Final answer:
The statement that a rapid increase in the appointment of corporate ethics officers typically follows the revelation of a major business scandal is true.
Step-by-step explanation:
The statement that a rapid increase in the appointment of corporate ethics officers typically follows the revelation of a major business scandal is true. After high-profile corporate scandals, there is often heightened awareness and scrutiny around business practices.
This environment generally leads to corporations taking preventive measures to safeguard against future ethical breaches. One common response is to increase oversight by appointing or empowering corporate ethics officers, who are responsible for monitoring compliance with ethical standards and ensuring that corporate practices align with laws and moral principles.
Corporate governance is critical in providing accurate information and oversight. However, failures in these systems, such as with the case of Lehman Brothers, highlight the complexities and sometimes inadequate measures in place to prevent ethical lapses.
The role of corporate ethics officers becomes even more vital as firms grow and exert more control within the market, raising concerns about the balance of power between corporations and their employees, including their moral obligations to them.