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WorksheetsChapter 2
Total questions: 55
Worksheet time: 28mins
What distinguishes business ethics from social responsibility?
Ethics concerns PR (Public Relations); SR (Social Responsibility) concerns taxes
Ethics applies to firms; SR only to NGOs (Non-Governmental Organization)
Ethics is about individual choices; SR is about firm-wide impact
Ethics sets industry customs; SR sets legal mandates
The acceptability of behavior in business is shaped by the firm and which other groups?
Trade groups only
Media only
Customers, rivals, regulators, publics
Investors and lenders
Which best contrasts legal compliance and business ethics?
Ethics = PR; compliance = accounting
Compliance is personal; ethics is corporate
Legal = ethical
Law sets minimums; ethics asks what is right or fair
An ethical issue most nearly is:
Any legal dispute
A media crisis
A choice judged as right/wrong or ethical/unethical
Any low-profit decision
Bribery is best defined as:
A tax-deductible donation
Research honoraria
Any gift over $25
Value given to sway a decision
Across cultures, a 'gift' in one setting may be a bribe in another. This shows that ethics is:
Set by HQ only
Irrelevant to sales
Fixed by treaties
Contextual to culture
Misuse of company time commonly includes:
Mandatory training
Approved overtime
Volunteer day
Personal social media and non-work browsing
Workplace bullying involves:
Enforcing rules
Tough debate
Targeted belittling and hostile conduct
Any bad review
To curb misuse of resources, firms should:
Cut IT support
Remove printers
Set clear acceptable-use policies
Block all internet
A conflict of interest arises when an employee:
Works extra hours
Follows policy
Seeks personal gain at the firm's expense
Reports hazards
Insider trading is:
Reading analyst notes
Using material, nonpublic information
Lunch-break day trading
Trading on public calls
Fairness and honesty minimally require that firms:
Max profits always
Publish all secrets
Obey law; avoid deception and coercion
Ignore rivals
A communication-ethics failure occurs when a firm:
Shares trial data
Discloses risks fully
Delays recalls despite known hazards
Sends safety bulletins
Employees who feel pressure to bend rules most often identify pressure from:
Customers
Competitors
Top/middle managers
Regulators
Plagiarism in business is:
Mis-citing a source
Re-using your own memo
Competitive benchmarking
Passing off others' work as your own
Ethical choices are shaped jointly by:
Market share, price, cost
Strategy, structure, systems
Law, finance, audit
Personal values, peer/manager influence, opportunity
A code of ethics is a formal document that:
Applies to executives only
Replaces laws
Removes all ambiguity
States expected conduct and guidance
Firms with codes, training, and hotlines see employees more likely to:
Exit the firm
Hide misconduct
Report observed misconduct
Ignore issues
Whistleblowing means:
Posting product reviews
Suing in court
Exposing employer wrongdoing to outsiders
Telling a line manager only
Media coverage of ethics tends to:
Focus on small firms only
Ignore ethics
Emphasize misconduct
Highlight good deeds
Corporate citizenship refers to a firm meeting:
Only tax deadlines
A PR slogan
Economic, legal, ethical, and voluntary duties
A mandate for public ownership
Greenwashing is:
Recyclable design only
Full life-cycle analysis
Audited ESG metrics
Mislabeling a product/practice as 'green'
In this text, business ethics is defined as:
Industry customs written into statute
Firm rules for crisis PR
Private values unrelated to the workplace
Principles and standards guiding acceptable conduct in business
The acceptability of behavior in business is shaped by the organization and:
Stakeholders such as customers, competitors, interest groups, the public, and personal values
Courts only
Audit firms alone
News outlets and ratings agencies
A common driver of unethical conduct discussed in the chapter is:
Surplus slack
Overly aggressive financial or business targets
Too many voluntary programs
Heavy antitrust oversight
Which set reflects typical ethical-issue categories in the text?
