Question 1

Corporate philanthropy refers to the position a firm takes on social and political issues.

Accepted Answer

Corporate philanthropy refers to a company's charitable donations and contributions to nonprofit organizations, while the position a firm takes on social and political issues is referred to as corporate social responsibility or corporate activism.

Question 2

Ethical behaviour will allow a firm to meet its corporate social responsibility.

Accepted Answer

The answer of Ethical behaviour will allow a firm to...

Question 3

In order to be successful,efforts to improve the ethical behaviour of businesses must begin with top management's support of a corporate code of conduct.

Accepted Answer

Top management plays a crucial role in setting the ethical tone for a company and establishing a corporate culture that values ethical behavior. A corporate code of conduct serves as a framework for guiding employees’ ethical decision-making and actions, and top management’s support and commitment to the code help ensure its effectiveness.

Question 4

People who report illegal or unethical behaviour are known as whistleblowers.

Accepted Answer

Whistleblowers are individuals who report illegal or unethical behaviour.

Question 5

A business that takes a public position on a political issue is exercising corporate social responsibility.

Accepted Answer

Taking a public position on a political issue is an example of a business using its power and influence to shape society and contribute to the public good, which falls under the umbrella of CSR.

Question 6

Businesses can avoid ethical dilemmas by requiring written contracts with their employees,customers,and owners.

Accepted Answer

While written contracts can provide clarity and consistency in business relationships, they cannot completely avoid ethical dilemmas. Ethical dilemmas can arise even when there is a written contract in place, as they are often related to issues of values and principles rather than contractual terms. Businesses should also have clear ethical guidelines and training in place to help employees navigate these dilemmas when they arise.

Question 7

"My only social responsibility is to make a profit.I will show my concern for society by providing my customers with a product that they need and desire".These statements are consistent with the concept of corporate social responsibility.

Accepted Answer

These statements are inconsistent with the concept of corporate social responsibility, which refers to a business's obligation to operate in an ethical and sustainable manner that benefits both its stakeholders and society as a whole. Simply seeking profit and satisfying customer desires without considering the impact on the environment, employees, and community does not fulfill this responsibility.

Question 8

Minority hiring practices and pollution control are both areas of corporate responsibility.

Accepted Answer

Both minority hiring practices and pollution control fall under the umbrella of corporate social responsibility. It is important for companies to not only consider their financial bottom line, but also their impact on society and the environment.

Question 9

Individuals who can set a positive tone,relate well to others and communicate effectively make the most effective ethics officers.

Accepted Answer

Ethics officers need to be able to build relationships, understand and communicate with others effectively to create a healthy ethical environment. A positive tone and good communication skills help in achieving this goal.

Question 10

An ethics officer serves both as a counselor and as an investigator.

Accepted Answer

An ethics officer's role includes providing guidance and advice to individuals and organizations on ethical matters, as well as investigating and resolving ethical violations. Therefore, they act as both counselors and investigators.

Question 11

Businesses can have either a positive or negative impact on society,although the news coverage tends to focus on the negative.

Accepted Answer

While there are certainly negative impacts that some businesses have on society, such as environmental damage or worker exploitation, many businesses also have positive impacts such as job creation, innovation, and philanthropic efforts. However, negative news stories tend to attract more attention and coverage, leading to a skewed perception of the overall impact of businesses on society.

Question 12

Defining a socially responsible company is complicated.We can't seem to agree on what being socially responsible involves.

Accepted Answer

Different individuals and organizations have different ideas and criteria for what constitutes social responsibility, making it a complex and subjective concept to define.

Question 13

Businesses recognize that pressure to violate ethical standards can come from either inside or outside of the firm.

Accepted Answer

Businesses acknowledge that ethical dilemmas can arise from internal sources, such as employees or management, as well as external sources, such as customers or suppliers.

Question 14

A charitable donation by a corporation is an example of corporate philanthropy.

Accepted Answer

Corporate philanthropy refers to the charitable donations or activities undertaken by corporations.

Question 15

A new law requiring businesses to give 90 day notice of their plans to close an office or factory was recently enacted.This action indicates the public's desire for businesses to behave in a socially responsible manner.

Accepted Answer

The new law requiring businesses to give 90 day notice of their plans to close an office or factory indicates a desire for businesses to behave in a socially responsible manner by providing their employees with enough time to prepare for their next steps.

Question 16

To be effective,an organization's code of ethics needs to be communicated to outsiders such as suppliers,subcontractors,and customers.

Accepted Answer

This is because these outsiders also need to know and understand the ethical values that the organization holds in order to maintain a good relationship and avoid any ethical conflicts or issues.

Question 17

At a recent town hall meeting,citizens expressed concern regarding the impact of a proposed new gambling casino.The owner of the proposed casino responds,"I don't know what all of this fuss is about.I'm just a businessman trying to earn a profit,provide new jobs,and pay taxes".His response reflects a commitment to corporate social responsibility.

Accepted Answer

The owner's response only focuses on his personal goals and interests, and does not address any potential negative impacts on the community or environment. Therefore, it does not reflect a commitment to corporate social responsibility.

Question 18

Corporate philanthropy refers to the position a firm takes on issues that affect society.

Accepted Answer

The answer of Corporate philanthropy refers to the position a...

Question 19

Enforcement is perhaps the most important step in an effective code of ethics.

Accepted Answer

Without proper enforcement, a code of ethics is merely a set of guidelines without any real consequences for those who violate them. Enforcement communicates to employees that ethical behavior is not only expected but also required, and helps ensure that the organization's values are upheld.

Question 20

Corporate social responsibility refers to the concern businesses have for their employees.

Accepted Answer

Corporate social responsibility refers to the responsibility businesses have towards society and the environment, not just their employees.

Quiz 5: Ethics and Social Responsibility