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52. ______ is the concept that organizations have a duty to all societal stakeholders to
operate in a manner that takes each of their needs into account.
A. Corporate social responsibility
B. Sustainability
C. Justification
D. Accountability
53. Being socially ______ has negative consequences, as it gives the company a
negative reputation that leads to more difficulty in attracting customers, investors, and
employees.
A. responsible
B. ethical
C. engaged
D. irresponsible
54. The business case for ______ is based on the ability of the organization to help or
harm various stakeholder groups and the ability of all stakeholder groups to help or
harm the company.
A. accountability
B. corporate social responsibility
C. sustainability
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D. values
55. The late actor Paul Newman started Newman’s Own, a ______ organization, to sell
products like salad dressing and give all the after-tax profits to charities.
A. hybrid
B. B Corp
C. CSR Corp
D. charity
56. ______ organizations like TOMS pursue a social mission and sustain their
operations through commercial activities.
A. Hybrid
B. B Corp
C. CSR Corp
D. Charity
57. ______ organizations like Etsy use the power of business to solve social and
environmental problems. To be this type of organization, there are certain certification
requirements.
A. Hybrid
B. B Corp
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C. CSR Corp
D. Charity
58. The number of workers over the age of ______ has increased by more than 75% in
the past 20 years.
A. 40
B. 50
C. 75
D. 90
59. The ______ refers to the invisible barriers to advancement in business to women
and minority employees.
A. sticky floor
B. ceiling fan
C. escalator
D. glass ceiling
60. Women fill about ______% of the board seats at Fortune 500 public companies.
A. 9
B. 19
C. 29
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D. 39
61. ______ corporate social responsibility focuses on maximizing profits while obeying
the law; it focuses on increasing sales and cutting costs to maximize returns to
stockholders.
A. Federal
B. Local
C. Ceiling
D. Legal
62. ______ corporate social responsibility focuses on profitability and doing what is
right, just, and fair.
A. Unethical
B. Ethical
C. Internal
D. Cultural
63. ______ corporate social responsibility focuses on profitability and helping society
through philanthropy.
A. Unethical
B. Malevolent
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C. Benevolent
D. Stress
64. Philip Morris sells its cigarettes legally, but they are known to cause serious health
problems. At which level of corporate social responsibility is Philip Morris most likely
operating?
A. ethical
B. legal
C. neutral
D. benevolent
65. In a(n) ______ approach to corporate social responsibility, each issue requires
analysis, risk-reward considerations, and determining how stakeholder relations affect
the overall health of the corporation.
A. situational
B. overall
C. internal
D. motivational
66. Courtlyn’s company uses a local river for dumping. The company is aware that the
chemical it dumps causes plant life in the river to die. However, the chemical is so new
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that no regulations have been written about it. It appears Courtlyn’s company is at the
______ level of corporate social responsibility.
A. legal
B. ethical
C. benevolent
D. social
67. Acme Global is careful to keep salaries competitive. The human resources
departments checks what other organizations are paying and also considers how long
an employee has been working for the organization when determining pay levels. Acme
Global always pays more than minimum wage and is careful to make sure that wages
are fair. It appears Acme Global is reaching the ______ level of corporate social
responsibility.
A. legal
B. ethical
C. benevolent
D. social
68. Acme Global works closely with safety inspectors to make sure that the organization
is following all important safety standards. It also asks the safety inspectors to make
suggestions for other things Acme Global can do to make its workplace safe. It appears
Acme Global is reaching the ______ level of corporate social responsibility.
A. legal
B. ethical
C. benevolent
D. social
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69. Acme Global provides all employees with 2 paid days “off” to volunteer at local
charities. The employees enjoy the time to give back to the community and the charities
appreciate the extra help. It appears Acme Global is reaching the ______ level of
corporate social responsibility.
A. legal
B. ethical
C. benevolent
D. social
70. Acme Global matches its employees’ contributions to charities. In other words, if an
employee gives $100 to a nonprofit organization, Acme Global gives $100 as well. It
appears Acme Global is reaching the ______ level of corporate social responsibility.
A. legal
B. ethical
C. benevolent
D. social
71. ______ involves meeting the needs of the current generation without compromising
the ability of future generations to meet their needs.
A. Accountability
B. Responsibility
C. Principles
D. Sustainability
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72. ______ is the process of accessing product designs that will take advantage of the
current environmental situation and enhancing how well a company’s products perform
with renewable resources.
