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105 Cards in this Set

  • Front
  • Back
CONSUMER MAGNA CARTA
Lesson 1
- basic consumer rights proposed by JFK
- right to safety: responsibility of producers to reduce harmful effects of products (ex. chemical insecticides)
- right to be informed: consumer must be informed about product's proper use and any precautionary measures - this info must be displayed in straightforward, non-misleading advertising and packaging
- right to choose: assures consumers that they are receiving goods from effectively competitive market
- right to be heard: addresses consumer concern about not being able to communicate to businesses problems/complaints they have with products/operations
CONSUMERISM
Lesson 1
- social movement seeking to increase the rights/powers of buyers in comparison to sellers
- movement "began" with Ralph Nader's expose on GM/auto industry criticizing the industry and creating an era of the consumer - Nader led of much consumer legislation in past
- today consumerism movement is based in small activist groups
What are the two main categories of issues when considering the business/consumer relationship?
Lesson 1
- Product information (advertising, warranties, packaging and labeling)
- the product itself
CLEAR INFO, ACCURATE INFO AND ADEQUATE INFO IN REGARDS TO ADVERTISING
Lesson 1
Clear info: direct and straight-forward that avoids deception

Accurate: communicates complete truths, avoids exaggeration and innuendo

Adequate: providing consumers w/ enough info to make the best choices
Types of Advertising Abuses: AMBIGUOUS ADVERTISING
Lesson 1
Company describes a product in a way that allows for multiple interpretations; use of "weasel words" which are intentionally unclear so meaning can be construed by company when issues arise with product; ex. would be "help" as in "help you keep young" if it doesn't the company can use the defense that it did not guarantee youth, just that it would help
- use of legal jargon - excessively complex language the average person cannot understand
Types of Advertising Abuses: CONCEALED FACTS
Lesson 1
Company does not reveal the entire truth about product that would help consumers make informed choice; firms are not required to tell everything about their product (such as their competitors offer equally effective products) - focus of concealed facts is creating a false belief among consumers
- Ex.'s: hidden fees; product placement (involves showcasing products in tv programs during airing of show and not in commercials), plot placement (companies pay to have their products integrated into the plot line of a tv show)
Types of Advertising Abuses: EXAGGERATED CLAIMS
Lesson 1
Claims by a company that cannot be substantiated by any kind of evidence; main ex. is company claiming superiority to competitors - exaggeration because there is no way of testing a claim like superiority, some ppl my find a company's product superior, some may not
- puffery: use of a substitute for an extravagant exaggeration when referring to some claim to excellence - is Budweiser really the "King of Beers"?
Types of Advertising Abuses: PSYCHOLOGICAL APPEALS
Lesson 1
Persuade based on the basis of human emotions and emotional needs rather than reason; considered an abuse b/c most companies cannot provide the psychological needs their products claim to provide such as prestige, masculinity, femininity, approval, etc.
Controversial Advertising Issues: COMPARATIVE ADVERTISING
Lesson 1
Practice of directly comparing a firm's product with the product of a competitor
Controversial Advertising Issues: USE OF SEX IN ADVERTISING
Lesson 1
Use of sexual innuendos and references in advertising began in 1970s and is now commonplace; 31% of Americans however, find this type of advertising offensive and 61% say they will not buy a product using sexual advertising
- it has been found that sexual advertising can take away from the features of product
Controversial Advertising Issues: ADVERTISING TO CHILDREN
Lesson 1
Children watch on avg. 28 hrs of tv per week and the American Psychological Association found that we do not understand persuasion until age 8 thus marketers are advertising more to children to est. brand loyalty; plus children are developing older mindsets at younger ages meaning they want products meant for older age groups (known as AGE COMPRESSION)
- Children's Advertising Review Unit est. in 1974 to monitor advertising to children and correct those ads that are deceptive
Controversial Advertising Issues: MARKETING TO THE POOR
