During the last recession monetary contributions decreased and companies found ways to continue their philanthropic participation by asking employees to donate time to corporate social initiatives and other projects. Multiple Choice An important reason for a company to maintain its ethical reputation is Running a business in an ethical manner from the top down establishes stronger bonds between individuals on the management team. How can. It does not subtract from the bottom line; it adds to it. A. responsibility lose sales revenues Product safety it makes financial as well as moral sense to invest in companies that plan to create a better environment, Companies that try to act in a socially responsible way are likely to focus on such activities as When it comes to ethics, _________________________sets the standards for moral behavior, that is behavior defined as right or wrong. vigilantes. True or false: Social responsibility and ethical problems exist primarily in the U.S. because we have more laws about those problems. Shared accountability among employees. the fastest way to demoralize your stakeholders is to spend too much money supporting social issues, such as having employees assist in community efforts. A. code of ethics. C. writing their representatives in Congress. (D) occur in only a few countries. social auditing, Which of the following are examples of outside stakeholders that must be told about a company's ethics program? pro-current procurement. Proponents of corporate social responsibility strongly believe in benevolence; however, they still want their businesses to be profitable. If your supervisor directed you to enter false information into a sales order book and told you if you refused that you would lose your opportunity for promotion, you would probably consider this situation to be a(n), According to the text, ethical behavior begins with. The Dodd-Frank Wall Street Reform and Consumer Protection Act provides whistleblowers an award if their actions lead to an enforceable action or conviction. Source interviews were conducted for a previous version of this article. To manage these risks and the ethical obligations they imply, CDOs should work on developing institutional practices for continual learning and interaction with external experts. corporate raiders. Which of the following are examples of outside stakeholders that must be told about a company's ethics program? The companys vision, values and mission should be clearly stated and visible to both employees and clients so that the company can be held to those standards. Byron Almen, Dorothy Payne, Stefan Kostka, The Language of Composition: Reading, Writing, Rhetoric, Lawrence Scanlon, Renee H. Shea, Robin Dissin Aufses, Eric Hinderaker, James A. Henretta, Rebecca Edwards, Robert O. Self, Chapter 18 APUSH The Victorian Era 1880-1917. demanding socially responsible behavior from international suppliers, particularly in the areas of environmental standards and human rights issues. Decorating Arrangements has just completed operations for the year ended December 31, 2016. Should an instance occur, the result could be devastating to your company's finances and reputation. There are a wide variety of examples of ethical behavior in the workplace. Conversely, when unethical behavior was commonplace, the quality of service had a much-diminished impact on the success of business operations. The chief engineer has recommended against this move, however, pointing out that the cost to produce the starters would be greater than the current 8.40perunitpurchaseprice:8.40 per unit purchase price:8.40perunitpurchaseprice: PerUnitTotalDirectmaterials$3.10Directlabor2.70Supervision1.50$60.000Depreciation1.00$40.000Variablemanufacturingoverhead0.60Rent0.30$12.000Totalproductioncost$9.20\begin{matrix} Multiple choice question. Businesses that violate ethics and engage in illegal activities can be subject to costly fines and lawsuits. C. Operational initiatives Business ethics concerns ethical dilemmas or controversial issues faced by a company. She was even _____ after her solo than before. Compliance-driven ethics standards Corporate social responsibility (CSR) is based on the belief that businesses should be concerned with the welfare of __________________and not only of their owners. only with their responsibility to their shareholders The field of ethics is a branch of philosophy that seeks virtue and morality, addressing questions about "right" and "wrong" behavior for people in a variety of settings; the standards of behavior that tell how human beings ought to act. All of the following are reasons why a business should be managed ethically except: A. because it is the right thing to do. This is due to the fact that our ethics are shaped by our moral code. Practice deception regarding product safety issues. A business should be managed ethically for many reasons to maintain a good. A process-oriented approach toward data ethics is well suited for data enthusiasts with limited resources in the fast-changing world of new technologies. The best way to instill a