Reference no: EM133950431
MULTIPLE CHOICE QUESTIONS
1. Which statement is correct about the business-society interdependence?
I. Business is a part of society.
II. Business is separated from the rest of society by clear boundaries.
III. Business activities impact other activities in society.
IV. Actions by governments rarely significantly affect business.
A. IV only. B. all of the above. C. I,II, and III D. I, III and IV
2. Which of the following is the result of an inseparable relationship between business and society?
A. All business decisions have a social impact. Get expert-level assignment help in any subject.
B. The vitality of business depends on society's actions and attitudes.
C. The survival of business is independent of society.
D. Both A and B, but not C.
3. The fiduciary duty of managers benefits a firm's:
A. Stockholders.
B. Customers.
C. Employees.
D. All of the above.
4. Which one of the following is considered to be a nonmarket stakeholder of business?
A. Customers.
B. Media.
C. Creditors.
D. Stockholders.
5. The five types of stakeholders' power recognized by most experts are:
A. Voting, economic, political, legal, and informational power.
B. Social, legal, environmental, economic, and political power.
C. Social, regulatory, voting, governance, and media power.
D. Economic, media, legal, stockholder, and political power.
6. Which of the following statements is not correct about stakeholders' power?
A. Different stakeholders have different types and degrees of power.
B. Stockholders' voting power is not limited to the percentage of stock owned by the stockholder.
C. It uses resources to achieve a desired decision or outcome.
D. All of the above.
7. Stakeholders stand out to managers when they exhibit:
A. Integrity, power, and legitimacy.
B. Power, legitimacy, and urgency.
C. Integrity, loyalty, and power.
D. Legitimacy, loyalty, and urgency.
8. A stakeholder map is a useful tool because:
A. It enables managers to see quickly how stakeholders feel about an issue.
B. It allows managers to evaluate what outcomes are likely regarding an issue.
C. It helps managers discourage or dissolve stakeholder coalitions.
D. Both A and B, but not C.
9. Failure to understand the beliefs and expectations of stakeholders:
A. Causes a company's profits to increase in the short run.
B. Causes a company's profits to decrease in the short run.
C. Causes the performance-expectations gap to grow larger.
D. Increases the chance of a corporate buy-out.
10. According to management scholar Karl Albrecht, scanning to acquire environmental
intelligence should focus on:
A. Eight strategic radar screens.
B. Six management templates.
C. Eight process improvement models.
D. Six ethical decision indicators.
11. Because of the risks and opportunities public issues present, organizations need:
A. A strong relationship with a lobbying firm or an in-house lobbying department.
B. Executives to be rewarded with substantial bonuses as part of total compensation.
C. A systematic way of identifying, monitoring, and selecting public issues.
D. Tougher government regulations and oversight by political action committees.
12. When working well, the issue management process:
A. Is static and never pulls in additional information that would disturb the balance.
B. Generates two specific options for each issue.
C. Minimizes dialogue with the stakeholders and focuses on short-term survival.
D. Continuously cycles back to the beginning and repeats.
13. Overtime, the nature of business's relationship with its stakeholders often:A. Remains static.
B. Evolves through a series of stages.
C. Becomes more hostile.
D. None of the above.
14. Stakeholder engagement is:
A. Any issue that is of mutual concern to an organization and one or more of its stakeholders.
B. Competitive intelligence being collected ethically and systematically.
C. The process of ongoing relationship building between a business and its stakeholders.
D. The acquisition of information gained from analyzing the multiple environments.
15. Which of the following companies is being the most socially responsible?
A. A company trying its best to operate in a way which will help local students get education and
jobs.
B. A company halting its production of toxic gases after it discovered that people objected to this
practice and threatened legal action.
C. A company trying to maximize its profits and then contributing to an environmental protection
fund.
D. A company changing its product design to comply with regulatory mandates.
16. When a person or group of people identify a social need and use their entrepreneurial skills to address this need, this process is called:
A. Social stewardship.
B. Social entrepreneurship.
C. Social optimism.
D. Social responsibility.
17. This occurs when financial organizations provide loans to low-income clients or solidarity lending groups (a community of borrowers) who traditionally lacked access to banking or related services.
A. Commercial banking.
B. Macrofinancing.
C. Microfinancing.
D. Micro-entrepreneurship.
18. Why should business be ethical?
A. Most people want to act in ways that are consistent with their own sense of right and wrong.
B. Ethical behavior protects business firms from abuse by unethical employees and competitors.
C. Society's stakeholders expect it from businesses.
D. All of the above.
19. Cross-cultural contradictions arise due to:
A. The emergence of a developing country's economic power.
B. Religious differences practiced by business executives.
C. Differences between home and host countries' ethical standards.
D. All of the above.
20. Public policy tools involve a combination of:
A. Incentives and political favors.
B. Penalties and prison terms.
C. Incentives and penalties.
D. Political favors and prison terms.