Management, 14e (Robbins/Coulter)
Chapter 6 Managing Social Responsibility and Ethics
1) Social obligation is the obligation of a business to meet its ________.
A) social and legal responsibilities
B) economic and social responsibilities
C) social and economic responsibilities
D) economic and legal responsibilities
2) If your university was paying minimum wage when necessary and applying the minimum
legal standards to its employees work environment, it would be said to have fulfilled its
________.
A) social obligation
B) social responsibility
C) social responsiveness
D) social expectation
3) In the United States a company that meets, but does not exceed, federal pollution control
standards and does not discriminate in hiring, promotion, and pay is generally meeting its
________.
A) social screening requirements
B) green management requirements
C) social obligation
D) social responsibility
4) Under the concept of ________, the organization does what is required by the ________.
A) social responsibility; competitive market
B) social responsiveness; government
C) socioeconomics; environment
D) social obligation; law
5) The ________ view of social responsibility holds that management’s only social responsibility
is to maximize profits.
A) socioeconomic
B) classical
C) sociocultural
D) neoclassical
6) The most outspoken advocate of the classical view of social responsibility is economist and
Nobel laureate ________.
A) George Stigler
B) John McCain
C) Bernard Madoff
D) Milton Friedman
7) Under the classical view, aiding the few through philanthropy ________.
A) benefits the whole by uplifting the downtrodden
B) grows wealth for stockholders by increasing the stock trading price
C) increases costs for consumers
D) manipulates society through social engineering
8) The ________ view is that management’s social responsibility goes beyond making profits to
include protecting and improving society’s welfare.
A) sociotechnical
B) socioeconomic
C) sociocultural
D) sociopolitical
9) If your university provides job-share programs, builds a day-care facility, and only uses
recycled paper, it could be said to be ________.
A) fulfilling its social obligation
B) socially aware
C) socially responsive
D) socially image conscious
10) When PETA supporters picketed Avon products because of its use of animals in the testing
of its cosmetics, Avon changed its practices and stopped testing on animals. In this situation,
Avon exercised ________.
A) social obligation
B) classical responsibility
C) social responsiveness
D) social engineering
11) A U.S. business that provides on-site childcare facilities for employees as part of a
negotiation with its union is ________.
A) being socially responsive
B) fulfilling its social obligations
C) adopting social screening
D) practicing green management
12) When a firm advertises that it only uses recycled paper products, it is ________.
A) meeting its social obligation
B) meeting its social screening requirements
C) being socially responsive
D) following ISO 9000 standards
13) Years ago McDonald’s switched from Styrofoam boxes for its large sandwiches to
corrugated boxes made partially from recycled materials because of concerns that Styrofoam
took too long to decompose in landfills. In this situation, McDonald’s was ________
A) fulfilling its social obligation
B) socially aware
C) socially responsive
D) socially image conscious
14) ________ is defined as a business firm’s intention, beyond its legal and economic
obligations, to do the right things and act in ways that are good for society.
A) Social obligation
B) Social responsibility
C) Social screening
D) Values-based management
15) The aspect that differentiates social responsibility from other similar concepts is that it adds
a(n) ________.
A) ethical imperative
B) legal imperative
C) environmental imperative
D) social imperative
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16) Which one of the following examples reflects a socially responsible action by an
organization?
A) Ford Motor Company became the first automaker to endorse a federal ban on sending text
messages while driving.
B) Apple has eliminated lead-lined glass monitors from its product line and pioneered reduced-
sized packaging that leverages recyclable materials.
C) By 2019, Chick-fil-A will stop selling products containing meat from poultry raised with
antibiotics.
D) UPS has a company-wide policy that urges employees to volunteer during natural disasters
and other crises.
Answer: B
Diff: 3
AACSB: Ethical understanding and reasoning; Application of knowledge; Analytical thinking
Learning Obj: LO 6.1: Discuss what it means to be socially responsible and what factors
influence that decision
Classification: Application
17) According to the ________ argument on social responsibility, businesses should be socially
responsible because responsible actions are the right thing to do.
A) better environment
B) ethical obligation
C) public image
D) greater good
Answer: B
Diff: 3
AACSB: Ethical understanding and reasoning
Learning Obj: LO 6.1: Discuss what it means to be socially responsible and what factors
influence that decision
Classification: Concept
18) Following Hurricane Katrina in 2005, WalMart sent semis loaded with items such as bottled
water, diapers, and other daily necessities to the New Orleans area. We can say that WalMart
exercised ________.
A) social obligation
B) social responsiveness
C) social responsibility
D) social awareness
Answer: C
Diff: 2
AACSB: Ethical understanding and reasoning; Application of knowledge
Learning Obj: LO 6.1: Discuss what it means to be socially responsible and what factors
influence that decision
Classification: Application
19) The belief that business involvement can help solve difficult social problems is the ________
argument of social responsibility.
A) public expectation
B) public image
C) better environment
D) possession of resources
20) Which one of the following arguments on social responsibility states that businesses should
address social problems before they become serious and costly to correct?
A) superiority of prevention over cures
B) possession of resources
C) balance of responsibility and power
D) better environment
21) Which one of the following arguments on social responsibility states that a business is
socially responsible only when it pursues its economic interests?
A) public expectations
B) violation of profit maximization
C) superiority of prevention over cures
D) possession of resources
22) Which one of the following arguments on social responsibility states that pursuing social
goals hurts a business’s economic productivity?
A) long-run profits
B) dilution of purpose
C) stakeholder interests
D) public image
23) Which one of the following arguments on social responsibility states that there is no direct
line of responsibility for social actions?
A) dilution of purpose
B) ethical obligation
C) balance of responsibility and power
D) lack of accountability
24) The process of applying social and environmental criteria to an investment decision is known
as ________.
A) green screening
B) value-based selection
C) violation of profit maximization
D) social screening
25) Appleton would like to build a coal-burning electric generating facility located in a remote
area because the cost involved is moderate. Appleton is following which of the social
responsibility views?
A) legal view
B) stakeholder view
C) classical view
D) socioeconomic view
26) Baskins wants to build a nuclear plant because this will not add to his city’s already serious
pollution problem, while taking care of its electricity requirements. Baskins is following which
of the social responsibility views?
A) market view
B) activist view
C) classical view
D) socioeconomic view
27) Carson wants to build an electricity generating plant that uses combustible fuels collected
from the city’s garbage, and located near the downtown government area so that the steam could
be used for heating the government buildings after it has passed through the generating turbines.
Carson is being mostly ________.
A) socially guarded
B) socially focused
C) socially obligated
D) socially responsive
28) According to the classical view of social responsibility, management’s only social
responsibility is to maximize profits.
29) The most outspoken advocate of the classical view of organizational social responsibility is
Alan Greenspan.
30) According to the socioeconomic view, managers’ social responsibilities go beyond making
profits to include protecting and improving society’s welfare.
31) When a firm engages in social actions because of its obligation to meet certain economic and
legal responsibilities, it is said to be socially responsive.
32) One argument against businesses championing social responsibility issues is that businesses
already have too much power.
33) Possession of resources is an argument in favor of social responsibility.
34) Studies have confirmed that businesses that engage in social involvement enjoy higher
profits than those which do not.
35) Compare and contrast the ideas of social obligation, social responsiveness, and social
responsibility.
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36) List and discuss three arguments in favor of business social responsibility and five arguments
against it.
37) Managers who consider the impact of their organization on the natural environment are said
to be practicing ________.
A) value-based management
B) ethics-based management
C) socially responsible management
D) green management
38) In which of the following approaches of going green does the organization exhibit the least
environmental sensitivity?
A) legal (light green) approach
B) dark green approach
C) market approach
D) stakeholder approach
39) Under what approach do organizations exhibit little environmental sensitivity, and simply
obey laws, rules and regulations?
A) stakeholder approach
B) market approach
C) legal approach
D) activist approach
40) In the ________ approach of going green, organizations respond to the environmental
preferences of customers.
