What does cause-related marketing do?
a. Links corporate resources and knowledge to address broader social, customer,
employee, and supplier problems and needs
b. Ties an organization’s product or service directly to a social concern
c. Provides an opportunity to associate a company’s name and brands to a particular
sports event
d. Consists of purposeful marketing that provides consumers with needed product
information
e. Creates a link between an environmental cause and the company as a whole
Which of the following does not describe the treatment of stakeholders on a worldwide
basis?
a. Large and progressive companies in most economically developed nations have
embraced the stakeholder model.
b. As more businesses enter the global market, they encounter the complexity of
balancing stakeholders’ relationships with other business operations and decisions.
c. The importance of stakeholders varies from country to country.
d. Catastrophic events around the world have made a compelling case for building
relationships with nondomestic stakeholders.
e. A company’s treatment of domestic stakeholders is generally the same as that of
foreign stakeholders.
What is the main purpose of the Federal Insecticide, Fungicide, and Rodenticide Act?
a. Control the use of pesticides through federal regulation
b. Require all pesticides to be registered with the federal government
c. Ensure that all pesticides are 100 percent safe for the environment
d. Through federal control, limit who can sell harmful chemicals
e. Place the distribution, sale, and use of pesticides under federal control
What type of product is a television?
a. Consumable
b. Durable
c. Recyclable
d. Unsalable
e. Disposable
Minimal responsibility primarily involves
a. incorporating efforts in such a way as to benefit all stakeholders of the company.
b. fulfilling social responsibilities including legal and ethical guidelines.
c. addressing the compliance concerns of stakeholders in regards to legal and economic
matters.
d. trying to maximize stockholder wealth.
e. satisfying the primary stakeholders regardless of the possible legal implications.
Which of the following actions is not usually associated with bullying in the
workplace?
a. Spreading rumors to damage others
b. Insulting, yelling, and shouting
c. Taking credit for others’ work or ideas
d. Using discriminatory terminology
e. Providing constructive criticism
Which of the following is not one of the direct benefits associated with strategic
philanthropy?
a. Companies with a strategic approach to philanthropy experience rewards in the
workplace.
b. Companies receive a tax deduction on their charitable contributions.
c. Companies may find their employee recruitment practices to be more effective and
enhanced.
d. Strategic philanthropy should ease government regulations on the company.
e. Companies should experience enhanced customer loyalty.
When they refused to invest in, patronize, or partner with any business involved in the
slave trade or military concerns, the Quakers applied
a. investor confidence
b. social investment criteria
c. the stakeholder model
d. internal audits
e. the shareholder model
Communication is important in keeping a firm on its ethical course because
a. centralization may reduce the opportunity for unethical conduct.
b. top executives must enforce overall ethical standards within the organization.
c. the moral philosophies of employees are always consistent with the moral
philosophies of top management.
d. employees must learn when unethical behavior is appropriate to maximize profits.
e. issues such as price collusion and bribery must be decided on a decentralized basis.
On what two factors is a stakeholder’s urgency based?
a. Ethical sensitivity and the impact on society
b. Time sensitivity and the importance of the claim to the stakeholder
c. Economic timing and the stakeholder’s ability to use coercive power
d. Goal orientation and motivation of the stakeholder
e. Opportunity and rationale of the stakeholder’s claim
After poor service, the second top reason consumers gave for avoiding or refusing to
buy from certain companies was
a. high prices.
b. business conduct.
c. negative word-of-mouth.
d. poor branding.
e. dislike of advertising theme.
The continuous review and revision of the Global Reporting Initiative (GRI) Guidelines
results in which of the following?
a. The obscurity of the Guidelines
b. The limited relevance of the Guidelines
c. The high number of contemporary issues that are not addressed by the Guidelines
d. The accommodation of innovation in technology and shifts in cultural attitudes
e. The erosion of the Guidelines’ authority
Business ethics refers to
a. regulations and laws that guide companies in their business decisions.
b. companies refraining from forming monopolies or restricting competition in any way.
c. principles and standards that guide behavior in the business world.
d. unique industry and professional factors that influence employees.
e. the percentage of after-tax profits given to non-profit and community groups.
What is a “living wage”?
a. Federal minimum wage that can be paid to employees
b. Level of wages designed to help individuals live comfortably
c. Average wage paid by a particular industry in a specific region
d. Required wage to keep employees above the area’s poverty level
e. Ethical obligation to pay employees a reasonable wage
Employee commitment develops from
a. employees who believe their future is tied to that of the organization and are willing
to make personal sacrifices for the organization.
b. paying the best wages in the industry.
c. working in a team-based organization.
d. the reality that unemployment is on the rise, and people are lucky to have good jobs
e. offering child care to working mothers and fathers.
