Question 1

The utilitarian rule states that an ethical decision

Accepted Answer

The utilitarian rule focuses on maximizing overall happiness or benefit, aiming to produce the greatest good for the greatest number of people.

Question 2

According to which of the following rules is an ethical decision one that distributes rewards and harms in a fair way?

Accepted Answer

The justice rule focuses on fairness in the distribution of rewards and harms, ensuring that they are allocated equitably among individuals.

Question 3

Which of the following is a likely result of loss of trust?

Accepted Answer

When trust is lost, individuals and organizations often withhold information to protect themselves, leading to a lack of transparency and communication.

Question 4

When a manager has no hesitation about communicating to people outside the company regarding a decision made because the typical person in a society would think it is acceptable, this logic is explained by the ________ rule.

Accepted Answer

The practical rule suggests that a decision is acceptable if a typical person in society would think it is acceptable, which aligns with the manager's confidence in communicating the decision externally.

Question 5

One managerial implication of the justice model is that managers should base their decisions on

Accepted Answer

The justice model emphasizes fairness and equity, suggesting that managers should make decisions that ensure a fair distribution of outcomes among stakeholders.

Question 6

To help managers and employees make ethical decisions and behave in ways that benefit their stakeholders, they can use four ethical rules or principles to analyze the effects of their business decisions on stakeholders, the ________ rules.

Accepted Answer

The correct ethical rules are utilitarian, moral rights, justice, and practical, which help in analyzing the effects of business decisions on stakeholders.

Question 7

The practical rule states that an ethical decision

Accepted Answer

The practical rule for ethical decision-making suggests that an ethical decision is one that can be openly communicated without hesitation, implying transparency and acceptability.

Question 8

Why is it so important that managers, and people in general, should act ethically and temper their pursuit of self-interest by considering the effects of their actions on others?

Accepted Answer

Acting ethically and considering the effects of actions on others is crucial because prioritizing self-interest without regard for societal interests can lead to the destruction of scarce resources, ultimately resulting in negative consequences for both individuals and society as a whole.

Question 9

Ms. Chen manages a clothing store. Her boss, the district manager, suggests that she fire competent employees who are old or unattractive because "they aren't good ambassadors for our brand." Ms. Chen tells her boss, "I'm sorry, but I can't do as you ask. If anyone found out that we did this, it would damage the company's reputation. The average shopper wouldn't want to do business with us." Which ethical rule is Ms. Chen applying?

Accepted Answer

Ms. Chen is applying the practical rule, which considers whether a decision would be acceptable to the public if it were to become known. She is concerned about the company's reputation and how the public would perceive the decision.

Question 10

Danika, a board member for a medium-sized corporation, faces an ethical dilemma. She is unsure whether the board should fire senior employees who have violated rules or merely discipline those employees but keep them on staff to avoid potentially harmful publicity. Danika asks herself, "Would my family members and friends approve of this decision, and am I willing to see the decision communicated to all people and groups affected?" Asking this question is part of the ________ rule.

Accepted Answer

The practical rule involves considering whether a decision would be acceptable to the public and whether one would be comfortable explaining it to others, which aligns with Danika's approach.

Question 11

Formal standards and rules, based on beliefs about right or wrong, that managers can use to help themselves make appropriate decisions with regard to the interests of their stakeholders are

Accepted Answer

Codes of ethics are formal standards and rules that guide managers in making decisions that align with ethical beliefs and stakeholder interests.

Question 12

A person's confidence and faith in another person's goodwill is called

Accepted Answer

Trust is the belief in the reliability, truth, or ability of someone, which involves confidence and faith in another person's goodwill.

Question 13

According to which of the following rules is an ethical decision one that best maintains people's fundamental privileges?

Accepted Answer

The answer of According to which of the following rules...

Question 14

Employees who are similar in their level of skill, performance, or responsibility should receive similar pay; allocation of outcomes should not be based on differences such as gender, race, or religion. This is an example of which rule of ethical decision making?

Accepted Answer

The justice rule focuses on fairness and equality, ensuring that similar cases are treated similarly, such as providing equal pay for employees with similar skills and responsibilities, regardless of personal characteristics like gender or race.

Question 15

The most critical stakeholder group is often the

Accepted Answer

Customers are often considered the most critical stakeholders because they directly impact a company's revenue and success through their purchasing decisions.

Question 16

Which of these sayings is a reflection of the moral rights rule?

Accepted Answer

The moral rights rule is about respecting and protecting the fundamental rights of individuals, which aligns with treating others as you would like to be treated.

Question 17

Senior management of a restaurant chain decides to cut the workforce by 15 percent. Which of these groups is most likely to respond positively to this news?

Accepted Answer

Stockholders are likely to respond positively as reducing the workforce can decrease costs and potentially increase profits, benefiting their investments.

Question 18

Which of the following emanate from a particular community's unwritten attitudes, values, and norms that influence how people interact with each other?

Accepted Answer

Societal ethics are the unwritten attitudes, values, and norms that influence how people interact with each other within a particular community.

Question 19

Patricia is a supervisor at an Internet startup. One of her employees tells her, "It's every man for himself here. Everybody here cuts corners and breaks rules, so I have to do that, too. So don't tell me that I need to follow regulations, because I can't if I want to get ahead." Which of these theories refutes this employee's belief?

Accepted Answer

The answer of Patricia is a supervisor at an Internet...

Question 20

A paper manufacturer is forced to make staff cutbacks because of declining profits. It decides to cut back each employee's hours and pay by one-half day per week rather than laying off two people. Senior managers believe that by allowing all their employees to keep their jobs, they are producing the greatest good for the greatest number of people. Which rule for ethical decision making does this example show?

Accepted Answer

The decision reflects the utilitarian approach, which focuses on producing the greatest good for the greatest number of people by reducing hours instead of laying off employees.

Quiz 3: Managing Ethics and Diversity