Question 1

Priya knows that her company has a formal code of conduct, but she does not see this code being equally and consistently applied to all employees. Priya believes that this sporadic enforcement of the formal code only enhances the ____ for committing unethical acts.

Accepted Answer

The question is asking about what is enhanced by sporadic enforcement of the formal code. The word "enhances" implies an increase in something, and in this case, that something is the potential for committing unethical acts. The only option that refers to this is "opportunity," which suggests that inconsistent application of the code creates more opportunities for employees to engage in unethical behavior. Therefore, the correct answer is A) opportunity.

Question 2

Which one of the following statements about codes of conduct (ethics) is false?

Accepted Answer

Codes of conduct do not need to be overly detailed; they should provide general guidelines and principles to guide behavior, allowing for flexibility in various situations.

Question 3

____ is (are) most likely to improve ethical behavior in a marketing organization.

Accepted Answer

Eliminating unethical individuals and improving the organization's ethical standards is the most effective way to improve ethical behavior in a marketing organization. This sends a clear message that unethical behavior will not be tolerated and also sets a higher standard of ethical behavior for the organization as a whole. Hiring goal-directed employees, allowing employees to follow their own ethical standards, and encouraging employees to identify ethical issues and decide what is right are all important, but they are not as effective as eliminating unethical individuals and improving the organization's ethical standards. Obeying the law is a minimum requirement, but it does not necessarily improve ethical behavior beyond legal compliance.

Question 4

Scenario 4.2 Use the following to answer the question.
WhiteWave Foods, producer of brands such as Silk Soymilk, specializes in manufacturing innovative and nutritious food products. Silk Soymilk was first launched in 1996 and is committed to the health of its customers, as well as the health of the planet. At Silk, they have offset all of their energy consumption with wind power, preventing over 16,000 tons of greenhouse gases from entering the atmosphere each year. Silk Soymilk is made from a mixture of organic and natural, non-genetically-modified soybeans, reducing the amount of pesticides in the air, soil, and water. Since 2002 they have been sponsoring the FarmAid concert, whose mission is to keep family farmers on their land and ensure a safe, healthy food supply for all Americans.
Refer to Scenario 4.2. Silk Soymilk's use of organic, non-genetically-modified soybeans in its product is an example of

Accepted Answer

Silk Soymilk's use of organic, non-genetically-modified soybeans is an example of green marketing, as it focuses on environmentally friendly practices and products.

Question 5

Companies that incorporate ethics and social responsibility into their strategic plans are likely to experience

Accepted Answer

Incorporating ethics and social responsibility can enhance a company's reputation, leading to improved marketing performance as consumers are more likely to support businesses they perceive as ethical and socially responsible.

Question 6

Which of the following would be consistent with Johnson Chemicals' understanding of the "bad apple" concept of improving the ethical conduct of salespeople?

Accepted Answer

The "bad apple" concept suggests that unethical conduct is primarily due to a few individuals who are "bad apples" and need to be removed from the organization. Firing unethical salespeople would be consistent with this approach.

Question 7

Codes of conduct are also frequently known as

Accepted Answer

Codes of conduct are most commonly known as codes of ethics. These codes outline the ethical principles and values that an organization or profession expects its employees or members to uphold. While codes of conduct are a part of an organization's culture and may be enforced through compliance programs, they are distinct from these concepts. Codes of conduct differ from moral codes, which are more broadly applicable and do not necessarily relate to a specific profession or organization.

Question 8

Which of the following statements about implementing an ethics and legal compliance program is false?

Accepted Answer

Implementing an ethics and legal compliance program requires periodic revision and updating to ensure it remains relevant and effective in addressing current ethical and legal issues.

Question 9

In a meeting with key personnel, Watson Corporation's president speaks to the firm's managers about social responsibility in business today. He suggests that the key to being socially responsible is to

Accepted Answer

The president suggests that monitoring changes and trends in society's values is the key to being socially responsible. This indicates an understanding of the importance of aligning business practices with societal expectations and norms. The other options, while important, are not as closely related to social responsibility in business.