culture of ethics among your employees is to lead by example and maintain a clear zero-tolerance policy on specific unethical behaviors, such as lying, cheating, stealing and fraud. The common good is a notion that originated more than 2,000 years ago in the writings of Plato, Aristotle, and Cicero. Explanation A business should be managed ethically because, businesses with good reputations attract customers. Personal projects The deliberative system leads to more-ethical behaviors. B. maintaining proper accounting procedures. unethical Having constant conversations and reminders makes it less likely an employee will break a rule or have a low-quality output. Workplace and colleague wellbeing. D. employee retaliation by doing the minimum needed to get by. Multiple choice question. corporate raider divisions. punishing unethical behavior and rewarding ethical behavior privately C. the increase in lawsuits used to avoid personal responsibility. Business ethics inform a company's values and goals, as well as how it runs its day-to-day operations. Financial transparency C. often experience customer loyalty problems. Unfair competitive practices in the computer industry B. ability to plan for the unexpected. C. diversity What Does Ethical Decision Making Mean? A Understanding that individual moral standards, the influence of managers and coworkers, and (C) 4 out 5 citizens volunteer an hour each week In turn, employees will trust that their leadership team is working toward the greater good of the entire company. A. guilt payments. investors. Supervisor Which set of ethics codes defines an organization's guiding values, creates an environment that supports ethically sound behavior, and stresses shared accountability? ______________ ____________ is the dimension of social responsibility that refers to a position a firm takes or statement it makes on social and political issues. Ethical behavior does not matter to investors. Startup Costs: How Much Cash Will You Need? Multiple choice question. Resource procurement and consumption practices B. varies among those who are interested in corporate responsibility. a clear set of rules and regulations 360 degrees marketeer, business strategy addict, passionate about creative projects and most importantly project teams. In one such study, led by Kaifeng Jiang, a professor at the Ohio State University Fisher College of Business, researchers examined the intersection between the quality of service a business offers and its adherence to ethical mores by looking into conditions at nearly 200 movie theaters. decreased financial donations but encouraged their employees to volunteer their time to corporate social initiatives and projects. going to lose money by providing pay raises E. All of the answers are correct. Explanation Multiple Choice Assessment-driven ethics codes, Who sets the standards of right and wrong as defined by ethics? Ethical marketing is less of a marketing strategy and more of a philosophy that informs all marketing efforts. Which of the following is a reason why a business should be managed ethically? Vanessa recognizes this as a(n) ________-based code of ethics. (B) make employers reluctant to hire those who have cheated [B] They may choose to cancel orders when there are human rights abuses. Responsible business behavior depends on the responsible behavior of each ______ in the business world. (C) likely to perform worse financially Chapter 4. Example 1. Though there are many ethical opinions that most people share, ethics will differ from person to person. B. an individual's behaviour is influenced by the behaviour of others. This is especially so when the market is very competitive, because then the customers have a lot of options and could switch to another product or service provider.. ___________ _____________ is a systemic evaluation of an organization's progress toward implementing socially responsible and responsive programs. Those who exemplify ethical behavior do the right thing regardless of whether they get credit for it. The researchers also determined that businesses could take certain steps to rectify ethical lapses that impacted performance. Which of the following is not one of the approaches associated with corporate social responsibility? Determining what is involved for a firm to be socially responsible: A. is easy. corporate social initiative [A] it reduces employee turnover An important factor in enforcing ethics codes is selecting a(n) ________ ________. it attracts and retains customers School McMaster University; Course Title COMMERCE 1E03; Type. B. What are the causes of pay discrimination in the labor market? Use the context of the sentences and what you know about the Latin root -cred- to explain your answer to each question. Reevaluating its ethics codes based on the input of its customers. Everyone with whom the business has dealings. [C] The U.S. government will use military force to enforce labor laws.. 1. shareholders There is significant pressure on U.S. companies to separate themselves from suppliers who violate human rights and environmentally