Chap 2 Understanding Business Ethics and Social Responsibility

What is likely the single MOST effective step that a company can take to set ethical standards?

• Suggest that employees take ethics training.

• Post ethical rules on bulletin boards.

• State that the workplace values diversity.

• Demonstrate support from top management.

What category of ethics relates to matters such as hiring, firing, working conditions, privacy and respect?

• Behavior toward economic agents

• Behavior toward employees

• Behavior toward the organisation

• Social responsibility

When an activity benefits an individual but not the employer, what ethical dilemma has been created?

• Lack of social responsibility

• Violation of the code of conduct

• Conflict of interest

• Conflict of morals

Which of the following is the BEST description of organisational stakeholders?

• Individuals and groups that are directly affected by the practices of a company

• Individuals and businesses who own stock in a company

• The officers and key employees of an organisation

• Government regulators

Standards that help to shape behaviors towards employees, the organisation, and other economic agents are

• social responsibility.

• managerial ethics.

• values.

• morals.

What term refers to the way in which a business tries to balance its commitments to groups and individuals in its social environment?

• Business ethics

• Stakeholder consciousness

• Social responsibility

• Socialisation

What stakeholder group is being protected when managers follow proper procedures and strive to be accurate and candid in assessing future growth?

• Customers

• Employees

• Investors

• Suppliers

Ethical issues are generally based on what?

• Social responsibility

• Individual ethics

• Law

• Societal norms

In what way can the government use indirect regulation to affect social responsibility?

• Enacting laws

• Imposing fines to violators

• Providing tax incentives

• Supporting shareholders

What is the extent to which an organisation conforms to local, state, federal, and international laws known as?

• Social responsibility

• Government agency support

• Legal compliance

• Political action