International Business Ethics

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What is the main challenge faced by MNCs in terms of ethics, and how does it vary across countries?

The main challenge is the variation in cultural value systems, which leads to differences in ethical standards across countries.

What is the significance of the EU Directive on Data Protection in the context of ethical technology use?

It sets a standard for data protection and privacy, ensuring responsible use of technology and respecting individuals' private lives.

What is the purpose of the Foreign Corrupt Practices Act (FCPA), and how does it relate to managing corruption?

The FCPA aims to prevent bribery and corruption by prohibiting the payment of bribes to foreign officials, ensuring ethical business practices.

What are the three tests of ethical corporate actions, and why are they essential for MNCs?

The three tests are: 1) the moral principle, 2) the ethical principle, and 3) the fairness principle, which ensure ethical decision-making and responsible business practices. Signup and view all the answers

Why is it essential for MNCs to develop a worldwide code of ethics, and how does it contribute to ethical business practices?

A worldwide code of ethics helps to establish a uniform standard for ethical behavior, ensuring consistency and promoting ethical decision-making across all operations. Signup and view all the answers

What is the importance of incorporating sustainability into long-term business plans, and how does it relate to ethics?

Incorporating sustainability ensures responsible use of resources, minimizes negative environmental impacts, and promotes ethical business practices. Signup and view all the answers

What attracts multinational corporations (MNCs) to do business in China?

Cheap labor cost, an expanding market, and a growing economy with growth in higher skilled jobs and services. Signup and view all the answers

What are some of the human rights and freedom of information challenges in China?

Violation of workers' rights, repression of free speech, and difficulty monitoring and correcting human rights violations. Signup and view all the answers

What international codes of conduct are relevant to global management?

The Sweatshop Code of Conduct, Electronic Industry Code of Conduct (EICC), Social Accountability 8000 (SA 8000), and guidelines developed by the International Chamber of Commerce, Organization for Economic Cooperation and Development, International Labor Organization, and United Nations Commission on Transnational Corporations. Signup and view all the answers

What are some of the concerns related to intellectual property (IP) in China?

Protecting IP due to an uncertain legal environment. Signup and view all the answers

Why is it essential for managers to maintain ethical behavior in global management?

To acknowledge the strategic role that ethics must play in global management and provide guidance to managers to maintain ethical behavior amid the varying standards and practices around the world. Signup and view all the answers

What are some examples of companies that have faced challenges related to human rights and freedom of information in China?

Wal-Mart, Google, Microsoft, and Yahoo. Signup and view all the answers

What is one of the benefits of adopting CSR (Corporate Social Responsibility) practices, particularly in terms of employee management?

Improved employee recruitment, motivation, and retention Signup and view all the answers

How can companies deal with cross-cultural dilemmas in CSR, particularly in terms of labor standards and environmental reporting?

Establishing principles and procedures for addressing difficult issues and engaging stakeholders in a dialog Signup and view all the answers

What is one of the ways that companies can demonstrate their commitment to CSR, particularly in terms of human rights?

Adjusting reward systems to reflect the company's commitment to CSR Signup and view all the answers

What is the importance of having a global corporate culture in CSR, particularly in terms of environmental sustainability?

An integration of the business environments in which firms currently operate Signup and view all the answers

Why is it important for companies to have a code of morality and ethics in individual countries, particularly in terms of labor standards and human rights?

To ensure compliance with local laws and regulations Signup and view all the answers

What is the significance of creating shared value globally, particularly in terms of CSR and business success?

Revenue increase and cost and risk reduction Signup and view all the answers