Most people, according to cognitive moral development, are looking outside of
themselves for guidance on decision-making. This means that stated organizational
policy can be an important source of guidance foe employees in making decisions.
Answer:
One of a manager’s most important responsibilities is to bring good people into the
organization.
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Because of the cultural differences in Asia and Latin America, “help lines” are more
effective when they are oriented more toward reporting misconduct.
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Generally, ethical dilemmas are not routine. Therefore, there is no way that an
individual can be prepared or informed for a problem ahead of time.
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The pharmaceutical industry has found that advertising directly to the consumer
minimizes problems experienced earlier with consumers regarding their confidence in
products.
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Managers earn their subordinates’ credibility and respect by setting clear standards,
deliberately communicating those standards, and insisting that all adhere to the
standards.
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Behavior is difficult to predict because people adapt their behaviors to what they
believe others expect of them.
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According to Lawrence Kohlberg, developer of a key theory of moral reasoning, role
taking is useless as nothing is gained by putting yourself in the shoes of others.
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Ethical dilemmas represent conflicts in values.
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Since the passage of Sarbanes-Oxley few firms have been prosecuted and fewer high
level executives have received jail terms proving convincingly that the legislation is
flawed.
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Constructive engagement of stakeholders, including critics, is replacing the “just trust
us” plea of yesteryear as executives conclude that the plea rarely works in a world of
regular corporate scandals.
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In business, when people talk about ethics, they’re talking about behavior.
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Some analysts argue that the more stringent regulatory environment resulting in the post
Sarbanes-Oxley period increases shareholder confidence in financial reporting.
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According to management experts, “Management by walking around” is passé in the
Internet age where managers can easily communicate with employees using technology.
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According to Peters and Waterman, an effective leader must be the master of two ends
of the spectrum: ideas at the highest level of abstraction and actions at the most
mundane level of detail.
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A 2006 study found that 82 percent of Americans would prefer to be paid less but work
for an ethical company than be paid more and work for an unethical company.
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Organization cultures are maintained through formal systems alone.
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An ethical culture is maintained through alignment between the formal and informal
systems.
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An ethical dilemma is defined as a situation where two or more “right” values are in
conflict.
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It’s clear that the system for advertising drugs and bringing them to market poses huge
ethical issues for the drug companies, many of which have been admired for their
ethical reputations.
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If an organization has 30 employees, it is not required to have a sexual harassment
policy or train employees on these issues.
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An organization that does not fulfill its philanthropic responsibilities is acting
unethically.
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Alignment of the goals and rewards of an organization with the organization’s values is
essential because employees will generally do what is measured and rewarded.
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A virtue ethics perspective requires a moral actor to look to the community that will
hold the moral actor to the highest ethical standard and support the moral actor’s
intention to be a virtuous person.
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Visitors to another culture will notice things that are important at home but that may not
be important in the target culture.
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In combination with rewards, goal setting is one of the most powerful motivational
tools.
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Neutral language can be used to make an unethical action seem less problematic.
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Training, whether in groups, peer to peer, or using DVD to deliver the content, has been
shown to be ineffective in helping employees become ethically aware.
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Organization cultures vary widely, even within the same industry.
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Utilitarianism is the best known example of a consequential theory.
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The US Sentencing Guidelines call for more attention to developing and maintaining
the ethical culture of the organization.
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Research finds that the intention of most dress codes is to restrict individuality and
project the company image.
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Ethical disasters in corporations often start as small issues and it is either denial or
mismanagement that causes seemingly minor situations to mushroom into huge legal,
ethical, and public relations nightmares.
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According to researchers at Harvard, in developing their firm’s codes of conduct,
multinational firms would be wise to stick with the eight principles identified by their
research as the core of global standards of conduct and to not deviate or supplement the
principles with values unique to their respective firms.
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Federal laws define what is ethical. Therefore, all unethical behavior is considered
unlawful.
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A virtue ethics perspective considers the actor’s character, motivations, and intentions.
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The only way to determine if the culture is aligned to support ethical behavior is to
conduct regular, comprehensive audits of all relevant cultural systems, both formal and
informal.
