BUSINESS ETHICS FERRELL FRAEDRICH
COMPREHENSIVE SOLUTION 2026
QUESTIONS WITH SOLUTIONS GRADED A+
⩥ Codes of ethics. Answer: Most comprehensive; consists of general
statements serving as principles and the basis for rules in a code of
conduct.
⩥ Statement of values. Answer: Serves the general public and addresses
stakeholder interests.
- Conceived by management and are fully developed with input from all
stockholders
⩥ Benefits Of Having
An Ethics Code. Answer: 1. Guide employees in situations where the
ethical course of action is not immediately obvious.
2. Help the company reinforce—and acquaint new employees with—its
culture and values. A code can help create a climate of integrity and
excellence.
3. Help the company communicate its expectations for its staff to
suppliers, vendors, and customers.
4. Minimize subjective and inconsistent management standards.
5. Help a company remain in compliance with complex government
regulations.
, 6. Build public trust and enhance business reputations.
7. Offer protection in preempting or defending against lawsuits.
8. Enhance morale, employee pride, loyalty, and the recruitment of
outstanding employees.
9. Promote constructive social change by raising awareness of the
community's needs and encouraging employees and other stakeholders
to help.
10. Promote market efficiency, especially in areas where laws are weak
or inefficient, by rewarding the best and most ethical producers of goods
and services.
⩥ Developing/Implementing a Code of Ethics/Conduct. Answer: 1.
Consider areas of risk and state the values as well as conduct necessary
to comply with laws and regulations. Values are an important buffer in
preventing serious misconduct.
2. Identify values that specifically address current ethical issues.
3. Consider values that link the organization to a stakeholder orientation.
Attempt to find overlaps in organizational and stakeholder values.
4. Make the code understandable by providing examples that reflect
values.
5. Communicate the code frequently and in language that employees can
understand.
6. Revise the code every year with input from organizational members
and stakeholders.
COMPREHENSIVE SOLUTION 2026
QUESTIONS WITH SOLUTIONS GRADED A+
⩥ Codes of ethics. Answer: Most comprehensive; consists of general
statements serving as principles and the basis for rules in a code of
conduct.
⩥ Statement of values. Answer: Serves the general public and addresses
stakeholder interests.
- Conceived by management and are fully developed with input from all
stockholders
⩥ Benefits Of Having
An Ethics Code. Answer: 1. Guide employees in situations where the
ethical course of action is not immediately obvious.
2. Help the company reinforce—and acquaint new employees with—its
culture and values. A code can help create a climate of integrity and
excellence.
3. Help the company communicate its expectations for its staff to
suppliers, vendors, and customers.
4. Minimize subjective and inconsistent management standards.
5. Help a company remain in compliance with complex government
regulations.
, 6. Build public trust and enhance business reputations.
7. Offer protection in preempting or defending against lawsuits.
8. Enhance morale, employee pride, loyalty, and the recruitment of
outstanding employees.
9. Promote constructive social change by raising awareness of the
community's needs and encouraging employees and other stakeholders
to help.
10. Promote market efficiency, especially in areas where laws are weak
or inefficient, by rewarding the best and most ethical producers of goods
and services.
⩥ Developing/Implementing a Code of Ethics/Conduct. Answer: 1.
Consider areas of risk and state the values as well as conduct necessary
to comply with laws and regulations. Values are an important buffer in
preventing serious misconduct.
2. Identify values that specifically address current ethical issues.
3. Consider values that link the organization to a stakeholder orientation.
Attempt to find overlaps in organizational and stakeholder values.
4. Make the code understandable by providing examples that reflect
values.
5. Communicate the code frequently and in language that employees can
understand.
6. Revise the code every year with input from organizational members
and stakeholders.
