Exam 7: Corruption and Ethics in Global Business

Discuss the various ways to resolve an ethical question.

The four basic steps in ethical decision making are: define all the facts and circumstances, identify the people affected, determine the alternative decisions and consequences, and make the decision and carry it out.

Well-designed corporate ethics codes guarantee that employees will always make the ethical choice.

If you act according to absolute moral rules, you are following the ______ principle.

Internal auditing is an example of a(n)_____ control.

_____ is considered by many to be the most infamous financial scandal in United States history.

Briefly describe how a Ponzi scheme works.

Do what produces the greatest good. This statement refers to the _____ principle.

Briefly explain the relationship between ethics and integrity.

Computer crime became commonplace with the development of the world wide web in the

Scenario - Bradley Corporation The Bradley Corporation manufactures packaged food items that are sold around the globe.  Baby food is the prominent product line currently produced by the corporation.  Many of the customers for these products are located in third world countries where infant nutrition is a serious problem. Bradley has recently decided to change its internal management structure.  New managers for the corporation are now in place; however these new leaders do not appear to have the same value system as the former leaders.  The former leaders embraced the idea of product safety and exhibited integrity in the production of the corporation's product lines.  While the new managers claim these are important to them also, it seems the bottom line profit has precedent with them. These changes have created concern in the company.  There is strong disapproval for the way the company is conducting its business at the present time.  The Board of Directors for Bradley is facing the serious question of whether profit is the only thing that matters now to the corporation. Corporate social responsibility is defined as a company's obligations to society, including the welfare of people and places affected by the company's activities.  Which one of the following would not demonstrate the Bradley Corporation's adherence to its corporate social responsibility?  

Which causes MOST problems associated with computer security?

______ is the branch of philosophy that addresses the values pertaining to human behavior, with specific regard to the "rightness" and "wrongness" of actions and to the "goodness" and "badness" of the intent and results of such actions.

In the business world, the purpose of ethics is to direct business men and women to make as much money as they can any way possible.

Vivendi, a French-based multination corporation, gained international scorn when it was discovered they cooked their books to make their performance appear better than it actually was for the purpose of making a number of acquisitions.

Scenario - Bradley Corporation The Bradley Corporation manufactures packaged food items that are sold around the globe.  Baby food is the prominent product line currently produced by the corporation.  Many of the customers for these products are located in third world countries where infant nutrition is a serious problem. Bradley has recently decided to change its internal management structure.  New managers for the corporation are now in place; however these new leaders do not appear to have the same value system as the former leaders.  The former leaders embraced the idea of product safety and exhibited integrity in the production of the corporation's product lines.  While the new managers claim these are important to them also, it seems the bottom line profit has precedent with them. These changes have created concern in the company.  There is strong disapproval for the way the company is conducting its business at the present time.  The Board of Directors for Bradley is facing the serious question of whether profit is the only thing that matters now to the corporation. The Bradley Corporation is faced with a decision that involves selling an outdated product such as baby food to foreign markets to make a large profit versus losing money by destroying outdated products.  Which of the following best identifies what the Bradley Corporation is experiencing?  

Scenario - GCD Industries GCD Industries is a multinational organization that produces heavy equipment.  It supplies many foreign nations with the necessary equipment to conduct reconstruction after natural disasters.  One of the company's largest sales resulted from the devastation that occurred in Japan after the tsunami hit that nation.  GCD is committed to helping nations recover from destruction brought about by natural phenomenon. GCD prides itself on conducting its business in an honest and ethical manner.  It does not wish to deal with countries that engage in corrupt business practices, but realizes that all nations have differing business practices.  When the need arises for its products, this company strives to impart integrity into all of its business deals with foreign nations regardless of that nation's accepted practices. GCD Industries acknowledges it is under the guidelines of the Foreign Corrupt Practices Act whenever it has dealings in the foreign marketplace.  Which one of the following is not addressed by this Act?  

Corporate social responsibility refers only to the company's obligations to its stockholders and investors.

Which financial scandal was associated with the presidency of Warren G. Harding?

Scenario - Bradley Corporation The Bradley Corporation manufactures packaged food items that are sold around the globe.  Baby food is the prominent product line currently produced by the corporation.  Many of the customers for these products are located in third world countries where infant nutrition is a serious problem. Bradley has recently decided to change its internal management structure.  New managers for the corporation are now in place; however these new leaders do not appear to have the same value system as the former leaders.  The former leaders embraced the idea of product safety and exhibited integrity in the production of the corporation's product lines.  While the new managers claim these are important to them also, it seems the bottom line profit has precedent with them. These changes have created concern in the company.  There is strong disapproval for the way the company is conducting its business at the present time.  The Board of Directors for Bradley is facing the serious question of whether profit is the only thing that matters now to the corporation. There is a distinct difference in the value systems between the original and new managers of the Bradley Corporation.  All of the following except which one represents a key issue in ethics education, which if reinforced to the new managers, could strengthen their current value systems?