Chapter 6

Question 1

Is an issue in the corporate world that must be looked into because it can create a hostile and unhealthy workplace for the employees.

Answer 1

Sexual Harassment

Question 2

defines sexual harassment as, “Employer, employee, manager, supervisor, agent of the employer, teacher, instructor, professor, coach, trainor or any other person who, having authority, influence or moral ascendancy over another in a work or training or education environment demands, request or otherwise requires any sexual favour from the other, regardless of whether the demand, request, or requirement for submission is accepted by the object of said act.”

Answer 2

Republic Act 7877

Question 3

Two types of Sexual Harassment

Answer 3

1. Quid Pro Quo
2. Hostile Environment

Question 4

In this environment, abuses include verbal, physical and visual conducts that create an intimidating, offensive or hostile environment in the workplace that interferes with work performance.

Answer 4

Hostile Environment

Question 5

means “This for That” (something for something) and is defined as requiring a sexual favour or interaction as a condition of employment or in exchange for an employment benefit

Answer 5

Quid Pro Quo

Question 6

The Main objective of compensation is to create a system of reward that is equitable to the employees and employer. Thus, the general concern is that justice should be a substance of concern.

Answer 6

The Problem of Just Wage

Question 7

Workers should be paid in accordance with laws regulations issued by the government. It requires that employers pay at least the minimum wage.

Answer 7

Laws and Regulations

Question 8

These refers to the supply and demand for labor and the so-called economic and underemployment.

Answer 8

External Market Factor

Question 9

The cost of living relates to basic maintenance needs and it must be seriously considered in formulation of wages. A fair wage should be sufficient to meet the increase in cost of living.

Answer 9

Cost of Living

Question 10

Some claim that paying workers the average of what other companies are paying for the same job result in fair wage. However not all the companies have a minimum wage high enough to maintain a decent standard of living.

Answer 10

Prevailing Industry Rate

Question 11

Assessment of what type of industry the organization operates, the size of the company, and the organization’s profitability to justify its ability to provide fair wages to its workers should be considered.

Answer 11

Organizational Factor

Question 12

The nature of the job itself entails the formulation of a just wage. Duties, responsibilities, and the skills requirements of the job are probably the most considerable determinants of fair wage.

Answer 12

Job factor

Question 13

The trend is that individual performance or productivity ratings affects the determination of wage/ salary increases.

Answer 13

Individual Performance

Question 14

Factors to consider in Formulation of Fair Wages

Answer 14

1. External market factor
2. Laws and Regulations
3. Prevailing Industry Rate
4. Organizational factor
5. Job factor
6. Cost of Living
7. Individual Performance

Question 15

is defined as a practice of giving remuneration for performance of an act that is inconsistent with the work contract or the nature of the work one has been hired to perform.

Answer 15

Bribery

Question 16

is merely an act of extending goodwill to an individual in an effort to share something with them. Giving gifts to customers, clients and business partners is a common practice in the business community.

Answer 16

Gift giving

Question 17

Advertising plays a very significant role in marketing goods and services. Without advertising, the consumers would not be aware of the presence of the diverse products and service available in the market.

Answer 17

The morality of advertising

Question 18

is defined as a relationship between two people who are employed by the same organization.

Answer 18

Workplace romance

Question 19

Ethical Issues in Fair Price

Answer 19

The true cost of the product is concealed.
Suggested retail price
Use of electronic scanners
Promotional Pricing
Follow the leader pricing
Price gouging
Price fixing

Question 20

is the legal for confidential business information. That piece of information allows the company to compete effectively.

Answer 20

Trade Secrets

Question 21

is observed when there is a transformation of information to misinformation.

Answer 21

Product Misrepresentation

Question 22

two types of misrepresentation.

Answer 22

Intentional - commonly known as lying
Unintentional - commonly called as white lie

Question 23

Strike describes collective action undertaken by groups of workers in the form of a refusal to perform work.

Answer 23

Thr morality of labor strikes

Question 24

It is the disclosure by an employee of confidential information which relates to some danger, fraud or other illegal or unethical conduct connected with the workplace, be it of the employer or his fellow employees.

Answer 24

Whistle blowing

Question 25

is someone in an organization who witness behaviour by members that is either contrary to the mission of the organization, or threatening to the public interest and who decides to speak out publicly about it.

Answer 25

Whistle blower

Question 26

is a system of selling on which one signs up other people to assist him, and they, in turn, recruit others to help them. It is a system of selling through many levels of distributors

Answer 26

Multilevel Marketing

Question 27

In the classic pyramid scheme, participants attempt to make money solely by recruiting new participants into the program. The hallmark of these schemes is the promise of sky-high returns in a short period of time for doing nothing other than handing over your money and getting others to do the same.

Answer 27

Pyramiding

Question 28

It is the process of disguising illegally obtained money so that the funds appear to come from legitimate sources or activities. Money laundering occurs in connection with a wide variety of crimes, including illegal arm sales, drug trafficking, robbery, fraud and terrorism.

Answer 28

Money Laundering

Question 29

It occurs in the business context when a person acts in a way that is to his/her advantage at the expense of the employing organization. At the time of hiring, when an employee agrees to the terms of a contract, there is also an implicit agreement that the employee will not sacrifice the interest of the organization for his/her personal interest. Conflict of interest violates the principles of impartiality. Common factors that create conflict of interest are commercial bribes or gifts.

Answer 29

Conflict of Interest

Question 30

Refers to the significant facts that have not yet made public and are likely to affect stock prices.

Answer 30

Insider Trading

Question 31

It is when taxpayers exploit legally permissible alternative methods of assessing taxable property or income in order to avoid reduce tax liability.

Answer 31

Tax avoidance

Question 32

Ideally, corporations should pay the exact amount of tax to the government as part of their obligation to the society in general. However, come companies intentionally evade the payment of taxes to the government. is “intentional negligence” of the obligation to pay

Answer 32

Tax evasion

Question 33

Ethical Issues and Problems in the business world

Answer 33

1. Sexual Harassmen 2. The Problem of just wage 3. Gift giving and bribery 4. The morality of labor strikes 5. Workplace romance 6. Ethical issues in Fair Price 7. Trade secrets 8. Product Misrepresentation 9. Whistle blower 10. Conflict of Interest 11. Multilevel Marketing or Pyramiding 12. Insider Trading 13. Money Laundering 14. The morality of advertising 15. Tax Avoidance and Tax Evasion