Question 1

What are the three major sets of factors believed to affect ethical behavior in an organization?

Accepted Answer

The three major sets of factors believed

Question 2

What specific area of business communications presents ethical questions by sometimes containing false and misleading messages for adults and especially children?

Accepted Answer

A)  Press releases 
B)  Newspaper articles 
C)  Consumer Reports' rankings 
D)  Advertising 
E)  Audited financial reports 
A)  Press releases 
B)  Newspaper articles 
C)  Consumer Reports' rankings 
D)  Advertising 
E)  Audited financial reports

Question 3

Metabo-Miracle offers a guaranteed weight loss of 10 pounds in one week without dieting or exercise. Thousands of customers purchase the products and about 200 call in with complaints that the product was ineffective. What action should Metabo-Miracle take?

Accepted Answer

A)  It should immediately remove its products from the market, fully refund the thousands of customers' money, and close its business. 
B)  It should use persuasive techniques to get the 200 disappointed customers to try the product again each time it fails in order to decrease refunds. 
C)  It should explain to the customers that they misused the product and try to sell them more of the product. 
D)  It should discuss the product failure with the customers and then provide them with a full refund of their purchase price. 
E)  It should ignore the customers' complaints and hope they will tire of calling and writing letters. 
A)  It should immediately remove its products from the market, fully refund the thousands of customers' money, and close its business. 
B)  It should use persuasive techniques to get the 200 disappointed customers to try the product again each time it fails in order to decrease refunds. 
C)  It should explain to the customers that they misused the product and try to sell them more of the product. 
D)  It should discuss the product failure with the customers and then provide them with a full refund of their purchase price. 
E)  It should ignore the customers' complaints and hope they will tire of calling and writing letters.

Question 4

What is the major source of human emissions of air pollution in the upper atmosphere?

Accepted Answer

A)  Aircraft 
B)  Automobiles 
C)  Acid rain 
D)  Volcanoes 
E)  Factories 
A)  Aircraft 
B)  Automobiles 
C)  Acid rain 
D)  Volcanoes 
E)  Factories

Question 5

The right to be heard implies that companies should listen to consumer complaints and

Accepted Answer

A)  thank them for their time. 
B)  give them a full refund. 
C)  do whatever the consumer requests. 
D)  do nothing―just listening is enough. 
E)  take appropriate action. 
A)  thank them for their time. 
B)  give them a full refund. 
C)  do whatever the consumer requests. 
D)  do nothing―just listening is enough. 
E)  take appropriate action.

Question 6

What are the two major problems that affirmative action programs have faced?

Accepted Answer

A)  Quotas and lack of acceptance by some businesspeople 
B)  Unrealistic expectations and strict enforcement 
C)  Lack of enforcement and lack of acceptance 
D)  Reverse discrimination and lawsuits 
E)  Quotas and the EEOC 
A)  Quotas and lack of acceptance by some businesspeople 
B)  Unrealistic expectations and strict enforcement 
C)  Lack of enforcement and lack of acceptance 
D)  Reverse discrimination and lawsuits 
E)  Quotas and the EEOC

Question 7

The human resources manager at Swingline, Inc., a manufacturer of office staplers, wants to encourage a more ethical climate in the organization. A likely way for Swingline to do this is to

Accepted Answer

A)  make certain that Swingline has a company code of ethics that is enforced. 
B)  add an ethics department whose job is to constantly watch employees to be certain they behave. 
C)  develop a system of security cameras, telephone monitoring, and one-way mirrors to be certain that employees behave appropriately. 
D)  avoid any mention of ethics to employees so that they will not think unethical thoughts. 
E)  do none of the above. All of these practices are illegal because they take away an employee's constitutional right of free choice. 
A)  make certain that Swingline has a company code of ethics that is enforced. 
B)  add an ethics department whose job is to constantly watch employees to be certain they behave. 
C)  develop a system of security cameras, telephone monitoring, and one-way mirrors to be certain that employees behave appropriately. 
D)  avoid any mention of ethics to employees so that they will not think unethical thoughts. 
E)  do none of the above. All of these practices are illegal because they take away an employee's constitutional right of free choice.

Question 8

The federal agency charged with enforcing laws to protect the environment is the

Accepted Answer

A)  National Environmental Commission. 
B)  Resource Recovery Alliance. 
C)  Pollution Control Committee. 
D)  Environmental Protection Agency. 
E)  Clean Air Agency. 
A)  National Environmental Commission. 
B)  Resource Recovery Alliance. 
C)  Pollution Control Committee. 
D)  Environmental Protection Agency. 
E)  Clean Air Agency.

