Deck 12: Distributing and Promoting Products and Services

Question 1

The first step in ethical decision-making is to recognize an ethical issue.

Answer 1

True

Question 2

There are five main sources of ethical standards: utilitarian,rights,fairness or justice,common good and virtue approaches.

Answer 2

True

Question 3

Personal ethics are what guide us in making the right decisions.

Answer 3

True

Question 4

The utilitarian approach to ethical standards suggests that equals should be treated equally.

Question 5

The Sarbanes-Oxley Act impacts both big and small business,investors and employees.

Question 6

Corporate philanthropy includes the actions the company takes that could affect others.

Question 7

The first step to improving America's business ethics is for top management to adopt and unconditionally support an explicit corporate code of conduct.

Question 8

The objective of compliance-based ethics codes is to avoid criminal misconduct.

Question 9

Compliance-based ethics codes define the organization's guiding values.

Question 10

Religion and culture are generally our source of ethics.

Question 11

Illegal means you could be fined or imprisoned by a court of law for engaging in a particular action.

Question 12

Ethics is our understanding of the standards of moral behavior-behavior toward others that is accepted by society as right versus wrong.

Question 13

Corporate responsibility is an indicator of social responsibility that includes the actions the company takes that could affect others.

Question 14

The Sarbanes-Oxley Act affects only the leaders of a business.

Question 15

Ethics is our understanding of behavior that is lawful.

Question 16

Corporate social responsibility is the concern businesses have for the welfare of society.

Question 17

One of the components of the Sarbanes-Oxley Act is to set forth new penalties for boards of directors,accounting firms and management if inaccurate or fraudulent financial reporting is found.

Question 18

Most Americans have moral boundaries that are absolute.

Question 19

Integrity-based ethics codes create an environment that supports ethically sound behavior and stress a shared accountability among employees.

Question 20

The best way to make ethical choices is to ask yourself the question "Will I be able to get away with it"?

Question 21

Both large and small companies participate in corporate philanthropy.

Question 22

Insider trading involves insiders of a company using private company information to further their own financial situation.

Question 23

Corporate policy and corporate responsibility are the same.
Corporate responsibility is an indicator of social responsibility that includes the actions the company takes that could affect others.Corporate policy is the position a firm takes on social and political issues.

Question 24

It is in the best interest of companies to be socially responsible,as it creates more loyal customers,shareholders and employees and benefits society.

Question 25

Impressions of individual companies are shaped more by brand quality than by corporate citizenship.

Question 26

Ethical problems and issues of social responsibility are unique to the United States.

Question 27

Measuring a company's performance in social audits is simple.

Question 28

One of the surest ways of failing to please customers is by not being totally honest with them.

Question 29

Corporate responsibility includes both hiring minority workers and using energy wisely.

Question 30

The payoff for socially conscious behavior could result in new business because customers admire the company's social efforts.

Question 31

The determinants used to judge the social performance of a company are set forth in Sarbanes-Oxley.

Question 32

A pension is a promise of a steady income after retirement,assuming the employee has worked a minimum number of years with the company.

Question 33

A form of social responsibility in terms of investors includes honest bookkeeping.

Question 34

One of the groups that serves as a watchdog regarding how well companies enforce their ethical and social responsibility policies are government employees.

Question 35

A company's corporate policy refers to the position a firm takes on social and political and sometimes internal business ethics issues.

Question 36

Several international organizations have signed conventions (agreements)in an effort to fight corruption.

Question 37

A social audit is a systematic evaluation of a company's progress toward implementing programs that are socially responsible.

Question 38

All else being equal,a socially conscious company is likely to be viewed equally with a company that is not socially conscious.

Question 39

Global moral and ethical standards are much stricter than in previous years.

Question 40

Union officials serve as watchdogs regarding how well companies enforce their ethical and social responsibility policies.

Question 41

Which of the following companies was part of an ethical scandal?

A) Enron
B) WorldCom
C) Tyco International
D) All of the responses are correct

Question 42

__________ refers to our understanding of the standards of moral behavior-behavior toward others that is accepted by society as right versus wrong.

A) Social responsibility
B) The legal framework
C) Ethics
D) Corporate responsibility

Question 43

There are four types of groups that serve as watchdogs regarding how well companies enforce their ethical and social responsibility policies: socially conscious investors,union officials,customers and environmentalists.

Question 44

Corporate __________ is an indicator of social responsibility that includes charitable donations.

Question 45

The first step in the ethical decision-making process for our personal lives is to

A) Recognize an ethical issue
B) Get the facts
C) Act on your decision
D) Evaluate alternative actions

Question 46

The __________ approach refers to the idea that all equals should be treated equally.

A) Utilitarian
B) Virtue
C) Rights
D) Fairness

Question 47

The __________ approach to ethical standards suggests that the ethical action is the one that best protects and respects the moral rights of those affected.

Question 48

Which of the following statements about personal ethics is most correct?

A) "Will I be able to get away with it?" is the best question to ask yourself when making ethical choices
B) There are five main approaches that can be used when trying to make an ethical decision
C) Ethics can always be based on the law
D) All of the responses are correct

Question 49

The justness of requiring international suppliers to adhere to American ethical standards is clear-cut.

Question 50

A(n)__________ is a promise made by a company to pay a monthly dollar amount to employees who have worked a minimum number of years.