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A _______________ is any person or group with a stake in the issue at hand.
a) stakeholder
b) large customer
c) community committee
d) government party
Answer:
The _____ approach focuses more on the integrity of the moral actor (the person) than
on the moral act itself (the decision or behavior).
a) utilitarian
b) deontological
c) teleological
d) virtue ethics
Answer:
Corporate social responsibility (CSR) consists of which four kinds of responsibilities:
a) Economic, ethical, societal, and altruistic
b) Economic, legal, ethical, and altruistic
c) Fiscal, legal, societal, and philanthropic
d) Economic, legal, ethical, and philanthropic
Answer:
Reference: Matching Approach and Weakness (each can be used more than once)
a) Deontological approach
b) Teleological approach
c) Virtue ethics approach
It is difficult to obtain the information required to evaluate all of the consequences for
all indirect and direct stakeholders.
Answer:
Reference: Matching Approach and Weakness (each can be used more than once)
a) Deontological approach
b) Teleological approach
c) Virtue ethics approach
An individual’s principles may be in conflict with what is best and causes the least
amount of harm to another individual. For example, an individual who believes that he
or she should not lie would be conflicted about telling the Nazi’s he or she is hiding
Jews in the basement.
Answer:
Which of the following is false about culture?
a) Culture can be defined as “collective mental programming.”
b) Culture represents different patterns of believing.
c) Culture is used to interpret the world.
d) Cultures new to an individual will impact his/her interpretation of experience.
Answer:
If punishment occurs in private, few employees will know that unethical behavior was
admonished; thus, managers should ensure that employees who behave unethically are
punished publicly so that others learn from the process.
Answer:
Reference: Matching Key Terms and Definitions
a) confirmation bias
b) illusion of optimism
c) illusion of control
d) illusion of superiority
Unconscious distortion of information in order to maintain a positive self-image.
Answer:
When something is divided between two people according to the worth and inputs of
the two individuals, it is said to be ___________ and represents one component of
“fairness.”
a) reasonable
b) impartial
c) equitable
d) unbiased
Answer:
Reference: Matching Key Terms and Definitions
a) confirmation bias
b) illusion of optimism
c) illusion of control
d) illusion of superiority
Tendency to underestimate risks because of the belief that we are in charge of what
happens.
Answer:
Reference: Matching Approach and Weakness (each can be used more than once)
a) Deontological approach
b) Teleological approach
c) Virtue ethics approach
The rights of a minority group can easily be sacrificed for the benefit of the majority
(for example, slavery in the United States).
Answer:
Reference: Matching Approach and Weakness (each can be used more than once)
a) Deontological approach
b) Teleological approach
c) Virtue ethics approach
This approach that stresses community standards is limited in business because in many
areas of business there is limited agreement about what the standards are.
Answer:
Reference: Matching Key Terms and Definitions
a) Heroes
b) Norms
c) Rituals
d) Myths
Standards of behavior that are accepted as appropriate by members of a group.
Answer:
Reference: Matching Key Terms and Definitions
a) Integrity
b) Reinforcement theory
c) Social learning theory
d) Pygmalion effect
That quality or state of being complete, whole, and undivided.
Answer:
Reference: Matching Ethical Type to Example
a) People issue
b) Conflict of interest
c) Customer confidence issue
d) Use of corporate resources
Honestly representing a product in a sales pitch.
Answer:
The implosion of the financial markets in 2008 was largely the result of:
a) illegal behavior
b) the Federal government intervention
c) government regulation
d) unethical activities in that they ultimately produced great harm
Answer:
The Ethics Resource Center’s 2011 National Business Ethics Survey found that only
_____ percent of employees of for-profit enterprises report feeling pressured to
compromise their ethical standards.
a) 7
b) 13
c) 19
d) 23
Answer:
Definition of ethics”the principles, norms, and standards of conduct governing an
individual or groupfocuses on _______.
a) organization
b) society
c) business
d) conduct
Answer:
When dealing with an individual from a different culture,
a) Negotiators generally adapt their negotiation behavior to that of the negotiation
partner.
b) American negotiators are the most flexible to their negotiation partner’s behavior.
c) Canadian and Japanese negotiators are the least flexible to their negotiation partner’s
behavior.
d) Negotiators generally do not adapt their negotiation behavior to that of the
negotiation partner.
