Question 1

A code of ethics is irrelevant for multinational companies, since the values and priorities are rooted in different cultures.

Accepted Answer

Multinational companies operate in different countries and are exposed to various cultures and values. A code of ethics is essential to ensure consistency in ethical standards and behavior across all locations and to avoid engaging in unethical practices in some regions where they may be culturally acceptable but viewed as unethical in other regions.

Question 2

A written code of ethics is the cornerstone of an organization's formal ethics program.

Accepted Answer

A written code of ethics provides guidance for employees and stakeholders on how to conduct themselves and make ethical decisions in their roles within the organization. It serves as a foundation for the organization's ethics program, which can include training, reporting mechanisms, and enforcement measures.

Question 3

George is upset about his current salary at Right Touch Car Wash Inc. In order to increase his income, he begins to charge customers more for each car wash and pockets the difference. His actions are not unethical because Right Touch will not suffer a financial loss.

Accepted Answer

George's actions are unethical because he is essentially stealing from the company by keeping the extra money that should go into the company's profits. Even if Right Touch does not suffer a direct financial loss, it is still George's responsibility to act honestly and ethically in his role as an employee.

Question 4

The key principle of most decision guides is to make profit for the company at the expense of others.

Accepted Answer

While profit is certainly a key consideration for many decision guides, it is not typically at the expense of others. Most ethical decision-making processes strive to consider the impact on all stakeholders, including employees, customers, and the broader community. Profit is an important goal, but not the only one, and it is typically balanced against other factors such as social responsibility, environmental impact, and long-term sustainability.

Question 5

Ethical choices begin with ethical individuals.

Accepted Answer

Ethical choices are made by individuals who have ethical values and principles. It is the responsibility of the individual to make ethical choices, and it begins with having a strong sense of ethics. Therefore, ethical choices begin with ethical individuals.

Question 6

A question to ask when making a decision based on individual ethical beliefs is, "Could you defend your decision on the nightly TV news?"

Accepted Answer

Asking if you could defend your decision on the nightly TV news means that you are questioning if your decision can stand up to scrutiny and public accountability. This is a good way to ensure that your individual ethical beliefs are not solely based on personal biases or interests, but are also objectively justifiable to a wider audience.

Question 7

According to the president of the Ethics Resource Center, the ethics of a firm are strongly influenced by the CEO's ethical standards.

Accepted Answer

The president of the Ethics Resource Center stated that the ethics of a firm are strongly influenced by the CEO's ethical standards.

Question 8

A written code of ethics is a document for reference; it is never actively enforced or practiced in a company.

Accepted Answer

A written code of ethics serves as a guideline for ethical behavior and decision-making in a company and is intended to be actively enforced and practiced by employees.

Question 9

Stakeholders are any groups that have a stake­or a personal interest­in the performance and actions of an organization

Accepted Answer

Stakeholders are defined as any group or individual who can affect or is affected by the actions, decisions, policies, practices, or goals of an organization. They have a vested interest in the organization and can include owners, employees, customers, suppliers, government agencies, and the community.

Question 10

Whistle­blowers bring illegal and sometimes unethical company behavior to the attention of either the authorities or the media.

Accepted Answer

This statement is true. Whistleblowers expose illegal and unethical behavior in their companies to those who have the power to investigate and take action against such behavior, often the authorities or media.

Question 11

In order to build trust, management should respond swiftly and publicly when an ethical violation has occurred.

Accepted Answer

When ethical violations occur, it is important for management to respond quickly and publicly to show that they take the issue seriously and are committed to ethical behavior. This can help rebuild trust with employees, customers, and other stakeholders.

Question 12

Stakeholders are a group of employees who earn profit and cover up unethical practices.

Accepted Answer

Stakeholders are individuals, groups or organizations who are affected by or have an interest in the operations and outcomes of a company. They can include employees, shareholders, customers, suppliers, and the wider community. While some stakeholders may have a financial interest in the company, it is not their role to cover up unethical practices. In fact, stakeholders can hold the company accountable for ethical behavior and push for transparency and responsible business practices.

Question 13

The ethical standards a company establishes should be clearly communicated to outside parties such as suppliers and customers.

Accepted Answer

Clear communication of ethical standards is important not only for internal employees but also for external parties involved with the company. This can help establish trust and promote ethical behavior in the company's supply chain and customer interactions.

Question 14

Organizational culture has little influence on the ethical conduct of individual employees.

Accepted Answer

Organizational culture plays a significant role in shaping the ethical conduct of individual employees. It sets the tone for what is acceptable behavior and what is not, establishes expectations for decision making, and offers guidance for handling ethical dilemmas. A strong ethical culture can foster a sense of responsibility and accountability and promote ethical behavior amongst employees. On the other hand, a weak ethical culture can lead to a lack of ethical awareness and misconduct.

Question 15

In order to encourage the reporting of unethical behavior, some have suggested that whistle­blowers should receive a portion of the penalties levied against firms that violate the law.

Accepted Answer

This is known as a whistleblower reward or bounty system, where the whistleblower receives a percentage of the penalties as an incentive to report unethical or illegal behavior.

Question 16

Ben has started a small, home remodeling business. As a for­profit business, his number­one goal is to generate long­term profits.

Accepted Answer

As stated in the statement, Ben's goal as a for-profit business is to generate long-term profits.