Lesson 1
Controversial because most poor people are less educated and thus less aware of the true price of the products or services being advertised to them
Controversial Advertising Issues:
ADVERTISING ALCOHOLIC BEVERAGES
Lesson 1
Controversy regarding advertising beer vs. wine and the idea of making commericals appealing to children such as the Budweiser "frogs" commericals; this advertising not likely to dissipate b/c of the large mkt for these products
Controversial Advertising Issues: CIGARETTE ADVERTISING
Lesson 1
*see book
Controversial Advertising Issues: HEALTH AND ENVIRONMENTAL CLAIMS
Lesson 1
Consumers are becoming more health and environment conscious and want products that work toward these benefits; FDA and FTC becoming more stringent on company claims of these issues
Ex. many companies like Stouffer's wil lable packaging w/ nutritional info of single serving but include two servings in package requiring consumer to double nutritional numbers on the box - FTC investigating whether this is false info
Controversial Advertising Issues: AD CREEP
Lesson 1
The increase in advertising to every facet of an individual's life; avg. person sees between 3000 and 5000 ads per day
- pop. has dispersed away from t.v. so companies becoming more creative like advertising on grocery store floor tiles
WARRANTY
Lesson 1
Viewed by manufacturers as a limit to the lenght of time they are expressly responsible for products; to consumers viewed as devices to protect the buyer against faulty or defective products
Two types of Warranties:
IMPLIED WARRANTY AND EXPRESS WARRANTY
Lesson 1
Implied: unspoken promise that there is nothing significantly wrong ith the product and can be used for purposes intended
Express: explicitly offered at the time of sale
MAGNUSON-MOSS WARRANTY ACT OF 1975
Lesson 1
Describes the difference between full and limited warranties; set standards for what must be contained in warranty and ease with which consumers can understand it
FEDERAL TRADE COMMISSION
Lesson 1
Federal agency that oversees commercial acts and practices; originally est. as anti-trust agency but given more power in 1938 to oversee unjust acts within commerce
- two main purposes are to promote fair competition in free mkt and provide protection for consumers against deceitful acts by companies (involves issuing cease and desist orders to companies they believe are engaging in illicit activities)
- FTC works towards eliminating deceptive advertising and does so by asking companies to run corrective ads to provide correct info to consumers if the company cannot prove claims in advertisements
- the FTC has had a varied past and changes from active to inactive based on administration
SELF-REGULATION IN ADVERTISING
Lesson 1
Refers to control of the business conduct and performance by business itself rather than by gov't or by mkt forces
FORMS OF SELF-REGULATION:
SELF-DISCIPLINE
PURE SELF-REGULATION
CO-OPTED SELF-REGULATION
NEGOTIATED SELF-REGULATION
MANDATED SELF-REGULATION
Lesson 1
- firm itself controls its own advertising
- industry (one's peers) controls advertising
-industry involves non-industry people in development, application, and enforcement of norms
- industry voluntarily negotiates development, use, and enforcement of norms w/ some outside body (gov't dept. for ex.)
- industry ordered by gov't to develop use and enforce norms
QUALITY AS AN ETHICAL ISSUE
Lesson 1
Increase in avg. household income allow consumers to afford higher lifestyle and put more emphasis on quality products that work properly
THREE THEORIES OF QUALITY AS AN ETHICAL ISSUE:
Contractual Theory
Due Care Theory
Social Costs View
Lesson 1
- CT: requires firm to be informative about product's attributes, to not lead customers on or deceive them, and not force customers into a sale
- DCT: consumers have less knowledge than producers about product thus rely on producer to fulfill claims about product and not cause harm
- SCV: suggests that if a firm does cause harm to a customer they should be financially responsible for injury even if they have followed ethical guidelines of 2 previous theories
Caveat Emptor vs. Caveat Vendor
Lesson 1
- "let the buyer beware"
- "let the seller take care"
DOCTRINE OF STRICT LIABILITY
Lesson 1
States that anyone in the value chain of a product is liable for harm caused to the user if the product as sold was unreasonably dangerous b/c of its defective condition - this extends not only to manufacturers but to advertisers, promoters, distributors