Answer:
Reference: Matching Ethical Type to Example
a) People issue
b) Conflict of interest
c) Customer confidence issue
d) Use of corporate resources
Sending personal mail through the company mail room.
Answer:
According to research, what percent of the information that passes through the
grapevine is accurate?
a) Between 10 to 30%
b) Between 30 to 50%
c) Between 50 to 70%
d) Between 70 to 90%
Answer:
Reference: Matching Kohlberg’s Levels of Moral Reasoning
a) Stage 1
b) Stage 2
c) Stage 3
d) Stage 4
e) Stage 5
f) Stage 6
Considers the possibility of changing the law for socially useful purposes.
Answer:
Because of a family emergency, John was unable to complete a report for his boss.
Instead, he asks a coworker to finish it for him and in the morning, John tells his boss
that he did the report. Is there anything wrong with John’s action?
a) No, because John’s coworker only finished what John had started.
b) No, because John had a family emergency and his boss don’t need the details. The
report is done.
c) Yes, because John told a lie to his boss and put his reputation on the line.
d) Yes, because John is indebted to his coworker now.
Answer:
Weak organizational cultures are:
a) desirable if an organization has many subcultures.
b) desirable if an organization wants diversity of thought and action.
c) desirable if an organization wants behavioral consistency.
d) undesirable in all situations.
Answer:
The Tailhook scandal represents an example of which of these?
a) Management focusing too much on the ends rather than the means
b) The ethical Pygmalion effect
c) Social learning theory
d) Employees ignoring management’s clear message
Answer:
Civil society refers to:
a) Countries with a certain type of governance structure.
b) Groups interested in business ethics (such as the media, not-for-profit organizations,
academic institutions, and religious and political groups).
c) Government agencies in foreign countries.
d) Countries that share the same culture, customs, and norms.
Answer:
Which of the following is false?
a) Organizations are affected by the expatriate manager’s ability to adjust to the new
setting.
b) Organizations are not affected by the expatriate family’s ability to adjust to the new
setting.
c) Foreign language proficiency is more important for non-English speakers in
English-speaking countries.
d) Cross-cultural training can help an expatriate manager better adjust to the new
culture.
Answer:
The ___________ approach to ethical decision making focuses on how people actually
make ethical decisions.
a) prescriptive
b) descriptive
c) illustrative
d) regulatory
Answer:
Reference: Matching Key Stakeholders and Regulatory Agencies
a) Guard rights of shareholders
b) Guard rights of consumers
c) Guard rights of employees
d) Guard rights of the community
The Environmental Protection Agency (EPA)
Answer:
Which of the items listed is NOT a product of a “favorable corporate reputation.”
a. Charge more for its products and services
b. Attract, Hire and keep higher quality applicants/employees
c. Enhance their access to better capital markets
d. Attract investors
e. Ignore the Foreign Corrupt Practices Act
Answer:
The __________ approach to formal corporate ethics initiatives is proactive and
aspirational.
a) rules
b) compliance
c) competitive
d) values
Answer:
Which of these is the first step in the sound ethical decision making in business?
a) Define the ethical issues
b) Gather the facts
c) Identify the affected parties
d) Check your gut
Answer:
According to cognitive moral development theory, individuals move to a higher
reasoning stage:
a) Every time they encounter a more difficult ethical dilemma.
b) When there is a contradiction between his or her current moral reasoning stage and
the next higher one.
c) As they grow older.
d) None of the above. An individual’s level of moral reasoning does not change after he
or she becomes an adult.
Answer:
Kathleen Reardon encourages us to think about courage at work as “calculated risk
taking.” She recommends that you do all of the following EXCEPT:
a) Ask yourself about your intentions.
b) Ignore power and influence.
c) Weigh the risks and benefits of action.
d) Think about timing.
Answer:
The U.S. Chamber of Commerce estimates that workplace theft costs U.S. businesses
between $20 billion and $40 billion each year, and ______ are thought to be responsible
for much of it.
a) employees
b) customers
c) community members
d) government agencies
Answer: