Which of the following is true of gatekeepers?
They are not bound to ethical duties.
Investors and boards are examples of gatekeepers.
They serve as intermediaries between market participants.
They are not responsible for ensuring conformance to fairness in the marketplace.
Which of the following is the final step in the ethical decision-making process?
Identifying the ethical issues involved
Monitoring and learning from outcomes
Considering how a decision affects stakeholders
Identifying key stakeholders
Which of the following explains the term “satisficing?”
Striving to select only the best alternative
Following simplified decision rules
Selecting the alternative simply because it is the easy way out
Selecting the alternative that meets minimum decision criteria
When does issue identification become the first step in the ethical decision-making process?
When you are not accountable for the decision
When you are solely responsible for a decision
When you are presented with an issue from the start
Under all circumstances
Which omission occurs when decision makers fail to notice gradual variations over time?
Which of the following is a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders?
The legal doctrine of strict liability is ethically controversial because:
it assumes informed consent of the buyer, and therefore, it is assumed to be ethically legitimate.
it allows consumers to assume that products are safe for use.
it holds that consumer demand depends upon what producers sell.
it holds a business accountable for paying damages whether or not it was at fault.
Which of the following is one of the “Four Ps” of marketing?
Greater consumption is likely to lead to unhappiness, a condition termed __________.
Marketing practices targeted at elderly populations for goods, such as supplemental health insurance, funerals, etc. are subject to criticism because:
that population is vulnerable.
interest gained on such investments are not highly profitable.
they target the considered and rational desires of the consumers.
they do not abide by the principles of welfare economics.
A consumer’s consent to purchase a product is not informed if that consumer is:
unwilling to listen to the product details from the sales person.
injured after using the product and filed a product liability suit.
asked to buy a product without a warranty.
being misled or deceived about the product.
Which of the following statements is true about manipulation?
It involves total control of direction or management.
A person cannot manipulate someone without deception.
It implies guiding people’s behavior with their conscious understanding.
To manipulate something is to guide or direct its behavior.
Which of the following statements is true about negligence?
It is not a central component of tort law.
One can be negligent by doing something that one should not.
One cannot be held negligent by failing to do something that one should have done.
It excludes acts of both commission and omission.
Society creates a strong incentive for businesses to produce safer goods and services by holding them responsible for any harm their products cause. This claim supports the:
strict product liability standard.
actual foreseeability standard.
reasonable person standard.
consent and informed decision standard.
Identify one of the implications of the “dependence effect.”
Unless a seller explicitly warrants a product as safe, buyers are liable for any harm they suffer.
Advertising and marketing create consumer wants that support the entire economy.
The court’s ruling on product liability cases is dependent on the extent of manipulation.
By creating consumer wants, advertising and other marketing practices violate consumer autonomy.