39. Most people have learned to conform to expectations of good behavior expected by colleagues, family,
friends, and society. They are in what stage of moral development?
a.
Preconventional
b.
Conventional
c.
Discretionary
d.
Principled
e.
Traditional
40. Any group within or outside the organization that has a stake in the organization‘s performance is
called:
a.
a supplier.
b.
an international customer.
c.
a stakeholder.
d.
OPEC.
e.
a trade association.
41. Primary stakeholders of an organization include:
a.
employees.
b.
customers.
c.
investors and shareholders.
d.
suppliers.
e.
all of these.
42. All of the following are examples of special interest groups except:
a.
professional associations.
b.
trade associations.
c.
political action committees.
d.
courts.
e.
consumerists.
43. What type of a stakeholder would a nature conservation group be for a paper manufacturing company?
a.
Supplier
b.
Competitor
c.
Employee
d.
Special interest group
e.
None of these
44. With a philosophy of _____, managers weave environmental and social concerns into every strategic
decision, revise policies and procedures to support these efforts and goals.
a.
sustainability
b.
conservation
c.
ethics
d.
preservation
e.
human concerns
45. _____ is economic development that generates wealth and meets the needs of their current generation
while focusing on future generations.
a.
Ethical management
b.
Activist strategy
c.
Sustainability
d.
Market strategy
e.
Future management
46. Which of the following concepts argues that organizations can find innovative ways to create wealth at
the same time they are preserving natural resources?
a.
Preservation
b.
Conservation
c.
Environmentalism
d.
Protectionism
e.
Sustainability
47. The profit-maximizing view of economic responsibility is advocated by _____.
a.
Milton Friedman
d.
Warren Buffett
b.
Arthur Anderson
e.
Steve Jobs
c.
Donald Trump
48. According to the book’s model for judging corporate social performance, social responsibility is
divided into what into four sections?
a.
Ethical, legal, technical, and rational
b.
Mandatory, technical, discretionary, and economic
c.
Legal, mandatory, economic, and ethical
d.
Discretionary, legal, economic, and ethical
e.
None of these
49. __________ defines what society deems as important with respect to appropriate corporate behavior.
a.
ethical responsibility
b.
discretionary responsibility
c.
economic responsibility
d.
legal responsibility
e.
moral responsibility
50. _____ is considered a decision that enables an individual or company to benefit at society’s expense.
a.
A legal behavior
b.
An unethical behavior
c.
An economic responsibility
d.
A discretionary responsibility
e.
A responsible behavior
51. Which of the following responsibilities is purely voluntary and is guided by a company’s desire to
make social contributions not mandated by economics, law, or ethics?
a.
Ethical
b.
Economic
c.
Legal
d.
Discretionary
e.
Stakeholder
52. _____ is the responsibility that goes beyond societal expectations to contribute to the community
welfare.
a.
Ethical responsibility
b.
Discretionary responsibility
c.
Economic responsibility
d.
Legal responsibility
e.
Technical responsibility
53. _____ means that managers are honest and trustworthy, fair in their dealings with employees and
customers, and behave ethically in both their personal and professional lives.
a.
Ethical leadership
b.
Followership
c.
Corporate espionage
d.
Command-and-control approach
e.
Concern for production leadership
54. A code of _____ is a formal statement of the company’s values concerning ethics and social issues.
a.
integrity
b.
trust
c.
citizenship
d.
ethics
e.
honesty
55. Statements that define fundamental values and reference organizational responsibilities, products and
employees are often called _____.
a.
principle-based
b.
policy-based
c.
ethically-based
d.
codified
e.
codes of organizational integrity
56. Of the following, which may whistle-blowers suffer?
a.
Job loss
d.
Hostile work environment
b.
Ostracism by coworkers
e.
All of the above
c.
Transfer to lower-level position
57. MANAGER’S SHOPTALK in Chapter 5 addresses how today’s companies are trying to teach
sustainablility to new managers by placing them with which of the following types of organizations?
a.
small, entrepreneurial start-ups
b.
Nonprofits in developing countires
c.
Government agencies in developed countries
d.
Tech firms that are developing cutting edge products
e.
Logistics companies that supply products worldwide
58. When an official is given the responsibility of overseeing all aspects of organizational morality and
legal compliance, she is referred to as:
a.
a whistle-blower.
b.
a chief ethics officer.
c.
vice-president of human resource management.
d.
a foreman.
e.
a political lobbyist.
59. Which of these is the disclosure by an employee of an illegal activity?
a.
Tattling
b.
Whistle-blowing
c.
Organizational communication
d.
The filing of a disclosure statement
e.
Snooping
60. Examples of unethical behavior toward _____ include a hostile work environment and violations of
health and safety rules.
a.
customers
d.
suppliers
b.
financiers
e.
employees
c.
society
61. The relationship between social responsibility and financial performance has been shown to be _____.
a.
non-existent
b.
positive
c.
negative
d.
not important
e.
a reflection of top leadership
62. The obligation of organization management to make decisions and take actions that will enhance the
welfare and interests of society as well as the organization is referred to as:
a.
self-dealing.
b.
corporate social responsibility.
c.
discretionary responsibility.
d.
economic responsibility.
e.
none of these.
