QUESTION An American manager of a multinational company who is working in one of the company’s production plants located in the country of Cadmia employs child labor at the manufacturing unit he is in charge of. On being criticized as unethical, the manager argues that such actions are ethically defensible because everyone in Cadmia is […]
QUESTION Article 23 of the Universal Declaration of Human Rights implies that it is unethical to employ child labor in sweatshop settings and pay less than subsistence wages, even if that happens to be common practice in some countries. This is in contrast to: A. Kantian ethics. B. cultural relativism. C. rights theories. D. Marxism. […]
QUESTION Which of the following statements is true of the utilitarian approach to business ethics? A. It holds that an action is judged desirable if it leads to the maximization of stockholders’ wealth. B. The best decisions, from a utilitarian perspective, are those that produce the greatest profits for businesses. C. It recognizes that a […]
QUESTION The best decisions, from a utilitarian perspective, are those that: A. maximize a firm’s profit. B. maximize stockholders’ wealth. C. have greater social costs than benefits. D. produce the greatest good for the greatest number of people. E. result in the justified treatment of a minority. ANSWER D
QUESTION Which of the following is a drawback of the utilitarian approach to business ethics? A. It omits the consideration of justice. B. It fails to consider the benefits, costs, and risks of a course of action. C. It advocates moral imperialism and ethnocentrism. D. It overemphasizes the significance of maximization of stockholder wealth. E. […]
QUESTION Which of the following approaches to ethics holds that an action is judged desirable if it leads to the best possible balance of good consequences over bad consequences? A. Ethnocentric B. Utilitarian C. Cultural relativist D. Naive immoralist E. Righteous moralist ANSWER B
QUESTION The utilitarian philosophy for business ethics primarily focuses on: A. applying home-country standards of ethics in foreign countries. B. adopting the ethics of the culture in which a business operates. C. maximizing business profits by increasing employee productivity. D. ensuring justified treatment of any minority. E. weighing the benefits, costs, and risks associated with […]
QUESTION Adoption of which of the following ethical approaches is most likely to cause a company to use tools such as cost-benefit analysis and risk assessment to weigh all of the social benefits and costs of a business action? A. Naive immoralism B. Friedman doctrine C. Ethnocentrism D. Utilitarianism E. Righteous moralism ANSWER D
QUESTION Three Torque Inc., a U.S.-based multinational company, allows its managers to make facilitating payments in host countries to expedite government formalities. However, in countries where such payments are considered as unethical, the company restricts its managers from indulging in such activities. This behavior of the company illustrates the straw man approach of: A. the […]
QUESTION Green Quantum Inc. has research and production units all across the globe. The company expects its expatriate managers to adopt the ethics propagated by the culture in which they operate their respective units. Even in situations when others consider certain actions as unethical, the company allows its managers to pursue such actions if they […]
