Flashcards in Chapter 3 Deck (55)
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1
An ____ is a problem, situation,
or opportunity that requires an individual
or group to choose among actions
ethical issue
2
What mindset leads companies to ignore ethical issues?
The perception that business is a game to be won.
3
Uncompromising adherence to
ethical values
integrity
4
How does integrity relate to virtue?
One of the most important terms relating to virtue
5
Truthfulness or trustworthiness, to the best of one's knowledge
honesty
6
A lack of integrity, incomplete
disclosure, or an unwillingness to tell the truth
dishonesty
7
The quality of being just, equitable,
and impartial
fairness
8
How wealth or income is distributed
equitableness
9
Occurs when an action that has an
effect upon another is returned
reciprocity
10
The tradeoff between equity and
efficiency
optimization
11
a is a problem, situation, or
opportunity that requires an individual or group
to chose among several wrong or unethical
actions
ethical dilemmas
12
How many ethical choices in an ethical dilemmas
None
13
What is the leading form of observed misconduct
misuse of company resources
14
What is a major part of misuse of company resources
time theft (billions of dollars annually)
15
What is one of the most common ethical problems
aggressive behavior and intimidation
16
What are some examples of aggressive behavior and intimidation?
Can be physical threats, false accusations,
profanity, insults, harshness, ignoring
someone, or unreasonableness
17
What is an important metric in determining abuse?
intent
18
What is a growing problem
that Is associated with a hostile workplace
bullying
19
What are the three types of lying?
Joking w/o malice
Commission Lying
Omission Lying
20
is creating a false
perception with words that deceive the
receiver--Creating noise
commission lying
21
is intentionally not
informing channel members of problems
relating to a product that affects awareness,
intention, or behavior
omission lying
22
What exist when an individual must choose
whether to advance his/her personal
interests, those of the organization, or
some other group
conflicts of interest
23
How can a person avoid conflicts of interest
Individuals must separate personal interests
from business dealings
24
The practice of offering something in
order to gain an illicit advantage
Bribery
25
The person who promises or
gives the bribe commits the offense
active bribery
26
An offense committed by the
official who receives the brib
passive bribery
27
What are payments made to retain or obtain business/advantage--must be small
facilitation payments
28
What is the collection and analysis of information
on markets, technologies, customers, and competitors, as well as on socioeconomic and external political trends
Corporate Intelligence
29
What are the three corporate intelligence models?
Passive monitoring system for early warning
Tactical field support
Support dedicated to top management
strategy
30
A company can be sued for discrimination if
it
Refuses to hire an individual for discriminatory
reasons
Unreasonably excludes an individual from
employment
Unreasonably discharges an individual
Discriminates against an individual with respect
to hiring, employment terms, promotion, or
privileges
18
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31
A repeated, unwanted behavior of a sexual
nature perpetrated upon an individual by
another
Sexual Harassment
32
What does Sexual Harassment entail?
Hostile work environment
33
What are the three criteria for a hostile work environment
The conduct was unwelcome
The conduct was severe, pervasive, and regarded
by claimant as hostile/offensive
The conduct was such that a reasonable person
would find it hostile or offensive
34
A personal, loving, and/or sexual
relationship with someone with whom
you share professional responsibilities
dual relationship
35
The
relationship causes a conflict of interest or
impairment of professional judgment
unethical dual relationship
36
What does a firm need to avoid sexual harassment?
Statement of policy
2. Definition of sexual harassment
3. Non-retaliation policy
4. Specific procedures for prevention
5. Establish, enforce, and encourage victims to
report
6. Establish a reporting procedure
7. Timely reporting requirements to the proper
authorities
37
Any purposeful communication that
deceives, manipulates, or conceals facts in
order to create a false impression
fraud
38
Misrepresentation of company’s financial reports
Dramatic changes in accounting field
Increased competition and pressures to perform
can create opportunities for misconduct
Accountants should abide by a strict code of ethics
accounting fraud
39
The process of dishonestly creating,
distributing, promoting, and pricing
products
marketing fraud
40
Claims can be divided into tests
prove (establishment claims) and bald assertions
(non-establishment claims)
literally false
41
An advertising message that
misleads, confuses, or deceives the public
implied falsity
42
Exaggerated advertising claims,
blustering, and boasting
puffery
43
When consumers attempt to deceive
businesses for personal gain
consumer fraud
44
What are some examples of consumer fraud?
Price tag switching, item switching, or lying to
obtain discount
45
involves an employee who helps a
consumer commit fraud
collusion
46
involves a consumer duping a
store
duplicity
47
is associated with a person who uses
tricks to obtain an unfair advantage
guile
48
What caused the recent financial crisis?
The failure to understand and manage ethical
risks was a key problem in the recent
financial crisis
49
What are the two types of insider trading?
Legal and illegal
50
Involves legally buying
and selling stock in an insider’s own company, but
not all the time
legal insider trading
51
The buying or selling of
stocks by insiders who possess material that is not
public
illegal insider trading
52
Involve the legal protection of intellectual
properties
Intellectual Property
53
Employee use of technology
Consumer privacy
Can be challenging for businesses today to meet
the needs of consumers while protecting privacy
privacy issues
54
Most ethical issues become visible through
stakeholder concerns
55
