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Which of the following statements best describes the activities of a whistle-blower?


A) A motorbike company's employees were sorry that 150 of the 10 million bikes the company sold had caught on fire.
B) A motorbike company's research engineers proved that the spate of fires in the company's bikes was the result of consumers' tinkering with the engine.
C) A former motorbike company's employee owned one of the company's bikes that caught on fire and slightly burned its rider.
D) The Consumer Product Safety Commission investigated fires of a motorbike company's products and ordered a recall to repair all of the 10 million units that had been sold.
E) A motorbike company's employee reported to the Consumer Product Safety Commission that the company knowingly manufactured an electrical system for the bikes that would catch on fire after prolonged use.

F) A) and D)
G) All of the above

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When Anheuser-Busch reaches out to its customers and the general public with its alcohol awareness and education programs and community support, and seeks to protect the natural environment and improve societal well-being, this is a reflection of


A) its outreach to all its stakeholders.
B) its broader social responsibility.
C) its environmental preservation strategy.
D) its belief in ethical marketing.
E) its need to appeal to potential consumers.

F) All of the above
G) C) and D)

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Western Digital, the Irvine, California-based maker of disk drives, recalled about 400,000 of its hard drives because of a faulty internal chip. The chip would not affect the disk drive motor until after six to 12 months of use. This delay in the problem's appearance meant that many consumers would not think to blame the disk drive manufacturer. But, instead of taking the less expensive route of remaining quiet about the problem, Western Digital chose to offer replacement disk drives for all those that had the faulty chip. This action is an example of


A) hedonism.
B) utilitarianism.
C) moral idealism.
D) existentialism.
E) socialism.

F) A) and B)
G) C) and D)

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In 1962, President John


A) to have legal representation in a court of law
B) to exchange or return products within a reasonable period of time
C) to choose
D) to demand "rain checks" if advertised goods are out of stock
E) to be compensated for product defects

F) A) and B)
G) C) and D)

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Whistle-blowers refer to


A) employees who are simultaneously employed by competing firms and who trade company secrets.
B) employees who blackmail or extort money from their employers.
C) employees who are coerced by their employers to participate in illegal or unethical activities.
D) customers who report unethical or illegal actions of the firms that market the offerings they purchased.
E) employees who report unethical or illegal actions of their employers.

F) B) and C)
G) A) and B)

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Corporate culture manifests itself in many different ways: the ethical behavior of top management, expectations for ethical behavior present in formal codes of ethics, and


A) contracts and agreements between members of the same industry.
B) state and local laws regarding ethical business behavior.
C) the dress codes, manner of work, and sayings of its employees.
D) the socially responsible behaviors of its customers.
E) the involvement of shareholders with an organization's day-to-day marketing decisions.

F) D) and E)
G) All of the above

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Societal responsibility refers to


A) the obligation that organizations have to (1) the preservation of the ecological environment and (2) the general public.
B) the obligation of a firm to price its products or services at a level whereby the consumer is treated fairly and the firm is still able to make a profit.
C) the view that an organization has an obligation to those who can affect the achievement of its objectives.
D) the duty of a firm to maximize profits for its owners or stockholders.
E) the idea that organizations are part of a larger society and are accountable to that society for their actions.

F) C) and E)
G) B) and D)

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There has been a public outcry about the ethical practices of businesspeople. Public opinion surveys show that only 17 percent of U.S. adults rate the ethical standards of business executives as


A) outstanding.
B) above average.
C) similar to other professions.
D) typical of businesspeople around the world.
E) very high or high.

F) A) and E)
G) All of the above

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According to the personal moral philosophy of __________, if the benefits exceed the costs, the behavior is ethical.


A) hedonism
B) utilitarianism
C) existentialism
D) moral idealism
E) socialism

F) D) and E)
G) A) and C)

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The Family Talk About Drinking guidebook developed by Anheuser-Busch to help parents and other adults talk with children about underage drinking is an example of


A) consumerism.
B) preemptive marketing.
C) ethical behavior in marketing.
D) the social marketing concept.
E) cause marketing.

F) A) and E)
G) A) and B)

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Define the moral philosophy of utilitarianism and explain its relationship to capitalism.

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Utilitarianism is a personal moral philo...

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Which of the following statements about consumer ethics is most accurate?


A) Most consumers' unethical acts are motivated by economic need.
B) Some consumers believe that if they can get away with unethical behavior, it is worth doing.
C) If "everyone else does it," then that becomes the norm-so, ultimately, there is no such thing as unethical consumer behavior.
D) Most consumers who shoplift do so because a salesperson has been insulting or rude.
E) Few customers behave unethically toward smaller, independently owned businesses. Most unethical consumer behavior is against "big business."

F) B) and C)
G) A) and B)

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Anheuser-Busch's commitment to preserving the natural environment by using renewable fuels such as biogas and landfill gas is an example of


A) utilitarianism.
B) environmental preservation.
C) moral idealism.
D) profit responsibility.
E) cause marketing.

F) A) and B)
G) A) and C)

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Mattel's Cabbage Patch Snacktime Kids doll was designed to eat plastic toys that were drawn into the doll's motorized mouth. However, despite extensive testing, the doll was found to "eat" the child's hair and was subsequently recalled and discontinued. Mattel discontinued the item because of consumers' right to


A) choose.
B) be informed.
C) be treated courteously.
D) safety.
E) happiness.

F) B) and D)
G) C) and D)

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