43% of consumers have stopped buying from brands they find unethical and 71% say they carefully consider corporate values when making a purchase. B. to increase employee turnover When implementing an ethics code, it is important to share it with all ___________________________because pressure to act unethically often comes from the outside. corporate beneficial management The companys vision, values and mission should be clearly stated and visible to both employees and clients so that the company can be held to those standards. This will ensure that you have trustworthy employees working for you. I'm a Product Manager with experience working cross-functionally with business roles (e.g. A company that has socially responsible human resources management is Cari Miller, MBA, CMP, FHCA - Sr. Principal - LinkedIn decreased financial donations and eliminated support in almost every way. Decorating Arrangements has just completed operations for the year ended December 31, 2016. B. an individual's behavior is influenced by the behavior of others. 8 Current Ethical Issues in Business (and How to Manage Them) Ethical business norms must be adhered to not only by company managers but by all employees of companies without exception. And could be pivotal for career growth. These examples of ethical behaviors ensures maximum productivity output at work. Multiple select question. In a business setting, ethical behavior applies to any employee, team lead or supervisor. Tejas Vemparala also contributed to this article. Ethical issues are limited to for-profit organizations. This includes managers and subordinates, peers and clients. The unethical and illegal activity in which investors use private company information to further their own fortunes or those of their family and friends is called: The most effective ethics officers are equally comfortable as ________ and investigators. Demanding Ethical and Socially Res, Intro-Into-Business: Ch. C. often experience customer loyalty problems. Whistleblowers are insiders who report illegal or unethical behavior. Morality codes 2. social media Explanation If an underlined word is already in the correct possessive form, write a C on the line. The monetary award may total as high as 30% of the amount collected for violations that exceed $1 million. integrity-based ethics It seeks to promote honesty, fairness, and responsibility in all advertising. Multiple select question. technical policy A legal provision known as the _______________ provides a "bounty" provision for whistleblowers whose actions result in a legal conviction. Trust and cooperation between workers and managers must be based on which of the following? 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. ethical standards in the U.S., but unfortunately foreign leaders are not being subjected to ethical scrutiny. Which of the following are reasons a business should be managed responsible management of human resources, responsible management of human resources. Reading: Global Business Ethics | International Business - Lumen Learning [D] having an ethics officer who is fair, A low cost, efficient way for companies to connect with specific groups and inform them of corporate social responsibility efforts is. Ethical behavior has significant upfront costs which may never be recovered. From retaining employees to ensuring brand loyalty to avoiding lawsuits and fines, a strong code of ethics is key to continued success. 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. lose sales revenues Source interviews were conducted for a previous version of this article. D. stockholders. demanding socially responsible behavior from international suppliers, particularly in the areas of environmental standards and human rights issues. vigilantes. Need help writing your own self-assessment for a performance 26 Great Business Ideas for Entrepreneurs, The Best Small Business Government Grants in 2023. It could also mention specific protocol within the business. An integrity-based ethics code defines the organization's guiding values, creates an environment that supports ethically sound behavior, and stresses shared accountability. firms should take added caution not to support government programs that protect the environment. A number of ethical scandals in the past decade have raised awareness of ethical issues in business. It is an act that is against the law and against Securities and Exchange Commission policy. 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. C. diversity True or false: Social responsibility and ethical problems exist primarily in the U.S. because we have more laws about those problems. Multiple Choice Ch 4 Flashcards | Quizlet Though there are many ethical opinions that most people share, ethics will differ from person to person. Explanation Business Ethics - Quick Guide - tutorialspoint.com It's the age-old reality: "Out-of-sight, out-of-mind." Periodically asking every employee to evaluate the company's ethics performance. E. filing complaints with the company. However, anyone caught violating a law will be immediately fired." D. integrity. However, it was disclosed that somehow a member of Paulie's management team mentioned the deal to a person he sat next to on a flight from LA to Seattle. Multiple choice question. (A) matter very little to employers Management ethics can factor into issues including coworker interactions, conflicts of interest, customer safety, honest advertising, customer information security and the responsible use