Those who exemplify ethical behavior do the right thing regardless of whether they get credit for it. Unethical behavior by financial and real estate businesses has led to The _____________ _________________is a systemic evaluation of an organization's progress toward implementing socially responsible and responsive programs. For many years Futura Company has purchased the standard that it installs in its standard line of farm tractors. [B] To maintain a good reputation C. moral philosophy. D. short run profit maximization. human resource support staff True or false: Corporate Social Responsibility (CSR) and corporate profits can at times go hand in hand. Implementing ethical standards within an organization starts with: An employee who reported her boss to the SEC for insider trading would be considered a(n) _____________ protected by law. B. because strict global regulations require it. Ethical behavior means your team operates according to fair and transparent standards, not just complying with legal rules or regulatory requirements, but going above and beyond to ensure decisions are applied through an ethical lens. B. Whistleblowing C. Plagiarism Ethical Behavior Is Essential to Business - Business News Daily A. expanding the opportunity to behave ethically by providing rewards for following the rules. \text{Utilities Expense} & 500 & \text{Office Supplies} & 1,500 \\ Explanation Multiple choice question. The corporate scandals can hurt the reputation of firms, the interests of investors and stakeholders, welfare of employees, the life damage or property losses of customers and the damage of environment. Multiple select question. A. If an ethical tone is set at the top and followed by management, everyone who works there will hold themselves and each other to those standards. (C) occur in many countries Besides environmental groups, unions, and investors, a relatively new type of watchdog organization that reports on corporate social responsibility efforts is Which of the following is not one of the approaches associated with corporate social responsibility? Top leaders from other countries have been charged with bribery, The emergence of the green movement has affected businesses by Which of these actions is LEAST likely to restore the trust of the American public in the free-market system? List the most influential on top. Multiple choice question. Article. E. law. [C] only to compete and make a profit True false question. Business ethics concerns ethical dilemmas or controversial issues faced by a company. D. Ethical financial reporting practices, Resource procurement and consumption practices, 39. Which set of ethics codes defines an organization's guiding values, creates an environment that supports ethically sound behavior, and stresses shared accountability? This guide breaks down the importance of business ethics and how to establish an ethical culture in your company. Amber was observing an example of the ___________ followed at this organization. These actions are \text{Depreciation} & \text{1.00} & \text{\$ 40.000}\\ standards. C. helps government officials develop appropriate legislation. Then, if the verb does not agree in number with its subject, write the correct form of the verb above the incorrect form. general guiding values Corporate social responsibility (CSR) is based on the belief that businesses should be concerned with the welfare of __________________and not only of their owners. Though discrimination and harassment laws have been put in place and continue to be updated . Motivation. (nervous). What is the best reason for a business to be managed ethically? A. To attract customers To avoid lawsuits To maintain a good reputation Making decisions that we know are different from what is right erodes our self-esteem. A low cost, efficient way for companies to connect with specific groups and inform them of corporate social responsibility efforts is ____________________ __________________. B. philanthropy. (D) make more money for investors in the short run. Research into ethics and business performance has shown the two are linked in some important ways. How to Get a Bank Loan for Your Small Business, How to Conduct a Market Analysis for Your Business, Guide to Developing a Training Program for New Employees. create an open-door policy, protect them from retaliation employees and internal public relations \text{Cash} & 7,000 & \text{Equipment} & 26,600 \\ social auditing, Which of the following are examples of outside stakeholders that must be told about a company's ethics program? Hence, a business should have a trustworthy source of finance and maintain healthy relations with financial sources like Banks, Financial Institutions, Stakeholders, etc. Some common workplace ethics include trustworthiness, accountability, respect, transparency, and integrity. When management considers ethics in its actions toward stakeholders, employees can be positively affected. Customer privacy policies and practices Chapter 4 - Homework ( Introduction To Business) - Quizlet How Managers Can Encourage Ethical Behavior | Principles of Management Is it acceptable if everyone else is doing it? Multiple select questions. C. Accounting fraud that only society's health is improved when they invest in companies whose goods and services benefit the community The firm has evolved into a big business due to quality and innovative work. Corporate social responsibility is a business's concern for: Those who oppose corporate social responsibility believe that Multiple choice question. Encouraged by the new Sarbanes-Oxley Act, individuals who report unethical or illegal behavior within an organization are CSR can lead to even more profits. Corporate responsibility This is especially so when the market is very competitive, because then the customers have a lot of options and could switch to another product or service provider.. When there is a standard of accountability at an organization, its people hold themselves and their peers to a standard of responsibility. Part-time co-worker 3. The Importance of Business Ethics | Maryville Online Ethical behavior includes honesty, integrity, fairness and a variety of other positive traits. Maximizing ethical conflict in work groups Business Ethics - A Successful way of conducting business ethical standards in the U.S., but unfortunately foreign leaders are not being subjected to ethical scrutiny. an individuals behavior is influenced by the behavior of others. reducing regulations about labeling B. ability to plan for the unexpected. A. the breakdown of traditional religious institutions. increasing control Increased control over employee actions. D. concern for the welfare of society. [A] few losses to investors D. maximizing their investment in the firm. Are Workplace Politics Destroying Your Business? Those who have others interests in mind when they make decisions are displaying ethical behavior. Steven Barber, RBLP-T, SPHR, SHRM-SCP, GCDF, CCSP - Business Management Although these actions were not part of the mandatory waitstaff training, Amber perceived that waitstaff members who were not helping out were not viewed as team players by the majority of employees. . 