A) legal
B) market
C) stakeholder
D) activist
41) In the ________ approach of going green, an organization works to meet the environmental
demands of its employees, suppliers, or community.
A) dark green
B) light green
C) market
D) stakeholder
42) EPA regulations permit the release of 150 micrograms of particulate matter per cubic meter
of air every 24 hours from paint shops. Utilimotors, a utility truck maker, monitors its emissions
so it releases between 140 and 150 micrograms. Which approach of green management does
Utilimotors use?
A) legal approach
B) market approach
C) stakeholder approach
D) activist approach
43) What approach deals with an organization changing its interaction with the environment
because of the preferences of its customers?
A) stakeholder approach
B) market approach
C) legal approach
D) activist approach
44) Under what approach does the organization work to meet the environmental demands of
multiple groups of people including employees, suppliers, or the community?
A) stakeholder approach
B) market approach
C) legal approach
D) activist approach
45) Which of the following ISO standards is related to quality management?
A) ISO 9000
B) ISO 14000
C) ISO 8000
D) ISO 15000
46) Which of the following approaches of going green reflects the highest degree of
environmental sensitivity and is also a good illustration of the social responsibility of the
organization?
A) legal approach
B) market approach
C) stakeholder approach
D) activist approach
47) Which of the following ISO standards is related to environmental management?
A) ISO 9000
B) ISO 14000
C) ISO 16000
D) ISO 8000
48) Under what approach is the organization driven to look for ways to respect and preserve the
earth and its natural resources?
A) stakeholder approach
B) market approach
C) legal approach
D) activist approach
49) Miller’s Multivitamins uses only organically grown fruits and vegetables in its vitamins. It
purifies any water used in its processes before releasing it back into the environment and exceeds
the EPA requirements for cleaning particulates from the air it uses. Which approach to green
management does Miller’s Multivitamins use?
A) legal
B) market
C) stakeholder
D) activist
50) Many companies around the globe voluntarily report their efforts in promoting
environmental sustainability using the guidelines developed by the ________.
A) Global Compact
B) Environmental Protection Agency
C) Global Reporting Initiative
D) Organization for Economic Co-operation and Development
51) Which of the following ISO standards is related to quality management?
A) ISO 8000
B) ISO 9000
C) ISO 14000
D) ISO 15000
52) Which of the following ISO standards is related to environmental management?
A) ISO 8000
B) ISO 9000
C) ISO 14000
D) ISO 15000
53) One way to evaluate a company’s green actions is to use the ________ list of the most
sustainable corporations in the world.
A) Global 100
B) Global 200
C) Global 400
D) Global 500
54) To be named on the Global 100 list, which is announced each year at the World Economic
Forum, a company ________.
A) has to have earned ISO certification
B) has to display a superior ability to effectively manage environmental and social factors
C) has to be free from EPA violations
D) has to submit an application with supporting documentation
55) The legal approach to going green is also known as the dark green approach.
56) An organization is said to adopt the market approach to going green when it responds to the
environmental demands made by its stakeholders.
57) In the activist approach to going green, an organization looks for ways to protect its sources
of supply.
58) Explain the four approaches that organizations can take with respect to environmental issues
and going green.
59) ________ defined as the basic convictions about right and wrong decisions and behavior.
A) Beliefs are
B) Principles are
C) Ethics is
D) Values are
60) At the ________ level of moral development, a person’s choice between right or wrong is
based on personal consequences from outside sources, such as physical punishment, reward, or
exchange of favors.
A) preconventional
B) conventional
C) principled
D) post-conventional
61) In which one of the stages of moral development do individuals stick to rules to avoid
physical punishment and follow rules only when doing so is in their immediate interest?
A) preconventional stage
B) conventional stage
C) principled stage
D) post-conventional stage
62) Norman is a stickler for following the rules because he is sure he will be caught and punished
if he doesn’t. What is Norman’s level of moral development?
A) preconventional
B) conventional
C) principled
D) post-conventional