CH 2

These flashcards cover key terms and concepts related to business ethics and corporate social responsibility as discussed in the lecture.

Code of Ethics

A set of guidelines prepared by a firm to provide its employees with the knowledge of what the firm expects in terms of their responsibilities and behavior.

Corporate Philanthropy

The practice of charitable giving by corporations, including cash contributions, equipment donations, and supporting employee volunteer efforts.

Corporate Social Responsibility (CSR)

The concern of businesses for the welfare of society as a whole, consisting of obligations beyond those required by law or contracts.

Deontology

A philosophy where a person follows obligations to society or individuals because upholding one's duty is ethically correct.

Ethical Issue

A situation where a person must choose from a set of actions that may be ethical or unethical.

Ethics

A set of moral standards for judging whether something is right or wrong.

Justice

What is considered fair according to prevailing standards of society; an equitable distribution of burdens and rewards.

Social Investing

The practice of limiting investments to companies that behave in accordance with the investor’s beliefs about ethical and social responsibility.

Stakeholders

Individuals or groups to whom a business has a responsibility, such as employees, customers, the general public, and investors.

Strategic Giving

The practice of aligning philanthropy and CSR with a company’s mission or goals, targeting donations to the communities where a company operates.

Utilitarianism

A philosophy that determines right or wrong based on the consequences of an action, focusing on generating the greatest good for the greatest number.