Marketing 6th Edition Test Bank Grewal
Follow Below Link to
Download File
Email us for original and Plagiarism Free
Work At ( info.homeworklance@gmail.com ) or order us at
View Sample Chapter Below:
Chapter 04
Test Bank
1. The purpose of conscious marketing is to make
a product by selling products and services.
FALSE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-01 Define conscious marketing.
Topic: Role of Ethics in Marketing
Feedback: Conscious
marketing entails a sense of purpose for the firm that is higher than simply
making a profit by selling products and services. It encompasses four
overriding principles: Recognition of marketing’s greater purpose;
consideration of stakeholders and their interdependence; the presence of
conscious leadership, creating a corporate culture; and the understanding that
decisions are ethically based.
2. Marketing ethics is concerned with
distinguishing between right and wrong actions and decisions that arise in a
business setting, according to broad and well-established moral and ethical
principles that might arise in a business setting, and any special duties or
obligations that apply to persons engaged in commerce.
FALSE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-01 Define conscious marketing.
Topic: Role of Ethics in Marketing
Feedback: Business ethics is concerned with distinguishing between
right and wrong actions and decisions that arise in a business setting,
according to broad and well-established moral and ethical principles that might
arise in a business setting, and any special duties or obligations that apply
to persons engaged in commerce.
3. Marketing ethics can involve societal issues
such as the sale of products or services that may damage the environment or
global issues such as the use of child labor.
TRUE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 1 Easy
Learning Objective: 04-01 Define conscious marketing.
Topic: Role of Ethics in Marketing
Feedback: Marketing
ethics examines ethical situations that are specific to the domain of
marketing, including societal, global, or individual consumer issues. They can
involve societal issues such as the sale of products or services that may
damage the environment, global issues such as the use of child labor, or
individual consumer issues such as misrepresenting a product in advertising or
marketing dangerous products.
4.
The consideration of
stakeholders and their interdependence is one of the four overriding principles
of conscious marketing.
TRUE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-01 Define conscious marketing.
Topic: Role of Ethics in Marketing
Feedback: The four
overriding principles of conscious marketing include: recognition of
marketing’s greater purpose; consideration of stakeholders and their interdependence;
the presence of conscious leadership, creating a corporate culture; and the
understanding that decisions are ethically based.
5. Key corporate social responsibility (CSR)
stakeholders include employees, customers, the marketplace, and society.
TRUE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Corporate Social Responsibility
Feedback: Key
corporate social responsibility (CSR) stakeholders include employees,
customers, the marketplace, and society.
6. When Walmart pressured its vendors to supply
it with environmentally friendly merchandise with labels to prove it, this most
relates to the concept of sustainability.
TRUE
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Corporate Social Responsibility
Feedback: This is an
example of sustainability. According to the U.S. Environmental Protection
Agency, “Sustainability is based on a simple principle: Everything that we need
for our survival and well-being depends, either directly or indirectly, on our
natural environment.” Therefore, sustainable actions, including sustainable
marketing, allow “humans and nature [to] exist in productive harmony, that
permit fulfilling the social, economic and other requirements of present and
future generations.”
7.
One way in which
conscious marketing differs from corporate social responsibility (CSR) is that
CSR takes a holistic, ecosystem view of business as a complex, adaptive system.
FALSE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-03 Differentiate between conscious
marketing and corporate social responsibility.
Topic: Corporate Social Responsibility
Feedback: Corporate
social responsibility (CSR) differs from conscious marketing in that CSR
reflects a mechanistic view of business.
8. From a conscious marketing perspective, social
responsibility is at the core of the business through the higher purpose and
viewing the community and the environment as stakeholders.
TRUE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-03 Differentiate between conscious marketing
and corporate social responsibility.
Topic: Role of Ethics in Marketing
Feedback: From a
conscious marketing perspective, social responsibility is at the core of the
business through the higher purpose and viewing the community and the
environment as stakeholders.
9. Coca-Cola spent $102 million through The
Coca-Cola Campaign focusing on water stewardship, healthy and active
lifestyles, community recycling, and education. This is an illustration of a
CSR program.
TRUE
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-02 Describe what constitutes marketing’s
greater purpose.
Topic: Corporate Social Responsibility
Feedback: This is an
example of a CSR program.
10. The first step in ethical decision making is
to gather information and identify stakeholders.
FALSE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: The first
step in ethical decision making is to identify the issue.
11. The Golden Rule test asks the question, “Would
I like to be on the receiving end of this action and all its potential
consequences?”
TRUE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: The Golden
Rule test asks the question, “Would I like to be on the receiving end of this
action and all its potential consequences?”
12. A roofing company agreed to complete a job in
one week and collected a 50 percent deposit, but never showed up to do the job.
The same roofing company then donated $6,000 to a local children’s hospital.
The roofing company could be considered socially responsible.
TRUE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-03 Differentiate between conscious
marketing and corporate social responsibility.
Topic: Ethical Issues in Marketing
Feedback: It is
possible to be socially responsible yet unethical, which describes this
particular company. Its failure to meet its agreements demonstrates ethical
issues; however, its community support shows social responsibility.
13. BlendMate, a firm that manufactures high-end
blenders, donates $10 per blender sold to a local food bank. This is a form of
corporate social responsibility.
TRUE
AACSB: Knowledge Application
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Corporate Social Responsibility
Feedback: When
companies voluntarily embrace CSR, they appeal not only to their shareholders,
but also to their primary stakeholders—including their own employees,
consumers, the marketplace, and society at large. In this case, the company
would be supporting a charity that helps society at large.
14. Ethos Water donates 2 percent of its profits
to children in need of clean water. This action demonstrates that Ethos Water
is a firm with a strong ethical climate.
FALSE
AACSB: Knowledge Application
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-03 Differentiate between conscious
marketing and corporate social responsibility.
Topic: Corporate Social Responsibility
Feedback: This is an
example of corporate social responsibility, as it is a voluntary action
designed to help the community at large. While ethical firms are more likely to
be socially responsible, the two do not always go hand in hand.
15. Corporate social responsibility refers to the
coordinated actions of government organizations to address the ethical, social,
and environmental impacts of business operations.
FALSE
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-02 Describe what constitutes marketing’s
greater purpose.
Topic: Corporate Social Responsibility
Feedback: Corporate
social responsibility refers to voluntary actions taken by a company to address
the ethical, social, and environmental impacts of its business operations and
the concerns of its stakeholders.
16. Among the key differences between conscious
marketing and CSR is the unique view on shareholders that is absolutely
critical to CSR.
FALSE
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Corporate Social Responsibility
Feedback: Among the
key differences between conscious marketing and CSR, we can highlight the
unique view on shareholders that is absolutely critical to conscious marketing.
