Business Ethics: Entrepreneur's Responsibilities

What is the primary reason entrepreneurs should provide attractive compensation packages to their employees?

To reduce employee turnover
To comply with government regulations
To minimize labor costs
To attract more potential talents who can help achieve organization's long-term goals (correct)

What is the minimum wage requirement that entrepreneurs should adhere to?

The minimum hourly wage in their locality (correct)
The average wage of similar companies
The industry standard wage
The maximum wage allowed by law

Why should entrepreneurs pay their employees' wages on time?

To avoid legal consequences
To allow employees to meet their individual obligations (correct)
To increase employee productivity
To reduce employee absenteeism

What is the primary role of employees in an organization?

To contribute effectively towards the success of the business (A) Signup and view all the answers

What is an entrepreneur's responsibility to their employees in terms of taxes?

To deduct taxes from employees' salaries (C) Signup and view all the answers

What is the primary goal of entrepreneurs in terms of their employees' welfare?

To ensure employee safety and welfare (A) Signup and view all the answers

What is the ultimate objective of every enterprise?

The good of the people (C) Signup and view all the answers

Why must an entrepreneur take risks with their own capital?

To innovate and deliver products and services (A) Signup and view all the answers

What must an entrepreneur include in their decision-making process?

Social obligations and values, along with other relevant factors (A) Signup and view all the answers

What is the definition of social responsibility according to Koontz O’ Donnell?

The personal obligation to assume the rights and interests of others are not harmed (B) Signup and view all the answers

What is the role of a manager, according to Earnest Dale?

An arbiter among the interests of the public, stockholders, employees, suppliers, and consumers (D) Signup and view all the answers

What should an entrepreneur pursue, according to H.R.Brown?

Policies that align with the objectives and values of society (D) Signup and view all the answers

What is the primary purpose of the government imposing various types of taxes on entrepreneurs and businesses?

To raise financial resources for the development of the country (C) Signup and view all the answers

What is the social responsibility of entrepreneurs in relation to government officers and employees?

Not to correct them for getting wrong favors or some anti-social purposes (B) Signup and view all the answers

Why should entrepreneurs cooperate with the government for economic development?

To contribute to the balanced and rapid economic development of the country (A) Signup and view all the answers

What is the definition of a creditor?

An entity that extends credit by giving another entity permission to borrow money (C) Signup and view all the answers

Why should entrepreneurs pay taxes honestly?

To fulfill their social responsibility (B) Signup and view all the answers

What is the consequence of seeking political patronage by unfair means?

It hits the democratic values (B) Signup and view all the answers

What is the primary reason why a customer buys a product or service from a brand?

When they trust the brand and believe in it (A) Signup and view all the answers

What can happen if a company fails to understand its corporate responsibilities to the public?

It will lose its reputation and new clients (B) Signup and view all the answers

Why is it essential for a company to give correct suggestions and feedback to customers?

To build trust and maintain a positive image (B) Signup and view all the answers

What can be the consequence of making false promises and commitments to customers?

Loss of customer trust and credibility (C) Signup and view all the answers

What is the significance of treating customers as kings?

It builds trust and loyalty with customers (A) Signup and view all the answers

What can be a major reason for the failure of a company, as seen in the case of Enron and Adelphia?

Fiscal irresponsibility and mismanagement of funds (B) Signup and view all the answers

What is the primary consequence for a company caught up in scandal caused by executive greed?

Fiscal fatality for the company (B) Signup and view all the answers

What is the importance of a company having guidelines that agree with the law?

To avoid legal consequences (D) Signup and view all the answers

What is the bond that is broken when fiscal fraud occurs?

Trust between a consumer and a company (A) Signup and view all the answers

What should a company do to remain competitive, according to the World Bank Institute?

Take into account the input of its customers (A) Signup and view all the answers

What is the benefit of a company creating an advisory board of its target audience?

To gather recommendations on how to keep in touch with the customer base and improve the company’s public image (A) Signup and view all the answers

What is the responsibility of a company to its customers?

To remain accountable to its customers (B) Signup and view all the answers