT:
A) being honest with customers.
B) following company policies.
C) showing loyalty to co-workers.
D) treating customers and peers fairly.
E) maintaining personal sales goals.
48) All of the following are involved in the majority of sales people’s ethical issues EXCEPT:
A) co-workers.
B) managers.
C) customers.
D) friends.
E) employers.
49) Which of the following is LEAST likely one of the ethical issues faced by most sales
managers?
A) Employee rights
B) Sales territories
C) Sales pressure
D) Benefits flexibility
E) Personnel substance abuse
50) Which of the following terms refers to an extra-large customer that generates significantly
more revenue for a salesperson than other customers?
A) Balanced account
B) Outsourced account
C) Retail account
D) House account
E) Key account
51) Sharon, a salesperson for a greeting card company, is responsible for sales in the northern
part of California. Sharon’s manager has decided to change Sharon’s key account in the territory
to a house account. Why would Sharon most likely dislike this decision?
A) Sharon will have to monitor the key account for less pay than she usually earns.
B) Sharon will be demoted from her position in the territory for losing the key account.
C) Sharon will have to share commissions from the key account with the home office.
D) Sharon will lose the commission for the key account.
E) Sharon will have to work from the firm’s home office.
52) Which term refers to the rights desired by employees regarding their job security and
treatment by employers?
A) Cultural acceptance
B) Human rights
C) Affirmative action
D) Employee rights
E) Workers’ compensation