Exam 2: Understanding Business Ethics and Social Responsibility

A conflict of interest occurs when an activity may benefit the individual to the detriment of his or her employer.

How do issues of social responsibility and ethics affect small business?

Which government agency regulates advertising and pricing practices to protect consumers?

Firms that meet, and occasionally exceed, legal and ethical requirements, take what type of social responsibility stance?

In the United States, there are increased expectations for a greater social role for business.

A whistle-blower is an outsider who reports publicly on the wrongdoings of companies.

What is the result of two or more firms collaborating on a wrongful act, such as price fixing?

Which of the following occurs when someone uses confidential information to gain from the purchase or sale of stocks?

The standards of behavior that guide managers in their work are called employee ethics.

When evaluating a decision based on the ethical norm of rights, a manager is MOST likely to consider which of the following questions?

If a manager believes their job is to generate profits and is willing to do everything legally required, but no more, what social responsibility stance is being taken?

Which ethical norm considers whether a particular act optimizes the benefits to those who are affected by it?

Though an individual feels that his behavior is ethical, that behavior may still be considered unethical if social norms consider it to be so.

What is the purpose of a written code of ethics?

What do new forms of solid-waste disposal such as repurposing combustible waste help prevent?

What is collusion?

Managerial ethics can be classified into three areas; behavior toward employees, behavior toward the organization and behavior toward other economic agents.

What government agency has the responsibility to handle investor-related issues?

Discuss the difference between lobbying and using Political Action Committees as a means to influence government.

Which of the following is an informal dimension for managing social responsibility?