Question 1

The practice of respecting basic rights in international transactions ensures that .&#10;A)a moral minimum will be respected&#10;B)no ethical transgressions will take place&#10;C)everyone will agree on all ethical standards&#10;D)everyone will understand each other culturally

Accepted Answer

Respecting basic rights in international transactions ensures that at least a moral minimum is respected. However, this does not guarantee that no ethical transgressions will take place or that everyone will agree on all ethical standards. Understanding cultural differences is also important but is not directly related to the practice of respecting basic rights.

Question 2

The relativist view on confronting different systems of business ethics says that .&#10;A)the same ethics should be practiced in other countries as at home&#10;B)ethical systems do not vary greatly between countries&#10;C)one should follow whatever practices are accepted in a certain place&#10;D)no one knows what the ethically correct way of doing business is

Accepted Answer

The relativist view holds that ethical systems vary greatly between cultures and that individuals should follow whatever practices are accepted in a certain place. This means that ethical practices in one country may not be applicable or even acceptable in another country, and there is no universal standard for business ethics.

Question 3

Justice must be strongly considered in international operations mainly because .&#10;A)multinational corporations often are not familiar with local laws&#10;B)foreign investment most often benefits the rich rather than the poor&#10;C)globalized businesses tend to make more profits than other companies do&#10;D)multinational corporations have a duty to aid developing countries

Accepted Answer

Foreign investment often benefits the rich rather than the poor, raising concerns about equity and fairness, which necessitates a strong consideration of justice in international operations.

Question 4

The absolutist view on confronting different systems of business ethics ignores the fact that .&#10;A)people may disagree over the correct ethical standards&#10;B)ethical standards come from cultural views current in a location&#10;C)ethical standards in other countries may not be the same as those one is used to&#10;D)one may have to lower one's standards in order to business effectively

Accepted Answer

The answer of The absolutist view on confronting different systems...

Question 5

Wage standards in developing countries are often very low mainly because .&#10;A)wages are not set by the market&#10;B)developing countries do not have as many factories&#10;C)local politics prevents workers from campaigning for higher wages&#10;D)workers are willing to work for much less than someone comparable in the United States

Accepted Answer

Wages in developing countries are often set by the government, which may not take into account the market value of labor. This can lead to wages that are below the market rate, which can make it difficult for workers to earn a living wage.

Question 6

ABC Corporation is an American company that wishes to do business with Rimonter,a corporation located in Asia.Rimonter has the standard practice of requiring an undocumented payment of $50,000 to a charitable organization headed by Rimonter's CEO.This payment is required in exchange for securing a manufacturing contract with Rimonter Corporation.In response to Rimonter's demand,ABC Corporation should .

A)agree to pay the $50,000 to the charitable organization but document the payment
B)refuse to pay $50,000 to the charitable organization but offer to pay $10,000 instead
C)refuse to pay $50,000 to the charitable organization and look for a different business partner
D)agree to pay the $50,000 to the charitable organization in installments of $10,000 over the next 5 years

Accepted Answer

ABC Corporation should refuse to pay the $50,000 to the charitable organization as it is an undocumented payment and can be seen as bribery, which is unethical and illegal. Instead of compromising their integrity, ABC Corporation should look for a different business partner that does not engage in such practices. Paying the money or offering a lower amount can be seen as participating in corrupt practices and can harm the reputation of ABC Corporation.

Question 7

An internationally agreed-upon code of ethics includes an emphasis on .&#10;A)profitability&#10;B)human rights&#10;C)politics&#10;D)abiding by the law

Accepted Answer

An internationally agreed-upon code of ethics typically emphasizes human rights, as it is important to ensure that individuals are treated fairly and with respect. While abiding by the law is also important, it is not the sole focus of a code of ethics. Profitability and politics are generally not main concerns in ethical codes.

Question 8

One of Richard DeGeorge's guidelines for multinational corporations is that .&#10;A)they should carry out actions that benefit their home country&#10;B)they should conform to the ethical expectations of the local culture&#10;C)they should pay their employees the same as they pay their domestic employees&#10;D)they should do more good than harm for the host country

Accepted Answer

DeGeorge's guideline is that multinational corporations should do more good than harm for the host country. This means that they should not only conform to the ethical expectations of the local culture but also ensure that their actions benefit the host country. This guideline emphasizes the importance of multinational corporations being responsible and ethical in their actions towards the countries they operate in.

Question 9

Why is it not ethically sufficient for multinational corporations to simply follow the laws of the countries in which they do business?&#10;A)Unethical practices may be legal in other countries.&#10;B)Corporations are bound by the laws of their home country.&#10;C)Some of the laws in foreign nations may be unenforceable.&#10;D)Laws in other countries may unduly restrict business.

Accepted Answer

Following only the laws of the countries in which corporations do business is not sufficient because unethical practices may still be legal in those countries. Multinational corporations have a responsibility to uphold ethical standards, even if those standards go beyond what is legally required in certain countries.

Question 10

The absolutist position on morality places the responsibility for setting standards on .&#10;A)the local people where business is conducted&#10;B)the visitor to a foreign country&#10;C)the government of the country where business is conducted&#10;D)a single impartial and ethically ideal observer

Accepted Answer

The absolutist position on morality places the responsibility for setting standards on the government of the country where business is conducted because they have the authority to enforce laws and regulations that protect the rights of individuals and the environment.

Deck 14: International Business Ethics