Deck 5: Ethics and Social Responsibility

Question 1

Behaviour that is in conflict with your values and sense of right and wrong can damage your self-esteem.

Answer 1

False

Question 2

Unethical behavior is restricted to for-profit businesses only.

Answer 2

False

Question 3

Ethical behaviour looks at treating others fairly.

Answer 3

True

Question 4

Ethics are the standards of moral behaviour.

Question 5

An ethical manager's decisions are based on the following questions: "Is it legal"? and "Is it profitable"?

Question 6

Ethical behaviour refers to the standards that are accepted by society as right or wrong.

Question 7

The most basic question in business ethics is,"Is it legal"?

Question 8

Business behaviour determines the ethics of society.We can improve society's moral and ethical behaviour by first making a commitment to improving business' moral and ethical behaviour.

Question 9

Legal behaviour includes more aspects of our relationships with others than does ethical behaviour.

Question 10

Ethical behaviour requires more than following the law.

Question 11

In reality,ethical behaviour depends on the situation.For example,in negotiating a contract with your employees,the way they win higher wages is by you losing the fight to hold down labour costs.Often,it is a win-lose relationship.

Question 12

The question "Is it legal"? establishes ethical behaviour.

Question 13

Barney extends his lunch break beyond the allotted time.Wilma uses the office telephone for an unauthorized personal phone call.Fred misrepresents his product to a potential customer.All of these are examples of unethical behaviour.

Question 14

Trying to make decisions that will benefit all parties involved is consistent with the question "How will it make me feel about myself"?

Question 15

Many immoral and unethical acts fall well within our laws.

Question 16

Ethical behaviour involves the clear and easy choice of right and wrong actions toward others.

Question 17

Given the level of diversity within Canada,agreement on common standards of ethical behaviour is unachievable.

Question 18

Ethical behaviour requires individuals to decide for themselves what is right and wrong in each situation they face.

Question 19

Legal behaviour is a first step toward ethical behaviour.

Question 20

Legal behaviour and ethical behaviour are basically the same.

Question 21

Businesses with a formal code of ethics are less common now than in the past.

Question 22

A growing number of people feel that an employee's ethics are a personal matter,and have nothing to do with management.

Question 23

A code of ethics designed to avoid criminal misconduct is an example of a compliance-based ethics code.

Question 24

Integrity-based ethics codes are based on avoiding legal punishment.

Question 25

An integrity-based ethics code moves beyond legal compliance in order to create a "do-the-right-thing" climate.

Question 26

The purpose of the Sarbanes-Oxley Act is to provide financial rewards for whistle-blowers.

Question 27

Trust between workers and managers must be based on a foundation of fairness,honesty,openness,and moral integrity.

Question 28

Corporate values,like personal values,are learned by observing what others do.

Question 29

Effective corporate values start with employees and develop throughout the organization to include top management.

Question 30

Dewy Cheatum encourages his employees to create and use legal loopholes to gain a competitive advantage.This is both legal and consistent with the compliance-based code of ethics.

Question 31

Management can create an environment in which unethical behaviour can develop.

Question 32

More and more companies have written codes of conduct.

Question 33

Compliance-based ethics codes focus on preventing unlawful behaviour by increasing control and by penalizing wrongdoers.

Question 34

The brewers of Molson beer encourage their customers to drink responsibly and "know when to say when".This reflects a compliance-based approach to ethics.

Question 35

Cigarette producers label their products with warnings of potential health hazards.This is an example of a compliance-based code of ethics.

Question 36

As a manager you are responsible for the unethical behaviour of your employees.

Question 37

The majority of CEOs believe that employee misconduct results from a failure in organizational leadership in establishing ethical standards.

Question 38

Corporate standards can lead to unethical behaviour.

Question 39

Written ethics codes influence employees more than management's tolerance or intolerance of ethical misconduct.

Question 40

Avoiding lawsuits is one reason to manage a firm ethically.