17. Stakeholders typically include the firm’s
employees and their families, customer groups, members of the community, the
environment, and the firm’s partners and competitors.
TRUE
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Stakeholders effect on Marketing Strategy
Feedback: Stakeholders
typically include the firm’s employees and their families, customer groups,
members of the community, the environment, and the firm’s partners and
competitors.
18. Brainstorming in the ethical decision-making
framework occurs immediately following the identification of issues.
FALSE
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback:
Brainstorming occurs after the firm has identified the stakeholders and their
issues and gathered all available data.
19. Badger Hardware was planning on raising the
pay of its managers, but not its frontline employees. To determine the
potential ethical issues, it should first identify the issues involved so that
it can gather facts related to those issues.
TRUE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: Identifying
issues is the first step in the ethical decision-making framework.
20. A common view in today’s business climate is
that the only responsibility of a business is to its shareholders, so its only
purpose is to make a profit.
FALSE
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-02 Describe what constitutes marketing’s
greater purpose.
Topic: Corporate Social Responsibility
Feedback: At one
point, a popular view held that the only responsibility of a business was to
its shareholders, so its only purpose was to make a profit. In many parts of
the world, that view has been supplanted with the idea that companies must
consider their responsibilities to a wider range of stakeholders who make up
society.
21. Tipco Computer Company decided to market its
tablet computers to preschoolers, even though the tablets were better suited
for much older children. This potentially unethical activity takes place during
the control phase of the strategic marketing planning process.
FALSE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Role of Ethics in Marketing
Feedback: Firms
identify potential target markets and ways to deliver the four Ps to them in
the implementation phase.
22. Once the marketing strategy is implemented,
controls must be in place to be certain that the firm has actually done what it
has set out to do.
TRUE
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Role of Ethics in Marketing
Feedback: Control is
the final stage of the strategic marketing planning process.
23. An example in the text describes a campaign by
Grey Poupon that involved a Facebook campaign targeted toward people who had
“good taste.” The campaign was criticized for privacy issues that made it
unethical. This occurred during the implementation phase of the strategic
marketing planning process.
TRUE
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Ethical Issues in Marketing
Feedback: Sometimes a
firm’s choice of target market and how it pursues this target market can lead
to charges of unethical behavior. In this case, Grey Poupon’s questionable
behavior occurred during the implementation phase.
24. The most basic corporate social responsibility
to employees is to ensure the highest pay for the work performed.
FALSE
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 3 Hard
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Corporate Social Responsibility
Feedback: The most
basic corporate social responsibility to employees is to ensure a safe working
environment, free of threats to their physical safety, health, or well-being.
25. Pepsi has cooperated with America on the Move
to improve many of its products and their labels, such as reducing the
saturated fat in its Frito-Lay Ruffles. This form of social responsibility most
directly impacts shareholders.
FALSE
AACSB: Knowledge Application
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-04 Describe the ways in which conscious marketing
helps various stakeholders.
Topic: Stakeholders effect on Marketing Strategy
Feedback: This most
directly impacts customers, although if it increases sales of the products it
could impact shareholders down the road.
26. Business ethics and marketing ethics are synonymous terms.
FALSE
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-01 Define conscious marketing.
Topic: Role of Ethics in Marketing
Feedback: Business
ethics is concerned with distinguishing between right and wrong actions and
decisions that arise in a business setting, according to broad and
well-established moral and ethical principles that might arise in a business
setting, and any special duties or obligations that apply to persons engaged in
commerce. Marketing ethics, in contrast, examines ethical situations that are
specific to the domain of marketing, including societal, global, or individual
consumer issues.
27. Conscious marketing encompasses all of the
following overriding principles except
28. recognition of marketing’s greater purpose.
29. B. recognition of the company’s bottom
line.
30. consideration of stakeholders and their
interdependence.
31. the presence of corporate leadership, creating
a corporate culture.
32. the understanding that decisions are ethically
based.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-01 Define conscious marketing.
Topic: Ethical Issues in Marketing
Feedback: Conscious
marketing encompasses these four overriding principles: recognition of
marketing’s greater purpose; consideration of stakeholders and their
interdependence; the presence of conscious leadership, creating a corporate
culture; and the understanding that decisions are ethically based.
28. Business ethics is concerned with all of the
following except
29. distinguishing between right and wrong actions
in a business setting.
30. distinguishing between right and wrong
decisions that arise in a business setting.
31. any special duties or obligations that apply
to persons engaged in commerce.
32. broad and well-established moral and ethical
principles that might arise in a business setting.
33. E. societal issues such as the sale of
products or services that may damage the environment
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-01 Define conscious marketing.
Topic: Role of Ethics in Marketing
Feedback: Marketing
ethics, not buisiness ethics, is concerned with societal issues such as the
sale of products or services that may damage the environment and global issues
such as the use of child labor.
29. The sale of products that may damage the
environment, the use of sweatshop labor, and the marketing of dangerous
products are examples of
30. internal, controllable marketing issues.
31. issues that don’t even need to be discussed in
ethical firms.
32. marketing issues but not ethical issues.
33. D. marketing ethical issues.
34. ethical issues but not marketing issues.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-01 Define conscious marketing.
Topic: Ethical Issues in Marketing
Feedback: These are
examples of ethical issues of concern to marketers. Even in a firm with a
strong ethical climate, some business opportunities that arise may raise
ethical concerns and need to be considered in the context of the firm’s ethical
values.
30. When Walmart issued new standards for
livestock products that were raised on food without antibiotics or artificial
growth hormones, it considered multiple ______, including the ranchers that
supply the food, its customers, and animal welfare groups.
31. A. stakeholders
32. investors
33. marketing executives
34. bankers
35. corporate shareholders
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-01 Define conscious marketing.
Topic: Role of Ethics in Marketing
Feedback: When Walmart
issued new standards for livestock products that were raised on food without
antibiotics or artificial growth hormones, it considered multiple stakeholders
including the ranchers that supply the food, its customers, and animal welfare
groups.
31. All of the following are included in the
decision-making metric except
32. the publicity test.
33. B. the likability test.
34. the moral mentor test.
35. the transparency test.
36. the admired observer test.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: The
ethical-decision making metric includes the following tests: Publicity, moral
mentor, admired observer, transparency, person in the mirror, and golden rule.
32. ____________ provides a detailed, multipronged
“Statement of Ethics” that can serve as a foundation for marketers.
33. Johnson & Johnson
34. B. The American Marketing Association
35. The Better Business Bureau
36. A group of well-respected marketing executives
37. The Advertising Association of America
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-06 Describe how ethics constitute an
integral part of a firm’s conscious marketing strategy.
