MGT/312 Unit 7 Quiz — Ethics and Corruption Across Cultures

Management

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Questions (8)

The strongest objection to ethical relativism ('when in Rome') as a management stance is that:

MC1 pt

A. Practices like bribery are contested within the host culture itself and are illegal in most countries where they are common, so 'local practice' misdescribes what locals actually endorse

B. Home-country standards are objectively superior to host-country standards in all cases

C. It is impossible to learn enough about a host culture to apply its norms

D. Relativism requires abandoning all business operations abroad

In Donaldson's framework, differing customs around gift-giving, formality, and working hours would ordinarily fall within:

MC1 pt

A. Moral free space, where genuine cultural variation is legitimate and local practice deserves deference

B. Hypernorms, which hold across all cultures and cannot be locally overridden

C. Ethical absolutism, requiring uniform home-country application

D. The FCPA books-and-records provision

A manager learns that a practice in the host country is never discussed openly, is denied publicly, and is defended only in private. Under the legitimacy test this is evidence that:

MC1 pt

A. The host culture does not genuinely endorse the practice, weakening any 'this is simply how it is done here' defense

B. The practice falls securely within moral free space

C. The practice must be legal under the host country's written law

D. The manager should comply to preserve the counterpart's face

A U.S. company's local distributor pays a foreign official to expedite a contract award. The company claims it had no knowledge. Under the FCPA:

MC1 pt

A. Third-party conduct can create liability, and willful blindness toward an agent's payments is treated as knowledge

B. Liability is excluded because the FCPA reaches only direct payments by employees

C. The payment qualifies automatically as a permitted facilitating payment

D. Only the distributor can be charged, never the U.S. issuer

Which is a genuine difference between the UK Bribery Act 2010 and the U.S. FCPA?

MC1 pt

A. The UK Act covers private-to-private commercial bribery, recognizes no facilitating-payments exception, and creates a corporate 'failure to prevent' offense defended only by adequate procedures

B. The UK Act applies exclusively to companies incorporated in the United Kingdom with no extraterritorial effect

C. The UK Act contains a broad facilitating-payments exception absent from the FCPA

D. The FCPA imposes no books-and-records or internal-controls obligations

Which questions belong in a defensible analysis of a cross-cultural ethical conflict? (Select all that apply.)

Multi2 pts

A. Is the practice acceptable only because of the host country's relative stage of economic development?

B. Is it possible to do business in that country without the practice?

C. Does the practice violate a core human value, and is it contested within the host culture?

D. Could the decision withstand publication on the front page in both countries?

E. Would refusing the practice reduce this quarter's revenue?

Distinguish hypernorms from moral free space, giving one original example of each, and explain why a manager needs both concepts rather than a single universal standard.

Text4 pts

You must refuse a practice that your host-country counterpart considers ordinary and legitimate. Explain how you would communicate that refusal so it preserves the relationship and the counterpart's face, and why framing it as moral superiority would fail.

Text4 pts

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