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Exam 2 Flashcards

1
Q

What is deceitful purpose?

A

Trickery, misrepresentation, or a strategy designed to lead others to believe less than the whole truth

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2
Q

What is honesty?

A

Truthfulness
Trustworthiness
To tell the truth to the best of your knowledge without hiding anything

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3
Q

What are the three types of lying?

A

Untruthful statements that result in damage or harm
White lies
Statements that are obviously meant to engage or entertain without malice

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4
Q

What are white lies?

A

Function as excuses or a means of benefitting others

Don’t cause damage

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5
Q

What is fairness?

A

Quality of being just, equitable, and impartial

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6
Q

What fundamental elements motivate people to be fair?

A

Equality
Reciprocity
Optimization

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7
Q

How is wealth defined in regards to business?

A

How wealth or income is distributed between employees within a company, a country, or across the globe

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8
Q

What is reciprocity?

A

Interchange of giving and receiving in social relationships

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9
Q

What is optimization?

A

Trade-off between equity (equality or fairness) and efficeincy

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10
Q

What is an ethical issue?

A

A situation, problem or opportunity that requires thought, discussion or investigation before a decision can be made

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11
Q

How many employees observed company resource abuse?

A

23%

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12
Q

How many employees observed abusive behavior?

A

22%

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13
Q

How many employees observed lying to employees?

A

19%

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14
Q

How many employees observed email or internet abuse?

A

18%

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15
Q

How many employees observed conflicts of interest?

A

16% (decline of 6% vs 2007)

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16
Q

How many employees observed discrimination?

A

14%

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17
Q

How many employees observed lying to outside stakeholders?

A

12%

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18
Q

How many employees observed employee benefit violations?

A

11%

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19
Q

How many employees observed health or safety violations?

A

11%

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20
Q

How many employees observed breach of privacy?

A

10%

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21
Q

How many employees observed improper hiring practices?

A

10%

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22
Q

How many employees observed falsification of time or expenses?

A

10%

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23
Q

What is the most common ethical problem?

A

Abusive or intimidating behavior

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24
Q

What do bullies use to damage workplace productivity?

A

Mix of verbal, nonverbal, manipulative threatening expressions

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25
Q

What damages workplace productivity?

A

Bullying, abusive or intimidating behavior

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26
Q

What is a conflict of interest?

A

An individual must choose between whether to advance his or her own interests, those of the organization, or those of some other group

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27
Q

What must one do to avoid conflict of interest?

A

Separate ones private interests from their business dealings

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28
Q

What is bribery?

A

The practice of offering something in order to gain an illicit advantage.

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29
Q

What are the three types of bribery?

A

Active bribery
Passive bribery
Facilitation payments

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30
Q

What is active bribery?

A

The person who promises or gives the bribe commits the offense

31
Q

What is passive bribery?

A

An offense committed by the official who receives the bribe

32
Q

What are facilitation payments?

A

Made to obtain or retain business or other improper advantages
Don’t constitute bribery payments for US companies in some situations

33
Q

What is corporate intelligence?

A

Collection, analysis of information on markets, technologies, customers, competitors, socioeconomic, external political trends

34
Q

What is the EEOC?

A

Equal Employment Opportunity Commission

35
Q

What’s the task of the EEOC?

A

Charges of discrimination are filed with the EEOC

36
Q

What is sexual harassment?

A

Repeated, unwanted behavior of a sexual nature perpetrated upon one individual by another
May be verbal, visual, written or physical

37
Q

What is fraud?

A

Purposeful communication that deceives, manipulates, conceals facts in order to create a false impression

38
Q

What are accounting frauds?

A

Involve corporations financial reports

39
Q

What is marketing fraud?

A

The process of dishonestly creating, distributing, promoting and pricing products

40
Q

What are the two types of insider trading?

A

Illegal

Legal

41
Q

What is illegal insider trading?

A

The buying or selling of stock by insiders who possess information that is not yet public

42
Q

What is legal insider trading?