Topic: Role of Ethics in Marketing
Feedback: The American
Marketing Association (AMA) provides a detailed, multipronged “Statement of
Ethics” that can serve as a foundation for marketers, emphasizing that “As
marketers . . . we not only serve our organizations but also act as stewards of
society in creating, facilitating and executing the transactions that are part
of the greater economy.”
33. In the ethical decision-making metric, the
question that asks “Would I want the person I admire most to see me doing
this?” applies to the
34. publicity test.
35. B. admired observer test.
36. moral mentor test.
37. transparency test.
38. person in the mirror test.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: This
question applies to the admired observer test.
34. The _________ for natural skin care company
Burt’s Bees is to “create natural, Earth-friendly personal care products
formulated to help you maximize your well-being and that of the world around
you.”
35. A. mission statement.
36. market analysis
37. company description
38. financial plan
39. executive summary
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Role of Ethics in Marketing
Feedback: With strong leadership,
marketers can introduce conscious marketing at the beginning of the planning
process by including statements in the firm’s mission or vision statements. For
example, the mission statement for natural skin care company Burt’s Bees is to
“create natural, Earth-friendly personal care products formulated to help you
maximize your well-being and that of the world around you.”
35. In the ___________ stage, a firm will decide
what level of commitment to its ethical policies and standards it is willing to
declare publicly and how the firm plans to balance the needs of its various
stakeholders.
36. brainstorming
37. implementation
38. C. planning
39. control
40. evaluation
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Role of Ethics in Marketing
Feedback: In the
planning stage, the firm will decide what level of commitment to its ethical
policies and standards it is willing to declare publicly and how the firm plans
to balance the needs of its various stakeholders.
36. Which of the following statements regarding
corporate social responsibility is true?
37. It incorporates higher purpose and a caring
culture.
38. It takes a holistic, ecosystem view of
business as a complex adaptive system.
39. It understands that decisions are ethically
based.
40. Social responsibility is at the core of the
business through the higher purpose and viewing the community and the
environment as stakeholders.
41. E. It sees limited overlap between the
business and society, and between business and the planet.
AACSB: Knowledge Application
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-03 Differentiate between conscious
marketing and corporate social responsibility.
Topic: Corporate Social Responsibility
Feedback: Corporate
social responsibility sees limited overlap between the business and society,
and between business and the planet. All of the other statements describe
conscious marketing.
37. Which of the following statements regarding
conscious marketing is correct?
38. A. It recognizes that business is a subset
of society, and that society is a subset of the planet.
39. It sees limited overlap between the business
and society, and between business and the planet.
40. It is often grafted on to traditional business
model, usually as a separate department or part of PR.
41. It reflects a mechanistic view of business.
42. It is independent of corporate purpose or
culture.
AACSB: Knowledge Application
Accessibility: Keyboard Navigation
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 04-03 Differentiate between conscious
marketing and corporate social responsibility.
Topic: Corporate Social Responsibility
Feedback: Conscious
marketing recognizes that business is a subset of society, and that society is
a subset of the planet. The other statements reflect corporate social
responsibility.
38. When marketers work in controversial or
polluting industries such as tobacco or fossil fuels, their central activities
largely bar them from becoming
39. ethical human beings.
40. B. conscious marketers.
41. profitable.
42. successful.
43. recognized.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-02 Describe what constitutes marketing’s
greater purpose.
Topic: Role of Ethics in Marketing
Feedback: When
marketers work in controversial or polluting industries such as tobacco or
fossil fuels, their central activities largely bar them from becoming conscious
marketers.
39. Which of the following descriptions embodies
conscious marketing principles?
40. not socially responsible
41. questionable firm practices, yet donates a lot
to the community
42. neither socially nor ethically responsible
43. not involved with the larger community
44. E. both ethically and socially responsible
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-06 Describe how ethics constitute an
integral part of a firm’s conscious marketing strategy.
Topic: Role of Ethics in Marketing
Feedback: A firm that
embodies conscious marketing is both socially and ethically responsible.
40. New real estate disclosure regulations require
sellers and their agents to tell prospective buyers about any existing problems
with the property. Previously, they were expected only to answer buyers’
questions. The new regulation addressed the marketing ethics problem of
41. high-pressure sales techniques.
42. deceptive pricing tactics.
43. misrepresentation of company data.
44. misleading advertising.
45. E. withholding information.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 04-06 Describe how ethics constitute an
integral part of a firm’s conscious marketing strategy.
Topic: Ethical Issues in Marketing
Feedback: Withholding
or destroying information that could hurt a company’s sales or image is
considered unethical.
41. When making decisions, managers often have to
decide between doing what is beneficial for them (and possibly the firm) in the
short run, and doing what is right and beneficial for the firm and for society
in the long run. To address this conflict, a firm
42. must evaluate its quarterly profit statement
from an ethics standpoint.
43. must state its long-term goals in general
terms, so as to not interfere with managers’ short-term goals.
44. must always put society’s needs ahead of the
firm’s needs.
45. D. must align the short-term goals of each
employee with the long-term, overriding goals of the firm.
46. should adhere rigidly to legal standards in
its industry.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-06 Describe how ethics constitute an
integral part of a firm’s conscious marketing strategy.
Topic: Ethical Decision Making
Feedback: To avoid
potentially unethical behaviors, conscious marketing seeks to align the
short-term goals of each employee with the long-term, overriding goals of the
firm.
42. To avoid having ethical situations become
problematic for a firm, the short-term goals of each employee must
43. A. be aligned with the long-term goals of
the firm.
44. be overridden by the overall goals of the
firm.
45. become secondary to the needs of the remaining
stakeholders.
46. be reviewed on an annual basis.
47. change on a regular basis.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-06 Describe how ethics constitute an
integral part of a firm’s conscious marketing strategy.
Topic: Role of Ethics in Marketing
Feedback: To avoid
unethical situations causing problems for a firm, it is important that the
short-term goals of each employee be aligned with the long-term goals of the
firm.
43. Compared to the average company, firms with
strong ethical climates tend to
44. employ more business development consultants.
45. offer more goods and services.
46. C. be more socially responsible.
47. invest more in sales training software.
48. have higher turnover.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-06 Describe how ethics constitute an
integral part of a firm’s conscious marketing strategy.
Topic: Role of Ethics in Marketing
Feedback: A strong
ethical climate and social responsibility often (though not always) go hand in
hand.
44. Courses of action such as halting the market
research project, making responses anonymous, and instituting training on the
AMA Code of Ethics for all researchers would be identified during the
__________ stage.
45. planning
46. identification
47. implementation
48. D. brainstorming
49. evaluation
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: After the
marketing firm has identified the stakeholders and their issues and gathered
the available data, all parties relevant to the decision should come together
to brainstorm any alternative courses of action. These might include halting
the market research project, making responses anonymous, or instituting
training on the AMA Code of Ethics.
