Multiple Choice Answers

1 Happy Feet manufactures shoes in Country Y for sale in the United States. Happy Feet’s president discovers that the Country Y workers’ average age is sixteen and that they work on average of 13.2 hours per day in a 90 degree warehouse with insufficient safety precautions, all of which practices are legal in Country Y. The president of Happy Feet decides to improve the working hours and conditions of the company’s workforce, even though these actions will be more expensive for the company. The president’s decision is best described as
a) Lawful profit maximization
b) Moral profit-making
c) Illegal since the shareholders of Happy Feet might be harmed
d) Social Darwinism

2 Corporate ethics codes and ethics departments today are:
a) Usually required for all corporations by Congressional legislation in the United States.
b) In the long-term ethical egoistic interest of the corporation.
c) Indications to the corporation’s stakeholders that it is committed to moral behavior.
d) B and C.

3 The Chinese government publicly executes convicted criminals of serious crimes, and then “harvests” and sells their organs to wealthy Westerners and people from the Middle East, presumably with the “consent” of the prisoners facing execution. This practice is:
a) Immoral pursuant to Ethical Emotism if one initially feels emotionally sick when reading or hearing about the practice.
b) Moral under Ethical Egoism if one desperately needs an organ and has the money.
c) Moral pursuant to Ethical Relativism if one is in China and the Chinese have no problems with and thus accept this practice of executions and organ sales.
d) All of the above.

4 Maria works in the public relations department of National Sales Company. Her job includes portraying National’s activities in their “best light.” In this context, ethical egoism can be described as
a) Answer
b) Actions that produce a favorable financial outcome
c) Whatever saves National’s “face”
d) A Machiavellian mind-set
e) All of the above.

5 Which of the following is the most accurate statement?
a) An employee is morally required to “blow the whistle” but only when his or her employer is acting in a clearly illegal manner.
b) To act in a moral manner, the whistleblowing employee must immediately bring his or her concerns about the employer’s alleged wrongful conduct to the media.
c) A company should require a written acknowledgment that the employee has received a copy of the ethics code.
d) One major problem with the Utilitarian ethical theory is that it does not take a sufficiently broad stakeholder approach to decision-making in business.

6 Engel Tool Company’s decision-makers view a particular risk in the use of the company’s product as “open and obvious.” Continuing to market the product without telling consumers of the risk could be best justified from a perspective of
a) Aristotle’s Virtue Ethics
b) Kantian ethics
c) Natural Law theory
d) Utilitarian ethics.

7 Utilitarianism can best be characterized by:
a) The consultation of an outside source, such as a person or a book, for guidance.
b) The belief that a person must decide what course of action is proper based on that person’s own set of beliefs and feelings.
c) Determining which course of action produces the greatest amount of good for society.
d) A set of universal rules based on reasoning that must be applied in all situations and characterized by reversibility.

8 Mandatory, random, observed drug testing by an employer ethically could be deemed:
a) Moral pursuant to Ethical Egoism for the employer if it conducts the testing in a careful and proper manner and as a result reduces accidents, lost time at work, and health care costs.
b) Moral pursuant to Utilitarianism if the drug testing reduces illegal drug use in society for the betterment of the people as a whole even though some people may feel their rights to privacy have been or may be infringed upon.
c) Immoral pursuant to Kantian ethics if some people feel that mandatory, random, observed drug testing is a disrespectful and demeaning act and an invasion of their privacy.
d) All of the above.

9 Industry or “sector” experts who by their own intelligence and knowledge and using public sources of information deduce and ascertain a company’s confidential information and then trade on that information can be said to be acting:
a) Legally under federal securities laws in the United States.
b) Moral under Ethical Egoism.
c) Illegally under federal securities laws in the United States since there is not a level-playing-field.
d) A and B.

10 If the conduct of International Software Corporation is found to be unethical, it could suffer
a) Lost profits
b) Negative publicity
c) Adverse legal consequences if the conduct also violated the law
d) All of the above.