A

Legally buying and selling stock in an insiders own company, but not all the time.

43
Q

What are intellect property rights?

A

The legal protection of intellectual property such as music, books and movies

44
Q

Business can be considered a game people play, like basketball or boxing.

A

False

45
Q

Key ethical issues in an organization relate to fraud, discrimination, honesty and fairness, conflicts of interest, and technology.

A

True

46
Q

Only 10 percent of employees observe abusive behavior in the workplace.

A

False. 21%

47
Q

Fraud occurs when a false impression exists, which conceals facts.

A

False. Fraud must be purposeful rather than accidental and exists when deception and manipulation of facts are concealed to create a false impression that causes harm.

48
Q

Putting one’s own interests ahead of the organization’s is the most commonly observed type of misconduct.

A

True

49
Q

What are core practices?

A

Documented best practices often encouraged by legal and regulatory forces as well as industry trade associations.

50
Q

What’s the BBB?

A

Better Business Bureau

Leading self-regulatory body that provides directions for managing customer disputes and reviews advertising cases

51
Q

Sherman Antitrust Act 1890

A

Prohibits monopolies

52
Q

Federal Trade Commission Act 1914

A

Created the FTC to help enforce antitrust laws

53
Q

Robinson-Patman Act 1936

A

Bans price discrimination between retailers and wholesalers

54
Q

Wheeler-Lea Act 1938

A

Prohibits unfair and deceptive acts

55
Q

Lanham Act 1946

A

Protects and regulates brands and trademarks

56
Q

Celler-Kefauver Act 1950

A

Prohibits one corporation from controlling another where the goal is to lessen competition

57
Q

Consumer Goods Pricing Act 1975

A

Gives the FTC more power to prohibit unfair practices

58
Q

Antitrust Improvements Act 1976

A

Strengthens antitrust laws

More power to Justice Department

59
Q

Foreign Corrupt Practices Act 1977

A

Makes it illegal to bribe foreign governments

60
Q

Trademark Counterfeiting Act 1980

A

Provides penalties for individuals dealing in counterfeit goods

61
Q

Trademark Law Revision Act 1988

A

Amends Lanham Act to protect new brands and trademarks

62
Q

Federal Trademark Dilution Act 1995

A

Gives trademark owners the right to protect trademarks

63
Q

Digital Millenium Copyright Act 1998

A

Refines copyright law to protect digital versions of material

64
Q

Controlling the Assault of Non-Solicited Pornography and Marketing Act (CAN-SPAM) 2003

A

Bans fraudulent or deceptive unsolicited email and and requires receivers the option to opt out from receiving further messages

65
Q

Fraud Enforcement and Recovery Act 2009

A

Strengthens provisions to improve the criminal enforcement of fraud laws

66
Q

What’s OSHA?

A

Occupational Safety and Health Administration
Makes regular surprise inspections to make sure that businesses maintain a safe work environment
Enforces Occupational Safety and Health Act of 1970

67
Q

What’s the EPA?

A

Environmental Protection Agency
Coordinate environmental agencies involved in enforcing the nation’s environmental laws
Major areas: air, water, land pollution

68
Q

What’s trust?

A

Glue that holds businesses and stakeholders together
Creates confidence
Forge relationships of reliance

69
Q

What are gatekeepers?

A

People who must trust and be trusted to make business work properly

70
Q

Who can be gatekeepers?

A

Accountants
Lawyers
Financial rating and reporting agencies

71
Q

What is cause related marketing?

A

Ties a organization’s products directly to a social concern through a marketing program

72
Q

What’s strategic philanthropy?

A

Synergistic and mutually beneficial use of an organizations core competencies and resources to deal with key stakeholders so as to bring about organizational and societal benefits

73
Q

What’s the FSGO?

A

Federal Sentencing Guidelines for Organizations

74
Q

How many steps must a company implement to demonstrate due diligence?

A

7

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