Expert witnesses provide information to legislators for businesses or business groups.
Because supply chains have become heavily globalized, government regulation efforts
are now more concentrated and increasingly effective.
One reason lead firms do not change suppliers is due to moral obligation to the workers
and community not to cause job loss.
The American Institute of Certified Public Accountants Code directs accountants to be
responsible to their clients and their profession, but not to the public.
Governments and businesses understand each other’s needs and cooperate fully to
manage the benefits and threats of newly introduced technology.
All ethics issues in business are the same.
Shareholders have become an increasingly powerful and vocal stakeholder group in
corporations.
Walmart has been called a “template for 21st century capitalism.”
All corporate contributions benefit the donors directly.
Environmental regulations, such as energy conservation, depress the economy.
Investors always choose to invest in the stock of companies that pay high dividends.
The consumer’s “right to privacy” assures that information disclosed in the course of a
commercial transaction is not shared with others unless authorized.
An ecologically sustainable organization is a business that addresses environmental
issues only when they pose an immediate threat.
Financially sound companies do not need to understand how a public issue is likely to
evolve, or how it will affect them.
Rain forest destruction is controversial because these environments are more valuable
cut down than standing.
Economic regulations aim at modifying the normal operations of the free market and
the forces of supply and demand.
The emergence of public issues often encourages companies to monitor public
concerns, respond to government proposals, and participate in the political process.
Foreign-owned corporations typically establish and use corporate foundations less
frequently than U.S. firms.
Organizations always have full control of a public issue.
The EPA has identified carbon monoxide as the sole indicator of the overall level of air
pollution.
Efforts to prevent inequitable exposure to risk, such as from hazardous waste, are
sometimes referred to as the movement for environmental justice.
The Organization for Economic Cooperation and Development (OECD), representing
34 nations, issued a revised set of principles of corporate governance to serve as a
benchmark for companies and policymakers worldwide.
The responsibility of managing technology with its many privacy and security issues
for business organizations is entrusted to the CFO.
Market stakeholders include nongovernmental organizations and the business support
groups.
It is the responsibility of the board of directors and its audit committee to engage an
independent accounting firm to audit the financial statements prepared by management.
The mission of the Consumer Financial Protection Bureau is to ensure that financial
products and services are fair, transparent, and competitive.
Even small local businesses often compete with global companies from around the
world.
Employers are not required by law to agree to the union’s demands, but they are
required to bargain in good faith.
Because managers make major decisions, they have limited opportunity to influence the
ethical tone of the firm.
Many companies have turned to technology to improve the amount and effectiveness of
employee volunteerism.
Drug testing for cause is commonly used after an accident or some observable change
in behavior.
The variety of communications channels for public relations departments has decreased
due to combined technology options.
Business managers should use all four methods of ethical reasoning – virtues, utility,
rights and justice – to better understand ethical issues at work.
For managers who reason at stages 2 and 3, their personal rewards, recognition from
others, or compliance with the company’s rules become their main ethical compass.
The problem of alcohol-related accidents in the workplace is caused almost entirely by
hard-core alcoholics.
Which of the following is not a strategy to help companies get the most benefit from
their contributions?
A. Use targeted business methods to assess the impact of gifts.
B. Align priorities with employee interests.
C. Establish priorities even if they come into conflict with the firm’s core values.
D. Draw on unique competencies of the business.
Which of these statements accurately describe hacktivists known as grey hatters?
A. They always work in tight-knit groups.
B. They are highly welcomed by businesses.
C. They seek retaliation on businesses.
D. They seek media attention and profits.
Some studies have shown that the burden of complying with safety regulations falls
hardest on:
A. The government.
B. Large businesses.
C. Small businesses.
D. The manufacturing sector only.
Legal environmental intelligence includes:
A. Patterns of aggressive growth versus static maintenance.
B. Analysis of local, state, national, and international politics.
C. Considerations of patents, copyrights, or trademarks.
D. Information regarding costs, prices, and international trade.
The phenomenon of a person or group holding multiple stakeholder duties is referred to
as:
A. Role sets.
B. Primary stakeholder(s).
C. Ownership theory.
D. None of the above.
Which of these actions can businesses take to reduce income inequality?
