Management 300 Study Guide
Management 300
Chapter 1
Vocabulary
Impartial – must regard the interests of everyone, including ourselves, as equally worthy of consideration and give all interest equal weight in deciding what to do
Organizations – a hierarchical system of functionally defined positions designed to achieve some goal or set of goals
Businesses – economic organizations that operate within a framework of law
Utility – demand for the output is determined by preferences of individual consumers who select from among the available goods and services so as to maximize the satisfaction of their preferences
Role – structured set of relationships accompanying rights and obligations
Fiduciaries – a person who has been entrusted with the care of another’s property or assets and who has a responsibility to exercise discretionary judgment in this capacity solely in this other person’s interest
Agent – a party who has been engaged to act on behalf of another, called the principal
Notes
Moral point of view
Willingness to seek out and act on reasons
“The course of action which is supported by the best reasons”
Impartial
Opposite of being purely self-interested
Morality involves a shared set of rules that can be observed by everyone
An integrated Approach – economic, legal and moral
Economic
Managers must make economically sound decisions that achieve the objectives of the organization and produce with the greatest efficiency
Legal
Law provides all the guidance that a manager needs
Constitutes the basic framework within which economic activity is conducted
Must be aware of the law in order to avoid regulations
Moral
What is right from a moral point of view is generally relevant to making good business decisions
The ideal resolution is not a trade-off between ethics and other considerations, the outcome is ethical while satisfying the legitimate demands of economic performance and a company’s legal obligations
Two Distinguishing Features
Economic –
Chapter 1
Vocabulary
Impartial – must regard the interests of everyone, including ourselves, as equally worthy of consideration and give all interest equal weight in deciding what to do
Organizations – a hierarchical system of functionally defined positions designed to achieve some goal or set of goals
Businesses – economic organizations that operate within a framework of law
Utility – demand for the output is determined by preferences of individual consumers who select from among the available goods and services so as to maximize the satisfaction of their preferences
Role – structured set of relationships accompanying rights and obligations
Fiduciaries – a person who has been entrusted with the care of another’s property or assets and who has a responsibility to exercise discretionary judgment in this capacity solely in this other person’s interest
Agent – a party who has been engaged to act on behalf of another, called the principal
Notes
Moral point of view
Willingness to seek out and act on reasons
“The course of action which is supported by the best reasons”
Impartial
Opposite of being purely self-interested
Morality involves a shared set of rules that can be observed by everyone
An integrated Approach – economic, legal and moral
Economic
Managers must make economically sound decisions that achieve the objectives of the organization and produce with the greatest efficiency
Legal
Law provides all the guidance that a manager needs
Constitutes the basic framework within which economic activity is conducted
Must be aware of the law in order to avoid regulations
Moral
What is right from a moral point of view is generally relevant to making good business decisions
The ideal resolution is not a trade-off between ethics and other considerations, the outcome is ethical while satisfying the legitimate demands of economic performance and a company’s legal obligations
Two Distinguishing Features
Economic –