Chapter 1 Establishing a Framework for Business Communication

Chapter 1—Establishing a Framework for Business Communication

TRUE/FALSE

1. People communicate to satisfy needs in both their work lives and private lives.

ANS: T PTS: 1 DIF: Fact REF: p. 4 OBJ: 1-1 NAT: AACSB Communication: Interpersonal

2. A major purpose in communication is to help people feel good about themselves and their friends, groups, and organizations.

ANS: T PTS: 1 DIF: Fact REF: p. 4 OBJ: 1-1 NAT: AACSB Communication: Interpersonal

3. Three basic purpose of communication are to feel, sense, and influence.

ANS: F PTS: 1 DIF: Fact REF: p. 4 OBJ: 1-1 NAT: AACSB Communication: Interpersonal

4. If the sender uses words the receiver does not understand, the receiver will have difficulty encoding the message.

ANS: F PTS: 1 DIF: Fact REF: p. 5-7 OBJ: 1-2 NAT: AACSB Communication: Theory

5. The sender’s primary objective is to decode the message so that the message received is as close as possible to the message that is sent.

ANS: F PTS: 1 DIF: Fact REF: p. 5-7 OBJ: 1-2 NAT: AACSB Communication: Theory

6. While the sender of a message is responsible for effective encoding and the receiver for effective decoding, both have responsibility for addressing interferences.

ANS: T PTS: 1 DIF: Application REF: p. 5-9 OBJ: 1-2 NAT: AACSB Communication: Theory|AACSB Critical Thinking

7. Barriers, or interferences, to communication can be completely overcome by skilled communicators.

ANS: F PTS: 1 DIF: Application REF: p. 7-8 OBJ: 1-2 NAT: AACSB Communication: Theory|AACSB Critical Thinking

8. A person’s self-talk that takes place within the person is referred to as interpersonal communication.

ANS: F PTS: 1 DIF: Fact REF: p. 14-15 OBJ: 1-3 NAT: AACSB Communication: Theory|AACSB Communication: Interpersonal

9. Upward communication from lower organizational levels to management involves risk since it is generally feedback to downward communication.

ANS: T PTS: 1 DIF: Application REF: p. 13 OBJ: 1-3 NAT: AACSB Communication: Theory

10. Open, honest communication is the single most important factor in successfully creating a Total Quality Management (TQM) environment.

ANS: T PTS: 1 DIF: Fact REF: p. 14 OBJ: 1-3 NAT: AACSB Communication: Theory

11. In spite of its poor reputation, the grapevine is in reality no more or less accurate than other channels.

ANS: T PTS: 1 DIF: Fact REF: p. 10 OBJ: 1-3 NAT: AACSB Communication: Theory

12. Stakeholders are those affected by decisions and can include people inside and outside the organization.

ANS: T PTS: 1 DIF: Fact REF: p. 17 OBJ: 1-4 NAT: AACSB Ethics

13. While all actions that are ethical are legal, some actions that are legal may not be ethical.

ANS: F PTS: 1 DIF: Application REF: p. 20-22 OBJ: 1-4 NAT: AACSB Ethics|AACSB Critical Thinking

14. A limitation of language translation is that some words do not have an equivalent meaning in another language.

ANS: T PTS: 1 DIF: Fact REF: p. 26 OBJ: 1-4 NAT: AACSB Diversity

15. Though people around the world speak different languages, nonverbal communication, such as gestures and facial expressions, generally has the same meanings to all cultures.

ANS: F PTS: 1 DIF: Fact REF: p. 26 OBJ: 1-4 NAT: AACSB Diversity

16. An ethnocentrist is a person who refuses to develop sensitivity to other cultures.

ANS: T PTS: 1 DIF: Application REF: p. 25 OBJ: 1-4 NAT: AACSB Diversity

17. Email is generally a more time efficient communication channel than the phone.

ANS: T PTS: 1 DIF: Application REF: p. 30 OBJ: 1-4 NAT: AACSB Technology

18. A benefit of videoconferencing is that it restores the nonverbal elements of interpersonal communication that are lost over the telephone.

