Chapter 3 Ethese Are All Practical Steps Ethical Decision

Document Type
Test Prep
Book Title
Effective Management 6th Edition
Authors
Chuck Williams
Course Pre-Assessment CH 03
Williams Effective Management 6e
TRUE/FALSE
1. Ethics is the set of moral principles or values that defines right and wrong for a person or group.
2. Kohlberg's three phases of moral development in order are law and order, instrumental exchange, and
universal principle.
3. The categories of social responsibility for a company are economic, legal, ethical, and discretionary
4. Generally speaking, there is no tradeoff between being socially responsible and economic
performance.
MULTIPLE CHOICE
1. The ____ determined that companies can be prosecuted and punished for the illegal or unethical
actions of employees, even if management didn't know about the unethical behavior.
a.
U.S. Sentencing Commission Guidelines
b.
U.S. Supreme Court
c.
U.S. Department of Labor
d.
U.S. Equal Employment Opportunity Commission
e.
Federal Trade Commission
2. What is the term used to describe the degree of concern people have about an ethical issue?
a.
Ethical intensity
b.
Social consensus
c.
Temporal immediacy
d.
Magnitude of consequences
e.
Ethical valence
3. The three levels of moral development identified by Kohlberg are:
a.
amoral level, moral level, and post-moral level
b.
preconventional level, conventional level, and postconventional level
c.
introductory stage, growth stage, and maturity stage
d.
individual stage, organizational stage, and industry-wide stage
e.
unconventional level, preconventional level, and postconventional level
4. To encourage more ethical decision making in an organization, managers should:
a.
carefully select and hire new employees
b.
establish a specific code of ethics
c.
create an ethical climate
d.
train employees in how to make ethical decisions
e.
do all of these
5. ____ integrity tests indirectly estimate employee honesty by measuring psychological traits.
a.
Overt
b.
Psychographic-based
c.
Covert
d.
Personality-based
e.
Attitudinal
6. According to Milton Friedman, which of the following is a position opposing the stakeholder model of
corporate social responsibility?
a.
Organizations can act effectively as moral agents for all company shareholders.
b.
The time, money, and attention diverted to social causes undermine market efficiency.
c.
It is socially responsible for companies to divert their efforts to social causes.
d.
The marketplace will ultimately determine the importance of social causes.
e.
All of these positions are in accordance with the beliefs of Milton Friedman.
7. Which of the following is a secondary stakeholder group?
a.
governments
b.
suppliers
c.
the media
d.
employees
e.
shareholders
8. A company implementing a(n) ____ strategy would choose to accept responsibility for a problem and
do all that society expects to solve problems.
a.
reactive
b.
defensive
c.
accommodative
d.
proactive
e.
connotative

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