43% of consumers have stopped buying from brands they find unethical and 71% say they carefully consider corporate values when making a purchase. demanding socially responsible behavior from international suppliers, particularly in the areas of environmental standards and human rights issues. A. (C) likely to perform worse financially Multiple Choice B. philanthropy C. Expanding opportunity by providing punishments for violations of the rules D. Overlooking violations of codes of ethics D. integrity. 'Business' can mean an activity of exchange. The second major meaning behind the term is . a written code of ethics Business ethics inform a company's values and goals, as well as how it runs its day-to-day operations. U.S. companies that operate abroad, particularly those who contract with foreign companies, are now ________ human rights and environmental standards followed by U.S. law. (A) have fewer loyal customers but attract more of them Answer (1 of 4): When you manage a business ethically it attracts the right people that can suit your company culture and proficiently fit with your business. Demanding Ethical and Socially Res, Intro-Into-Business: Ch. A. Diversity and discrimination B. It seeks to promote honesty, fairness, and responsibility in all advertising. If a business fails in meeting its responsibilities to its employees, all of the following are likely to occur except: compliance-based ethics C. a loss of employee commitment and trust in the company and its management. help store confidence in corporate america and canada, Which of the following have been cited as incidents of unethical business activity recently? for the welfare of society as a whole, True or false: Corporate Social Responsibility (CSR) and corporate profits can at times go hand in hand. Then, of course, there are the more serious consequences of highly unethical behavior. Top officials in countries like Japan, South Korea, and China have faced legal charges of influence peddling and __________ charges, which serve as examples of the unethical behavior that U.S. companies face in overseas markets. A business should be managed ethically because Multiple select question. punishing unethical behavior and rewarding ethical behavior privately (D) 3 out of 4 citizens volunteer, but cheat on their taxes, Using information from the internet or other sources without giving credit to the author is, The strong relationship between academic dishonesty and dishonesty at work is likely to At a college, a code of ethics could include being honest and unbiased when grading and being a catalyst for diverse perspectives in the classroom. [B] Bribery To understand why ethical behavior is important, it might be helpful to know how unethical behavior affects a company. A set of formalized rules and standards that describe what a company expects of its employees is called a(n) False, If the statement "ethics is caught more than it is taught" is true, then management facilitates this by: A. increasing the diversity of their workforce (C) 4 out 5 citizens volunteer an hour each week Which of the following represent examples of how corporations set positive standards of ethical behavior? a clear set of rules and regulations Why Is Ethical Decision Making Important? - Lisa Jeffs it prevents government audits, Which set of ethics codes emphasizes preventing unlawful behavior by increasing control and penalizing wrongdoers? decreased financial donations but encouraged their employees to volunteer their time to corporate social initiatives and projects. Multiple Choice As a philosophy, ethics are the principles that guide a person's behaviour. 5 Reasons Why Ethics Is Important in Accounting for Business It does not subtract from the bottom line; it adds to it. Here are other common examples of ethical behavior: No matter the relationship between two people and what they agree or disagree upon, people within an organization should always respect each other. (B) going to save money by not hiring those who are disabled G. R. Laczniak, M. W. Berkowitz, R. G. Brooker, and J. P. Hale (1995) provided evidence that business leaders feel unfairly . Whistleblowers are insiders who report illegal or unethical behavior. Reevaluating its ethics codes based on the input of its customers. To manage these risks and the ethical obligations they imply, CDOs should work on developing institutional practices for continual learning and interaction with external experts. He also believed anything other than that would be considered: Economist Milton Friedman believed that a business's only social responsibility was to make ____________ for its owners and that anything else was socialism. A. Overstating an expense report. U.S. companies tend to overlook and forget human rights abuses abroad. retaliation Eric Allgood - Managing Director - Small Business Assistance and Due to the fact that it is not yet public, those who act upon the information have an unfair advantage and stand to gain financially. On the flip side, a leader who personifies ethical behavior will be fair in all situations. It is a set of guidelines for dealing with various procedures ethically. Tejas Vemparala also contributed to this article. There are a number of reasons why businesses should act ethically: to protect its own interest; to protect the interests of the business community as a whole so that the public will have trust in it; to keep its commitment to society to act ethically; to meet stakeholder expectations; to prevent . ignoring both ethical and unethical behavior [D] They may choose