BUSAD 120 - Business Law » Winter 2024 » Case Problem Analysis 03.1 Business Ethics
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Question #1
Ethics is the study of what is ____ and ____.
A.
economical, important
B.
economical, efficient
C.
right, wrong
D.
important, efficient
Question #2
Jason Trevor owns a commercial bakery in Blakely, Georgia that produces a variety of goods sold in grocery stores. Trevor is required by law to perform internal tests on food produced at his plant to check for contamination. During one three month period, three tests of food products containing peanut butter were positive for salmonella contamination. Trevor was not legally required to report the results to U.S. Food and Drug Administration officials, so he did not. Instead, Trevor instructed his employees to repeat the tests until the results were negative. Meanwhile, the products that had originally tested positive for salmonella eventually were shipped out to retailers. Five people who ate Trevor's baked goods that year became seriously ill, and one person died from a salmonella infection. According to the text, there are four different aspects of a decision that a business should evaluate in order to maximize profits and be a good corporate citizen. Those four items, in order, are the ___ implications of the decision, the ______ impact, the ______ for consumers and employees, and the ______ implications.
A.
causal, social, legal, financial
B.
ethical, public relations, job security, causal
C.
legal, public relations, safety risks, financial
D.
social, legal, safety risks, social
Question #3
Jason Trevor owns a commercial bakery in Blakely, Georgia that produces a variety of goods sold in grocery stores. Trevor is required by law to perform internal tests on food produced at his plant to check for contamination. During one three month period, three tests of food products containing peanut butter were positive for salmonella contamination. Trevor was not legally required to report the results to U.S. Food and Drug Administration officials, so he did not. Instead, Trevor instructed his employees to repeat the tests until the results were negative. Meanwhile, the products that had originally tested positive for salmonella eventually were shipped out to retailers. Five people who ate Trevor's baked goods that year became seriously ill, and one person died from a salmonella infection. In evaluating the first of the four factors, Trevor should determine whether his failure to report the results to the Food and Drug Administration is a violation of _____.
A.
ethics
B.
the law
C.
public opinion
Question #4
Jason Trevor owns a commercial bakery in Blakely, Georgia that produces a variety of goods sold in grocery stores. Trevor is required by law to perform internal tests on food produced at his plant to check for contamination. During one three month period, three tests of food products containing peanut butter were positive for salmonella contamination. Trevor was not legally required to report the results to U.S. Food and Drug Administration officials, so he did not. Instead, Trevor instructed his employees to repeat the tests until the results were negative. Meanwhile, the products that had originally tested positive for salmonella eventually were shipped out to retailers. Five people who ate Trevor's baked goods that year became seriously ill, and one person died from a salmonella infection. In this case, Trevor __ have a legal duty to perform internal tests on food produced at his plant to check for contamination. Trecor _____ have a legal duty to report the initial test results to the U.S. Food and Drug Administration.
A.
did, did not
B.
did not, did
C.
did, did
D.
did not, did not
Question #5
Merely complying with the law is known as the _____
A.
moral minimum
B.
compliance initiative
C.
categorical imperative
D.
due diligence
Question #6
In evaluating the second factor, Trevor should analyze what the __ might say if the shipped food caused sickness or death.
A.
government
B.
shareholders
C.
courts
D.
media
Question #7
Knowingly or recklessly allowing someone to become sick from the food because the company continued to test the food until the salmonella test was negative ___ be a public relations problem.
A.
would not
B.
would
Question #8
In evaluating the third factor, Trevor would look at the ___ for consumers and employees.
A.
job security
B.
financial risks
C.
safety risks
D.
ethics
Question #9
Trevor's instructions to repeat the tests until the results were negative, ___ support the health and safety of consumers.
A.
did not
B.
did
Question #10
To assess the fourth factor, Trevor should evaluate how much it might ___ the company to continue to test until the salmonella result is negative.
A.
help
B.
cost
C.
improve
Question #11
Trevor's approach to profits in making this decision seems to be ___ profit maximization.
A.
long run
B.
short run
Question #12
In this case, Trevor should consider not just the ___ of testing but also the _____ of potential lawsuits or settlements.
A.
cost, rationale
B.
validity, rationale
C.
cost, cost
Question #13
In evaluating the four factors, it seems that Trevor's decision was ___
A.
unethical
B.
ethical
C.
economical
D.
logical
Question #14
If Trevor had thought through his options as if all food manufacturers would make the same decision, he would be applying ____.
A.
the principle of rights theory
B.
Kant’s categorical imperative
C.
Bentham and Mill’s utilitarianism
Question #15
If Trevor had analyzed his options using __ , he would have evaluated the costs and benefits of each option to determine the ___ for the ___ and most likely ___ shipped the food.
A.
the principle of rights theory, most effective use of resources, government, would have
B.
the categorical imperative, greatest harm, company, would have
C.
the principle of rights theory, greatest harm, company, would have
D.
utilitarianism, greatest good, greatest number, would not have
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