https://www.stuvia.com/
TEST BANK FOR FOUNDATIONS OF
m m m m m
BUSINESS 5TH EDITION BY PRIDE
m m m m
,https://www.stuvia.com/
Chapter 02 Being Ethical and Socially Responsible
m m m m m m
ESSAY
1. Definembusinessmethics.
GradersmInfom:
Ethicsmismthemstudymofmrightmandmwrongmandmofmthemmoralitymofmthemchoicesmindividualsmmake.mBusinessmethics,mm
oremspecificallymdefined,mismthemapplicationmofmmoralmstandardsmtombusinessmsituations.
2. Whymaremfairnessmandmhonestyminmbusinessmimportantmethicalmconcerns?mGivemexamples.
GradersmInfom:
Fairnessmandmhonestyminmbusinessmaremconsideredmasmtwomimportantmethicalmconcerns.mInmadditionmtomobeyingmall
mlawsmandmregulations,mbusinesspeoplemaremexpectedmtomrefrainmfrommknowinglymdeceiving,mmisrepresenting,morm
intimidatingmothers.mThemPricewaterhouseCoopersmLLPmandmAnderson'smArkmandmAssociatesmcasesmprovemthatmth
emlackmofmfairnessmandmhonestymalsomismanmexpensivemproposition.
3. Whatmaremthemmajormethicalmissuesmbusinesspeoplemface?
GradersmInfom:
Challengesmtombeingmfairmandmhonest,mtemptationsmofmplacingmpersonalmwelfaremabovemthemwelfaremofmthemorgan
ization,mandmconflictsmofminterestmaremamongmcommonmethicalmissuesmthatmbusinesspeoplemmaymregularlymface.mB
usinessmcommunications,mespeciallymadvertising,mcanmalsompresentmethicalmquestionsmformemployeesmwithinmorga
nizations.
4. Whatmaremthemthreemmajormsetsmofmfactorsmbelievedmtomaffectmethicalmbehaviorminmanmorganization?
GradersmInfom:
Individualmfactorsmsuchmasmindividualmknowledgemofmissues,mpersonalmvalues,mandmpersonalmgoalsminfluencemtheml
evelmofmethicalmbehaviorminmanmorganization.mSocialmfactorsmsuchmasmculturalmnorms,mactionsmandmdecisionsmofmco
-
workers,msignificantmothers,mandmthemusemofmthemInternetmaffectmethicalmbehavior.mAlso,mthemamountmofmfreedom
manmorganizationmgivesmanmemployeemtombehavemunethicallymaffectsmethicalmbehaviorminmanmorganization.
5. Whatmaremsomemofmthemsocialmfactorsmthatmaffectmethicalmdecisions?
GradersmInfom:
,https://www.stuvia.com/
Culturalmnormsmismanmimportantmfactorminmconsideringmethicalmdecisionmmaking.mThemactionsmandmdecisionsmofmco-
mworkersmimpactmothermemployees'msensemofmbusinessmethics.mSignificantmothers-spouses,mfriends,mandmrelatives--
alsomcanmaffectmanmemployee'smperceptionmofmethicalmandmunethicalmdecisionsminmthemworkplace.mAlso,mthemusemof
mthemInternetmbymemployeesminmambusinessmsettingmismalsomanmimportantmsocialmfactormthatmaffectsmethicalmdecisio
nmmaking.
6. Howmcanmthemgovernmentmencouragemethicalmbehavior?mGivemanmexample.
GradersmInfom:
Themgovernmentmencouragesmethicalmbehaviormbymlegislatingmregulations.mOnemofmthemimportantmlandmarkmregul
ationsmthatmthemgovernmentmhasmcreatedmismthemSarbanes-
OxleymActmofm2002mwhichmdealsmwithmcorporatemresponsibility,mconflictsmofminterest,mandmcorporatemaccountabilit
y.
