D072: Comprehensive- Fundamentals for Success in
Business Exam Questions Verified by Expert
Ethics - Answer A system of moral principles.
The principles of right and wrong that guide an individual in making decisions
Legal - Answer Permitted by law.
An act that is permissible or in conformity with the law of the land
Legal and Ethical (legal-ethical) - Answer When the law and personal or organization are in concordance
with each other
Legal and Unethical (legal-unethical) - Answer Dilemma in which stablished laws are not in accordance
or do not uphold the ethical choice
Illegal and Ethical (illegal-ethical) - Answer Dilemma in which ethical choice would be in violation of
stablished laws
Scenarios: Legal and Unethical (legal-unethical) - Answer I: As the outsourcing movement has grown, so
have accompanying reports of sweatshop abuses and health and safety issues. Ignoring dangerous work
conditions is unethical in any sense, regardless of where the workers are located.
II: A judge believes that the use of cannabis should never be allowed regardless of the situation due to
personal principles of what is right and wrong. A law was recently passed, however, allowing individuals
to use cannabis.
Scenarios: Legal and Ethical (legal-ethical) - Answer An organization plans to close its local factory and
shift manufacturing operations overseas. This brings opposition from employees.
,Scenarios: Illegal and Ethical (illegal-ethical) - Answer Pentagon papers case: U.S government officials
leaked top secret papers to inform the public about government actions during the Vietnam War.
Personal Ethics - Answer Codes, principals, and values that shape people's interactions with others
Values - Answer Stable life goals that people have that reflect what is most important to them
Morals - Answer are sets of rules that individuals develop based on cultural norms and beliefs
Scenarios: Values - Answer A job candidate asks questions during an interview to determine whether
their personal life goals align with those of the organization.
Organizational ethics - Answer Rules, principals, and standards for deciding what is morally right or
wrong when doing business
Scenarios: Organizational ethics - Answer If an organization can create an ethically oriented culture, it is
more likely to hire people who behave the same.
4 main Ethical Issues - Answer 1. Societal issues
2. Stakeholder issues
3. Internal policy issues
4. Personal Issues
Ethical Issues: Societal issues - Answer Concerns issues relating to the world as a whole
Involvement happens because of the ethics the organization creates out of care and concern for
individuals.
Ethical Issues: Stakeholder issues - Answer Concerns policies that affect its customers, employees,
suppliers, and people within the community
,Ethical Issues: Internal policy issues - Answer Concerns internal relationships between a company and its
employees
Examples include fairness in management, pay, and employee participation.
Ethical Issues: Personal issues - Answer Concerns how people treat others in their organization
Examples include gossiping at work or taking credit for another's work.
Stakeholder issues - Answer A company insists on treating suppliers with respect and refuses to push
them to the lowest pricing possible. Which level of organizational ethics is being used by this company
Internal policy issues - Answer A retail company frequently updates its principles, rules, and guidelines
to reflect input by employees.
Which level of organizational ethics is being illustrated by this company?
How Personal Ethics Affect Organizational Ethics - Answer Ethics and integrity tend to start (or fail) at
the top and trickle down.
Who is responsible for setting the ethical tone of a corporation? - Answer Managers
Integrity and ethics starts at the top with organizations' leadership and trickles down to everyone else.
A company is working hard to establish objectives that promote ethics and standards.
What terms describe how these objectives are defined? - Answer Specific and measurable
Specific outcomes define a desired outcome, and measurable outcomes define a method for
determining whether an objective has been met. Promoting ethics and standards requires specifically
defining which ethics and standards have been established and should be measurable based on
outcomes.
Corporate Social Responsibility (CSR) - Answer The notion in which a company voluntarily engages in
action that benefits society, be it economically, socially, politically, or environmentally.
, Corporate Social Responsibility (CSR) Main Idea - Answer Their aim is to more directly benefit from
corporate growth as well as surrounding entrepreneurial opportunities.
A company has embraced the philosophy of CSR.
Which practice reflects this commitment?
A) Ensuring that local, state, and federal taxes are paid on time
B) Abiding by state environmental laws
C) Holding a food drive to support local residents in need
D) Providing the workers with free coffee and tea during their shifts - Answer Correct Answer:
C - CSR refers to voluntary actions taken by a company that benefits the community at large. A food
drive is both voluntary and works to benefit the local community.
Steakholders - Answer Those who have a stake in the performance and output of an organization, such
as employees, unions, investors, suppliers, consumers, local and national government, and
communities.
World Trade Organization (WTO) - Answer a permanent global institution to promote international trade
and to settle international trade disputes
What is the strategic value of implementing CSR?
A) To maintain global operating guidelines such as those set by the WTO
B) To help recruit, train, and maintain groups of local employees
C) To generate a profit and meet the letter of the law in their business operations
D) To increase profits and trust in the long-term while promoting positive community relations - Answer
Correct Answer:
Business Exam Questions Verified by Expert
Ethics - Answer A system of moral principles.
