BEC610S - BUSINESS ETHICS - 1ST OPP - JUNE 2023


BEC610S - BUSINESS ETHICS - 1ST OPP - JUNE 2023



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n Am I BI A u n IVER s I TY
OF SCIEnCE Ano TECHnOLOGY
FACULTY OF COMMERCE, HUMAN SCIENCEAND EDUCATION
DEPARTMENT OF TECHNICAL, VOCATIONAL EDUCATION AND TRAINING
QUALIFICATION: DIPLOMA IN TECHNICAL AND VOCATIONAL EDUCATION AND TRAINING:
Management
QUALIFICATION CODE: 06DTVM
COURSE CODE: BEC610S
LEVEL: 6
COURSE NAME: Business Ethics
SESSION: JUNE 2023
PAPER: 1
DURATION: 3 HOURS
MARKS: 100
FIRST OPPORTUNITY EXAMINATION QUESTION PAPER
EXAMINER(S} Dr. O.A. Aloovi
MODERATOR: Mr. B. U. Kauteza
INSTRUCTIONS
1. This question paper consists of two sections {section A and B).
2. Answer ALL sections {A and B).
3. Read all the questions carefully before answering.
4. Number the answers clearly.
THIS QUESTION PAPER CONSISTS OF _6_ PAGES {Including this front page)

