Ethical culture is defined as
a. rules, standards, and moral principles regarding what is right or wrong in specific
situations.
b. the establishment and enforcement of ethical codes throughout the organization.
c. the development of rules and norms that are socially enforced.
d. the codification of laws to reward organizations for taking action to prevent
misconduct.
e. acceptable behavior as defined by the company and industry.
Which of the following is notan individual factor that affects business ethics?
a. Nationality
b. Age
c. Religion
d. Significant others
e. Education
Sustainability is the long-term well-being of the natural environment and the mutually
beneficial interactions among_____.
a. customers, investors, managers, and policies
b. board members, presidents, managers, and nonprofit organizations
c. investors, creditors, suppliers, and the marketing department
d. nature, individuals, organizations, and business strategies
e. managers, boards, CEO’s, and stakeholder strategies
_____believe that no onething is intrinsically good.
a. Hedonists
b. Pluralists
c. Relativists
d. Deontologists
e. Teleologists
During the data-collection phase of the audit, the primary objective is to generate a
variety of opinions about how the company is perceived and whether it is
a. fulfilling employee benefits commitments.
b. bringing in new customers.
c. meeting profit projections.
d. meeting earnings projections.
e. fulfilling stakeholders’ expectations.
These leaders are passionate about the company, live out corporate values daily in their
behavior in the workplace, and form long-term relationships with employees and other
stakeholders.
a. Transactional
b. Compromising
c. Transformational
d. quantitative
e. Authentic
Gossip, manipulation, playing favorites, and taking credit for another’s work are all
examples commonly associated with
a. Organizational politics
b. Political skills
c. Competitiveness
d. Groupthink
e. Ethical conflict
While ideally the board of directors financial audit committee conducts ethics audits, in
mostfirms they are conducted by
a. managers or ethics officers.
b. executive officers.
c. the CEO.
d. outside consultants.
e. secondary stakeholders.
Because genetically modified seeds are_____________
,farmers cannot keep any of the seed themselves but must purchase seeds each year
from companies such as Monsanto.
a. so small
b. worthless
c. uncollectable
d. invisible
e. patented
The Sarbanes-Oxley Act
a. only applies to firms with over 50 employees.
b. has institutionalized internal whistle-blowing.
c. has placed more power under the Securities and Exchange Commission.
d. requires all organizations to make their financial information public.
e. involves too many complicated steps for it to be feasible for most organizations.
According to the ethical decision-making framework, the absence of punishment
provides a(n)
___________ for unethical behavior.
a. reason
b. significant other
c. individual factor
d. opportunity
e.ethicalissueintensity
Which moral perspective defines ethical behavior subjectively from the unique
experiences of individuals and groups?
a. Virtue ethics b. Egoism
c. The relativist perspective d. Absolutism
e. Justice
Major corporate governance issues normally involve decisions. (Choose the response
that is mostcorrect)
a. strategic-level
b. tactical-level
c. divisional-level
d. marketing-level
e. accounting-level
Which of the following is a common mistake made in implementing an ethics program?
a. Setting realistic and measurable program objectives
b. Developing materials that do not address the needs of the average employee
c. Adapting a firm’s ethics program to its international operations
d. Allowing employees to practice the skills they learn in ethics training through case
studies and/or group exercises
e. Management taking ownership of the ethics program
Which of the following would notbe considered a negative reinforcement of employee
behavior?
a. Demotions
b. Firings
c. Ignoring the behavior
d. Reprimands
e. Pay penalties
Companies take basic and translate them into core .
a. Customs, values
b. Values, principles
c. Cultures, principles
d. Cultures, customs
e. Principles, values
What is nota common mistake when designing and implementing an ethics program?
a. Failing to fully understand the goals of the program
b. Not setting realistic or measurable goals
c. Having top management take ownership of the ethics program
d. Developing materials that do not address the needs of the average employee
e. Transferring a program between countries and cultures without making adjustments
These leaders are characterized as having superficial charm, no conscience, grandiose
self-worth, little or no empathy, and enjoy flouting rules.
a. Unethical leaders
b. Psychopathic leaders
c. Apathetic leaders
d. Ethical leaders
e. Charismatic leaders
are used to subdivide duties within functional areas of a company.
a. Work groups
b. Individuals
c. Experts
d. Consultants
e. Committees
One policy to address the issue of executive pay was implemented by J.P. Morgan, it
stated that
a. there should be no limit on what top executives can earn.
b. managers should earn no more than twenty times the pay of other employees.
c. top managers should make the same amount as other employees.
d. employees can determine how much managers make.
e. the government should determine the worth of each manager’s service.