Test bank business ethics concepts and cases chapter 81

1.

What defines the rational organization? Of what do its layers consist? What obligations
do the employees in this model have towards the firm? What obligations does the firm
have to its employees?

2.

What are conflicts of interest? What types of conflicts of interest are there? Under what
circumstances are gifts ethical?

3.

Is insider trading moral or immoral? What are the arguments on both sides of the issue?

4.

Why should employers care about their employees' level of job satisfaction? Why are
modern employees increasingly unsatisfied with their jobs? What can be done to improve
their degree of satisfaction?

5.

What is the "political organization?" How is it structured and defined? What are the
main ethical problems that arise in this model?

6.

What are the similarities and differences between the power wielded by managers and the
power wielded by governmental officials?

7.

Should employees have freedom of conscience? When should they engage in whistle
blowing tactics? Why might external whistle blowing occur in any given organization?

8.

What is participatory management? Should U.S. firms adopt more participatory practices?

9.

What is the distinction between the right to due process and employment at will?

10.

How should companies conduct themselves when they are forced to close a plant? Why
should they respect the rights of their former workers?

11.

Why do employees have the right to unionize and to strike? What explains the lack of
power of modern unions? What are the effects of the dwindling numbers of union
employees in the U.S.?

12.

What are the most common types of political tactics? When are they justified?

13.

What characterizes the caring organization? Why should companies consider adopting
this model?


14.

The traditional, "rational" model of the business organization is defined it as a structure of
formal relationships, which are designed to achieve a goal efficiently.
a.
True
b.
False

15.

A firm's organizational chart, identifying the formal and informal hierarchies of authority,
exemplifies the fundamental reality of the organization.
a.
True
b.
False

16.

In this view, the employee's main moral duty is to work toward the goals of the firm. This
view is referred to as:
a.
Law of Legitimacy.
b.
Law of Structure.

c.
Law of Agency.
d.
Law of Duty.

17.

Conflicts of interest arise when employees have a private interest in the outcome of a task
in which they are engaged in that is possibly antagonistic to the firm's interests and
substantial enough that it might affect the employee's independent judgment on the firm's
behalf.
a.
True
b.
False

18.

Potential conflicts of interest may or may not be ethical, depending on the probability that
the employee's judgment will affected by the conflict of interest.
a.
True
b.
False

19.

A firm's main moral duty to its employees is to provide them with:
a.
Clean working environment.

b.
Friendly supervisors.
c.
Medical and dental insurance.
d.
Fair wage and fair working conditions.

20.

Each year, __________ percent of the job force suffers a job-related injury or illness each
year.
a.
5
b.
10
c.
15
d.
20
e.
None of the above

21.

Risks are sometimes unavoidable and acceptable, as long as:
a.
Employees are not coerced.
b.
Employees are fully compensated for assuming them and they do so freely and knowingly.
c.

No one else has the expertise to do the work.
d.
All the above

22.

Employees' rights to privacy must be balanced against employers' rights to know certain
information about their activities.
a.
True
b.
False


23.

Whistle blowing–the attempt by an employee to disclose wrongdoing in an organization–c
an take two forms.
a.
True
b.
False

24.

Whistle blowing seldom has heavy personal costs to the whistleblower because it is
justified when there is clear evidence that the firm's activity is seriously harming others
and reasonable attempts to prevent it by informing management have failed.
a.
True

b.
False

25.

Skills that an employee acquires by working for a company can be and usually are
considered part of her or her person and are not property of the employer.
a.
True
b.
False

26.

Workers risks on the job in less developed countries are affected by:
a.
Labor markets that are not competitive or job risks not yet known.
b.
Workers might accept risks unknowingly because the worker doesn't have access to the risk
information.
c.
Workers might knowingly accept risks because they lack mobility to enter less risky industries.
d.
All of the above

27.

Being that the United States is a developed and sophisticated country, there are no
sweatshops within its boundaries.
a.

True
b.
False

28.

Immanuel Kant's argument about moral rights supports the employee's right to give or
withhold their consent before the private aspects of their lives are investigated.
a.
True
b.
False


Test Name: chapter 8
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.

16.
17.
18.
19.
20.
21.
22.
23.
24.
25.
26.
27.
28.

a.True
b.False
c.Law of Agency.
a.True
a.True
d.Fair wage and fair working conditions.
b.10
b.Employees are fully compensated for assuming them and they do so freely and knowingly.
a.True
a.True
b.False
a.True
d.All of the above
b.False
a.True