Question 41

Corporate philanthropy refers to the position a firm takes on social and political issues.

Question 42

Ethical behaviour will allow a firm to meet its corporate social responsibility.

Question 43

In order to be successful,efforts to improve the ethical behaviour of businesses must begin with top management's support of a corporate code of conduct.

Question 44

People who report illegal or unethical behaviour are known as whistleblowers.

Question 45

A business that takes a public position on a political issue is exercising corporate social responsibility.

Question 46

Businesses can avoid ethical dilemmas by requiring written contracts with their employees,customers,and owners.

Question 47

"My only social responsibility is to make a profit.I will show my concern for society by providing my customers with a product that they need and desire".These statements are consistent with the concept of corporate social responsibility.

Question 48

Minority hiring practices and pollution control are both areas of corporate responsibility.

Question 49

Individuals who can set a positive tone,relate well to others and communicate effectively make the most effective ethics officers.

Question 50

An ethics officer serves both as a counselor and as an investigator.

Question 51

Businesses can have either a positive or negative impact on society,although the news coverage tends to focus on the negative.

Question 52

Defining a socially responsible company is complicated.We can't seem to agree on what being socially responsible involves.

Question 53

Businesses recognize that pressure to violate ethical standards can come from either inside or outside of the firm.

Question 54

A charitable donation by a corporation is an example of corporate philanthropy.

Question 55

A new law requiring businesses to give 90 day notice of their plans to close an office or factory was recently enacted.This action indicates the public's desire for businesses to behave in a socially responsible manner.

Question 56

To be effective,an organization's code of ethics needs to be communicated to outsiders such as suppliers,subcontractors,and customers.

Question 57

At a recent town hall meeting,citizens expressed concern regarding the impact of a proposed new gambling casino.The owner of the proposed casino responds,"I don't know what all of this fuss is about.I'm just a businessman trying to earn a profit,provide new jobs,and pay taxes".His response reflects a commitment to corporate social responsibility.

Question 58

Corporate philanthropy refers to the position a firm takes on issues that affect society.

Question 59

Enforcement is perhaps the most important step in an effective code of ethics.

Question 60

Corporate social responsibility refers to the concern businesses have for their employees.

Question 61

A problem with conducting a social audit is establishing procedures for measuring a firm's activities and its effects on society.

Question 62

Being responsible to your customers may require your firm to provide more information regarding your product than the law demands.

Question 63

Insider trading occurs when employees of a company use private company information to profit in the stock market.

Question 64

We are seeing more efforts made to reverse years of neglect to the environment.

Question 65

Ethical behaviour comes at the expense of stockholder wealth.

Question 66

A public good is one that everyone gets to enjoy regardless of who pays for it.

Question 67

In the discussion of corporate social responsibility,stakeholders and stockholders refer to the same group.

Question 68

Promoting social justice is a responsibility of society,but not businesses.

Question 69

A recent study revealed that employee theft has increased dramatically,but is still less than shoplifting.

Question 70

One responsibility of business is to satisfy customers by offering them goods and services of real value.

Question 71

Investors can profit from choosing to invest their money in companies whose goods and services benefit the community and the environment.

Question 72

Many corporations are publishing reports that document their net social contribution.

Question 73

Businesses have a social responsibility to create jobs.

Question 74

A firm's triple-bottom line looks at a company's positive economic contributions,as well as the environmental and social value they add and destroy.

Question 75

Choosing to hire a minority worker,when this applicant is equally qualified as a white male job applicant,is an example of a corporate social initiative.

Question 76

A social audit attempts to measure a firm's progress in the area of worker-management relations.

Question 77

In the long run,a firm's loyalty to their employees can pay off financially.

Question 78

Studies show that consumers are not concerned about the socially conscious behaviour of the firms with which they do business.

Question 79

Getting even is one of the most powerful incentives for good people to do bad things.

Question 80

Insider trading provides the information needed for the securities market to operate fairly and efficiently.