PRC-3 · Chapter 6 · Question 20 of 68
Which of the following is a potential consequence for a business that is exposed in the media for highly unethical practices?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) Severe reputational damage and loss of consumer trust
Explanation
Unethical behavior destroys public trust, damaging the firm's reputation, leading to lost sales, potential fines, and decreased shareholder value.
More Business Ethics MCQs
- Q22Which of the following practices generally undermines fair competition and is considered unethical?
- Q23A hiring manager interviews five candidates for a job. He ultimately hires his nephew, even though his nephew scored the lowest on the…
- Q24An IT administrator secretly reads an email from the CEO discussing a highly profitable acquisition that will be announced next week. The…
- Q25An accountant discovers that the CFO is embezzling funds. After internal reports are ignored, the accountant reports the crime to the…
- Q26While having lunch at a public restaurant, an auditor loudly discusses a client's severe financial difficulties with a friend. Which…
