Deck 3: Ethics & Social Responsibility

Question 1

When writing codes of ethics,businesses must ensure their codes deal with every possible situation.

Answer 1

False
Codes that are too detailed encourage employees to substitute rules for judgment.

Question 2

Studies suggest that ethical beliefs vary only a little from culture to culture.

Answer 2

True

Question 3

The media is identified by the text as one of the six modes of social control in an open and democratic society.

Answer 3

True

Question 4

Sustainability refers to a business's concern for society's welfare.

Question 5

For most employees a simple list of "dos and don't's" are enough to maintain ethical behavior,and ethical training would be redundant.

Question 6

The most basic argument for social responsibility is that it is simply the right thing to do.

Question 7

Because social responsibility has proven to have a limited return on investment,the number of businesses opting to act socially responsible is declining.

Question 8

Unfortunately,most businesspeople have not progressed beyond the self-centered and manipulative actions of preconventional morality.

Question 9

The foundation for the pyramid of corporate social responsibility is philanthropic responsibility.

Question 10

Moral relativists believe in absolute rules.

Question 11

Suppliers are considered stakeholders of a firm.

Question 12

Morals are rules people develop as a result of cultural values and norms.

Question 13

Everyone agrees that cause-related marketing is beneficial.

Question 14

When Laurie uses her Target Visa card at the store,Target donates 1% of her purchase to her children's school.This is an example of cause-related marketing.

Question 15

Whenever faced with a difficult customer,the owner of the shoe store remembered what the original store founder,his grandfather,had done in similar situations and did the same.In other words,the grandson based his decision on the deontological ethical theory.

Question 16

The six modes of social control are less important today due to the globalization of the world.

Question 17

The deontological theory of ethics is founded on the ability to predict the consequences of an action.

Question 18

While there are plenty of benefits for a socially responsible company,there is no clear-cut determination that ignoring social responsibility will have an adverse impact.

Question 19

A code of ethics can be an effective internal control on behavior,which is more desirable than external controls like government regulations.

Question 20

Top managers who behave ethically can influence others in an organization to behave ethically.

Question 21

All of the following are one of the six modes of social control EXCEPT:

A) an active civil society
B) laws
C) the corporation
D) the media
E) self-regulation

Question 22

According to _____,the choice that yields the greatest benefit to the most people is the choice that is ethically correct.

A) utilitarianism
B) deontology
C) fundamentalism
D) moral relativism
E) causal thinking

Question 23

One key to success of a cause-related marketing campaign is transparency.That is,the company should clearly state how the money is raised and how much will be going to the charity or other cause.

Question 24

After the Civil War,the U.S.military was ordered to the American West to remove the Indians from large tracts of land and confine them to reservations.While this practice may seem ethically wrong to us today,U.S.soldiers fought hard to prevent the Indians from disobeying the law as written by the federal government.Even though some were sympathetic to the Indian's plight,most of them adhered to a _____ view of ethical behavior and strove to perform their duty as directed by the law.

A) reactive
B) deontological
C) fundamental
D) moral relativist
E) casuist

Question 25

How does self-regulation influence social control?

A) It is the voluntary acceptance of standards established by nongovernmental entities.
B) It allows everyone who wants to know to be informed about your behavior.
C) It is the acceptance of laws as a necessary evil.
D) It uses informed consumers to maintain ethical adherence.
E) It does not influence social control.

Question 26

Defenders of Wildlife is a United States non-profit organization founded in 1947 out of concern for perceived cruelties of the use of steel-jawed leghold traps for trapping fur-bearing animals.They were advocates for the Endangered Species Act in the United States through lobbying and by using the legal system for the protection of endangered or threatened species.This organization is an example of how _____ influence(s)social control.

A) an active civil society
B) laws
C) formal and informal organizations
D) the media
E) self-regulation

Question 27

The Hippocratic Oath that all physicians take states that the physician will never deliberately harm anyone for anyone else's interest and to avoid attempting to do things that other specialists can do better.This oath is an example of how _____ influences social control.

A) an active civil society
B) laws
C) formal and informal organizations
D) the media
E) self-regulation

Question 28

Due to information provided by the news media,authorities in Arizona were able to close down C.P.Direct,a Scottsdale company that sold more than $74 million worth of pills that it claimed would enhance one's mental abilities.This is one example of how the media serves as a mode of:

A) cultural backstop
B) social control
C) ethical mediation
D) social mentoring
E) ethical awareness

Question 29

One drawback of the _____ is that there may not be a set of similar examples for a given ethical dilemma.

A) virtue theory
B) deontological theory of ethics
C) utilitarian theory
D) theory of moral relativism
E) casuist ethical theory

Question 30

The _____ states that people should adhere to their obligations and duties when analyzing ethical dilemmas.