45. The XYZ firm is in Step 4 of its ethical
decision-making process. Executives were asked to take the Publicity test using
an ethical-decision making metric. All scores were in the “No” column. What
does this mean?
46. The situation is not ethically troubling to
the executives.
47. The executives need to step back and reflect
on how they wish to proceed.
48. C. The situation is ethically troubling to
the executives.
49. The executives need to retake the test or take
the moral mentor test instead.
50. The results are invalid and the executives
need to take the transparency test.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: If scores
tend to be in the “Yes” area, then the situation is not ethically troubling.
If, in contrast, scores tend to be in the “No” area , it is ethically
troubling. If scores are scattered or are in the “Maybe” area, executives need
to step back and reflect on how they wish to proceed.
46. Ironically, while the leaders of Enron
Corporation were manipulating the company’s finances for their personal
benefit, the company was a major donor to Houston area charities. Enron had
unethical business practices, but was also
47. practicing marketing ethics.
48. falsifying the company’s finances through
charitable donations.
49. creating a local ethical business climate.
50. D. demonstrating corporate social
responsibility.
51. manipulating the public sentiment for its own
benefit.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 04-03 Differentiate between conscious
marketing and corporate social responsibility.
Topic: Corporate Social Responsibility
Feedback: Enron was
exhibiting unethical behavior through its financial manipulation, while at the
same time demonstrating social responsibility through its charitable donations.
47. The ethical decision-making framework includes
all of the following steps except
48. identify issues.
49. B. promote the firm’s corporate social
responsibility efforts.
50. gather information and identify stakeholders.
51. brainstorm alternatives.
52. choose a course of action.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: Corporate
social responsibility is separate from the ethical decision-making framework.
48. Garrett has just purchased a beer
distributorship. He wants to increase the visibility of his firm in local
markets, but he knows there are a number of regulations and socially accepted
practices associated with promoting alcoholic beverages. The first thing
Garrett should do is to
49. A. identify issues that need to be
addressed.
50. promote the firm’s corporate social
responsibility efforts.
51. gather information and identify stakeholders.
52. brainstorm alternatives.
53. choose a course of action.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: Identifying
potential ethical issues is the first step in the ethical decision-making
process.
49. Hisaoki picks up the local newspaper and reads
a stinging letter to the editor criticizing his beverage company for supporting
a sporting event for children with disabilities. The letter writer is critical
of a banner displayed at the event with the logos of alcoholic beverages and
Hisaoki’s company name. Hisaoki never considered that this problem might arise.
Hisaoki’s company failed to
50. A. identify issues.
51. promote the firm’s corporate social responsibility
efforts.
52. analyze the needs of the industry.
53. brainstorm and evaluate alternatives.
54. choose a course of action.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: Hisaoki
failed to identify possible ethical issues in advertising alcoholic beverages
at an event for children.
50. Many corporations are shifting from defined
benefit to defined contribution retirement programs. When considering changes
to retirement programs, the primary stakeholders are the
51. shareholders.
52. B.
53. customers.
54. marketing managers.
55. competition.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Stakeholders effect on Marketing Strategy
Feedback: The primary
stakeholders are the employees whose retirement programs are changing.
51. When Bernie Ebbers, WorldCom’s CEO, was
convicted of financial crimes, WorldCom was forced to merge with MCI. One of
the ramifications of this merger was the loss of WorldCom’s sponsorship of the
Sea Pines Heritage PGA golf tournament. The tournament funds the Heritage
Foundation, a major community charity. This example illustrates
52. the need to identify issues.
53. B. that the impact of unethical actions can
reach far beyond the corporation.
54. that unethical firms cannot be socially
responsible.
55. the lack of information needed to make ethical
decisions.
56. the questionable advantage of social
responsibility.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-01 Define conscious marketing.
Topic: Role of Ethics in Marketing
Feedback: The impact
of the CEO’s behavior reached beyond his company, affecting members of the
community who formerly benefited from the work of the Heritage Foundation.
52. All of the following statements regarding
corporate social responsibility are true except
53. firms believe that they have legal and
economic duties in addition to responsibilities to society.
54. B. a firm’s responsibilities to society are
not associated with the demands, expectations, requirements, and desires of
various stakeholders.
55. CSR can be defined as context-specific actions
and policies, taking stakeholders’ expectations into account, to achieve what
is referred to as the triple bottom line.
56. today, virtually all large and well-known
companies engage in some form of CSR.
57. CSR actions are voluntary.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-02 Describe what constitutes marketing’s
greater purpose.
Topic: Corporate Social Responsibility
Feedback: A firm’s
responsibilities to society associated with the demands, expectations,
requirements, and desires of various stakeholders.
53. The Harvest County School Board is concerned
about deteriorating school facilities, combined with a shrinking budget. The
board began by studying the issue, and then identified parents, children,
teachers, staff, and taxpayers as groups who have a vested interest in the
problem. The school board has listened to each group’s concerns. In the ethical
decision-making framework, its next action should be to
54. identify issues of concern to lawmakers.
55. assess impact of its actions beyond the
classroom.
56. C. engage in brainstorming alternatives.
57. choose a course of action.
58. evaluate the legal ramifications.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: The school
board has completed the first two steps of the ethical decision-making
framework. The third step is to assemble the stakeholders to brainstorm for
alternatives.
54. After a firm has identified the various
stakeholders and their issues and gathered available data related to an ethical
decision-making situation, __________ should engage in brainstorming and evaluating
alternatives.
55. the senior managers most involved
56. key customers
57. elected officials
58. D. all parties relevant to the decision
59. any individuals with competing interests
AACSB: Teamwork
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: All relevant
parties should participate in brainstorming and evaluation.
55. After a firm has identified the various
stakeholders and their issues and gathered available data related to an ethical
decision-making situation, all parties relevant to the decision should
56. engage in legal discourse.
57. vote, with the majority deciding the best
course of action.
58. reidentify the issues.
59. choose a course of action.
60. E. brainstorm for alternatives.
AACSB: Teamwork
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: It is too
soon to make a choice—at this point, the involved parties should brainstorm and
then evaluate alternatives.
56. After a firm has identified the various
stakeholders and their issues and gathered the available data, all parties
relevant to the decision should engage in brainstorming and evaluating
alternatives. __________ then review and refine these alternatives, and choose
a course of action.
57. A. Company leaders and managers
58. The firm’s lawyers
59. Key customers
60. Community leaders
61. All stakeholders
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: Although all
stakeholders should be involved in the earlier steps of the process, company
leaders and managers review and refine alternatives, leading to the final step.
