Essay on Chapter 1—the Importance of Business Ethics Test Banks

Words: 2292
Pages: 10

Chapter 1—The Importance of Business Ethics


1. Principles are a. | laws and regulations that guide behavior in the world of business. | b. | mores, values, and customs that guide behavior in general. | c. | specific and pervasive boundaries for behavior that are universal and absolute. | d. | the obligations businesses assume to maximize their positive impact and minimize their negative impact on stakeholders. | e. | the mores, values, and customs that parents teach their children. |

ANS: C PTS: 1 REF: p. 7

2. Social responsibility is a. | an organization's obligation to maximize its positive effects and minimize its negative effects on
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| d. | that business ethics is entirely an extension of an individual's own personal ethics. | e. | how to identify ethical issues arising in the business world. |

ANS: D PTS: 1 REF: p. 10

13. According to the rule of ethical culture in performance, all of these are drivers of profit except a. | ethical culture. | b. | investor loyalty. | c. | employee commitment. | d. | customer satisfaction. | e. | opportunity for misconduct. |

ANS: E PTS: 1 REF: p. 17

14. More than a compliance program, business ethics is becoming a. | a management issue to achieve competitive advantage. | b. | less accepted by society. | c. | mainly a government regulatory issue. | d. | an initiative led by nonprofit organizations. | e. | a program that decreases profits but increases societal benefits. |

ANS: A PTS: 1 REF: p. 22

15. Having acceptable personal ethics is probably not going to be sufficient to handle complex business ethical issues when an individual has a. | family concerns. | b. | an unethical boss. | c. | limited business experience. | d. | financial training. | e. | a marketing background. |

ANS: C PTS: 1 REF: p. 10-11

16. One of the major ethical issues President Obama’s administration focused on was a. | decreasing environmental legislation. | b. | deregulation. | c. | tax decreases. | d. | incentives to oil companies. |