A) virtue theory
B) deontological theory of ethics
C) utilitarian theory
D) theory of moral relativism
E) casuist ethical theory

Question 31

_____ refers to the moral principles or values that generally govern the conduct of an individual or a group.

A) Righteousness
B) Social consensus
C) Sustainability
D) Virtue
E) Ethics

Question 32

"Politicians cannot avoid causing the death of innocent people if they try to keep public expenditure in check or help maintain a semblance of international order." Which ethical theory is most likely to accept the preceding statement as true?

A) utilitarianism
B) deontology
C) fundamentalism
D) moral relativism
E) causal thinking

Question 33

Which ethical theory compares a current ethical dilemma with examples of similar ethical dilemmas and their outcomes,thus allowing one to determine the severity of the situation and to create the best possible solution according to others' experiences?

A) virtue theory
B) deontological theory of ethics
C) utilitarian theory
D) theory of moral relativism
E) casuist ethical theory

Question 34

Which of the following statements describes ethics?

A) Ethics are the moral principles or values that generally govern the conduct of an individual.
B) Ethics is the standard of behavior by which conduct is judged.
C) Morals are a foundation for ethical behavior.
D) Ethical values are situation specific and time oriented.
E) All of the statements describe ethics.

Question 35

All of the following are ethical theories relevant to marketing EXCEPT:

A) deontology
B) attribution theory
C) utilitarianism
D) casuist ethical theory
E) moral relativism

Question 36

After the Civil War,the U.S.military was ordered to the American West to remove the Indians from large tracts of land and confine them to small reservations on land that was deemed worthless.Indian children were removed from their parents and sent to schools that tried to turn the Indian children into models of good U.S.citizens.While this practice may seem ethically wrong to us today,politicians knew that the demand of the U.S.population for more land could only be achieved if the smaller Indian population was made to accede to the wishes of the majority.This is an example of the application of:

A) utilitarianism
B) deontology
C) fundamentalism
D) moral relativism
E) causal thinking

Question 37

Which ethical theory is founded on the ability to predict the consequences of an action?

A) theory of virtue
B) deontological theory
C) utilitarian theory
D) moral relativism
E) casuist theory

Question 38

The two types of utilitarianism are _____ and _____ .

A) primary; secondary
B) causal; superfluous
C) consideration; evoked
D) proactive; reactive
E) act; rule

Question 39

Rainforest Action Network (RAN)campaigns for the forests,their inhabitants and the natural systems that sustain life.RAN relies on grassroots organizing,media stunts,and the occasional use of non-violent civil disobedience to pressure corporations into publicly adopting environmental policies that address issues ranging from deforestation to global warming.RAN uses an active civil society to direct:

A) cultural backstop
B) social control
C) ethical mediation
D) social mentoring
E) ethical awareness

Question 40

According to _____ utilitarianism,self-defense is legally justified while murder is not.

A) rule
B) fundamental
C) causal
D) proactive
E) deontological

Question 41

One approach to developing a personal set of ethics is to:

A) rely solely on one's personal character to determine what action to take
B) stress the importance of rules
C) ignore problems associated with the magnitude of consequences
D) avoid examining the consequences of particular acts
E) never trust your own behavioral instincts

Question 42

Why do corporations engage in ethics training?

A) because it reduces the potential harm of questionable acts
B) because it is a reactive way to protect organizations from legal action
C) because it helps employees put good ethics into practice
D) because the federal government requires it of all businesses with more than 100 employees
E) because it guarantees ethical behavior among employees

Question 43

People who believe in the _____ judge according to time-and-place ethics.

A) virtue theory
B) deontological theory of ethics
C) utilitarian theory
D) theory of moral relativism
E) casuist ethical theory

Question 44

Which level of ethical development moves from an egocentric viewpoint toward the expectations of society?

A) postconventional morality
B) conventional morality
C) preconventional morality
D) secondary morality
E) primary morality

Question 45

In the _____ stage of ethical development,loyalty and obedience to the organization or to society become paramount.

A) preconventional morality
B) transformationalism
C) conventional morality
D) postconventional morality
E) actualized morality

Question 46

Which of the following is an unethical practice marketing managers may have to deal with?

A) entertainment and gift giving
B) false or misleading advertising
C) price deception
D) unsafe products or services
E) all of these choices

Question 47

Proponents of the _____ hold that solving ethical dilemmas requires training and that individuals solve ethical dilemmas when they develop and nurture a set of character traits valued as being good.

A) virtue theory
B) deontological theory of ethics
C) utilitarian theory
D) theory of moral relativism
E) casuist ethical theory

Question 48

All of the following statements about the creation of a code of ethics are true EXCEPT:

A) A written code helps employees avoid confusion when determining whether their decisions are ethical.
B) A code can be an effective internal control on behavior.
C) The process of formulating the code facilitates discussions that ultimately create better decisions.
D) A code helps employees identify what their firm recognizes to be acceptable business practices.
E) A code guarantees ethical behavior among a firm's employees.

