Asmita’s

Ethical & Social Dimension

Of Business

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Bijaya Gopal Shrestha

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A complete Solution for the Chapter end Questions of Business
Ethics & Social Responsibility

Prepared by
Aniket Timalsena
BBA 7th Semester
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Mahendra Morang Adarsha Multiple Campus

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Ethics

Contents
Chapter 1 Introduction 2
Brief Questions 2
1. Define business ethics 2
2. Importance of business ethics. 2

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3. Myths about business ethics 2
4. What is meant by moral reasoning in ethics? 3
5. What is Milton Friedman’s proposition about CSR? 3

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6. What is Code of conducts? 3
7. What is code of ethics? 3
8. Write differences about ethics and morality. 4

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9. Mention the domains of CSR 4
10. Write the reasons for increasing the Relevancy of CSR. 4
Short answer questions
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1. Many aspects of business ethics and CSR seem as overlapping. Describe those
4

overlapping elements and separate identities. 4

2. Critically evaluate the proposition that business ethics is an oxymoron. 5
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3. “There is a symbiotic relationship between business and society.” Give your logics to
this statement highlighting CSR. 6
4. Only by the law and regulations, it cannot govern business to make ethical and socially
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responsible. Elucidate this reality. 7

Chapter 2 Ethical Issues and Dilemmas 8
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Brief answer questions 8

1. What are the popular stages of money laundering process? 8
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2. What is meant by Whistle-blowing? 8

3. What is Glass ceiling and Bamboo ceiling regarding discrimination? 8
4. Write any two mechanisms to manage office romance. 8
5. What is meant by Sexual Harassment? 9
6. Why Trade Mark Infringement can be considered as unfair competition? 9
7. What is conflict of interest? 9
8. Give the meaning of Caveat Emptor. 9
9. What is Corporate Intelligence? 9
 Short Answer Questions 10
1. “Understanding the concept of ethical issues and ethical dilemma is a first stage to
minimize corporate ethical misconduct.” Describe this statement. 10
2. The problem of just wage is serious ethical issue in developing economy. Elucidate with
instances. 10
3. Discuss demand and supply side of bribery. Is the issues of bribery is only the problem in
developing economy? 11
4. Describe the ethical issues and dilemma associated with marketing management. 12

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5. Discuss the dangers of money laundering. How the banking regulation can control such
ethical issues. 13
Chapter-3 Ethical Theories 14

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Brief Answer Questions 14
1. What are the branches of normative ethical theories? 14
2. What is Scholasticism? 14
3. Write different subsets of applied ethics? 14

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4. What is meant by Categorical Imperative as per Kantian ethics? 15
5. What is Utilitarianism? 15
6. What is the main focus of Leviathan?
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7. What is main focus of Divine Command Ethics? 15
8. What do you know about the Golden Mean? 15
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9. Write the dictionary meaning of Machiavelli. 16
Short Answer Questions 16
1. Describe Scholasticism as a medieval learning pedagogy. 16
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2. Describe the contrasting features of Kantian Ethics and Utilitarianism of Bentham and
Mill. 16
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3. Explain the Virtue ethics highlighting the significance of Golden Mean in human character.
17
4. Explain the “state of nature” as postulated by Thomas Hobbes. 17
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Chapter 4 Application of Ethical Standards 19

Brief Answer Questions 19
1. Make a list of major duties of manufacturers? 19
2. What do you know about "The Right to be informed"? 19
3. Differentiate the two terms: boycotts or buycotts? 19
4. Are there any differences between "Privacy" and "Confidentiality"? Write in brief. 19
5. What do you know about Ethical Consumption? 19
 6. Write in bullets about the environmentally friendly packaging. 20
7. What do you know about the "Surrogate Advertising"? 20
8. What do you know about the concept of "Window Dressing" in financial reporting? 20
9. What are the possible ethical lapses in Capital Market? 20
Short Answer Questions 21
1. Describe the argument of Ethical Relativism with respect to the ethical standard. To what
extent you are agreed with the arguments? 21
2. Why ethical standards are more challenging to manufacturing business than trading

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business? 21
3. What are the ethical norms that are to be considered in Brand management? 22
4. Though financial institutions are the most heavily regulated business in the world, there

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exist many cases of misappropriations. Elucidate with example. 23
5. Discuss the possible ethical complaints that are associated with advertisement and
communication. 23
Chapter 5 Strategic Context of CSR 25

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Brief Answer Questions 25
1. Make a distinction between Strategic and Altruistic CSR. 25
2. What are the five driving forces of CSR?
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3. Write about compliance-driven CSR strategy. 25
4. What are the stages that should follow while making a strategy for strategic CSR? 25
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5. What are the internal environmental factors that should be considered for the strategic
CSR? 26
6. How do you interpret the term "Sustainability" regarding strategic CSR? 26
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7. What are the major concerns of Moral Principles of CSR? 26

8. State briefly the relationship between "Triple - P" concept and Strategic CSR. 26
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9. What is cause-marketing? Is it strategic CSR? 27

Short Answer Questions 27
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1. Describe strategic CSR by linking with Friedman's proposition? 27

2. 'Driving forces of CSR may vary based on the company characteristics. Do you agree with
this statement? 28
3. Why do Small and Medium-scale Enterprises (SMEs) have also to be committed with
CSR? 29
4. "Responsibility is the price of Greatness" Analyze this quotation of Winston Churchill by
linking with CSR. 29
 5. The success of strategic CSR depends largely on the correct situational analysis of the
firm. Present your argument. 30
Chapter 6 Business Ethics and CSR in Nepal 32
Brief Answer Questions 32
1. Make a list of five issues to elucidate the ethical lapses in Nepalese firms. 32
2. Write any four corporate malpractices you have seen in Nepal. 32
3. Explain about the main causes of ethical lapses in business environment of Nepal. 32
4. Multinational company affiliated businesses in Nepal seem to relatively have good CSR

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practices. Exemplify to support this argument. 33
5. Write about the main view of NBI with respect to the CSR. 33
6. What effort had FNCCI made focusing the ethical business in Nepal? 33

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 Chapter 1 Introduction

Brief Questions

1. Define business ethics

Business ethics is a set of moral guidelines that a company follows in order to
ensure that it is acting in a fair and responsible manner. It involves considering

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the impact of decisions on a wide range of stakeholders, such as customers,
suppliers, employees, shareholders, the environment, and society as a whole.
Business ethics helps to ensure the long-term sustainability of a business by

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creating trust between the company and its stakeholders.

2. Importance of business ethics.

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Importance of business ethics are:

● Improved Reputation त
● Increased Profitability

● Increased Employee Satisfaction

● Positive Brand Image

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● Competitive Advantage

● Improved Employee Morale

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3. Myths about business ethics

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The myths are:

● Business ethics is oxymoron

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● Being ethical is easy

● Ethics cannot be managed

● Business ethics and social responsibility are same things

● Being legal is being ethical

● Hiring ethical employees makes the company ethical

 ● The business of the business is business

4. What is meant by moral reasoning in ethics?

Moral reasoning in ethics is the process of making decisions about what is right
and wrong, and determining the best course of action for a particular situation. It
involves considering the consequences of different actions, assessing the moral
value of different choices, and understanding the reasoning behind moral

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precepts. Moral reasoning involves both the application of moral principles and
the use of critical thinking to arrive at a reasoned judgment.