ANS: T PTS: 1 DIF: Fact REF: p. 30 OBJ: 1-4 NAT: AACSB Technology|AACSB Communication: Interpersonal

19. The passage of recent federal legislation has assured that privacy will not be threatened by technology advancements. ANS: F PTS: 1 DIF: Application REF: p. 32 OBJ: 1-4 NAT: AACSB Technology|AACSB Ethics

20. Synergy occurs when the energy of a group is diverted to nonproductive tasks.

ANS: F PTS: 1 DIF: Fact REF: p. 33-34 OBJ: 1-4 NAT: AACSB Teams

21. In successful teams, leadership is likely to be shared, which requires more direct and effective communication within the organization.

ANS: T PTS: 1 DIF: Fact REF: p. 34 OBJ: 1-4 NAT: AACSB Teams

22. While every team is a group, not every group is a team.

ANS: T PTS: 1 DIF: Application REF: p. 34 OBJ: 1-4 NAT: AACSB Teams|AACSB Critical Thinking

23. When ABC Company makes a legal decision that complies with contractual agreements, one can accurately assume that it is an ethical decision because it is legal.

ANS: F PTS: 1 DIF: Application REF: p. 20-22 OBJ: 1-4 NAT: AACSB Ethics

24. Rather than using a single strategy, spokespersons at the Centers for Disease Control have found a blend of strategies to be most effective in providing information to the public.

ANS: T PTS: 1 DIF: Application REF: p. 3 OBJ: 1-Showcase NAT: AACSB Communication: Strategy

25. Employees should set aside their own personal value systems when making ethical decisions for their companies.

ANS: F PTS: 1 DIF: Application REF: p. 16-18 OBJ: 1-4 NAT: AACSB Ethics

MULTIPLE CHOICE

1. Differences in education level, experience, and culture or distractions such as noise, uncomfortable room temperature, and interruptions are examples of a. feedback. b. interference. c. interception. d. decoding. ANS: B PTS: 1 DIF: Fact REF: p. 7-8 OBJ: 1-2 NAT: AACSB Communication: Theory|AACSB Diversity

2. Sharon, an executive traveling on an international assignment, is preparing instructions to email to her staff during the trip. Carol is in the act of a. giving feedback. b. interfering. c. encoding. d. decoding. ANS: C PTS: 1 DIF: Application REF: p. 5-6 OBJ: 1-2 NAT: AACSB Communication: Theory

3. Javon explains a new policy to his staff which prohibits the use of office computers for personal email. Several of the employees frown at the news and one staff member makes a sarcastic remark. Steve’s staff is a. giving feedback. b. interfering. c. decoding. d. encoding. ANS: A PTS: 1 DIF: Application REF: p. 7 OBJ: 1-2 NAT: AACSB Communication: Theory

4. Jeff receives an email from his boss, Sharon, who is on an international trip. As Jeff interprets the instructions from the email, he is in the act of a. giving feedback. b. interfering. c. encoding. d. decoding. ANS: D PTS: 1 DIF: Application REF: p. 7 OBJ: 1-2 NAT: AACSB Communication: Theory

5. A supervisor notices than an employee has been late to work for three days this week. What is the BEST way for the supervisor do to foster open communication? a. Call the employee to ask him or her about the lateness. b. Write the employee a disciplinary memorandum about the lateness. c. Meet with the employee face-to-face to discuss the lateness. d. Send the employee an email message about his or her lateness. ANS: C PTS: 1 DIF: Application REF: p. 6 OBJ: 1-2 NAT: AACSB Communication: Interpersonal

6. A manager is faced with having to lay off some of his staff due to financial losses that the company has suffered. Which of the following channels of communication would be the LEAST effective method for sharing the news with employees, given the sensitive nature of the message? a. A face-to-face meeting with each employee b. A well-written, empathetic letter to each affected employee c. A telephone call to each affected employee d. Electronic mail to all affected employees ANS: D PTS: 1 DIF: Application REF: p. 6 OBJ: 1-2 NAT: AACSB Communication: Interpersonal

7. Intrapersonal communication occurs when a. two people are involved in the process. b. teamwork dynamics contribute to the feedback. c. individuals from two different organizations communicate effectively. d. an individual processes information individually. ANS: D PTS: 1 DIF: Fact REF: p. 14-15 OBJ: 1-3 NAT: AACSB Communication: Interpersonal

