Exam 1: Ethical Theory, Philosophical Foundations, Our Reasoning Flaws, and Types of Ethical Dilemmas

Susan is interviewing for a position in purchasing with a major international retailer. Susan would like to go into consulting and sees this job, if she gets it, as experience for joining a consulting firm in 2-3 years. The interviewer asks Susan, "Where do you see yourself in five years?"   Susan replies, "Working here…and I probably would have moved up to head one area of purchasing."   Evaluate Susan's response, considering ethical categories and applying the readings from Unit 2.

The failure to speak out when an ethical or legal lapse occurs within your firm is in itself an ethical violation.

Stanford University medical researchers conducted a study on the correlation between the use of fertility drugs and ovarian cancer. Their study, published in the American Journal of Epidemiology , concludes that the use of the fertility drugs, Pergonal and Serophene, may increase the risk of ovarian cancer by three times. The lead author of the studies, Professor Alice Whittemore, stated, "Our finding in regard to fertility drugs is by no means certain. It is based on very small numbers and is really very tenuous." FDA Commissioner David Kessler would like the infertility drug manufacturers to disclose the study findings and offer a warning on the drug packages. He notes, "Even though the epidemiology study is still preliminary, women have a right to know what is known. We're not looking to make more of this than there is." If you were a manufacturer of one of the drugs, would you voluntarily disclose the study information?

A professor asked a student, "Did you have a chance to look at the reading?"   The student responded, "Yes." The professor commended the student for keeping up with assignments in the course and awarded participation points to the student. The student had, in fact, looked at the reading, but he had not actually done the reading. "Hey, he just asked me if I had a chance to look at the reading, and I told the truth." The student:

Locke and Rawls develop their ethical theory on the basis of a tabula rasa.

Dr. Phil Hayes has received an offer of full funding for his research on a new drug manufactured by Eli Mentin. The drug would be a competitor for Prozac without the questioned side-effects of possible violent behavior. Eli Mentin has, however, attached a condition to the funding. That condition is that Dr. Hayes may not publish his findings until Eli Mentin executives and its attorneys have had the opportunity to review them. List the ethical issues Dr. Hayes faces with this offer.

Which of the following is correct about the University of North Carolina special admits program?

Minnesota has a statewide smoking ban for public places. However, the state statute includes an exemption that permits smoking by actors in theatrical performances. In order to take advantage of the exemption, the Old Clover Inn, located in Vadnais Heights, Minnesota, has begun holding theater night, every night. The Old Clover Inn has placed its pool tables in an area that is framed with theater curtains and refers to the pool players as its actors. The Inn also has a stage for its cribbage players who sit and play cribbage and smoke. The Inn calls the nightly production, "As the Clover Turned," and it distributes a playbill that describes the nightly plays as involving "numerous uncredited actors in the role of bar patrons."    The Inn distributes buttons for $1 to patrons. The buttons read, "Act Now!" The Minnesota Health Department has warned the Inn that what it is doing is an attempt to circumvent the law. Which statement best describes the Old Clover Inn's approach to ethics?

A valid ethical barometer is the reaction of family and friends outside the business setting to your proposed decision.

Acting in one's own self-interest is a description of ethical egoism.

If I worked in purchasing in my company, it would be a conflict of interest and unethical for me to accept season tickets for my city's NBA team from the company that has supplied catering for the company's training sessions.

The Rights Theory is generally associated with Plato and Aristotle.

Priscilla Ceballos's 6-year-old daughter is a fan of Hannah Montana and wanted to go to a Hannah Montana concert. A radio station was offering two tickets to the Hannah Montana concert for the child who wrote the winning essay. Ms. Ceballos and her daughter wrote an essay that detailed an account of their husband/father dying in the war on Iraq. The problem was that their husband/father was not in Iraq and certainly not dead. When the fake essay was uncovered, Ms. Ceballos said, "We did the essay, and that's what we did to win. We did whatever we could to win." The company revoked the prize and the award of the tickets. Suppose the contest rules did not spell out that the essay had to be based on true and verifiable facts. What could the radio station rely on in revoking the prize and still have public support for its decision?

The failure to disclose that your college degree was withheld because of outstanding parking fines and violations is unethical.

The Graduate Management Admissions Council announced that it was canceling the GMAT scores of 84 applicants and students.  The Council found that the students were active users of a now shut-down website, Scoretop.com, a site with origins in China that posted live questions from the GMAT.  The site had 5,000 to 6,000 subscribers who paid $30 per month for access, but the Council is only canceling the scores of those against whom it feels it has an airtight case.  Two of the students whose scores were canceled are currently enrolled at the University of Chicago's MBA program and another has already graduated from Stanford's MBA program. Twelve of the students whose scores were canceled had posted questions on Scoretop.com and the remaining 72 allowed the site to post their testimonials that they had seen the Scoretop.com questions on their GMAT.  Ten of the 72 students had applied to Stanford but were denied admission.  Which ethical category does the conduct of the students who posted live questions fit into?

Plato and Aristotle were moral relativists.

The standard of a fair wage was used as an example to illustrate:

Using co-workers to give your supervisor the impression that you are in the office is not an ethical issue.

A supplier has just been awarded a large contract by your company. As an employee in purchasing, you were largely responsible for awarding that supplier the contract. The supplier's sales representative has just called and would like to take you to lunch to thank you for the support. Going to lunch with the sale representative does not present any ethical problems.

Claiming a computer is stolen in order to obtain insurance when the computer is simply outmoded is acceptable when the insurer doesn't question claims that amount to less than $2,000.