Exam 9: Business Ethics

Business owners' misbehavior has no negative consequences for their business.

The concept of corporate social responsibility is imposed on corporations by law.

Focusing on a firm's short-run profits without considering the company's long-term needs may be acting unethically.

Companies are required to set up confidential systems so that employees can "raise red flags" about suspected illegal or unethical accounting practices.

In ethical terms,a cost-benefit analysis is an assessment of the negative and positive effects of alternative actions on individuals.

Management's behavior sets the ethical tone of a firm.

An action may be legal but not ethical.

Adhering strictly to all business laws is all that is necessary to fulfill all business ethics obligations.

Ethics is as clearly defined as the law.

The legality of an action is always clear.

As CEO of Alabama Archery Supplies,Bertrand applies ethical standards derived from religious principles. For businesses,religious principles can be

Ridgeline Excavation & Construction,LLC,creates an internal code of ethics. Like the codes of other firms,Ridgeline's company code is not

Codes of ethical conduct can indicate how employees are expected to act.

At a meeting of employees,Fuel Injection Design & Manufacturing,Inc.'s managers announce the creation of a new company-wide code of ethical conduct and the initiation of an ad campaign to publicize the new code. They also say that any employees who do not adhere to the code will be discharged. The effectiveness of this code will be determined by

If people merely comply with the law,they are acting at the lowest ethical level society will tolerate.

Dyan,the owner of Expert Restoration Services,Inc.,adheres to the "principle of rights" theory. Under this theory,a key factor in determining whether a business decision is ethical is how that decision

Julie is sales manager for Kelso's Concrete & Stone Products,Inc. In applying ethical principles to the business of the firm,Kelso's and Julie will most likely evaluate

Steaks n' Fries Restaurant Company's decision makers view a particular risk in the consumption of Steaks n' Fries' products as open and obvious. Continuing to market the products without explicitly telling consumers of the risk could be justified from a perspective of

Duty-based ethical standards often come from religious precepts or through philosophical reasoning.

It may be unethical for a company to refuse to negotiate liability claims for alleged injuries because of a faulty product.