Question 17

A written code of ethics should not reflect living principles.

Accepted Answer

A written code of ethics should accurately reflect and align with the living principles and values of the organization or profession. Otherwise, it may be seen as insincere or ineffective in guiding ethical behavior.

Question 18

A written code of conduct provides guidelines for ethical behavior in the workplace.

Accepted Answer

A written code of conduct outlines the expected behavior and standards of ethical and professional behavior in the workplace. It guides employees on issues such as respect, integrity, honesty, fairness, confidentiality, and more.

Question 19

In business ethics, ethical dilemmas are the same as ethical lapses.

Accepted Answer

Ethical dilemmas refer to situations where a decision must be made between two morally conflicting options. Ethical lapses, on the other hand, refer to instances where an individual or organization knowingly violates ethical standards or principles. While ethical dilemmas can potentially lead to ethical lapses, they are not synonymous terms.

Question 20

Companies should discourage whistle­blowing because it creates an atmosphere of fear and mistrust.

Accepted Answer

Companies should encourage whistle-blowing as it helps to prevent and expose unethical practices within the company. Creating a secure environment for reporting such practices can help in building trust and promoting transparency within the organization.

Quiz 4: Business Ethics Social Responsibility: Doing Well by Doing Good

A code of ethics is irrelevant for multinational companies, since the values and priorities are rooted in different cultures.

A written code of ethics is the cornerstone of an organization's formal ethics program.

George is upset about his current salary at Right Touch Car Wash Inc. In order to increase his income, he begins to charge customers more for each car wash and pockets the difference. His actions are not unethical because Right Touch will not suffer a financial loss.

The key principle of most decision guides is to make profit for the company at the expense of others.

Ethical choices begin with ethical individuals.

A question to ask when making a decision based on individual ethical beliefs is, "Could you defend your decision on the nightly TV news?"

According to the president of the Ethics Resource Center, the ethics of a firm are strongly influenced by the CEO's ethical standards.

A written code of ethics is a document for reference; it is never actively enforced or practiced in a company.

Stakeholders are any groups that have a stakeor a personal interestin the performance and actions of an organization

Whistleblowers bring illegal and sometimes unethical company behavior to the attention of either the authorities or the media.

In order to build trust, management should respond swiftly and publicly when an ethical violation has occurred.

Stakeholders are a group of employees who earn profit and cover up unethical practices.

The ethical standards a company establishes should be clearly communicated to outside parties such as suppliers and customers.

Organizational culture has little influence on the ethical conduct of individual employees.

In order to encourage the reporting of unethical behavior, some have suggested that whistleblowers should receive a portion of the penalties levied against firms that violate the law.

Ben has started a small, home remodeling business. As a forprofit business, his numberone goal is to generate longterm profits.

A written code of ethics should not reflect living principles.

A written code of conduct provides guidelines for ethical behavior in the workplace.

In business ethics, ethical dilemmas are the same as ethical lapses.

Companies should discourage whistleblowing because it creates an atmosphere of fear and mistrust.

Quiz 4: Business Ethics Social Responsibility: Doing Well by Doing Good

A code of ethics is irrelevant for multinational companies, since the values and priorities are rooted in different cultures.

A written code of ethics is the cornerstone of an organization's formal ethics program.

George is upset about his current salary at Right Touch Car Wash Inc. In order to increase his income, he begins to charge customers more for each car wash and pockets the difference. His actions are not unethical because Right Touch will not suffer a financial loss.

The key principle of most decision guides is to make profit for the company at the expense of others.

Ethical choices begin with ethical individuals.

A question to ask when making a decision based on individual ethical beliefs is, "Could you defend your decision on the nightly TV news?"

According to the president of the Ethics Resource Center, the ethics of a firm are strongly influenced by the CEO's ethical standards.

A written code of ethics is a document for reference; it is never actively enforced or practiced in a company.

Stakeholders are any groups that have a stake­or a personal interest­in the performance and actions of an organization

Whistle­blowers bring illegal and sometimes unethical company behavior to the attention of either the authorities or the media.

In order to build trust, management should respond swiftly and publicly when an ethical violation has occurred.

Stakeholders are a group of employees who earn profit and cover up unethical practices.

The ethical standards a company establishes should be clearly communicated to outside parties such as suppliers and customers.

Organizational culture has little influence on the ethical conduct of individual employees.

In order to encourage the reporting of unethical behavior, some have suggested that whistle­blowers should receive a portion of the penalties levied against firms that violate the law.

Ben has started a small, home remodeling business. As a for­profit business, his number­one goal is to generate long­term profits.

A written code of ethics should not reflect living principles.

A written code of conduct provides guidelines for ethical behavior in the workplace.

In business ethics, ethical dilemmas are the same as ethical lapses.

Companies should discourage whistle­blowing because it creates an atmosphere of fear and mistrust.

Stakeholders are any groups that have a stakeor a personal interestin the performance and actions of an organization

Whistleblowers bring illegal and sometimes unethical company behavior to the attention of either the authorities or the media.

In order to encourage the reporting of unethical behavior, some have suggested that whistleblowers should receive a portion of the penalties levied against firms that violate the law.

Ben has started a small, home remodeling business. As a forprofit business, his numberone goal is to generate longterm profits.

Companies should discourage whistleblowing because it creates an atmosphere of fear and mistrust.