57. Darwin’s company is facing a difficult ethical
issue. The firm has identified the various stakeholders and their issues and
gathered the available data. Everyone with an interest in the issue has engaged
in brainstorming and evaluating alternatives. Management reviewed and refined
the alternatives. It should now choose the course of action that
58. maximizes profits.
59. creates the least possible publicity.
60. involves the fewest employees.
61. minimizes costs.
62. E. seems best after weighing the concerns
of all stakeholders.
AACSB: Knowledge Application
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: The purpose
of the earlier stages of the process is to identify stakeholders’ issues and
generate possible solutions. The final stage is to weigh this information and
select the alternative that does the best job of addressing the issues.
58. Rock-Bend Company is considering buying out a
competing firm and closing most of the competitor’s factories. The firm has
identified the various stakeholders and their issues and gathered the available
data. Everyone with an interest in the issue has engaged in brainstorming and
evaluating alternatives. Management reviewed and refined the alternatives, and
then chose a course of action. If the managers are not confident about the
decision, they should
59. lower their offering price for the competing
firm.
60. B. reexamine their alternatives.
61. consult customers.
62. trust their instincts and move forward.
63. choose the least risky option.
AACSB: Knowledge Application
Accessibility: Keyboard Navigation
Blooms: Apply
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: Perhaps the
chosen course of action is not truly the best choice. By reexamining the
alternatives, the firm may find a better choice.
59. Imagine the use (or misuse) of data collected
from consumers by a marketing research firm. One of the issues that might arise
is the way the data are collected. At what step in the framework for ethical
decision making would this issue be identified by tthe marketing research firm?
60. A. Step 1
61. Step 2
62. Step 3
63. Step 4
64. Step 5
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: There are
four steps in the framework for ethical decision making. Step 1 is identifying
issues. Step 2 is gathering information and identifying stakeholders. Step 3 is
brainstorming alternatives. Step 4 is choosing a course of action.
60. Denny is considering the question, “Did our
actions have a negative impact on any stakeholder group?” Denny is addressing
marketing ethical issues in the __________ phase of the strategic marketing
planning process.
61. planning
62. B. control
63. implementation
64. brainstorming
65. situation analysis
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Stakeholders effect on Marketing Strategy
Feedback: This
question evaluates the outcome of marketing decisions, which takes place in the
control phase.
61. Every year, General Mills issues a report
discussing how the firm has performed against its own standards of conscious
marketing. This report is part of General Mills’s __________ phase of its
strategic marketing planning process.
62. planning
63. implementation
64. C. control
65. evolution
66. marketing mix
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Role of Ethics in Marketing
Feedback: General
Mills is evaluating its performance, which is a part of the control phase.
62. Charges that firms are using “sweatshop” labor
to produce their products are likely to occur during the __________ phase of
the strategic marketing planning process.
63. planning
64. B. implementation
65. control
66. evolution
67. marketing mix
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Ethical Issues in Marketing
Feedback: The
implementation phase is where the marketing mix is implemented, and is thus the
place where the use of sweatshop labor becomes a public issue.
63. Marketers that include ethical policies and
standards in the firm’s mission or vision statements are introducing these
concepts at which stage of the strategic marketing planning process?
64. implementation phase
65. control phase
66. C. planning phase
67. evaluation phase
68. idea generation phase
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Role of Ethics in Marketing
Feedback: During the
planning phase, marketers will decide what level of commitment to its ethical
policies and standards it is willing to declare publicly. It is during this
phase that ethical statements in the firm’s mission or vision statements can be
incorporated.
64. During the __________ phase of the strategic
marketing planning process, marketers utilize systems to check whether each
conscious marketing issue raised in earlier phases was addressed.
65. implementation
66. B. control
67. planning
68. assessment
69. social responsibility
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Role of Ethics in Marketing
Feedback: The firm
assesses its performance regarding ethics during the control phase.
65. Alicia has been asked to approve a marketing
campaign that, although it is not illegal, promotes food products to children.
She is concerned that the food products are not particularly nutritious,
although they are not as bad for children as some others sold by competitors.
By using the ethical decision-making metric, Alicia will
66. ignore the metric as unworkable, since the
campaign might pass some of the tests and fail others.
67. consider the profit potential first; then
explore the vague tests in the metric.
68. not worry about the children; their parents
are likely to make the buying decision, and they should be able to decide for
themselves.
69. D. evaluate the alternative using a series
of questions.
70. consult the firm’s code of ethics for guidance
and leave personal ethical considerations out of the decision-making process.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: If Alicia
has concerns arising out of her personal ethics, she needs to pause and ask
more questions before making a go/no-go decision.
66. CSR can be described as context-specific
actions and policies, taking stakeholders’ expectations into account, to
achieve what is referred to as the triple bottom line. The triple bottom line
includes ________ performance.
67. A. economic, social, and environmental
68. economic, social, and political
69. financial, economic, and social
70. social, environmental, and political
71. financial, social, and environmental
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 04-02 Describe what constitutes marketing’s
greater purpose.
Topic: Corporate Social Responsibility
Feedback: One
definition describes CSR as context-specific actions and policies, taking
stakeholders’ expectations into account, to achieve what is referred to as the
triple bottom line: economic, social, and environmental performance.
67. When Toyota owners began to report problems
with sticking accelerator pedals and nonfunctioning brakes, Toyota at first
ignored or rejected the claims. Eventually, the company evaluated the issue and
issued a recall. Which of the four steps of the ethical decision-making
framework was Toyota performing when it recalled several of its 2007-2010
models?
68. assess risk
69. identify issues
70. gather information and identify stakeholders
71. brainstorm and evaluate alternatives
72. E. choose a course of action
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: When using
the ethical decision-making framework, the first step is to identify the
issues. The next three steps are to gather information, brainstorm/evaluate
alternatives, and finally to choose a course of action. Toyota, in issuing its
recall, had chosen a course of action.
68. For every consumer who purchases a pair of
TOMS shoes for $55, the company promises that a needy child will receive a pair
of shoes. TOMS shoes is actively engaging in
69. A. corporate social responsibility.
70. business ethics.
71. marketing ethics.
72. environmental marketing.
73. overpricing of its products.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-02 Describe what constitutes marketing’s
greater purpose.
Topic: Corporate Social Responsibility
Feedback: TOMS shoes
is engaged in corporate social responsibility by making shoes available to
children in need.
69. If Melissa decides to sell the best ice cream
on earth, and intends to establish a strong ethical climate in her
organization, during which phase of the strategic marketing planning process
should she introduce ethical considerations?
70. A. planning
71. implementation
72. control
73. experience
74. ethics
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Role of Ethics in Marketing
Feedback: Firms should
begin establishing an ethical climate at the planning phase by including
ethical statements in the firm’s mission or vision statements.