progressive guidelines. If the statement "ethics is caught more than it is taught" is true, then management facilitates this by: What motivated the unethical behavior of real estate agents, lenders, and borrowers that led to the financial crisis of 2008? allow for complete anonymity, When implementing a new ethics program, businesses must also communicate the changes to outside parties such as: Motivation. The ethics code must be enforced. For many years Futura Company has purchased the standard that it installs in its standard line of farm tractors. B. The primary value of using social media to communicate CSR efforts is that it allows companies to reach broad and diverse groups, allows them to connect directly with customers in a low-cost, efficient way, and enables them to interact with specific groups more easily than through more traditional efforts. Explanation Internal auditors corporate inclusion policy An important factor in enforcing ethics codes is selecting a(n) _________________ __________________. many Americans decide what's ethical based upon the situation in which they find themselves. Top leaders from other countries have been charged with bribery, The emergence of the green movement has affected businesses by The total rent on the plant is$80.000 per period. Certain studies have revealed some of the reasons why the companies on Ethispheres ethics index may have outperformed other less-ethically-focused businesses. Explanation Your boss has prepared some questions for you to consider. formal and informal. aggregate independent appraisal. C. It is the law in the U.S. D. Employees. Multiple choice question. 2. retaliation D. companies who are perceived as being socially responsible will ultimately earn more profits for their This guide breaks down the importance of business ethics and how to establish an ethical culture in your company. social audit. A. Internet D. Ethical financial reporting practices, Resource procurement and consumption practices, 39. In other situations, traditions and customs make gifts and other bribery-type activities the long-standing practice in some nations. Economic conditions in some developing countries make child labor a necessity for the survival of families. [C] can be trusted to maintain confidentiality \text{Total production cost} & \text{\$ 9.20}\\ CSR can lead to even more profits. ___________ __________ ______________is a business's concern for the welfare of society. an individual's ethics Compliance-based ethics codes (B) 3 out of 4 citizens think they should be paid for their volunteer work The World Trade Organization (WTO) Multiple choice question. The discipline comprises corporate responsibility, personal responsibility, social responsibility, loyalty, fairness, respect, trustworthiness, and technology ethics. setting a good example. 'Business' can also mean an entity that offers goods and services for exchange, i.e., that sells things. Explanation compliance-based In "Two Kinds," how does the narrator feel after the talent show? This is the third year of operations for the company. Mistakes and misunderstandings are bound to happen in any work setting. Another reason why business ethics is important is that it can improve profitability. Defines an organization's guiding principles. A. Diversity and discrimination B. Its easier for a business to retain employees when they work for a company that they believe in. Here are two examples of strategies for engaging it: First, make more of your decisions by comparing options rather than assessing each. 22. C. Research practices With over 20 years of consulting experience across various industries throughout Australia and abroad, I am known for my ability to develop and turn creative strategies into efficient execution and excellent . Which of the following describes charitable donations by corporations to nonprofit organizations? Ethical issues are limited to for-profit organizations. D. structure and strategy. A well-implemented ethics program can also reduce losses. C. Education and training A. protecting the owners' rights and investments. True false question. Management ethics can factor into issues including coworker interactions, conflicts of interest, customer safety, honest advertising, customer information security and the responsible use of corporate resources. C. teamwork eliminates a need for personal ethics. Love to build enthusiastic and energetic teams and be a step ahead the expectations of my clients inside and outside the organization. G. R. Laczniak, M. W. Berkowitz, R. G. Brooker, and J. P. Hale (1995) provided evidence that business leaders feel unfairly . Customer privacy policies and practices (nervous). human resource support staff social media. A. additional taxes How to Get a Bank Loan for Your Small Business, How to Conduct a Market Analysis for Your Business, Guide to Developing a Training Program for New Employees. (D) businesses cannot succeed in societies that fail. ", Corporate social responsibility is when businesses are concerned that they can improve their own financial health by