When managers become personally involved in developing public policy, the firm is at
what level of business political involvement?
A. Limited organizational involvement.
B. Moderate organizational involvement.
C. Aggressive organizational involvement.
D. Holistic organizational involvement.
Answer:
The Sustainability Consortium organized to advance life-cycle analysis for thousands of
products includes all of the following companies except:
A. Walmart.
B. Dell.
C. Alcoa.
D. Google.
Answer:
Which of the following is (are) core rights of consumers?
A. The right to safety.
B. The right to be represented.
C. The right to purchase.
D. All of the above.
Answer:
In the United States, which of the following agencies enforces the laws prohibiting
deceptive advertising?
A. Congress.
B. Consumer Product Safety Commission.
C. Federal Trade Commission.
D. Department of Justice.
Answer:
Companies that cultivate a vision of sustainability must adopt sophisticated strategic
planning techniques to:
A. Increase the competitive advantage of other international organizations.
B. Detect the limited number of internal factors that influence the employee
performance reviews.
C. Allow their top manager to assess the full range of the firm’s effects on the
environment.
D. Increase the number of government regulations that are passed to reduce pollution.
Answer:
By law, the financial records of publicly held companies are required to be:
A. Managed by an accounting department of at least 5 CPAs.
B. Summarized in the employee manual for new hires.
C. Reviewed quarterly by the IRS.
D. Audited by a certified professional accounting firm.
Answer:
Which transportation system improvement has aided the acceleration of globalization?
A. Airfreight.
B. High-speed rail.
C. New oceangoing vessels.
D. All of the above.
Answer:
An issue’s public profile indicates to managers:
A. How significant an issue is for the organization, but it does not tell them what to do.
B. Both how significant an issue is for the organization and exactly what to do.
C. Exactly what to do without indicators of how significant an issue is for the
organization.
D. Any of the above depending on the organization type.
Answer:
In a 2010 study of 400 companies, what percentage of firms said the benefits of the
Sarbanes-Oxley Act outweighed its costs?
A. 12%
B. 33%
C. 55%
D. 70%
Answer:
One of the most widespread and potentially powerful efforts to combat bribery was
initiated by:
A. The Global Forum on Fighting Corruption.
B. The Organization for Economic Cooperation and Development.
C. International Labour Organization.
D. The U.S. Foreign Corrupt Policy Act.
Answer:
The issue management process has how may stages?
A. Three.
B. Four.
C. Five.
D. Six.
Answer:
Around the world, government:
A. Tends to cooperate with business.
B. Tends to be in conflict with business.
C. Sometimes cooperates and sometimes is in conflict with business.
D. Tends to be controlled by business.
Answer:
A firm that has global operations has:
A. All of their manufacturing and service operations abroad.
B. Some or all of their manufacturing or service operations abroad.
C. Manufacturing but not service operations abroad.
D. Service but not manufacturing operations abroad.
Answer:
Which of the following is a type of corporate crisis?
A. Acts of God.
B. Management indecision.
C. Mechanical problems.
D. All of the above.
Answer:
A corporation’s issue management activities are usually linked to:
A. The board of directors.
B. Top management.
C. Both the board of directors and top management levels.
D. The strategic governance committee.
Answer:
Which of the following is an example of a nonrenewable resource?
A. Coal.
B. Fresh water.
C. Timber.
D. Fish.
Answer:
Which of the following is true about random drug testing of employees?
A. It screens randomly-selected employees at various times through the year.
B. It randomly tests selected applicants before hiring, as a part of a physical
examination.
C. It tests an employee believed to be impaired by drugs and unfit for work.
D. It regularly tests employees from randomly-selected job categories or job levels.
Answer:
As one group of scholars has written, the essential role of the public relations program
appears to be that of:
A. A window out of the corporation through which management can perceive, monitor,
and understand external change.
B. A window in through which society can influence corporate policy and practice.
C. Making sure that the reputation of the CEO is preserved.
D. Both A and B, but not C.
Answer:
Which country has made the greatest progress in reducing its solid waste stream?
A. United Kingdom.
B. Germany.
C. Japan.
D. United States.
Answer:
Loss of annual sales due to software piracy by software companies was estimated to be:
A. $120.3 million.
B. $25.8 billion.
C. $63.5 billion.
D. Impossible to calculate.
Answer:
Which of the following examples best illustrate an ethics issue based on cross-cultural
contradictions?
A. Legally marketing a pesticide abroad that has been banned in the U.S.
B. Circumventing government regulations to ensure company profits.
C. Hiring child workers in violation of civil law.
D. False and misleading advertising claims.
Answer:
Firms in the chemical industry, which must contend with frequently changing
environmental regulations and the risk of dangerous accidents, usually have:
A. No defined political strategy.
B. A sophisticated political strategy.
C. A political strategy focused on intellectual property rights.
D. A political strategy focused on licensing rights.
Answer:
Integrity-based ethics programs:
A. Seeks to avoid legal sanctions.
B. Combines concern for the law with an emphasis on employee responsibility.
C. Threatens employees with punishment for non-compliance with the ethics program.
D. Are predominately implemented within the European Union.
Answer:
According to the new social contract:
A. The employer is obligated to provide long-term job security.
B. Companies try to attract workers by giving them interesting and challenging work.
C. Job security is based on seniority, but salaries may be lowered for poor performance.
D. The employer is without any responsibilities toward employees.
Answer:
What U.S. company is the best example of using globalization to reduce the price of its
products?
