In arriving at an acceptable wage rate to pay employees that balances the need to
maintain efficient operations and also helps create a consumer base that supports sales,
all of the following have been proposed as approaches, except:
A. The minimum wage (determined by the government).
B. The average wage for the job and industry (determined by the market).
C. A living wage (determined by nonprofits and NGOs).
D A wage rate that is equal to 1% (or more) of the CEO’s salary.
Answer:
A ____________ is best described as resources and competencies support strategy:
A. Strategic intent.
B. Virtuous cycle.
C. Core competencies.
D. Make-or-buy decisions.
Answer:
The sole pursuit of profit today, at the expense of a broader CSR perspective, is:
A. Increasingly untenable.
B. The goal of the majority of businesses.
C. Something young companies need to focus on at first.
D. Acceptable, as a profitable company contributes to society by paying taxes and
employing workers.
Answer:
For an increasing number of firms, the positives of fair trade outweigh any real or
perceived negatives.
A. True
B. False
Answer:
In the United States, The Alien Tort Claims Act:
A. Allows U.S. firms to sue other countries in US courts for CSR violations.
B. Allows foreigners to sue U.S. firms in U.S. courts for transgressions that take place
in other countries.
C. Prevents illegal aliens from suing U.S. firms.
D. Prevents illegal aliens in the U.S. from suing firms in their home country.
Answer:
The on-going program of re-positioning its brand appears to be paying-off for Nike
because:
A. In many areas of CSR, the firm is now recognized as promoting best practice.
B. The firm is actively pursuing corporate social responsibility on a global basis.
C. The firm internally polices its CSR activities and monitors its subcontractors
behaviors.
D. All of the above.
Answer:
Which of the following is not one of BusinessWeek’s four principles of good corporate
governance?
A. Dependence.
B. Stock ownership.
C. Director quality.
D. Board activism.
Answer:
Starbucks has been at the vanguard of developing the profile and growing awareness of
fair trade products in the U.S.
A. True
B. False
Answer:
A business-level strategy:
A. Helps top management decide which businesses to be in or not.
B. Requires considerable centralization.
C. Differentiates its products from other firms on the basis of price or other factors.
D. All of the above.
Answer:
Without its exceptionally efficient and effective supply management strategies, Walmart
would not be able to provide low-cost groceries and other goods.
A. True
B. False
Answer:
After the plastic water bottle, you couldn’t do much better than the plastic shopping bag
as a vibrant symbol of our consumer culture. Which of the following is true about
plastic bag consumption:
A. The U.S. uses 380 billion plastic bags a year.
B. An estimated 5.2% plastic bags are recycled in the U.S.
C. In landfills, plastic bags can last 1,000 years.
D. All of the above.
Answer:
CSR can be viewed as:
A. A set of defensive policies.
B. A set of offensive strategies.
C Both A and B.
D. Neither A nor B.
Answer:
The term company comes from a combination of the Latin words cum and panis, the
literal translation of which originally meant:
A. Friendship.
B. Competitors.
C. Breaking bread together.
D. Corporation.
Answer:
A charge of “hypocrisy” can be leveled at CSR or social activist companies that:
A. Fail to reward their customers for shopping with them.
B. Fail to adopt a new campaign periodically.
C. Fail to pay their workers higher than average wages.
D. Fail to adhere to the same standards and values that they demand of others.
Answer:
Microfinance is a broad term the encompasses the range of personal financial services
but are provided on a smaller scale to meet the specific needs of poorer consumers.
A. True
B. False
Answer:
Religion has only had a recent association with business decision making.
A. True
B. False
Answer:
The strong distinction between the U.S. and Europe in terms of religion has deep
historical roots that go back as far as records have been kept.
A. True
B. False
Answer:
Countrywide sought to promote homeownership widely. As the firm became more
successful, however, particularly in the early 1990s:
A. External pressures to maintain that success mounted.
B. Changes in government rules caused Countrywide to fail.
C. Embezzlement was rampant.
D. All of the above.
Answer:
Walmart is:
A. Unlikely to be impacted by its CSR activities or the lack thereof.
B. Considered to be a leader in the area of environmental and sustainability issues.
C. So big it can survive attacks about its CSR performance.
D. None of the above.
Answer:
Legal compliance is:
A. All that can be required of a firm.
B. A minimum standard for societal legitimacy.
C. A guarantee of CSR compliance.
D. Important only in democratic societies.
Answer:
Milton Friedman argued:
A. For greater government intervention when CSR was lacking.
B. That firms should seek societal goals beyond just profits.
C. Against market forces.
D. Against CSR.
Answer:
The CSR Filter:
A. Assesses management’s planned actions by considering the impact on constituents.
B. Is now required by Sarbanes-Oxley.
C. Enhances profits in both the short and long runs.
D. All of the above.
Answer:
Walmart’s shift in CSR policy toward sustainability is remarkable.
A. True
B. False
Answer:
Perhaps the most vulnerable strategy to stakeholder CSR concerns would be:
A. A focused strategy targeting “lifestyle brands.”
B. A low cost strategy without a branding strategy.
C. A differentiation strategy focused on non-lifestyle brands.
D. All of the above.
Answer:
CSR can affect the economic performance of the firm when formerly ____________
actions evolve into ______________ considerations:
A. Discretionary/ethical.
B. Ethical/discretionary.
C. Economic/legal.
D. Legal/ethical.
Answer:
The textbook takes a ‘stakeholder approach,” which means the book addresses:
A. The roles of the owners or shareholders.
B. Those who effect or are affected by the firm’s goals.
C. Customer, government, and shareholder needs.
D. Primarily nonprofit organizations and activists.
Answer:
Due to global effort on sustainability, the human race does not need to be concerned
about resource depletion.
A. True
B. False
Answer:
Most CSR violations arise at different levels of an organization by decision makers who
are trying to avoid implementing a CSR vision and mission and do not support the
initiative.
A. True
B. False
Answer:
Violating the implicit ethical boundaries that are often codified into dogma or laws in
our society can lead to a loss of legitimacy of a company that threatens the long-term
viability of an organization.
A. True
B. False
Answer:
Society can be broken down into three main elements, which include:
A. Businesses, government, and nonprofits (or NGOs).
B. Providers, consumers, and activists.
C. Stakeholders, activists, government, and consumers.
D. NGOs (or nonprofits), government, and education.
Answer:
With regards to CSR, the “tipping point” refers to a stage where:
A. Firms have no choice but to implement CSR ideas.
B. Managers no longer need to be concerned with CSR.
C. Issues related to CSR seldom arise.
D. CSR causes leaders to lose status within their firms.
Answer: