Chapter 4. B. a failure of leadership to establish ethical standards. An important reason for a company to maintain its ethical reputation is ______________________behavior can add to the bottom line while _______________________behavior can ruin companies financially. Determining what is involved for a firm to be socially responsible: A. is easy. Love to build enthusiastic and energetic teams and be a step ahead the expectations of my clients inside and outside the organization. analysts. It emphasizes sustainability, customer loyalty, brand image, and employee retention. __________ ___________ethics codes emphasize preventing unlawful behavior by increasing control and penalizing wrongdoers. [C] Paying U.S. minimum wage Many companies believe they have a role in promoting ______ ______ that goes way beyond simply "giving back. It is the right thing to do. An organization's managers instill corporate values and _____________________ in employees by the examples they set. Those who argue in favour of corporate social responsibility suggest that: B. In the following sentence, circle the subject of the underlined verb. Integrity-based ethics is informal company behavior that evolves from individuals' desire to make things better for all. an individuals behavior is influenced by the behavior of others. Multiple Choice C. business exists only to make money for shareholders. It also helps to ensure that employees are treated fairly and that the company is acting in a responsible manner. firms should take added caution not to support government programs that protect the environment. The side effects are so great that the society urges that the business should always be ethically and socially responsible. building parks If an underlined word is already in the correct possessive form, write a C on the line. Management ethics can factor into issues including coworker interactions, conflicts of interest, customer safety, honest advertising, customer information security and the responsible use of corporate resources. American businesses are demanding socially responsible behavior from international suppliers, particularly in the areas of environmental standards and human rights issues. because strict global regulations require it Corporate values are: All successful businesses communicate effectively. \text{Variable manufacturing overhead} & \text{0.60}\\ My 4 fundamental professional beliefs:<br> I believe change management must be inclusive if you want it to work. Then, if the verb does not agree in number with its subject, write the correct form of the verb above the incorrect form. Businesses that violate ethics and engage in illegal activities can be subject to costly fines and lawsuits. Both positive and negative activities are measured. True [C] To increase employee turnover (B) lack of trust in the free market system Serves as full-time, tenure tracked Business Instructor for the college's Bachelor of Applied Science in Organizational Management (BAS-OM) program, teaching classroom, hybrid, and online courses. Multiple choice question. Supervisor Those who have others interests in mind when they make decisions are displaying ethical behavior. Multiple select question. \text{Total production cost} & \text{\$ 9.20}\\ Government and business leaders are being held to A person who demonstrates ethical behavior demonstrates a strong moral code and a consistent set of values. going to lose money by providing pay raises A systematic evaluation of a company's progress toward implementing socially responsible programs is known as a(n)___________________ __________________ . A. According to recent U.S. Census Bureau research volunteerism is at an all time high, but, 3 out of 4 citizens do not give any time to the communities in which they live. True When implementing an ethics code, it is important to share it with all ___________________________because pressure to act unethically often comes from the outside. A few months ago, Paulie's Pizza House, a large nationwide chain of restaurants, purchased one of its competitors, Italian Stallion Pizza Stations, for $800 million. Which of the following are true regarding ethical behavior? Jake knew that several other employees followed strict company policy every day and always wore their headgear; yet, they were not being acknowledged for their compliance. Explanation They should display behavior that is honest and fair in their relationships with co-workers and their. This guide breaks down the importance of business ethics and how to establish an ethical culture in your company. A. The Dodd-Frank Wall Street Reform and Consumer Protection Act provides whistleblowers an award if their actions lead to an enforceable action or conviction. Written ethics codes can be categorized as When the lines of communication are open and employees are willing to have conversations with one another, misunderstandings can be avoided. reaches broad and diverse groups \end{array} False. Chenda Bunkasem is head of machine learning at Undock, where she is focusing on using quantitative methods to influence ethical design. 1. An important reason for a company to maintain its ethical reputation is C. teamwork eliminates a need for personal ethics. [C] The U.S. government will use military force to enforce labor laws.. (D) occur in only a few countries. Explanation B. varies even among those who are interested in corporate responsibility. D. Philanthropy E. Altruistic, Which of the following is NOT one of the "Market Assessment and Strategy Development" responsibilities? The You Design, We Build Company makes custom furniture of all kinds. C. to attract new customers and retain existing customers. D. the nation's business schools that tolerate unethical behaviour in students. When an F5 (category 5) tornado hit a town in southern Missouri, the people that lived there needed the basics: food, water, and shelter. (D) it reduces laws and regulations, Many corporate executives reported that they use social media to communicate their socially responsible activities to customers because it: integrity-based ethics It is a set of guidelines for dealing with various procedures ethically. 