Business Ethics Chap 9 & 10

  1. ethics audit
    systematic evaluation of an organization's ethics program and performance to determine whether it is effective
  2. social audit
    process of assessing and reporting on a business' performance in fulfilling the economic, legal, ethical and philanthropic responsibilities expected of it by its stakeholders
  3. (GRI) Global Reporting Initiative
    the framework companies adopt to report social and sustainability progress. main streaming of disclosure
  4. 6-Sigma
    manages variation to eliminate defects
  5. balanced scorecard
    • management system that focuses on all elements that contribute to organizational performance and success, including financial, customer, market and internal process.
    • goal- develop broader perspective on performance factors and to foster culture of learning and growth that improves organizational communication
  6. (OCEG) Open Compliance Ethics Group
    deals with complex issues of compliance and solutions to address the development of organizational ethics
  7. (FSGO) Federal Sentencing Guidelines Organization
    requirements that board of directors oversee discovery of ethical risk, design and implement on ethics program and evaluate performance
  8. global business
    practice that brings together people from different cultures, values, laws and ethical standards
  9. country cultural values
    subjective, based on social environment and are used to develop norms that are socially and legally enforced
  10. national culture
    broader concept than organizational culture
  11. (SRC) Self-reference criterion
    idea that "we" differ from "them"
  12. cultural relativism
    concept that morality varies from one culture to another and that "right" and "wrong" are therefore defined differently
  13. global common values
    values that are broadly accepted worldwide
  14. risk compartmentalization
    when various profit centers within corporations become unaware of the overall consequences of their actions on the firm as a whole
  15. bi-model wealth distribution
    when the middle class shrinks and there is a distinct gap between rich and poor
  16. rational economics
    assumption that people are predictable and will maximize the utility of their choices relative to their needs and wants
  17. behavioral economics
    assumes that humans may not act rationally because of genetics, emotions, learned behavior, heuristics, or rules of thumb
  18. (MNCs) multinational corporations
    public companies that operate on a global scale without significant ties to any one nation or region
  19. (BSR) business for social responsibility
    tracks emerging issues and trends, provides info on corporate leadership and best practices, conducts educational workshops and training, and assists organizations in developing practical business ethics tools
  20. (IMF) international monetary fund
    makes short-term loans to member countries with deficits and provides foreign currencies for members
  21. United Nations global compact
    set of 10 principles that promote human rights, sustainability and the eradication of corruption
  22. (WTO) world trade organization
    • address economic and social issues involving agriculture, textiles and clothing, banking, telecom, govern purchases, industrial standards, food sanitation regulations, services, and intellectual property
    • provides legally binding ground rules for international commerce and trade policy
  23. dumping
    practice of charging high prices domestically but low prices imternationally
  24. (FCPA) U.S. foreign corrupt practices act
    prohibits American companies from making payments to foreign officials for the purpose of obtaining or retaining business
  25. vertical system
    where a channel member (manufacturer, wholesaler, distributor, or retailer) has control of the entire business system, via ownership or contract, or through its purchasing power
  26. human rights
    an inherent dignity with equal and inalienable rights and the foundation of freedom, justice, and peace in the world
  27. consumerism
    belief that the interests of consumers, rather than those of producers, should dictate the economic structure of society
Card Set
Business Ethics Chap 9 & 10
cengage learning, ferrell, fraedrich, ferrell