Chapter 3 Ethics 2020

Considering the potential impact on others prior to making a decision is consistent with __________ behavior.

• self-motivated

• legal

• ethical

• anti-social

Many individuals today believe that ethical behavior is determined by what is best for them at the time. This is an example of

• new age realism.

• the Golden Rule

• moral absolutes

• situational ethics

When Kira graduated with a degree in computer science, she started her software company. On her first day of operations, she posted a sign that read, "This company will always operate within the legal limits of the law." Posted where all employees could clearly see it each day, this demonstrated

• her expectation that all employees follow the laws that apply to the business.

• her aversion to cheating, stealing, and dishonesty.

• her commitment to respect the law.

• her commitment to high ethical standards of behavior.

Which statement best describes ethical behavior in the United States?

• Due to the diverse cultures that make up the U.S. it is difficult to identify common standards of ethical behavior.

• Americans will generally describe the Golden Rule as the only statement of value that they uphold.

• We can find common moral values that many Americans uphold, including respect for human life, self-control, honesty, integrity, and courage.

• The only common standards of ethical behavior in the United States are reflected in religious teachings.

A high-level manager gathers his team of supervisors together to create a new office policy that will affect all employees at the company. After receiving a verbal okay from the supervisors, he then proceeds to pass around a written form of the new policy and asks all members of the team to initial it. He explains to the supervisors that the new policy will be posted in the break rooms on each floor of corporate headquarters. If you were a part of this work team, which question would you ultimately ask yourself before initialing your approval of this policy?

• Is it legal?

• Is it a lose-lose situation?

• Is it balanced?

• How will it make me feel about myself?

Ethical dilemmas in business

• define us as being moral absolutists or moral situationalists.

• force us to make poor choices.

• often force us to choose between equally unsatisfactory alternatives.

• always end up bringing out the best in us.

Megan, Erin, and Ryan are in the middle of a heated discussion. The trio are the chief operating officers of the Frozen Fun Ice Cream Corporation and are reviewing the latest financial reports. Intense competition has resulted in decreased profits. Each of the three officers has his or her own view of how to help the company turn around.

Megan suggests cutting costs by firing union workers and hiring replacement employees at lower wages. She has asked the firm's attorney to find a loophole in the contract that will allow for this action. Erin protests, stating that Megan’s proposal is unethical and unfair. Erin believes that every stakeholder should be treated equally, and that profiting at the expense of others is reckless.

Ryan, agreeing in part with Erin, states, "We must be sensitive to all affected parties, but clearly our primary goal is to make a profit for our investors." In an attempt to resolve the conflict between Megan and Erin, Ryan offers an alternative suggestion: reduce the firm's charitable contributions until acceptable profit levels rise. Erin is outraged and reminds Ryan of the social responsibilities that Frozen Fun Ice Cream has to the community, environment, suppliers, employees, and investors.

On which of the three ethics check questions would Megan primarily focus?

• Is it legal?

• Is it fair and balanced?

• Is this a win-win situation?

• How will it make me feel about myself?

When discussing moral and ethical issues, it is helpful to remember that ethical behavior begins with

• religious institutions.

• each of us.

• law enforcement officers.

• schools.

Ethical behavior at work is learned by

• reading about why others were fired from the job.

• observing the actions of others.

• tracking the failures of those who are caught in business scandals.

• attending corporate responsibility seminars.

The Irish Plastering Corporation recently instituted a corporate ethics code. The president of the company, Seamus McHale, realized that ethical relationships are based on

• watchdogs and whistleblowers.

• fairness and honesty.

• strict penalties for illegal activities.

• a full-time compliance officer monitoring employee behavior.