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1. In an effort to cut costs, an apparel factory is moving operations to another
country where labor is cheap and employment laws are less stringent. Costs
can only be kept low if the factory operates like a sweatshop. Which type of
problem is this company facing?: Legal-unethical
2. The chief executive officer (CEO) of a company decides to change the way
thecompany has been functioning over the years in order to improve its repu-
tation.The CEO decides to pay the employees a fair wage, show a good profit
margin, and produce a reliable product. But even after a year, there is not much
change inthe way the community perceives the company. Which action will
provide theimprovement this CEO is seeking?": Investing in social and environmental causes
3. The chief executive officer (CEO) of a beverage company wants to promote a
healthy lifestyle to its customers. Which action will achieve this goal?: Build a park
for the community that includes walking trails
4. A manufacturing cosmetics company currently avoids testing its products
on animals, but the new chief executive officer (CEO) decides to begin that
practice since it will help cut company costs. Which impact will this have on the
organization?: It will be viewed as being unethical.
5. During a meeting, a senior manager became upset over an issue and used
profanity when responding to lower-level managers. The behavior disrupted
the whole company. Which organizational element of ethics did this manager
violate?: Culture
6. An act of violence occurs in the country. When a company leader is asked
about the situation by a colleague at lunch, the leader opens up to the col-
league and expresses concerns about the aggression associated with the
event. Which ethical concept is driving this leader's response?: Personal ethics
7. A junior accountant discovered fraud in the recording of accounts receivable
and plans to report this information to the local media. Which law protects this
junior accountant from retaliation by management of the company?: Sarbanes-Ox-
ley Act
8. A company employee notices that a member of upper management is ha-
rassing a newly hired employee. The employee reports this behavior to the
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, WGU Fundamentals for Success in Business - D072
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local authorities. Which term describes the action taken by the employee who
reported the incident?: Whistleblowing
9. A corporation is opening a new factory in a small rural community and would
like to demonstrate an ethical commitment to environmental responsibility in
the new location. Which action demonstrates this commitment?: Invite local citizens
to a tree-planting event along the town's main street
10. Which employee action illustrates a personal commitment to environmen-
tally friendly business processes that also benefit the organization and local
community?: Starting a recycling programming at the workplace to reduce landfill
waste
11. Which organizational department is responsible for target market identifica-
tion?: Marketing
12. An employee takes a set of goals and turns them into actionable items to
assign to a team. What is this employee's management role in the organiza-
tion?: Middle
13. A new manager of a sales department receives the monthly reports from all
four of the company's sales locations throughout the state. The manager must
interpret this data to set targets for sales for the next month and next quarter.
Which skill set must this manager possess to fulfill this job responsibility?: Analysis
14. Which organizational department is responsible for managing and oversee-
ing employee compensation and benefits?: Human resources
15. A manager encourages employees to think creatively and take risks to in-
crease their impact on the organization. Which type of organizational culture
is reflected?: Adhocracy
16. Which characteristic of an organization is considered in the Competing Val-
ues Framework?: External versus internal focus of activity
17. Which characteristic must exist in order for new employees to perform well
in an organization prior to being fully trained?: Fit with the culture
18. An organization is known to have a culture that has a low tolerance for
ambiguity. Which personality type is ideally suited for this organizational cul-
ture?: Rigorous
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