CASE
Scenario – Larry Campbell
The pressure was on again. Larry Campbell, the Vice President at ToolTime Hardware, Inc., was
receiving requests from men and women inside the firm and outside the firm, asking him to review the
company’s promotion policies. Of the 52 middle and high level executives, only three were women.
The pressure was to review the policies that had led to this perceived imbalance and, if appropriate,
take the steps necessary for correction.
1. The decision to recruit, hire, train and promote both men and women equally is based on the ethical
approach of _____.
a.
utilitarian approach.
b.
individualism approach.
c.
moral rights approach.
d.
all of these provide the basis.
e.
none of these.
2. Using the justice approach for ethical decision-making, the logic of promoting qualified men and
women would be supported by:
a.
equal rights justice.
b.
distributive justice.
c.
procedural justice.
d.
compensatory justice.
e.
all of these.
3. A(n) _______ would outline the procedures Larry should use in this and other ethical situations.
a.
principle-based statement
b.
code of ethics
c.
corporate credo
d.
policy-based statement
e.
ethics committee
COMPLETION
1. _____ is the code of moral principles and values that govern the behaviors of a person or group with
respect to what is right or wrong.
2. When values and standards are written into the legal system, it is referred to as _____.
3. A(n) _____ arises in a situation when each alternative choice or behavior is undesirable because of
potentially harmful ethical consequences.
4. The _____ is an individual responsible for making an ethical choice.
5. The ethical concept that moral behaviors produce the greatest good for the greatest number is referred
to as _____ approach.
6. The _____ approach contends that acts are moral when they promote the individual’s best long-term
interests.
7. The _____ approach asserts that human beings have fundamental rights and liberties that cannot be
taken away by an individual’s decision.
8. The _____ approach holds that moral decisions must be based on standards of equity, fairness, and
impartiality.
9. _____ justice requires that different treatment of people not be based on arbitrary characteristics.
10. _____ justice requires that rules should be clearly stated and consistently and impartially enforced.
11. _____ justice argues that individuals should be compensated for the cost of their injuries by the party
responsible.
12. The _____ approach to ethical decision making sidesteps debates about what is right, good, or just and
bases decisions on prevailing standards of the profession and the larger society, taking the interests of
all stakeholders into account.
13. A decision to monitor employees’ nonwork activities violates the right to _____.
14. At the _____ level of personal moral development, individuals are most concerned with external
rewards and punishments.
15. People learn to conform to the expectations of good behavior that are set by peers and society at the
_____ level.
16. Individuals at the _____ level are guided by an internal set of values and standards and will even
disobey rules or laws that violate these principles.
17. Most managers operate at the _____ level.
18. Management’s obligation to make choices that will contribute to the well being of both the
organization and society is known as _____.
19. A(n) _____ is any group within or outside the organization that has a stake in the organization’s
performance.
20. Organizations that are _____ responsible consider the effects of their actions on all stakeholder groups
and may invest in a number of philanthropic causes that benefit stakeholders.
21. _____ refers to interacting with the community in which a company does business in a way that makes
money for the company but also improves the long-term well-being of the community.
22. The _____ approach to economic responsibility means that economic gain is the only social
responsibility and can lead companies into trouble.
23. When a company does just what is necessary to satisfy legal requirements, it falls under the _____
approach.
24. _____ responsibility is purely voluntary and guided by a company’s desire to make social contributions
not mandated by economics, law, or ethics.
25. A(n) _____ is a formal statement of the company’s values concerning ethics and social issues; it
communicates to employees what the company stands for.
26. _____ generally outline the procedures to be used in specific ethical situations, such as marketing
practice, conflicts of interest, and observance of laws.
27. A group of executives assigned to oversee the organization’s ethics by ruling on questionable issues
and disciplining violators is referred to as a(n) _____.
28. Employee disclosure of illegal organization activities is known as _____..
29. The relationship between social responsibility and financial performance has been shown to be _____.
SHORT ANSWER
1. List three of the six moral rights that should be considered during decision making.
ANS:
2. List the four criteria for ethical decision-making described in the book.
3. List three examples of primary stakeholders.
4. List the four responsibilities of corporate social performance.
ESSAY
1. Define ethics and explain how the domain of ethics relates to law and free choice.
2. List the four approaches that are used to describe values for guiding ethical decision making. Briefly
describe each.
3. Briefly explain the justice approach to ethics and then explain the three types of justice.
4. List and define the stages of moral development.
5. What is social responsibility? Why is it considered a difficult concept to grasp?
6. Explain the concept of a stakeholder and list five common stakeholders.
7. List and define the criteria of corporate social responsibility.
8. Explain the differences between principle-based statements and policy-based statement in an
organization’s code of ethics.