Question 1

Which of the following is NOT an element of green marketing?

Accepted Answer

A) The elements of green marketing include production processes, product modification, carbon offsets, packaging reduction, and sustainability.

Question 2

Why has climate change become a major issue for both business and government?

Accepted Answer

D) Although climate change is occurring at a relatively mild pace at the moment, one possible outcome in the future of increased environmental damage is more rapid climate change.

Question 3

Which one of the following organizations has as its primary function the regulation of advertising and pricing practices?

Accepted Answer

B) The government controls and regulates many business activities; irresponsible practices toward customers can result in government-imposed penalties and expensive civil litigation.

Question 4

Which of the following would NOT be included among the primary agents of interest with regard to a company's ethical behavior?

Accepted Answer

C) Primary agents of interest include customers, competitors, stockholders, suppliers, unions, and dealers. A business and its employees must consider ethical behaviors in its relationship with these groups.

Question 5

Which of the following is the best description of organizational stakeholders?

Accepted Answer

E) Individuals and groups that are directly affected by the practices of an organization are considered to have a "stake" in the company's performance.

Question 6

Jordan is a recent college graduate with a degree in computer programming. He has just begun his first full-time job and is excited to apply the skills that he worked so hard to acquire. Though he excelled as a student, Jordan is anxious about how successful he will be as an employee. When an opportunity unexpectedly presents itself to take credit for a brilliant software program that someone else wrote, Jordan does not resist and claims the program as his own. Which of the following would LEAST likely also happen along with Jordan's decision?

Accepted Answer

D) Personal ethics are the guiding principles that help you make ethical decisions in your life. A company with an ethics committee holds ethical behavior and good character as a priority, not something to be overlooked.

Question 7

Which ethical norm considers whether a particular act optimizes the benefits to those who are affected by it?

Accepted Answer

A) The ethical norm of utility considers whether a particular act optimizes the benefits to those who are affected.

Question 8

SeaBreeze Sailing Company manufactures sailboats for personal pleasure use. Which of the following would suggest that SeaBreeze Sailing Company is NOT committed to corporate social responsibility?

Accepted Answer

B) A company that is socially responsible makes decisions based on environmental concerns and would not use scarce or nonrenewable natural resources for product construction.

Question 9

Chang is the CEO of a local furniture business. He is very committed to treating his customers with honesty and fairness. At the end of a long day, Chang knowingly accepts a $20 bill that a customer accidentally hands him instead of a $1 bill. Which of the following is most likely to be True of Chang?

Accepted Answer

C) It is dishonest and unethical to take more money than what is owed, which is essentially stealing. If Chang is normally committed to treating customers with honesty and fairness, this action runs counter to his ethics.

Question 10

What is the term used to describe a situation when increased demand leads to overly steep and often unwarranted price increases?

Accepted Answer

D) For example, when residents of a coastal area are warned about a possible hurricane, they often flock to retailers to stock up on bottled water and batteries; unfortunately, some retailers take advantage of this pattern by vastly marking up their prices.

Question 11

Which of the following has NOT been identified as a basic consumer right?

Accepted Answer

B) Although low prices are a boon to the consumer and many companies are motivated to offer their products at low prices, low prices are not considered a basic consumer right.

Question 12

What is the term for an employee who detects and tries to put an end to a company's unethical, illegal, and/or socially irresponsible actions by publicizing them?

Accepted Answer

B) As whistle-blowers, employees generally contact the media or a particular regulatory agency.

Question 13

What is it called when two or more firms agree to collaborate on wrongful acts?

Accepted Answer

C) A recent example of collusion occurred when the U.S. Justice Department charged three pharmaceutical firms with illegally controlling worldwide supplies and prices of vitamins.

Question 14

The CEO of Perry's Pizzeria, a rapidly growing restaurant chain, is committed to a high level of corporate social responsibility along with continued business success. Which action by the CEO would most enhance the company's reputation for social responsibility?

Accepted Answer

A) Although Perry's Pizzeria has a responsibility to make the best business decisions for its stakeholders (i.e., bring in a high profit for investors), being socially responsible requires making the best decision for the community as well. Purchasing nutritious ingredients that are expensive would benefit the company's reputation for social responsibility. Its effect on investor profits would also be an issue of contention for the company's CEO.

Question 15

Dara's Dress Shop was honored last year for its strong commitment to corporate social responsibility. Which of the following would MOST likely decrease the shop's chances of being recognized again this year?

Accepted Answer

D) A socially responsible company makes decisions in the area of human rights and employment standards in the workplace. Using unprotected child laborers for production goes against this tenet.

Question 16

Jana and Kate are the owners of an upscale jewelry boutique that offers unique and much desired accessories in an affluent neighborhood. Jana and Kate are concerned, however, that the company's commitment to social responsibility has begun to diminish in various respects. How would this MOST likely be evident?

Accepted Answer

B) If this trend is seen across the board for the company's employees, it likely indicates that working conditions for them are not good, or that they have insufficient health benefits with their job.

Question 17

What is the term for an activity that may benefit the individual to the detriment of his or her employer?

Accepted Answer

C) For example, many companies have policies that forbid buyers from accepting gifts from suppliers since such gifts might be consTrued as a bribe or an attempt to induce favoritism.

Question 18

What role does accountability play in business life?

Accepted Answer

C) New laws that dictate an expanded role for business in protecting and enhancing the general welfare of society have improved business accountability.

Question 19

Jordan is a recent college graduate with a degree in computer programming. He has just begun his first full-time job and is excited to apply the skills that he worked so hard to acquire. Though he excelled as a student, Jordan is anxious about how successful he will be as an employee. When an opportunity unexpectedly presents itself to take credit for a brilliant software program that someone else wrote, Jordan does not resist and claims the program as his own. Which of the following statements must be True about Jordan's decision?

Accepted Answer

C) Personal ethics are the guiding principles that help you make ethical decisions in your life. Jordan's decision to take credit for, and essentially steal, someone else's invention reflects questionable personal ethics.

Question 20

Which of the following is a way to tell how an organization is doing in meeting its social responsibility goals?

Accepted Answer

C) A social audit is a systematic analysis of an organization's success in using funds earmarked for its social responsibility goals.

Quiz 2: Business Ethics and Social Responsibility