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Exam 2: A: Being Ethical and Socially Responsible

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Question 71

Multiple Choice

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The Jackson Springs Coal Mine recently discovered that the mine was contaminating the local drinking water. Cleaning up the mine and the surrounding areas would probably bankrupt the mine, causing the loss of hundreds of local jobs, but doing nothing would endanger the health of the community. The mine faces a serious ____ decision.

A) business
B) ethical
C) environmental
D) social responsibility
E) cost

F) A) and B)
G) All of the above

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Question 72

Multiple Choice

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Gabriel is an environmentalist with very strong beliefs about who should pay for environmental cleanup. What is most likely to be Gabriel's view?

A) He believes that tax money should be used for environmental cleanup because everyone contributes to pollution.
B) He feels that there should be a governmental tax imposed on every item to cover the cost of its pollution.
C) He feels that individuals, not businesses, should foot the bill for environmental cleanup because individuals are the ones who benefit.
D) He feels environmental costs are a part of doing business, which should be paid by businesses and in turn by higher prices for consumers.
E) He believes those who are concerned about the environment and pollution should pay the costs.

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

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Question 73

Multiple Choice

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Dorothy McRae worked at a meat packing plant during the 1920s. What would she have been most surprised to see happening at the plant?

Which of the following scenarios provides the best example of whistle-blowing?

Congress created the ____ in 1980 to help pay for cleaning up land polluted with chemicals and toxic wastes.

What are the major ethical issues businesspeople face?

Define consumerism. How have the rights of consumers changed since 1930?

A social audit is a

The major forces in consumerism are

Investors expect management to do all of the following except

A credit card company is offering an annual percentage rate of 3.9 percent. However, the company fails to mention that this is an introductory rate, and when consumers receive their bills after six months the rate increases to 21.9 percent. The consumers feel their right to ____ has been abused.

When faced with an ethical conflict, a manager should always

Karen is the assistant manager of a midsized logistics firm. She believes her manager, Michael, has become carried away with supporting nonprofit organizations and encouraging employees to do community service. What argument would Karen most likely use to turn Michael to her point of view?

XYZ Coffee Nancy is a highly respected person within her community. She is Hispanic in a largely Caucasian-populated area. Since Nancy was looking for a new job, she went to a new company in the area called XYZ Coffee, where she applied for a position. After the interview, Nancy felt confident that she would be hired because of her qualifications. However, she did not get a call back. Initially, Nancy did not think twice about it, but she felt differently when she visited the same coffee store later to purchase something for a friend. The company had hired an inexperienced Caucasian male with a history of unemployment. At this point, Nancy was quite aggravated, but she left the issue alone. She ended up asking an associate for an espresso machine. The employee informed Nancy where the machine was located and retrieved it for her. Nancy asked if there were any other espresso machines of higher quality. When the associate said no, Nancy purchased the item and left. After she gave the gift to her friend, she noticed a much better quality espresso machine that someone else had given her. Nancy asked where they had purchased it, and they responded, “XYZ Coffee.” -Refer to XYZ Coffee. Which basic consumer right was infringed when Nancy bought the espresso machine?

The Noise Control Act of 1972 established noise emission standards for all of the following except

Erin decides to try out her new iron on the pesky wrinkles she has on her legs. She suffers rather severe burns and is infuriated with the manufacturer because she feels her right to safety has been violated. Is Erin correct?

You are the executive vice president for Cooper Tire, the sixth largest U.S. tire maker. You have the responsibility to locate land for a new distribution center in Mississippi, and you own over 1,000 acres of land near one site in Tupelo. This could create for you

As a result of the Bhopal incident, in which a toxic gas leak killed thousands of people, leading officials at Union Carbide have dedicated themselves to operating their business ethically. Ways in which the company can encourage ethical behavior include all of the following except

The socioeconomic model of social responsibility places primary emphasis on

XYZ Coffee Nancy is a highly respected person within her community. She is Hispanic in a largely Caucasian-populated area. Since Nancy was looking for a new job, she went to a new company in the area called XYZ Coffee, where she applied for a position. After the interview, Nancy felt confident that she would be hired because of her qualifications. However, she did not get a call back. Initially, Nancy did not think twice about it, but she felt differently when she visited the same coffee store later to purchase something for a friend. The company had hired an inexperienced Caucasian male with a history of unemployment. At this point, Nancy was quite aggravated, but she left the issue alone. She ended up asking an associate for an espresso machine. The employee informed Nancy where the machine was located and retrieved it for her. Nancy asked if there were any other espresso machines of higher quality. When the associate said no, Nancy purchased the item and left. After she gave the gift to her friend, she noticed a much better quality espresso machine that someone else had given her. Nancy asked where they had purchased it, and they responded, “XYZ Coffee.” -Refer to XYZ Coffee. Before he got his job, another description for the employee who was hired over Nancy would be