A. Sustainability
B. Accountability
C. Responsibility
D. Principles
73. Sustainability goals and objectives tied to the company ______ are an essential part
of the efforts to “green the company,” and HR must play its part in these efforts.
A. strategy
B. value
C. authority
D. responsibility
74. Performance evaluations of all managers should contain items relating to their
______ efforts, and in many cases part of their incentive compensation may be tied to
those efforts.
A. responsibility
B. sustainability
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C. principles
D. value
75. To change organizational culture, any organizational sustainability training program
must begin ______.
A. at the bottom, grassroots level
B. everywhere at once
C. at the top, with executives and managers
D. with middle management
76. Iris made a presentation to employees about how Acme Global can increase
recycling. The program would cost money and mean that Acme Global would have less
to spend on other projects. Her proposal was rejected because employees want to
spend time and money on other projects. What challenge to teaching employees about
sustainability issues does Iris appear to have encountered?
A. a lack of organizational resources
B. limitations to what the organization can accomplish
C. lack of knowledge and skills
D. unwillingness to learn and commit to change actions
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77. Aileen leads a small ad hoc employee group called “Environment Matters” dedicated
to increasing Acme Global’s sustainability efforts. The group is very optimistic about
reducing the carbon footprint of Acme Global by 20% in 5 years. However, the group is
frequently told that the goal is too ambitious. What challenge to teaching employees
about sustainability issues does Aileen appear to have encountered?
A. a lack of organizational resources
B. limitations to what the organization can accomplish
C. lack of knowledge and skills
D. unwillingness to learn and commit to change actions
78. Acme Global would like to increase its commitment to sustainability, but to do so it
would need to bring in personnel from outside the organization to make changes. Which
challenge to teaching employees about sustainability issues does Acme Global appear
to have encountered?
A. a lack of organizational resources
B. limitations to what the organization can accomplish
C. lack of knowledge and skills
D. unwillingness to learn and commit to change actions
79. Aaron and Travis have been trained on Acme Global’s new sustainability efforts.
However, they have been doing their jobs a certain way for 10 years and do not see any
reason to change. Which challenge to teaching employees about sustainability issues
does Acme Global seem to have encountered?
A. a lack of organizational resources
B. limitations to what the organization can accomplish
C. lack of knowledge and skills
D. unwillingness to learn and commit to change actions
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80. There is evidence that more than ______ of customers are concerned with
sustainability.
A. three fourths
B. one fourth
C. one half
D. one fifth
True/False
1. Ethics is the application of a set of values and principles to make the right, or good,
choice.
2. The general guide to ethical decision-making that tries to create win–win results for all
everyone affected by the decision is called the two-way test.
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3. Compliance is the idea that everyone in an organization must be accountable for their
own actions.
4. Authority is the obligation to answer for something or someone; it is the duty to carry
out an assignment to a satisfactory conclusion.
5. Authority is the personal duty to someone else (a higher level manager or the
organization itself) to use organization resources effectively to complete an assignment.
6. A bribe is a payment meant to cause someone to make decisions that may help a
person or an organization but do significant harm to other organizations or other
stakeholders in the decision.
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7. Sustainability is the concept that organizations have a duty to all societal
stakeholders to operate in a manner that takes each of their needs into account.
8. The glass ceiling refers to the invisible barriers to advancement in business to women
and minority employees.
9. Local corporate social responsibility focuses on maximizing profits while obeying the
law; it focuses on increasing sales and cutting costs to maximize returns to
stockholders.
10. Sustainability involves meeting the needs of the current generation without
compromising the ability of future generations to meet their needs.
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Essay
1. What does the term “ethics” mean and what factors commonly contribute to unethical
behavior?
2. Describe each of the identified ethical approaches: Golden Rule, four-way test, and
stakeholder approach.
3. Describe the factors to consider in creating codes of organizational ethics.
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4. Describe the terms authority, responsibility, and accountability and how they relate to
ethical behavior.
5. Describe four of the common ethical issues that managers face in business: bribery,
corrupt payments, employment and personnel issues, marketing practices, impact on
the economy and environment, and employee and customer privacy.
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6. Define corporate social responsibility and provide an example.
7. Describe the three levels of corporate social responsibility available to organizations.
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8. Describe the concept of sustainability in a business context.
9. Describe some of the common sustainability-based benefits organizations are using.
10. Discuss whether or not diversity training actually works to improve performance in
diverse organizations.
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