Question 1

When the charitable contributions of a firm are tied directly to the customer revenues produced through the promotion of one of its products,this marketing practice is referred to as

Accepted Answer

A) marketing philanthropy. 
B) marketing allegiance. 
C) relationship marketing. 
D) transactional marketing. 
E) cause marketing.

Question 2

A personal moral philosophy that focuses on "the greatest good for the greatest number" by assessing the costs and benefits of the consequences of ethical behavior is referred to as __________.

Accepted Answer

A) utilitarianism 
B) hedonism 
C) existentialism 
D) moral idealism 
E) socialism

Question 3

Toyota employs all of the following principles and practices as part of "The Toyota Way" EXCEPT:

Accepted Answer

A) continuously improve business processes and products. 
B) empower individuals and teams. 
C) respect people. 
D) build trust. 
E) provide personalized and customized products.

Question 4

Greenwashing refers to

Accepted Answer

A) marketing efforts to produce,promote,and reclaim environmentally sensitive products. 
B) conducting business in a way that protects the natural environment while making economic progress. 
C) the practice of making an unsubstantiated or misleading claim about the environmental benefits of a product,service,technology,or company practice. 
D) the practice of deliberately concealing the mistakes that polluters make regarding the environmental disasters they perpetrated. 
E) the recognition of the need for organizations to improve the state of people,the planet,and profit simultaneously if they are to achieve sustainable,long-term growth.

Question 5

Which of the following is considered one of the major factors that influences an individual's personal moral philosophy and ethical behavior?

Accepted Answer

A) organizational structures 
B) legislation 
C) federal regulatory agencies 
D) a nation's moral philosophy 
E) business culture and industry practices

Question 6

The FTC established the Do Not Call Registry in 2003 for consumers who do not want to receive unsolicited telemarketing calls.Today,a telemarketer can be fined up to __________ for each call made to a telephone number posted on the registry.

Accepted Answer

A) $500 
B) $750 
C) $1,250 
D) $8,750 
E) $16,000

Question 7

Caveat emptor refers to

Accepted Answer

A) the legal concept of "let the buyer beware," which was pervasive in the American business culture prior to the 1960s. 
B) the marketing concept of "be first or be last," implying that the first company to the marketplace wins. 
C) the Latin term meaning that "all is fair in love and war," an attitude that was held by most marketers prior to the 1990s. 
D) the legal concept of "such is life," which created many illegal as well as legal but unethical business practices during the 1980s. 
E) the Latin phrase meaning "empty promises," which was a charge placed upon many firms during the period after WWII when products failed to meet their marketing claims.

Question 8

Mattel's Cabbage Patch Snacktime Kids doll was designed to eat plastic toys that were drawn into the doll's motorized mouth.However,despite extensive testing,the doll was found to "eat" the child's hair and was subsequently recalled and discontinued.Mattel discontinued the item because of consumers' right to

Accepted Answer

A) choose. 
B) be informed. 
C) be treated courteously. 
D) safety. 
E) happiness.

Question 9

China is the world's largest tobacco-producing country and has 300 million smokers.Approximately 700,000 Chinese die annually from smoking-related illnesses.This figure is expected to rise to more than 2 million by 2025.China restricts tobacco imports.U.S.trade negotiators advocate free trade,thus allowing U.S.tobacco companies to market their products in China.The U.S.trade negotiators are acting

Accepted Answer

A) ethically but illegally. 
B) ethically and legally. 
C) unethically and illegally. 
D) unethically but legally. 
E) in ways that cannot be determined by the information provided.

Question 10

Dell Inc.learned that the lithium-ion batteries in its notebook computers posed a fire hazard to consumers.The company recalled 2.7 million batteries and gave consumers a replacement before any personal injuries resulted.Dell was most likely concerned with consumers' right to

Accepted Answer

A) choose. 
B) be informed. 
C) safety. 
D) be heard. 
E) happiness.

Question 11

Which of the following statements about consumer ethics is most accurate?

