Business Ethics Exam 2 Study Guide Exam
Questions with Correct Answers
1. Managerial Capitalism correct answer: Theory that the primary obligation of business
managers is to serve the interests of stockholders by maximizing profits.
2. Reputation Management correct answer: the practice of caring for the "image" of a firm
3. Due Process correct answer: The right to be protected against the arbitrary use of authority. In
the employment context, it
specifies the conditions for basic fairness within the scope of the employer's authority over its employees.
4. Just Cause correct answer: a standard for termination or discipline that requires the employer to
have suflcient and fair cause before reaching a decision against an employee
5. Downsize correct answer: reduction of human resources at an organization through termination,
retirements, corporate divest- ments, or other means
6. Affirmative Action correct answer: policy or program that strives to redress past discrimination
through the implementation of proactive measures to ensure equal opportunity
7. Reverse Discrimination correct answer: Decisions made or actions taken against those
individuals who are traditionally considered to be in power or the majority, such as white men, or in
favor of historically nondominant group.
8. Privacy correct answer: right to be "let alone" within a personal zone of solitude, and/or the right to
control information about oneself
9. Privacy Rights correct answer: the legal and ethical sources of protection for privacy in personal
data
10. Hypernorms correct answer: Values that are fundamental across culture and theory
11. Intrusion into seclusion correct answer: The legal terminology for one of the common-
law claims of invasion of privacy.
When someone intentionally intrudes on the private attairs of another when the intrusion would be
"highly ottensive to a reasonable person".
12. Disability correct answer: an impairment that substantially limits a major life activity
13. Hawthorne Effect correct answer: The impact on one's behavior of knowing that one is
being studied. In connection with
employee monitoring, for instance, merely knowing that one is being monitored may have the ettect of
enhancing productivity temporarily.
14. Marketing correct answer: an organizational function and a set of processes for creating,
communicating, and delivering
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13
,Business Ethics Exam 2 Study Guide Exam
Questions with Correct Answers
value to customers and for managing customer relationships in ways that benefit the organization and its
stakeholders
15. Reasonable Expectation of Privacy correct answer: The basis for some common law
claims of invasion of privacy. Where an individual is notified that information will be shared or space
will not be private, there is likely no reasonable expectation of privacy.
16. Caveat Emptor correct answer: "buyer beware"; assumes that every purchase involves the
informed consent of the buyer,
and, therefore, it is assumed to be ethically legitimate
2/
13
Questions with Correct Answers
1. Managerial Capitalism correct answer: Theory that the primary obligation of business
managers is to serve the interests of stockholders by maximizing profits.
2. Reputation Management correct answer: the practice of caring for the "image" of a firm
3. Due Process correct answer: The right to be protected against the arbitrary use of authority. In
the employment context, it
specifies the conditions for basic fairness within the scope of the employer's authority over its employees.
4. Just Cause correct answer: a standard for termination or discipline that requires the employer to
have suflcient and fair cause before reaching a decision against an employee
5. Downsize correct answer: reduction of human resources at an organization through termination,
retirements, corporate divest- ments, or other means
6. Affirmative Action correct answer: policy or program that strives to redress past discrimination
through the implementation of proactive measures to ensure equal opportunity
7. Reverse Discrimination correct answer: Decisions made or actions taken against those
individuals who are traditionally considered to be in power or the majority, such as white men, or in
favor of historically nondominant group.
8. Privacy correct answer: right to be "let alone" within a personal zone of solitude, and/or the right to
control information about oneself
9. Privacy Rights correct answer: the legal and ethical sources of protection for privacy in personal
data
10. Hypernorms correct answer: Values that are fundamental across culture and theory
11. Intrusion into seclusion correct answer: The legal terminology for one of the common-
law claims of invasion of privacy.
When someone intentionally intrudes on the private attairs of another when the intrusion would be
"highly ottensive to a reasonable person".
12. Disability correct answer: an impairment that substantially limits a major life activity
13. Hawthorne Effect correct answer: The impact on one's behavior of knowing that one is
being studied. In connection with
employee monitoring, for instance, merely knowing that one is being monitored may have the ettect of
enhancing productivity temporarily.
14. Marketing correct answer: an organizational function and a set of processes for creating,
communicating, and delivering
1/
13
,Business Ethics Exam 2 Study Guide Exam
Questions with Correct Answers
value to customers and for managing customer relationships in ways that benefit the organization and its
stakeholders
15. Reasonable Expectation of Privacy correct answer: The basis for some common law
claims of invasion of privacy. Where an individual is notified that information will be shared or space
will not be private, there is likely no reasonable expectation of privacy.
16. Caveat Emptor correct answer: "buyer beware"; assumes that every purchase involves the
informed consent of the buyer,
and, therefore, it is assumed to be ethically legitimate
2/
13
