Question 1

Small-business owner Jason is thinking about giving a potential customer an expense paid vacation to Las Vegas for her and her husband. When asked if he is being ethical, Jason replies, "Look whatever works, works." Which ethical principle is Jason most likely using?

Accepted Answer

Jason is most likely using the ethical principle of pragmatism, which prioritizes practicality and usefulness over other ethical considerations. He is not considering the potential consequences or impact on others, such as the fairness of offering such an expensive incentive to one customer over others, or the potential ethical implications of bribery or undue influence.

Question 2

Team leader Gary is scheduled to prepare a performance of Lisa, a team member who also happens to be his wife's closest friend. The ethical temptation Gary faces is

Accepted Answer

Gary's close relationship with Lisa, who is also his wife's closest friend, creates a conflict of interest. It could affect his ability to be impartial and objective in evaluating Lisa's performance. Therefore, he must disclose his conflict of interest and recuse himself from any decision-making regarding Lisa's performance to avoid the appearance of impropriety.

Question 3

Unethical behavior is often triggered by

Accepted Answer

Both pressure from higher management to achieve goals and an organizational atmosphere that condones unethical behavior can be triggers for unethical behavior. It is often a combination of these factors that creates a situation where individuals feel justified in engaging in unethical behavior. A system of checks and balances can help to prevent unethical behavior, but it is not always effective if the pressure and culture to succeed at all costs is too strong within the organization.

Question 4

Fairness in employment practices centers on

Accepted Answer

Fairness in employment practices involves giving people equal rewards for accomplishing the same tasks, ensuring that employees are treated equitably based on their performance and contributions.

Question 5

According to concept of moral laxity, workers will often behave unethically because

Accepted Answer

According to the concept of moral laxity, workers may behave unethically not because they have planned it or come from dysfunctional families but because they prioritize other issues over ethical considerations. For example, an employee may choose to falsify data to meet a deadline and impress their boss instead of taking the time to do the work accurately and honestly. This doesn't mean that workers are inherently unethical, but rather that they may be more susceptible to give into temptation when faced with competing priorities or pressures.

Question 6

Ethics are important because

Accepted Answer

Ethics are important because they impact a company's relationships with suppliers, customers, and employees. Suppliers prefer to deal with ethical companies because they want to work with partners they can trust. Customers prefer to deal with ethical companies because they want to support businesses that align with their values. Employees prefer to work for ethical companies because they want to be associated with organizations that prioritize doing the right thing. Ultimately, operating with high ethical standards can help a company build a positive reputation, foster loyalty, and ensure long-term success.

Question 7

The purpose of backdating stock options is to give the stock-option holder

Accepted Answer

The purpose of backdating stock options is to ensure a sure profit on the options. By backdating the options to a date when the stock price was lower, the option holder can purchase the stock at the lower price and sell it at the current higher price, thus ensuring a profit. This practice is illegal and unethical.

Question 8

Kate, the owner of a small telecommunications firm gives gifts of stock in her company to telephone company mangers who purchase her equipment. Kate is giving in to the ethical temptation of

Accepted Answer

Kate is giving stock in her own company as a reward for purchasing her equipment, which is considered a form of kickback. This is an unethical practice because it creates a conflict of interest and can lead to preferential treatment for Kate's company.

Question 9

Which one of the following is not recommended as a method for a company to protect itself against sexual harassment charges?

Accepted Answer

Retaliating against employees who bring forth charges of harassment is not recommended as it is illegal and can lead to further legal consequences for the company. The other options (A, C, and D) are all recommended methods for a company to protect itself against sexual harassment charges.

Question 10

According to the concept of moral intensity, a worker is most likely to behave ethically and legally when

Accepted Answer

According to the concept of moral intensity, the worker is most likely to behave ethically and legally when the consequences of the act are substantial. Moral intensity refers to the degree to which an issue demands immediate attention and recognition from individuals. A situation with high moral intensity is likely to cause stronger ethical and moral responses from individuals, leading them to behave more ethically and legally. When the consequences of an act are substantial, it increases the moral intensity and makes it more likely for the worker to behave ethically and legally.

Question 11

Bonita is an ethically centered production manager so she will ship a product

Accepted Answer

Bonita's ethical centering focuses on ensuring that the product is of high quality and all problems have been eliminated before it is shipped. This prioritizes the customer's satisfaction and reduces the likelihood of complaints or returns.

Question 12

Building a sustainable environment includes

Accepted Answer

Both developing a green supply chain and omitting hazardous emissions are necessary for building a sustainable environment. A green supply chain involves using sustainable materials, reducing waste, and minimizing environmental impacts throughout the entire supply chain process. Omitting hazardous emissions means avoiding or reducing the release of harmful substances into the environment. Both of these actions are crucial for ensuring a healthy and sustainable environment. Writing a code of ethics may be helpful for promoting ethical behavior, but it is not directly related to building a sustainable environment.

Question 13

Marvin has his own Website that carries ads for a dozen retailers. At night, Marvin spends hours clicking on these sites so he can collect commissions from the advertisers. Marvin is engaged in the scandal referred to as

Accepted Answer

Marvin is engaged in click fraud, which involves artificially clicking on ads for the purpose of generating revenue.

Question 14

Benefits derived from social responsibility include;

Accepted Answer

Both options A and C are correct. By being socially responsible, a company can enhance its organizational efficiency, improve its reputation, and, as a result, attract people who want to work for the firm.

Question 15

The stakeholder view of social responsibility states that organizations must respond to the needs of

Accepted Answer

The stakeholder view of social responsibility holds that organizations have a responsibility to all interested parties, including employees, customers, shareholders, suppliers, community members, and the environment. This broader view of social responsibility recognizes that organizations have an impact on many different groups beyond just their shareholders or owners, and that they must operate in a way that serves the interests of all stakeholders. While responding to the needs of those who might sue the organization is important, it is only one small aspect of social responsibility and does not capture the full scope of the stakeholder view.

Question 16

Pierre takes a utilitarian viewpoint of ethics. He will therefore judge a business decision to be ethical so long as

Accepted Answer

A utilitarian viewpoint of ethics judges the morality of an action based on its overall impact on the greatest amount of people. Therefore, Pierre would judge a business decision to be ethical as long as it results in more good than bad for the stakeholders affected by the decision.

Question 17

A firm is said to have good corporate social performance when

Accepted Answer

Good corporate social performance is measured by the level of social responsibility demonstrated by a company towards its stakeholders. Stakeholders include employees, customers, suppliers, communities, and investors. When stakeholders are satisfied with the company's social performance, it is indicative of the company's success in meeting its social responsibilities. Choices A and B do not address the overall performance of the company with regards to social responsibility, and choice C only refers to legal violations and does not take into account the company's overall social impact.

Question 18

The ethical dilemma of choosing between two rights refers to

Accepted Answer

Choosing between the lesser of two evils is an ethical dilemma that involves choosing between two actions that are both undesirable, but one is less harmful than the other.

Question 19

Business ethics deals primarily with

Accepted Answer

Business ethics primarily concerns moral obligations and principles that guide behavior in the business world.

Question 20

Which one of the following questions is not asked in six-question ethics test?

Accepted Answer

Option C, "What can we possibly get away with?" is not part of the six-question ethics test. The ethics test typically focuses on evaluating the moral implications and consequences of actions rather than assessing what one can evade or escape responsibility for.

Quiz 3: Ethics and Social Responsibility