Question 49

With regard to ethical decision making,an individual should ask themselves all of the following EXCEPT:

A) Would individuals or groups,particularly customers,be upset if they know about my decision?
B) Is my decision fair to all concerned?
C) Would I prefer to avoid the consequences of my decision?
D) How likely is it that I will be caught?
E) Will I have to pull rank or use coercion to implement my decision?

Question 50

Like many other professional organizations and businesses,the American Marketing Association has developed a formal,written guideline to help its members make better ethical decisions.This document is a:

A) behavioral practice
B) moral ruling
C) code of ethics
D) direction of value
E) principled regulation

Question 51

Hallie is a calculating,self-centered salesperson.She never engages in relationship marketing.She looks on any sales situation as a "win-lose" situation,and she believes any legal method she can use is justified when she wins.Hallie is most likely at the _____ stage of ethical development.

A) preconventional morality
B) transformationalism
C) conventional morality
D) egocentrism
E) basic morality

Question 52

Ruthanne Ross is a sales manager for Pampered Chef,a company that sells kitchen tools and other aids for cooking through party plans.She is very concerned about making sure her salespeople understand the importance of treating each customer fairly and developing long-term relationships with them.She asks that before a sale is made,the salesperson should make sure customers can afford the items and are not buying due to social pressures.Ross is most likely at the _____ stage of ethical development.

A) preconventional morality
B) transformationalism
C) conventional morality
D) postconventional morality
E) actualized morality

Question 53

The _____ stage of ethical development represents the morality of the mature adult.

A) preconventional morality
B) transformationalism
C) conventional morality
D) postconventional morality
E) actualized morality

Question 54

People who believe in the _____ do not believe in absolute rules.Their beliefs center on the pressure of the moment and whether the pressure justifies the action taken.

A) virtue theory
B) deontological theory of ethics
C) utilitarian theory
D) theory of moral relativism
E) casuist ethical theory

Question 55

Which of the following factors will influence ethical decision making and judgments?

A) likelihood of stakeholder responsibility
B) proactive nature of organizational sustainability
C) potential magnitude of the consequences
D) probability of ethical consensus
E) consequence of adjacencies

Question 56

Ethical development can be thought as having three levels.The most basic,childlike level is the _____ stage.

A) preconventional morality
B) transformationalism
C) conventional morality
D) postconventional morality
E) actualized morality

Question 57

People who believe that ethical truths depend on the individuals or groups holding them are referred to as:

A) moral relativists
B) casuists
C) virtuists
D) ethicalists
E) normative utilitarians

Question 58

The _____ is a moral philosophy that emphasizes character rather than rules or consequences.

A) virtue theory
B) deontological theory of ethics
C) utilitarian theory
D) theory of moral relativism
E) casuist ethical theory

Question 59

_____ are the rules that people develop as a result of cultural values and norms.

A) Virtues
B) Ethics
C) Socialization
D) Conscience
E) Morals

Question 60

All of the following are factors influencing ethical decision making and judgments EXCEPT:

A) rate of prosecution
B) top management actions on ethics
C) probability of a harmful outcome
D) number of people to be affected
E) social consensus

Question 61

At which level of the pyramid of corporate social responsibility must a business "play by the rules"?

A) economic
B) philanthropic
C) legal
D) ethical
E) conformist

Question 62

Which of the following could be a stakeholder of a corporation?

A) employee
B) customer
C) local citizen
D) supplier
E) all of the above

Question 63

NSTAR Gas & Electric Company in Boston provides continuing financial support for an injury prevention program run by the Children's Hospital Boston.This funding is an example of:

A) corporate social responsibility
B) ethical conveyance
C) a duty to engage in cause marketing
D) a right to engage in social marketing
E) multiculturalism

Question 64

Japanese law prohibits the storage of more than 50 pounds of explosive at any single site in the nation.Every night Universal Studios Japan hosts a fireworks display.The theme park recently came under government investigation when allegations were made that the park was detonating more than 50 pounds of explosives in its nightly fireworks displays.If the allegations are true,in terms of the pyramid of corporate social responsibility,then Universal Studios Japan is not operating at a(n)_____ responsibility level.

A) legal
B) philanthropic
C) ethical
D) economic
E) cultural

Question 65

Many airlines offer passengers the option to purchase carbon offsets as an environmentally-friendly compensation for their carbon footprint.For example,Delta customers can pay $10 to a fund that plants trees as a way to offset the carbon emissions from the airplane.Some would say Delta is:

A) acting in accordance with recent rulings by the U.S.Supreme Court
B) socially responsible
C) not ethically motivated
D) demonstrating a lack of concern for diversity
E) using issue-oriented marketing

Question 66

Which theory holds that social responsibility is paying attention to the interest of every affected stakeholder in every aspect of a firm's operation?