A. Adjust minimum wage laws to increase worker pay.
B. Implement new tax policy that benefits employees.
C. Provide very high executive compensation.
D. Commit to paying a living wage to all employees.
The main responsibility of the National Highway Traffic Safety Administration is to:
A. Set a uniform national speed limit.
B. Set airline safety standards.
C. Set motor vehicle safety standards.
D. Safeguard consumers from altered odometers.
The issue of reactive management policies occurs in which stage of global corporate
citizenship?
A. Transforming.
B. Engaged.
C. Integrated.
D. Innovative.
A critic of globalization might argue that companies decide to manufacture in China
mainly because of China’s:
A. Strict law enforcement.
B. High environmental standards.
C. Weak health and safety regulations.
D. Strong worker unions.
Which of these statements is (are) true about the group known as Anonymous?
A. They are a tightly bonded group of hacktivists.
B. They are distinguished by masks with an over-sized smile and red cheeks.
C. They supported WikiLeaks and the Occupy movement.
D. Both B and C, but not A.
A firm subscribing to the ownership theory of the firm would mainly be concerned with
providing value for its:
A. Shareholders.
B. Customers.
C. Board of Directors.
D. Community.
According to a 2013 opinion poll, Americans hold a dim view of:
A. Nurses.
B. The Supreme Court.
C. Churches.
D. Business executives.
When something stands out from a background, is seen as important, or draws attention
it is:
A. Urgent.
B. Salient.
C. Powerful.
D. Legitimate.
What U.S. company is the best example of using globalization to reduce the price of its
products?
A. K-Mart.
B. Toys R Us.
C. Walmart.
D. Macy’s.
Economic regulations:
A. Can only exist for 37 years unless renewed.
B. Apply only to older industries.
C. Always conflict with social regulation.
D. Cut across industry lines.
All of the following values are present in most ethical decisions except:
A. Be fair and just.
B. Be kind.
C. Act responsibly.
D. Be honest.
Under which of these conditions is private governance most likely to emerge?
A. Small lead firms have leverage over larger suppliers.
B. Large lead firms have leverage over larger suppliers.
C. The public is totally satisfied with a firm’s social and environmental performance.
D. Firms with highly visible brands are more vulnerable to reputational damage.
Integrity-based ethics programs:
A. Seeks to avoid legal sanctions.
B. Combines concern for the law with an emphasis on employee responsibility.
C. Threatens employees with punishment for non-compliance with the ethics program.
D. Are predominately implemented within the European Union.
This term refers to the practical applications of science and knowledge to commercial
and organizational activities.
A. Technology.
B. E-commerce.
C. Agrarian.
D. Semantic.
When a community group sues a company for health effects caused by the unsafe
disposal of toxic chemicals, this is an exercise of a stakeholder’s:
A. Legal power.
B. Voting power.
C. Economic power.
D. Political power.
Why is income inequality an environmental problem?
A. People in the richest countries consume many natural resources.
B. People in the poorest countries often misuse natural resources.
C. People in the richest countries have strong environmental values.
D. Both A and B, but not C.
Brand management often involves conveying what about a product or service?
A. The solutions provided.
B. The disadvantages of the product or service.
C. The expected experience.
D. Both A and C, but not B.
A company that channels employee behavior in a lawful direction by emphasizing the
threat of detection and punishment is:
A. Operating under the compliance-based approach.
B. Practicing “tone at the top.”
C. Operating under the integrity-based approach.
D. Operating under the instrumental policy approach.
How do effective diversity and inclusion programs typically impact a firm’s reputation?
A. The reputation is damaged.
B. The reputation is not affected.
C. The number of discrimination lawsuits increases.
D. The number of discrimination lawsuits decreases.
About 80 percent of human trafficking victims are:
A. Women and girls forced into prostitution.
B. Men enslaved into farming.
C. Men and women involuntarily placed in textile factories.
D. Low-paid hospitality workers.
The “right to be heard” assures that consumers’ interests will:
A. Receive full and sympathetic consideration.
B. Be protected against fraudulent or misleading information.
C. Be assured satisfactory quality and service at a fair price.
D. Be given all the facts to make an informed choice.
People everywhere depend on ethical systems to tell them whether their actions are:
A. Legal or illegal.
B. Right or wrong.
C. Financially attainable or not.
D. Logical and reasonable judgment.
The components of a typical issues management process include:
A. Identify issue.
B. Generate options.
C. Take action.
D. All of the above.
Which of these statements is true about the U.K. Bribery Act?
A. Provides an exemption for “facilitating payments”.
B. Contains a strict liability offense for failure to prevent bribery by commercial
organizations.
C. Prohibits bribery only for government officials.
D. Requires that improper actions be made “corruptly.”
The costs of corporate social responsibility may ultimately be passed on to the:
A. Supplier through discounts.
B. Consumer through high prices.
C. Investor through stock splits.
D. Taxpayers by the government.
The amount of land and water a human population needs to produce the resources it
consumes and to absorb its wastes given prevailing technology is called:
A. Ecological footprint.
B. Technological innovation.
C. Sustainable development.
D. Consumption footprint.
In 2014, the country with the highest percentage of unlicensed software users was
Venezuela.
Which of the following is (are) true about emission fees?
A. Each business is charged for the undesirable pollution that it emits.
B. Companies emitting more pollutants end up paying more pollution taxes.
C. Revenues from emission fees can be used to support environmental efforts.
D. All of the above.
Which ethnic group, as defined by the U.S. Census, represents the fastest-growing
segment of the labor force?
A. African-Americans.
B. Hispanics.
C. Asians.
D. Native Americans.
Proponents against corporate social responsibility feel that public officials, not business
people, should solve societal problems because:
A. Business people do not have the skill-set to solve societal problems.
B. The private sector is not mandated to solve these issues.
C. Both A and B.
D. None of the above.
What is the role of government in the area of equal employment opportunity? Discuss
from a historical perspective.
Answer:Answers may vary.
Explain global wealth and power inequalities. What are the special challenges of
serving the “bottom of the pyramid” sector?
Answer:
Answers may vary.
Analyze why a business may wish to get involved in community relations. What
benefits accrue to businesses that actively participate in their communities?
Answer:
Answers may vary.
Some people believe that the right of privacy should be extended to the workplace.
Others feel that, on the contrary, that such an extension would constitute an
unwarranted incursion into management’s right to manage. Please comment on this
debate, using examples from the text discussion of electronic monitoring, romance in
the workplace, employee drug testing, and employee honesty testing. Are there
particular circumstances under which it is, or is not, appropriate for employers to
monitor employee behavior?
Answer:
Answers may vary.
Prepare a strong argument in favor of and in opposition to businesses being involved in
the political process.
Answer:Answers may vary.
Identify a business with which you are familiar. What management steps could this
business take to operate more sustainably?
Answer:
Answers may vary.
Explain the purpose of the Sarbanes-Oxley Act. What issues does the act address? Is
this Act still a potent government tool?
Answer:
Answers may vary.
Describe the sustainability management practices of a business firm with which you are
familiar. Which stage of the corporate environmental responsibility model best fits this
firm, and why? Looking again at this same firm, what steps might its managers take to
improve its environmental performance?
Identify the eight strategic radar screens that enable public affairs managers to scan
their business environment. Briefly discuss the issues involved with each environment.
Answer:Answers may vary.
In your opinion, how is the relationship between modern corporations and their
shareholders changing?
What is a public issue and how do they impact modern firms?
Answer:
Answers may vary.
Select a common product and create a supply chain map showing the product
movement from source to consumer.
Answer:Answers may vary.
Discuss working conditions around the world. What challenges face multinational
corporations? What approaches are companies using to establish fair labor standards?
Are there circumstances under which some approaches might work better than others?
Answer:
Answers may vary.
How are firms honored for their efforts to create an ethical climate?
Over time the workforce will continue to change. How do you see the face of the
workforce in 20 years? In what ways will continued diversity create competitive
advantages for companies? Discuss based on the material in the textbook.
Answer:Answers may vary.
Describe and give examples of the external forces that shape the relationship between
business and society.
Answer:Answers may vary.
Discuss the motivations of cyber criminals. Explain the costs that cybercrime have on
businesses, governments and individuals.
Answer:Answers may vary.
Discuss both the community services desired by businesses and the requests made to
communities by businesses.
Answer:Answers may vary.
Discuss the global impact of cybercrime and explain how some international and
national groups are fighting it.
Answer:Answers may vary.
What could the United States government do about the out of control costs of regulation
and the staffing of regulatory agencies in the United States?
Answer:
Answers may vary.