8. Chantell is the manager of the claims department for a large insurance company. She has a one-hour meeting with her staff to explain the new claim form which the company will use next month. This is an example of which type of organizational communication? a. upward b. downward c. horizontal d. grapevine ANS: B PTS: 1 DIF: Application REF: p. 11-12 OBJ: 1-3 NAT: AACSB Communication: Theory

9. An organizational chart is a graphic representation of ____ a. informal communication channels within the organization. b. both informal and formal communication channels within the organization. c. formal communication channels within the organization. d. external communication channels utilized by the organization. ANS: C PTS: 1 DIF: Fact REF: p. 8-9 OBJ: 1-3 NAT: AACSB Communication: Theory

10. The grapevine in an organization a. is typically no more or less accurate than other channels. b. serves no necessary purpose; thus, managers should work to eliminate it. c. passes a message in single file from person to person until it finally reaches the end of the line. d. has a single, consistent source. ANS: A PTS: 1 DIF: Application REF: p. 10-11 OBJ: 1-3 NAT: AACSB Communication: Strategy

11. The ____ communication channel is created by management to control individual and group behavior and to achieve the organization’s goals. a. informal b. formal c. email d. oral ANS: B PTS: 1 DIF: Fact REF: p. 9 OBJ: 1-4 NAT: AACSB Communication: Theory

12. In downward communication management attempts to ____ activities within an organization while with horizontal communication management hopes to ____ them. a. control; coordinate b. coordinate; contain c. coordinate; control d. conduct; control ANS: A PTS: 1 DIF: Application REF: p. 11-14 OBJ: 1-4 NAT: AACSB Communication: Theory 13. A supervisor on the night shift at a manufacturing plant is told to dump chemicals used in the refining process rather than dispose of them properly according to safety regulations. The owner of the company insists that the chemicals are not harmful to the environment, but the supervisor knows that the dumping is illegal. The supervisor believes that he will lose his job if he reports the problem to authorities at the Environmental Protection Agency. This is an example of which potential cause of unethical behavior? a. obsession with personal advancement. b. excessive emphasis on profits. c. uncertainty about whether an act is wrong. d. Unwilling to stand for what is right. ANS: D PTS: 1 DIF: Application REF: p. 19-20 OBJ: 1-4 NAT: AACSB Ethics

14. Many leading figures in recent corporate scandals were never convicted of a crime. Which of the following best describes their behavior: a. Behavior that is illegal and unethical b. Behavior that is illegal, yet ethical c. Behavior that is legal, yet unethical d. Behavior that is both legal and ethical ANS: C PTS: 1 DIF: Application REF: p. 17-20 OBJ: 1-4 NAT: AACSB Ethics

15. Which of the following is FALSE concerning instant messaging (IM) in official corporate communication? a. Many U.S. firms use IM as a tool for business communication. b. In some organizations, IM is used to complement or replace email and voice mail. c. A varying number of people can log on to a chatroom and exchange ideas that other participants can see. d. Instant messaging overcomes the time barrier for geographically dispersed groups. ANS: D PTS: 1 DIF: Application REF: p. 30-31 OBJ: 1-4 NAT: AACSB Technology|AACSB Communication: Strategy

16. Which of the following are NOT barriers to intercultural communication? a. Ethnocentrism, stereotypes, and translation limitations b. Chronemics, proxemics, and kinesics c. Synergy, decentralized decision making, and cross functional teams d. All of the above are barriers ANS: C PTS: 1 DIF: Application REF: p. 25-27 OBJ: 1-4 NAT: AACSB Diversity

17. The single most important aspect of successful teamwork is a. shared leadership. b. diversity of group members. c. effective communication. d. problem solving and consensus. ANS: C PTS: 1 DIF: Fact REF: p. 34 OBJ: 1-4 NAT: AACSB Teams

18. Two or three employees working on a report at the same time using an electronic whiteboard would be an example of the use of ____ software. a. graphics b. presentation c. collaborative d. desktop publishing ANS: C PTS: 1 DIF: Application REF: p. 29-30 OBJ: 1-4 NAT: AACSB Technology|AACSB Teams

19. Which of the following guidelines about overcoming intercultural barriers is NOT appropriate? a. One should study and learn about a person’s culture. b. The person should seek help from a trusted friend who understands the other person’s culture. c. One should be patient and tolerant of ambiguity. d. One should help the other person overcome his or her cultural barriers by conforming to the new culture. ANS: D PTS: 1 DIF: Application REF: p. 28 OBJ: 1-4 | 1-Strategic Force: Viva la Difference NAT: AACSB Diversity

20. Data integrity refers to which of the following advantages of databases? a. The ability to organize large amounts of data b. The assurance that data will be accurate and complete c. The assurance that the data are secure because access to a database is controlled through several built-in data security features d. The assurance that data can be transmitted quickly and efficiently over long distances ANS: B PTS: 1 DIF: Fact REF: p. 27 OBJ: 1-4 NAT: AACSB Technology

21. The United States is comprised largely of immigrants, some of whom work to retain their traditional customs and language while still sharing in the common culture. Which of the following terms best fits the above description? a. Melting pot b. Internationalization c. Mosaic d. Globalization ANS: C PTS: 1 DIF: Fact REF: p. 23-24 OBJ: 1-4 NAT: AACSB Diversity

22. Which of the following statements about culture is true? a. Culture is inborn from the moment of birth. b. Components of culture such as value of the individual, value placed on materialism, work ethic, etc. are distinct, unrelated elements. c. Stereotyping allows one to form accurate mental pictures of the main characteristics of another group. d. None of the above statements are true. ANS: D PTS: 1 DIF: Fact REF: p. 26-27 OBJ: 1-4 NAT: AACSB Diversity

23. Which of the following is true of personal space requirements? a. The study of space requirements is known as chronemics. b. In the United States culture, very little personal space is expected or required as compared to other cultures of the world. c. Space operates as a language, just as time does. d. All of the above statements are true. ANS: C PTS: 1 DIF: Fact REF: p. 26 OBJ: 1-4 NAT: AACSB Diversity|AACSB Communication: Interpersonal

24. Which of the following statements about language translation is FALSE? a. A translator must work with thoughts in two languages. b. Words in one language may not have equivalent meanings in some other languages. c. Cultural barriers can affect the accuracy of language translation. d. People generally resent the simple efforts of a person of another culture to learn a few common phrases in the new language. ANS: D PTS: 1 DIF: Fact REF: p. 26-27 OBJ: 1-4 NAT: AACSB Diversity|AACSB Communication: Interpersonal

25. Which of the following is FALSE concerning the diverse workplace? a. The increased number of women in the workplace has decreased the incidence of sexual harassment charges. b. Age diversity can lead to misunderstandings due to various differences in perceptions, values, and communication styles of the generations. c. People from different backgrounds invariably bring different values, attitudes, and perceptions to the workplace. d. Several generations will be required for us to learn to deal effectively with an ethnically diverse workforce. ANS: A PTS: 1 DIF: Application REF: p. 24 OBJ: 1-4 NAT: AACSB Diversity

26. Which of the following best describes the common attitude that those from the U.S, Canada, and northern Europe have about the concept of time? a. Time is money. b. The early bird gets the worm. c. Time is like air. d. Important things take more time than unimportant things. ANS: A PTS: 1 DIF: Fact REF: p. 26 OBJ: 1-4 NAT: AACSB Diversity

27. In confronting the international problems caused by lack of language training, the MOST useful advice for North Americans is to a. be glad that English is used so widely for business transactions and not be overly concerned with the need for knowing other languages. b. try to acquire second language skills if possible, or at least learn a few words in the language of your audience. c. expect business representatives of other countries to know English. d. always travel with an interpreter. ANS: B PTS: 1 DIF: Application REF: p. 26-27 OBJ: 1-4 NAT: AACSB Diversity|AACSB Critical Thinking

28. You are faced with a work-related ethical dilemma. In deciding what action to take, you would: a. Check the company code of ethics to see if the action is prohibited. b. Check legal implications and the company code of ethics, and then decide if the action is personally ethical. c. Check with colleagues to see if they would take the action. d. Check the legal implications and feel free to take the action if it is not illegal. ANS: B PTS: 1 DIF: Application REF: p. 20-22 OBJ: 1-4 NAT: AACSB Ethics

29. Ramona wants a colleague in another building to read the final revision of the report they wrote collaboratively. She then wants it distributed throughout the plant to seven managers for their comments prior to its presentation in two days. What is the most efficient media to accomplish these two tasks? a. Fax machine b. Memorandums c. email d. Teleconferencing ANS: C PTS: 1 DIF: Application REF: p. 30 OBJ: 1-4 NAT: AACSB Technology|AACSB Communication: Strategy

30. Which of the following statements is FALSE concerning privacy? a. Most Americans feel they have less privacy today than ever. b. Technology has made protection of copyright easier. c. Electronic technology makes the sharing of information globally easier and at times without the consent of the information’s owner. d. A recent Harris poll revealed that over half of the people believe that technology must be controlled to preserve privacy. ANS: B PTS: 1 DIF: Application REF: p. 31-32 OBJ: 1-4|1-Strategic Force|1-Is Anything Private? NAT: AACSB Technology|AACSB Ethics

31. Which of the following is FALSE concerning teams? a. A group must go through a developmental process to begin functioning as a team. b. Team members need training in problem solving, goal setting, and conflict resolution. c. The self-directed work team can become the basic organizational building block to help assure success in dynamic global competition. d. Skills for successful participating in team environments are the same as those for success in traditional organizations. ANS: D PTS: 1 DIF: Fact REF: p. 33-35 OBJ: 1-4 NAT: AACSB Teams

32. Which of the following is typically true of work teams? a. Although the concept of work teams has been widely used in the U.S. for some time, it has not gained significant support in other countries. b. Work teams occasionally experience a drain on their collaborative energy; this drain is referred to as synergy. c. Employees in a self-directed work team handle a wide array of functions and work with a minimum of direct supervision. d. Work team members typically set their own goals without management input and plan how to work to achieve those goals. ANS: C PTS: 1 DIF: Application REF: p. 33-34 OBJ: 1-4 NAT: AACSB Teams

33. Communication in successful work teams a. is the same as the process of communication in traditional organizations. b. is affected primarily by trust building and shared leadership. c. places reduced emphasis on listening, problem solving, and conflict resolution. d. replaces vertical information flow with horizontal flow. ANS: B PTS: 1 DIF: Application REF: p. 34 OBJ: 1-4 NAT: AACSB Teams|AACSB Communication: Theory

34. In a distributed leadership team environment, the role of the leader is BEST described as a. the leader remaining in the position until the team is dissolved. b. any member of the team becoming the leader at various times. c. a non-existent role. d. the leader being dictatorial when needed. ANS: B PTS: 1 DIF: Application REF: p. 36 OBJ: 1-4 NAT: AACSB Teams

35. As one of 11 federal agencies under the Department of Health and Human Services, the CDC must coordinate its efforts to protect citizens from epidemics with the CIA, the FBI, and the Department of Homeland Security. Communication with these other agencies is an example of a. upward communication. b. downward communication. c. vertical communication. d. horizontal communication. ANS: D PTS: 1 DIF: Application REF: p. 3|p. 36 OBJ: 1-Showcase NAT: AACSB Communication: Theory

36. Which of the following issues would likely NOT be communicated to the public by the Centers for Disease Control? a. threat of bioterrorism b. information on deadly disease agents c. public health threats d. Homeland Security defense strategies ANS: D PTS: 1 DIF: Application REF: p. 3|p. 36 OBJ: 1-Showcase NAT: AACSB Communication: Strategy

37. Organizations that have shifted towards team structure typically believe that the team process will result in a. rewards based on team performance alone. b. rewards based on individual effort and team performance. c. increased mediocrity. d. reduction in personal effort. ANS: B PTS: 1 DIF: Application REF: p. 41 OBJ: 1-Case Analysis NAT: AACSB Teams

38. Which of the following would NOT be a goal of a diversity initiative program? a. Increase cultural awareness b. Increase appreciation for cultural differences c. Build rapport by finding areas of commonality d. Improve communication by minimizing cultural factors ANS: D PTS: 1 DIF: Application REF: p. 24|p. 28 OBJ: 1-Strategic Force: Viva la Difference NAT: AACSB Diversity|AACSB Communication: Strategy