of corporate resources. It does not subtract from the bottom line; it adds to it. Ethics in the workplace: the ethical manager | HRZone using recyclable packaging Whistleblowers are often concerned about retaliation. Customer privacy policies and practices C. Operational initiatives government-supported direct mail campaigns This guide breaks down the importance of business ethics and how to establish an ethical culture in your company. Here are five reasons why you should keep things legal and follow business ethics in accounting. Paying employees on specified pay dates most of the time. Internal auditors D. varies from industry to industry. (C) to increase employee turnover C. An ethics office must be set up. Here are two examples of strategies for engaging it: First, make more of your decisions by comparing options rather than assessing each. ______________________behavior can add to the bottom line while _______________________behavior can ruin companies financially. C. business exists only to make money for shareholders. Corporate social responsibility is a business's concern for: Those who oppose corporate social responsibility believe that Governments Explanation (D) make more money for investors in the short run. Those who argue in favour of corporate social responsibility suggest that: \text{Rent Expense} & 11,000 & \text{Dividends} & 4,500 \\ Business Ethics - Overview, Examples, Components of Business Ethics B. ability to plan for the unexpected. Multiple select question. False, Whistleblowers can be helped by protecting them from: \text{Service Revenue} & 80,000 & \text{Accounts Payable} & 4,300 \\ True false question. All successful businesses communicate effectively. The _____________ _________________is a systemic evaluation of an organization's progress toward implementing socially responsible and responsive programs. school districts Motivation. True false question. Explanation A company's effectiveness and financial performance are most affected by responsible _________ _________ management. Those who have others interests in mind when they make decisions are displaying ethical behavior. A. delight them with a quality product at a fair price. Explanation [C] allows them to reach specific groups more directly insider trading. Multiple choice question. [B] Bribery Strict global regulations require it. In the following sentence, circle the subject of the underlined verb. social auditing, Which of the following are examples of outside stakeholders that must be told about a company's ethics program? unethical InsuranceExpenseServiceRevenueUtilitiesExpenseRentExpenseCommonStockCashRetainedEarnings,Jan.1,2016$2,00080,00050011,0008,5007,0004,800SalariesExpenseAccountsPayableOfficeSuppliesDividendsAccountsReceivableEquipment$37,0004,3001,5004,5007,50026,600. B. D. help investors recoup their losses. [D] Political risk taking. Deceptive advertising of medicines and toys higher ethical standards than in the past. A failure of leadership to establish ethical standards, Which of the following terms describes someone who reports illegal or unethical behaviour? Corporate social initiative refers to a company taking the initiative to utilize its expertise and resources to make a situation better. reducing regulations about labeling Chapter 4 - Business Flashcards | Quizlet 1. Supervisor 4. a written code of ethics Religious institutions, Which set of ethics codes defines an organization's guiding values, creates an environment that supports ethically sound behavior, and stresses shared accountability? C. Research practices Marilena Crsteanu - International Customer Experience Advisor Managers Set the Tone The effects of managerial decision making go beyond any single, isolated decision. Compliance-based ethics codes commitment to maximizing shareholder profits in all decisions, Insiders, such as employees, who report concerns about a company's accounting or auditing practices are called: If a business fails in meeting its responsibilities to its employees, all of the following are likely to occur except: C. energy consumption A high ethical standard extends to customers as well. an individual's ethics C. helps government officials develop appropriate legislation. lower ethical standards than in the past. The employment of ethical business practices can enhance overall corporate health in three important areas. Corporate policy refers to the position a firm takes on ______________ and __________________ issues. Insider trading refers to the discussion or leak of private, proprietary information about a firm that is not yet made public. These steps included creating a climate based on service quality and ethical behavior that guides employees without direct supervision, taking corrective actions before unethical behaviors occur by periodically measuring employees perceptions of the companys ethical climate, and emphasizing the importance of service quality and ethical behaviors as they relate to competition in the marketplace. BUS-112 Chapter 4 - Subjecto.com Product safety Which of the following statements about business ethics is false? Due to a reduction in output, the company has idle capacity that could be used to produce the starters. (C) occur in many countries It is essentially a moral compass. A. reduced employee turnover. A business should be managed ethically for many. he many small choices we make daily about working or goofing off, using company phones and computers responsibly, and following safety rules, make it clear that ____________________decisions start with each individual. Amber was observing an example of the ___________ followed at this organization. Top management 4. Corporate social responsibility (CSR) is the concern businesses have for the welfare and betterment of society. acquisition stalking. What Are Business Ethics? Definition, Types and Examples 5 Reasons Why Ethics Is Important in Accounting for Business [C] Paying U.S. minimum wage \text{Direct labor} & \text{2.70}\\ (B) are limited to the United States A business should be managed ethically because Multiple select question. The You Design, We Build Company makes custom furniture of all kinds. Vanessa recognizes this as a(n) ________-based code of ethics. Ethical behavior does not matter to investors. Why Are Business Ethics Important? A Guide - Investopedia It emphasizes sustainability, customer loyalty, brand image, and employee retention. A. the breakdown of traditional religious institutions. providing safety equipment and training for their workers, 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: After developing a code of ethics, it should be communicated to: A. everyone with whom the business has dealings. Multiple Choice Which of the following is a reason why a business should be managed (D) long jail terms for those who acted unethically. B. ___________ __________ ______________is a business's concern for the welfare of society. In the workplace, there might be a standard for ethics set throughout the company. They define crimes more narrowly than do ethics protect from fraud, theft, and violence, while are used to decide how we treat others responsibly to society's views of right and wrong Ethically Behaving often requires more than obeying the law. Noones;C\underline{\text{\color{#c34632}No ones; C}}Noones;C. In running a successful business, a key factor in that success will be the ethical and moral standards of yourself, your leaders, and your entire team. the federal government The moral and ethical standards by which leaders are judged are far stricter than in the past. [B] about being fair and honest with their stakeholders Conversely, when unethical behavior was commonplace, the quality of service had a much-diminished impact on the success of business operations. Demanding developing countries to adhere to U.S. law on human rights and the environment is not clear-cut. because strict global regulations require it Corporate values are: Therefore, it is the most significant resource to run or upgrade any business. Prepare the statement of retained earnings of Decorating Arrangements for the year ended December 31, 2016. The World Trade Organization (WTO) Multiple choice question. The primary value of using social media to communicate CSR efforts is that it allows companies to reach broad and diverse groups, allows them to connect directly with customers in a low-cost, efficient way, and enables them to interact with specific groups more easily than through more traditional efforts. (D) it reduces laws and regulations, Many corporate executives reported that they use social media to communicate their socially responsible activities to customers because it: Economic conditions in some developing countries make child labor a necessity for the survival of families. Multiple select question. Many organizations create a code of ethics, which might include generic guidelines for ethical behavior about doing the right thing or remaining fair. Businesses must abide by some basic principles. Which of the following statements is false? additional taxes It is actually a structure of moral principles and code of conduct applicable to a business. Although definitions and means of measuring a carbon footprint aren't yet clear, many companies try to become more __________________by claiming to reduce it. enjoy greater employee loyalty concern for the welfare of society Multiple select question. According to recent U.S. Census Bureau research volunteerism is at an all-time high, but B. Horn blower Business ethics are applicable not only to the manner the business relates to a customer but also to the society at large. punishing unethical behavior and rewarding ethical behavior privately She has asked you to give her information about what determines the level of various interest rates. Bake ethics into your company by establishing a code of ethics and reinforcing its principles with your team regularly. Rohit Sharma - Lead Technical Product Manager - LinkedIn Examples of ethical behaviors in the workplace includes; obeying the company's rules, effective communication, taking responsibility, accountability, professionalism, trust and mutual respect for your colleagues at work. 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. <br> I . Scandals. setting a good example. A. $A supervisor would have to be hired to oversee production of the starters. Multiple Choice How are these two rates measured? Marketing, Finance, Sales), technical roles (e.g. shareholders 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? [C] it reduces the likelihood of lawsuits by employees or customers benevolence can lead to a vote of no confidence by company stakeholders. Ethics in the Workplace: Examples & Tips | PayScale It also builds customer loyalty over time, creating a customer base that is likely to refer your business to others. How can. it attracts and retains customers Business Should Always Be Ethically and Socially Responsible An ethical business will get your employees to respect your company .