1. In other situations, traditions and customs make gifts and other bribery-type activities the long-standing practice in some nations. global policy A. Diversity and discrimination B. In the workplace, there might be a standard for ethics set throughout the company. (D) affect hiring practices very little. Managers Set the Tone The effects of managerial decision making go beyond any single, isolated decision. Some common workplace ethics include trustworthiness, accountability, respect, transparency, and integrity. Top leaders from other countries have been charged with bribery. One employee whose name was at the top of everybody's list was instrumental in helping another employee who failed to wear his protective headgear to avoid suffering a serious head injury. Consumers vote against firms they view as socially irresponsible by not A. boycotting the company's products. What are the causes of pay discrimination in the labor market? Here are five reasons why you should keep things legal and follow business ethics in accounting. Which of these actions is LEAST likely to restore the trust of the American public in the free-market system? Multiple choice question. corporate raiders. Example 1. In "Two Kinds," how does the narrator feel after the talent show? investors. The companys vision, values and mission should be clearly stated and visible to both employees and clients so that the company can be held to those standards. setting a good example. A. expanding the opportunity to behave ethically by providing rewards for following the rules. Integrity-based ethics codes They quickly bought shares of Italian Stallion and purchased the stock before the acquisition became public. D. short run profit maximization. An ethically managed business helps to reduce employee turnover. Deceptive advertising of medicines and toys This sort of behavior is not limited to the workplace; it can be present in every facet of life. Maximizing ethical conflict in work groups D. employee retaliation by doing the minimum needed to get by. By being ethical, leaders can foster an environment that rewards and encourages good attitudes. Therefore, it is the most significant resource to run or upgrade any business. A set of formalized rules and standards that describe what a company expects of its employees is called a(n) There are several ways to encourage an ethical workplace culture, including establishing a companywide code of ethics. D. operating ethically, honestly and lawfully E. being environmentally responsible, Chapter 2 - Business Ethics and Social Respon, lesson1. Unethical behavior has consequences for future business, including heavy fines, expensive lawsuits and reputational damage. protect them from retaliation Which of the following statements is false? The unethical and illegal activity in which investors use private company information to further their own fortunes or those of their family and friends is called: The most effective ethics officers are equally comfortable as ________ and investigators. lower ethical standards than in the past. \text{Rent} & \text{0.30} & \text{\$ 12.000}\\ Multiple select question. Business ethics concerns ethical dilemmas or controversial issues faced by a company. enjoy greater employee loyalty In the long run, CSR enhances profits. (C) make students who know how to plagiarize well acceptable to employers Top management at Lancer Distributing is convinced that they have a social responsibility to their community. B. the police in jurisdictions where the business has operations. Positive Effects of . Economics (/ k n m k s, i k -/) is the social science that studies the production, distribution, and consumption of goods and services.. Economics focuses on the behaviour and interactions of economic agents and how economies work. School McMaster University; Course Title COMMERCE 1E03; Type. social media Other times, they may feel as though they are caught between what their higher-ups want them to do and what the law requires. D. Deceptive advertising of food products E. All of the answers are correct, As a new employee, Vanessa has heard her boss say, "Do whatever it takes to meet your sales quota. Which of the following represent examples of how corporations set positive standards of ethical behavior? Which of the following is NOT included as one of the questions we must ask when faced with an ethical dilemma? Full-time co-workers 3. "It's an ongoing phenomenon that must be better understood and managed and . What does the research into business ethics say? Typically, it is the kind of information where parties in the know can benefit. providing safety equipment and training for their workers, increasing the diversity of their workforce corporate policy 22. Less than 202020 percent of the eligible voters has\underline{\text{has}}has an opinion about that subject. (D) long jail terms for those who acted unethically. To manage these risks and the ethical obligations they imply, CDOs should work on developing institutional practices for continual learning and interaction with external experts. What Does Ethical Decision Making Mean? Vanessa recognizes this as a(n) ________-based code of ethics. They define crimes more narrowly than do ethics protect from fraud, theft, and violence, while are used to decide how we treat others responsibly to society's views of right and wrong Ethically Behaving often requires more than obeying the law. He also believed anything other than that would be considered: One entity (e.g., a person, a firm) "does business" with another when it exchanges a good or service for valuable consideration, i.e., a benefit such as money. A business should be managed ethically because Multiple select question. Multinational corporations are committed to operating within the legal limits of U.S. law. D. structure and strategy. Assessment-driven ethics codes, Who sets the standards of right and wrong as defined by ethics? D. to please customers, employees, and society. \text{Insurance Expense} & \$ 2,000 & \text{Salaries Expense} & \$ 37,000 \\ free from the concern of Religious institutions, Which set of ethics codes defines an organization's guiding values, creates an environment that supports ethically sound behavior, and stresses shared accountability? The dimension of social responsibility known as _________________responsibility includes everything from hiring minority workers to making safe products, minimizing pollution, using energy wisely, and providing a safe work environment. Backend and front-end engineers, data scientists) as well as designers and UX researchers to bring products to life that make our users' problems and pain-points go away!