Question 1

Why is the argument that "anything legal is ethical" most likely insufficient?

Accepted Answer

A) Everything that is unethical is also illegal. 
B) The law is an extremely efficient way to solve ethical dilemmas. 
C) Laws are frequently based on imprecisely defined moral concepts. 
D) Laws can never be changed; thus, rules for all possible ethical dilemmas are found in the law. 
A) Everything that is unethical is also illegal. 
B) The law is an extremely efficient way to solve ethical dilemmas. 
C) Laws are frequently based on imprecisely defined moral concepts. 
D) Laws can never be changed; thus, rules for all possible ethical dilemmas are found in the law. C

Question 2

Quantum Footwear is an MNE that manufactures inexpensive shoes.Quantum outsources portions of its production to independent companies located in Bangladesh and India, where child labor is common.Other clothing and footwear firms have recently faced criticism regarding the use of child labor, and Quantum executives want to avoid similar problems.Which of the following guidelines enforced by Quantum would LEAST likely be supported by the International Labor Organization?

Accepted Answer

A) establishing bridge schools 
B) monitoring workplace safety 
C) allowing children ages 10-15 to work a maximum of 4 hours per day 
D) prohibiting abusive labor conditions 
A) establishing bridge schools 
B) monitoring workplace safety 
C) allowing children ages 10-15 to work a maximum of 4 hours per day 
D) prohibiting abusive labor conditions C

Question 3

The law is often based on imprecisely defined moral concepts that cannot be separated from legal concepts.

Accepted Answer

A) True 
 B)False  True

Question 4

According to the teleological approach, individuals base moral decisions on ________.

Accepted Answer

A) personal and social responsibilities 
B) consequences of an action 
C) cultural value systems 
D) opinions of peers 
A) personal and social responsibilities 
B) consequences of an action 
C) cultural value systems 
D) opinions of peers

Question 5

The argument that "anything legal is ethical" is insufficient as a basis for ethical behavior because the law usually does not apply to everyone and does not have enforceable rules.

Accepted Answer

A) True 
 B)False

Question 6

Normativism asserts that universal standards of behavior exist and should be accepted in all cultures.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following statements describes an inconsistency of the Foreign Corrupt Practices Act (FCPA)?

Accepted Answer

A) Facilitation payments are classified as bribery. 
B) Facilitation payments are excluded from the FCPA's definition of bribery. 
C) Payments to officials who are not directly responsible for carrying out the law are legal. 
D) Payments to foreign officials who carry out the law are considered illegal by provisions of the FCPA. 
A) Facilitation payments are classified as bribery. 
B) Facilitation payments are excluded from the FCPA's definition of bribery. 
C) Payments to officials who are not directly responsible for carrying out the law are legal. 
D) Payments to foreign officials who carry out the law are considered illegal by provisions of the FCPA.

Question 8

Ethical dilemmas tend to be ________ for MNE managers than for domestic managers.

Accepted Answer

A) more complicated 
B) less controversial 
C) easier to decide 
D) less common 
A) more complicated 
B) less controversial 
C) easier to decide 
D) less common

Question 9

U.S.MNEs that operate in Europe are under pressure to conform to the emissions standards of the Kyoto Protocol.

Accepted Answer

A) True 
 B)False

Question 10

An effective code of conduct reports results to external stakeholders.

Accepted Answer

A) True 
 B)False

Question 11

HIV/AIDS is affecting the operations of Anglo American PLC by forcing the company to invest outside of South Africa to avoid having to deal with workforce health issues.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following is NOT an example of normativism?

