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SOLUTION MANUAL m
Business Law: Text & Exercises (MindTap Course List)
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10th Edition by Roger LeRoy Miller, William E. Hollowell
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, Business Law: Text & Exercises (MindTap Course List)
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Chapter 1 m
Table of Contents m m
Purpose and Perspective of the Chapter............................................................................................................. 2
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Cengage Supplements ................................................................................................................................................. 2
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List of Student Downloads .................................................................................................................................... 2
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Chapter Objectives ......................................................................................................................................................... 2
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Key Terms .......................................................................................................................................................................... 2
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What's New in This Chapter ..................................................................................................................................... 3
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Chapter Outline ............................................................................................................................................................... 4
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Discussion Questions .................................................................................................................................................... 8
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Additional Resources ................................................................................................................................................. 10
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Cengage Video Resources .................................................................................................................................. 10
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Appendix ......................................................................................................................................................................... 10
Generic Rubrics ........................................................................................................................................................ 10
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Standard Writing Rubric ...................................................................................................................................... 10
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Standard Discussion Rubric ................................................................................................................................ 12
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, Business Law: Text & Exercises (MindTap Course List)
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Purpose and Perspective of the Chapter m m m m m
The purpose of this chapter is to examine the relationship between law and ethics. The
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mchapter presents issues involved to determining the ethical responsibilities of businesses
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mand provides students a framework for analyzing and making ethical decisions.
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Cengage Supplements m
The following product-level supplements provide additional information that may help
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myou in preparing your course. They are available in the Instructor Resource Center.
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PowerPoint Deck m
List of Student Downloads
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Students should download the following items from the Student Companion Center to
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mcomplete the activities and assignments related to this chapter:
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PowerPoint Deck (without teaching notes, activities, or answers)
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Chapter Objectives m
The following objectives are addressed in this chapter:
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1. Discuss how business can discourage unethical behavior
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2. Explain the relationship between law and ethics
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3. Compare duty-based ethics and utilitarian ethics m m m m m
4. Identify ethical problems in the global context m m m m m m
Key Terms m
business ethics: Ethics in a business context; a consensus of what constitutes right or
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mwrong behavior in the world of business and the application of moral principles to
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msituations that arise in a business setting.
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categorical imperative: A concept developed by the philosopher Immanuel Kant as an
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methical guideline for behavior. In deciding whether an action is right or wrong, or desirable
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mor undesirable, a person should evaluate the action in terms of what would happen if
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meverybody else in the same situation, or category, acted the same way.
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corporate social responsibility (CSR): The concept that corporations can and should
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mact ethically and be accountable to society for their actions.
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cost-benefit analysis: A decision-making technique that involves weighing the costs of a
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mgiven action against the benefits of the action.
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duty-based ethics: An ethical philosophy rooted in the idea that every person has certain
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mduties to others, including both humans and the planet. Those duties may be derived from
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mreligious principles or from other philosophical reasoning.
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ethical reasoning: A reasoning process in which an individual links his or her moral
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mconvictions or ethical standards to the particular situation at hand.
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, Business Law: Text & Exercises (MindTap Course List)
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ethics: Moral principles and values applied to social behavior.
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moral minimum: The minimum degree of ethical behavior expected of a business firm,
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mwhich is usually defined as compliance with the law.
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outcome-based ethics: An ethical philosophy that focuses on the impacts of a
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mdecision on society or on key stakeholders.
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outsourcing: The practice by which a company hires an outside firm or individual to
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mperform work rather than hiring employees.
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principle of rights: The principle that human beings have certain fundamental rights (to
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mlife, freedom, and the pursuit of happiness, for example). A key factor in determining
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mwhether a business decision is ethical under this theory is how that decision affects the
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mrights of others, such as employees, consumers, suppliers, and the community.
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stakeholders: Groups, other than the company’s shareholders, that are affected by
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mcorporate decisions. Stakeholders include employees, customers, creditors, suppliers, and
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mthe community in which the corporation operates.
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triple bottom line: The idea that investors and others should consider not only corporate
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profits, but also the corporation’s impact on people and on the planet in assessing the firm.
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m(The bottom line is people, planet, and profits.)
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utilitarianism: An approach to ethical reasoning in which ethically correct behavior is
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mrelated to an evaluation of the consequences of a given action on those who will be
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maffected by it. In m m m
utilitarian reasoning, a ―good‖ decision is one that results in the greatest good for the
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mgreatest number of people affected by the decision.
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What's New in This Chapter m m m m
The following elements are improvements in this chapter from the previous edition:
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New chapter title and chapter-opening introduction scenario discussing
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m recent technology scandal involving finger-prick blood test kits
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New chapter organization and subheads throughout (including new headings for
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―outsourcing‖ and ―corruption‖) m m
New section on Making Ethical Business Decisions and new materials on Systematic
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Approach: IDDR (―I desire to do right‖) that will be used throughout the text to
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m analyze ethics, including in all of the new ―A Question of Ethics‖ problems in the
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m remaining chapters. m
o New ―Application of the IDDR Approach‖ subsection with step-by-step
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discussion and sample scenario.
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1 New Exhibit 3–1: An Analysis of Ethical Approaches to the
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m SampleDilemma (for new IDDR Approach)
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o 1 New Term & Concept
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outsourcing
1 New Ethics Today feature—
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