- doctrine proposes the idea that there is no reason why any firm within chain of production or distribution should allow defective/dangerous products into the market
ABSOLUTE LIABILITY
Lesson 1
Firm is liable for damages even if it had no way of knowing that the product might cause a problem later
MARKET SHARE LIABILITY
Lesson 1
Evolved from delayed manifestation cases which are situations in which delayed reations to products that cause harm after exposure - requires that firms who cannot prove they were not responsible for producing defective products are responsible based on their mkt share
PRODUCT LIABILITY OR TORT REFORM AND BUSINESS CRITICISMS OF CURRENT SYSTEM
Lesson 1
Businesses criticize system b/c they feel it provides too much power to the plaintiff - unfair ability to create huge costs for the firm b/c litigation laws are only at state level and vary state to state; along with this business wants plaintiffs to meet more stringent standards of proof of damages and want limits on the amount of punitive damages
CONSUMER PRODUCT SAFETY COMMISSION
Lesson 1
Independent regulatory agency that was created by the Consumer Product Safety Act of 1972 - works to reduce the risk of injuries and deaths from consumer products
TOTAL QUALITY MGMT
Lesson 1
Essentially means that all the functions of the business are blended into a holistic, integrated philosophy built around the concepts of quality, teamwork, productivity, and customer understanding and satisfaction
- main focus is the consumer b/c he or she is the final judge of quality
- first step is to define quality in terms of customer expectations/requirements, 2nd is to turn expectations into standards, finally adherence to standards enforced
SIX SIGMA
Lesson 1
Development in TQM that focuses on firms meeting the sixth sigma level of 3.4 defects per million (most companies are around the fourth level of about 6000 defects per million)
- sigma means variation about the mean where higher values of sigma mean lower numbers of defects
CONSUMER-STAKEHOLDER SATISFACTION
Lesson 1
The idea that if a firm can provide product/service quality and safety the consumer will be satisfied and will continue to purchase from the firm, making the firm profitable and creating a strong firm reputation
SUSTAINABILITY
Lesson 2
Refers to business that meets the needs of the present without compromising the ability of future generations to meet their own needs; creation of a good quality of life for current and future generations; akin to walking lightly on the earth, taking only what is need and leaving behind enough for future generations to have access to the same resources
CLIMATE CHANGE
Lesson 2
AKA global warming: events like Hurricane Katrina as well as a significant data collection period couple w/ better understanding of our climate system have allowed researchers to create more accurate models that place humans contribution to climate change at around 90%
- effects include increased variability in weather and temperature
ENERGY INEFFICIENCY
Lesson 2
Dissipating nonrenewable energy sources like coal, oil and natural gas; finite amounts of these resources and once they are gone thats it
- emerging nations like China and India will be demanding greater amounts of these resources so there is a shift in demand to renewable sources like sun and wind energy
WATER
Lesson 2
Earth's water supply is fixed, thus pollution, mismgmt and increasing needs for irrigation of crops for rising populations depletes this fixed amt
- developed nations have strict water stds but developing nations have an inadequate supply of clean, useable water due to lack of sufficient stds.
BIODIVERSITY AND LAND USE
Lesson 2
Biodiversity refers to the variety of lifeforms within an ecosystem; greater % of animals and plants decreasing in # due to over-hunting, habitat destruction due to urban developments, and pollution
- land is suffering degradation from things like deforestation, overgrazing, etc. cutting the amt of land for agriculture
CHEMICALS, TOXICS and HEAVY METALS
Lesson 2
Toxic substances are chemicals or compounds that may present an unreasonable threat to human health and the environment
- two problems with toxic substances: 1). consumers not necessarily aware at all times of effects of chemical exposure 2). often causes of industrial accidents
AIR POLLUTION
Lesson 2
Air pollution cause acid rain, global warming, smog, depletion of ozone (chemicals called chlorofluorocarbons have produced a hole in the ozone layer); becoming more evident in homes b/c use of items like coal, oil, gas, tobacco products, etc.