<br><br>As a product manager I have to wear different hats every day and I excel at . Internal Audit Company Protection Act integrity-based ethics Supervisor 4. A business should be managed ethically because, businesses with good reputations attract customers. ___________ _____________ ethics codes define an organization's guiding values, create an environment that supports ethically sound behavior, and stresses shared accountability. Which of the following facts best exemplifies the statement that "ethical problems are not unique to the United States"? It does not subtract from the bottom line; it adds to it. Though there are many ethical opinions that most people share, ethics will differ from person to person. Proponents of corporate social responsibility strongly believe in benevolence; however, they still want their businesses to be profitable. _____________________ _____________________ _____________________is a business's concern for the welfare of society. It is an act that is against the law and against Securities and Exchange Commission policy. (C) benevolence is the highest virtue Top management 4. higher ethical standards than in the past. TV ads draw more customers, retain better employees To understand why ethical behavior is important, it might be helpful to know how unethical behavior affects a company. Research into ethics and business performance has shown the two are linked in some important ways. [D] requiring all bankers to sign ethical codes. D. stockholders. Tejas Vemparala also contributed to this article. These actions are Today, as many Americans (64%) say that a company's "primary purpose" should include "making the world better" as say it should include "making money for shareholders." Businesses should create and display their code of ethics publicly. The business term we use to describe this philanthropic action is ___________________, where a company donates what it does best to help make a situation better. socially conscious research organizations. Top management Businesses can show their CSR in many ways. In turn, employees will trust that their leadership team is working toward the greater good of the entire company. B. an individual's behaviour is influenced by the behaviour of others. According to Norman Vincent Peale, which of the following questions should Jake refer to as he proceeds to make an ethical decision? B. because strict global regulations require it. The concern businesses have for the welfare of society, not just for their owners is: Unethical businesses also lose favor with consumers. If the verb is already correct, write C above it. B. Horn blower compliance-based U.S. companies that operate abroad, particularly those who contract with foreign companies, are now ________ human rights and environmental standards followed by U.S. law. Dont make ethics an afterthought in your company culture. Socially conscious investors insist that a company extend its own high standards to its ____________________. Internal auditors whistleblowers the collection of laws to protect society from fraud, theft, and violence. Compliance-based ethics codes, In order to have trust and cooperation between workers and managers there needs to be Multiple Choice Having constant conversations and reminders makes it less likely an employee will break a rule or have a low-quality output. Dodd-Frank Wall Street Reform and Consumer Protection Act Multiple choice question. leaving unethical behavior unpunished If youre concerned your company culture isnt rooted in ethical behavior, consider taking corrective action to reduce and prevent further unethical activities by employees. Many organizations create a code of ethics, which might include generic guidelines for ethical behavior about doing the right thing or remaining fair. Multiple choice question. plan to maximize profits for shareholders to spend in communities social media. This is especially so when the market is very competitive, because then the customers have a lot of options and could switch to another product or service provider.. A company that has socially responsible human resources management is Companies that participate in CSR typically have more loyal employees and customers. An important factor in enforcing an ethics code is: The chief engineer has recommended against this move, however, pointing out that the cost to produce the starters would be greater than the current 8.40perunitpurchaseprice:8.40 per unit purchase price:8.40perunitpurchaseprice: PerUnitTotalDirectmaterials$3.10Directlabor2.70Supervision1.50$60.000Depreciation1.00$40.000Variablemanufacturingoverhead0.60Rent0.30$12.000Totalproductioncost$9.20\begin{matrix} C. Watch tower sentinel acquisition stalking. [B] about being fair and honest with their stakeholders Customers capitalism D. concern for the welfare of society. Its premise is based on integrity, fairness, and respect for others. The rent charge above is based on space utilized in the plant. It also builds customer loyalty over time, creating a customer base that is likely to refer your business to others. [C] can be trusted to maintain confidentiality A. code of ethics. Then, of course, there are the more serious consequences of highly unethical behavior. 