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5. What is Milton Friedman’s proposition about CSR?
Milton Friedman’s proposition about Corporate Social Responsibility (CSR) is that
the only social responsibility of business is to increase its profits, as long as it

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does so within the rules of the game. Friedman argued that businesses should
not be expected to take responsibility for broader social issues, as that is the
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responsibility of the government and citizens.

6. What is Code of conducts?

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Code of conduct is a set of guidelines and principles that a group of people or an
organization uses to regulate behavior. It is important for any group to have a
code of conduct in place to help ensure its members are aware of their
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responsibilities and that they are following the rules. A code of conduct helps
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maintain order, promote fairness and respect, and ensure the safety of all
involved. It also serves as a reference for members to ensure that their actions
do not violate the group’s values or standards.
अ

7. What is code of ethics?

Code of ethics is a set of principles that helps guide the behavior of an individual
or organization. It outlines expectations for how people should conduct
themselves in a variety of situations and provides guidance on how to handle
ethical issues. It is often used to help ensure that individuals or organizations
adhere to a set of standards that are beneficial for everyone involved.
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8. Write differences about ethics and morality.
Ethics Morality
1) Ethics is a system of rules and principles 1) Morality is the guiding principle that helps to
used to guide moral decisions distinguish right from wrong
2) Ethics is a system of laws and regulations 2) Morality is an individual's beliefs and values
3) Ethics is more concerned with the 3) Morality is more focused on the action itself
consequences of a decision

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4) Ethics is a social construct 4) Morality is more personal and subjective
5) Ethics is based on external standards 5) Morality is based on internal standards

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9. Mention the domains of CSR
The domains of CSR are

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● Four domains argued by Carroll

● The Triple Bottom Line, Suggested by Elkington

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● Three Domain model, argued by Schwartz and Carroll

10. Write the reasons for increasing the Relevancy of CSR.

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The reasons for increasing the Relevancy of CSR are:

● The tragedy of the commons

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● Complaints facing the companies

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● Firm based positivity of CSR

Short answer questions

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1. Many aspects of business ethics and CSR seem as overlapping.

Describe those overlapping elements and separate identities.
Business ethics and Corporate Social Responsibility (CSR) overlap in that they
both focus on the ethical responsibilities of businesses. Business ethics typically
refers to how a company should act within the legal and moral frameworks of
 society. This includes how the company treats its customers, employees,
stakeholders, and the environment. CSR, on the other hand, is more focused on
creating a positive impact on society and the environment. This includes
initiatives such as creating sustainable products, reducing emissions, and
supporting charitable causes.

At the same time, these two concepts are distinct in that they address different
aspects of corporate responsibility. Business ethics is concerned with the moral

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and legal behavior of a company and its employees, while CSR is focused on the
positive impacts that a company can create through its activities. Thus, while

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there is overlap between business ethics and CSR, they are distinct concepts that
focus on different aspects of corporate responsibility.

2. Critically evaluate the proposition that business ethics is an oxymoron.

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The proposition that business ethics is an oxymoron implies that business and
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ethics are incompatible and that businesses cannot be ethical. This view is
difficult to sustain in light of the fact that ethical behaviour is expected of all
organisations, including businesses, and the fact that the majority of businesses
strive to adhere to ethical standards and norms.
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The idea that business and ethics are incompatible can be traced to the views of
classical economists such as Adam Smith and Milton Friedman, who argued that
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businesses should focus solely on maximising profits and that ethical

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considerations should be irrelevant to business decisions. However, this view

has been widely criticised. It is argued that businesses should not be solely profit
-focused and that ethical considerations should be taken into account when
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making business decisions. Additionally, it is argued that ethical behaviour can

benefit businesses in the long term, as it can help to build trust with customers
and other stakeholders, which can lead to increased sales and improved
reputation.

It is also important to note that there is a growing body of research that shows
that ethical behaviour is not only beneficial to businesses, but also to society as
 a whole. For example, studies have shown that businesses that adhere to ethical
standards tend to have higher employee engagement and job satisfaction, which
in turn can lead to higher productivity and better performance. Additionally,
businesses that are seen to be ethical can attract more customers, as people
tend to want to buy from companies that are seen to be ethical and responsible.

In conclusion, it is clear that business ethics is not an oxymoron and that

businesses can, and should, strive to be ethical. It is also clear that ethical

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behaviour can be beneficial to businesses, their employees and society as a
whole. Therefore, it is important for businesses to ensure that they adhere to

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ethical standards and strive to do the right thing.

3. “There is a symbiotic relationship between business and society.” Give

your logics to this statement highlighting CSR.

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The statement 'There is a symbiotic relationship between business and society'
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is true. Corporate Social Responsibility (CSR) is the concept of businesses
having an ethical responsibility to the society in which they operate. CSR involves
businesses taking into account their social and environmental impacts on the
communities and environment in which they operate. This relationship is
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symbiotic as businesses benefit from a positive relationship with the community,

while society benefits from the goods, services, and resources businesses
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provide.
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Businesses that are seen to be investing in the community and environment

through CSR initiatives will often be rewarded with increased customer loyalty,
improved employee engagement, and more positive public opinion. This in turn
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can lead to increased profits and a stronger reputation for the business.

For society, CSR initiatives can provide a range of benefits, including improved
access to resources, improved living standards, and reduced environmental
pollutants. CSR initiatives can also provide employment opportunities for people,
helping to reduce unemployment and underemployment. Therefore, the
symbiotic relationship between business and society is clear, with both
 benefiting from initiatives that seek to protect and improve the environment and
community.

4. Only by the law and regulations, it cannot govern business to make

ethical and socially responsible. Elucidate this reality.
The law and regulations are designed to protect people and ensure that
businesses operate in a safe and fair manner. However, these laws and

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regulations do not provide guidance on how businesses should conduct their
operations in an ethical and socially responsible manner. This means that

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businesses have to take it upon themselves to ensure that their operations are
conducted in a manner that is ethical and socially responsible. This means taking
into account the environmental and social impacts of their operations, and
ensuring that they are not taking actions that could lead to harm or damage to

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people, the environment, or the community. While laws and regulations help to
set a baseline for acceptable behavior, businesses must also go beyond legal
त
requirements to ensure that their operations are conducted in an ethical and
socially responsible manner.

Additionally, laws and regulations may not be updated in a timely manner to

त

address issues of ethical and social responsibility, leaving businesses free to

pursue practices that may be considered unethical or irresponsible. Ultimately, it
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is up to the business owners and executives to make sure that their companies
act in an ethical and socially responsible manner, and this requires a strong
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commitment to doing the right thing, even when it may not be the most profitable.
अ
 Chapter 2 Ethical Issues and Dilemmas

Brief answer questions

1. What are the popular stages of money laundering process?

The popular stages of money laundering process are: (Shrestha, Money

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Laundering, 2022)

● Placement stage

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● Layering stage

● Integrating stage

2. What is meant by Whistle-blowing?

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Whistle-blowing is the act of bringing to public attention information about illegal
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or dishonest practices within an organization, such as fraud, waste, abuse of
power or dangerous working conditions. It is usually done by a current or former
employee, or an outside observer, and is usually done to protect the public
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interest.