WASTE MGMT
Lesson 2
Mantra of waste mgmt: "reduce, re-use, and recycle"
Reduction requires the waste to never be generated in the first place
Re-use, preferrable to recycling b/c does not require reprocessing
Recycle, transforms waste into valuable resource
OCEANS AND FISHERIES
Lesson 2
EPA expresses the idea that all environmental actions will in some way affect the oceans and waterways
WICKED PROBLEMS
Lesson 2
Problems w/ characteristics uch as interconnectedness, complexity, uncertainty, ambiguity, conflict and societal constraints - every wicked problem seems to be a symptom of another problem and solutions rarely are complete or final
Ex. smog, toxic waste, acid rain
NIMBY PROBLEM
Lesson 2
NIMBY stands for "Not In My Back Yard" - phenomenon focuses on the idea of who is responsible for taking care of the environment so that future generations may prosper - NIMBY attitude reflects human denial of responsibility for the misues of the environment
- problem is that people and businesses can create problem (pollute air or destroy land) but are not held responsible to fix it b/c no definable stds. of whether the individual, business or gov't should correct problems
ENVIRONMENTAL IMPACT STATEMENTS
Lesson 2
Requirements of federal agencies to prepare reports of studies explaining and estimating the environmental impacts of questionable practices and irreversible uses of resources and proposing detailed, reasonable alternatives to these practices
ENVIRONMENTAL PROTECTION AGENCY
Lesson 2
Independent agency to research pollutions problems, aid state/local gov't environmental efforts & admin many federal environmental laws (air, water or land)
Air, Water and Land Legislation
Lesson 2
REVIW BOOK
MONTREAL PROTOCOL
Lesson 2
190 chlorofluorocarbon producing and consuming nations agreed to quick phaseout of these ozone-destroying substances (over 95% phased out)
GLOBAL COMPACT
Lesson 2
Brings thousands of companies from throughout the world society to support universal environmental and social principles; 10 universal principles
ENVIRONMENTAL INTEREST GROUPS
Lesson 2
Responsible for the "greening" of many nations and collectively are known as "the environmental movement"; promote environmental responsiblity throught businesses, governments and various populations of citizens world-wide
- current wave of groups has increased the collaboration between corporate America and environmentalist groups
-"Radicals" seek to challenge/provoke businesses regarding environmental impact (extreme form is ecoterrorism that employ violence to enact change)
- "mainstreamers" seek balance between confrontation and cooperation
- "accommodators" shy away from confrontation and believe corps will do the right thing for the environment
GREEN CONSUMERS
Lesson 2
Consumers that prefer to purchase products/services from companies w/ higher degree of environmental consciousness
- "light-green consumers" are well paid and educated in environmental issues and will give money as opposed to time to support environmental causes
GREEN EMPLOYEES
Lesson 2
Employees that present environmental issues concerning warehouses, office safety, and daily business operations and many times employees can help move a company into areas of environmental conservation like recycling
GREEN INVESTORS
Lesson 2
Individuals that want to advance the environmentalism cause through the purchase and sale of financial instruments of companies w/ environmental orientation
COST-BENEFIT ANALYSIS
Lesson 2
Helps mgmt decide which projects will provide profitable returns and which to avoid; even though environmentalism is essential to all firms, weigh costs and benefits is still necessary for firms to remain solvent; Environmental impact statements usually contain some sort of cost-benefit analysis
- many environmentalist groups will use cost-benefit analysis to show corps the costs of doing nothing to curb environmental issues
TRIPLE BOTTOM LINE
Lesson 2
Reporting that covers economic, social and environmental performance - how the company adds or detracts from society and the environment
COMMUNITY INVOLVEMENT AND ITS IMPORTANCE TO CSR
Lesson 2
The philanthropic responsiblity of corporations as part of CSR can create goodwill for the firm; this responsibility can be fulfilled in two ways: financial contributions and community invovlement (invovles managers/employees giving their talents, efforts and time to improve community); firms must attempt to create the greatest amt of good for greatest number of people
- methods of community involvement include volunteer programs which involves the firm recognizing the needs of the community, resource-based giving which involves companies volunteering either their expertise or specific products or both - by giving from the firm's resources the firm can maximize the benefit of the gifts (ex. Lenscrafters providing eyeware to underdeveloped areas)
MANAGING COMMUNITY INVOLVEMENT: DEVELOPING A COMMUNITY ACTION PROGRAM
Lesson 2
First step is learning about the community which includes everything from demographics and statistics such as unemployment level to the leadership structure of the community; secondly firm assesses what skills/resources their employees can offer or volunteer; thirdly, firm selects the project by identifying those projects most consistent with firm resources, the cost/benefits of project, and employee preferences; finally firm must monitor projects to make sure they are executed properly
CORPORATE PHILANTHROPY AND ITS STRATEGIC PURPOSE
Lesson 2
Philanthropy is the desire to benefitor help one's fellow man, in terms of corporations it is business giving; strategic philanthropy involves a corp giving so as to benefit itself and society; one of the main goals of strategic philanthropy is profitability so firms try to give in accordance with the long-run economic interests of the firm and its economic success
THIRD SECTOR
Lesson 2
The non-profit sector (business and gov't are the first two sectors and receive support through taxes and profits) - non-profits rely on philanthropy
ORDER OF EMPHASIS BY WHICH COMPANIES GIVE TO DIFFERENT CATEGORIES
Lesson 2
1. Health and Human services
2. Education
3. Civic and Community activities (community improvement)
4. Culture and the arts
5. Giving in times of crisis (not necessarily ment to be positioned in this listing - firms are expected to give when disaster strikes like hurricane Katrina)
CAUSE-RELATED MARKETING
Lesson 2
Term coined by American Express whereby a firm contributes a % of a sale to a certain cause
CAUSE-BRANDING
Lesson 2
Longer-term committment than cause-related mkting and more directly relates to firm's line of business and target audience; involves companies selling certain products that are labeled with a certain cause such as the pink ribbon on products for breast cancer, and the company donates the proceeds of that item to the organization
BUSINESS AND PLANT CLOSINGS
Lesson 2
REVIEW SECTION IN BOOK
OUTSOURCING
Lesson 2
Refers to transferring the business operations to another company
- Offshore outsourcing or offshoring means transferring operations to another country
WHY HAS OUTSOURCING BECOME A CONTROVERSIAL ISSUE?
