Verified Test Bank Ch1 Introducing Business Ethics

Type: multiple choice question

Title: Chapter 1 - Question 1

01) Issues relating to business ethics often lead to _______ conflict, where there may simply not be a(n) _______ correct answer. Therefore, it may not just be a case of deciding between right and wrong but often at an individual level it involves deciding between different courses of action that different _______ both believe to be right or wrong.

a. Value, Subjectively, Organizations

b. Value, Objectively, Actors

c. Economic, Objectively, Actors

d. Economic, Subjectively, Organizations

Type: multiple choice question

Title: Chapter 1 - Question 2

02) Which of the following statements regarding morality and ethics are correct?

1. Morality is concerned with norms, values and beliefs embedded in social processes
2. Ethics define what is right and wrong for an individual or community
3. Morality is concerned with the study of ethics and the application of reason to elucidate specific rules and principles
4. Ethical theories are the codification of rules and principles

a. 1,4

b. 1,3

c. 1,2,3

d. 1,2,3,4

Type: multiple response question

Title: Chapter 01 - Question 03

03) Which of the three following factors characterise public sector organisations engagement with ethical issues?

a. Informal organisational structure, Accountability to general public, Focus on employee and community issues

b. Formal organisational structure, Accountability to shareholders, Focus on employee and community issues

c. Informal organisational structure, Accountability to Shareholders, Focus on conflict of interests

d. Formal organisational structure, Accountability to general public, Focus on conflict of interests

Type: fill-in-blank

Title: Chapter 01 - Question 04

04) The following sentence describes the relationship between morality, ethics and ethical theory. Fill in the missing word. Ethics rationalizes morality to produce ethical _______ that can be applied to any situation.

Page reference: p.8-9

a. Theory

Type: multiple response question

Title: Chapter 01 - Question 05

05) An information and mobile technology company might call itself ethical because it... Please select all that apply.

a. Ensures that its pricing practices are fair

b. Protects children from harmful materials

c. Provides philanthropic support for related causes (e.g. human rights).

d. Manages and reduces its carbon emissions

Type: matching question

Title: Chapter 01 - Question 06

06) Match the different types of organization with their different approaches to managing ethics.

Page reference: p.16

a. Large corporation = Formal, public-relations and/or systems-based

Page reference: p.16

b. Small business = Informal, trust-based

Page reference: p.16

c. Civil society organization = Informal, values-based

Page reference: p.16

d. Public sector organization = Formal, bureaucratic

Page reference: p.16

Type: fill-in-blank

Title: Chapter 01 - Question 07

07) According to Crane et al, globalization as defined in terms of the deterritorialization of economic activities is particularly relevant for business ethics, and this is evident in three areas – culture, law, and ______________.

Page reference: p.20-22

a. Accountability

Type: multiple choice question

Title: Chapter 01 - Question 08

08) There are clear regional differences in business ethics. Read the following statements carefully and decide which of the following is correct.

a. In North America, the key actors in business ethics are government, trade unions and corporate associations. In Europe it is government and corporations, while in Asia it is the corporation.

b. Key issues in business ethics in Asia are corporate governance and accountability. In North America they are misconduct and immorality in single decision situations. In Europe, key issues in business ethics are social issues in organizing the framework of business.

c. In North America, the individual is responsible for ethical conduct in business, while in Asia it is social control by the collective and in Europe the responsibility lies with top management.

d. In North America, a formalized multiple stakeholder approach is the dominant perspective on stakeholder management. Asia focuses on shareholder value, while Europe tends to take an implicit multiple stakeholder and benign managerialism approach.

Type: multiple response question

Title: Chapter 01 - Question 09

09) Which of the following statements regarding stakeholder management approaches are incorrect?

1. North American corporations tend to be smaller than their European counterparts and focus more on multiple stakeholders
2. European, African and Asian models of capitalism tend to not be so dominated by shareholder value maximization compared to the North American approach
3. North American companies and often managed by large executive and supervisory boards
4. The Calvinist-Protestant religious tradition in Europe led to the rise of a distinctly different capitalist economic system.

a. 1,3,4

b. 2,3,4

c. 1,2,3

d. 1,2,3,4

Type: multiple choice question

Title: Chapter 01 - Question 10

10) Crane et al point out that inequality has become a major concern. Which is not a commonly discussed way in which firms may be part of the solution?

a. The financial services industry may need substantial reform to restrict market agents.

b. Lobbying may need to be curtailed,

c. Firms might have to donate their profits.

d. Firms may need to cooperate with a strengthening of labour rights.

Type: true-false

Title: Chapter 01 - Question 11

11) The key issue in the social perspective on sustainability is that of social justice.

a. True

b. False

Type: multiple choice question

Title: Chapter 01 - Question 12

12) The collective action problem where multiple firms chase elusive advantage in exploiting employees, degrading the environment, and pressuring developing countries to weaken regulation and lower tax rates is often called _______.

a. The globalization effect

b. National competitiveness.

c. The race to the bottom

d. The traditional market at work.

Type: fill-in-blank

Title: Chapter 01 - Question 13

13) Fill in the missing word. The on-going integration of political, social and economic interactions at the transnational level, regardless of physical proximity or distance, is often called _______.

Page reference: p.19

a. Globalization

Type: matching question

Title: Chapter 01 - Question 14

14) Match the different regions to their approach towards business ethics

a. North America = Loose institutional framework of business ethics with key actor tending to be the corporation

Page reference: p.24

b. Europe = Dense network of regulation with key actors being governments, trade unions and corporate associations

Page reference: p.24

c. Latin America = Key actor often third sector organizations which incentivize and organize ethical initiatives by businesses

Page reference: p.24

Title: Chapter 01 - Question 15

15) What of the following does the term of sustainability typically denote? Please select all that apply.

a. The concept of system maintenance.

Page reference: p.30-35

b. Intergenerational equity

Page reference: p.30-35

c. Placing environment needs over human needs.

Page reference: p.30-35

d. Business must pursue environmental and social goals in addition to economic goals.

Page reference: p.30-35