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U.S.businesses have little influence over the behavior of businesses from other countries.

A) True
B) False

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Employers should proceed cautiously when designing an employee incentive program that rewards employees strictly on increased sales.

A) True
B) False

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As a manager,you have a responsibility for the unethical behavior of your employees.

A) True
B) False

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________ refers to standards of moral behavior.


A) Legality
B) Responsibility
C) Integrity
D) Ethics

E) All of the above
F) B) and D)

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A business that takes a public position on a political issue that affects the welfare of society is exercising corporate social responsibility.

A) True
B) False

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Top management at Big Bend Motorcycle Company is convinced that the company has a social responsibility to its community.Management believes that the firm can have the greatest impact in this area through cash contributions to nonprofit organizations.This is an example of:


A) graduated payments.
B) corporate philanthropy.
C) structure and strategy.
D) short run profit maximization.

E) A) and D)
F) All of the above

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An ethical dilemma refers to a situation where you must:


A) treat someone unfairly.
B) choose between equally unsatisfactory alternatives.
C) choose between a correct and an incorrect option.
D) balance the concerns of profit and legality.

E) B) and D)
F) A) and B)

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Creating competition between employees within the corporation:


A) can encourage employees to deceive customers.
B) should focus on improving corporate profit.
C) must be ignored when corporate ethics are developed.
D) can bring out the best in employees.

E) A) and C)
F) A) and B)

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Last week,the Local Citizens for a Greener America sent a formal document to Chipper's Golf Resort asking the private club to measure its carbon footprint and publicly disclose the amount of fertilizer and other carbon emitting substances that is uses on its two award winning golf courses.LCGA is an example of ___________.


A) an employee organization that has emerged at the resort
B) a watchdog group
C) a disgruntled non-profit organization that has a beef against golfers
D) a public interest group that is demonstrating social responsibility

E) A) and B)
F) A) and C)

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America's business ethics can improve simply by requiring written contracts with employees,customers,and owners.This alone will do the job!

A) True
B) False

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Provide examples that serve to explain the differences between the following terms: 1)corporate responsibility;2)corporate social initiatives;3)corporate philanthropy.

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Corporate responsibility refers to a fir...

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Making businesspeople more accountable for company actions may help restore trust in the free-market system and leaders in general.

A) True
B) False

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When it comes to ethics and social responsibility,the public's perception of a firm is as important as what the firm does.

A) True
B) False

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Determining what is involved for a firm to be socially responsible:


A) is easy.
B) varies even among those who are interested in corporate responsibility.
C) helps government officials develop appropriate legislation.
D) varies from industry to industry due to different laws.

E) A) and D)
F) None of the above

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In the past,whistleblowers were known as persons with a universal moral calling.However,seldom did these individuals receive tangible rewards for their efforts.When it was all said and done,they often fell into hard times.Whistleblowers got a boost in 2010,with the passage of the Dodd-Frank Wall Street Reform and Consumer Protection Act.A provision of this act permits whistleblowers to_____________________.


A) Remain at their jobs,after reporting a securities violation.
B) Receive up to 30% of the penalty funds that exceed $1 million that the courts recover from companies proven to be in violation.
C) Represent securities violations only in the companies where they are employed.
D) Automatically receive up to a $1 million dollar reward for reporting a securities violation,as well as retain his/her job.

E) None of the above
F) B) and D)

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High Mountain Brewers has adopted the slogan,"Cool,Clean,and Green" to promote its product line of specialty beers and company image.However,upon closer inspection,a group of concerned citizens including some former employees are protesting that the company is anything but "green".According to the Thinking Green box,titled,"Sustainable or Suspect: Greenwashing",the group is accusing the brewer of __________.


A) green gauging
B) environmental stewardship
C) not adhering to government regulations which stipulate exactly what a firm must be able to prove in order to be green
D) green washing

E) A) and B)
F) All of the above

Correct Answer

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Harry is concerned about the legality of firing union workers in order to hire workers willing to work for less pay.Harry values ______________ ethics,but has little concern for other types.


A) integrity-based
B) compliance-based
C) socially-based
D) policy-based

E) None of the above
F) A) and B)

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Which of the following statements best describes a firm's commitment to its customers?


A) The firm is responsible for offering domestic products to foreign customer markets.
B) One's social responsibility to customers is clear-cut.
C) Customers will only support companies who make a visible effort to keep prices low.
D) Firms that offer real value will develop a competitive advantage and gain customer trust.

E) A) and B)
F) A) and D)

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Management can create an environment in which unethical behavior can develop.

A) True
B) False

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Many U.S.companies are demanding socially responsible behavior from their international suppliers.

A) True
B) False

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