Question 10

Scenario 4.1 Use the following to answer the question.
Hershey Foods was founded in the 19th century by Milton Hershey, who had a strong ethical value system: Always show integrity, be honest, and respect others. Hershey felt it was important to provide high-quality goods and services of real value at competitive prices that would provide an adequate return on investment. He also founded the Milton Hershey School, operating today as a cost-free, private home and school dedicated to helping children with social needs and limited resources. The company also focuses on environmental issues, such as reducing waste by 360,000 pounds annually by redesigning Hershey's Syrup caps. Hershey Foods has an ethics compliance program that includes a code of ethics and training, guidelines for handling legal and ethical issues, an 800 number for assistance with ethical issues, and support from supervisors and human resource managers in dealing with ethical issues. However, in the last few years, Hershey has been criticized by several advocacy groups concerning the sourcing of its chocolate from West Africa where many of the companies use child labor. While Hershey is the largest chocolate candy producer in America, it lags behind other major chocolate producers with regard to certifying its chocolate as child labor-free.
Refer to Scenario 4.1. The criticism of Hershey's sourcing for chocolate is an example of ____, while the potential use of child labor to produce Hershey products impacts its level of commitment to ______.

Accepted Answer

The answer of Scenario 4.1 Use the following to answer...

Question 11

Scenario 4.1 Use the following to answer the question.
Hershey Foods was founded in the 19th century by Milton Hershey, who had a strong ethical value system: Always show integrity, be honest, and respect others. Hershey felt it was important to provide high-quality goods and services of real value at competitive prices that would provide an adequate return on investment. He also founded the Milton Hershey School, operating today as a cost-free, private home and school dedicated to helping children with social needs and limited resources. The company also focuses on environmental issues, such as reducing waste by 360,000 pounds annually by redesigning Hershey's Syrup caps. Hershey Foods has an ethics compliance program that includes a code of ethics and training, guidelines for handling legal and ethical issues, an 800 number for assistance with ethical issues, and support from supervisors and human resource managers in dealing with ethical issues. However, in the last few years, Hershey has been criticized by several advocacy groups concerning the sourcing of its chocolate from West Africa where many of the companies use child labor. While Hershey is the largest chocolate candy producer in America, it lags behind other major chocolate producers with regard to certifying its chocolate as child labor-free.
Refer to Scenario 4.1. Hershey and its employees benefit in many ways from its strong ethics compliance program. Which of the following is not one of the benefits of such a program?

Accepted Answer

The passage does not mention inexpensive programs as a benefit of Hershey's ethics compliance program. The other options are mentioned as benefits, including enforcement and discipline of ethical infractions, better employee understanding of ethical issues, free-flowing communication within the firm regarding ethical issues, and high level of organizational guidance for employees.

Question 12

Scenario 4.1 Use the following to answer the question.
Hershey Foods was founded in the 19th century by Milton Hershey, who had a strong ethical value system: Always show integrity, be honest, and respect others. Hershey felt it was important to provide high-quality goods and services of real value at competitive prices that would provide an adequate return on investment. He also founded the Milton Hershey School, operating today as a cost-free, private home and school dedicated to helping children with social needs and limited resources. The company also focuses on environmental issues, such as reducing waste by 360,000 pounds annually by redesigning Hershey's Syrup caps. Hershey Foods has an ethics compliance program that includes a code of ethics and training, guidelines for handling legal and ethical issues, an 800 number for assistance with ethical issues, and support from supervisors and human resource managers in dealing with ethical issues. However, in the last few years, Hershey has been criticized by several advocacy groups concerning the sourcing of its chocolate from West Africa where many of the companies use child labor. While Hershey is the largest chocolate candy producer in America, it lags behind other major chocolate producers with regard to certifying its chocolate as child labor-free.
Refer to Scenario 4.1. Milton Hershey contributed resources to the community to improve the overall quality of life for consumers, employees, and the community in general. This reflected his ____ responsibility.

Accepted Answer

Milton Hershey's contribution to the community through the creation of the cost-free Milton Hershey School and his focus on environmental issues reflect his philanthropic responsibility.

Question 13

Scenario 4.2 Use the following to answer the question.
WhiteWave Foods, producer of brands such as Silk Soymilk, specializes in manufacturing innovative and nutritious food products. Silk Soymilk was first launched in 1996 and is committed to the health of its customers, as well as the health of the planet. At Silk, they have offset all of their energy consumption with wind power, preventing over 16,000 tons of greenhouse gases from entering the atmosphere each year. Silk Soymilk is made from a mixture of organic and natural, non-genetically-modified soybeans, reducing the amount of pesticides in the air, soil, and water. Since 2002 they have been sponsoring the FarmAid concert, whose mission is to keep family farmers on their land and ensure a safe, healthy food supply for all Americans.
Refer to Scenario 4.2. The use of wind power to offset energy consumption by Silk Soymilk's parent company demonstrates its commitment to

Accepted Answer

Silk Soymilk's use of wind power to offset energy consumption demonstrates its commitment to social responsibility, as it is taking steps to reduce its impact on the environment and prevent greenhouse gas emissions. This shows that the company is considering the broader social and environmental impacts of its operations, rather than just focusing on profits or marketing.