3. What is Glass ceiling and Bamboo ceiling regarding discrimination?

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Glass ceiling: The glass ceiling is a term used to describe the invisible barrier that
prevents certain groups, especially women and people of color, from advancing
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to higher positions in the workplace.

Bamboo ceiling: The bamboo ceiling is a term used to describe the hidden
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barriers that Asian Americans face when attempting to advance their careers.
These barriers, like the glass ceiling, prevent certain groups from reaching higher
positions, even though they may possess the necessary qualifications.

4. Write any two mechanisms to manage office romance.

Any Two mechanisms to manage office romance are: (Shrestha, 2022)
 ● Punitive action (Warning, transfer, termination, etc)

● Positive action (Open discussion, guidance, advice)

5. What is meant by Sexual Harassment?

Sexual harassment is any unwelcome or unwanted sexual attention or advances,
typically in the workplace, which makes the recipient feel degraded, intimidated,
or uncomfortable. It can include unwelcome physical contact, verbal or written

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comments, and/or suggestions of a sexual nature.

6. Why Trade Mark Infringement can be considered as unfair competition?

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Trade mark infringement is considered to be a form of unfair competition
because it involves the unauthorized use of a trademark or a confusingly similar
mark, which can lead to confusion amongst customers and may ultimately lead

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to a decrease in sales and profits for the rightful owner of the trademark.

7. What is conflict of interest?

त
Conflict of interest is a situation in which a person or organization is involved in
multiple interests, financial or otherwise, and serving one interest could involve
त
working against another.

8. Give the meaning of Caveat Emptor.

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Caveat emptor is a Latin phrase meaning "let the buyer beware". It is a legal
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principle which imposes a duty on the buyer to exercise reasonable care when
making a purchase. It is based on the principle that buyers should be aware of
the goods or services they are purchasing and should conduct their own due
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diligence before entering into a transaction.

9. What is Corporate Intelligence?

Corporate Intelligence is the process of gathering information about competitors,
customers, suppliers, and other stakeholders to gain a better understanding of
the competitive landscape. It involves collecting, analyzing, and interpreting data
from a variety of sources, such as market research, public records, news sources,
and social media.

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Short Answer Questions

1. “Understanding the concept of ethical issues and ethical dilemma is a

first stage to minimize corporate ethical misconduct.” Describe this
statement.
This statement suggests that understanding the concept of ethical issues and

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ethical dilemmas is an important first step in minimizing corporate ethical
misconduct. Ethical issues are situations that involve difficult decisions and
require an ethical analysis. These dilemmas require careful consideration of the

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consequences of each possible course of action. Understanding the concept of
ethical issues and ethical dilemmas can help companies avoid unethical behavior.

By understanding the concept of ethical issues and ethical dilemmas, companies

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can be better prepared to analyze and address ethical dilemmas as they arise.
Companies can use ethical analyses to determine the best course of action in a
त
given situation, ensuring that their decisions are based on ethical considerations.
Companies can also use ethical analyses to identify potential ethical issues
before they arise and take action to prevent them from occurring.
त

Understanding the concept of ethical issues and ethical dilemmas can also help
companies promote a culture of ethical behavior. Companies can use ethical
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analyses to evaluate their existing policies and practices to ensure they are in line
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with ethical standards. Companies can also use ethical analyses to help
employees better understand the ethical implications of their decisions and take
appropriate action. By understanding the concept of ethical issues and ethical
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dilemmas, companies can create a culture that fosters ethical behavior and
minimizes ethical misconduct.

2. The problem of just wage is serious ethical issue in developing

economy. Elucidate with instances.
The problem of just wage is an important ethical issue in developing economies,
 as wages in many countries have not kept up with inflation, resulting in a
decrease in the value of wages. This has resulted in workers having to work
longer hours to make ends meet, while their employers are able to reap higher
profits as a result.

In many countries, the minimum wage set by the government is too low to cover
living expenses, forcing workers to seek additional income. This has resulted in
an increase in the number of people living in poverty in the country.

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In addition, many employers in developing countries are exploiting their workers
by paying them wages that are below the minimum wage or not providing them

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with benefits such as health insurance. This has resulted in an increase in the
number of workers in these countries that are unable to access basic necessities
such as food and healthcare.

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In order to address this issue, governments in developing countries must ensure
त
that workers are provided with a just wage that is sufficient to cover their living
expenses. In addition, employers must be held accountable to ensure that they
are paying their workers fair wages and providing them with necessary benefits.
Finally, workers must be provided with the necessary resources to organize and
त

advocate for their rights.

3. Discuss demand and supply side of bribery. Is the issues of bribery is

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only the problem in developing economy?

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Demand Side of Bribery: On the demand side, bribery is often motivated by a

desire for the individual or organization to expedite the process and increase the
अ

chances of obtaining a desired outcome. This could be anything from getting a

job, to obtaining a contract, to getting a permit or license.

Supply Side of Bribery: On the supply side, bribery can be motivated by financial
gain or power. Individuals or organizations may offer bribes in order to secure
favorable terms or contracts, or to gain access to resources or information.

The issue of bribery is not only a problem in developing economies such as

 Nepal; it is an issue that is present in many countries around the world. The
prevalence of bribery in some countries could be attributed to the lack of strong
legal systems or regulations, low levels of transparency, or corrupt government
officials. In some cases, bribery can be seen as a way for businesses to gain a
competitive advantage, as well as for individuals to secure resources or access
to services that would otherwise be difficult or impossible to acquire.

4. Describe the ethical issues and dilemma associated with marketing

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management.
The ethical issues and dilemma associated with marketing management are:

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● Deceptive Advertising: Deceptive advertising is an ethical issue that arises
when companies make false claims about their products, services, or

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pricing in order to lure customers. These deceptive practices can lead to
consumer confusion and can damage a company’s reputation.
त
● Unethical Pricing: Unethical pricing practices, such as price fixing or
predatory pricing, are another ethical issue that can arise in marketing
management. Price fixing involves colluding with competitors to set prices
त

at an artificially high or low rate, while predatory pricing involves setting

prices at an artificially low rate in order to drive competitors out of the
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market.
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● Exploitation of Consumers: Marketing managers must also be aware of

the potential to exploit consumers. This can include targeting vulnerable
populations, using manipulative tactics to influence consumer behavior, or
अ

using deceptive tactics to sell products.

● Misleading Claims: Misleading claims, such as false promises of benefits,

are another ethical issue that can arise in marketing management.
Misleading claims can lead to consumer confusion and can damage a
company’s reputation.
● Unfair Competition: Unfair competition is another ethical issue that can
arise in marketing management. Unfair competition includes practices
such as false advertising, price discrimination, and false or misleading
comparisons. These practices can lead to a competitive advantage over
other companies, and can lead to consumer confusion.

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5. Discuss the dangers of money laundering. How the banking regulation
can control such ethical issues.
Money laundering is the process of disguising illegally obtained money to make it
look like it was obtained legally. It is a serious crime that is used to finance
criminal activities such as drug trafficking, terrorism, and fraud. It allows
criminals to evade taxes, hide the proceeds of their illegal activities, and gain
access to the financial system.

ा
The dangers of money laundering include:

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● Supporting Criminal Activities: Money laundering allows criminals to gain
access to the financial system and use the proceeds of their illegal
activities. It also facilitates the financing of illegal activities such as drug

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trafficking and terrorism.