A. K-Mart.
B. Toys R Us.
C. Walmart.
D. Macy’s.
Answer:
Which car company did not seek bailout loans from the U.S. government following the
2009 worldwide economic recession?
A. Toyota.
B. General Motors.
C. Chrysler.
D. Ford.
Answer:
The act that requires lenders to inform borrowers of the annual rate of interest to be
charged, plus related fees and services charges is called:
A. The Consumer Protection Act.
B. The Product Safety Act.
C. The Predatory Mortgage Act.
D. The Truth in Lending Act.
Answer:
Anti-spam legislation was passed by which country making it a crime to send
unsolicited e-mail messages to people’s private e-mail addresses or cell phones:
A. United States.
B. Japan.
C. United Kingdom.
D. Germany.
Answer:
The most successful global businesses in coming years will be those companies that:
A. Develop short-term partnerships between companies in developing countries to
transfer environmental technologies.
B. Recognize the imperative for sustainable development as an opportunity both for
competitive advantage and ethical action.
C. Avoid fully accounting environmental costs in calculating measures of production
such as the gross domestic product (GDP).
D. Produce products with a limited useful life.
Answer:
Asian Forum on Corporate Social Responsibility gives awards for excellence in:
A. Environmental management.
B. Education.
C. Poverty alleviation.
D. All of the above.
Answer:
The amount of land and water a human population needs to produce the resources it
consumes and to absorb its wastes given prevailing technology is called:
A. Ecological footprint.
B. Technological innovation.
C. Sustainable development.
D. Consumption footprint.
Answer:
Employees in the United States have a legal right to:
A. Organize and bargain collectively.
B. A safe and healthy workplace.
C. A job.
D. Both A and B, but not C.
Answer:
In response to concerns about the lack of transparency in financial accounting,
Congress passed a new law called the:
A. U.S. Corporate Sentencing Guidelines.
B. McCain-Feingold Act.
C. Sarbanes-Oxley Act.
D. Securities and Exchange Act.
Answer:
The Motion Picture Association of America claimed that 44 percent of the industry’s
domestic losses came from illegal downloading of movies by:
A. Minority households.
B. Single-woman households.
C. Men between the age of 30 and 50.
D. College students and recent graduates.
Answer:
Rapid economic development is often accompanied by:
A. Increasing population growth.
B. Greatly decreased crop yields.
C. Rising incomes, bringing higher rates of both consumption and waste.
D. Decreasing incomes, bringing rates of both consumption and waste.
Answer:
Labor unions have been an active participant in United States politics for decades.
Answer:
How can a company focus on the needs of its stakeholders without neglecting its
shareholder obligations?
Answer:
Prepare a strong argument in favor of and in opposition to businesses being involved in
the political process.
Answer:
According to the textbook, the heads of most public affairs departments are senior vice
president or vice president positions.
Answer:
According to utilitarian reasoning, an action is ethically preferred when its benefits
outweigh its costs.
Answer:
According to the textbook, until 2010, corporations were permitted by law to make
direct contributions to political candidates for national and most state offices.
Answer:
Being ethical includes developing a sense of trust, which promotes positive alliances
among business partners.
Answer:
Discuss the benefits and costs of globalization. Provide examples of how globalization
has helped or harmed individual nations and the world economy.
Answer:
It is the responsibility of the board of directors and its audit committee to engage an
independent accounting firm to audit the financial statements prepared by management.
Answer:
Discuss what factors have fueled technological growth and development?
Answer:
Reports have shown that 70 percent of consumers said they wouldbuy a product even if
they did not like the company’s reputation behind the product.
Answer:
The public scrutiny following a corporate crisis can have a political, legal, financial,
and governmental impact on its business.
Answer:
Urgency refers to the extent to which a stakeholder’s actions are seen as proper or
appropriate by the broader society.
Answer:
Who do you believe should be primarily responsible for the advancement of minorities
in the workplace: the individual, the government, or businesses? Why?
Answer:
A “Trojan Horse” is a hijacked computer that can be remote-controlled by the attacker
to respond to the attacker’s commands.
Answer:
The instrumental argument for the stakeholder theory of the firm says that companies
perform better if they consider the rights and concerns of multiple groups in society.
Answer:
Describe the activities and primary skills used in each of the six periods of technology
development.
Answer:
Only in the last few years have scholars found a positive relationship between an
organization’s economic performance and attention to spiritual values.
Answer:
Briefly describe the public policy process of a foreign country and its implication on the
business political activity in that country.
Answer: