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CHAPTER 2 SOCIAL, ETHICAL AND LEGAL RESPONSIBILITIES OF SALES PERSONNEL I. MANAGEMENT'S SOCIAL RESPONSIBILITIES A. Organizational Stakeholders 1. Stakeholder – any groups within or outside the organization that has a stake in the organization's performance. B. An Organization's Main Responsibilities 1. Economic responsibilities 2. Legal responsibilities 3. Ethical responsibilities 4. Discretionary responsibilities a. Discretionary Responsibility – highest criterion of social responsibility that is purely voluntary and guided by a company's desire to make social contributions not mandated by economics, law, or ethics. C. How To Demonstrate Social Responsibility II. WHAT INFLUENCES ETHICAL BEHAVIOR? A. The Individual's Role 1. Level one: Preconventional – individual who acts in his or her own best interests and thus follows rules to avoid punishment or receive rewards; they will break moral and legal laws if they conflict with what this type of person perceives as his or her best interests.
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2. Level two: Conventional – individual who conforms to the expectations of others, such as family, friends, employer, boss, society; upholds moral and legal laws. 3. Level three: Principled – individual who lives by an internal set of morals, values, and ethics; these are upheld regardless of punishments or majority
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This note was uploaded on 02/01/2012 for the course MGMT 405 taught by Professor Drucker during the Fall '97 term at Radford.

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