Exam 3: Ethics and Social Responsibility

During World War II,German industrialist Oskar Schindler paid money out of his own pocket in order to hire and save the lives of almost 1200 Jews during the Holocaust by employing them in his enamelware and ammunition factories.Some evidence indicates that his ammunition factories deliberately produced faulty product and did not manufacture a single usable shell for the Nazis. Schindler was most likely at the _____ stage of ethical development.

Sustainability refers to a business's concern for society's welfare.

According to _____ utilitarianism,a person performs the acts that benefit the most people,regardless of personal feelings or societal constraints.

A recent study of marketing professionals found their ethical judgments were influenced by several factors.List four of these factors.How do these factors contribute to the ethical environment of a marketing organization?

List and describe the three levels of ethical development.

All of the following are one of the six modes of social control EXCEPT:

Nordic Travel Retail Group (NTRG)Chairman Erik Thomsen,speaking at the Nordic Travel Retail Seminar said,"Travel retail is all about great brands in a great environment.Our sector is no longer an isolated channel that consumers,as well as politicians,only become aware of when accompanying their families on annual summer holidays or enjoying city breaks or weekend cruises.The reality is that quite simply,if we choose to keep our distance and focus narrowly on products and customers,others will set the agenda and leave us at the mercy of the political process." He continued by saying,"We should not only take climate change seriously,but also ensure that our consumers know we do." Thomsen is calling for his industry to engage in:

_____ is the idea that socially responsible companies will outperform their peers by focusing on the world's economic,social,and environmental problems and viewing them as opportunities to build profit and help the world at the same time.

Drug Marketing Pharmaceutical companies spent $4.4 billion on prescription drug advertising in 2008,mostly on television and in magazines.While the Internet is becoming a more prominent medium to reach consumers and is the primary source used to seek health information,these companies spent less than $130 million on Web marketing.One reason is that there are no guidelines,which makes these heavily-regulated marketers uneasy.For example,television commercials for prescription drugs must include disclosures regarding the major side effects if the brand name is mentioned in the ad.The Food and Drug Administration (FDA)claims that existing regulations address many of the Internet advertising issues,but other aspects of Web marketing,such as social networking and search marketing,must be reviewed.That's why the FDA hearings on this issue were attended by pharmaceutical giants and Web companies like Google,Yahoo,and WebMD Health. -Refer to Drug Marketing.If a drug manufacturer claimed that its manufacturing processes were environmentally friendly in its advertising,this is an example of:

Drug Marketing Pharmaceutical companies spent $4.4 billion on prescription drug advertising in 2008,mostly on television and in magazines.While the Internet is becoming a more prominent medium to reach consumers and is the primary source used to seek health information,these companies spent less than $130 million on Web marketing.One reason is that there are no guidelines,which makes these heavily-regulated marketers uneasy.For example,television commercials for prescription drugs must include disclosures regarding the major side effects if the brand name is mentioned in the ad.The Food and Drug Administration (FDA)claims that existing regulations address many of the Internet advertising issues,but other aspects of Web marketing,such as social networking and search marketing,must be reviewed.That's why the FDA hearings on this issue were attended by pharmaceutical giants and Web companies like Google,Yahoo,and WebMD Health. -Refer to Drug Marketing.Which mode of social control is likely causing the relatively small expenditures on Web marketing by pharmaceutical companies?

Suppliers are considered stakeholders of a firm.

Pacific Gas and Electric (PG&E)Company has donated almost $300,000 to 58 local governments and community-based organizations for local economic development projects.Recipients of these grants include the San Benito County Economic Development Corporation's Business Outreach Program,the San Jose Conservation Corps' Hennessy Place Affordable Single-Family Housing Project,and Mariposa County's Business Development Training Program.This sort of donation indicates PG&E was operating at a(n)_____ responsibility level of the pyramid of corporate social responsibility.

All of the following are factors influencing ethical decision making and judgments EXCEPT:

Top managers who behave ethically can influence others in an organization to behave ethically.

Proponents of _____ hold that solving ethical dilemmas requires training and that individuals solve ethical dilemmas when they develop and nurture a set of character traits valued as being good.

Novartis created the Novartis Research Institute for Tropical Diseases in Singapore.The institute is unique because it is a not-for-profit organization that focuses on the discovery of new drugs for the treatment of neglected diseases,such as dengue fever and tuberculosis.Not only is this good business,it is also:

One potential drawback of cause-related marketing is that:

Drug Marketing Pharmaceutical companies spent $4.4 billion on prescription drug advertising in 2008,mostly on television and in magazines.While the Internet is becoming a more prominent medium to reach consumers and is the primary source used to seek health information,these companies spent less than $130 million on Web marketing.One reason is that there are no guidelines,which makes these heavily-regulated marketers uneasy.For example,television commercials for prescription drugs must include disclosures regarding the major side effects if the brand name is mentioned in the ad.The Food and Drug Administration (FDA)claims that existing regulations address many of the Internet advertising issues,but other aspects of Web marketing,such as social networking and search marketing,must be reviewed.That's why the FDA hearings on this issue were attended by pharmaceutical giants and Web companies like Google,Yahoo,and WebMD Health. -Refer to Drug Marketing.If a drug manufacturer donated $5 to AIDS research for every prescription sold in the United States,this would be an example of:

Which of the following is an argument used to support corporate social responsibility (CSR)?

Defenders of Wildlife is a United States non-profit organization founded in 1947 out of concern for perceived cruelties of the use of steel-jawed leghold traps for trapping fur-bearing animals.They were advocates for the Endangered Species Act in the United States through lobbying and by using the legal system for the protection of endangered or threatened species.This organization is an example of how _____ influence(s)social control.