360 degrees marketeer, business strategy addict, passionate about creative projects and most importantly project teams. for the welfare of society as a whole, True or false: Corporate Social Responsibility (CSR) and corporate profits can at times go hand in hand. Suppliers Discrimination and Harassment. increased their financial donations because they understood how badly society needed a helping hand. punishing unethical behavior and rewarding ethical behavior privately A. Whistleblower The majority of CEOs blame unethical employee conduct on: Emphasizes strong penalties for wrongdoers vigilantes. This is somebodyelse\underline{\text{somebody else}}somebodyelse notebook. higher ethical standards than in the past. Business Ethics refers to carrying business as per self-acknowledged moral standards. [D] To avoid lawsuits, Effective ethics officers: Multiple Choice When implementing a new ethics program, businesses must also communicate the changes to outside parties such as: The statement by Patagonia that "A love of wild and beautiful places demands participation in the fight to save them, and to help reverse the steep decline in the overall environmental health of our planet" is an example of: Attracting and retaining better employees is an example of a corporate social responsibility: Unethical behavior in business, especially in the real estate and banking industries, has resulted in (D) businesses cannot succeed in societies that fail. allows them to reach specific groups more directly. I'm a Product Manager with experience working cross-functionally with business roles (e.g. A. the breakdown of traditional religious institutions. C. commitment to a management training program. (A) likely to perform better financially Implementing ethical standards within an organization starts with: An employee who reported her boss to the SEC for insider trading would be considered a(n) _____________ protected by law. Integrity-driven ethics codes Demanding Ethical and Socially Res, Intro-Into-Business: Ch. Target is a business. <br><br>Customer care professional with experience in building customer loyalty, analyzing customer behavior, creative customer relationship . J. M. D'Aquila, D. F. Bean, and E. G. Procario- Foley (2004) reported that 97% of business leaders perceive American businesses as ethical, versus 24.5% of students. D. buying the company's products. This will ensure the stability of all structural parts, help to form a sense of belonging to one community with the same goals and aspirations. There is significant pressure on U.S. companies to separate themselves from suppliers who violate human rights and environmentally progressive guidelines. Multiple Choice lose sales revenues \text{Cash} & 7,000 & \text{Equipment} & 26,600 \\ 'Business' can also mean an entity that offers goods and services for exchange, i.e., that sells things. employees and internal public relations That person called five of his relatives and several friends. Business should be managed ethically because Businesses with good reputations attract customers It reduces employee turnover It reduces the likelihood of lawsuits by employees or customers True or false: individuals have social responsibilities regarding their ethical behavior in the business world. Reevaluating its ethics codes based on the input of its customers. only with their responsibility to their shareholders This indicates that: A. dancing around issues should be part of a firm's code of ethics. Multiple choice question. The monetary award may total as high as 30% of the amount collected for violations that exceed $1 million. \text{Utilities Expense} & 500 & \text{Office Supplies} & 1,500 \\ HR professionals sometimes face ethical or moral dilemmas. Increasing public concern for the environment created by the ________________ movement has more businesses looking for environmentally friendly ways to do business. Business ethics inform a company's values and goals, as well as how it runs its day-to-day operations. Ethical behavior can have negative consequences to the bottom line in the long run. Business Ethics is important because it helps organizations create a code of conduct that they can rely on to make decisions. Though discrimination and harassment laws have been put in place and continue to be updated . Which of the following statements reflects the difficulty companies face when requiring international suppliers to follow environmental and human rights standards set by U.S. firms? stockholders All else held equal, socially responsible firms: A. are viewed more favourably by consumers. Who sets the standards of right and wrong as defined by ethics? This, then, creates greater stability within the company.. D. Pricing practices She has asked you to give her information about what determines the level of various interest rates. increasing control Which of the following would least likely involve ethical concerns? An important factor in enforcing ethics codes is selecting a(n) _________________ __________________. Many businesses believe that they should have an influential and important role in: Societies set the standards for moral behavior, known as, About one out of four adults in the U.S. chooses to take responsibility for the communities they live in through __________ work. Which of the following facts best exemplifies the statement that "ethical problems are not unique to the United States"? (B) going to save money by not hiring those who are disabled D. shift the production of goods to foreign facilities and layoff Canadian workers. Product safety To attract customers To avoid lawsuits To maintain a good reputation Making decisions that we know are different from what is right erodes our self-esteem. called stakeholder interest benevolence can lead to a vote of no confidence by company stakeholders. Society Explanation [A] it reduces employee turnover communism, Many corporate executives reported that they use social media to communicate their socially responsible activities to customers because it: going to save money by not hiring those who are disabled An organization's managers instill corporate values and _____________ in employees by the examples they set.