46. All of the following are arguments in support of bribery except
a.
everybody does it.
b.
it is normal practice in many countries.
c.
it is a form of commission, tax, or compensation for doing business between cultures.
d.
it is a way of providing needy foreigners with money they need.
47. Which of the following is not an argument commonly used against bribery?
a.
Bribes are inherently wrong.
b.
Bribes create dependence on corrupt individuals.
c.
Bribes are unfair because foreigners can get them, while U.S. citizens cannot.
d.
Once bribes start, they never stop.
48. The Foreign Corrupt Practices Act
a.
b.
c.
d.
49. The Foreign Corrupt Practices Act allows
a.
bribes under $10,000.
b.
bribes, as long as the firm does not deduct them on its tax return.
c.
bribes, as long as they are disclosed to shareholders.
d.
grease payments.
50. Payment of a bribe implies some type of
a.
extortion.
b.
quid pro quo.
c.
gambling.
d.
physical harm to the payee.
51. Which of the following is not part of the anticorruption movement?
a.
Transparency International
b.
OECD antibribery initiatives
c.
individual country initiatives
d.
World Trade Organization
52. In 2012, the United States’ rank in the Corruption Perception Index was:
a.
first, being least corrupt.
b.
in the top 10.
c.
in the top 20.
d.
at the very bottom.
53. Global trade is:
a.
speeding up.
b.
slowing down.
c.
doing about the same.
d.
diminishing exponentially.
54. The position that advocates that an MNC should continue to follow its home country’s ethical standards even while
operating in another country is known as
a.
ethical relativism.
b.
ethical egoism.
c.
ethical imperialism.
d.
ethical hegemony.
55. The position that advocates that an MNC follow the host country’s ethical standards is called
a.
ethical relativism.
b.
ethical egoism.
c.
ethical imperialism.
d.
ethical hegemony.
56. Which of the following is not one of home/host stakeholder pressures?
a.
culture
b.
system of government
c.
economic system
d.
laws
57. Current standards for SA800 include all the following except
a.
certifications.
b.
remuneration.
c.
management systems.
d.
child labor.
58. Arguments against bribery include all the following except
a.
you shouldn’t compromise your beliefs.
b.
bribery is illegal in the United States.
c.
managers can deal with corrupt governments.
d.
one should take a stand for honesty.
59. Which of the following is not a strategy for improving global business ethics?
a.
use of global codes of conduct
b.
incorporating ethical dimensions into top level strategic planning processes
c.
imposing the home country’s ethical standards on the host country
d.
suspension of activities
60. The ethics and global strategy plan for improving global business ethics has as its central idea
a.
placing ethics ahead of profits as the number one priority.
b.
focusing on human rights rather than profits.
c.
employing only hypernorms for the MNC’s ethical standards.
d.
utilizing ethical standards as significant inputs into top-level strategy formulation and implementation.
61. An attempt to assess the underlying moral justifications for corporate actions and the consequent results of those
actions are contained in
a.
social audits.
b.
ethical impact statements.
c.
human rights statements.
d.
environmental impact statements.
62. Arguments in favor of bribery include
a.
it’s necessary for profit.
b.
nobody does it.
c.
they are forms of wages.
d.
they are not expected.
63. Anticorruption programs have steps including:
a.
performing drug tests on employees.
b.
making grease payments.
c.
establishing hotlines or helplines for all members.
d.
suspending operations.
64. Grease payments are all of following except
a.
monies given to minor officials
b.
get goods through red tape
c.
monies given to high ranking officials
d.
small sums of money
Provide a short answer to each of these questions. Be sure to fully explain your answer.
65. Discuss the previous assumption that global trade would expand continually, the effect of the global economic crisis,
and the implications of those events.
66. Describe the differences between internationalization and globalization.
67. Describe Earth Hour, and its growth. What has been its effect on awareness of global warming and climate change?
Have you ever participated in Earth Hour in your community?
68. Describe a situation in which the best course of action for an MNC would be to suspend business activities in a host
country where it is currently doing or contemplates doing business. What would precipitate such an action?
69. Review the major causes of the Nestlé infant formula controversy.
70. Discuss the differing philosophies held by MNCs and less-developed host countries. Which philosophy do you think is
more appropriate?
71. According to the textbook, Dow Chemical, which bought Union Carbide in 2001, is still subjected to claims by the
survivors of the Bhopal disaster. Based on your understanding of the incident and its aftermath, determine whether or not
Dow should continue to be liable to the victims of Bhopal.
72. Evaluate the proposed requirement that MNCs pay workers at least the legal minimum wage or prevailing industry
wage in their overseas factories.
73. Discuss the best ways to combat bribery.
74. Provide an example of how the FCPA has cracked down on corrupt practices.
Utilize the knowledge you have gained to respond to the following essay questions. Your answers should state your
position and use logical arguments and content from this and other chapters in the textbook to support it.
75. What are the most important factors leading a firm to take corporate action against corruption?
76. Make a case for paying premium wages to workers in less-developed countries.
77. One reason that some observers give for the cause of the Union Carbide Bhopal incident is that the company was
forced to take on local partners in the project, thus diluting Union Carbide’s profit motive. Assuming this argument is
valid, evaluate it from a deontological perspective.
78. Bribery can be initiated by either party to the transaction. The person paying the bribe can offer it, or the recipient can
demand it. Determine which party is the least ethical one, the payor who offers the bribe, or the recipient who demands it.
79. Evaluate Nestlé’s action in defining the issue and keeping the issue out of the limelight, in the infant formula case.
80. Transparency International has sought to fight world corruption. Reflect on the meaning of their five priorities and two
principles.
81. The two most widely used global standards are the UN Global Compact and the Caux Roundtable Principles.
Compare and contrast the two for their approach to human, labor, and environment rights.