A) stockholder theory
B) theory of reasoned action
C) attribution theory
D) theory of ethical enhancement
E) stakeholder theory

Question 67

_____ is the idea that socially responsible companies will outperform their peers by focusing on the world's social problems and viewing them as opportunities to build profit and help the world at the same time.

A) Sustainability
B) Philanthropy
C) Cause marketing
D) Creative ethics
E) International ethics

Question 68

The pyramid of corporate social responsibilities contains all of the following components EXCEPT:

A) economic responsibilities
B) ethical responsibilities
C) cultural responsibilities
D) legal responsibilities
E) philanthropic responsibilities

Question 69

Which of the following statements about the theory of sustainability is true?

A) Sustainability is an internal process in which companies match resources and objectives.
B) Sustainability is the idea that socially responsible companies will outperform their peers when they focus on the world's problems as marketing opportunities.
C) According to the theory of sustainability,a company cannot be socially responsible without a code of ethics and managerial support of that code.
D) According to the theory of sustainability,ethical behavior should never be viewed as the means of obtaining a competitive advantage.
E) Sustainability is only successful if it focuses on organizational strengths.

Question 70

At the most basic level,a firm must be profitable.What level of the pyramid of corporate social responsibility is this?

A) social
B) economic
C) ethical
D) legal
E) accountability

Question 71

Concern about U.S.corporations' use of illegal payments and bribes in international business dealings led to the passage of the:

A) Global Pact on Business
B) International Trade Commission Act
C) United Nations Anti-Corruption Act
D) Foreign Corrupt Practices Act
E) International Code of Business Practices

Question 72

_____ is the concern of business for the long-range welfare of both the company and its relationships to the society within which it operates.

A) Consumerism
B) Corporate social responsibility
C) Cultural sensitivity
D) Conventional morality
E) Environmental consideration

Question 73

Corporate social responsibility is defined as the:

A) belief that the legal system defines ethical behavior
B) development of inclusive codes of ethics
C) rules by which social rewards are attained
D) concern for social welfare by businesses
E) coordination of social programs for publicity purposes

Question 74

One of the favorite foods in Thailand is shark fin soup.A San Francisco-based organization claimed the soup made by its leading producer contained mercury poison,yet the leading producer of shark fin soup wanted to continue selling the soup because it believes it has a responsibility to its investors to be profitable.In terms of the pyramid of corporate social responsibility,this indicates that the soup manufacturer was operating at a(n)_____ responsibility level.

A) legal
B) philanthropic
C) ethical
D) economic
E) cultural

Question 75

For every home built by Habitat for Humanity,Whirlpool Corporation has given and continues to give free kitchen appliances to the deserving family.This donation of appliances is an example of how companies assume their:

A) corporate social responsibility
B) ethical conveyance
C) duty to engage in cause marketing
D) right to engage in social marketing
E) multiculturalism

Question 76

The four components of the pyramid of corporate social responsibility are:

A) sustainability,creativity,profit,and culture
B) organizational culture,creativity imagery,economic performance,and objectivity
C) organizational,financial,social,and cultural responsibilities
D) sustainability,legality,creativity,and competition
E) economic,legal,ethical,and philanthropic responsibilities

Question 77

In the future,electrical power may come from quantum nucleonics,a form of nuclear power that produces no residual radiation.The ability to use this form of power will require equipment adaptations,but it will solve the world's need for clean and efficient power.Companies that replace inefficient sources of power with quantum nucleonics only after they are required to by the Environmental Protection Agency (EPA)are operating at a(n)_____ responsibility level.

A) legal
B) philanthropic
C) ethical
D) economic
E) cultural

Question 78

Novartis created the Novartis Research Institute for Tropical Diseases in Singapore.The institute is unique because it is a not-for-profit organization that focuses on the discovery of new drugs for the treatment of neglected diseases,such as dengue fever and tuberculosis.Not only is this good business,it is also:

A) mandated by Supreme Court rulings
B) socially responsible
C) not ethically motivated
D) demonstrating a lack of concern for diversity
E) using environmental marketing

Question 79

The _____ prohibits U.S.corporations from making illegal payments to public officials of foreign governments to obtain business rights or to enhance their business dealings in those countries.

A) Fortune 500 Pact on Business
B) International Trade Commission Act
C) United Nations Anti-Corruption Act
D) Foreign Corrupt Practices Act
E) Sherman Anti-Bribery Act

Question 80

Critics of the Foreign Corrupt Practices Act contend that the act has:

A) hindered the growth of developing nations
B) created a competitive disadvantage for U.S.businesses
C) promoted a negative image of American businesspeople
D) given U.S.businesses an unfair advantage over companies in the host country
E) encouraged deceptive advertising