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Exam 2: Being Ethical and Socially Responsible

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Question 31

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The human resources manager at Swingline, Inc., a manufacturer of office staplers, wants to encourage a more ethical climate in the organization.A likely way for Swingline to do this is to

A) make certain that Swingline has a company code of ethics that is enforced.
B) add an ethics department whose job is to constantly watch employees to be certain they behave.
C) develop a system of security cameras, telephone monitoring, and one-way mirrors to be certain that employees behave appropriately.
D) avoid any mention of ethics to employees so that they will not think unethical thoughts.
E) do none of the above.All of these practices are illegal because they take away an employee's constitutional right of free choice.

F) B) and C)
G) C) and E)

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Question 32

Multiple Choice

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What is probably the most effective way for a company to encourage ethical behavior?

A) hire employees who are ethical and in agreement with the company's views
B) have ethics training sessions for interested employees
C) threaten employees with immediate termination for unethical behavior
D) post signs discouraging sexual harassment and discrimination
E) develop and enforce a written code of ethics for the organization

F) A) and D)
G) None of the above

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Question 33

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The Sarbanes-Oxley Act of 2002 deals with corporate responsibility, conflicts of interest, and corporate accountability.

In the first three decades of the twentieth century, working conditions were horrible and dangerous, and abuses were common.Most people of the time believed these abuses would be rectified by

Awareness of businesses' social responsibilities has increased along with government involvement.

A government agency with the power to investigate complaints of discrimination and to sue firms practicing employment discrimination is known as the

Which of the following holds true in the case of business ethics?

A plan designed to increase the number of minority employees within an organization is known as

There are many more socially responsible businesses today than there were ten years ago.

When DVD players were first introduced, the price was very high, thereby preventing the average consumer from purchasing one.Today, however, as a result of increased competition in the market, most consumers can afford one because they are significantly cheaper.By reducing the price of these products and ensuring a large number of product offerings, competition has promoted consumers' right to

The fundamental issues concerning land pollution are how to restore already contaminated land and how to prevent further contamination.

Some Enron executives were aware of the financial problems the company was facing and yet failed to reveal this information to the public.These actions taken by Enron executives were

Steve had a problem with a coffee maker he purchased recently.He has been trying for days to speak with the company by calling its toll-free number, but it rings forever or sends him through a long menu with no opportunity to speak to an individual or to leave a message.Steve feels his basic consumer right to ____ has been violated.

Excellent Air Incorporated (EAI) Excellent Air Inc.is a well-known establishment in the airline business.It is currently one of the top firms in the industry.The company prides itself on good customer service and being concerned with the broader societal good.EAI management is not only concerned with doing things right, but also with doing the right things.Many of their decisions reflect this philosophy.Initially, the company had a problem with employees reporting their suspicions about unethical behavior to the press instead of to EAI management.As a result, the company made sure its employees knew the firm's guidelines on fixing ethical issues.EAI also developed a code of conduct based on standards that continue to be upheld within the company.Since the code of conduct has been put in place, there have been much fewer ethical violations. Although employee salaries at EAI are not as high as those at competing firms, the company experiences very low employee turnover.The firm has created a corporate culture that not only makes its employees want to stay, but that also results in higher profits.If EAI can maintain the relationship it has built with its employees and customers, it will have little difficulty keeping up its remarkable success. -Refer to Excellent Air Incorporated.The principles that EAI chooses to pride itself on show that the company has _____.

How can organizations encourage ethical behavior?

Improved water quality is not only necessary, it is attainable at no cost.

Wal-Mart expects its code of ethics to provide all of the following benefits except

Which of the following is an argument against social responsibility?

What led most directly to increased government involvement with regulating business and its dealings with society?

Long-distance providers are becoming increasingly concerned about certain activities within their industry.Various companies come together voluntarily to implement new standards of social responsibility that members must abide by.What seems to be the primary motivation in this case for an increased interest in social responsibility?