of or relating to ethics; involving or expressing moral approval or disapproval; conforming to accepted standards of conduct See the full definition C. commitment to a management training program. Compliance-based ethics codes focus on: (B) are limited to the United States Business Ethics is important because it helps organizations create a code of conduct that they can rely on to make decisions. the federal government CSR can lead to even more profits. the fastest way to demoralize your stakeholders is to spend too much money supporting social issues, such as having employees assist in community efforts. 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. D. Ethical financial reporting practices, Resource procurement and consumption practices, 39. Studies have found a _____ correlation between academic dishonesty and dishonesty at work. Sean Peek has written more than 100 B2B-focused articles on various subjects including business technology, marketing and business finance. Which of the following is a reason why a business should be managed ethically? A leader designing an ethical culture should try to create contexts that keep ethical principles top of mind, reward ethics through formal and informal . The discipline comprises corporate responsibility, personal responsibility, social responsibility, loyalty, fairness, respect, trustworthiness, and technology ethics. only to compete and make a profit [B] about being fair and honest with their stakeholders B. C. help laid-off employees get their jobs back. This is the third year of operations for the company. 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. a loss of employee commitment and trust in the company and its management. According to Norman Vincent Peale, which of the following questions should Jake refer to as he proceeds to make an ethical decision? social auditing, Which of the following are examples of outside stakeholders that must be told about a company's ethics program? 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. Businesses that violate ethics and engage in illegal activities can be subject to costly fines and lawsuits. Full-time co-workers 3. unethical The Dodd-Frank Wall Street Reform and Consumer Protection Act provides whistleblowers an award if their actions lead to an enforceable action or conviction. Businesses can show their CSR in many ways. C. Corporate strategy 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 capitalism Which of the following represent examples of how corporations set positive standards of ethical behavior? social justice. 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. If your supervisor directed you to enter false information into a sales order book and told you if you refused that you would lose your opportunity for promotion, you would probably consider this situation to be a(n), According to the text, ethical behavior begins with. Synonym Discussion of Ethical. In addition to researching trends, reviewing products and writing articles that help small business owners, Sean runs a content marketing agency that creates high-quality editorial content for both B2B and B2C businesses. This guide breaks down the importance of business ethics and how to establish an ethical culture in your company. B. ability to plan for the unexpected. social policy D. Outsourcing practices formal and informal. A set of formalized rules and standards that describe what a company expects of its employees is called a(n) [A] it reduces employee turnover [D] only with their responsibility to their shareholders, A company that has socially responsible human resources management is The purpose of a code of ethics is to guide employees in handling ethical dilemmas. Studies have shown that what most influences a company's effectiveness and financial performance is: responsible management of human resources, Which of the following behaviors are illegal in the United States, but potentially put our companies at a disadvantage in overseas markets? 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. They believe that they can have the greatest impact in this area through cash contributions to nonprofit organizations. In the long run, CSR enhances profits. Business ethics isnt always exalted in every workplace, but its critically important when it comes to providing customers with quality service, adhering to regulatory compliance standards, and avoiding steep fines and lawsuits. While these actions might not be illegal, they can definitely have negative effects on the morale and success of a company, especially if their dirty laundry is aired publicly. C. writing their representatives in Congress. All successful businesses communicate effectively. about being fair and honest with their stakeholders varies among those who are interested in corporate responsibility. Multiple Choice (C) gains for investors in 2008 and 2009 The last recession changed the way many companies offer support to people and communities in need. Ethical behavior has significant upfront costs which may never be recovered. True false question. Startup Costs: How Much Cash Will You Need? Explanation [A] Influence peddling is a branch of philosophy that seeks to address questions about moralitythat is, about concepts such as good and bad, right . school districts Scandals. Research into ethics and business performance has shown the two are linked in some important ways. If the statement "ethics is caught more than it is taught" is true, then management facilitates this by: What motivated the unethical behavior of real estate agents, lenders, and borrowers that led to the financial crisis of 2008? D. Mayhem [B] To maintain a good reputation How to Write a Self-Assessment: 5 Tips to Improve Do Not Sell/Share My Personal Information, Limit the Use of My Sensitive Personal Information. B. additional taxes Paying employees on specified pay dates most of the time. allow for complete anonymity, When implementing a new ethics program, businesses must also communicate the changes to outside parties such as: Ethics is a notoriously difficult subject because everyone has