Exam 5: Ethics and Business Decision Making

Ethics is the branch of philosophy that focuses on what constitutes right and wrong behavior.

Some companies have set up confidential systems for employees to "raise red flags" about suspected unethical practices.

Fealty Credit Corporation asks its employees to evaluate their actions and get on the ethical business decision-making "bandwagon." Guidelines for judging individual actions include all of the following except

In making decisions for United Merchandising Company,Vance uses a cost-benefit analysis.This is part of

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

Business ethics focuses on ethical behavior in the business world.

Bribery of foreign government officials is both an ethical and a legal issue.

Peak & Vale Accountants provides other firms with accounting services.Questions of what is ethical involve the extent to which Peak & Vale has

Made4U Goods,Inc.,asks its employees,many of whom are mem?bers of the National Machinists Union,to apply the utilitarian theory of ethics.This theory does not require

Lyle,vice-president of sales for Mi-T Electric,Inc.,adheres to Judeo-Christian relig?ious ethical standards.With respect to their application,these standards are

Any decision by the management of Fast-Food Franchise Corporation may significantly affect its

Bilt-Well Construction Corporation makes a side payment to a govern?ment official in Nigeria to obtain a contract.In the United States,this is

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

The minimal acceptable standard for ethical behavior is compliance with the law.

Matchless Clothing Company buys clothing assembled by Nantra,Ltd.,a for?eign firm that employs young children for long hours and low pay.Nantra's na?tion does not enforce its child labor laws.Human International Politics (HIP),a political activist organization,discovers Matchless's connection to Nantra and plans to reveal this information.Before HIP does so,however,Matchless publicly releases the informa?tion itself and announces that it is severing its relationship with Nantra.Matchless publicizes its action in its advertising,and the company's sales and profits increase,apparently as a direct result.Has Matchless acted unethically in any way? From an ethical perspective,is Matchless's conduct in this situation more important than whatever its mo?tive might be?

Businesspersons who would choose to act unethically may be deterred from doing so because of public opinion.

Ophelia,an executive with Pharma Drug Distribution,Inc.,has to decide whether to market a product that might have undesirable side effects for a small per?centage of users.How should Ophelia de?cide whether to sell the product? How does the standard of ethics that is applied affect this answer?

Halley,a lawyer on the staff of International Group,applies the utilitarian theory of ethics in business contexts.Utilitarianism focuses on

Ethical codes of conduct can set the ethi?cal tone of a firm.

To assist in detecting illegal bribes,Cut Rite Contractors,Inc.,and all U.S.companies,must