SEMESTER FINAL EXAMINATION

DIPLOMA IN BUSINESS MANAGEMENT

MODULE : BUSINESS ETHICS

EXAM DATE : 09 / 07 / 2013

EXAM TIME : 1.30– 4.30pm

 Read the instructions carefully before answering any questions.

INSTRUCTIONS TO CANDIDATES

Answer any FIVE questions. (Total 100 marks)

This paper consists of _THREE printed pages only.

Cheating is a serious offence. Any candidates found cheating will be given an

automatic “F” for all subjects enrolled for the semester.

Reg No. : ________________________

Name : ________________________

(WPS/S1/2013)
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Answer any FIVE questions.

1. Ethical problems are managerial problems because they represent a conflict between an
organization’s economics performance and its social performance. There are five
conclusions concerning the complexity of managerial ethics. Discuss the characteristic of
ethical problems in management. (20 marks)

2. Moral standards provide the business with tools to use when judging the moral value of a
decision. It provides moral general guidelines for behavior and is applicable to a wide range
of decision situations. Identify the different principles used to guide the ethical dimension of
decision making. (20 marks)

3. The recognition of a management problem motivates the decision maker to search for
solutions. A set of solution alternative is generated that comprises the alternatives
considered by the decision maker. Once the set of decision alternatives has been established,
each one is evaluated on the basis of the following five criteria: economic, political,
technological, social and ethical. Discuss. (20 marks)

4. Law as a possible basis for making managerial decisions when one is confronted with an
ethical dilemma. The law is a set of rules established by a society to govern human behavior
within that society.

(a) Identify the characteristics of the law. (10 marks)

(b) The law is formed through a chain of processes. Discuss the first two processes.
(10 marks)

5. Organizations need to fashion an approach to social responsibility the way they would
develop any other strategy. They need to view social responsibility as a major challenge that
requires careful planning, decision making, consideration and evaluation. Identify both
formal and informal approaches that organizations can use to manage social responsibility.
(20 marks)

6. Good managers will attract capable people into the business, keep their turnover low, secure
their loyalty to the company and its objectives and maintain and increase their productivity
wherever possible.

(a) What moral rights and claims do employees have against their employers as far as
employment and wages are concerned? (4 marks)

(b) To ensure ethical treatment of employees in the appraisal process, some

fundamental do’s and don’ts need to be observed. Discuss. (16 marks)

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7. Ethics plays an important role in the decision process. Many factors are thought to affect
the ethical dimension of business decisions. Some factors are personal, varying by
individual decision maker, and others are organizationally based.

(a) The initial influence on decision making comes from the personal values the
decision maker holds. Identify different types of values and moderators of personal
values in decision making activities. (12 marks)

(b) Moral approbation based on four components of an act. Discuss. (8 marks)