BUSINESS ETHICS AND SOCIAL RESPONSIBILITIES IN
ENTREPRENEURSHIP UPDATED ACTUAL QUESTIONS
AND CORRECT ANSWERS
Question:
What is the primary focus of business
ethics?
Answer:
The distinction between right and wrong in business
conduct.
Question:
What influences the ethical behavior of
entrepreneurs?
Answer:
Public opinion, interest groups, business
organizations, and personal morals.
Question:
How does adherence to ethical
standards benefit business?
Answer:
It establishes trust between buyers and sellers and
facilitates smooth business exchanges.
Question:
What are the four factors influencing
ethical behavior?
Answer:
Situation, reward system, individual differences, and
other factors.
Question:
How can financial hardship affect
ethical behavior in firms?
Answer:
Firms may act unethically during financial hardships
compared to prosperous times.
, Question:
What motivates individuals to commit
unethical behavior?
Answer:
The expectation of high rewards and lack of strong
community condemnation.
Question:
What is a code of ethics?
Answer:
A formal document outlining principles of appropriate
behavior for a business.
Question:
What are two key requirements for an
effective code of ethics?
Answer:
It should specify unethical practices and must be
supported by top management.
Question:
What role do rewards and punishments
play in ethical behavior?
Answer:
They motivate personnel to act ethically through
incentives and consequences.
Question:
What types of punishments can be
instituted for unethical behavior?
Answer:
Dismissal, demotion, suspension, or reprimand.
Question:
What is the purpose of internal
programs for resolving conflicts?
Answer:
To provide a means for employees to address
grievances without exposing them to superiors.
Question:
What is the function of ethics review
committees?
Answer:
To provide advice on sensitive ethical issues and
encourage ethical behavior.
ENTREPRENEURSHIP UPDATED ACTUAL QUESTIONS
AND CORRECT ANSWERS
Question:
What is the primary focus of business
ethics?
Answer:
The distinction between right and wrong in business
conduct.
Question:
What influences the ethical behavior of
entrepreneurs?
Answer:
Public opinion, interest groups, business
organizations, and personal morals.
Question:
How does adherence to ethical
standards benefit business?
Answer:
It establishes trust between buyers and sellers and
facilitates smooth business exchanges.
Question:
What are the four factors influencing
ethical behavior?
Answer:
Situation, reward system, individual differences, and
other factors.
Question:
How can financial hardship affect
ethical behavior in firms?
Answer:
Firms may act unethically during financial hardships
compared to prosperous times.
, Question:
What motivates individuals to commit
unethical behavior?
Answer:
The expectation of high rewards and lack of strong
community condemnation.
Question:
What is a code of ethics?
Answer:
A formal document outlining principles of appropriate
behavior for a business.
Question:
What are two key requirements for an
effective code of ethics?
Answer:
It should specify unethical practices and must be
supported by top management.
Question:
What role do rewards and punishments
play in ethical behavior?
Answer:
They motivate personnel to act ethically through
incentives and consequences.
Question:
What types of punishments can be
instituted for unethical behavior?
Answer:
Dismissal, demotion, suspension, or reprimand.
Question:
What is the purpose of internal
programs for resolving conflicts?
Answer:
To provide a means for employees to address
grievances without exposing them to superiors.
Question:
What is the function of ethics review
committees?
Answer:
To provide advice on sensitive ethical issues and
encourage ethical behavior.
