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Solution Manual for Business Law Text & Exercises, 10th Edition Roger LeRoy Miller
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Miller, Business Law: Text & Exercises, 10e © 2023; Chapter 01: Introduction to the LawInstructor Manual
Business Law Text & Exercises, 10th Edition
Chapter 1-43
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Chapter 1
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Table of Contents
Purpose and Perspective of the Chapter ............................................................................................................... 2
Cengage Supplements .................................................................................................................................................. 2
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List of Student Downloads ...................................................................................................................................... 2
Chapter Objectives ......................................................................................................................................................... 2
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Key Terms ........................................................................................................................................................................... 2
What's New in This Chapter ........................................................................................................................................ 3
Chapter Outline ............................................................................................................................................................... 4
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Discussion Questions ..................................................................................................................................................... 8
Additional Resources .................................................................................................................................................. 10
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Cengage Video Resources ................................................................................................................................... 10
Appendix ......................................................................................................................................................................... 10
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Generic Rubrics......................................................................................................................................................... 10
Standard Writing Rubric ....................................................................................................................................... 10
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Standard Discussion Rubric ................................................................................................................................. 12
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© 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible 1
website, in whole or in part.
, Miller, Business Law: Text & Exercises, 10e © 2023; Chapter 01: Introduction to the Law
Purpose and Perspective of the Chapter
The purpose of this chapter is to examine the relationship between law and ethics. The chapter
presents issues involved to determining the ethical responsibilities of businesses and provides
students a framework for analyzing and making ethical decisions.
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Cengage Supplements
The following product-level supplements provide additional information that may help you in
preparing your course. They are available in the Instructor Resource Center.
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PowerPoint Deck
List of Student Downloads
Students should download the following items from the Student Companion Center to complete
the activities and assignments related to this chapter:
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PowerPoint Deck (without teaching notes, activities, or answers)
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Chapter Objectives
The following objectives are addressed in this chapter:
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1. Discuss how business can discourage unethical behavior
2. Explain the relationship between law and ethics
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3. Compare duty-based ethics and utilitarian ethics
4. Identify ethical problems in the global context
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Key Terms
business ethics: Ethics in a business context; a consensus of what constitutes right or wrong
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behavior in the world of business and the application of moral principles to situations that arise
in a business setting.
categorical imperative: A concept developed by the philosopher Immanuel Kant as an ethical
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guideline for behavior. In deciding whether an action is right or wrong, or desirable or
undesirable, a person should evaluate the action in terms of what would happen if everybody
else in the same situation, or category, acted the same way.
corporate social responsibility (CSR): The concept that corporations can and should act
ethically and be accountable to society for their actions.
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cost-benefit analysis: A decision-making technique that involves weighing the costs of a given
action against the benefits of the action.
duty-based ethics: An ethical philosophy rooted in the idea that every person has certain duties
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to others, including both humans and the planet. Those duties may be derived from religious
principles or from other philosophical reasoning.
ethical reasoning: A reasoning process in which an individual links his or her moral convictions
or ethical standards to the particular situation at hand.
© 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible 2
website, in whole or in part.
, Miller, Business Law: Text & Exercises, 10e © 2023; Chapter 01: Introduction to the Law
ethics: Moral principles and values applied to social behavior.
moral minimum: The minimum degree of ethical behavior expected of a business firm, which is
usually defined as compliance with the law.
outcome-based ethics: An ethical philosophy that focuses on the impacts of a decision on
society or on key stakeholders.
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outsourcing: The practice by which a company hires an outside firm or individual to perform
work rather than hiring employees.
principle of rights: The principle that human beings have certain fundamental rights (to life,
freedom, and the pursuit of happiness, for example). A key factor in determining whether a
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business decision is ethical under this theory is how that decision affects the rights of others,
such as employees, consumers, suppliers, and the community.
stakeholders: Groups, other than the company’s shareholders, that are affected by corporate
decisions. Stakeholders include employees, customers, creditors, suppliers, and the community
in which the corporation operates.
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triple bottom line: The idea that investors and others should consider not only corporate
profits, but also the corporation’s impact on people and on the planet in assessing the firm. (The
bottom line is people, planet, and profits.)
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utilitarianism: An approach to ethical reasoning in which ethically correct behavior is related to
an evaluation of the consequences of a given action on those who will be affected by it. In
utilitarian reasoning, a ―good‖ decision is one that results in the greatest good for the greatest
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number of people affected by the decision.
[return to top]
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What's New in This Chapter
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The following elements are improvements in this chapter from the previous edition:
New chapter title and chapter-opening introduction scenario discussing recent
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technology scandal involving finger-prick blood test kits
New chapter organization and subheads throughout (including new headings for
―outsourcing‖ and ―corruption‖)
New section on Making Ethical Business Decisions and new materials on Systematic
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Approach: IDDR (―I desire to do right‖) that will be used throughout the text to analyze
ethics, including in all of the new ―A Question of Ethics‖ problems in the remaining
chapters.
o New ―Application of the IDDR Approach‖ subsection with step-by-step discussion
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and sample scenario.
1 New Exhibit 3–1: An Analysis of Ethical Approaches to the Sample
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Dilemma (for new IDDR Approach)
o 1 New Term & Concept
outsourcing
1 New Ethics Today feature—
© 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible 3
website, in whole or in part.
, Miller, Business Law: Text & Exercises, 10e © 2023; Chapter 01: Introduction to the Law
o Applying the IDDR Framework
Retained and Updated Digital Update feature—
o Should Employees Have a Right of Disconnecting? (Discussing overtime rules and
digital connectivity of employees through smartphones and other devices.)
1 New Case:
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o Case 3.1: Al-Dabagh v. Case Western Reserve University (2015)—on a university’s
discharge of a student for failure to meet professionalism standards because he
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sexually harassed other students, was late for classes, and convicted of a DUI
o New Case 3.2: Watson Laboratories, Inc. v. State of Mississippi (2018)—on short-
term profit maximization when drug manufacturer lied to Medicaid to obtain
overpayment for its drugs.
5 New Case in Points
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o 2014 case on the moral minimum
o 2017 case on Volkswagen diesel-gate
2015 Morgan Stanley case on sales contests
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o 2015 case on Gandhi furniture on unethical conduct with customer
o 2015 case on defective Takata Corp. airbags in cars
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7 New Examples
o On Fraud Reduction and Data Analytics Act.
On Dodd-Frank Wall Street Reform and Consumer Protection Act.
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o On Google’s code of conduct.
o On Costco’s Code of Ethics.
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o On Google’s popular corporation social responsibility policies
o On a garment worker who claimed that Nike abused workers in Thai factory by
withholding wages and forcing them to work 16 hours a day.
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o On Chinese factory supplier making Apples products violated environment
standards.
Reworked material on Corporate Social Responsibility, including expanded discussion on
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the social and corporate aspects of CSR.
1 New Business Scenario
3 New Case Problems (based on 2012 and 2017 cases)
1 New ―A Question of Ethics‖ applying all-new IDDR Approach (based on 2016 case)
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1 New Time-Limited Group Assignment on corporate social responsibility
[return to top]
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Chapter Outline
I. The Importance of Business Ethics
© 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible 4
website, in whole or in part.
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