70. Anupam’s company manufactures industrial
ladders. He is concerned that consumers who do not understand ladder safety
will purchase these extra-tall ladders and injure themselves. During which
phase of the strategic marketing planning process should this issue be addressed?
71. control
72. planning
73. C. implementation
74. design
75. ethics
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Role of Ethics in Marketing
Feedback: During the
implementation phase, the company can discuss targeting decisions and
implementing the marketing mix appropriately to minimize this risk. Perhaps
safe use of the ladder should be emphasized in marketing communications, or
perhaps steps should be taken to discourage certain consumers from buying these
ladders.
71. A meat-packing company discovers that six
months ago it unknowingly distributed meat from a cloned cow. The firm is
unaware of any specific risks to humans consuming the meat; however, some
scientists have raised questions, and some consumers are afraid of possible
future problems. The meat company has to decide whether or not to make this
matter public. How should it begin the process of making an ethical decision?
72. Brainstorm the available alternatives.
73. Ask its managers to vote for or against public
disclosure.
74. Let the board of directors decide what to do.
75. D. Identify the issues raised by the
situation.
76. Find out who purchased the meat, and offer
them refunds in return for their silence.
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: It is too
late to recall the meat—it has been consumed or discarded long ago—so emergency
action is neither possible nor necessary. The company should begin the ethical
decision-making framework by identifying all issues raised by this situation.
This should happen before attempting to choose a course of action.
72. Elena is the CEO of a small manufacturing
firm. She is concerned with meeting the investment objectives of the firm’s
shareholders, and sees no value in corporate social responsibility. Elena’s
attitude is
73. insupportable in the 21st century.
74. B. consistent with the views of other
critics of corporate social responsibility.
75. typical of nearly all manufacturers.
76. a reaction to regulatory directives of the
U.S. government.
77. unethical.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-01 Define conscious marketing.
Topic: Corporate Social Responsibility
Feedback: Which is the
more important corporate objective: making a profit or protecting customers,
employees, and the broader needs of society and the environment? This question
underlies a primary dilemma that marketers have long faced.
73. How might a technology company like
Appleensure that it behaves in a socially responsible way toward its employees?
74. It can pay at least minimum wage when the law
requires it.
75. It can adhere to government-mandated safety
standards in the workplace.
76. C. It can ensure that pay practices are
fair at all levels of the company.
77. It can ensure that its packaging materials are
recyclable.
78. Social responsibility isn’t relevant where
employees are concerned; they are paid for their work and that’s enough.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Corporate Social Responsibility
Feedback: Obeying the
law when it comes to minimum wage and safety isn’t sufficient to be considered
socially responsible—the firm is simply behaving legally. Using recyclable
materials would be a socially responsible practice, but it serves society (the
environment), not specifically employees. By ensuring fair pay practices,
though, Apple would be treating its employees in a socially responsible manner.
74. How might a technology company like
Appleensure that it behaves in a socially responsible way toward its customers?
75. A. It can protect the privacy of personal
information collected on its website.
76. It can adhere to government-mandated safety
standards in its stores.
77. It can ensure that it pays its employees
fairly.
78. It can ensure that its packaging materials are
recyclable.
79. Social responsibility isn’t relevant where
customers are concerned; it has to do with serving society as a whole.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Corporate Social Responsibility
Feedback: Obeying the
law when it comes to safety isn’t sufficient to be considered socially
responsible—the firm is simply behaving legally. Using recyclable materials
would be a socially responsible practice, but it serves society (the
environment), not specifically customers. Similarly, fair pay practices serve
employees, not specifically customers. Apple can exhibit socially responsible
behavior toward customers by treating their personal information with respect.
75. How might Starbucks ensure that it behaves in
a socially responsible way toward members of its supply chain?
76. It can pay its employees minimum wage as
required by law.
77. It can use cups made from recycled paper.
78. It can offer healthy drinks and snacks in its
stores.
79. D. It can purchase coffee beans from
suppliers who pay coffee growers a fair price.
80. Social responsibility isn’t relevant where
channel partners are concerned; it has to do with serving society as a whole.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Corporate Social Responsibility
Feedback: Most of
these are reasonable social responsibility initiatives, but serve stakeholders
other than channel partners. By choosing a socially responsible coffee bean
supplier and paying a fair price, Starbucks behaves in a socially responsible
manner toward its suppliers, who are part of the supply chain.
76. All of the following terms are generally
associated with the definition of corporate social responsibility except
77. voluntary.
78. stakeholders.
79. social impact.
80. environmental impact.
81. E.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-02 Describe what constitutes marketing’s
greater purpose.
Topic: Corporate Social Responsibility
Feedback: Corporate
social responsibility generally entails voluntary actions taken by a company to
address the ethical, social, and environmental impacts of its business
operations and the concerns of its stakeholders.
77. When companies embrace __________, they appeal
not only to their shareholders but also to all of their key stakeholders.
78. social media
79. B. conscious marketing
80. CSR
81. profit sharing
82. conscious advertising
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Stakeholders effect on Marketing Strategy
Feedback: When
companies embrace conscious marketing, they appeal not only to their
shareholders but also to all of their key stakeholders.
78. For corporate leaders, their firm’s ability to
___________ must be of paramount importance.
79. balance profits and expenses
80. balance employees’ needs with the needs of the
environment
81. C. balance shareholder interests with the
needs of society.
82. benefit shareholders only
83. make a profit
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 3 Hard
Learning Objective: 04-01 Define conscious marketing.
Topic: Ethical Decision Making
Feedback: For
corporate leaders, their firm’s ability to balance the needs of various
stakeholders—while building and maintaining consumer trust by conducting
ethical, transparent, clear transactions that have a positive impact on society
and the environment—must be of paramount importance.
79. All of the following are questions posed in
the ethical decision-making metric except
80. Would I want to see this action described on
the front page of the local paper?
81. B. Will this action help advance my career?
82. Would the person I admire most engage in this
activity?
83. Can I give a clear explanation for my action?
84. Will I be able to look at myself in the mirror
and respect what I see?
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
Feedback: The ethical
decision-making metric poses a set of questions to help make ethical business
decisions. All of the questions listed are part of the metric except for
wondering if an action will help further one’s career.
80. When integrating conscious marketing into a
marketing strategy, a key task is to ensure that all managers are evaluated on
their actions from a conscious marketing perspective.This action would take
place during which stage of the strategic marketing planning process?
81. brainstorming phase
82. planning phase
83. implementation phase
84. D. control phase
85. revision phase
AACSB: Ethics
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Role of Ethics in Marketing
Feedback: During the
control phase of the strategic marketing planning process, managers must be
evaluated on their actions from a conscious marketing perspective. Systems must
be in place to check whether each conscious marketing issue raised in the
planning process was actually successfully addressed.
Essay Questions
81. Burt’s Bees mission is to be an “Earth
Friendly, Natural Personal Care Company.” As part of that mission, Burt’s Bees
has a “Zero Waste to Landfill” initiative. During which phase of the strategic
marketing planning process would this initiative be pursued?
The initiative would
need to be discussed during the implementation phase, which is when firms
identify potential markets and discuss how to successfully deliver the four Ps.
AACSB: Ethics
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Ethical Decision Making
82. Identify how a company might evaluate whether
or not to support the United Way, a program that collects donations and distributes
them to a wide range of charities.
If a company decides
to support the United Way, it must ensure that the charities it supports will
benefit the firm’s various stakeholders identified in Exhibit 4.3 (employees
and their families, current and potential customers, partners, competitors, the
community, and the environment).
AACSB: Analytical Thinking
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Stakeholders effect on Marketing Strategy
83. The CEO of your firm, a distributor for a
domestic beer manufacturer, has asked you to take on a special project. She has
been hearing about a growing trend toward corporate social responsibility, but
she wonders if this is a reasonable investment for the firm. Outline the costs
and benefits in general terms and draw your own conclusion for her
consideration.
A number of options
could be considered, but the student should focus on ways in which the
distributor could serve the different stakeholders identified in Exhibit 4.3
(employees and their families, current and potential customers, partners,
competitors, the community, and the environment). As the company is a beer
distributor, the student can bring in issues associated with alcoholic
consumption and/or recycling and green marketing considerations.
AACSB: Analytical Thinking
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Corporate Social Responsibility
84. Paul wants to work for a firm that
demonstrates corporate social responsibility. Draw up a list of questions Paul
could use in an interview to determine the level of commitment of potential
employers.
The student should include
questions addressing the ways in which the firm serves the various stakeholder
groups identified in Exhibit 4.3 (employees and their families, current and
potential customers, partners, competitors, the community, and the
environment).
AACSB: Analytical Thinking
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Corporate Social Responsibility
85. How would you distinguish a firm that
practices corporate social responsibility from one that practices conscious
marketing?
Although CSR is an
important element of conscious marketing, it is not the same thing. The student
should cite examples from Exhibit 4.2: How Conscious Marketing Differs from
CSR.
AACSB: Ethics
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-03 Differentiate between conscious
marketing and corporate social responsibility.
Topic: Corporate Social Responsibility
86. When marketers work in controversial or
polluting industries such as tobacco or fossil fuels, their central activities
largely bar them from becoming conscious marketers. How might they engage in
CSR in an effort to mitigate the damage that their products cause?
When marketers work in
controversial or polluting industries such as tobacco or fossil fuels, their
central activities largely bar them from becoming conscious marketers. However,
they might engage in CSR in an effort to mitigate the damage that their
products cause, such as when cigarette companies sponsor public information
campaigns or oil companies plant trees to balance out their carbon footprint.
In addition, these companies might undertake efforts in other sectors, such as
donating time in local communities or guaranteeing fair wages, because they
recognize the importance of such socially responsible efforts.
AACSB: Knowledge Application
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-02 Describe what constitutes marketing’s
greater purpose.
Topic: Corporate Social Responsibility
87. Avoiding a GMO label might help companies sell
more of their products. Thus far, many food manufacturers seem to be fighting
GMO labeling. However, in 2014 General Mills decided to make some of its
products, such as Cheerios, completely free of GMOs, and Whole Foods has
committed to issuing labels, by 2018, on all GMO-containing foods it sells. Who
are the stakeholders in this situation?
The stakeholders in
this situation are diverse—they include farmers, consumers, manufacturing
companies, shareholders, retailers, and the environment.
AACSB: Knowledge Application
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Stakeholders effect on Marketing Strategy
88. Distinguish between business ethics and marketing
ethics.
Business ethics is
concerned with distinguishing between right and wrong actions and decisions
that arise in a business setting, according to broad and well-established moral
and ethical principles that might arise in a business setting, and any special
duties or obligations that apply to persons engaged in commerce. Marketing
ethics, in contrast, examines ethical situations that are specific to the
domain of marketing, including societal, global, or individual consumer issues.
AACSB: Ethics
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-01 Define conscious marketing.
Topic: Role of Ethics in Marketing
89. Paulo, owner of a local plumbing repair
company, wants to improve his company’s reputation for corporate social
responsibility. What could Paulo do?
Corporate social
responsibility includes a firm’s voluntary actions to address ethical, social,
and environmental impacts of its business operations and concerns of
stakeholders. Answers will vary, but a plumbing repair company could volunteer
to help with a Habitat home, assist with community efforts to help poor or
elderly homeowners, provide a free seminar on how consumers can avoid being
taken advantage of, or offer to replace aging lead pipes in public buildings at
cost.
AACSB: Analytical Thinking
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-02 Describe what constitutes marketing’s
greater purpose.
Topic: Corporate Social Responsibility
90. After a series of embarrassing and
unprofessional actions by her marketing team, Ming wants to ethically align
personal and corporate goals within her firm. What general and specific actions
will she need to take?
To align personal and
corporate goals, firms need to have a strong ethical climate exemplified by the
actions of corporate leaders and filtered through an ethically based corporate
culture. There should be explicit rules for governing transactions; these rules
should include a code of ethics and a system for rewarding and punishing
inappropriate behavior.
AACSB: Ethics
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-06 Describe how ethics constitute an
integral part of a firm’s conscious marketing strategy.
Topic: Ethical Issues in Marketing
91. Funeral home businesses have been criticized
for accepting payments from medical parts companies for assisting them in
finding families who would allow materials to be harvested from deceased family
members. Though not illegal, the payments raised ethical questions. How should
the funeral industry go about addressing these questions?
Answers will vary. The
industry could use the ethical decision-making framework, which includes four
steps:
·
Identify issues: What
are the issues?
·
Gather information and
identify stakeholders: How widespread is the practice? Which groups are raising
questions? What are their concerns?
·
Brainstorm and
evaluate alternatives: Should the payments be banned? Should they be made known
to donating families? Should they be shared with donating families? Other
alternatives?
·
Choose a course of
action: Should the choice be industry-wide or left to individual firms?
AACSB: Ethics
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
92. As stated in your text, conscious marketing
encompasses four overriding principles. Which do you feel is the most
important, and why?
Answers will vary, but
will should include discussion of one of the following principles: recognition
of marketing’s greater purpose; consideration of stakeholders and their interdependence;
the presence of conscious leadership, creating a corporate culture; or the
understanding that decisions are ethically based.