Question 9

What would proponents of the socioeconomic model argue to support their position?

Accepted Answer

Proponents of the socioeconomic model, a

Question 10

Define business ethics.

Accepted Answer

Business ethics refers to the principles

Question 11

HGR Chemical Company believes the environmental regulations for its industry are much more stringent than necessary, which likely means

Accepted Answer

A)  they are impossible to comply with. 
B)  they will not improve the quality of the drinking water. 
C)  they are unfair to chemical plants. 
D)  they are too expensive to comply with. 
E)  HGR is not concerned with the environment. 
A)  they are impossible to comply with. 
B)  they will not improve the quality of the drinking water. 
C)  they are unfair to chemical plants. 
D)  they are too expensive to comply with. 
E)  HGR is not concerned with the environment.

Question 12

Define the doctrine of caveat emptor.

Accepted Answer

The doctrine of caveat emptor is a legal

Question 13

What led most directly to increased government involvement with regulating business and its dealings with society?

Accepted Answer

A)  The Industrial Revolution 
B)  President Kennedy's consumer bill of rights 
C)  The collapse of the oil industry 
D)  The Great Depression 
E)  The end of World War I 
A)  The Industrial Revolution 
B)  President Kennedy's consumer bill of rights 
C)  The collapse of the oil industry 
D)  The Great Depression 
E)  The end of World War I

Question 14

Excellent Air Inc. (EAI)

Excellent Air Inc. is a well-known establishment in the airline business. It is currently one of the top firms in the industry. The company prides itself on good customer service and being concerned with the broader societal good. EAI management is concerned not only with doing things right, but also with doing the right things. Many of its decisions reflect this philosophy. Initially, the company had a problem with employees reporting their suspicions about unethical behavior to the press instead of to EAI management. As a result, the company made sure its employees knew the firm’s guidelines on fixing ethical issues. EAI also developed a code of conduct based on standards that continue to be upheld within the company. Since the code of conduct has been put in place, there have been much fewer ethical violations.

Although employee salaries at EAI are not as high as those at competing firms, the company experiences very low employee turnover. The firm has created a corporate culture that not only makes its employees want to stay, but that also results in higher profits. If EAI can maintain the relationship it has built with its employees and customers, it will have little difficulty keeping up its remarkable success.

-Refer to Excellent Air Inc. The principles that EAI chooses to pride itself on show that the company has

Accepted Answer

A)  a moral minority. 
B)  cultural diversity. 
C)  social responsibility. 
D)  caveat emptor. 
E)  a social audit. 
A)  a moral minority. 
B)  cultural diversity. 
C)  social responsibility. 
D)  caveat emptor. 
E)  a social audit.

Question 15

Which of the following is not one of the steps in developing and implementing a program of social responsibility?

Accepted Answer

A)  Planning 
B)  The social audit 
C)  Commitment of employees 
D)  Appointment of a director 
E)  Commitment of top executives 
A)  Planning 
B)  The social audit 
C)  Commitment of employees 
D)  Appointment of a director 
E)  Commitment of top executives

Question 16

Whirlpool fails to provide an instruction manual with a certain type of new washing machine. Which basic consumer right does Whirlpool's action violate?

Accepted Answer

A)  The right to convenience 
B)  The right to choose 
C)  The right to be heard 
D)  The right to safety 
E)  The right to courteous service 
A)  The right to convenience 
B)  The right to choose 
C)  The right to be heard 
D)  The right to safety 
E)  The right to courteous service

Question 17

Early government regulations prior to 1920 that affected American business include all of the following except the

Accepted Answer

A)  Interstate Commerce Act. 
B)  Sherman Antitrust Act. 
C)  Federal Trade Commission Act. 
D)  Clayton Antitrust Act. 
E)  Sarbanes-Oxley Act. 
A)  Interstate Commerce Act. 
B)  Sherman Antitrust Act. 
C)  Federal Trade Commission Act. 
D)  Clayton Antitrust Act. 
E)  Sarbanes-Oxley Act.

Question 18

Excellent Air Inc. (EAI)

Excellent Air Inc. is a well-known establishment in the airline business. It is currently one of the top firms in the industry. The company prides itself on good customer service and being concerned with the broader societal good. EAI management is concerned not only with doing things right, but also with doing the right things. Many of its decisions reflect this philosophy. Initially, the company had a problem with employees reporting their suspicions about unethical behavior to the press instead of to EAI management. As a result, the company made sure its employees knew the firm’s guidelines on fixing ethical issues. EAI also developed a code of conduct based on standards that continue to be upheld within the company. Since the code of conduct has been put in place, there have been much fewer ethical violations.

