Question 1

Expatriate managers may experience more than the usual degree of pressure to violate their personal ethics because of which of the following?

Accepted Answer

A)  They are surrounded by their ordinary social context and supporting culture. 
B)  They are psychologically and geographically closer to the parent company. 
C)  They may be based in a culture that does not place the same value on ethical norms important in the manager's home country. 
D)  They may be surrounded by local employees who have more rigorous ethical standards.

Question 2

Often, the code of ethics draws heavily upon documents such as the ________, which itself is grounded in Kantian and rights-based theories of moral philosophy.

Accepted Answer

A)  Convention on Combating Bribery of Foreign Public Officials 
B)  UN Universal Declaration of Human Rights 
C)  Convention on International Business Transactions 
D)  Foreign Corrupt Practices Act

Question 3

________ approaches to business ethics are raised by business ethics scholars primarily to demonstrate that they offer inappropriate ethical decision making in a multinational enterprise.

Accepted Answer

A)  Cultural relativism 
B)  The righteous moralist 
C)  Straw man 
D)  The naive immoralist

Question 4

Cultural relativism suggests that even if slavery is culturally acceptable in a country, a foreign firm operating in that country should avoid using slave labor.

Accepted Answer

A) True 
 B)False

Question 5

Explain the concept of moral imagination as it relates to a company's stakeholders.

Accepted Answer

The answer of Explain the concept of moral imagination as...

Question 6

BP, one of the world's largest oil companies, has made it part of the company policy to undertake "social investments" in the countries where it does business. There was no economic reason for BP to make this social investment, but the company believes it is morally obligated to give something back to the societies that have made its success possible. BP's actions are an example of

Accepted Answer

A)  cultural relativism. 
B)  the Friedman doctrine. 
C)  noblesse oblige. 
D)  the tragedy of the commons.

Question 7

________ recognize that human beings have fundamental rights and privileges that transcend national boundaries and cultures.

Accepted Answer

A)  Rights theories 
B)  Utilitarians 
C)  Cultural relativists 
D)  Kantian ethics

Question 8

An international U.S.-based company sets up a production unit in a developing country with poor environmental regulations. This contributes to the

Accepted Answer

A)  noblesse oblige situation. 
B)  inequity aversion. 
C)  global tragedy of the commons. 
D)  Friedman effect.

Question 9

Social responsibility refers to the idea that businesspeople should favor decisions that have both good economic and social consequences.

Accepted Answer

A) True 
 B)False

Question 10

Mahatma Gandhi felt the best decisions are those that produce the greatest good for the greatest number of people. This demonstrates the ________ perspective.

Accepted Answer

A)  naive immoralist 
B)  Friedman doctrine 
C)  Kantian ethics 
D)  utilitarian

Question 11

An American manager in Colombia routinely pays off the local drug lord to guarantee that his plant will not be bombed and that none of his employees will be kidnapped. The manager argues that such payments are ethically defensible because everyone is doing it. The manager's argument exemplifies which of the following ethical approaches?

Accepted Answer

A)  naive immoralist 
B)  Kantian ethics 
C)  righteous moralist 
D)  noblesse oblige

Question 12

Rawls' philosophy that inequalities are justified if they benefit the position of the least-advantaged person is known as the

Accepted Answer

A)  inequality principle. 
B)  equity principle. 
C)  difference principle. 
D)  ignorance veil principle.

Question 13

In its extreme viewpoint, ________ suggests that if a culture supports slavery, it is all right to use slave labor in the country.

Accepted Answer

A)  the Friedman doctrine 
B)  noblesse oblige 
C)  righteous moralist 
D)  cultural relativism

Question 14

Why are expatriate managers at a greater risk of violating their personal code of ethics?

Accepted Answer

The answer of Why are expatriate managers at a greater...

Question 15

Establishing ________ involves a business resolving to place moral concerns ahead of other concerns in cases where either the fundamental rights of stakeholders or key moral principles have been violated.

Accepted Answer

A)  a veil of ignorance 
B)  a difference principle 
C)  moral imagination 
D)  moral intent

Question 16

According to ________, the social responsibility of business is to increase profits, so long as the company stays within the rules of law.

Accepted Answer

A)  the naive immoralist 
B)  the righteous moralist 
C)  cultural relativism 
D)  the Friedman doctrine

Question 17

According to the Friedman doctrine,

Accepted Answer

A)  ethics are nothing more than the reflection of culture. 
B)  a multinational's home-country standards of ethics are inappropriate to follow in foreign countries. 
C)  businesses should not undertake social expenditures beyond those mandated by the law and required for the efficient running of a business. 
D)  if a manager of a multinational sees that firms from other nations are not following environmental legislation in a host nation, that manager should not either.

Question 18

________ is a French term that refers to honorable and benevolent behavior, considered the responsibility of people of high (noble) birth.

Accepted Answer

A)  Bienveillante 
B)  Honourable 
C)  Aristocratic 
D)  Noblesse oblige

Question 19

The Foreign Corrupt Practices Act was amended to allow "facilitating payments" to secure contracts that would not otherwise be secured.

Accepted Answer

A) True 
 B)False

Question 20

The ________ obliges member states to make the bribery of foreign public officials a criminal offense and excludes facilitating payments made to expedite routine government action from the convention.

Accepted Answer

A)  Convention on Combating Bribery of Foreign Public Officials 
B)  Foreign Corrupt Practices Act 
C)  Convention on International Business Transactions 
D)  Universal Declaration of Human Rights

Exam 5: Ethics, Corporate Social Responsibility, and Sustainability

Expatriate managers may experience more than the usual degree of pressure to violate their personal ethics because of which of the following?

Often, the code of ethics draws heavily upon documents such as the ________, which itself is grounded in Kantian and rights-based theories of moral philosophy.

________ approaches to business ethics are raised by business ethics scholars primarily to demonstrate that they offer inappropriate ethical decision making in a multinational enterprise.

Cultural relativism suggests that even if slavery is culturally acceptable in a country, a foreign firm operating in that country should avoid using slave labor.

Explain the concept of moral imagination as it relates to a company's stakeholders.

________ recognize that human beings have fundamental rights and privileges that transcend national boundaries and cultures.

An international U.S.-based company sets up a production unit in a developing country with poor environmental regulations. This contributes to the

Social responsibility refers to the idea that businesspeople should favor decisions that have both good economic and social consequences.

Mahatma Gandhi felt the best decisions are those that produce the greatest good for the greatest number of people. This demonstrates the ________ perspective.

Rawls' philosophy that inequalities are justified if they benefit the position of the least-advantaged person is known as the

In its extreme viewpoint, ________ suggests that if a culture supports slavery, it is all right to use slave labor in the country.

Why are expatriate managers at a greater risk of violating their personal code of ethics?

Establishing ________ involves a business resolving to place moral concerns ahead of other concerns in cases where either the fundamental rights of stakeholders or key moral principles have been violated.

According to ________, the social responsibility of business is to increase profits, so long as the company stays within the rules of law.

According to the Friedman doctrine,

________ is a French term that refers to honorable and benevolent behavior, considered the responsibility of people of high (noble) birth.

The Foreign Corrupt Practices Act was amended to allow "facilitating payments" to secure contracts that would not otherwise be secured.

The ________ obliges member states to make the bribery of foreign public officials a criminal offense and excludes facilitating payments made to expedite routine government action from the convention.