BA 300 final || 100% Errorless Answers.
Charles G. Koch, chairman & CEO of Koch Industries- a company estimated to be worth $100
billion - released a book this month. On Pg.7 of the book, Koch talks about his company's
opposition to gov.t subsidies, or 'corporate welfare' (term coined by Ralph Nader, an Am. pol.
activist) including those that would seem beneficial to us on the surface & maintains that it "
relieves recipients of constructive pressure to innovate & create value for society, hinders the
unsubsidized competition by coercion, & limits the choices available to consumers." Koch's
opposition to corporate welfare is most aligned w/: correct answers • Nozick's Right's Theory.
Aeronautics giant Boeing fired 2 internal auditors for leaking documents & info to a reporter
regarding alleged flaws in the company's internal audit of its Information Technology control
systems. The company convened an employee review board & determined that the leaks
constituted grounds for termination of employment. The auditors sued under Sarbones-Oxley,
saying their leaks to the press were protected under the law. Who wins & why? correct answers •
Boeing because Sarbones-Oxley doesn't protect whistleblowing to the media.
In our 1st class meeting, we discussed the meaning of morals vs. ethics. Although they are often
interchangeably: correct answers • Morals & ethics are technically diff in that, for example, an
attorney may not necessarily, be disciplined for behaving immorally, but he/she can be
disciplined-even disbarred- for behaving unethically.
- Morality is internal; essentially a personal compass of right & wrong, unique to the individual,
& generally becomes one's guiding force in life to help 1 choose a course of action when faced
w/ a dilemma.
- Ethics is external- that is, rules of conduct recognized by a particular group or culture, such as a
community, company, professional group, family, etc.
On April 11, 2011, NY Times reported that the Garnett news corp. decided to require lower
ranked employees take unpaid furlough days during the coming year. At the same time,
according to the article, the company substantially increased the pay of the two top executives.
Their compensation moves are LEAST consistent w/ correct answers • Rawl's Theory of Justice.
In a Nov. 23, 2011, BusinessWeek column, prof. Barry Schwartz wrote that " some might say
banking has no moral dimension to take away." But he also notes that bankers are not only
interested in a profit but are also aware of their social responsibilities. He notes that "bankers
worried about helping farmers get this year's seed into the ground. They worried about a couple
in their 50s having enough to retire on, & about one on their 30s taking on too big a mortgage.
These bankers weren't saints, but they served the dual masters of profitability & community
service." The focus of bankers according to this column is most in line with: correct answers A
stakeholder's orientation
Barbara Boss, the CEO of worldwide widgets, scored a perfect "J" (Justice) score on the Ethical
Orientation Questionnaire. Which of the following actions is she LEAST likely to take? correct
answers • Make an exception to worldwide widget's company policy prohibiting loans to
employees by extending a short-term loan to an employee who needs immediate cash to avoid
losing his home to foreclosure.
, In our 2nd class meeting, we discussed the case involving the whistleblower, Dr. Wigand, & the
tobacco industry, Dr. Wigand revealed that the tobacco & cig industry's "international
manipulation of nicotine, known as 'impact boosting' by his former employer, Brown &
Williamson." Wigand wanted the public to know about the highly addictive, potentially lethal
properties of tobacco; that smokers often developed a life-long addiction, leading to a myriad of
diseases-including cancer & cardiovascular diseases. In his decision to make public the tobacco
industry's dirty secret, he said, " The word whistleblower suggests that you're a tattletale or that
you're somehow disloyal... But I wasn't disloyal in the least bit. People were dying. I was loyal to
a higher order of ethical responsibility." Dr. Wigand's decision to blow the whistle is MOST
consistent w/: correct answers Utilitarianism
Bob is a recent SDSU business graduate who works at Surfboards Inc., a local surfboard
manufacturer. His goal is to move up in the organization & ultimately become CEO. Bob is an
Objectivist, so his plans are most likely to include: correct answers • Working long hard hours &
doing the best job he possibly can, & studying the next higher job at night so that he is most
qualified for the next promotion that comes up.
The owner of a local Ferrari distributorship was interviewed by Rascar magazine for an article
about the marketing of expensive 'hot shot' cars. He tells the interviewer that, for 2 reasons, he
wants to make sure that the buyer doesn't get in any accidents. 1st, he genuinely cares about his
customers; many of whom he knows through local business organizations, & doesn't want to see
them get hurt. 2nd, he knows that any accident involving a hot shot car will make the news &
ultimately hurt his business by focusing attention on the dangers of driving the cars may pose.
The Ferrari distributorship owner interest in making sure his customers know how to drive safely
before buying the expensive cars he sells appears to be guided by which 2 ethical theories?
correct answers • The ethic of care & objectivism.
Some overseas banks lend to businesses in the developing world that service low-income
consumers that in turn invest their profits back into the operations of the business, rather than
return them to shareholders or investors. For example, a bank in Italy has partnered w/ a local
mile distributor that services extremely low income areas in order to make milk products
available for next to nothing in areas where children are starving. Both the bank & its milk
distributor borrower are motivated in this arrangement by: correct answers • Rawl's Theory of
justice.
Which of the following would be evidence that a particular ethical principle or practice is a
hypernorm: correct answers The principle or practice is generally supported by a relevant
international community of professionals, e.g accountants or env.tal engineers.
A Nov. 2010 BusinessWeek article about California-based Roll International says that the couple
at the helm of the privately held company, Stewart & Lynda Resnick, have skillfully taken
advantage of loopholes in the system of regulations that governs their various business interests.
