1. Social responsibility is ______.
a. an organization's obligation to maximize its positive effects and
minimize its negative effects on stakeholders
b. principles and standards that guide behavior in the world of business
c. a business's responsibility not to pollute the environment
d. a business's responsibility to manufacture products that function
properly without harming consumers
e. charitable contributions made by a business to enhance its image
2. In response to calls for businesses to be more socially responsible, the
Nobel Prize-winning economist Milton Friedman argued that blank_______.
a. companies needed to set an example by making charitable contributions
to non-profit organizations
b. governments had a duty to promote business interests
c. the primary role of a business is to maximize profits
d. as an economic entity, a business should be treated no differently than a
"natural person" or human being
e. additional regulations were required in order to force businesses to
embrace social responsibility
3. Which of the following is not one of the rewards for being ethical and
socially responsible in business?
a. Greater employee commitment
b. Greater employee turnover
c. Improved customer trust and satisfaction
d. Increased investor willingness to entrust funds
e. Better financial performance
4. When employees see honesty, respect, and trust applied frequently in the
workplace, they blank_______.
a. feel less pressure to compromise ethical standards
b. observe more misconduct
c. are less satisfied with their organizations overall
d. feel less valued as employees
5. To be successful, relationships with investors must rest on
dependability, blank________, and commitment.
a. profits
b. dividends
c. confidence
d. trust
e. code of ethics
6. Obedience to authority is part of which of the following components of the
ethical decision-making framework?
a. Moral philosophy
b. Cognitive moral development
c. Individual variables
d. Opportunity
, e. Superiors
7. Which of the following statements is false regarding strong ethical leaders?
a. Strong ethical leaders are reactive.
b. Strong ethical leaders are proactive.
c. Strong ethical leaders have strong personal character.
d. Strong ethical leaders are role models for the organization's values.
e. Strong ethical leaders are competent managers who take a holistic
view of the firm's ethical culture.
8. A decision-maker's perception of pressure and the potential harm a decision
could have on others is referred to as blank_________.
a. corporate culture
b. moral intensity
c. locus of control
d. coercive control
e. normative evaluation
9. This leadership style relies on participation and teamwork to reach collaborative goals.
a. transactional
b. authoritative
c. democratic
d. affiliative
e. coercive
10. Research regarding how nationality might impact ethics blank_______.
a. has shown that developed nations have higher levels of moral
intensity than developing nations
b. suggests that there are significant differences regarding what is
considered ethical in different nations
c. indicates that company policies mitigate any national or cultural differences
d. shows that cultures that value hierarchy have lower moral intensity
e. All of the other answers are correct
11. Which of the following is not a criticism of, or charge against,
multinational corporations?
a. They transfer jobs overseas, where wage rates are lower.
b. They use their power to influence host governments.
c. They pay high taxes everywhere.
d. They exploit the labor market of developing countries.
e. They have an unfair advantage when competing with local businesses.
12. Discrimination in international business blank_________.
a. is often justified on the basis of local cultural norms and values
b. does not exist
c. is never justifiable on the basis of cultural differences
d. is wrong because it violates U.S. laws
e. reduces conflict between cultures
a. an organization's obligation to maximize its positive effects and
minimize its negative effects on stakeholders
b. principles and standards that guide behavior in the world of business
c. a business's responsibility not to pollute the environment
d. a business's responsibility to manufacture products that function
properly without harming consumers
e. charitable contributions made by a business to enhance its image
2. In response to calls for businesses to be more socially responsible, the
Nobel Prize-winning economist Milton Friedman argued that blank_______.
a. companies needed to set an example by making charitable contributions
to non-profit organizations
b. governments had a duty to promote business interests
c. the primary role of a business is to maximize profits
d. as an economic entity, a business should be treated no differently than a
"natural person" or human being
e. additional regulations were required in order to force businesses to
embrace social responsibility
3. Which of the following is not one of the rewards for being ethical and
socially responsible in business?
a. Greater employee commitment
b. Greater employee turnover
c. Improved customer trust and satisfaction
d. Increased investor willingness to entrust funds
e. Better financial performance
4. When employees see honesty, respect, and trust applied frequently in the
workplace, they blank_______.
a. feel less pressure to compromise ethical standards
b. observe more misconduct
c. are less satisfied with their organizations overall
d. feel less valued as employees
5. To be successful, relationships with investors must rest on
dependability, blank________, and commitment.
a. profits
b. dividends
c. confidence
d. trust
e. code of ethics
6. Obedience to authority is part of which of the following components of the
ethical decision-making framework?
a. Moral philosophy
b. Cognitive moral development
c. Individual variables
d. Opportunity
, e. Superiors
7. Which of the following statements is false regarding strong ethical leaders?
a. Strong ethical leaders are reactive.
b. Strong ethical leaders are proactive.
c. Strong ethical leaders have strong personal character.
d. Strong ethical leaders are role models for the organization's values.
e. Strong ethical leaders are competent managers who take a holistic
view of the firm's ethical culture.
8. A decision-maker's perception of pressure and the potential harm a decision
could have on others is referred to as blank_________.
a. corporate culture
b. moral intensity
c. locus of control
d. coercive control
e. normative evaluation
9. This leadership style relies on participation and teamwork to reach collaborative goals.
a. transactional
b. authoritative
c. democratic
d. affiliative
e. coercive
10. Research regarding how nationality might impact ethics blank_______.
a. has shown that developed nations have higher levels of moral
intensity than developing nations
b. suggests that there are significant differences regarding what is
considered ethical in different nations
c. indicates that company policies mitigate any national or cultural differences
d. shows that cultures that value hierarchy have lower moral intensity
e. All of the other answers are correct
11. Which of the following is not a criticism of, or charge against,
multinational corporations?
a. They transfer jobs overseas, where wage rates are lower.
b. They use their power to influence host governments.
c. They pay high taxes everywhere.
d. They exploit the labor market of developing countries.
e. They have an unfair advantage when competing with local businesses.
12. Discrimination in international business blank_________.
a. is often justified on the basis of local cultural norms and values
b. does not exist
c. is never justifiable on the basis of cultural differences
d. is wrong because it violates U.S. laws
e. reduces conflict between cultures
