AGB 302 Chapter 5 Exam Questions and Answers

Ethics - Answer-Accepted principles of right or wrong that govern the conduct of a person, the members of a profession, or the actions of an organization Business Ethics - Answer-accepted principles of right or wrong governing the conduct of businesspeople Ethical Strategy - Answer-A strategy, course of action, that does not violate these accepted principles Tragedy of Commons - Answer-Occurs when a resource held in common by all, but owned by no one, is overused by individuals, resulting in its degradation facilitating payments - Answer-are not payments to secure contracts that would not otherwise be secured, nor are they payments to obtain exclusive or preferential treatment Convention on Combatting Bribery of Foreign Public Officials in International Business Transactions - Answer-The convention obliges member states and other signatories to make the bribery of foreign public officials a criminal offense Foreign Corrupt Practices Act (FCPA) - Answer-The act outlawed the paying of bribes to foreign government officials to gain business Organizational Culture - Answer-The values and norms that are shared among employees of an organization The Roots of Unethical Behavior - Answer-1) Personal Ethics 2) Decision-making processes 3) Organizational Culture 4) Unrealistic performance culture 5) Leadership 6) Societal Culture Straw Men - Answer-their approaches to business ethics are raised by business ethics scholars primarily to demonstrate that they offer inappropriate guidelines for ethical decision making in a multinational enterprise Cultural Relativism - Answer-the belief that ethics are nothing more than the reflection of a culture and that a company should adopt the thics of the culture in which it is operating