The principles of right and wrong that guide an individual in making decisions
Legal - Answer Permitted by law.
An act that is permissible or in conformity with the law of the land
Legal and Ethical (legal-ethical) - Answer When the law and personal or organization are in concordance
with each other
Legal and Unethical (legal-unethical) - Answer Dilemma in which stablished laws are not in accordance
or do not uphold the ethical choice
Illegal and Ethical (illegal-ethical) - Answer Dilemma in which ethical choice would be in violation of
stablished laws
Scenarios: Legal and Unethical (legal-unethical) - Answer I: As the outsourcing movement has grown, so
have accompanying reports of sweatshop abuses and health and safety issues. Ignoring dangerous work
conditions is unethical in any sense, regardless of where the workers are located.
II: A judge believes that the use of cannabis should never be allowed regardless of the situation due to
personal principles of what is right and wrong. A law was recently passed, however, allowing individuals
to use cannabis.
Scenarios: Legal and Ethical (legal-ethical) - Answer An organization plans to close its local factory and
shift manufacturing operations overseas. This brings opposition from employees.
,Scenarios: Illegal and Ethical (illegal-ethical) - Answer Pentagon papers case: U.S government officials
leaked top secret papers to inform the public about government actions during the Vietnam War.
Personal Ethics - Answer Codes, principals, and values that shape people's interactions with others
Values - Answer Stable life goals that people have that reflect what is most important to them
Morals - Answer are sets of rules that individuals develop based on cultural norms and beliefs
Scenarios: Values - Answer A job candidate asks questions during an interview to determine whether
their personal life goals align with those of the organization.
Organizational ethics - Answer Rules, principals, and standards for deciding what is morally right or
wrong when doing business
Scenarios: Organizational ethics - Answer If an organization can create an ethically oriented culture, it is
more likely to hire people who behave the same.
4 main Ethical Issues - Answer 1. Societal issues
2. Stakeholder issues
3. Internal policy issues
4. Personal Issues
Ethical Issues: Societal issues - Answer Concerns issues relating to the world as a whole
Involvement happens because of the ethics the organization creates out of care and concern for
individuals.
Ethical Issues: Stakeholder issues - Answer Concerns policies that affect its customers, employees,
suppliers, and people within the community
,Ethical Issues: Internal policy issues - Answer Concerns internal relationships between a company and its
employees
Examples include fairness in management, pay, and employee participation.
Ethical Issues: Personal issues - Answer Concerns how people treat others in their organization
Examples include gossiping at work or taking credit for another's work.
Stakeholder issues - Answer A company insists on treating suppliers with respect and refuses to push
them to the lowest pricing possible. Which level of organizational ethics is being used by this company
Internal policy issues - Answer A retail company frequently updates its principles, rules, and guidelines
to reflect input by employees.
Which level of organizational ethics is being illustrated by this company?
How Personal Ethics Affect Organizational Ethics - Answer Ethics and integrity tend to start (or fail) at
the top and trickle down.
Who is responsible for setting the ethical tone of a corporation? - Answer Managers
Integrity and ethics starts at the top with organizations' leadership and trickles down to everyone else.
A company is working hard to establish objectives that promote ethics and standards.
What terms describe how these objectives are defined? - Answer Specific and measurable
Specific outcomes define a desired outcome, and measurable outcomes define a method for
determining whether an objective has been met. Promoting ethics and standards requires specifically
defining which ethics and standards have been established and should be measurable based on
outcomes.
Corporate Social Responsibility (CSR) - Answer The notion in which a company voluntarily engages in
action that benefits society, be it economically, socially, politically, or environmentally.
, Corporate Social Responsibility (CSR) Main Idea - Answer Their aim is to more directly benefit from
corporate growth as well as surrounding entrepreneurial opportunities.
A company has embraced the philosophy of CSR.
Which practice reflects this commitment?
A) Ensuring that local, state, and federal taxes are paid on time
B) Abiding by state environmental laws
C) Holding a food drive to support local residents in need
D) Providing the workers with free coffee and tea during their shifts - Answer Correct Answer:
C - CSR refers to voluntary actions taken by a company that benefits the community at large. A food
drive is both voluntary and works to benefit the local community.
Steakholders - Answer Those who have a stake in the performance and output of an organization, such
as employees, unions, investors, suppliers, consumers, local and national government, and
communities.
World Trade Organization (WTO) - Answer a permanent global institution to promote international trade
and to settle international trade disputes
What is the strategic value of implementing CSR?
A) To maintain global operating guidelines such as those set by the WTO
B) To help recruit, train, and maintain groups of local employees
C) To generate a profit and meet the letter of the law in their business operations
D) To increase profits and trust in the long-term while promoting positive community relations - Answer
Correct Answer:
