Business Ethics and Social Responsibility Practice Flashcards

Vocabulary flashcards covering the definitions of business, ethical principles, forms of business organizations, and leur roles in socio-economic development based on the lecture notes.

Business (Investopedia Definition)

An organization or enterprising entity engaged in commercial, industrial, or professional activities.

Ethics

The moral principles, values, and standards that guide the behavior and decision-making of individuals and organizations in the business world.

Honesty

Being truthful in communications and transactions.

Integrity

Acting consistently according to moral values.

Fairness

Treating all stakeholders impartially and justly.

Accountability

Taking responsibility for actions and decisions.

Respect

Valuing the rights and dignity of others.

Transparency

Being open and clear about business practices.

Social Responsibility

Considering the impact of business activities on society and the environment.

Business Ethics

The application of moral values and principles to business activities, ensuring operations are fair, honest, responsible, and lawful.

Sole Proprietorship

A business owned by one person (sole trader) who has unlimited liability for all obligations and owns all business assets.

Unlimited Liability

A condition where owners are legally responsible for all debts against the business, putting both business and personal assets at risk.

Partnership

A business owned by two (2) or more people, usually involving a legal agreement for decision-making and profit sharing.

General Partnership (GP)

A partnership where all partners share equal management responsibilities, profits, and unlimited personal liability.

Limited Partnership (LP)

Composed of at least one general partner with unlimited liability and one or more limited partners who act only as investors with limited liability.

Limited Liability Partnership (LLP)

A structure common among professionals that protects all partners from personal liability for the negligence or malpractice of other partners.

Limited Liability Limited Partnership (LLLP)

An evolution of the LP where general partners can also limit their personal liability for business obligations.

Corporation

A business with a separate legal personality from its owners, providing shareholders with limited liability.

Cooperative

A business organization owned and controlled by members for their mutual benefit, typically operating on a 'one member, one vote' basis.

Gross Domestic Product (GDP)

An economic measure to which business organizations contribute, representing the total value of goods and services produced in a country.