Lesson 2
-
THE NEW SOCIAL CONTRACT
Lesson 2
REVIEW ANSWER
PRIVATE PROPERTY IN THE REALM OF EMPLOYEE RIGHTS
Lesson 3
Public sector subject to constitutional control of its power (gov't employees have more protection); however b/c of private property the private sector not subject to constitutional controls - private property concept holds that individuals and private organizations are free to use their property (including employees) as they desire, thus traditionally private firms have not had to recognize employee rights
EMPLOYEE RIGHTS
Lesson 3
Justifiable claims that utility cannot override; includes both moral and legal components
- positive rights: focus on achieving desired outcomes
- negative rights: focus on prohibiting unwanted outcomes
STATUTORY RIGHTS
Lesson 3
Rights that are est. through law such as the rights granted to individuals through the Civil Rights Act of 1964
COLLECTIVE BARGAINING
Lesson 3
Rights established for workers part of unions
Ex. grievance procedures, job security mechanisms, seniority preferences
ENTERPRISE RIGHTS
Lesson 3
Employer promises or grants
Ex. right to be free from intimidation, right to grievance or complaint system, right to due process in discipline or the right to "just-cause" dismissal
THE RIGHT NOT TO BE FIRED W/O CAUSE
Lesson 3
Lends itself to the idea of the good cause norm, or just cause norm, which is the belief that employees should only be discharged for good reasons despite the fact that in the US employees can be fired for any reason or for no reason as long as termination is not discriminatory
EMPLOYMENT-AT-WILL DOCTRINE
Lesson 3
In opposition to the idea of termination with just cause - has more of an "at will" nature; states that an employer can let an employee go for any reason as long as it is not discriminatory in nature
LEGAL CHALLENGES TO EMPLOYMENT-AT-WILL
Lesson 3
Public Policy Exception: protects employees from termination if they refuse to commit crimes or try to take advantage of privileges they are entitled by law or obligated to perform by law such as serving on a jury

Implied Contract Exception: belief by a worker that he or she has an employment contract based on employer promises, statements made in employee manuals, oral assurance, etc.

Good Faith Principle: employers responsiblity to show that employees were given reasonable opportunity to improve performance before termination
DUE PROCESS
Lesson 3
Right to receive an impartial review of one's complaints and to be dealt with fairly; impartiality means that there should be an objective review of the issues that employees have within the workplace; in contrast to employment at-will doctrine that does not require a reason for termination; due process involves a grievance procedure to review employee issues ranging from a public hearing to outside arbitration
Due process system must have rules it follows and must be perminent so violators of another employee's rights know they face wrongful treatment proceedings, however, before implementing the system on a permanent basis the firm must prove it is effective and equitable to all parties involved and that it is easy to use and applies to all employees
ALTERNATIVE DISPUTE RESOLUTIONS:
OPEN DOOR POLICY
HEARING PROCEDURE
OMBUDSMAN
PEER REVIEW PANEL
MANDATORY ARBITRATION
- MGMT makes themselves available at all times for employees to express potential grievances of unfair treatment
- permits employee to have an attorney and a neutral company exec (or multi-person grievance committee) decides outcome based on evidence
- refers to an individual who investigates reported complaints and helps to achieve equitable settlements
- elected members of the organization that provide unbiased review of complaints of empoyees
- employees agree to arbitration (having a neutral 3rd party resolve conflicts and resolution binding) prior to any dispute occurring
WHISTLE-BLOWER or ACT OF WHISTLE-BLOWING
Lesson 3
Individual of the organization who exposes some type of illegal or immoral operation conducted or authorized by the individual's employer to an outside party (ex. media or gov't agency) that can potentially take action against the employer
- historically the employee-employer relationship held that employee owes loyalty/confidentiality to employer thus making whistle-blowing against std. behavior, but today the view is that employees do have a responsiblity to their employer but also to society and their own piece of mind
RIGHT TO PRIVACY IN THE WORKPLACE
Lesson 3
REVIEW ANSWER
PRIVACY ACT OF 1974
Lesson 3