investing in companies whose goods and services benefit the community Companies corporate responsibility How Does 401(k) Matching Work for Employers? B. Whistleblowing C. Plagiarism Ignoring hazardous job conditions that exist in the company's facilities D. Mayhem standards. B. opportunity. Hence, a business should have a trustworthy source of finance and maintain healthy relations with financial sources like Banks, Financial Institutions, Stakeholders, etc. B. because strict global regulations require it. employees and internal public relations The mortgage bankers and real estate companies who helped create the financial crisis of 2008 were driven by, Financial and political leaders can restore trust in the free market system by: tax officials. Strategic partnering It may just be the cornerstone of your success. offering consumers more product choices, True or false: Bribery is a business practice unanimously held as an ethical violation across the globe. Deceptive advertising of medicines and toys The term business ethics refers to the set of moral principles that guides a company's conduct. It is actually a structure of moral principles and code of conduct applicable to a business. The dimension of social responsibility known as _______________ responsibility includes everything from hiring minority workers to making safe products, minimizing pollution, using energy wisely, and providing a safe work environment. Which of the following is NOT a part of an integrity-based ethics code? They need to take responsibility for what happened and be proactive in fixing it. Ethical behavior includes honesty, fairness, integrity and understanding. The dimension of social responsibility known as _________________responsibility includes everything from hiring minority workers to making safe products, minimizing pollution, using energy wisely, and providing a safe work environment. Stresses shared accountability separating themselves from suppliers who violate. A few months ago, Paulie's Pizza House, a large nationwide chain of restaurants, purchased one of its competitors, Italian Stallion Pizza Stations, for $800 million. Unethical behavior has consequences for future business, including heavy fines, expensive lawsuits and reputational damage. Multiple choice question. the federal government A set of formalized rules and standards that describe what a company expects of its employees is called a(n) Studies have found a _____ correlation between academic dishonesty and dishonesty at work. 1. Which of the following is NOT included as one of the questions we must ask when faced with an ethical dilemma? because strict global regulations require it Corporate values are: fascism social impact program. Economist Milton Friedman believed that a business's only social responsibility was to make ____________ for its owners and that anything else was socialism. B. helping others E. filing complaints with the company. Read 'Storm' by Gary Paulsen, that you can find on the internet and answer the following question. managerial policy, Studies have shown that what most influences a company's effectiveness and financial performance is: The monetary award may total as high as 30% of the amount collected for violations that exceed $1 million. A code of ethics builds trust and credibility in an organization and creates a culture of open and honest communication. [A] Influence peddling Companies that participate in CSR typically have more loyal employees and customers. [C] only to compete and make a profit D. help investors recoup their losses. Noones;C\underline{\text{\color{#c34632}No ones; C}}Noones;C. According to recent U.S. Census Bureau research volunteerism is at an all-time high, but Multiple select question. that only society's health is improved when they invest in companies whose goods and services benefit the community D. Outsiders must be told about the ethics program. Top management 1. B. being socially responsible is all about being ethical. [B] allowing management to decide the outcomes of investigations Business ethics benefits the bottom line. The authors start from the assumption that most people wish to behave ethically. government-supported direct mail campaigns A. B. philanthropy [B] passing laws to make accounting records more transparent CSR can lead to even more profits. Other times, they may feel as though they are caught between what their higher-ups want them to do and what the law requires. It seeks to promote honesty, fairness, and responsibility in all advertising. Ethical problems such as influence peddling and bribery: B. philanthropy. asking suppliers to lower their standards to be in compliance with The main principles of business ethics are based in academia and on academic writings on proper business operations. [A] relate well to employees at all levels corporate social initiative J. M. D'Aquila, D. F. Bean, and E. G. Procario- Foley (2004) reported that 97% of business leaders perceive American businesses as ethical, versus 24.5% of students. It could also mention specific protocol within the business. An ethical