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Ethics and Ethical Standards Lesson 1 Quiz

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Questions and Answers

What is the main reason the company has chosen to decentralize its form of organization?

To increase market penetration
To enhance employee satisfaction
To achieve profit goals (correct)
To improve quality control

How are managers of decentralized centers measured in the company?

Number of employees supervised
Employee satisfaction ratings
Profit contribution, market penetration, and return on investment (correct)
Customer complaints received

What are the consequences of a manager failing to meet the objectives set by corporate management?

Demotion or dismissal (correct)
Salary increase
Promotion to a higher position
Training opportunities provided

What did an anonymous survey among managers reveal about the pressure they faced to compromise their ethical standards?

They felt pressured to compromise their personal ethical standards (D) Signup and view all the answers

Which unethical practice was mentioned as a result of pressure to achieve corporate goals?

Reducing quality control standards (A) Signup and view all the answers

Why was the CEO disturbed by the survey findings?

He believed the company cannot condone such behavior (D) Signup and view all the answers

What action did the CEO feel the company should take regarding the ethical problems?

Address them and take corrective action (D) Signup and view all the answers

What impact did compromising ethical standards have on quality control in certain plant locations?

'Unsafe' products were accepted (A) Signup and view all the answers

How were sales personnel encouraged to obtain orders according to the text?

'Gifts and other incentives' were offered to purchasing agents (B) Signup and view all the answers

What is the primary focus of managers in decentralized centers as per the text?

Maximizing profit contribution and market penetration (D) Signup and view all the answers

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