Sets controls on the right of the gov't to collect, use, and share data about individuals; these restrictions were relaxed with the USA Patriot Act that went into effect after 9/11 but there are still restrictions on how the gov't can collect, use, and share personal data
BACKGROUND CHECKS
Lesson 3
Background checks of current and potential employees is becoming more popular but the controversy remains when employers ask/search for info about criminal records which the Equal Employment Opportunity Commission ruled was not acceptable to use a criminal record as a basis for not hiring someone; decisions must be based on business necessity and the seriousness of the illegal act and how long ago it was
INTEGRITY TESTS
Lesson 3
Originally est. as tests designed to determine if someone is lying; the biggest controversy involved the inventionof the polygraph; the Employee Polygraph Protection Act banned most private sector use of lie detectors but can still be used in certain areas where security is of importance
- many companies moved to integrity tests (honesty tests) which comprise a series of 80 to 90 ethically based questions that are created to determine one's integrity (subject to many of the same concerns of lie-detector tests)
TYPE 1 ERROR VS. TYPE 2 ERROR
Lesson 3
Type 1: finding an innocent person guilty
Type 2: finding guilty person innocent
ARGUEMENTS FOR DRUG TESTING
Lesson 3
Tests should be done to insure the security of the firm and the safety of the public; concerned especially with industries where drug use can cause mishaps that cause harm such as airline industry; focus is on creating a safe work environment and providing safe/secure products/services
ARGUEMENTS AGAINST DRUG TESTING
Lesson 3
Opponents view drug testing as both a due-process issue as it relates to the accuracy of the tests b/c a lot of common foods/meds can lead to false positives creating implications for a person who is actually innocent, and an invasion of privacy issue
READ PGS 700 - 720
-
PROTECTED GROUPS
Lesson 4
Those groups that have legal protection from discrimination based on race, color, religion, national origin, sex, age, or disability
THE PROGRESS OF THE CIVIL RIGHTS MOVEMENT AND MINORITY PROGRESS
Lesson 4
Began in 50s and 60s - American ideal was that one could gain affluence simply by working hard but this did not extend to African Americans/minorities - severe disparity in levels of unemployment among whites and minorities

70's marks the women's movement - women had easier time entering workforce than minorities but still were limited in the jobs they could hold

80's improvements for women and blacks/minorities but blacks unemployment was still double that of whites and there was a pay disparity between whites and women/blacks/minorities

90's blacks began to show greater numbers in corporate America and many African Americans began to realize they could fight social injustice by becoming better educated and more affluent in corporate America
TITLE VII OF THE CIVIL RIGHTS ACT OF 1964
Concerns employment discrimination in regards to hiring, promotion, discharge, pay, fringe benefits, etc. on the basis of race, color, sex, or national origin - should base employment decisions on skill, merit, and ability
- Equal Employment Opportunity Act of 1972 allowed title VII to cover federal, state and local employers and educational institutions
- the Equal Employment Opportunity Commission was given the freedom to bring lawsuits from the private sector that had not been resolved into federal district courts
- Pregnancy discrimination Act added to Title VII
- Title VII allows for protection of employees from retaliation of their employers after the individual files a discrimination lawsuit or participates in some sort of discrimination investigation
AGE DISCRIMINATION IN EMPLOYMENT ACT OF 1967
Lesson 4
Protects workers 40 years and older from employment discrimination unless age is a bona fide occupational qualification
AMERICANS WITH DISABILITIES ACT OF 1990
Lesson 4
Provide employment protection rights for ppl with physical or mental disabilities; requires a firm to make accomodations for individuals requiring modifications to the work environment to perform the duties as long as it does not create undue hardship on the firm (great expense)
- disabilities are impediements that hinder one's ability to perform major life activities such as speaking, learning, or independent thinking
- Supreme Court has allowed individuals to sue under the contract which has led to frivilous lawsuits
EQUAL EMPLOYMENT OPPORTUNITY COMMISSION
Lesson 4