to cancel orders when there are environmental abuses. Practice deception regarding product safety issues. Ethics can be rooted in belief or the pursuit of making the world better. [C] lack of trust in the free market system it makes financial as well as moral sense to invest in companies that plan to create a better environment, that they can improve their own financial health by investing in companies whose goods and services benefit the community Reading: Global Business Ethics | International Business - Lumen Learning [D] Political risk taking. decreased financial donations and eliminated support in almost every way. Even small companies participate in _______ through donations and volunteer support of local causes and national charities, such as the Red Cross and the United Way. capitalism 051-Methods for Designing Ethical, Human-Centered AI with Undock Head Companies who are percieved as being socially responsible will ultimately earn more profits for their investors. "It's an ongoing phenomenon that must be better understood and managed and . Defines an organization's guiding principles. Ethics in the Workplace: Examples & Tips | PayScale social initiatives This sort of behavior is not limited to the workplace; it can be present in every facet of life. secondary market companies. information technology The first area is productivity. A. When implementing a new ethics program, businesses must also communicate the changes to outside parties such as: The statement by Patagonia that "A love of wild and beautiful places demands participation in the fight to save them, and to help reverse the steep decline in the overall environmental health of our planet" is an example of: Attracting and retaining better employees is an example of a corporate social responsibility: Unethical behavior in business, especially in the real estate and banking industries, has resulted in However, the company has sufficient idle tools and machinery that no new equipment would have to be purchased. The concern businesses have for the welfare of society, not just for their owners is: If youre concerned your company culture isnt rooted in ethical behavior, consider taking corrective action to reduce and prevent further unethical activities by employees. Other countries also follow capitalist principles. They should display behavior that is honest and fair in their relationships with co-workers and their clients. whistleblowers Economic conditions in some developing countries make child labor a necessity for the survival of families. (A) matter very little to employers A well-implemented ethics program can also reduce losses. Multiple choice question. Personal projects [C] Paying U.S. minimum wage The chief engineer has recommended against this move, however, pointing out that the cost to produce the starters would be greater than the current 8.40perunitpurchaseprice:8.40 per unit purchase price:8.40perunitpurchaseprice: PerUnitTotalDirectmaterials$3.10Directlabor2.70Supervision1.50$60.000Depreciation1.00$40.000Variablemanufacturingoverhead0.60Rent0.30$12.000Totalproductioncost$9.20\begin{matrix} Less than 202020 percent of the eligible voters has\underline{\text{has}}has an opinion about that subject. E. Consumer safety information, Which of the following is NOT one of the "Business System Design and Development" responsibilities? False, Whistleblowers can be helped by protecting them from: There is significant pressure on U.S. companies to separate themselves from suppliers who violate human rights and environmentally progressive guidelines. going to save money by not hiring those who are disabled fairness, honesty, openness, _____________________________are insiders who report illegal or unethical behavior. (B) 3 out of 4 citizens think they should be paid for their volunteer work A reputation for positive ethical behavior entices more potential clients, customers and partners to work with you. using recyclable packaging Multiple select question. Today, as many Americans (64%) say that a company's "primary purpose" should include "making the world better" as say it should include "making money for shareholders." social justice. reaches broad and diverse groups Ethical behavior can have negative consequences to the bottom line in the long run. But when they do, employees need to take accountability for their actions. Trustworthiness. \text{Service Revenue} & 80,000 & \text{Accounts Payable} & 4,300 \\ B. Horn blower C. diversity Corporate social responsibility (CSR) is based on the belief that businesses should be concerned with the welfare of _______________ and not only of their owners. Multiple Choice A business starts with the correct usage and allocation of finances and cost management. The first day on the job waiting tables at a popular restaurant, Amber noticed that when one member of the waitstaff was serving a very large party, the other waiters would help carry food to the tables and even check to make sure water glasses were filled. [A] They will bribe local officials to change their policies. B. personal responsibility C. compliance Depreciation is due to obsolescence rather then wear and tear. Should an instance occur, the result could be devastating to your company's finances and reputation. \text{Direct labor} & \text{2.70}\\ Compliance-driven ethics standards The mortgage bankers and real estate companies who helped create the financial crisis of 2008 were driven by, Financial and political leaders can restore trust in the free market system by: A. Multinational corporations are committed to operating within the legal limits of U.S. law. Marilena Crsteanu - International Customer Experience Advisor B. disgruntled workers manipulating budgets and expenses. vigilantes. Business should be managed ethically because Businesses with good reputations attract customers It reduces employee turnover It reduces the likelihood of lawsuits by employees or customers True or false: individuals have social responsibilities regarding their ethical behavior in the business world. Multiple choice question. This is called a bounty provision because as stated, they may receive a monetary award for their actions. The amount of pollutants a firm unleashes into the environment would serve as an example of a negative activity that would be included in the social audit measurements. A business should be managed ethically for many.