business will get your employees to respect your company . Studies have found a strong correlation between academic dishonesty and dishonesty at, Studies show that companies with reputations for good corporate social responsibility \text{Utilities Expense} & 500 & \text{Office Supplies} & 1,500 \\ Explanation Typically, it is the kind of information where parties in the know can benefit. analysts. To allow whistleblowers to come forward with information organizations should [D] requiring all bankers to sign ethical codes. Which of the following is the BEST reason for a business to be managed ethically? Supports ethically sound behavior Chenda Bunkasem is head of machine learning at Undock, where she is focusing on using quantitative methods to influence ethical design. Sarbanes-Oxley Ruling Multiple select question. reaches broad and diverse groups Explanation Less than 202020 percent of the eligible voters has\underline{\text{has}}has an opinion about that subject. D. Pricing practices Top management Multiple select question. Explanation 2. A. The many small choices we make daily about working or goofing off, using company phones and computers responsibly, and following safety rules, make it clear that __________ decisions start with each individual. (B) are limited to the United States This will ensure that you have trustworthy employees working for you. Think about a business that hires only family or one that gives inappropriate incentives, for example. Codes of ethics foster ethical behavior by D. Structural commitment, Corporate ________ encompasses various issues such as setting minority hiring practices, manufacturing safe products, and minimizing pollution. Businesses must abide by some basic principles. Socially conscious research organizations collect information on the social responsibility efforts of companies. cultural and accountable draw more customers, Many investors believe C. business exists only to make money for shareholders. B. Tejas Vemparala also contributed to this article. The owners of Good Eats Restaurant in St. Louis drove several hours with a van of employees, equipment, and food to donate what they could to help the storm victims. In the following sentence, circle the subject of the underlined verb. The dimension of social responsibility, which includes certain aspects such as producing low-emission vehicles, is called: A systematic evaluation of an organization's progress toward implementing socially responsible and responsive programs is called: How are U.S. companies likely to pressure foreign companies to change their standards of ethics and social responsibility? In the long run, they believe Unethical behavior by financial and real estate businesses has led to holding international suppliers to different standards than American companies must adhere to in the United States. Ethics are the standards of right and wrong set for us by society, whereas legality refers to. the collection of laws to protect society from fraud, theft, and violence. If the verb is already correct, write C above it. whistleblowers. Businesses can show their CSR in many ways. C. help laid-off employees get their jobs back. The following data have been assembled for the business: InsuranceExpense$2,000SalariesExpense$37,000ServiceRevenue80,000AccountsPayable4,300UtilitiesExpense500OfficeSupplies1,500RentExpense11,000Dividends4,500CommonStock8,500AccountsReceivable7,500Cash7,000Equipment26,600RetainedEarnings,Jan.1,20164,800\begin{array}{lrlr} A(n) _________________ ___________________ethics code creates an environment which supports ethically sound behavior by stating an organization's guiding values, shared responsibilities, and accountability. The second major meaning behind the term is . As a philosophy, ethics are the principles that guide a person's behaviour. Then, of course, there are the more serious consequences of highly unethical behavior. What does the research into business ethics say? a written code of ethics All successful businesses communicate effectively. retain better employees [B] most of those who caused the crisis going to jail not concerned with the ethical or socially responsible behavior of their international suppliers. This sort of behavior is not limited to the workplace; it can be present in every facet of life. Integrity-based ethics codes A social audit is a systematic evaluation of a company's progress toward becoming a socially responsive organization. E. A criminal lawsuit. After developing a code of ethics, it should be communicated to: A. everyone with whom the business has dealings. Multiple choice question. Multiple choice question. can encourage employees to deceive customers, Following an ethics-based approach to decision making will normally lead to higher ________. integrity-based ethics Multiple select question. lower ethical standards than in the past. leaving unethical behavior unpunished 'Business' can mean an activity of exchange. C. Accounting fraud is a branch of philosophy that seeks to address questions about moralitythat is, about concepts such as good and bad, right .