Chapter 06 Individual Factors Moral Philosophies and

Values

MULTICHOICE

1. Moral philosophy refers to

(A) values developed in an organizational environment.

(B) the morality of business activities.

(C) the principles or rules that people use to decide what is right and wrong.

(D) the legality of business activities.

(E) the principles or rules that policymakers use to create legislation.

Answer : (C)

2. Which moral philosophy evaluates the morality of an action on the basis of its consequences for
everyone affected (seeks the greatest good for the greatest number)?

(A) Act deontology

(B) Rule deontology

(C) Egoism

(D) Utilitarianism

(E) Hedonism

Answer : (D)

3. Which moral philosophy considers an act to be morally right or acceptable if it produces some
desired result?

(A) Teleology

(B) Deontology

(C) The relativist perspective

(D) Ethical formalism

(E) Hedonism

Answer : (A)

4. Which moral philosophy focuses on the rights of individuals and on the intentions associated with
a particular behavior, rather than its consequences?

(A) Deontology

(B) The relativist perspective

(C) Teleology

(D) Egoism

(E) Utilitarianism

Answer : (A)

5. _____ are person-specific, whereas _____ are based on decisions made by groups or when carrying
out tasks to meet business objectives.

(A) Organizational factors; business ethics

(B) Codes of conduct; individual factors

(C) Individual factors; codes of conduct

(D) Business ethics; moral philosophies

(E) Moral philosophies; business ethics

Answer : (E)

6. According to Kohlberg's model, as a person progresses through the stages of moral development,
and with time, education, and experience, he/she

(A) is unlikely to change his/her values and ethical behavior.

(B) may change his/her values and ethical behavior.

(C) will likely be promoted.

(D) will depend more on the input of significant others in ethical decision making.

(E) will experience less opportunity to behave unethically.

Answer : (B)

7. An individual who defines what is right by considering his/her duty to society, not just to other
specific people, is in which of Kohlberg's stages of cognitive moral development?

(A) Punishment and obedience

(B) Individual instrumental purpose and exchange

(C) Mutual interpersonal expectations, relationships, and conformity

(D) Social system and conscience maintenance

(E) Prior rights, social contract, or utility

Answer : (D)

8. Which is the last of Kohlberg's stages of cognitive moral development?

(A) Individual instrumental purpose and exchange

(B) Need achievement

(C) Social system and conscience maintenance

(D) Punishment and obedience

(E) Universal ethical principles

Answer : (E)

9. A person who offers a facilitation payment in order to secure a contract that will keep her
company from going bankrupt and laying off hundreds of employees may be a(n) ________ because
she is trying to secure the greatest good for the greatest number of people.

(A) egoist.

(B) deontologist.

(C) utilitarian.

(D) relativist.

(E) humanitarian.

Answer : (C)

10. Which moral philosophy evaluates the morality of an action on the basis of its conformity to
general moral principles based on logic and respect for individual rights?

(A) The relativist perspective

(B) Act utilitarianism

(C) Rule utilitarianism

(D) Act deontology

(E) Rule deontology

Answer : (E)
11. _____ is considered the father of free market capitalism. He believed that business was and
should be guided by the morals of good men.

(A) John Maynard Keynes

(B) Immanuel Kant

(C) Aristotle

(D) Adam Smith

(E) Lawrence Kohlberg

Answer : (D)

12. _____ believe that no one thing is intrinsically good.

(A) Hedonists

(B) Pluralists

(C) Relativists

(D) Deontologists

(E) Teleologists

Answer : (B)

13. Kant's categorical imperative and the Golden Rule are examples of which moral philosophy?

(A) Teleology

(B) Deontology

(C) The relativist perspective

(D) Egoism

(E) Utilitarianism

Answer : (B)

14. A marketing manager who orders that a manufacturing plant be refitted to make it safer for
workers, no matter what the cost, may be a(n) _____ because he believes in the rights of all
individuals.

(A) egoist

(B) utilitarian

(C) deontologist
(D) relativist

(E) hedonist

Answer : (C)

15. Which moral philosophy evaluates the morality of an action on the basis of principles or rules
designed to promote the greatest overall utility rather than by examining situations individually?

(A) Rule utilitarianism

(B) Act utilitarianism

(C) Rule deontology

(D) Act deontology

(E) Egoism

Answer : (A)

16. Which moral philosophy evaluates the morality of an action on the basis of the equity, fairness,
and impartiality of the action, with rules serving as guidelines in the decision-making process?

(A) Rule utilitarianism

(B) Act utilitarianism

(C) Rule deontology

(D) Act deontology

(E) The relativist perspective

Answer : (D)

17. Which moral perspective defines ethical behavior subjectively from the unique experiences of
individuals and groups?

(A) Virtue ethics

(B) Egoism

(C) The relativist perspective

(D) Absolutism

(E) Justice

Answer : (C)
18. Through time an act can come to be viewed as unethical under which of the following
philosophies and perspectives?

(A) The relativist perspective

(B) Teleology

(C) Deontology

(D) Egoism

(E) Rule deontology

Answer : (A)

19. _____ typically focuses on the end result of actions and happiness created by them, whereas _____
emphasizes the means and motives by which actions are justified.

(A) Pragmatism; hedonism

(B) Deontology; pragmatism

(C) Utilitarianism; deontology

(D) Utilitarianism; a goodness theory

(E) A goodness theory; an obligation theory

Answer : (E)

20. An individual who believes that an action is ethical because others within his or her company
and industry regularly engage in the activity is probably a(n)

(A) utilitarian.

(B) relativist.

(C) teleologist.

(D) deontologist.

(E) egoist.

Answer : (B)

21. Enlightened egoism

(A) is when an individual puts spiritual feelings above all others.

(B) centers completely on the short-term well-being of others.

(C) centers on one's short-term self-interest.

(D) centers on one's long-term self-interest but takes others' well-being into account.

(E) centers on the long-term well-being of others.

Answer : (D)

22. Which moral philosophy is based on the premise that equal respect must be given to all persons?

(A) The relativist perspective

(B) Deontology

(C) Egoism

(D) Teleology

(E) Utilitarianism

Answer : (B)

23. _____ have lower ethical issue sensitivity, meaning they are less likely to detect ethical issues.
They may be more committed to completing projects and more dedicated to group values and
objectives.

(A) Relativists

(B) Hedonists

(C) Pragmatists

(D) Deontologists

(E) Teleologists

Answer : (A)

24. _____ justice is based on the evaluation of outcomes or results of the business relationship.

(A) Procedural

(B) Interactional

(C) Distributive

(D) Ethical

(E) Egotistical

Answer : (C)

25. Kohlberg's six stages of cognitive moral development can be reduced to three levels of ethical
concern. Persons at the second level

(A) define right as that which conforms to the expectations of good behavior of the larger society.

(B) see beyond the norms, laws, and authority of groups or individuals.

(C) are concerned with their immediate interests and with external rewards and punishments.

(D) are concerned with their long-term interests and with internal rewards and punishments.

(E) are unethical.

Answer : (A)

26. _____ argues that ethical behavior involves not only adhering to conventional moral standards
but also considering what a mature person with a "good" moral character would deem appropriate.

(A) Act utilitarianism

(B) Virtue ethics

(C) Reciprocity

(D) Hedonism

(E) Rule deontology

Answer : (B)

27. When a person defines right and wrong on the basis of legal contracts, he or she is using which
of Kohlberg's stages of development?

(A) Punishment and obedience (1st stage)

(B) Mutual interpersonal expectations, relationships, and conformity (3rd stage)

(C) Social system and conscience maintenance (4th stage)

(D) Prior rights, social contract, or utility (5th stage)

(E) Universal ethical principles (6th stage)

Answer : (D)

28. _____ deals with the issue of what individuals feel they are due based on their rights and
performance in the workplace, and therefore is more likely to be based on deontological moral
philosophies than on teleological or utilitarian ones.

(A) Rights

(B) Virtue ethics

(C) Justice

(D) Relativism

(E) Egoism

Answer : (C)

29. A central problem with relativism is

(A) that it emphasizes people's differences, not similarities.

(B) that few people believe that these principles are important.

(C) that it is very complicated.

(D) that it represents unattainable goals.

(E) that many feel that it only works in theory.

Answer : (A)

30. Which is not considered a white collar crime?

(A) Corporate tax evasion

(B) Credit card fraud

(C) Insider trading

(D) Identity theft

(E) Mugging someone

Answer : (E)

31. An individual who emphasizes others rather than himself or herself in making decisions is in
which of the following of Kohlberg's stages of development?

(A) Universal ethical principles (6th stage)

(B) Mutual interpersonal expectations, relationships, and conformity (3rd stage)

(C) Social system and conscience maintenance (4th stage)

(D) Punishment and obedience (1st stage)

(E) Prior rights, social contract, or utility (5th stage)

Answer : (B)
32. While he is normally against the idea of harming animals, Eric views animal research in the
pharmaceutical industry as a way to improve drugs that will benefit mankind. Which moral
philosophy most closely represents his viewpoint?

(A) Egoism

(B) Relativism

(C) Humanitarianism

(D) Utilitarianism

(E) Individualism

Answer : (D)

33. In Kohlberg's model, the stage of mutual interpersonal expectations, relationships, and
conformity (Stage 3) differs from the stage of individual instrumental purpose and exchange (Stage
2) in terms of the individual's motives in

(A) considering fairness to others.

(B) maintaining the social order.

(C) considering duty to society.

(D) upholding the basic values of society.

(E) maintaining obedience to authority.

Answer : (A)

34. The elements of _____ important to business transactions have been defined as trust, self-control,
empathy, fairness, and truthfulness.

(A) egoism

(B) utilitarianism

(C) deontology

(D) moral philosophy

(E) virtue

Answer : (E)

35. _____ justice considers the processes and activities that produce the outcome or results.

(A) Disruptive
(B) Procedural

(C) Interactional

(D) Communications

(E) Evaluative

Answer : (B)

ESSAY

36. What is white collar crime and why has it become such a widespread problem?

Graders Info :

White-collar crimes (WCC) are nonviolent business crimes defined by the Department of Justice as a
"non-violent criminal act involving deceit, concealment, subterfuge and other fraudulent activity."
Examples include antitrust violations, computer and Internet fraud, credit card fraud, bankruptcy
fraud, health care fraud, tax evasion, violating environmental laws, insider trading, bribery,
kickbacks, money laundering, and theft of trade secrets. WCC is more widespread, and that may be
due to corporate cultures becoming deviant and encouraging unethical behavior. The incidents of
WCC tends to increase in years following an economic recession, but the reasons for this increase
are not easy to pinpoint. See Table 6-5, Common Justifications for White-Collar Crime on page 174.
Also see Table 6-4, U.S. Consumer Fraud Complaints on page 173. Note the increase.

37. Compare and contrast the two teleological philosophies: egoism and utilitarianism. Include a
discussion of the bases that each type uses to evaluate the morality of activities.

Graders Info :

Egoists believe they should make decisions that maximize their own self-interest. Utilitarians believe
they should make decisions that result in the greatest total utility, or the greatest benefit for all
those affected by a decision. In an ethical decision-making situation, an egoist will probably choose
the alternative that contributes most to his or her self-interest, while a utilitarian decision maker
calculates the utility of the consequences of all possible alternatives and then selects the one that
results in the greatest benefit.

38. Compare and contrast the two moral philosophies: teleology and deontology. Discuss the bases
each philosophy type uses to evaluate the morality of a particular activity.

Graders Info :

Teleological philosophies assess the moral worth of a behavior by looking at its consequences,
deontologists argue that there are some things we should not do, even to maximize utility. For
example, deontologists would consider it wrong to kill an innocent person or commit a serious
injustice against someone, no matter how much greater social utility might result from doing so,
because such an action would infringe on individual rights. The utilitarian, however, might consider
an action resulting in a person's death acceptable if that action lead to some greater benefit.

39. Discuss the distinctions between the rule and act categories of utilitarianism and deontology.
Why do you think some people evaluate the morality of an action on the basis of the action itself,
whereas others evaluate it in terms of its conformity to particular moral principles or rules of
conduct?

Graders Info :

Rule utilitarians determine behavior on the basis of principles or rules designed to promote the
greatest utility, while act utilitarians examine specific actions and assess whether they result in the
greatest utility. Rule deontologists believe in conformity to general moral principles such as The
Golden Rule, while act deontologists hold that actions are the proper basis to judge morality.
Adherents of different personal moral philosophies may disagree in their evaluations of a given
action, yet all are behaving ethically according to their own standards.

40. Explain how the levels of Kohlberg's model of cognitive moral development may influence a
person's perception of and response to an ethical issue.

Graders Info :

A person in stage one responds to rules and labels of "good" and "bad" in terms of the physical
power of those who determine such rules. In stage two they evaluate behavior on the basis of its
fairness to them. In stage three ethical motivation is still derived from obedience to rules. In stage
four, duty, respect for authority, and the maintenance of the social order become the focal points.
Individuals in stage five feel a sense of obligation or commitment to other groups and recognize in
some cases legal and moral points of view may conflict. A person in stage six believes right is
determined by universal ethical principles everyone should follow.

MULTICHOICE

41. Which of the following describes the categorical imperative? ​

(A) ​"Pursue pleasure in this lifetime as the ultimate good."

(B) ​"Thou should seek the greatest good for the greatest number of people."

(C) ​"Do unto others as you would have them do unto you."

(D) ​"Act as if the maxim of thy action were to become by thy will a universal law of nature.gol

(E) ​"When in Rome, do as the Romans do."

Answer : (D)
42. Why might an individual's moral philosophies differ when making a personal decision versus a
work-related decision? ​

(A) ​Individuals tend to act more unethically in large work groups than alone.

(B) ​Businesses train individuals to adopt different moral philosophies at work.

(C) ​Personal temptations are rarely a problem in the business environment.

(D) ​Ethics is not held to be a high concern among managers in the workplace.

(E) ​Goals and pressures in the workplace are different from those outside of work.

Answer : (E)

43. What is one of the problems of Kohlberg's cognitive moral development theory? ​

(A) ​The original theory was transferred from children to adults.

(B) ​It can only apply to those with an deontological perspective.

(C) ​It assumes that very few adults ever reach Stage 6.

(D) ​The theory has little reliability or validity.

(E) ​All of the moral philosophies are regarded as equal to one another.

Answer : (A)

TRUEFALSE

44. The concept of moral philosophies are inexact.​

(A) True

(B) False

Answer : (A)

45. Interactional justice considers the processes and activities that produce a particular outcome.​

(A) True

(B) False

Answer : (B)

46. Teleological philosophies are often referred to as consequentialism. ​

(A) True

(B) False

Answer : (A)

47. The moral philosophy of idealism is a branch of the economic value orientation that views ethics
as whether an act produces more economic value for its effort.

(A) True

(B) False

Answer : (B)

48. Economist Adam Smith viewed profit as the ultimate goal of an enterprise and did not believe it
was businesses' responsibility to be concerned about their impact on society. ​

(A) True

(B) False

Answer : (B)