One of the couple's critics is quoted in the article as saying, w/ some degree of grading respect:
"The Resnicks are acting rationally. The system is rotten. [The Resnicks] are particularly adept at
Charles G. Koch, chairman & CEO of Koch Industries- a company estimated to be worth $100
billion - released a book this month. On Pg.7 of the book, Koch talks about his company's
opposition to gov.t subsidies, or 'corporate welfare' (term coined by Ralph Nader, an Am. pol.
activist) including those that would seem beneficial to us on the surface & maintains that it "
relieves recipients of constructive pressure to innovate & create value for society, hinders the
unsubsidized competition by coercion, & limits the choices available to consumers." Koch's
opposition to corporate welfare is most aligned w/: correct answers • Nozick's Right's Theory.
Aeronautics giant Boeing fired 2 internal auditors for leaking documents & info to a reporter
regarding alleged flaws in the company's internal audit of its Information Technology control
systems. The company convened an employee review board & determined that the leaks
constituted grounds for termination of employment. The auditors sued under Sarbones-Oxley,
saying their leaks to the press were protected under the law. Who wins & why? correct answers •
Boeing because Sarbones-Oxley doesn't protect whistleblowing to the media.
In our 1st class meeting, we discussed the meaning of morals vs. ethics. Although they are often
interchangeably: correct answers • Morals & ethics are technically diff in that, for example, an
attorney may not necessarily, be disciplined for behaving immorally, but he/she can be
disciplined-even disbarred- for behaving unethically.
- Morality is internal; essentially a personal compass of right & wrong, unique to the individual,
& generally becomes one's guiding force in life to help 1 choose a course of action when faced
w/ a dilemma.
- Ethics is external- that is, rules of conduct recognized by a particular group or culture, such as a
community, company, professional group, family, etc.
On April 11, 2011, NY Times reported that the Garnett news corp. decided to require lower
ranked employees take unpaid furlough days during the coming year. At the same time,
according to the article, the company substantially increased the pay of the two top executives.
Their compensation moves are LEAST consistent w/ correct answers • Rawl's Theory of Justice.
In a Nov. 23, 2011, BusinessWeek column, prof. Barry Schwartz wrote that " some might say
banking has no moral dimension to take away." But he also notes that bankers are not only
interested in a profit but are also aware of their social responsibilities. He notes that "bankers
worried about helping farmers get this year's seed into the ground. They worried about a couple
in their 50s having enough to retire on, & about one on their 30s taking on too big a mortgage.
These bankers weren't saints, but they served the dual masters of profitability & community
service." The focus of bankers according to this column is most in line with: correct answers A
stakeholder's orientation
Barbara Boss, the CEO of worldwide widgets, scored a perfect "J" (Justice) score on the Ethical
Orientation Questionnaire. Which of the following actions is she LEAST likely to take? correct
answers • Make an exception to worldwide widget's company policy prohibiting loans to
employees by extending a short-term loan to an employee who needs immediate cash to avoid
losing his home to foreclosure.
, In our 2nd class meeting, we discussed the case involving the whistleblower, Dr. Wigand, & the
tobacco industry, Dr. Wigand revealed that the tobacco & cig industry's "international
manipulation of nicotine, known as 'impact boosting' by his former employer, Brown &
Williamson." Wigand wanted the public to know about the highly addictive, potentially lethal
properties of tobacco; that smokers often developed a life-long addiction, leading to a myriad of
diseases-including cancer & cardiovascular diseases. In his decision to make public the tobacco
industry's dirty secret, he said, " The word whistleblower suggests that you're a tattletale or that
you're somehow disloyal... But I wasn't disloyal in the least bit. People were dying. I was loyal to
a higher order of ethical responsibility." Dr. Wigand's decision to blow the whistle is MOST
consistent w/: correct answers Utilitarianism
Bob is a recent SDSU business graduate who works at Surfboards Inc., a local surfboard
manufacturer. His goal is to move up in the organization & ultimately become CEO. Bob is an
Objectivist, so his plans are most likely to include: correct answers • Working long hard hours &
doing the best job he possibly can, & studying the next higher job at night so that he is most
qualified for the next promotion that comes up.
The owner of a local Ferrari distributorship was interviewed by Rascar magazine for an article
about the marketing of expensive 'hot shot' cars. He tells the interviewer that, for 2 reasons, he
wants to make sure that the buyer doesn't get in any accidents. 1st, he genuinely cares about his
customers; many of whom he knows through local business organizations, & doesn't want to see
them get hurt. 2nd, he knows that any accident involving a hot shot car will make the news &
ultimately hurt his business by focusing attention on the dangers of driving the cars may pose.
The Ferrari distributorship owner interest in making sure his customers know how to drive safely
before buying the expensive cars he sells appears to be guided by which 2 ethical theories?
correct answers • The ethic of care & objectivism.
Some overseas banks lend to businesses in the developing world that service low-income
consumers that in turn invest their profits back into the operations of the business, rather than
return them to shareholders or investors. For example, a bank in Italy has partnered w/ a local
mile distributor that services extremely low income areas in order to make milk products
available for next to nothing in areas where children are starving. Both the bank & its milk
distributor borrower are motivated in this arrangement by: correct answers • Rawl's Theory of
justice.
Which of the following would be evidence that a particular ethical principle or practice is a
hypernorm: correct answers The principle or practice is generally supported by a relevant
international community of professionals, e.g accountants or env.tal engineers.
A Nov. 2010 BusinessWeek article about California-based Roll International says that the couple
at the helm of the privately held company, Stewart & Lynda Resnick, have skillfully taken
advantage of loopholes in the system of regulations that governs their various business interests.
One of the couple's critics is quoted in the article as saying, w/ some degree of grading respect:
"The Resnicks are acting rationally. The system is rotten. [The Resnicks] are particularly adept at