39. A strategic force affecting communication is a. an influence that occasionally affects the communication environment. b. a set of conditions that simplifies the communication process. c. a challenge that can be overcome by skilled communicators. d. an impact that influences the communication process and helps to determine and define the nature of the communication that occurs. ANS: D PTS: 1 DIF: Fact REF: p. 14-16 OBJ: 1-4 NAT: AACSB Communication: Strategy

40. Which of the following is NOT an advantage of email? a. Avoid playing "telephone tag." b. Reduce expenses related to sending messages to multiple recipients. c. Achieve quick message delivery. d. Replace the need for personal conversation. ANS: D PTS: 1 DIF: Application REF: p. 30 OBJ: 1-4 NAT: AACSB Technology|AACSB Communication: Interpersonal

41. The purpose of a diversity initiative is to a. help employees learn to ignore cultural factors on the job. b. eliminate a sense of humor when dealing with cultural mistakes. c. learn to view others as individuals rather than members of stereotypical groups. d. accomplish all of the above. ANS: C PTS: 1 DIF: Application REF: p. 24|p. 28 OBJ: 1-4| 1-Strategic Force: Viva la Difference NAT: AACSB Diversity

42. Managers at XYZ Manufacturing Company believe that "the ends justify the means" and defend certain unethical acts because they are in the best financial interest of the company. This action BEST typifies which potential cause of unethical behavior? a. Expectation of not getting caught b. Uncertainty about whether an act is wrong c. Excessive emphasis on profits d. Unwillingness to take a stand for what is right ANS: C PTS: 1 DIF: Application REF: p. 19-20 OBJ: 1-4 NAT: AACSB Ethics

43. Which of the following is FALSE concerning stereotyping? a. Stereotyping interferes with the observer being able to understand the other person. b. Stereotyping is reinforced when the observer sees a behavior that conforms to the stereotype. c. Stereotyping aids in communication by categorizing cultures into distinct groups that have similarities. d. Stereotyping can occur concerning any group of people. ANS: C PTS: 1 DIF: Fact REF: p. 25-26 OBJ: 1-4 NAT: AACSB Diversity

SHORT ANSWER

1. Explain the steps in the communication process and why challenges can occur. ANS: Five steps are involved in the process: 1. The sender encodes a message. 2. The sender selects an appropriate channel and transmits the message. 3. The receiver decodes the message. 4. The receiver encodes a message (feedback) to clarify any part of the message not understood. 5. The sender and receiver remove or minimize interferences (barriers) that hinder the communication process. Breakdowns can occur at any stage of the process as limitations of the sender, receiver, or both cause incomplete or faulty communication to occur. Barriers or interferences can also cause breakdowns.

PTS: 1 DIF: Fact REF: p. 5-8 OBJ: 1-2 NAT: AACSB Communication: Theory

2. Explain the challenges involved for both the sender and the receiver in the communication process.

ANS: People communicate to inform, persuade, or to entertain using a common system of symbols, signs, and behavior. The sender selects and organizes a message in such a way that the message received is as close as possible to the message sent. Knowing the receiver’s educational level, culture, and experiences come into play when transmitting a message. The receiver is then involved in listening carefully, without distractions, to interpret the message so that it has meaning to him or her. Both the sender and the receiver have equal responsibility to be effective in encoding and decoding the message.

PTS: 1 DIF: Application REF: p. 5-8 OBJ: 1-2 NAT: AACSB Communication: Theory|AACSB Critical Thinking

3. List six barriers to intercultural communication and provide an example of each barrier.

ANS: Six barriers to intercultural communication are:  Stereotypes: North Americans are sometimes viewed as overly friendly, blunt, and childlike.  Interpretation of time: Many Latin Americans believe that important things take more time than unimportant things.  Personal space requirements: Arab business people stand very close to each other compared to U.S. business people.  Body language: The symbol for "okay" in the U.S. means "zero" in France and a vulgarity in Brazil.  Translation limitations: The Japanese concept of "indebtedness" has no direct English equivalent.  Lack of language training: Many non-Hispanics do not speak Spanish in areas of the U.S. with a high Hispanic population.

