DISCUSSION QUESTIONS FOR CHAPTER 06
1. In your own words, what is meant by the term ethics?
2. Ethics must be based more on a process than on a static code. What does this statement mean? Do you agree? Why or why not?
3. A small pharmaceutical firm has just received permission form the authority body to market its new anticholesterol drug. Although the product has been tested for five years, management believes serious side effects may still result from its use; and a warning to this effect is being printed on the label.
If the company markets this FDA-approved drug, how would you describe its actions from an ethical and legal standpoint?. Use LaRue Hosmer (Overlap Between Moral Standards and Legal Requirements) to help you.
4. Mr X, the leading salesperson for a small manufacturer, has been given purchasing managers a kickback from his commissions in return for their buying more of the company’s goods. The manufacturer has a strict rule against this practice.
Using the Henderson’s Figure (image attached) - Source: Verne E. Henderson, "The Ethical Side of Enterprise," Sloan Management Review (spring 1982):p.42.
What would you suggest the company do about it?
5. Explain the distinct roles managers may take in rationalizing morally questionable acts “against the firm” or “on behalf of the firm.” Be complete in your answer.
6. What is a code of conduct, and how useful is it in promoting ethical behavior?
7. Describe carefully the differences between immoral, and moral management. Use the image attached (Ethical Dilemmas for Entrepreneurs) in your answer.
8. Why do complex decisions often raise ethical considerations for the entrepreneur?
9. Social responsibility can be classified into three distinct categories. Describe each category, and discuss the efforts of entrepreneurs to become more socially responsible.
10. Describe the critical threat to our environment as a major challenge of social responsibility.
11. What is “ecovision”? Outline some specific recommendations for entrepreneurs to consider that promote environmental awareness.
12. How can entrepreneurs develop a position of ethical leadership in business today?
13. Madam K believes entrepreneurs need to address the importance of ethics in their organizations. However, in her own company she is unsure of where to begin because the entire area is unclear to her.
What would you suggest?
Where can she begin?
What should she do?
Be as practical as you can in your suggestion.