Exam 4: Ethics and Social Responsibility

_____ companies are often at the forefront of campaigns for causes such as a pollution-free environment; recycling and conservation of resources; the minimization or elimination of the use of animals in drug and cosmetics testing; and the reduction of crime, illiteracy, and poverty.

Moral principles or beliefs about what is the right or appropriate way to behave are known as ethics.

Managers are a vital stakeholder group because they are responsible for using a company's resources to increase its performance and thus its stock price.

Trust refers to the esteem or high repute that people or organizations gain when they behave ethically.

The idea that the pursuit of self-interest with no consideration for societal interests leads to disaster is called the _____.

Web sites like Napster that allow free downloading of songs and movies illustrate the "tragedy of the commons" because pursuit of self interest only destroys societal interest.

Which of the following statements is true about ethics?

A company that expects its managers to behave ethically to the degree that they stay within the law is acting with a(n) _____ approach.

"An ethical decision is one that a typical person in a society would think is acceptable"; this is a statement that reflects the practical rule.

Which of the following statements is true of the practical rule of ethical decision making?

The utilitarian rule states that an ethical decision is a decision that:

Which of the following statements is true of organizational ethics?

The guiding practices and beliefs through which a particular firm and its managers view their responsibilities to stakeholders are called _____.

Describe the four rules of ethical decision making and discuss their managerial implications.

Bryan is the manager of a company which has been judged as having the best corporate reputation for two years in a row, based on a survey of country-wide consumers. This company is well known for its:

Stakeholders benefit in the long run from companies making the right choices.

Which of the following is a method by which a company can act ethically toward employees and meet their expectations?

The standards that govern how members of a profession should conduct themselves are called organizational ethics.

Which of the following statements is true about the role of organizational culture?

The president at Protector's Insurance takes pride in the fact that his organization strives to behave legally and ethically. The company advocates an approach that tries to balance the interests of different stakeholders in relation to the claims of other stakeholders. What approach to social responsibility is the organization implementing?