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What is an ethical dilemma?
the situation when one has to decide whether to act in a certain way that helps a group / person even though this collides with their own self-interest
What is "tragedy of commons"?
referes to a situation where everybody is trying to manipulate the situation to serve their personal ends with no regard for the effects of their actions on others (act unethically)
Name at least 4 stakeholder groups that are directly affected by a company's decision.
- shareholders
- managers
- customers
- employees
- suppliers & distributers
- community, society & national state
What are possible results of unethical behavior. Name at least 2.
- reduces efficiency and effectiveness of production and trade
- reduces national standard of living and well-being
- loss of reputation
- loss of trustExplain what an "ethics ombudsperson" is.
a manager responsible for communicating and teaching ethical standards to all employees
Explain the difference between the moral right rule and the utilitarian rule.
The Moral Rights Rule protects individuals’ fundamental rights regardless of outcomes, while the Utilitarian Rule focuses on achieving the greatest overall good, even if some individuals are disadvantaged.
Explain the relationship between ethics and law.
ethics and law are closely connected > while ethics are personal standards of right or worng, once ethical views gain enough supports, they are translated into laws that apply to everyone and carry legal consequences.
Explain the relationship between organizational and individual ethics.
individual ethics are personal values that determine how people view their responsibilities to others; organizational ethics are the guiding practices and beliefs through which a company and its managers view their responsibilities toward their stakeholders.
therefore, individual ethics of a company's founders and top managers are important in shaping the organization's code of ethics
What claims do suppliers and distributers have on a company?
Suppliers expect fair payments for inputs; distributers expect quality products at agreed-upon prices