EEOC's responsibility is to receive and investigate imployment discrimination charges/complaints - attempts to reconcile impediments of illegal discrimination; if the EEOC cannot reconcile has authority to file lawsuit with federal courts
DISPARATE TREATMENT
Lesson 4
Discrimination based on race, color, religion, sex, or national origin
Ex. paying women less then men for the same job
DISPARATE IMPACT
Lesson 4
Unequal impact, or disparate impact, where fewer minorities are included in the outcome of the test or the hiring or promotion practice than would be expected by their numerical proportion
ISSUES OF RACIAL DISCRIMINATION: TWO NATIONS OF BLACK AMERICA
Lesson 4
Proposed by Henry Louis Gates, Jr. - idea that African Americans are divided into two cultures based on money, power, and education; even those blacks with affluence and education still face greater challenges (including blatant racism) than do whites in the workforce
SEXUAL HARASSMENT
Lesson 4
Unwelcome sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature constitute sexual harassment when submission to or rejection of this conduct explicitly or implicitly affects an individual's employment, unreasonably interferes w/ an individual's work performanc, or creates an intimidating, hostile or offensive work environment
QUID PRO QUO HARASSMENT VS. HOSTILE WORK ENVIRONMENT
Lesson 4
Quid: something given or received for something else (ex. boss may make it explicit or implicit that a sexual favor is expected the employee wants a pay raise)
- Hostile: nothing given or received but he employee perceives a hostile or ofensive work environment by virtue of uninvited sexually oriented behaviors or materials being present in workplace
MERITOR SAVINGS BANK v. VINSON: Sexual Harassment Lawsuit
Lesson 4
Supreme Court found sexual harassment to be a violation of Title VII of the Civil Rights Act
HARRIS v. FORKLIFT SYSTEMS: Sexual Harassment Lawsuit
Lesson 4
Supreme Court ruled that employers can be forced to pay damages even if the workers suffered no proven psychological harm
PREGNANCY DISCRIMINATION ACT OF 1978
Lesson 4
Part of Title VII, requires employers to treat pregnancy and pregnancy-related medical conditions the same as any other medical disability w/ respect to all terms and conditions of employmentl
AFFIRMATIVE ACTION
Lesson 4
The taking of positive steps to hire and promote people from groups previously discriminated against
DANIEL SELIGMAN'S FOUR POSTURES OF AFFIRMATIVE ACTION
Lesson 4
"Soft" or "Weak" postures:
1). Passive nondiscrimination: involves a willingness in hiring, promotion and pay decisions to treat races and sexes alike
2). Pure affirmative action: effort to enlarge the pool of applicants so that no one is excluded because of past or present discrimination - at the point of hiring/promoting the company selects the most qualified applicant regardless of sex or race

"Hard" or "Strong" postures
3). Affirmative action with preferential hiring: company not only enlarges labor pool but systematically favors minorities and women in the actual decisions as well
4). Hard quotas: company specifies numbers or proportions of minority group members that must be hired
PREFERENTIAL TREATMENT
Lesson 4
Underlying rationale for affirmative action and the idea of compensatory justice underlies this idea, which holds that whenever an injustice is done just compensation or reparation is owed to the injured party or parties
REVERSE DISCRIMINATION
Lesson 4
Affirmative action can lead to reverse discrimination because when preferential treatment is given to minorities and women, discrimination may occur against those in the minority (often white males)
STRICT SCRUTINEY
Lesson 4
Idea that affirmative action based on race must meet strict scrutiny - two components:
1). program or policy must meet a compelling government interest
2). program or policy must be tailored narrowly to meet the program or policy objectives

*Does not declare affirmative action unconstitutional just makes it tougher to allow programs to pass
EIGHT DIMENSIONS OF PRODUCT/SERVICE QUALITY
Lesson 1
performance, which are the basic characteristics of operation; features are the extra perks included with a product beyond performance level attributes; reliability refers to how much of chance the product has in failing; conformance focuses on how well the product/service aligns with conventional standards; durability refers to the life of the product; serviceability focuses on the efficiency of repair; aesthetics focuses on interaction with human senses, how the product looks or smells; perceived quality which is derived from tangible/intangible characteristics of the product