Question 1

Establishing _____ involves a business to resolve 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

Moral intent implies that a business must resolve to place moral concerns ahead of other concerns in cases where either the fundamental rights of stakeholders or key moral principles have been violated.

Question 2

Under the veil of ignorance, everyone is imagined to be ignorant of:

Accepted Answer

Under the veil of ignorance, everyone is imagined to be ignorant of all of his or her particular characteristics, for example, race, sex, intelligence, nationality, family background, and special talents.

Question 3

Should a multinational feel free to pollute in a developing nation?

Accepted Answer

The answer of Should a multinational feel free to pollute...

Question 4

Any person or institution that is capable of moral action such as a government or corporation is a(n) _____.

Accepted Answer

A moral agent is any person or institution that is capable of moral action such as a government or corporation.

Question 5

What is the term for a company's formal statement of the ethical priorities it expects all of its employees to follow?

Accepted Answer

Many companies explicitly articulate values that emphasize ethical behavior by drafting a code of ethics, which is a formal statement of the ethical priorities a business adheres to.

Question 6

Discuss the notion of social responsibility. What does it mean for corporations?

Accepted Answer

The answer of Discuss the notion of social responsibility. What...

Question 7

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

In 1997, the OECD adopted the Convention on Combating Bribery of Foreign Public Officials in International Business Transactions. The convention obliges member states to make the bribery of foreign public officials a criminal offense. The convention excludes facilitating payments made to expedite routine government action from the convention.

Question 8

_____ are the accepted principles of right or wrong governing the conduct of businesspeople.

Accepted Answer

Business ethics are the accepted principles of right or wrong governing the conduct of businesspeople.

Question 9

In your opinion, are bribes ever acceptable? Why or why not?

Accepted Answer

The answer of In your opinion, are bribes ever acceptable?...

Question 10

Discuss how companies such as Exxon, Kodak, and IBM helped improve human rights in South Africa.

Accepted Answer

The answer of Discuss how companies such as Exxon, Kodak,...

Question 11

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 code of ethics is a formal statement of the ethical priorities a business adheres to. Often, the code of ethics draws heavily upon documents such as the UN Universal Declaration of Human Rights, which itself is grounded in Kantian and rights-based theories of moral philosophy.

Question 12

Which of the following is a reason why managers behave in a manner that is unethical?

Accepted Answer

The causes that contribute to unethical behavior in businesses are very complex. However, a few generalizations can be made. Unethical behavior is rooted in poor personal ethics, societal culture, the psychological and geographical distances of a foreign subsidiary from the home office, a failure to incorporate ethical issues into strategic and operational decision making, a dysfunctional culture, and failure of leaders to act in an ethical manner.

Question 13

_____ means standing in the shoes of a stakeholder and asking how a proposed decision might impact that stakeholder.

Accepted Answer

Stakeholder analysis involves a certain amount of what has been called moral imagination. This means standing in the shoes of a stakeholder and asking how a proposed decision might impact that stakeholder.

Question 14

Business ethics that either deny the value of business ethics or apply the concept in a very unsatisfactory way are termed _____.

Accepted Answer

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

Question 15

Which of the following ethical theories explicitly rejects the idea that businesses should undertake social expenditures beyond those mandated by the law and required for the efficient running of a business?

Accepted Answer

Friedman's basic position is that the only social responsibility of business is to increase profits, so long as the company stays within the rules of law. He explicitly rejects the idea that businesses should undertake social expenditures beyond those mandated by the law and required for the efficient running of a business.

Question 16

Which of the following enables managers to walk away from a decision that is profitable, but unethical?

Accepted Answer

It is important to recognize that employees in an international business may need significant moral courage. Moral courage enables managers to walk away from a decision that is profitable but unethical.

Question 17

The veil of ignorance was developed by _____ as part of his approach to justice theories.

Accepted Answer

The veil of ignorance was developed by John Rawls as part of his approach to justice theories. According to Rawls, valid principles of justice are those with which all persons would agree if they could freely and impartially consider the situation. Impartiality is guaranteed by the veil of ignorance. Under the veil of ignorance, everyone is imagined to be ignorant of all of his/her particular characteristics. Under these conditions everyone would agree that (1) each person be permitted the maximum amount of basic liberty compatible with a similar liberty for others, and (2) once basic liberty is assured, inequality in basic social goods is to be allowed only if such inequalities benefit everyone.

Question 18

A(n) _____ asserts that if a manager of a multinational sees that firms from other nations are not following ethical norms in a host nation, that manager should not either.

Accepted Answer

A naive immoralist asserts that if a manager of a multinational sees that firms from other nations are not following ethical norms in a host nation, that manager should not either.

Question 19

What are ethical dilemmas? Why do they exist?

Accepted Answer

The answer of What are ethical dilemmas? Why do they...

Question 20

In the international business setting, one of the most common ethical issues involves _____.

Accepted Answer

Many of the ethical issues and dilemmas in international business are rooted in the fact that political systems, law, economic development, and culture vary significantly from nation to nation. Therefore, what might be considered a normal business practice in one country may constitute unethical behavior in another country. Managers in a multinational company need to be sensitive to these differences and choose the ethical action in those circumstances where variation across societies creates the potential for ethical problems. In the international business setting, the most common ethical issues involve employment practices, human rights, environmental regulations, corruption, and the moral obligation of multinational corporations.

Quiz 5: Ethics, Corporate Social Responsibility, and Sustainability