7. Definemamcodemofmethics.mDomcodesmcovermeverymbusinessmsituation?
GradersmInfom:
Amcodemofmethicsmismamwrittenmguidemtomacceptablemandmethicalmbehaviorminmanmorganization.mAmcodemoutlinesmunif
ormmpolicies,mstandards,mandmpunishmentsmformviolations.mAmcodemofmethicsmcannotmpossiblymcovermeverymsituatio
nmthatmmightmariseminmanmorganization.mAnmenvironmentminmwhichmemployeesmrecognizemthemimportancemofmcomp
lyingmwithmthemwrittenmcodemmustmalsombeminmplace.
8. Whatmmightmbemthempersonalmandmsocialmconsequencesmofmwhistle-blowingmwithinmone'smownmfirm?
GradersmInfom:
Whistle-
blowing,mthempracticemofminformingmthempressmormgovernmentmofficialsmaboutmunethicalmpracticesmwithinmone'smo
rganization,mcouldmimpactmthememployeemwhomblewmthemwhistlemthroughmlossmofmhismormhermjobmevenmthoughmth
emSarbanes-OxleymActmofm2002mprotectsmwhistle-
blowersmwhomreportmcorporatemmisconduct.mRetaliationmbymexecutivesmismamcriminalmoffensembut,mnevertheless,m
retaliationmdoesmoccur.
9. Whatmaremamfewmexamplesmofmcompaniesmactingmsociallymresponsible?
GradersmInfom:
Studentmanswersmwillmvary.mSomempossiblemanswersmincludemWalmart'smdonationmofm$20mmillionminmcas
h,m100mtruckloadsmofmfreemmerchandise,mandmfoodmform100,000mmealsmaftermHurricanemKatrina,mGeneral
mMills'
foundationmthatmawardsmmillionsmofmdollarsminmgrantsmtomcommunitymorganizations,mandmDell'smfoundationmthatmsu
pportsmamwidemrangemofmprogramsmthatmbenefitmchildrenminmDell'smprincipalmU.S.mlocations.
10. Definemthemdoctrinemofmcaveatmemptor.
,https://www.stuvia.com/
GradersmInfom:
TEST BANK FOR FOUNDATIONS OF
m m m m m
BUSINESS 5TH EDITION BY PRIDE
m m m m
,https://www.stuvia.com/
Chapter 02 Being Ethical and Socially Responsible
m m m m m m
ESSAY
1. Definembusinessmethics.
GradersmInfom:
Ethicsmismthemstudymofmrightmandmwrongmandmofmthemmoralitymofmthemchoicesmindividualsmmake.mBusinessmethics,mm
oremspecificallymdefined,mismthemapplicationmofmmoralmstandardsmtombusinessmsituations.
2. Whymaremfairnessmandmhonestyminmbusinessmimportantmethicalmconcerns?mGivemexamples.
GradersmInfom:
Fairnessmandmhonestyminmbusinessmaremconsideredmasmtwomimportantmethicalmconcerns.mInmadditionmtomobeyingmall
mlawsmandmregulations,mbusinesspeoplemaremexpectedmtomrefrainmfrommknowinglymdeceiving,mmisrepresenting,morm
intimidatingmothers.mThemPricewaterhouseCoopersmLLPmandmAnderson'smArkmandmAssociatesmcasesmprovemthatmth
emlackmofmfairnessmandmhonestymalsomismanmexpensivemproposition.
3. Whatmaremthemmajormethicalmissuesmbusinesspeoplemface?
GradersmInfom:
Challengesmtombeingmfairmandmhonest,mtemptationsmofmplacingmpersonalmwelfaremabovemthemwelfaremofmthemorgan
ization,mandmconflictsmofminterestmaremamongmcommonmethicalmissuesmthatmbusinesspeoplemmaymregularlymface.mB
usinessmcommunications,mespeciallymadvertising,mcanmalsompresentmethicalmquestionsmformemployeesmwithinmorga
nizations.
