Exam 5: Ethics and Social Responsibility

One of the favorite foods in Thailand is shark fin soup.A San Francisco-based organization claimed the soup made by its leading producer contained mercury poison,yet the leading producer of shark fin soup wanted to continue selling the soup because it believes it has a responsibility to its investors to be profitable.In terms of the pyramid of corporate social responsibility,this indicates that the soup manufacturer was operating at a(n)_____ responsibility level.

NSTAR Gas & Electric Company in Boston provides continuing financial support for an injury prevention program run by the Children's Hospital Boston.This funding is an example of:

The foundation for the pyramid of corporate social responsibility is philanthropic responsibility.

Most people have not applied ethical standards in their everyday lives.

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 statements about the creation of a code of ethics are true EXCEPT:

At what level of the pyramid of corporate social responsibility will firms do what is right,just,and fair?

Because social responsibility has proven to have a limited return on investment,the number of businesses opting to act socially responsible is declining.

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

List and describe the three levels of ethical development.

Morals are rules people develop as a result of cultural values and norms.

The four components of the pyramid of corporate social responsibility are:

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 level of the pyramid of social responsibility is most relevant to this situation in which the drug companies want to ensure that they are "playing by the rules"?

In the future,electrical power may come from quantum nucleonics,a form of nuclear power that produces no residual radiation.The ability to use this form of power will require equipment adaptations,but it will solve the world's need for clean and efficient power.Companies that replace inefficient sources of power with quantum nucleonics only after they are required to by the Environmental Protection Agency are operating at a(n)_____ responsibility level.

Which of the following factors will influence ethical decision making and judgments?

The movement to develop and market products designed to minimize negative effects on the physical environment or to improve the environment is known as:

List three ways an organization will benefit from the development and use of a code of ethics.

_____ is the concern of business for the long-range welfare of both the company and its relationships to the society within which it operates.

At what level of the pyramid of corporate social responsibility will a company be a good corporate citizen?

The fact that many people believe that businesses should focus on making a profit and leave social and environmental issues to nonprofit organizations is: