Exam 4: Business Ethics and Corporate Social Responsibility

The CEO of a pharmaceutical firm learns that the FDA is going to deny approval for one of the company's drugs.He knows this will have a negative effect on the company's stock,so he quickly tells his broker to sell all of his shares of company stock before the news is announced.This is an example of ________.

NGOs are nonprofit groups that provide charitable services or promote causes such as workers' rights and environmental protection.

One of the fundamental consumer rights that form the basis of much of the consumer-related legislation in the United States is the right to know the lowest available price of a good in the local market.

Discuss some of the key responsibilities that employers have regarding employees.Compare them with the responsibility they have toward consumers.

American Housing Inc.,a construction firm,uses innovative home designs that use insulating building materials aimed at reducing the energy consumption of the apartments and homes it builds.This gives it an edge over other businesses,and is environment friendly as well.This is an example of ________.

"Environmental" causes are often as much about human health and safety as they are about forests,rivers,and wildlife.

The Occupational Safety and Health Act of 1970 set mandatory standards for safety and health and established the Occupational Safety and Health Administration (OSHA)to enforce them.

Which of the following ethical approaches emphasizes desirable character traits such as integrity and compassion?

________ refers to the degree to which information flows freely within an organization,among managers and employees,and outward to stakeholders.

A ________ CSR is one in which a company accused of irresponsible behavior promotes itself as being socially responsible without making significant improvements in its business practices.

Discuss the functions of the Equal Employment Opportunity Commission (EEOC).

The products of Sports Center,an international sports footwear and apparel chain,are manufactured in sweat factories in China.According to the company president,using sweatshop labor is justified because it delivers the most good for the most people.He mentions that it offers a means of livelihood to children and young adults,as well as supplies good quality apparel to customers at a lower cost.In this example,the president of Sports Center uses which of the following ethical approaches to decision making?

________ are the principles and standards of moral behavior that are accepted by society as right versus wrong.

Aston Products Inc.,a cosmetic research,development,and manufacturing firm,conducts a cost-benefit analysis that identifies an underdeveloped area which has cheap labor and low land costs.The firm decides to set up a factory in that area to take advantage of the lower land and labor costs.While setting up the factory,the company also develops infrastructure such as building roads,hospitals,and primary schools.This is an example of ________.

What is a conflict of interest? How is it related to ethical decision making?

Which of the following statements is TRUE regarding ethical decision-making?

The CEO of a company considers offshoring some of its production to another country with lower labor costs.This decision would favor the company's customers who will benefit from lower prices.The shareholders also stand to benefit from lower production costs,which could increase sales,profits,or both,probably leading to increases in share prices.However,some employees will lose their jobs,and morale is likely to suffer among those employees who keep theirs.In this situation,the CEO faces a(n)________.

A company accused of irresponsible behavior that promotes itself as being socially responsible without improving its business practices is said to have a cynical CSR.

As a part of the UPS Community Internship Program,management candidates volunteer in community programs to help them understand the needs and challenges of various population groups while developing essential skills.This is an example of ________.

________ refers to a written statement setting forth the principles that guide an organization's decisions.