4. Whatmaremthemthreemmajormsetsmofmfactorsmbelievedmtomaffectmethicalmbehaviorminmanmorganization?
GradersmInfom:
Individualmfactorsmsuchmasmindividualmknowledgemofmissues,mpersonalmvalues,mandmpersonalmgoalsminfluencemtheml
evelmofmethicalmbehaviorminmanmorganization.mSocialmfactorsmsuchmasmculturalmnorms,mactionsmandmdecisionsmofmco
-
workers,msignificantmothers,mandmthemusemofmthemInternetmaffectmethicalmbehavior.mAlso,mthemamountmofmfreedom
manmorganizationmgivesmanmemployeemtombehavemunethicallymaffectsmethicalmbehaviorminmanmorganization.
5. Whatmaremsomemofmthemsocialmfactorsmthatmaffectmethicalmdecisions?
GradersmInfom:
,https://www.stuvia.com/
Culturalmnormsmismanmimportantmfactorminmconsideringmethicalmdecisionmmaking.mThemactionsmandmdecisionsmofmco-
mworkersmimpactmothermemployees'msensemofmbusinessmethics.mSignificantmothers-spouses,mfriends,mandmrelatives--
alsomcanmaffectmanmemployee'smperceptionmofmethicalmandmunethicalmdecisionsminmthemworkplace.mAlso,mthemusemof
mthemInternetmbymemployeesminmambusinessmsettingmismalsomanmimportantmsocialmfactormthatmaffectsmethicalmdecisio
nmmaking.
6. Howmcanmthemgovernmentmencouragemethicalmbehavior?mGivemanmexample.
GradersmInfom:
Themgovernmentmencouragesmethicalmbehaviormbymlegislatingmregulations.mOnemofmthemimportantmlandmarkmregul
ationsmthatmthemgovernmentmhasmcreatedmismthemSarbanes-
OxleymActmofm2002mwhichmdealsmwithmcorporatemresponsibility,mconflictsmofminterest,mandmcorporatemaccountabilit
y.
7. Definemamcodemofmethics.mDomcodesmcovermeverymbusinessmsituation?
GradersmInfom:
Amcodemofmethicsmismamwrittenmguidemtomacceptablemandmethicalmbehaviorminmanmorganization.mAmcodemoutlinesmunif
ormmpolicies,mstandards,mandmpunishmentsmformviolations.mAmcodemofmethicsmcannotmpossiblymcovermeverymsituatio
nmthatmmightmariseminmanmorganization.mAnmenvironmentminmwhichmemployeesmrecognizemthemimportancemofmcomp
lyingmwithmthemwrittenmcodemmustmalsombeminmplace.
8. Whatmmightmbemthempersonalmandmsocialmconsequencesmofmwhistle-blowingmwithinmone'smownmfirm?
GradersmInfom:
Whistle-
blowing,mthempracticemofminformingmthempressmormgovernmentmofficialsmaboutmunethicalmpracticesmwithinmone'smo
rganization,mcouldmimpactmthememployeemwhomblewmthemwhistlemthroughmlossmofmhismormhermjobmevenmthoughmth
emSarbanes-OxleymActmofm2002mprotectsmwhistle-
blowersmwhomreportmcorporatemmisconduct.mRetaliationmbymexecutivesmismamcriminalmoffensembut,mnevertheless,m
retaliationmdoesmoccur.
9. Whatmaremamfewmexamplesmofmcompaniesmactingmsociallymresponsible?
GradersmInfom:
Studentmanswersmwillmvary.mSomempossiblemanswersmincludemWalmart'smdonationmofm$20mmillionminmcas
h,m100mtruckloadsmofmfreemmerchandise,mandmfoodmform100,000mmealsmaftermHurricanemKatrina,mGeneral
mMills'
foundationmthatmawardsmmillionsmofmdollarsminmgrantsmtomcommunitymorganizations,mandmDell'smfoundationmthatmsu
pportsmamwidemrangemofmprogramsmthatmbenefitmchildrenminmDell'smprincipalmU.S.mlocations.
10. Definemthemdoctrinemofmcaveatmemptor.
,https://www.stuvia.com/
GradersmInfom:
