Business Law Ch.2 – Flashcards
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Mary works in the public relations department of New Trends Sales Company. Her job includes portraying New Trends's activities in their best light. In this context, ethics consist of
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the same moral principles that apply to non-business activities
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Global Distribution Corporation suggests that its employees apply the "categorical imperative" to ethical issues that arise at work. This requires that the employees
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weigh the consequences that would follow if everyone acted the same
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Bob, research manager for CornAgri Products, Inc., applies utilitarian ethics to determine that an action is morally correct when it produces the greatest good for
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the most people
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Charles, president of DrinkUp Fresh Beverages, Inc., does not apply utilitarianism to business ethical issues. One problem with utilitarianism is that it
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tends to justify human costs that many find unacceptable.
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Made4U Goods, Inc., asks its employees, many of whom are members of the National Machinists Union, to apply the utilitarian theory of ethics. This theory does not require
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the acquiring of the means of production by workers
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A common ethical dilemma faced by the management of General Holdings Corporation involves the effect that its decision will have on
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one group as opposed to another
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Applied Business Corporation makes and markets its products nationwide. Under the stakeholder approach, to be considered socially responsible when making a business decision, Applied must take into account the needs of
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its employees, owners, consumers, the community, and society
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Fealty Credit Corporation asks its employees to evaluate their actions and get on the ethical business decision-making "bandwagon." Guidelines for judging individual actions include all of the following except
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loopholes in the law or company policies
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Ethical standards would most likely be considered violated if Retail Mart Corporation deals with a company in a developing nation that
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Exploits its workers.
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Steele Toole Company's decision makers view a particular risk in the use of Steele's product as open and obvious. Continuing to market the product without telling consumers of the risk could be justified from a perspective of
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utilitarian ethics
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In deciding questions of corporate social responsibility, Valley Disposal ; Recycling, Inc., is concerned with
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all of the choices
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Peak ; Vale Accountants provides other firms with accounting services. Questions of what is ethical involve the extent to which Peak ; Vale has
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an ethical duty beyond those duties mandated by law
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Superior Energy Corporation engages in ethical behavior solely for the purpose of getting good publicity and thereby increasing profits. Superior is
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not acting unethically
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Bilt-Well Construction Corporation makes a side payment to a government official in Nigeria to obtain a contract. In the United States, this is
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illegal and unethical
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To assist in detecting illegal bribes, Cut Rite Contractors, Inc., and all U.S. companies, must
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keep records that "accurately and fairly" reflect financial activities
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Bess runs Creditors Asset Recovery. She recruits clients by misrepresenting the facts and pretending to be licensed in various occupations in Michigan. Bess's conduct most likely warrants
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an injunction plus other sanctions
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Hailey, a lawyer on the staff of International Group, always considers the consequences of an action rather than the nature of the action itself when making ethical decisions in a business context. Hailey is applying
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the utilitarian theory of ethics in business contexts
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Ergonomic Corporation convenes its employees for its managers to announce (1) a new company-wide ethical code of conduct, (2) an ad campaign to publicize the new code, and (3) the discharge of employees who do not adhere to the code. One of the most effective ways to set a tone of ethical behavior within a business organization is
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to create an ethical code of conduct
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Eden, the chief executive officer of Flo-Thru Piping Corporation, wants to ensure that Flo-Thru's activities are legal and ethical. The best course for Eden and Flo-Thru is to act in
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good faith
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In judging her action as a corporate employee of Music Notes Corporation, Brooke always lets her conscience be her guide. As an effective alternative, Brooke could
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Ask herself whether she would be happy to be interviewed by the national media about the action.
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In deciding questions of corporate social responsibility, Valley Disposal ; Recycling, Inc., is concerned with
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all of the choices
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In studying the legal environment of business, Professor Dooley's students also review ethics in a business context. Ethics includes the study of what constitutes
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fair or just behavior
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Julia, the head executive of Fine Woolen Sweaters, Inc., is a committed Christian who strongly adheres to the Ten Commandments. One of Julia's employees is found to be stealing sweaters and giving them to a local homeless shelter. Julia is likely to
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punish the employee for stealing even though the employee's motive was benevolent
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In making decisions for Smartt Investments, Rita uses a cost-benefit analysis. This is a part of
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utilitarian ethics
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Margaret is the top manager of Pecans, Inc. She sets strict ethical standards for all employees. Margaret, however, often takes some of the company's best nuts and sells them from her house. The ethical tone at Pecans, Inc. is
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Not likely to be good because although Margaret sets strict ethical standards for the other employees, she does not follow them.
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Margaret is the top manager of Pecans, Inc. She sets strict ethical standards for all employees. Margaret, however, often takes some of the company's best nuts and sells them from her house. The ethical tone at Pecans, Inc. is
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Not likely to be good because although Margaret sets strict ethical standards for the other employees, she does not follow them.
