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Exam 4: Demanding Ethical and Socially Responsible Behavior

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Question 31

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Erin recommends a marketing strategy aimed at increasing sales through the development of a positive corporate image. She suggests the first step toward this goal is to identify and evaluate the firm's programs for community involvement. Erin is calling for a ________ to be completed.

A) strategic plan
B) social audit
C) socialist review
D) corporate contribution index

E) A) and D)
F) A) and B)

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Question 32

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"Do what I say, not what I do" can be an effective code of conduct to instill corporate values.

A) True
B) False

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Question 33

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Investors today are realizing financial benefit by investing in

In reality, ethical behavior depends on the situation. For example, in negotiating a contract with your employees, the way they win higher wages is by your losing the fight to hold down labor costs. You realize it is a win-lose relationship.

Often it is the threat of negative publicity that pressures businesses to enforce their corporate code of ethics.

Legal behavior and ethical behavior are basically the same.

Companies are using ________ to communicate their corporate social responsibility actions to their customers.

Due to their significant economic power, large multinational firms can ignore the ethical standards of a society without consequences.

Which of the following is a characteristic of an effective ethics officer?

Corporate social responsibility covers all those social issues outside our businesses that affect customers and the environment, but not internal issues such as employee considerations and work safety. Internal issues are covered by business laws.

The management staff at Doc's Motorcycles believes the company has a social responsibility to its community. They believe that the company can have the greatest impact in this area through cash contributions to local nonprofit organizations. This is an example of

To improve America's business ethics

Which of the following terms describes someone who reports illegal or unethical behavior?

At a recent town hall meeting, citizens expressed concern regarding the impact of a proposed new casino. The owner of the proposed casino responded, "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 an overall commitment to corporate social responsibility.

Ethical behavior at work is learned by

A code of ethics designed to avoid criminal misconduct is an example of a compliance-based ethics code.

According to the Reaching Beyond Our Borders box, which of the following is true?

Beer brewers, both large and small, often encourage their customers to drink responsibly. This reflects a compliance-based approach to ethics.

A high-level manager gathers his team of supervisors together to create a new office policy that will affect all employees at the company. After receiving a verbal okay from the supervisors, he then proceeds to pass around a written form of the new policy and asks all members of the team to initial it. He explains to the supervisors that the new policy will be posted in the break rooms on each floor of corporate headquarters. If you were a part of this work team, which question would you ultimately ask yourself before initialing your approval of this policy?

Corporate ________ covers issues such as treating employees fairly and ethically.