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Section A
This section consists of 15 multiple choice questions. For each question there are four possible
answers A, B, C and D. Choose the one you consider correct. Just write the question number
and the letter of your choice. E.g., 1. D.
1. A successful fast food restaurant has been ignoring customers' concerns about the small war
toys and toy guns included in their Kids meals. What should managers begin focus on to
improve the firm's?
A social responsibility
B moral standards
C moral responsibility
D ethical relativism
2. If the owner of a shoe store seeking a price reduction gives the manager of an athletic shoe
manufacturing company a new personal computer. Which approach is the shoe store owner
using to influence the manufacturer's decision making?
A tipping
B bribery
C computer impacting
D discounting
3. Actions society deems unethical are?
A always illegal
B socially responsible
C illegal but socially responsible
D not necessarily illegal
4. The most important step in understanding business ethics is?
A establishing codes of ethics
B learning to recognise ethical issues
C having efficient operations
D implementing a strategic plan
5. Which of the following is an argument against social responsibility?
A Businesses created many of the problems, so they should participate in finding solutions
B Businesses may lose their focus on profit-making
C As members of society, businesses should do their fair share
D The survival of a healthy economy depends on businesses being socially responsible
6. A set of formalised rules and standards that describe what a company expects of its
employees is called a .........?
A strategic plan
B moral philosophy
C guideline
D code of ethics
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7. ltis the responsibility of ____
to create a work environment that helps the company
achieve its objectives and fulfill its responsibilities?
A shareholders
B employees
C the government
Downers
8. A ____
exists when a person chooses to advance his or her own personal interests.
A fairness and honesty issue
B conflict of values
C business relationship problem
D conflict of interest
9. The Surgeon General's warning on cigarette packages about the health implications of
smoking is an example of which of the following ethical issues?
A communications
B relationships within a business
C conflict of interest
D honesty
10. Business ethics relates to?
A society's decisions
Ban individual's or work group's decisions
C the standards for morally right and wrong conduct in business
D government decisions
11. Today, most companies view social responsibility as?
A an unnecessary burden
Ba way to improve their brand
Ca waste of time
D too costly to implement
12. A supplier of pesticides has offered the manager of a farm supply store a free two-week
cruise if his firm gets a very large order from the store. The most ethical course of action for the
store manager to take would be to?
A call the police
B accept the offer
C politely turn it down and discuss it with his supervisor
D accept it if the pesticide in question meets quality standards
13. Which of the following would most effectively act as the primary objective of any business?
A to make a profit
B to procure resources
C to communicate with shareholders
D to mediate between the organisation and the environment
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14. A (n) ____
is a problem, situation, or opportunity requiring an individual, group, or
organization to choose among several actions that must be evaluated as right or wrong.
A crisis
B ethical Issue
C indictment
D fraud
15. What type of justice exists if employees are being open, honest, and truthful in their
communications at work?
A procedural
B distributive
C ethical
D interactional
[rotal:15]
Section B
Answer all the questions in this section
Question 1
Read the case study below carefully and answer the questions that follow.
The Case of the Collapsed Mine
In a town in West Zambia, miners were digging coal in a tunnel thousands of feet below the
surface. Some gas build-ups had been detected during the two preceding days, and the director
of safety had reported it to the mine manager. The build-up was sufficiently serious to have
temporally stopped operations until it was cleared. The manager of the mine decided that the
build-up was only marginally dangerous, that he had coal orders to fill, that he could not afford
to close the mine, and that he would take the chance that the gas would dissipate before it
exploded. He told the director of safety not to say anything about the danger. Two days later,
the gas exploded. One section of the tunnel collapsed, killing three miners, and trapping eight
others in a pocket. The rest managed to escape.
The explosion was one of great force, and the extent of the tunnel's collapse was considerable.
The cost of reaching the men in time to save their lives would amount to several million of
dollars. The problem facing the manager was whether the expenditure of such a large sum was
worth it. What, after all, was a human life worth? Who should make the decision, and how
should it be made? Did the manager owe more to the stakeholders of the corporation orto the
trapped workers? Should he use the slower, cheaper way of reaching them and save a large
sum of money, or the faster, more expensive way, and possibly save their lives.
He decided on the latter way and asked for volunteers. Two dozen of men volunteered. After
three days, the operation proved to be more difficult than anyone had anticipated. There had
been two more explosions, and three of those involved in the rescue operation had already
been killed. In the meantime, telephone contact had been made with the trapped men, who
had been fortunate enough to find a telephone line that was still functioning. They were
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starving. Having previously read about a similar case, they decided that the only way for them
to survive long enough for any of them to be saved was to draw lots. Becausethey have no food
to eat, they decided to kill and eat their colleague who drew the shortest straw. They felt it was
their duty that at least some of them be found alive; otherwise, the three who had died
rescuing them would have died in vain.
After 20 days, seven men were finally rescued alive; they had cannibalised their fellow miner.
The director of safety, who had detected the gas before the explosion informed the newspaper
of his report. The manager was charged with criminal negligence, but before giving up his
position he fired the director of safety. The mine eventually resumed operation.
(a) Discuss the ethical course of action that all parties in the case should have considered
with specific focus on steps that would have constituted ethical behaviour.
[5]
(b) In your view, what action could the director of safety take to make it morally justifiable?
[5]
(c) Explain two ethical principles that the mine manager neglected that led to the collapsing
of the mine.
[6]
(d) What is business ethics and why do you think it's important in an organisation like the
mine?
[5]
[Total: 21]
Question 2
Read the case study below carefully and answer the questions that follow:
Motor vehicle accident in the mine
In one case, a lawyer represented a defendant in a case involving injuries from a motor vehicle
accident. The claimant was badly hurt but recovering. To determine the extent of the current
injury, the claimant agreed to be examined by a doctor hired by the defendant's lawyer. The
doctor discovered that the claimant had a heart problem, which was almost certainly caused by
the accident, and forwarded this information to the lawyer.
The heart problem was serious and could cause further injury to the claimant, but the lawyer
did not disclose this information to the claimant, because he was representing the defendant
and disclosing this unknown injury could increase the amount the defendant would have to pay
to the claimant in settlement negotiations.
(a) Why was the claimant not given the information in this case by the doctor hired by the
defendant, or by the defendant's lawyer?
[5]
(b) Discussthe reasons for not providing the information to the claimant?
[5]
[Total: 10]
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Question 3
Peter is aheadof centre of a TVET provider. As part of his duties, he supervises six middle
managers; five of these managers are men. Only one of the managers is a black man, and one is
a white female.
Peter is replacing one of the white male managers. He has advertised the position both
internally and externally as required by his company's policies. After reviewing all of the
applications, he believes that Steve, a black employee of the company for 12 years, is the most
qualified applicant. However, in the pool of applicants there are three qualified white female
and two qualified white men.
(a) Morally, what should Peter do? Justify your answer.
[3]
(b) What are the three basic elements of discrimination in employment?
[3]
[Total: 6)
Question 4
(a) A code of ethics or ethical code refers to a set of guidelines, standards, and principles
that a company adopts and that must be adhered to by its workers. Define the term
ethical code/code of ethics.
[2]
(b) State and explain any two components of a good code of ethics in an organisation. [4]
(c) Briefly explain the concept sexual harassment in an organisation.
[2]
(d) State any four example of sexual harassment at the work place.
[4]
(e) State three actions that might consititute sexual harassment at work place.
[3]
(f) Explain why sexual harassment should be avoided in the workplace by all means? [4]
[Total: 19)
Question 5
The Head of Department was leaving for a consultation meeting in the morning, he askedJohn
a trainer to supervise the cleaning of the automotive workshop by trainees during the day. I'm
already having plans to play tennis with my colleagues this afternoon, responds John. Around
noon, John and his two colleagues made plans that required them to borrow the institution's
car the next day. John decided to skip playing tennis and supervise the cleaning of the
automotive workshop by trainees.
(a) At what stage of moral development do you think John's decision was made? Justify
your answer.
[4]
(b) Explain any five stages of moral development.
[10]
(c) What are the distinctions between traditional utilitarianism and rule utilitarianism, and
why did theorists create rule utilitarianism?
[6]
[Total: 20]
Question 6
(a) The principle of rights focuses on examining and possibly protecting individual's moral
and legal rights. Differentiate between negative rights and positive rights. Give one
example of each type of right.
[6]
(b) List any three examples of legal and claimed moral rights in the society today.
[3]
[Total: 9]
................................................. End of the Examination ................................................................. .
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