● Tax Evasion: Money laundering allows criminals to evade taxes by

त
disguising their illegally obtained money as legitimate income. This
deprives governments of much-needed tax revenue.
त
● Financial System Corruption: Money laundering can weaken the integrity
of the financial system by allowing criminals to gain access to the
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financial system and use its services.

● Economic Inequality: Money laundering allows criminals to accumulate

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large amounts of wealth, creating economic inequality and exacerbating

poverty.
अ

Banking regulations can help control money laundering by making banks more
accountable for their activities. Banks should be required to conduct rigorous due
diligence on customers and to report suspicious transactions to the authorities.
 Chapter-3 Ethical Theories

Brief Answer Questions

1. What are the branches of normative ethical theories?

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Figure 1 Branches of normative ethics
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2. What is Scholasticism?
Scholasticism is a medieval school of philosophy that combined the study of
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faith and reason to explore theological truths and the foundations of Christian
न

belief. It used the authority of ancient writers, the Bible, and the teachings of the
Church as its starting point.
अ

3. Write different subsets of applied ethics?

Different subsets of applied ethics are:
● Medical ethics
● Bioethics
● Business ethics
● Legal ethics
4. What is meant by Categorical Imperative as per Kantian ethics?
The categorical imperative is a central concept of Immanuel Kant's ethical theory.
It is the idea that, when making decisions, one must consider the impact of the
decision on all people, not just oneself. Kant argued that all people should be
treated with the same respect, regardless of their individual interests, and that all
people should be treated as ends in themselves, not as means to an end.
According to Kant, the only ethical decision is one that can be willed to be a

ा
universal law, meaning that it is a decision that everyone in a given situation
could and should make.

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5. What is Utilitarianism?
Utilitarianism is an ethical theory which states that the best action is the one that
maximizes overall utility or happiness for the most amount of people. It's based

म
on the idea that the consequences of an action are the most important factor in
evaluating its moral worth. It is often described as "the greatest good for the
greatest number".
त
6. What is the main focus of Leviathan?
त
The main focus of Leviathan, a famous work published by Thomas Hobbes is the
problem of a social and political order. It has explained in detail the answer about
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‘how human beings can live together in peace and avoid the danger and fear of
civil conflict?’
न

7. What is main focus of Divine Command Ethics?

The main focus of Divine Command Ethics is the belief that morality is rooted in
अ

religious commands from a higher power, such as God. According to this view,
moral duties and values are derived from God’s commands, and therefore, any
action that goes against these commands is considered wrong or immoral. This
ethical framework emphasizes the importance of faith and obedience to God’s
will in order to lead a moral life.
8. What do you know about the Golden Mean?
Golden Mean is the terminology in virtue ethics that suggests, one should avoid
both excess and deficiency in their behavior and instead strive for a moderate
and balanced approach.

9. Write the dictionary meaning of Machiavelli.

Machiavelli is an Italian political philosopher whose writings inspired the political

ा
doctrine known as Machiavellianism, which promotes the use of shrewd and
unscrupulous methods to gain and maintain political power.

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Short Answer Questions

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1. Describe Scholasticism as a medieval learning pedagogy.
Scholasticism was a medieval learning pedagogy that combined the study of
त
philosophy, theology, and classical studies. It was a system of learning that relied
on logical argument and deduction to arrive at conclusions. It was a method of
investigation that sought to reconcile the differences between faith and reason.
त
Scholasticism was based on the writings of the ancient Greek philosophers,
particularly Aristotle. It was a method that used dialectical reasoning to analyze
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and critique philosophical concepts. It sought to utilize the knowledge of the

ancients in order to understand the truths of the Christian faith. Scholasticism
न

was a system of learning that relied heavily on the works of Thomas Aquinas,
who sought to synthesize Aristotelian thought with Christian doctrine.
अ

Scholasticism was a method of learning that was used in universities and

monastic schools throughout the Middle Ages. It was a form of education that
focused on the rigorous study of logic, philosophy, and theology. It was a method
of learning that was used to develop and defend Christian doctrine.
Scholasticism was a system of learning that sought to harmonize faith and
reason in the pursuit of truth.
2. Describe the contrasting features of Kantian Ethics and Utilitarianism
of Bentham and Mill.
Kantian ethics, also known as deontological ethics, is a moral theory developed
by Immanuel Kant in the late 18th century. It is based on the idea that a person
should act in accordance with a moral law that is universal and absolute. Kant
believed that moral decisions should be based on the “categorical imperative”,
which states that a person should always act in such a way that their action

ा
could become a universal law. Kantian ethics is often contrasted with
utilitarianism, a moral system developed by Jeremy Bentham and John Stuart

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Mill in the 19th century. Utilitarianism is based on the idea that the morality of an
action should be judged by its consequences. It states that the best action is the
one that produces the greatest happiness for the greatest number of people.

म
Unlike Kantian ethics, utilitarianism allows for actions to be judged as moral or
immoral based on their outcomes, rather than on their adherence to an absolute
त
moral law.

3. Explain the Virtue ethics highlighting the significance of Golden Mean in

human character.
त

Virtue ethics is a moral philosophy that focuses on character development and

emphasizes the virtues of moral excellence. It is based on the idea that a good
ेक

life is achieved through the practice of good habits. The concept of the golden
mean is central to virtue ethics. The golden mean is the idea that a person should
न

strive for a balance between two extremes of behavior. For example, a person
should not be too rash or too cowardly; instead, they should strive to be
अ

courageous. The golden mean encourages people to strive for a balance

between two extremes in order to achieve moral excellence. This balance is seen
as the highest ideal and is based on the concept of virtue. Virtue ethics
emphasizes the importance of developing moral character in order to achieve a
good life. It is based on the idea that individuals should strive to cultivate virtuous
habits in order to live a morally excellent life. The golden mean is an important
concept in virtue ethics as it serves as a guideline for how to achieve moral
 excellence. It encourages people to strive for a balance between two extremes in
order to become morally excellent.

4. Explain the “state of nature” as postulated by Thomas Hobbes.

The “state of nature” is a term coined by Thomas Hobbes to describe the
hypothetical condition of mankind before the emergence of governments and
laws. According to Hobbes, life in the state of nature was solitary, poor, nasty,

ा
brutish, and short. This was due to the lack of a centralized authority to enforce
laws and maintain order. In the state of nature, every man was equal and had
complete freedom to do whatever he pleased. This led to a constant state of

ेनस
competition and conflict, as each person sought to maximize their own self-
interests at the expense of others. This chaotic state of affairs led to a “war of all
against all”, as everyone competed for limited resources. Thus, Hobbes viewed

म
the state of nature as one of continual insecurity, violence, and fear. He argued
that people would be better off if they could form a government that could
त
protect them from each other and provide them with the security and stability
that they needed.
त
ेक न
अ
 Chapter 4 Application of Ethical Standards

Brief Answer Questions

1. Make a list of major duties of manufacturers?

Major duties of manufacturers are:

ा
● Maintain safe manufacturing environment

● Maintain harmonious and secure workplace

● Reduce environmental effects

ेनस
● Honor client’s right

2. What do you know about "The Right to be informed"?

म
The Right to be informed is a fundamental human right to have access to
accurate, complete, and up-to-date information about any matter that affects
one’s life.
त
3. Differentiate the two terms: boycotts or buycotts?
त
A boycott is a refusal to buy a product or service to demonstrate a lack of
support for a company or organization.
ेक

A buycott is an organized effort to purchase certain products or services in order

to increase demand and support a company or organization.
न

4. Are there any differences between "Privacy" and "Confidentiality"? Write

in brief.
अ

Yes, there are differences between privacy and confidentiality. Privacy is the right
of individuals to keep their personal information and activities private and away
from public scrutiny. Confidentiality is the assurance that sensitive information
will not be disclosed to unauthorized parties. Privacy relates to the right to be left
alone or to control access to oneself, while confidentiality applies to information
that is shared with another party.
5. What do you know about Ethical Consumption?
Ethical consumption is the practice of making choices in our consumption habits
which are based on moral principles. which includes making decisions about
what we buy and how we consume it, with an emphasis on sustainability,
avoiding exploitation of people and animals, and respecting the environment.