AACSB: Ethics
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 04-01 Define conscious marketing.
Topic: Role of Ethics in Marketing
93. Jacinta has just learned that a brand of
clothing she has been selling for years in her store is being made by workers
in sweatshops, who work under inhumane working conditions and are paid
subsistence wages. Which of the questions in the ethical decision-making metric
will most likely affect her decision to discontinue the brand?
Answers may vary, but
the first test, the Publicity Test—Would I want to see this action that I’m
about to take described on the front page of the local paper or in a national
magazine?—would likely be important. Any ethical retailer would not want to be
publicly associated with selling sweatshop-made products. The Person in the
Mirror test could also be important. Could she live with herself making money
off sweatshop-made products? The Transparency Test could also affect her
decision. Could she justify not taking the brand off her shelves given the
information she has received?
AACSB: Ethics
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
94. Describe how Walmart engages in CSR efforts to
mitigate the criticism it receives for being the worst-paying company in the
United States.
The retail giant has
been widely criticized as the worst-paying company in the United States. Yet it
also engages in extensive CSR programs across the triple bottom line. It has
committed to reducing its carbon footprint (environmental performance), donates
more than $1 billion in cash and in-kind items to charitable causes per year
(social performance), and still earns strong profits (economic performance).
AACSB: Analytical Thinking
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-02 Describe what constitutes marketing’s
greater purpose.
Topic: Corporate Social Responsibility
95. Describe three ways in which corporate social
responsibility differs from conscious marketing.
Answers will vary, but
student responses should include information from Exhibit 4.2: How Conscious
Marketing Differs from CSR.
AACSB: Ethics
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-03 Differentiate between conscious
marketing and corporate social responsibility.
Topic: Role of Ethics in Marketing
96. What is the difference between government
regulation of business and corporate social responsibility?
Corporate social
responsibility is a set of voluntary efforts not required by law.
AACSB: Analytical Thinking
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-03 Differentiate between conscious
marketing and corporate social responsibility.
Topic: Corporate Social Responsibility
97. During which phase(s) of the strategic
marketing planning process are issues related to conscious marketing likely to
be addressed?
In their constant
pursuit of conscious marketing, firms can address relevant questions at each
stage of the strategic marketing planning process.
AACSB: Ethics
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 04-05 Explain how conscious leadership can
produce a conscious culture in the firm.
Topic: Role of Ethics in Marketing
98. A local deli has decided that it wants to
become more socially responsible. For three of the stakeholder groups listed in
the chapter, suggest socially responsible actions the deli could take to serve
those stakeholders.
Answers will vary
depending on the stakeholders selected for the answer. Some examples:
·
Employees: The deli
could offer additional benefits to employees, or could investigate its pay
structure to ensure that employees are paid fairly at all levels of
responsibility.
·
Community: The deli
could support a community project—perhaps donating food to a local food bank.
·
Customers: The deli
could ensure that it offers healthy dining choices on its menu.
AACSB: Analytical Thinking
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Corporate Social Responsibility
99. Describe the four steps in the ethical
decision-making framework and include some questions that should be asked in
each step.
100.Identify issues: What are the issues?
101.Gather information and identify stakeholders:
How widespread is the practice? Who are the stakeholders? Which groups are
raising questions? What are their concerns?
102.Brainstorm and evaluate alternatives: What are
the possible courses of action?
103.Choose a course of action: What are the
advantages and disadvantages of each alternative course of action? What
potential legal issues may be involved? Does the decision being made meet the
stated decision-making criteria? What are the ethical issues?
AACSB: Ethics
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 04-07 Identify the four steps in ethical
decision making.
Topic: Ethical Decision Making
100.Name at least two examples of socially responsible
behavior that you have witnessed in a company or heard about through the media.
How do these instances meet the criteria for socially responsible behavior as
outlined in the text?
Answers will vary, but
should focus on the definition of corporate social responsibility.
AACSB: Knowledge Application
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-02 Describe what constitutes marketing’s
greater purpose.
Topic: Corporate Social Responsibility
101.Briefly describe the three phases of the strategic
marketing planning process and give one example of an ethical dilemma that
might arise during each phase.
Answers will vary, but
must list the planning, implementation, and control phases of the strategic
marketing planning process and an appropriate example for each phase.
AACSB: Knowledge Application
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-06 Describe how ethics constitute an
integral part of a firm’s conscious marketing strategy.
Topic: Ethical Issues in Marketing
102.Briefly describe how CSR affects the various
stakeholder categories.
·
Employees: Perhaps the
most basic corporate social responsibility to employees is to ensure a safe
working environment, free of threats to their physical safety, health, or
well-being. In addition, firms are focusing their efforts on outreach programs
aimed at their employees’ families.
·
Customers: Firms must
respect and protect privacy in an electronic world and ensure the healthiness
of products, especially those aimed at children.
·
Marketplace: When one
firm in the industry leads the way toward CSR, its partners and competitors
often have no choice but to follow—or run the risk of not doing business or
being left behind. The initiating firm enjoys an advantage by gaining a
reputation for being on the cutting edge of CSR efforts.
·
Society: This is when
firms expend time and energy engaging in activities aimed at improving the
overall community and the physical environment.
AACSB: Analytical Thinking
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 04-04 Describe the ways in which conscious
marketing helps various stakeholders.
Topic: Corporate Social Responsibility
Category # of Questions
AACSB: Analytical Thinking
43
AACSB:
Ethics
46
AACSB: Knowledge
Application
11
AACSB:
Teamwork
2
Accessibility:
Keyboard
Navigation
80
Blooms:
Analyze
4
Blooms:
Apply
31
Blooms:
Remember
17
Blooms:
Understand
51
Difficulty: 1
Easy
18
Difficulty: 2
Medium
55
Difficulty: 3
Hard
29
Learning Objective:
04-01 Define conscious
marketing.
14
Learning Objective:
04-02 Describe what constitutes marketing’s greater
purpose.
12
Learning Objective:
04-03 Differentiate between conscious marketing and corporate social
responsibility.
10
Learning Objective:
04-04 Describe the ways in which conscious marketing helps various
stakeholders.
18
Learning Objective:
04-05 Explain how conscious leadership can produce a conscious culture in the
firm.
15
Learning Objective:
04-06 Describe how ethics constitute an integral part of a firm’s conscious
marketing strategy.
8
Learning Objective:
04-07 Identify the four steps in ethical decision
making.
25
Topic: Corporate
Social Responsibility
31
Topic: Ethical
Decision
Making
28
Topic: Ethical Issues
in
Marketing
8
Topic: Role of Ethics
in
Marketing
28
Topic: Stakeholders
effect on Marketing
Strategy
Comments
Post a Comment