subjective judgments about what is "right" and what is "wrong.". [A] outsourcing enforcement of the laws to private firms Multiple select question. (A) it prevents government audits Which of the following is NOT included as one of the questions we must ask when faced with an ethical dilemma? This will ensure the stability of all structural parts, help to form a sense of belonging to one community with the same goals and aspirations. whistleblowers Business ethics is the system of moral and ethical beliefs that directs the behaviors and operations of an organization and its personnel. penalizing wrong-doers, increasing control A legal provision known as the _______________ provides a "bounty" provision for whistleblowers whose actions result in a legal conviction. Maximizing ethical conflict in work groups D. concern for the welfare of society. Top management 4. \text{Total production cost} & \text{\$ 9.20}\\ False. C. to attract new customers and retain existing customers. When there is a base level of respect established, people take criticism less personally, are able to communicate more openly, and can see and value the other persons perspective. Certain studies have revealed some of the reasons why the companies on Ethispheres ethics index may have outperformed other less-ethically-focused businesses. True false question. Its premise is based on integrity, fairness, and respect for others. clarifying what green means [D] allows them to connect directly with customers. [D] They may choose to cancel orders when there are environmental abuses. Organizational ethics begins Multiple Choice at the top levels of management. draw more customers, retain better employees The concern businesses have for the welfare of society, not just for their owners is: A. profits. E. Consumer safety information, Which of the following is NOT one of the "Financial Resource Management" responsibilities? How does the action I am proposing to take make me feel about myself? 'Business' can mean an activity of exchange. U.S. companies follow the lead of consumers, and at this time, there is no evidence of a trend toward concern for better human rights and environmental standards. Noones;C\underline{\text{\color{#c34632}No ones; C}}Noones;C. Encouraged by the new Sarbanes-Oxley Act, individuals who report unethical or illegal behavior within an organization are Internal auditors (B) it attracts and retains customers When management considers ethics in its actions toward stakeholders, employees can be positively affected. ___________ _____________ ethics codes define an organization's guiding values, create an environment that supports ethically sound behavior, and stresses shared accountability. Although definitions and means of measuring a carbon footprint aren't yet clear, many companies try to become more __________________by claiming to reduce it. 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. [C] The U.S. government will use military force to enforce labor laws.. Integrity-based ethics is informal company behavior that evolves from individuals' desire to make things better for all. 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. They should display behavior that is honest and fair in their relationships with co-workers and their clients. Due to a reduction in output, the company has idle capacity that could be used to produce the starters. higher ethical standards than in the past. <br><br>Customer care professional with experience in building customer loyalty, analyzing customer behavior, creative customer relationship . It is the right thing to do. Businesses should create and display their code of ethics publicly. An ethical business will get your employees to respect your company . Source interviews were conducted for a previous version of this article. 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. leaving unethical behavior unpunished Corporate social initiative refers to a company taking the initiative to utilize its expertise and resources to make a situation better. corporate raider divisions. 22. Multiple Choice Integrity-driven ethics codes [B] Bribery ethical standards that are often unreasonable and cannot be met by most leaders. (B) 3 out of 4 citizens think they should be paid for their volunteer work The second major meaning behind the term is . 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. Top management 1. E. all of the answers are correct. An appearance of conflict exists when a reasonable person looking at the situation from outside (and without personal knowledge of anyone involved) will conclude from the circumstances that the employee's ability to perform his or her duties may be compromised by personal interest. Demanding developing countries to adhere to U.S. law on human rights and the environment is not clear-cut. Top leaders from other countries have been charged with bribery. Dodd-Frank Wall Street Reform and Consumer Protection Act \end{array} True false question. 8 Mini-Case Study, Intro-Into-Business: Ch. Multiple choice question. standards. Which of the following are reasons a business should be managed ethically? Multiple Choice B. helping others Multiple Choice free from the concern of increasing control Less than 202020 percent of the eligible voters has\underline{\text{has}}has an opinion about that subject. Laws, Ethics Laws - are passed by legislators to protect us from fraud, theft, and violence. This approach to ethics assumes a society comprising individuals whose own good is inextricably linked to the good of the community. A business should be managed ethically for many reasons: to maintain a good reputation; to keep existing customers and attract new ones; to avoid lawsuits; to reduce employee turnover; to avoid government intervention; and to please customers, employees, and society. it reduces laws and regulations \text{Utilities Expense} & 500 & \text{Office Supplies} & 1,500 \\ Multiple choice question. True Multiple Choice A. Here are five reasons why you should keep things legal and follow business ethics in accounting. (D) long jail terms for those who acted unethically.