Exam 2: Business Ethics and Social Responsibility: Doing Well by Doing Good

Canadian companies such as Home Depot and Sears need not be concerned with child labour laws in the nations where they contract-manufacture their product lines, as long as the laws of those nations permit children to work long hours in factories.

What is the usual result for firms that participate in cause-related marketing?

What is the primary duty of socially responsible companies to their investors?

Most writers on the topic of ethics would agree that the ethics of a firm is strongly influenced by the CEO's ethical standards.

By spending time and money on ergonomically enhanced facilities that promote employee health and safety, firms demonstrate socially responsible behaviour.

Managers of socially responsible businesses proactively support stakeholders' needs.

Sustainable development means to continually be developing new products and locations.

Most consumers are willing to pay significantly higher prices and accept somewhat lower performance in order to purchase goods that are environmentally friendly.

Although cause-related marketing can help a company meet its social responsibilities, it doesn't help build the company's brands.

Managers of socially responsible companies are guaranteed to make ethical decisions, regardless of the situation.

What is the role of the CEO in setting the ethical tone for a company?

A socially responsible business might move beyond minimal safety requirements by providing employees with ergonomically correct chairs.

Companies typically enter into cause-related marketing programs to help a not-for-profit organization achieve a worthy cause and have little expectation that this partnership will benefit their own brand.

What is the term for the donation of time and/or money to not-for-profit organizations in an effort to support charitable causes?

Which of the following terms refers to the use of marketing partnerships between businesses and not-for-profit organizations that are designed to spike sales for the company and raise money for the not-for-profit organization?

Core stakeholder groups for most businesses are employees, customers, investors, and the broader community.

Which of the following refers to the systematic evaluation of how well a firm is meeting the goals of ethics and social responsibility?

Managers should not be expected to apply ethical guidelines to issues that directly affect their company's profits.

Describe how being socially responsible can financially benefit an organization's shareholders.

What is the purpose of a code of ethics? Describe four of the seven steps that experts say will result in an effective code of ethics.