Branding, patents, hedging, IPOs
Climate taxes and trade gaps
Logistics and customs forms
Abusive behavior; conflicts of interest; fairness/honesty; communications; misuse of resources
Misuse of company time most often refers to:
Personal social media and non-work browsing during work hours
After-hours calls
Long vacations
Unapproved overtime only
The Ralph Lauren example suggests self-reporting and cooperation may lead to:
No penalties in every case
Automatic recovery of bribe money
Reduced sanctions and non-prosecution agreements
No investor disclosure duty
An ethical issue in this chapter is:
A choice that must be judged as right/wrong or ethical/unethical
Any profit-reducing choice
Any media controversy
A routine contract dispute
Codes + training + hotlines tend to:
Eliminate retaliation risk
Raise reporting of observed misconduct and strengthen culture
Replace internal controls
Lower reporting rates
CSR in this text comprises which four areas?
Political, tech, finance, philanthropy
Compliance, lobbying, PR, risk
Economic, legal, ethical, philanthropic
Marketing, operations, finance, HR (Human Resoures)
In the staged CSR (Corporate Social Responsibility) view, financial viability is:
Optional
Synonymous with philanthropy
Superseded by labeling rules
The economic base preceding legal/ethical/philanthropic actions
Corporate citizenship here refers to meeting:
Legal, ethical, economic, and voluntary duties to stakeholders
Public-ownership mandates
Nonprofit tax status
PR milestones only
Consumerism is defined as activities that:
Guide public procurement
Build luxury brands
Protect consumer rights by individuals and groups
Replace arbitration
Highlighted consumer rights include the rights:
To taxation, voting, borrowing, exporting
To safety, to be informed, to choose, to be heard
To privacy, warranty, redress, price stability
To employment and subsidies
Workforce policies cited as supportive include:
Mandatory overtime for all
Pay-secrecy bans only
Day-care support, flex-time, job sharing, and telecommuting
Ending performance reviews
A major employer duty is to provide:
Unlimited leave for every role
Lifetime contracts
Guaranteed biennial promotions
Equal opportunity regardless of sex, age, race, religion, or nationality
Moving from rule-based to integrity-based programs tends to:
Support trust, efficiency, and outcomes like employee satisfaction and loyalty
Remove all reputation risk
Make training unnecessary
Undercut profits generally
On media visibility, the text notes that investigative and online sources have:
Reduced ethics exposure
Increased public awareness of misconduct
Limited ethics to journals
Left it to print only
Regarding culture and misconduct, the chapter argues that:
Culture doesn't matter
Strong cultures end all misconduct
Cultures that tolerate rule-bending often enable unethical acts
Culture is only regulator-driven
"Business ethics" refers to the principles and standards that guide acceptable conduct inside business organizations.
True
False
"Social responsibility" is not only about voluntary philanthropy; it also involves economic performance, legal compliance, and ethical duties.
True
False
The acceptability of behavior in business is shaped not just by the company but also by customers, competitors, regulators, interest groups, and the public.
True
False
Workplace bullying involves targeted intimidation or belittling that creates a hostile environment.
True
False
Insider trading uses material, non-public information to trade securities and raises serious conflicts of interest.
True
False
Misuse of company resources/time can include using company devices for personal activities (e.g., social media, online shopping) during work hours and often hurts productivity.
True
False
Ethics programs that shift from pure compliance to integrity/culture-based approaches are generally seen as good for performance.
True
False
Whistleblowing occurs when an employee reports organizational wrongdoing to external parties (e.g., regulators or the media).
True
False
Corporate citizenship focuses only on profits and ignores legal, ethical, or voluntary responsibilities.
True
False
A key driver of ethical behavior is opportunity, which is shaped by rules, controls, and enforcement, alongside personal values and manager/peer influence.
True
False
A code of ethics is effective only when it is communicated, trained, and enforced; a “code on the shelf” tends to fail.
True
False
A conflict of interest exists when personal gain could interfere with duty to the organization, even if no harm has yet occurred.
True
False
It is acceptable to reuse someone else’s report verbatim without attribution if the source is publicly available.
True
False
Incentive plans that reward results regardless of how they are achieved can undermine an ethical culture.
True
False
Insider trading laws apply only to buying shares, not to selling them.
True
False
