MGMT 449 EXAM 3 QUESTIONS WITH VERIFIED
ANSWERS
Ch9: Ethics, Corporate Social Responsibility, Environmental Sustainability, &
Strategy - Answers - Ch9: Ethics, Corporate Social Responsibility, Environmental
Sustainability, & Strategy
What influences ethical behavior in organizations? - Answers - Internal Organizational
Factors
- Ethical code of conduct
- Organizational culture
- Organizational size
- Corporate strategy
External Organizational Factors
- Political/legal system
- National culture
Individual Factors
- Personality
- Values
Naive Relativism - Answers - "I'm ok, you're ok"
Role Relativism - Answers - "I was only doing my job"
Social Group Relativism - Answers - "Everyone's doing it"
Cultural Relativism - Answers - "When in Rome...."
The utilitarian view - Answers - - Majority rule
- The greatest good for all (on average)
The individual right view - Answers - - Fundamental rights for each human being
The justice view - Answers - - Fairness on a case by case basis
- Fair distributions of costs and benefits
ethical universalism
common understandings - Answers - According to the school of _______________,
_______________ across multiple cultures & countries about what constitutes right &
wrong behaviors give rise to universal ethical standards that apply to members of all
societies, all companies, & all businesspeople.
ethical relativism
, local - Answers - According to the school of _______________, different societal
cultures & customs have divergent values & standards of right & wrong. Thus, what is
ethical or unethical must be judged in the light of _______________ customs & social
mores & can vary from one culture or nation to another.
- Under _______________, there can be no one-size-fits-all set of authentic ethical
norms which to gauge the conduct of company personnel.
- Codes of conduct based on _______________ can be ethically dangerous for
multinational companies by creating a maze of conflicting ethical standards.
integrated social contracts theory
universal - Answers - According to the _______________, universal ethical principles
based on the collective views of multiple cultures & societies combine to form a "social
contract" that all individuals in all situations have a duty to observe. Within the
boundaries of this social contract, local cultures or groups can specify what additional
actions are not ethically permissible. However, _______________ (first-order) norms
always take precedence over local (second-order) ethical norms.
- In instances involving universally applicable ethical norms (like paying bribes), there
can be no compromise on what is ethically permissible & what is not.
Self-dealing - Answers - _______________ occurs when managers take advantage of
their position to further their own private interests rather than those of the firm.
Short-termism - Answers - _______________ is the tendency for managers to focus
excessively on short-term performance objectives at the expense of longer-term
strategic objectives. It has negative implications for the likelihood of ethical lapses as
well as company performance in the longer run.
Corporate Social Responsibility (CSR) - Answers - _______________ refers to a
company's duty to operate in an honorable manner, provide good working conditions for
employees, encourage workforce diversity, be a good steward of the environment, &
activity work to better the quality of life in the local communities where it operates & in
society at large.
The five components of a CSR strategy - Answers - 1. Act honorably & ethically
2. Enhance employee wellbeing
3. Promote workforce diversity
4. Emphasize environmental sustainability
5. Support philanthropy, participate in community service
CSR strategy - Answers - A company's _______________ is defined by the specific
combination of socially beneficial activities the company opts to support with its
contributions of time, money, & other resources.
Two most accepted definition of sustainability
Sustainable business practices - Answers - 1. The Triple Bottom Line: people, planet,
profit
ANSWERS
Ch9: Ethics, Corporate Social Responsibility, Environmental Sustainability, &
Strategy - Answers - Ch9: Ethics, Corporate Social Responsibility, Environmental
Sustainability, & Strategy
What influences ethical behavior in organizations? - Answers - Internal Organizational
Factors
- Ethical code of conduct
- Organizational culture
- Organizational size
- Corporate strategy
External Organizational Factors
- Political/legal system
- National culture
Individual Factors
- Personality
- Values
Naive Relativism - Answers - "I'm ok, you're ok"
Role Relativism - Answers - "I was only doing my job"
Social Group Relativism - Answers - "Everyone's doing it"
Cultural Relativism - Answers - "When in Rome...."
The utilitarian view - Answers - - Majority rule
- The greatest good for all (on average)
The individual right view - Answers - - Fundamental rights for each human being
The justice view - Answers - - Fairness on a case by case basis
- Fair distributions of costs and benefits
ethical universalism
common understandings - Answers - According to the school of _______________,
_______________ across multiple cultures & countries about what constitutes right &
wrong behaviors give rise to universal ethical standards that apply to members of all
societies, all companies, & all businesspeople.
ethical relativism
, local - Answers - According to the school of _______________, different societal
cultures & customs have divergent values & standards of right & wrong. Thus, what is
ethical or unethical must be judged in the light of _______________ customs & social
mores & can vary from one culture or nation to another.
- Under _______________, there can be no one-size-fits-all set of authentic ethical
norms which to gauge the conduct of company personnel.
- Codes of conduct based on _______________ can be ethically dangerous for
multinational companies by creating a maze of conflicting ethical standards.
integrated social contracts theory
universal - Answers - According to the _______________, universal ethical principles
based on the collective views of multiple cultures & societies combine to form a "social
contract" that all individuals in all situations have a duty to observe. Within the
boundaries of this social contract, local cultures or groups can specify what additional
actions are not ethically permissible. However, _______________ (first-order) norms
always take precedence over local (second-order) ethical norms.
- In instances involving universally applicable ethical norms (like paying bribes), there
can be no compromise on what is ethically permissible & what is not.
Self-dealing - Answers - _______________ occurs when managers take advantage of
their position to further their own private interests rather than those of the firm.
Short-termism - Answers - _______________ is the tendency for managers to focus
excessively on short-term performance objectives at the expense of longer-term
strategic objectives. It has negative implications for the likelihood of ethical lapses as
well as company performance in the longer run.
Corporate Social Responsibility (CSR) - Answers - _______________ refers to a
company's duty to operate in an honorable manner, provide good working conditions for
employees, encourage workforce diversity, be a good steward of the environment, &
activity work to better the quality of life in the local communities where it operates & in
society at large.
The five components of a CSR strategy - Answers - 1. Act honorably & ethically
2. Enhance employee wellbeing
3. Promote workforce diversity
4. Emphasize environmental sustainability
5. Support philanthropy, participate in community service
CSR strategy - Answers - A company's _______________ is defined by the specific
combination of socially beneficial activities the company opts to support with its
contributions of time, money, & other resources.
Two most accepted definition of sustainability
Sustainable business practices - Answers - 1. The Triple Bottom Line: people, planet,
profit
