Question 1

The "Narrow View" of business ethics is a commitment to emphasizes the interests of shareholders in pursuing a course of action in business operations.

Accepted Answer

The "Narrow View" of business ethics, also known as shareholder theory, emphasizes that the primary ethical responsibility of a corporation is to its shareholders, focusing on maximizing shareholder value.

Question 2

Religious teachings and ethics are separate and distinct and rarely if ever overlap.

Accepted Answer

This statement is not entirely accurate. Religious teachings and ethics often overlap significantly. Many religions provide a moral and ethical framework for their followers, outlining principles of right and wrong, acceptable and unacceptable behavior. These ethical guidelines are often derived from religious texts, teachings, and traditions. For instance, concepts such as honesty, compassion, respect for others, and responsibility are common in many religions and are also fundamental ethical principles. Therefore, while religious teachings and ethics can be distinct in some aspects, they frequently intersect and influence each other.

Question 3

Under the maximizing profits theory, a company strives to do no harm, as long as the company continues to be profitable.

Accepted Answer

Under the maximizing profits theory, also known as profit maximization, the primary goal of a company is to increase its profits to the highest possible level within the constraints of the market and legal environment. This theory is grounded in classical economic principles and suggests that companies should focus on generating financial returns for their shareholders.

However, the statement that a company strives to do no harm, as long as the company continues to be profitable, is a bit of a simplification and can be misleading. While it is true that profit-maximizing companies aim to avoid actions that could damage their profitability, such as legal infractions or reputation-damaging scandals, this does not necessarily mean they inherently strive to do no harm in a broader ethical sense.

In practice, companies operating under the maximizing profits theory may prioritize their financial objectives above other considerations, such as social responsibility, environmental sustainability, or ethical conduct, unless these factors directly impact their bottom line. This approach can sometimes lead to criticism that profit maximization overlooks the welfare of other stakeholders, such as employees, customers, communities, and the environment.

However, in recent years, there has been a growing recognition of the importance of corporate social responsibility (CSR) and the concept of creating shared value. This has led to an expanded view of business objectives that includes not only profit maximization but also the pursuit of positive social and environmental outcomes. Companies are increasingly aware that doing harm can have long-term negative effects on their profitability, as consumers and investors are more inclined to support businesses that demonstrate ethical practices and social responsibility.

In summary, while the maximizing profits theory emphasizes the importance of profitability for a company, it does not inherently include a commitment to do no harm. The extent to which a profit-maximizing company avoids harm is often influenced by a combination of legal requirements, market pressures, and evolving societal expectations regarding corporate behavior.

Question 4

Lin-Mara's company has a code of ethics and a separate code of conduct. If she wants to be sure that she complies with the company dress code, she would reference the code of ethics.

Accepted Answer

The answer of Lin-Mara's company has a code of ethics...

Question 5

Social responsibility is at its highest when the moderate view, or government's hand theory, of corporate social responsibility is utilized.

Accepted Answer

The answer of Social responsibility is at its highest when...

Question 6

In a community-based nonprofit, any surplus earning that remain are distributed fairly among all the employees.

Accepted Answer

The answer of In a community-based nonprofit, any surplus earning...

Question 7

In a benefit corporation the shareholders evaluate the effectiveness and performance of the corporation based upon how much they benefit in profits.

Accepted Answer

In a benefit corporation, the effectiveness and performance are evaluated not only based on financial profits but also on the corporation's impact on society and the environment, aligning with its specific public benefit purposes.

Question 8

Which of following statements is incorrect?

Accepted Answer

Justice is not always a clear choice because it often involves complex decisions that balance various ethical, legal, and societal considerations. The complexity of cases and differing perspectives means that what constitutes justice can be subject to interpretation and debate, making it not always a straightforward or clear choice.

Question 9

Shirley is deeply faithful to her religion. Therefore, when making business decisions she bases her decisions only in her religious foundation. Which statement is true?

Accepted Answer

Ethics and religious teachings often have areas of overlap where principles of good conduct and moral judgment are shared. However, ethics is a broader concept that can be informed by various sources including, but not limited to, religion. Therefore, where ethics and religious teachings overlap, decisions based on these shared principles can be considered ethical.

Question 10

Monmouth Publishing employs very brilliant attorneys to search through the laws to find legal loopholes that benefit their profit margin. They find a legal loophole which allows them to require a certain sect of employees to work far under minimum wage, often times taking advantage of people. Therefore, they decide to fire all of their current employees in favor of the sect of employees that they can pay under minimum wage. Are they acting unethically?

Accepted Answer

Finding and exploiting legal loopholes to underpay employees, despite being legal, raises ethical concerns about fairness, exploitation, and the treatment of workers, illustrating how legality does not always align with ethical conduct.

Question 11

John owns Marine Brewery and hires Beth to advise him on business decision making. Beth is very aggressive and believes that society is best served when seek a competitive advantage and that ethical violations will harm the companies, always advises John in a manner that focuses on finding that competitive advantage. Beth employs which type theory of corporate social responsibility?

Accepted Answer

Beth's approach aligns with the "invisible hand" theory, which suggests that businesses, by pursuing their own self-interest and seeking competitive advantages, will inherently benefit society as a whole. This concept is often associated with Adam Smith and the idea that ethical considerations are secondary to the pursuit of economic success.

Question 12

__________ theory is a moral philosophy that certain rights and moral values are timeless and universal and discoverable through human reason.

Accepted Answer

Natural law theory posits that certain rights and moral values are inherent in human nature, universal, and can be understood through reason. This theory suggests that these principles are not contingent on human laws, customs, or beliefs but are inherent in the very structure of the universe.

Question 13

In an annual board meeting of Martin Corporation, a board member, Pat, makes the following statement, "As long as we remain profitable, we will strive to act as ethically as possible!" Pat's statement is an example of what type of ethical decision making theory?

Accepted Answer

Pat's statement reflects the "Moral minimum" theory, which suggests that a company will do the minimum required to avoid harm while pursuing profit, implying ethical behavior is secondary to profitability.

Question 14

Religious documents, such as the Koran and the Old Testament utilize what type of ethical decision-making regime?

Accepted Answer

Religious documents like the Koran and the Old Testament typically use a principles-based approach to ethical decision-making. This approach is grounded in specific moral principles and values that are considered inherent and universal within the context of the religion.

Question 15

Aristotle was a philosopher who held the theory, to be a virtuous person,

Accepted Answer

Aristotle's virtue ethics emphasizes that to be virtuous, one must not only know what is right but must also act virtuously and do virtuous deeds. It's about habitually acting in accordance with virtue.

Question 16

A recognition that we all have the rights to "life, liberty and the pursuit of happiness" in the Preamble of the Declaration of Independence, according to Natural law, is a recognition of what type of rights?

Accepted Answer

These rights are considered inherent because they are believed to be intrinsic to human beings, not granted by any government or institution but recognized as existing by virtue of human nature.

Question 17

__________, was a medieval theologian developed the theory which state natural law is given by God; it is authoritative over all human beings; and it is knowable through the use of reason.

Accepted Answer

Thomas Aquinas is known for his development of the theory that natural law is divinely given, authoritative over all humans, and accessible through reason. This integrates his Christian theology with Aristotelian philosophy.

Question 18

"Act in such a way that you treat humanity, whether in your own person or in the person of any other, always at the same time as an end and never merely as a means to an end." Is a quote by

Accepted Answer

This quote is from Immanuel Kant, a central figure in modern philosophy. He articulated this principle as part of his ethical theory, which emphasizes the importance of treating individuals as ends in themselves and not merely as means to achieve one's own goals. This concept is a cornerstone of Kant's deontological moral philosophy, particularly in his work "Groundwork of the Metaphysics of Morals."

Question 19

Brenna confronts Noah at work as he is continually taking packets of printer paper and pens from the office supply closest for his own personal use at home. Noah responds angrily that the employer had plenty of supplies and they would not even notice it. Brenna responded with the question, "But what would happen if everyone at work took some paper and pens?" Brenna's statement illustrates which type of theory of ethical decision making?

Accepted Answer

Brenna's statement illustrates the universalization test, a concept in ethics that asks what would happen if everyone acted in the same way, to determine the morality of an action.

Question 20

After a rather unfortunate visit to the local hair salon, Janet asks John if the hair on the back of her head has been trimmed evenly and smoothly. John observes was not and actually she has many bald spots as a result of her haircut. According to Immanuel Kant's theory of ethical theory of categorical imperative ethical decision making regime, which one of the following statement should John make?

Accepted Answer

According to Immanuel Kant's theory of the categorical imperative, one should act in a way that the action could become a universal law. This includes being honest, so John should truthfully tell Janet that her hair is not trimmed evenly and smoothly.

Quiz 2: Business, Societal, and Ethical Contexts of Law