Having a Code of Ethics Ensures Ethical Business Behavior

question 17

True/False

Having a code of ethics ensures ethical business behavior.

Understand the concept of corporate social responsibility and its dimensions.

Identify the differences between legal compliance and voluntary commitments in business ethics.

Recognize the role of corporate governance in ethical corporate management.

Discriminate between different stakeholders and their roles within corporate social responsibility.

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Definitions:

Oppression Remedy

Legal relief available to shareholders or members of a corporation when their rights are unfairly prejudiced or disregarded by others in power within the company.

Derivative Action

A legal mechanism allowing a shareholder to sue or take legal action on behalf of a corporation to protect the corporation's interests.

Shareholders' Agreement

A contract among a company's shareholders describing how the company should be operated and the shareholders' rights and obligations.

Corporation Law

A body of law governing the formation, operation, and dissolution of corporations.