PTS: 1 DIF: Application REF: p. 25-27 OBJ: 1-4 NAT: AACSB Diversity|AACSB Communication: Interpersonal Communication

4. Discuss the major strengths of teams.

ANS: Teams make workers happier by empowering them to shape their own jobs. Teams increase efficiency by eliminating layers of management, opening lines of communication and increasing interaction between employees and management. Teams enable a company to draw on the skills and imagination of the whole work force. Teams provide a level of expertise that is unavailable on the individual level. Teams help companies deliver higher-quality products or services at faster speeds and lower costs.

PTS: 1 DIF: Application REF: p. 33-34 OBJ: 1-4 NAT: AACSB Teams|AACSB Critical Thinking

5. Email and instant messaging are common ways to communicate informally in an organization. How could cultural differences influence the effectiveness of electronic channels? In what ways could management help employees avoid potential communication problems?

ANS: Email and instant messaging frequently uses an informal language and "tone" that would be similar to a conversation. Although the message is verbal, the nonverbal message is missing. The encoder may intend the message to be humorous, but the decoder may interpret it as sarcastic. This problem of interpretation is a possibility regardless of cultural differences. When factors of cultural are added to the communication picture, possibilities of misunderstandings increase with these electronic channels. Idioms, regional references, slang, and soon may be misinterpreted by those who are not from the same culture. An organization can help employees reduce cultural misunderstandings by training employees in the appropriate use of language for business email and instant messaging.

PTS: 1 DIF: Application REF: p. 22-30 OBJ: 1-4 NAT: AACSB Diversity|AACSB Technology|AACSB Critical Thinking

6. Illustrate and explain four ethical dimensions of business behavior; give two examples of behaviors that fit each dimension.

ANS: Dimension 1 Behavior that is illegal and unethical Dimension 2 Behavior that is illegal, yet ethical Dimension 3 Behavior that is legal, yet unethical Dimension 4 Behavior that is both legal and ethical

Student views as to what is ethical will vary. Examples can include situations similar to the following:

Dimension 1 An employee stealing merchandise from the company he works for. An employee altering accounting records to hide money stolen from a business.

Dimension 2 A physician accepting a $100 gift from a pharmaceutical representative. A manager telling an employee not to buy a new house when the company has not yet made public that a layoff is coming.

Dimension 3 A person in a management position having an affair with a subordinate. An employer reading personal email generated by an employee.

Dimension 4 An employer firing an employee who is failing to do his/her job. A manager who gives a pay raise to her most productive workers.

PTS: 1 DIF: Application REF: p. 20-22 OBJ: 1-4 NAT: AACSB Ethics|AACSB Critical Thinking CASE

1. Ethical Dilemma in Publishing

Laurence heads the advertising department for a chain of local weekly newspapers. His friend, who writes news, shared an upcoming news story to be printed in the next edition. The story discloses that a local quick oil change firm has been cited for illegally dumping used oil and that customers have alleged that they paid for oil changes that were not made. As a major advertising client, the oil change firm is placing a full-page ad that mentions its environmentally safe handling methods and trustworthy service. Answering the six questions in the Pagano Model, help Laurence decide what action, if any, he should take.

ANS: The Pagano Model includes the following questions for determining legal/ethical response: 1. Is the proposed action legal? Laurence knows there is a conflict in what the reporter has written and what the client claims. Laurence should encourage his reporter friend to check that sources were reliable and make the publisher aware of the conflict. 2. What are the benefits and costs to the people involved? The client’s reputations would be harmed if the illegal actions are reported. The public deserves to know the truth. The paper would lose the revenue from the client if the ad is not accepted. 3. Would you want the action to be a universal standard? If other parties accepted gain from enterprises they knew operated unethically, there would be no purpose in behaving ethically. Businesses would be encouraged to do what is wrong. 4. Does the action pass the light-of-day test? Readers would view the contradiction in reporting and published ads as a mixed message about the importance of ethical behavior. 5. Does the action pass the Golden Rule test? Most people would not want to be misguided about the social responsibility of an unethical firm. 6. Does the action pass the ventilation test? A friend would likely say that the desire to earn money from the sale of the ad should not overrule the need to report fairly.

PTS: 1 DIF: Application REF: p. 21-22 OBJ: 1-4 NAT: AACSB Ethics|AACSB Critical Thinking