Exam 4: Social Responsibility and Ethics in Marketing

Pressures to substitute inferior materials to reduce costs may result in product-related issues.

Marketers resolve ethical issues based on their experiences and what they learn from others in the organization. The outcome of this learning process depends on _____________________, opportunity for unethical behavior, and exposure to others who behave ethically or unethically.

The Transportation Division of the GE Corporation is located in a small city that has limited economic growth at this time. Due to the condition of the local school system, GE contributed $2 million to repair and revive it, stating that GE believed in education for the community. This action would imply that GE is in which level of the pyramid of social responsibility?

Scenario 4.2 Use the following to answer the question. WhiteWave Foods, producer of brands such as Silk Soymilk, specializes in manufacturing innovative and nutritious food products. Silk Soymilk was first launched in 1996 and is committed to the health of its customers, as well as the health of the planet. At Silk, they have offset all of their energy consumption with wind power, preventing over 16,000 tons of greenhouse gases from entering the atmosphere each year. Silk Soymilk is made from a mixture of organic and natural, non-genetically-modified soybeans, reducing the amount of pesticides in the air, soil, and water. Since 2002 they have been sponsoring the FarmAid concert, whose mission is to keep family farmers on their land and ensure a safe, healthy food supply for all Americans. Refer to Scenario 4.2. Silk Soymilk's parent company, WhiteWave Foods, is currently operating at the ____ level of the social responsibility pyramid with its sponsorship of the FarmAid concert.

Which of the following is not one of the four dimensions of social responsibility presented in your text?

Consumerism is

The more a person is exposed to unethical activity in the organizational environment, the more likely it is that he or she will behave unethically.

In response to organizational pressure to perform, Barry used a deceptive sales tactic to obtain a major sales contract. He was surprised that he wasn't punished for his behavior and even received a substantial bonus for securing the contract. Given the same opportunity in the future, Barry will most likely

Angela organized a boycott of a local restaurant because of the owner's obvious prejudicial treatment of Hispanics. Angela's action would most likely be called

In a meeting with key personnel, Watson Corporation's president speaks to the firm's managers about social responsibility in business today. He suggests that the key to being socially responsible is to

________________ promote ethical behavior by reducing opportunities for unethical behavior; employees know what is expected of them and what kind of punishment follows if rules are violated.

The practice of linking a firm's product marketing to a particular social cause on an ongoing or short-term basis is known as

Any time an activity causes managers or consumers to feel manipulated or cheated, a marketing ethics issue exists, regardless of the legality of that activity.

As a media buyer for the Angelo Agency, Philip knows that no one ever checks to see if his phone calls are business related or personal. With regard to ethical behavior, this situation relates most closely to

Which of the following statements is false?

A set of values, beliefs, goals, norms, and rituals shared by members of an organization is called

The adoption of a strategic focus for fulfilling the economic, legal, ethical, and philanthropic social responsibilities expected by stakeholders is called

Raleigh Wood Products produces hardwood flooring, paneling, and other furniture-grade components. Raleigh Wood traditionally has ground up its wood waste to make mulch. However, it has been brought to Raleigh's attention that there are chemicals from the paint and coloring process that may be harmful to the water table. Raleigh has now been looking for ways to use its wood waste other than in mulch. Environmentalists would likely

Any constituent who has a claim in some aspect of a company's products, operations, markets, industry, or outcomes is known as a(n)

Scenario 4.1 Use the following to answer the question. Hershey Foods was founded in the 19th century by Milton Hershey, who had a strong ethical value system: Always show integrity, be honest, and respect others. Hershey felt it was important to provide high-quality goods and services of real value at competitive prices that would provide an adequate return on investment. He also founded the Milton Hershey School, operating today as a cost-free, private home and school dedicated to helping children with social needs and limited resources. The company also focuses on environmental issues, such as reducing waste by 360,000 pounds annually by redesigning Hershey's Syrup caps. Hershey Foods has an ethics compliance program that includes a code of ethics and training, guidelines for handling legal and ethical issues, an 800 number for assistance with ethical issues, and support from supervisors and human resource managers in dealing with ethical issues. However, in the last few years, Hershey has been criticized by several advocacy groups concerning the sourcing of its chocolate from West Africa where many of the companies use child labor. While Hershey is the largest chocolate candy producer in America, it lags behind other major chocolate producers with regard to certifying its chocolate as child labor-free. Refer to Scenario 4.1. The criticism of Hershey's sourcing for chocolate is an example of ____, while the potential use of child labor to produce Hershey products impacts its level of commitment to ______.