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Companies can reduce unethical behavior by offering a case-based approach to ethics training that presents employees with ethical dilemmas and clarifies expectations.

A) True
B) False

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Ethics are


A) influences arising from changes in the characteristics of a population.
B) an organization's written code of social responsibility.
C) standards of right and wrong that influence behavior.
D) a set of behaviors accepted as "right" or "good."
E) rules to be enforced in an organization.

F) A) and E)
G) B) and E)

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Paul,who is normally an ethical person,has an opportunity to acquire what he feels is "easy" money in his job,and he believes it is safe to steal the money because nobody would know if he does take it.Paul rationalizes that it is fine to steal the money because he needs it more than the person whom the money belongs to.The psychological mechanism that causes Paul to want to steal the money is poor self-esteem.

A) True
B) False

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False

Warm Hearts is a nonprofit organization that brings warm meals to older adults and runs errands for its clients;the board of Warm Hearts is called the


A) board of directors.
B) board of ethics.
C) strategic board.
D) daily oversight committee.
E) board of regents.

F) All of the above
G) A) and E)

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Despite recent pressure from stockholders to increase profits,World Extraction Corp. ,a global petroleum organization,has maintained a practice of consistently acting ethically by being a good global corporate citizen,taking host-country and global standards into consideration when making decisions,and obeying the laws of host countries as well as international law.World Extraction Corp.provides an example of a company acting in a socially responsible way.

A) True
B) False

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The employees of a production facility that produce parts for boats are meeting to discuss ways to control rising costs,which are affecting their bonus (incentive pay).The employees are internal stakeholders of the factory.

A) True
B) False

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ABC Brothers' cleaning products and equipment are sold to consumers and commercial cleaning companies in Best Supply's janitorial supply and equipment store.ABC relies heavily on Best Supply to help sell its goods and services to customers.Best Supply is a(n) ____ for ABC Brothers' products.


A) competitor
B) distributor
C) customer
D) subsidiary
E) account ally

F) A) and C)
G) C) and E)

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When a food distributor considers changing the products it markets in the southern states because of an increasing percentage of customers from Central and South America,it is examining the ____ forces at work in the southern United States.


A) economic
B) demographic
C) technological
D) political
E) legal

F) C) and D)
G) C) and E)

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Paul,the vice president of marketing in an international sales organization,is considering opening an office in a new country.He is looking at the current economic,political,legal,and technological global forces in that country that can affect the success of his company's expansion into the new area.These forces that Paul is studying are international forces.

A) True
B) False

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What mechanism is used to provide a systematic assessment of an organization's performance in implementing socially responsible programs,often based on predefined goals?


A) sustainability program
B) code of ethics
C) diversity program
D) financial audit
E) social audit

F) D) and E)
G) A) and B)

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E

The task environment of Top-Notch Sewing consists of just two groups,customers and stockholders,who give the employees and management of Top-Notch the daily tasks that the company's employees will handle.

A) True
B) False

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False

Tom and his managers are discussing the unemployment,inflation,and interest-rate trends that might affect their chain of coffee shops over the next 12 months and the projected growth in the areas where the stores are located.The managers are studying the ______ forces in their organization's general environment.


A) technological
B) sociocultural
C) political
D) economic
E) international

F) C) and D)
G) B) and E)

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Business scholar Archie Carroll suggested that ________ is the first and primary responsibility of an organization in the global economy.


A) to be a good global corporate citizen,as defined by the host country's expectations,
B) to make a profit consistent with expectations for international business
C) to be ethical in its practices
D) to obey the law of host countries as well as international law
E) to have a written code of ethics

F) A) and C)
G) A) and B)

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Alonzo,the president of his high school's senior class and honor society,has been very busy and did not study for an important history test.Although Alonzo is very confident,he realizes that he probably will not do well on the test.He has talked himself into cheating because he believes that cheating will help him maintain his strong GPA,which he will need to be accepted by a good college.He tells his friend,"I don't usually cheat,but I really have to do it." Which of the following might explain Alonzo's behavior?


A) the holier-than-thou effect
B) the deception effect
C) the cheating requirement
D) a depression disorder
E) motivated blindness

F) C) and D)
G) B) and E)

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Contrast the viewpoints for and against social responsibility.Which leading economist argued against social responsibility?

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Milton Friedman,a free-market economist,...

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Local communities are stakeholders of organizations because communities


A) rely on the products the companies produce.
B) rely on the tax base from companies and the jobs the company provides.
C) wish to join forces with organizations to create strategic alliances.
D) need a major corporate presence to maintain federal funding of the local highway system.
E) prefer products made by large multinational organizations over locally made products.

F) A) and D)
G) A) and B)

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Since the 1950s,the percentage of the U.S.labor force represented by unions has


A) rapidly increased.
B) steadily increased.
C) fallen to nearly zero.
D) steadily declined.
E) remained unchanged.

F) B) and E)
G) C) and D)

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Joe,the owner of ABC Electronics,just discovered that his trusted friend Paul,his accountant for over 30 years,has been mishandling the company books and stealing from the company bank account.Joe must decide whether to ignore his friend's actions and avoid bad publicity for ABC Electronics,or to have Paul arrested for embezzlement.Joe is facing


A) a whistle-blower.
B) a synergy factor.
C) an issue of corporate governance.
D) a social audit.
E) an ethical dilemma.

F) B) and E)
G) A) and E)

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When the Kiddie Village Daycare Center looks at the recent increase in the number of working mothers in its neighborhood to determine how many employees to hire,its managers are studying demographic forces.

A) True
B) False

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Summarize the Sarbanes-Oxley Act of 2002 and describe the mandates it placed on organizations.

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The Sarbanes-Oxley Act of 2002 establish...

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