Question 1

The moral climate of a business is seldom based on the words and actions of its top executives.

Accepted Answer

The moral climate of a business is often based on the words and actions of its top executives, who set the tone for ethical behavior and establish the company's values and priorities.

Question 2

One way to keep your sales force straight is to encourage employees to call for help when they face an ethically troublesome sale.

Accepted Answer

Encouraging employees to seek help in ethically troublesome sales can help maintain ethical standards and prevent any ethical violations or conflicts.

Question 3

Idealists accept moral codes and believe that good outcomes for all can be achieved by morally correct actions.

Accepted Answer

Idealists hold moral values and believe that by adhering to those values, good outcomes can be achieved for all.

Question 4

Kickbacks are ethical if the amount is small (less than $500) and the company awarded the contract offered the best price anyway.

Accepted Answer

Kickbacks are never ethical, regardless of the amount or whether or not the company offered the best price. Accepting kickbacks can create conflicts of interest and undermine trust in the business relationship.

Question 5

General values and norms of society can affect managerial decisions.

Accepted Answer

General values and norms of society can affect the attitudes and behaviors of people, including managers who make decisions on behalf of their organizations. For example, if there is a strong cultural value placed on environmental conservation, a manager may consider implementing environmentally-friendly practices in the company's operations even if it may involve additional costs or efforts. On the other hand, if the society values profitability over social responsibility, a manager may prioritize maximizing profits even at the expense of social and environmental concerns.

Question 6

In general, relativism leads to better ethical decisions than idealism.

Accepted Answer

This statement is subjective and can vary depending on individual beliefs and values. Relativism may be beneficial in promoting tolerance and understanding of diverse perspectives, but it can also lead to moral relativism and justify unethical actions. Idealism, on the other hand, emphasizes high ethical standards and moral principles, but can sometimes be impractical in real-world situations. Ultimately, the effectiveness of either approach depends on the specific circumstances and the values of the individual or society making the ethical decisions.

Question 7

In cases of bribery and extortion it is often easy to distinguish right from wrong.

Accepted Answer

Bribery and extortion cases can involve complex situations and motivations, making it challenging to clearly distinguish right from wrong, especially when cultural, legal, and ethical standards vary widely.

Question 8

Ethical problems are usually the result of poor decisions by individual salespeople or company policies that encourage wrong doing.

Accepted Answer

Ethical problems can arise from both individual actions and company policies. Individual salespeople may make poor decisions that violate ethical standards, such as lying to customers or engaging in deceptive sales practices. Company policies can also create ethical problems if they promote unethical behavior, such as encouraging sales reps to meet quotas at any cost, even if it means misleading customers.

Question 9

A good way to keep your sales force straight is to develop and circulate a sales ethics policy.

Accepted Answer

Developing and circulating a sales ethics policy can help guide your sales force in their interactions with customers and ensure ethical behavior is upheld.

Question 10

A good way to handle expense account cheating is for managers to set an appropriate standard for others to follow.

Accepted Answer

Setting a clear standard and expectations for ethical behavior can help prevent expense account cheating and establish accountability for those who violate the standard. It also sends a message that the company takes ethics and honesty seriously.

Question 11

Machiavelli was philosophically a realist.

Accepted Answer

Machiavelli was known to be a political philosopher who emphasized the practical aspects of political power and believed that most people were self-interested and untrustworthy, making it necessary for rulers to be ruthless and pragmatic in their governing tactics. These ideas align with the perspective of a realist.

Question 12

Being a gentleman and avoiding methods of deceit is an inherent part of Machiavellinism.

Accepted Answer

Machiavellianism is a philosophy that values manipulation, cunningness, and the pursuit of power above all else. Therefore, deceiving others is not only acceptable but often encouraged. Being a gentleman, which is usually associated with honesty, integrity, and kindness, goes against the Machiavellian principles.

Question 13

Managers don't need any background on ethical issues to solve important moral problems.

Accepted Answer

Managers need a strong background on ethical issues to make informed and ethical decisions when faced with important moral problems. A lack of understanding of ethical principles and values can lead to unethical behavior, legal issues, and harm to stakeholders.

Question 14

Ethics is not directly concerned with the impact of acts on the good of the individual, the firm, the business community and society as a whole.

Accepted Answer

Ethics is concerned with the impact of acts on the good of the individual, the firm, the business community, and society as a whole. It is a branch of philosophy that deals with moral principles and values.

Question 15

Ethical problems occur because executives frequently choose what is expedient rather than what is morally correct.

Accepted Answer

Ethical problems often arise when executives prioritize short-term gains or convenience over doing what is morally right or ethically responsible. This can lead to decisions that are harmful to employees, customers, or the broader society, and can damage a company's reputation and trustworthiness. Therefore, it is important for leaders to consider the ethical implications of their actions and decisions, and to prioritize integrity and ethical responsibility in their organization's culture and practices.

Question 16

"Blowing the whistle" on other employees is an easy thing to do.

Accepted Answer

Whistleblowing can be a difficult and complex process, often involving significant personal and professional risks for the individual, including retaliation and social ostracism.

Question 17

Conventional morality can be expressed as "When in Rome, do as the Romans do."

Accepted Answer

Conventional morality refers to the ethics and values that are generally accepted or followed by a particular society or community, and the phrase "When in Rome, do as the Romans do" suggests that one should follow the norms and customs of the place they are visiting or living in.

Question 18

The most frequent area for ethical abuse in a sales organization is with expense accounts.

Accepted Answer

Sales representatives may be tempted to falsify or exaggerate their expenses in order to receive higher reimbursements or to cover personal expenses. This is a common form of unethical behavior in sales organizations.

Question 19

A relativistic manager tends to reject universal moral rules and make decisions on the basis of personal values.

Accepted Answer

A relativistic manager believes that moral rules are subjective and vary between individuals, cultures, and situations. They prioritize their own values and beliefs when making decisions rather than following any overarching moral code.

Question 20

Providing entertainment for potential customers is standard practice in American business and it rarely leads to ethical problems.

Accepted Answer

Providing entertainment for potential customers can create ethical dilemmas, such as creating a conflict of interest or bribery. It is important to ensure that the entertainment does not create an unfair advantage or influence the decision-making process. Companies must navigate these ethical considerations and comply with regulations around gift giving and entertainment.

Quiz 10: Ethical Leadership