Accepted Answer

A) A U.S. subsidiary operating in China that is forced to follow some U.S. laws, even though China has no comparable laws 
B) A U.S. sweatshop operating in Thailand that does not follow U.S. labor laws but allows children to work 60 hours a week 
C) An MNE manager who, after working in the host country, tries to implement foreign practices in the home-country office 
D) A British subsidiary operating in Indonesia that maintains the same health and safety standards for its foreign factories that are required in Great Britain, even though the British government does not require it to use those standards 
A) A U.S. subsidiary operating in China that is forced to follow some U.S. laws, even though China has no comparable laws 
B) A U.S. sweatshop operating in Thailand that does not follow U.S. labor laws but allows children to work 60 hours a week 
C) An MNE manager who, after working in the host country, tries to implement foreign practices in the home-country office 
D) A British subsidiary operating in Indonesia that maintains the same health and safety standards for its foreign factories that are required in Great Britain, even though the British government does not require it to use those standards

Question 13

According to Transparency International, companies from which of the following countries are more likely to pay bribes?

Accepted Answer

A) China 
B) Japan 
C) Singapore 
D) Belgium 
A) China 
B) Japan 
C) Singapore 
D) Belgium

Question 14

General Electric's Ecomagination initiative is responding in part to the fact that it is operating in many countries that require compliance with higher environmental standards than exist in the United States.

Accepted Answer

A) True 
 B)False

Question 15

Bantam Enterprises, a multinational enterprise, makes significant efforts to avoid being perceived as socially irresponsible.What is the most likely reason for this?

Accepted Answer

A) Social irresponsibility can lead to labor strikes by international unions. 
B) Socially irresponsible companies usually have fewer exports and more imports. 
C) Cultural barriers increase for companies that are socially irresponsible, which hinders expansion into additional countries. 
D) Social irresponsibility can lead to negative publicity from nongovernmental organizations, which could hurt a company's reputation. 
A) Social irresponsibility can lead to labor strikes by international unions. 
B) Socially irresponsible companies usually have fewer exports and more imports. 
C) Cultural barriers increase for companies that are socially irresponsible, which hinders expansion into additional countries. 
D) Social irresponsibility can lead to negative publicity from nongovernmental organizations, which could hurt a company's reputation.

Question 16

Which of the following is NOT a key stakeholder group that a company must work to satisfy in order to survive in a global environment?

Accepted Answer

A) employees 
B) competitors 
C) shareholders 
D) customers 
A) employees 
B) competitors 
C) shareholders 
D) customers

Question 17

GE's Ecomagination program has enabled the firm to develop a competitive advantage over its competitors.

Accepted Answer

A) True 
 B)False

Question 18

A guideline for responsible action by a firm in its operations worldwide is a(n)________.

Accepted Answer

A) code of conduct 
B) corporate monitoring policy 
C) education program 
D) honor code 
A) code of conduct 
B) corporate monitoring policy 
C) education program 
D) honor code

Question 19

The UN Global Compact is a legally binding document that requires MNEs to establish codes of conduct.

Accepted Answer

A) True 
 B)False

Question 20

A manager who refuses to bribe customs officials in a foreign country, even though it is morally acceptable in that country, is most likely to believe in which of the following perspectives on ethics?

Accepted Answer

A) relativism 
B) normativism 
C) humanism 
D) existentialism 
A) relativism 
B) normativism 
C) humanism 
D) existentialism

Why is the argument that "anything legal is ethical" most likely insufficient?

The law is often based on imprecisely defined moral concepts that cannot be separated from legal concepts.

According to the teleological approach, individuals base moral decisions on ________.

The argument that "anything legal is ethical" is insufficient as a basis for ethical behavior because the law usually does not apply to everyone and does not have enforceable rules.

Normativism asserts that universal standards of behavior exist and should be accepted in all cultures.

Which of the following statements describes an inconsistency of the Foreign Corrupt Practices Act (FCPA)?

Ethical dilemmas tend to be ________ for MNE managers than for domestic managers.

U.S.MNEs that operate in Europe are under pressure to conform to the emissions standards of the Kyoto Protocol.

An effective code of conduct reports results to external stakeholders.

HIV/AIDS is affecting the operations of Anglo American PLC by forcing the company to invest outside of South Africa to avoid having to deal with workforce health issues.