Question 51

Which of the following statements about ethics is most true?

A) Most Americans today have a strict moral code
B) There is a deep disagreement in society as to matters of right and wrong
C) Religion and culture are generally our sources of ethics
D) In a country like the U.S. it is impossible to identify common standards of ethical behavior

Question 52

Integrity-based ethics codes define the organization's guiding values,create an environment that supports ethically sound behavior and stress a shared accountability among employees.

Question 53

The __________ approach to ethical standards emphasizes that the ethical action is the one that provides the most good or does the least harm.

Question 54

A(n)__________ action is one for which you could be fined or imprisoned.

A) Unethical
B) Ethical
C) Illegal
D) Politically incorrect

Question 55

The __________ approach refers to the ethical action that best protects and respects the moral rights of those affected.

A) Rights
B) Virtue
C) Utilitarian
D) Fairness

Question 56

__________ are people who report illegal or unethical behavior.

Question 57

A social __________ is a systematic evaluation of a company's progress toward implementing programs that are socially responsible.

Question 58

Compliance-based ethics codes emphasize preventing unlawful behavior by increasing control and by penalizing wrongdoers.

Question 59

__________ refers to standards of moral behavior; that is,behavior that is accepted by society as right versus wrong.

Question 60

The moral and ethical standards by which government leaders are being judged are much looser than in previous years.

Question 61

Which of the following is a component of the Sarbanes-Oxley Act?

A) Whistleblowers received greater protection from retaliation
B) New penalties for boards of directors if inaccurate or fraudulent financial reporting is found
C) A new public agency that oversees, regulates and inspects accounting firms was founded
D) All of the responses are correct

Question 62

__________ are people who report illegal or unethical behavior.

A) Moles
B) Whistleblowers
C) Trumpeters
D) Stingers

Question 63

The leaders of a(n)__________ based ethics code are managers with the aid of lawyers and others.

A) Compliance-
B) Integrity-
C) Accountability-
D) Law-

Question 64

The __________ Act has proved to be the most comprehensive act of its kind in regard to ethics.

A) Sherman
B) Robinson-Patman
C) Wheeler
D) Sarbanes-Oxley

Question 65

__________ is an indicator of social responsibility that includes charitable donations.

A) Corporate philanthropy
B) Corporate relief efforts
C) Corporate responsibility
D) Corporate policy

Question 66

__________ emphasize preventing unlawful behavior by increasing control and by penalizing wrongdoers.

A) Compliance-based ethics codes
B) Integrity-based ethics codes
C) Law-based ethics codes
D) Control-based ethics codes

Question 67

Which of the following serves as a watchdog regarding how well companies enforce their ethical and social responsibility policies?

A) Customers
B) Suppliers
C) Workers
D) Foreign investors

Question 68

__________ is the position a firm takes on social and political issues.

A) Corporate relief efforts
B) Corporate philanthropy
C) Corporate responsibility
D) Corporate policy

Question 69

A(n)__________ is a systematic evaluation of a company's progress toward implementing programs that are socially responsible.

A) Social audit
B) Social accounting
C) Social evaluation
D) Environmental evaluation

Question 70

One of the three determinants by which we can judge social performance of a company is:

A) Corporate philanthropy
B) Corporate responsibility
C) Corporate policy
D) All of the responses are correct

Question 71

Milton Friedman argued that corporate social responsibility means:

A) Helping the less fortunate
B) Supporting volunteer efforts by employees
C) Making money for stockholders
D) All of the responses are correct

Question 72

The objective of a(n)__________ based ethics code is to avoid criminal misconduct.

A) Compliance-
B) Integrity-
C) Law-
D) Control-

Question 73

One of business's major responsibilities to society is to:

A) Create new wealth
B) Promote social justice
C) Take responsibility for improving the environment
D) All of the responses are correct

Question 74

__________ is an indicator of social responsibility that includes the actions the company takes that could affect others.

A) Corporate relief efforts
B) Corporate philanthropy
C) Corporate responsibility
D) Corporate policy

Question 75

McDonald's founding and support of the Ronald McDonald House,which house families whose critically ill children require treatment away from home is an example of:

A) Corporate philanthropy
B) Corporate responsibility
C) Corporate policy
D) All of the responses are correct

Question 76

A(n)__________ is a promise of a steady income after retirement,assuming the employee has worked a minimum number of years with the company.

A) Post-career stipend
B) Pension
C) Security payment
D) Retirement payout

Question 77

__________ involve(s)insiders using private company information to further their own fortunes or those of their family and friends.

A) Insider deficiencies
B) Insider trading
C) Closely-held trading
D) Insider trade-ups

Question 78

__________ is the concern businesses have for the welfare of society.

A) Corporate philanthropy
B) Corporate social responsibility
C) Corporate responsibility
D) Corporate policy

Question 79

__________ define the organization's guiding values,create an environment that supports ethically sound behavior and stress a shared accountability among employees.

A) Accountability-based ethics codes
B) Integrity-based ethics codes
C) Value-based ethics codes
D) Compliance-based ethics codes

Question 80

One form of social responsibility in terms of investors includes:

A) Insider trading
B) Management increasing its personal wealth
C) Honest bookkeeping
D) Reducing the workforce