Question 14

Which of the following statements about codes of conduct is true?

Accepted Answer

While not all publicly-traded companies have formal codes of conduct, most large corporations do. It is also recommended that small- and medium-sized companies have codes of conduct, although it may not be as common as with larger companies. The percentage of large companies with formal codes of conduct may vary, but it is generally higher than half.

Question 15

Scenario 4.1 Use the following to answer the question.
Hershey Foods was founded in the 19th century by Milton Hershey, who had a strong ethical value system: Always show integrity, be honest, and respect others. Hershey felt it was important to provide high-quality goods and services of real value at competitive prices that would provide an adequate return on investment. He also founded the Milton Hershey School, operating today as a cost-free, private home and school dedicated to helping children with social needs and limited resources. The company also focuses on environmental issues, such as reducing waste by 360,000 pounds annually by redesigning Hershey's Syrup caps. Hershey Foods has an ethics compliance program that includes a code of ethics and training, guidelines for handling legal and ethical issues, an 800 number for assistance with ethical issues, and support from supervisors and human resource managers in dealing with ethical issues. However, in the last few years, Hershey has been criticized by several advocacy groups concerning the sourcing of its chocolate from West Africa where many of the companies use child labor. While Hershey is the largest chocolate candy producer in America, it lags behind other major chocolate producers with regard to certifying its chocolate as child labor-free.
Refer to Scenario 4.1. The fact that the Hershey company has recently reduced its waste by 360,000 pounds through a packaging redesign is evidence of its focus on

Accepted Answer

The fact that Hershey Foods focuses on reducing waste and environmental issues demonstrates the company's commitment to social responsibility. This goes beyond purely ethical behavior or legal compliance and shows that the company is actively seeking to make a positive impact on society and the environment.

Question 16

It is possible to improve ethical behavior in an organization by

Accepted Answer

The best way to improve ethical behavior in an organization is by improving the organization's ethical standards and eliminating unethical persons. This can be done through clear communication of ethical standards, training programs, and strict enforcement of ethical codes of conduct. Additionally, hiring ethical employees who align with the organization's values can also contribute to maintaining an ethical workplace culture. Decentralizing authority and responsibilities can lead to confusion and inconsistency in decision-making, while controlling all decisions can lead to a lack of autonomy and accountability among employees. Changing individual moral philosophies can be a difficult and subjective endeavor, and legislation can only go so far in regulating ethical behavior.

Question 17

____ are formalized rules and standards that describe what a company expects of its employees in terms of ethical behavior.

Accepted Answer

Codes of conduct are formalized rules and standards that describe what a company expects of its employees in terms of ethical behavior. They guide employees on how to handle various situations that may arise while carrying out their duties in the organization. It helps to set a standard for employees and ensure consistency in behavior across the organization.

Question 18

Scenario 4.2 Use the following to answer the question.
WhiteWave Foods, producer of brands such as Silk Soymilk, specializes in manufacturing innovative and nutritious food products. Silk Soymilk was first launched in 1996 and is committed to the health of its customers, as well as the health of the planet. At Silk, they have offset all of their energy consumption with wind power, preventing over 16,000 tons of greenhouse gases from entering the atmosphere each year. Silk Soymilk is made from a mixture of organic and natural, non-genetically-modified soybeans, reducing the amount of pesticides in the air, soil, and water. Since 2002 they have been sponsoring the FarmAid concert, whose mission is to keep family farmers on their land and ensure a safe, healthy food supply for all Americans.
Refer to Scenario 4.2. Silk Soymilk's sponsorship of the FarmAid concert is best thought of as an example of its

Accepted Answer

The answer of Scenario 4.2 Use the following to answer...

Question 19

What is the major difference between social responsibility and marketing ethics?

Accepted Answer

Social responsibility refers to the broader impact of marketing decisions on society, while marketing ethics refers to the principles and standards that guide individual and group behavior in marketing situations. Social responsibility involves considering the environmental, social, and economic impacts of marketing decisions, while marketing ethics involves ensuring that marketing practices are fair, honest, and transparent. While related, these two concepts address different aspects of marketing and require different approaches to ensure ethical and responsible decision making.

Question 20

Which of the following statements is false?

Accepted Answer

The statement that social responsibility and marketing ethics are the same thing and can be used interchangeably is false. Social responsibility refers to a broader concept of a business's responsibility to contribute to society, while marketing ethics specifically refers to ethical decision making in the context of marketing activities.

Quiz 4: Social Responsibility and Ethics in Marketing