Accepted Answer

A) Most consumers' unethical acts are motivated by economic need. 
B) Some consumers believe that if they can get away with unethical behavior,it is worth doing. 
C) If "everyone else does it," then that becomes the norm-so,ultimately,there is no such thing as unethical consumer behavior. 
D) Most consumers who shoplift do so because a salesperson has been insulting or rude. 
E) Few customers behave unethically toward smaller,independently owned businesses.Most unethical consumer behavior is against "big business."

Question 12

A recent survey found that 79 percent of Internet and e-commerce companies take absolutely no social responsibility.Even more worrying is the finding that 75 percent of these Internet companies justify this omission on the grounds that they don't have any environmental or social impacts,while 55 percent said they didn't have time to think about these issues,and 50 percent said they didn't have the expertise to address them.Would these Internet-based companies benefit from acting more socially responsible? Explain your answer.

Accepted Answer

The answer of A recent survey found that 79 percent...

Question 13

When Toysmart.com filed for bankruptcy in June 2000,it listed its customer database as one of its assets even though it had assured its customers it would never disclose their information to any third party.People who had purchased products from Toysmart and were a part of its database were upset when they learned their private information was being treated as property that was for sale.These customers believed that according to the Consumer Bill of Rights,they should know how their private information would be used.In other words,Toysmart's former customers had a right to

Accepted Answer

A) choose. 
B) be informed. 
C) be heard. 
D) safety. 
E) happiness.

Question 14

Copyrights,trademarks,and patents are

Accepted Answer

A) public goods. 
B) intellectual property. 
C) rights granted to individuals or organizations by the WTO for a period of 5 years. 
D) limited to books,music,and software. 
E) subject to ISO 14000 requirements.

Question 15

Bribery is most likely to occur when

Accepted Answer

A) industries experience little competition. 
B) the country has reached a high level of economic development. 
C) industries are high-tech in nature. 
D) industries operate in an oligarchic competitive environment. 
E) industries experience intense competition.

Question 16

Consider the Coke-Pepsi photo above.Thirty three percent of Pepsi's marketing and advertising executives say they would decline an offer to buy one of Coke's marketing plans and samples.Most said that they

Accepted Answer

A) thought they might go to work for Coke one day and didn't want to spoil their employment chances. 
B) would prefer competing ethically so they could sleep at night. 
C) were afraid the media would find out. 
D) knew they would get fired. 
E) didn't want to disappoint their co-workers.

Question 17

Explain the four ways to classify marketing decisions according to ethical and legal relationships.

Accepted Answer

The answer of Explain the four ways to classify marketing...

Question 18

Source Perrier S.A. ,the supplier of Perrier bottled water,exercised __________ when it recalled 160 million bottles of water in 120 countries after traces of a toxic chemical was found in 13 bottles.The recall cost the company $35 million,and the profit from $40 million in lost sales.Even though the chemical was not harmful to humans,the president of the company believed it was his duty to remove "the least doubt,as minimal as it might be,to weigh on the image of the quality and purity of our product."

Accepted Answer

A) moral idealism 
B) utilitarianism 
C) cause marketing 
D) profit responsibility 
E) stakeholder responsibility

Question 19

Two laws specifically intended to curb economic espionage and bribery in international marketing are

Accepted Answer

A) Economic Espionage Act and Foreign Corrupt Practices Act. 
B) Transparency International Act and Dumpster Diving Act. 
C) Global Rights Protection Act and Foreign Corrupt Practices Act. 
D) Consumer Bill of Rights Act and Economic Espionage Act. 
E) Fair Trade Practices Act and Bribery Protection Act.

Question 20

Consider the Coke-Pepsi photo above.What was the consequence to the Coca-Cola employee who tried to sell classified information to Pepsi?

Accepted Answer

A) The employee was fired and no other legal action was taken since the practice is unfortunately too commonplace. 
B) The employee was given the choice of quitting or being demoted to a minimum wage job. 
C) The employee was arrested for bribery and sentenced to five years house arrest. 
D) The employee was sentenced to eight years in prison and ordered to pay $40,000 in restitution. 
E) The employee was permitted to keep her original job (minus any bonuses),but had to attend a seminar on ethical behavior.

Exam 4: Ethical and Social Responsibility in Marketing