Although employee salaries at EAI are not as high as those at competing firms, the company experiences very low employee turnover. The firm has created a corporate culture that not only makes its employees want to stay, but that also results in higher profits. If EAI can maintain the relationship it has built with its employees and customers, it will have little difficulty keeping up its remarkable success.

-Refer to Excellent Air Inc. Since the company created its code of conduct, employees have limited ____, or amount of freedom to perform an unethical act.

Accepted Answer

A)  time 
B)  responsibility 
C)  moral dilemmas 
D)  unethical options 
E)  opportunity 
A)  time 
B)  responsibility 
C)  moral dilemmas 
D)  unethical options 
E)  opportunity

Question 19

An instruction pamphlet detailing steps for the care and use of a new electric appliance would fulfill which provisions of Kennedy's consumer bill of rights?

Accepted Answer

A)  The right to safety and the right to be informed 
B)  The right to be instructed and the right to safety 
C)  The right to be aware and the right to choose 
D)  The right to choose and the right to vote 
E)  The right to be heard and the right to sue 
A)  The right to safety and the right to be informed 
B)  The right to be instructed and the right to safety 
C)  The right to be aware and the right to choose 
D)  The right to choose and the right to vote 
E)  The right to be heard and the right to sue

Question 20

Publix, a southeastern grocery store chain, has signs saying that tips are not accepted and employees are all informed of this policy. However, many of the baggers commonly accept tips from customers anyway and they often compare to see who makes the most. The factor affecting the ethical behavior of Publix's employees is

Accepted Answer

A)  individual. 
B)  social. 
C)  opportunity. 
D)  demographic. 
E)  internal code. 
A)  individual. 
B)  social. 
C)  opportunity. 
D)  demographic. 
E)  internal code.

Exam 2: A: Being Ethical and Socially Responsible

What are the three major sets of factors believed to affect ethical behavior in an organization?

What specific area of business communications presents ethical questions by sometimes containing false and misleading messages for adults and especially children?

Metabo-Miracle offers a guaranteed weight loss of 10 pounds in one week without dieting or exercise. Thousands of customers purchase the products and about 200 call in with complaints that the product was ineffective. What action should Metabo-Miracle take?

What is the major source of human emissions of air pollution in the upper atmosphere?

The right to be heard implies that companies should listen to consumer complaints and

What are the two major problems that affirmative action programs have faced?

The human resources manager at Swingline, Inc., a manufacturer of office staplers, wants to encourage a more ethical climate in the organization. A likely way for Swingline to do this is to

The federal agency charged with enforcing laws to protect the environment is the

What would proponents of the socioeconomic model argue to support their position?

Define business ethics.

HGR Chemical Company believes the environmental regulations for its industry are much more stringent than necessary, which likely means

Define the doctrine of caveat emptor.

What led most directly to increased government involvement with regulating business and its dealings with society?

Which of the following is not one of the steps in developing and implementing a program of social responsibility?

Whirlpool fails to provide an instruction manual with a certain type of new washing machine. Which basic consumer right does Whirlpool's action violate?

Early government regulations prior to 1920 that affected American business include all of the following except the

An instruction pamphlet detailing steps for the care and use of a new electric appliance would fulfill which provisions of Kennedy's consumer bill of rights?

Exploring the World of Business and Economics

B: Being Ethical and Socially Responsible

A: Exploring Global Business

B: Exploring Global Business

Choosing a Form of Business Ownership

Small Business, Entrepreneurship, and Franchises

Understanding the Management Process

Creating a Flexible Organization

Producing Quality Goods and Services

Attracting and Retaining the Best Employees

Motivating and Satisfying Employees and Teams

Enhancing Union-Management Relations

Building Customer Relationships Through Effective Marketing

A: Creating and Pricing Products That Satisfy Customers

B: Creating and Pricing Products That Satisfy Customers

Wholesaling, Retailing, and Physical Distribution

Developing Integrated Marketing Communications

Social Media, E-Business, and Accounting

Using Management and Accounting Information

Understanding Money, Banking, and Credit

Mastering Financial Management

A: Understanding Personal Finances and Investments

B: Understanding Personal Finances and Investments

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