6. Write in bullets about the environmentally friendly packaging.

ा
The environmentally friendly packaging should be as follows:

● Made from renewable, sustainable resources

ेनस
● Biodegradable and compostable

● Reduces or eliminates the use of plastics and other traditional packaging

materials

म
● Uses less energy and fewer resources to produce

● Labels are printed with water-based, eco-friendly inks

त
7. What do you know about the "Surrogate Advertising"?
Surrogate Advertising is a form of advertising which uses a product or service
त
that is not directly associated with the product being advertised, but is designed
to create an association in the mind of the consumer between the surrogate and
the advertised product. This type of advertising is usually used for products that
ेक

are banned, such as cigarettes and alcohol, in order to circumvent regulations.

न

8. What do you know about the concept of "Window Dressing" in financial

reporting?
अ

Window dressing is a practice used by companies to make their financial

statements look better than they actually are. This involves making adjustments
to the reported financial data to make the company appear to be in a better
financial position than it actually is.
9. What are the possible ethical lapses in Capital Market?
The possible ethical lapses in Capital Market are:

● Front running

● Insider trading

● Market manipulation

● Conflict of interest

ा
● Misleading discloser

Short Answer Questions

ेनस
1. Describe the argument of Ethical Relativism with respect to the ethical
standard. To what extent you are agreed with the arguments?

म
Ethical relativism is an ethical stance that holds that there is no universal moral
त
truth, but rather that the truth is relative to different cultures and societies. This
means that what is right or wrong, good or bad, moral or immoral is determined
by the norms and values of each particular culture. This means that what is
considered ethical in one culture might not be considered ethical in another.
त

In other words, ethical relativism argues that there is no one "correct" or

"absolute" moral code that applies to every culture. Instead, ethical standards are
ेक

based on the values, beliefs, and traditions of a given society. This means that a
न

person's ethical standards may be different from those of another person or

culture, and that this difference is perfectly valid.
अ

I agree with the arguments of ethical relativism to a certain extent. I believe that
it is important to respect other cultures and their values, beliefs, and traditions. I
also believe that it is important to be open-minded and understanding of different
moral standards. However, I also believe that while ethical standards might vary
between cultures, there are certain universal ethical principles that should be
respected, such as the idea that human life should be valued and respected.
2. Why ethical standards are more challenging to manufacturing business
than trading business?
Ethical standards are more challenging to manufacturing businesses than
trading businesses because of the complexity of the supply chain involved.
Manufacturing businesses must ensure that the materials used in production are
sourced ethically, as well as ensuring that the labor used in production is also
ethical. This includes ensuring that the labor is paid fair wages, that the working

ा
conditions are safe, and that the rights of workers are respected. Additionally,
manufacturing businesses must also take into consideration the environmental

ेनस
impact of their operations and ensure that their production processes are
sustainable and do not cause damage to the environment.

Trading businesses, on the other hand, do not require the same level of ethical

म
standards. This is because trading businesses typically only focus on the sale
and purchase of goods and services. They do not typically involve the production
त
of products, and as such, do not need to take into consideration the ethical
implications of sourcing materials or labor used in the production process.
Furthermore, trading businesses do not typically have to consider the
त
environmental impact of their operations, as they are not directly responsible for
the production of goods.
ेक

In sum, ethical standards are more challenging to manufacturing businesses

than trading businesses due to the complexity of the supply chain and the
न

potential environmental impact of their operations. Trading businesses, on the

other hand, do not require the same level of ethical standard as they are not
अ

directly responsible for the production of goods.

3. What are the ethical norms that are to be considered in Brand

management?
The ethical norms that are to be considered in Brand management are;

● Respect Privacy: Respect the privacy of customers, employees, and

 partners. Do not use confidential information without permission.

● Respect Intellectual Property: Respect the intellectual property of other

brand managers. Do not infringe on the rights of others.

● Transparency: Ensure that all information provided to customers and

partners is accurate and up to date.

ा
● Honesty: Represent the brand in an honest way. Do not make false claims
or exaggerate the capabilities of the brand.

ेनस
● Integrity: Be honest and consistent in your dealings with customers,
partners, and competitors.

● Fairness: Treat all customers and partners fairly, regardless of their

म
background or ability to pay.
त
● Social Responsibility: Ensure that your brand is contributing to the greater
good of the community.

●
त
Professionalism: Act professionally in all interactions related to the brand.

4. Though financial institutions are the most heavily regulated business in

ेक

the world, there exist many cases of misappropriations. Elucidate with

example.
न

Misappropriation in ethics is the ethical violation of using something for a

purpose other than what it was intended for. Examples of misappropriation in
अ

ethics include using company resources for personal gain, taking advantage of
vulnerable populations, and using public funds for private purposes.
Misappropriation of ethical resources can have serious consequences, including
financial losses, legal action, and damage to one's reputation.

In Nepal, the misappropriation of funds from financial institutions is a serious

issue. One of the most well-known cases is the Nepal Investment Bank scandal,
 which occurred in 2009. In the scandal, a former general manager of the bank,
Bishnu Hari Adhikari, was accused of embezzling millions of rupees from the
bank’s accounts. Adhikari was found guilty of fraudulently transferring funds
from the bank to his own accounts, as well as to accounts of his family members
and close associates. The scandal also involved a number of other high-ranking
bank officials, and it resulted in losses of millions of rupees to the bank. The
case was widely reported in the media and resulted in a number of changes to

ा
the banking sector, including the introduction of stricter regulations for financial
institutions.

ेनस
5. Discuss the possible ethical complaints that are associated with
advertisement and communication.
Ethical complaints associated with advertising and communication include:

म
● False advertising: Misleading consumers
त by making false or
unsubstantiated claims about a product or service.

● Misrepresentation of information: Presenting information in a way that is

deliberately misleading or inaccurate.
त

● Exploitation of vulnerable populations: Targeting vulnerable populations

ेक

such as children or the elderly with manipulative marketing.

● Misuse of personal data: Collecting and using data about consumers

न

without their knowledge or consent.

अ

● Disparagement of competitors: Making negative or false claims about the

products or services of a competitor.

● Pressuring consumers: Using manipulative tactics to pressure consumers

into making purchases.
 Chapter 5 Strategic Context of CSR

Brief Answer Questions

1. Make a distinction between Strategic and Altruistic CSR.

Strategic CSR Altruistic CSR
1. Strategic CSR is a form of corporate 1. Altruistic CSR is a form of corporate

ा
social responsibility that is focused on the social responsibility that is focused on
benefit to the business. benefitting society rather than the
company.
2. It is designed to improve the company's 2. Altruistic CSR initiatives are generally

ेनस
reputation and its relationship with aimed at helping people in need, such as
stakeholders, such as customers, those affected by poverty, disease, or
employees, and the local community. natural disasters.
3. Strategic CSR initiatives typically 3. These initiatives may be supported by
involve activities that appear to be socially the company's profits, but the primary goal

म
responsible, but also have the potential to is to improve the lives of those in need,
generate positive returns for the company. rather than to generate a return for the
business.
त
2. What are the five driving forces of CSR?
The five driving forces of CSR are:
त

● Growing Affluence

● Sustainability
ेक

● Globalization
न

● Free flow of information

● Development of corporate conscience

अ

3. Write about compliance-driven CSR strategy.

A compliance driven CSR strategy focuses on achieving high levels of
compliances with a broad range of requirements, including environment, health,
and safety (EHS) program.
4. What are the stages that should follow while making a strategy for
strategic CSR?
The stages that should be followed while making a strategy for strategic CSR are:

● Analyzing strength and weakness

● Fixing social sector responsibilities

● Formulating action plan

ा
● Executing action plan

● Evaluating the degree of success and making changes when required

ेनस
5. What are the internal environmental factors that should be considered
for the strategic CSR?
They are:

म
● Value system त
● Objective

● Corporate culture

● Human resources
त
● Vision and missions

● Shareholders
ेक

● Labor unions
न

6. How do you interpret the term "Sustainability" regarding strategic CSR?

Sustainability in regards to strategic corporate social responsibility (CSR) refers
अ

to a company's commitment to making decisions and taking actions that support

long-term social, environmental, and economic well-being. This includes
considering the environmental, social, and economic impacts of their operations
and developing strategies to ensure that their operations are economically,
socially, and environmentally sustainable.
7. What are the major concerns of Moral Principles of CSR?
The major concerns of Moral Principles of CSR is related with : What deserves to
be promoted, praised, or approved; or what deserves ro be opposes, criticized or
disapproved.

8. State briefly the relationship between "Triple - P" concept and Strategic
CSR.
Triple-P is a concept developed by the International Institute of Social and

ा
Economic Sciences (IISES), which stands for People, Planet, and Profit. It is
based on the belief that businesses should be driven by a holistic approach to

ेनस
sustainability that considers the interests of all stakeholders. Strategic CSR
(Corporate Social Responsibility) is an approach that organizations use to
integrate social and environmental considerations into their business operations
and interactions with their stakeholders. Triple-P is used to inform sustainable

म
business practices, as it encourages companies to consider how their decisions
त
and actions impact society, the environment, and their financial performance.
Strategic CSR is used to ensure that the triple-P approach is applied and
implemented in a way that is both meaningful and effective.
त
9. What is cause-marketing? Is it strategic CSR?
Cause-marketing is a type of corporate social responsibility (CSR) strategy in
ेक

which a company partners with a non-profit organization or social cause to

mutually benefit each other. This type of partnership allows the company to align
न

itself with a cause and contribute to a good cause while also gaining positive
exposure for their brand. It can be seen as a form of strategic CSR as it is a
अ

mutually beneficial relationship between the company and the cause.

Short Answer Questions

1. Describe strategic CSR by linking with Friedman's proposition?

Strategic CSR can be viewed as a tool for businesses to align their operations
and activities with the core principles of Milton Friedman's economic model.
 According to Friedman, businesses should focus on maximizing profits and
creating shareholder value, and should not be concerned with social or
environmental issues. Strategic CSR allows businesses to do both, while still
upholding their responsibilities to society, by focusing on long-term and
sustainable investments in social and environmental issues.

For example, strategic CSR could assist businesses in creating value for their
shareholders by investing in clean energy solutions, such as solar and wind

ा
power, which can help reduce carbon emissions and create a more sustainable
future. In addition, businesses could use strategic CSR to invest in economic

ेनस
development initiatives and social programs in local communities, thus helping
to create jobs and improve the quality of life for their citizens. Moreover, strategic
CSR can be used to improve a business’s reputation and brand image, which can

म
be beneficial in the long run and help to attract more customers and investors.

Overall, strategic CSR provides businesses with an opportunity to align their

त
activities with Friedman's economic model, while also taking into account their
responsibilities to society. This can help businesses to create long-term and
sustainable value for their shareholders, while also contributing to a more
त
socially and environmentally responsible future.

2. 'Driving forces of CSR may vary based on the company characteristics.

ेक

Do you agree with this statement?

न

Yes, I do agree with this statement. Driving forces of CSR may vary depending on
the company characteristics such as the size, industry, country, and stakeholders.
For example, a large multinational company may have a different set of drivers
अ

for CSR compared to a small local company. The larger company may have a
more global view of CSR and may have a greater focus on its external
stakeholders, such as customers, suppliers, NGOs and governments. On the
other hand, a smaller local company may have a more localized focus on its
internal stakeholders, such as employees and local communities.

Similarly, the industry of a company may also affect the driving forces of CSR.
 For example, an oil and gas company may have a greater focus on environmental
sustainability than a retail company, as sustainability is a major concern in the oil
and gas industry. The country in which a company operates can also affect its
CSR drivers.

For example, a company operating in a country with stringent environmental

regulations may have a greater focus on environmental sustainability than a
company operating in a country with more lax regulations. Finally, the

ा
stakeholders of a company can also affect its CSR drivers. For example, a
company with a large number of customers may have a greater focus on

ेनस
customer satisfaction and product safety. On the other hand, a company with a
large number of employees may have a greater focus on employee welfare and
health and safety.

म
Overall, driving forces of CSR may vary based on the company characteristics,
such as the size, industry, country, and stakeholders.
त
3. Why do Small and Medium-scale Enterprises (SMEs) have also to be
committed with CSR?
त
Small and medium-scale enterprises (SMEs) have to be committed with CSR
because they are an integral part of the global economy and have an obligation to
ेक

ensure that their activities have a positive impact on the environment, society
and the economy. CSR initiatives can help SMEs to increase their competitive
न

advantage, build a positive reputation, attract and retain customers, and develop
better relationships with stakeholders. By engaging in CSR activities, SMEs can
contribute to economic development, poverty reduction, and environmental
अ

protection.

For example, SMEs can adopt sustainable practices to reduce their

environmental impact and protect natural resources. They can also invest in their
local communities, by providing financial and other support to local causes such
as education and health. This can help to create jobs and foster economic
growth. Additionally, SMEs can comply with labor and human rights standards to
 ensure their employees are treated fairly and ethically.

Finally, SMEs can benefit from engaging in CSR by improving their public image,
enhancing their corporate brand and gaining access to new customers and
markets. This can help SMEs to become more successful and profitable in the
long run. Therefore, in order to gain the maximum benefit from their CSR
activities, SMEs must be committed to making a positive difference.

ा
4. "Responsibility is the price of Greatness" Analyze this quotation of
Winston Churchill by linking with CSR.

ेनस
Winston Churchill’s quotation “Responsibility is the price of greatness” is a
powerful reminder of the importance of being accountable for one’s actions. This
idea can be further linked to the concept of Corporate Social Responsibility (CSR).

म
CSR is a business approach that encompasses the economic, environmental, and
social factors that impact the organization’s operations and stakeholders.
त
At its core, CSR is about accountability. When an organization takes on a CSR
strategy, it commits to acting responsibly and taking ownership of its impact on
society and the environment. This includes implementing ethical practices, such
त
as sustainable sourcing, reducing emissions, and investing in its workforce. This
type of responsibility is essential in order for an organization to achieve
ेक

greatness.

The concept of CSR is also closely connected to Churchill’s quote. In order to

न

reach greatness, organizations must be willing to take responsibility for their

actions and the impacts they have on their stakeholders and the environment.
अ

This includes making sure that their operations are aligned with the ethical
principles they have set out, as well as being transparent about their practices.
Only by taking responsibility for their actions and the effects they have on the
world can organizations hope to achieve greatness.

In conclusion, Winston Churchill’s quotation “Responsibility is the price of

greatness” serves as a reminder of the importance of being accountable for
 one’s actions, and this idea can be linked to the concept of Corporate Social
Responsibility (CSR). In order to reach greatness, organizations must be willing
to take responsibility for their actions and the impacts they have on their
stakeholders and the environment. This includes implementing ethical practices,
being transparent about their practices, and taking ownership of their impact on
society and the environment.

5. The success of strategic CSR depends largely on the correct situational

ा
analysis of the firm. Present your argument.
The success of strategic CSR (Corporate Social Responsibility) depends heavily

ेनस
on the accurate situational analysis of the firm. This analysis involves
understanding the unique needs of the firm’s stakeholders and the external
environment in which the firm operates. Through this analysis, the firm can

म
accurately assess the risks and opportunities associated with its CSR initiatives
and develop strategies to ensure that its CSR activities align with its overall goals.
त
First, a firm must understand the needs of its stakeholders. Stakeholders are
individuals or groups of people who have a vested interest in the success of the
firm. This could include customers, employees, suppliers, the local community,
त

and shareholders. By understanding their perspectives and needs, the firm can
identify potential areas for improvement and identify potential risks or
ेक

opportunities associated with its CSR initiatives.

न

Second, the firm must understand the external environment in which it operates.
This includes the political, economic, social, and technological factors that shape
the industry in which the firm operates. By understanding the external
अ

environment, the firm can identify the potential impact of CSR initiatives on the
firm’s operations, as well as the potential risks and opportunities associated with
its activities.

Finally, the firm must understand its own capabilities and resources. By
understanding its own strengths and weaknesses, the firm can assess the
feasibility of its CSR initiatives and develop strategies to ensure that it maximizes
its potential.

Overall, the success of strategic CSR depends heavily on the accurate situational
analysis of the firm. By understanding the needs of its stakeholders, the external
environment in which it operates, and its own capabilities and resources, the firm
can identify potential risks and opportunities associated with its CSR activities
and develop effective strategies to ensure that its CSR initiatives align with its
overall goals.

ा
ेनस
म त
त
ेक न
अ
 Chapter 6 Business Ethics and CSR in Nepal

Brief Answer Questions

1. Make a list of five issues to elucidate the ethical lapses in Nepalese

firms.

ा
The list of five issues to elucidate the ethical lapses in Nepalese firms are:

● Lack of Corporate Governance

● Bribery and Corruption

ेनस
● Discrimination

● Exploitation of Resources

म
● Abuse of Power

2. Write any four corporate malpractices you have seen in Nepal.

त
Any five corporate malpractices I have seen in Nepal are:

● Bribery and Corruption

त
● Tax Evasion

● Unethical Pricing Strategies

ेक

● Insider Trading
न

3. Explain about the main causes of ethical lapses in business

environment of Nepal.
अ

Ethical lapses in the business environment of Nepal can be attributed to a

number of factors. Some of the most common causes of ethical lapses in Nepal
include:
● Lack of corporate governance

● Poor enforcement of laws and regulations

● Cultural Norms
 ● Poor access to information

● Weak regulatory bodies

4. Multinational company affiliated businesses in Nepal seem to relatively

have good CSR practices. Exemplify to support this argument.
An example of a multinational company affiliated business with good CSR
practices in Nepal is Unilever Nepal. Unilever Nepal has created a number of

ा
initiatives to improve the quality of life for Nepalese citizens. They have set up a
Safe Drinking Water program to provide clean drinking water to over 1 million

ेनस
people in Nepal. In addition, they have implemented various initiatives to improve
the health and hygiene of rural communities. They have provided educational
support and vocational training to local communities, and have launched a
campaign to promote the importance of handwashing in order to reduce the

म
spread of disease. Unilever Nepal has also been committed to environmental
त
sustainability, investing in renewable energy and reducing their carbon footprint.
Finally, they have provided financial and social support to those affected by
natural disasters in Nepal.
त
5. Write about the main view of NBI with respect to the CSR.
The National Business Initiative (NBI) views Corporate Social Responsibility (CSR)
ेक

as an integral part of any successful business. NBI believes that CSR is a

business obligation to take action and contribute to a more sustainable world.
न

The NBI defines CSR as “the integration of social, environmental and economic
performance into core business operations in order to contribute to the
अ

sustainable development of society.” Additionally, the NBI states that CSR should
be seen as more than just a cost center, but rather as an opportunity to create
shared value for the business and the community. NBI emphasizes the
importance of a strong CSR program in order to create a positive reputation,
build trust, and connect with stakeholders. Ultimately, the NBI believes that CSR
is a key component of any successful business and should be taken into
consideration when making strategic decisions.
6. What effort had FNCCI made focusing the ethical business in Nepal?
The Federation of Nepalese Chambers of Commerce and Industry (FNCCI) has
taken a number of initiatives to promote ethical business practices in Nepal.
FNCCI has established an Ethics Committee to provide guidance and advice on
ethical business practices. The committee has developed a code of ethics, which
encourages members to adhere to ethical principles and promote a culture of
ethical practices in their organizations. Additionally, FNCCI has launched several

ा
awareness campaigns to educate members and the general public about ethical
business practices. Furthermore, FNCCI has worked with the government to

ेनस
encourage the passage of legislation that enhances corporate transparency and
accountability. Finally, FNCCI has partnered with international organizations to
promote ethical business practices in Nepal.

म
7. Briefly enumerate two main problems regarding responsible business
in Nepal. त
1. Lack of Awareness: Responsible business practices are not widely known and
understood in Nepal, and many businesses do not have access to the resources
needed to learn and implement responsible practices
त

2. Poor Corporate Governance and Regulatory Framework: Nepal has weak

corporate governance and regulatory frameworks, which makes it difficult for
ेक

businesses to adopt responsible practices. Many businesses lack the necessary

incentives and resources to implement responsible business practices.
न

8. The future of CSR practices in Nepal is bright. Why?

The future of CSR practices in Nepal is bright because the CSR activity done by
अ

the companies are recorded and the reputation and goodwill is determined by the
CSR activity of the company. Furthermore, the prospect of the company is
incomplete without the CSR activity mentioned in it hence future of CSR is bright
in Nepal.
9. Give some suggestions to the FNCCI to uplift responsible business
practice in Nepal.
The suggestions are:

● 1. Establish higher standards for ethical business practices and enforce

them throughout the business community.
● 3. Promote the adoption of corporate social responsibility (CSR) initiatives

ा
and strategies.
● Provide incentives for businesses to adopt responsible business practices.

ेनस
● Advocate for responsible business practices at national and international
levels.

10. Briefly enumerate any two outcomes of CSR activities.

म
Outcomes of CSR activities are;

● Positive Publicity: Companies often gain positive publicity by engaging in

त
corporate social responsibility activities, which helps them to build a
better reputation.
● Employee Engagement and Retention: By engaging in corporate social
त

responsibility activities, companies can encourage their employees to

become more socially responsible and more committed to the company.
ेक

This helps to improve employee engagement and retention.\

न

Short Answer Questions

अ

1. How do the ethical issues generate? Discuss by exemplifying the

common cases of Nepal.
Ethical issues arise when a person’s actions conflict with the accepted beliefs or
standards of what is morally right or wrong. In Nepal, ethical issues generally
arise in business, political, and social settings.

Business: In Nepal, ethical issues can arise in business settings due to the lack
 of regulation and oversight. For example, bribery and corruption are common in
Nepal’s business environment. Businesses may also be tempted to use unethical
tactics to gain an unfair competitive advantage, such as manipulating financial
statements or misleading customers.

Politics: In Nepal, ethical issues can arise due to the lack of transparency and
accountability in the political system. Nepali politicians have been known to use
their positions of power to benefit themselves and their families, while ignoring

ा
the needs of their constituents. Nepali politicians have also been known to
engage in unethical practices such as offering government contracts to friends

ेनस
and family members.

Social: In Nepal, ethical issues often arise due to societal factors such as gender
inequality, caste discrimination, and religious intolerance. For example, women in

म
Nepal often face discrimination in the workplace and in society, and are often
denied basic rights such as education and healthcare. Similarly, members of
त
certain castes or religious minorities may face discrimination and exclusion from
certain opportunities.

2. “Consumer Protection and promotion of consumer right cannot be

त

possible only through the regulations.” Elaborate this statement with the
realities of Nepalese perspective.
ेक

Consumer protection and the promotion of consumer rights cannot be achieved

न

through regulations alone. In order to ensure that consumers' rights are

protected and to promote them, a strong and effective consumer movement is
अ

required. In Nepal, consumer protection and the promotion of consumer rights is

an emerging issue. There are a few laws and regulations in place to protect
consumers, however, these laws are not sufficiently enforced. As a result,
consumers are exposed to exploitation and manipulation by companies and
businesses.

The government of Nepal has taken some initiatives to promote consumer rights
and protect consumers. For instance, the Consumer Protection Act, 2053 has
 been implemented to provide relief to consumers from deceptive practices and
unjustified exploitation. Moreover, the government has established the
Consumer Welfare Fund to provide financial assistance to consumers affected
by unfair trade practices or negligence of service providers.

However, the implementation of the existing laws and regulations is still weak
and requires improvement. Furthermore, there is a lack of awareness among
consumers about their rights and duties. Therefore, it is essential for the

ा
government to launch awareness campaigns and strengthen the enforcement of
existing laws and regulations.

ेनस
Moreover, a strong and effective consumer movement needs to be established
to promote consumer rights and protect consumers from exploitation. This
movement should be supported by public and private sector organizations,

म
consumer associations, and civil society organizations. Such a movement can
work to ensure that consumers are treated fairly, that they are empowered to
त
make informed decisions, and that their rights and interests are protected.

3. Discuss about contemporary situation of CSR practices in Nepal.

त
The contemporary situation of CSR practices in Nepal is that CSR is still in its
nascent stage. Although there has been some progress in recent years,
awareness of CSR among businesses and organizations is still low. There are
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few laws and regulations in place to promote CSR, and the government has not
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made any strong efforts to encourage companies to practice CSR.

However, the concept of CSR is slowly gaining traction in Nepal. Many

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businesses and organizations are now actively engaging in various forms of CSR
activities such as community development, poverty alleviation, education, health,
and environmental protection. Some of the leading companies in Nepal have also
established CSR departments to ensure that their CSR activities are carried out in
a systematic and organized manner.

In addition, there are a few organizations in Nepal that are working to promote
 CSR and raise awareness about CSR among businesses and organizations.
These organizations are also providing support to businesses and organizations
in the form of training, consulting, and research services.

Although progress has been made in the area of CSR in Nepal, there is still a
long way to go. More initiatives are needed to raise awareness and encourage
businesses to engage in CSR activities. The government also needs to step up its
efforts to create an enabling environment for the growth and development of

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CSR in Nepal.

4. What do you know about unfair trade practices? Discuss the legal

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arrangement available in Nepal to control over unfair trade practices.
Unfair trade practices are activities that are prohibited by law because they are

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deceptive, fraudulent, or otherwise in violation of the Competition Act, Consumer
Protection Act and other related legislation in Nepal. These practices may include
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false advertising, price fixing, anti-competitive agreements, and other forms of
market manipulation.

The Government of Nepal has implemented several legal provisions to regulate

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and control unfair trade practices in Nepal. The Competition Act of Nepal, 2063
(2006) is the primary legislation regulating competition in the country. This Act
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prohibits any agreement or practice that has the purpose or effect of

substantially lessening competition in any market or sector of the economy. It
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also addresses price fixing, exclusive dealing, resale price maintenance, and
other types of conduct that could be considered anti-competitive.
अ

In addition to the Competition Act, the Consumer Protection Act, 2063 (2006)
prohibits deceptive and unfair trade practices. This Act provides consumers with
a right to seek relief from any unfair trade practice, including false or misleading
claims, deceptive pricing, and unfair contract terms.

The Intellectual Property Act, 2063 (2006) also provides protection for intellectual
property rights, including trademarks, copyrights, and patents. This Act prohibits
 the use of someone else’s intellectual property rights without their permission.

Finally, the Banking and Financial Institutions Act, 2063 (2006) regulates the
conduct of banks and other financial institutions. This Act prohibits certain
practices, such as insider trading, which could be considered unfair trade
practices.

All of these laws are enforced by the Ministry of Industry, Commerce and

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Supplies, and violations can result in significant fines or even imprisonment.

5. Describe the positive signals for the ethical business in Nepal in days to

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come.
The positive signals for ethical business in Nepal in days to come include:

● Growing awareness of the importance of ethical business practices

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among the general public.
● Increasing number of businesses being certified for ethical practices by
relevant organizations.
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● A need for businesses to increase transparency and accountability,
leading to better governance.
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● Facilitation of ethical practices through government initiatives such as

grants and subsidies.
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● Increasing investment in ethical practices such as environmental

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sustainability, corporate social responsibility, and responsible sourcing.

● The emergence of civil society organizations that monitor and advocate
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for ethical business practices.

● An increased focus on sustainable development, with the potential to
create a more equitable and prosperous society.
Bibliography
Shrestha, P. B. (2022). Money Laundering. In P. B. Shrestha, Ethical and Social Dimension of
Business (p. 83). Kathmandu, Nepal: Asmita Books Publisher and distributors.

Shrestha, P. B. (2022). Office Romance. In P. B. Shrestha, Ethical and Social Dimension of

Business (p. 65). Kathmandu, Nepal: Asmita Books Publisher and distributors.

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