2.2 - Ethical And Environmental Considerations

Question 1

Ethics

Answer 1

Refers to whether a business is thought to be morally right or wrong. An ethical decision is made on the basis of what is judged to be morally right

Question 2

Profit

Answer 2

Measures the dofference between the values of a business revenue, and it’s total costs

Question 3

Fairtrade Products

Answer 3

Those for which customers oay higher prices and offer better trading terms, such as payments with orders. The aim is to improve the living stamdars of people in poorer countries where the products are produced.

Question 4

Social Responsibility

Answer 4

An approach to managing businesses in which the interests of all groups in society are taken into account when making decisions

Question 5

The Environment

Answer 5

The natural world in which we reside

Question 6

External Costs

Answer 6

External costs of production arise when a business’s activities result in harmful effects on other people not directly involved in production

Question 7

Non-renewable resources

Answer 7

Those of which only a limited amount exists such as coal and oil

Question 8

Global Warming

Answer 8

The gradual heating of earth’s surface, oceans and the atmosphere

Question 9

A pressure group

Answer 9

A group of people who influence public opinion and decisions made by businesses and governments

Question 10

Environmental responsibility

Answer 10

Refers to the making of decisions by businesses, consumers and governments and other groups with the intention of protecting the environment.

Question 11

Sustainability

Answer 11

Methods of production which can be continued in the long term without damage to the environment

Question 12

Recycling

Answer 12

The reuse of raw materials used in making products, often for many times. Examples of this include the reuse of glass, paper and metals

Question 13

Environmental reporting

Answer 13

The publication of a business’s environmental performance to the public