Which of the following is NOT an example of normativism?

According to Transparency International, companies from which of the following countries are more likely to pay bribes?

General Electric's Ecomagination initiative is responding in part to the fact that it is operating in many countries that require compliance with higher environmental standards than exist in the United States.

Bantam Enterprises, a multinational enterprise, makes significant efforts to avoid being perceived as socially irresponsible.What is the most likely reason for this?

Which of the following is NOT a key stakeholder group that a company must work to satisfy in order to survive in a global environment?

GE's Ecomagination program has enabled the firm to develop a competitive advantage over its competitors.

A guideline for responsible action by a firm in its operations worldwide is a(n)________.

The UN Global Compact is a legally binding document that requires MNEs to establish codes of conduct.

A manager who refuses to bribe customs officials in a foreign country, even though it is morally acceptable in that country, is most likely to believe in which of the following perspectives on ethics?

Globalization and International Business

The Cultural Environments Facing Business

The Political and Legal Environments Facing Business

The Economic Environments Facing Businesses

International Trade and Factor-Mobility Theory

Governmental Influence on Trade

Cross-National Cooperation and Agreements

Global Foreign-Exchange Markets

The Determination of Exchange Rates

Global Capital Markets

The Strategy of International Business

Country Evaluation and Selection

Export and Import

Direct Investment and Collaborative Strategies

The Organization of International Business

Marketing Globally

Global Manufacturing and Supply Chain Management

International Accounting and Finance Issues

International Human Resource Management

Filters

Exam 5: Globalization and Society

Why is the argument that "anything legal is ethical" most likely insufficient?

The law is often based on imprecisely defined moral concepts that cannot be separated from legal concepts.

According to the teleological approach, individuals base moral decisions on ________.

The argument that "anything legal is ethical" is insufficient as a basis for ethical behavior because the law usually does not apply to everyone and does not have enforceable rules.

Normativism asserts that universal standards of behavior exist and should be accepted in all cultures.

Which of the following statements describes an inconsistency of the Foreign Corrupt Practices Act (FCPA)?

Ethical dilemmas tend to be ________ for MNE managers than for domestic managers.

U.S.MNEs that operate in Europe are under pressure to conform to the emissions standards of the Kyoto Protocol.

An effective code of conduct reports results to external stakeholders.

HIV/AIDS is affecting the operations of Anglo American PLC by forcing the company to invest outside of South Africa to avoid having to deal with workforce health issues.

Which of the following is NOT an example of normativism?

According to Transparency International, companies from which of the following countries are more likely to pay bribes?

General Electric's Ecomagination initiative is responding in part to the fact that it is operating in many countries that require compliance with higher environmental standards than exist in the United States.

Bantam Enterprises, a multinational enterprise, makes significant efforts to avoid being perceived as socially irresponsible.What is the most likely reason for this?

Which of the following is NOT a key stakeholder group that a company must work to satisfy in order to survive in a global environment?

GE's Ecomagination program has enabled the firm to develop a competitive advantage over its competitors.

A guideline for responsible action by a firm in its operations worldwide is a(n)________.

The UN Global Compact is a legally binding document that requires MNEs to establish codes of conduct.

A manager who refuses to bribe customs officials in a foreign country, even though it is morally acceptable in that country, is most likely to believe in which of the following perspectives on ethics?

Globalization and International Business

The Cultural Environments Facing Business

The Political and Legal Environments Facing Business

The Economic Environments Facing Businesses

International Trade and Factor-Mobility Theory

Governmental Influence on Trade

Cross-National Cooperation and Agreements

Global Foreign-Exchange Markets

The Determination of Exchange Rates

Global Capital Markets

The Strategy of International Business

Country Evaluation and Selection

Export and Import

Direct Investment and Collaborative Strategies

The Organization of International Business

Marketing Globally

Global Manufacturing and Supply Chain Management

International Accounting and Finance Issues

International Human Resource Management

Filters