Which of the following is not normally considered a primary stakeholder?
a. Employees
b. Media
c. Community
d. Business partners
e. Employees
Which of the following is an example of external factors affecting the perception of a
firm’s decision to downsize?
a. The downsizing corporation does not offer any kind of career or employment
assistance to the employees that are being laid off.
b. A company begins assisting its employees who will be affected by the workforce
reduction as soon as it is aware of potential reductions.
c. Other companies in the area quickly hire the employees laid off from the downsizing
company.
d. The company considers how it will function after the workforce reduction has taken
place.
e. External factors do not play a role in the perception of a company’s downsizing
decision; only internal factors are important.
When just one business provides a good or service in a particular market, what results?
a. Monopoly
b. Lower prices due to that company’s efficiency
c. Oligopoly
d. Trust
e. Deregulation
What are the ideas and creative materials developed to solve problems, carry out
applications, educate, and entertain others collectively known as?
a. Intellectual property
b. Patents
c. Copyrights
d. Personal property
e. Creative assets
What is the purpose of the Organisation for Economic Co-operation and Development’s
(OECD) Corporate Governance Principles?
a. To override individual countries’ practices and implement identical policies
throughout the forum’s members
b. To formulate minimum standards of fairness, accountability, transparency, and
responsibility in business practice
c. To place most of the responsibility for corporate governance on the company’s
managers
d. To outline an optimal system of corporate governance techniques that every
developed country should strive to duplicate
e. To ensure the members of boards of directors are carefully selected to protect the
interests of all stakeholders
Which area of law refers to a business’s legal responsibility for the performance of its
products?
a. Lemon laws
b. Product liability
c. Warranties
d. Strict accountability
e. Product misuse
If a consumer staged an accident in a store and then sought damages against the store
for its poor safety standards, this customer has committed which fraudulent activity?
a. Shoplifting
b. Guile
c. Duplicity
d. Collusion
e. Product misuse
____ leadership is best suited for higher levels of ethical commitment among
employees and strong stakeholder support for an ethical climate.
a. Territorial
b. Transactional
c. Transcendental
d. Tactical
e. Transformational
What is the main purpose of the “organize and design” step of the process for planning
and implementing strategic philanthropy?
a. Gaining the interest and support of management early on so as to ease the approval
process in the future
b. Deciding what resources and dollars should be spent on certain strategic philanthropy
efforts
c. Creating interest in all the company’s stakeholders in order to increase their support
of the strategic philanthropy process
d. Collecting information covering the internal organization and programs that might
intersect with the competencies of the company
e. Classifying funding opportunities according to the level of need and alignment with
organizational competencies
What is the main purpose of the Occupational Safety and Health Administration?
a. To conduct surprise inspections of businesses to see what laws they are violating
b. To oversee the regulations intended to ensure safe and healthy working conditions for
all employees.
c. To help employees seek restitution if they have suffered as a result of poor working
conditions
d. To threaten all companies with the possibility of fines and other punishment if any
employees are injured or killed
e. To improve the overall quality of the workforce in the United States and to increase
global competitiveness
Reputation management is
a. the process of building and sustaining a company’s good name and generating
positive feedback from stakeholders.
b. the process of developing positive relationships with media sources in order to
influence news about the company.
c. not worth much effort, since stakeholders will make their own decisions about the
company’s actions.
d. communicating how an organization wants to be viewed by its stakeholders and by
the public.
e. top management’s efforts to protect its reputation so that top management can achieve
greater job security.
Bribery is associated with which of the following?
a. Organizational relationships
b. Marketing
c. Communications
d. Honesty and fairness
e. Conflicts of interest
Transactional leadership
a. promotes workplace activities and behaviors through a shared vision and sense of
mission.
b. creates employee satisfaction by negotiating for levels of performance or “bartering”
for desired behaviors.
c. is practiced by middle managers who are striving to become top managers.
d. is least effective in firms with an emphasis on manufacturing and industrial products.
e. cannot be implemented for quickly changing ethical climates or for reacting to ethical
problems or issues.
What is cultural intelligence?
a. The process of identifying and interacting appropriately with people that share one’s
own culture
b. The ability to interpret and adapt successfully to different national, organizational,
and professional cultures
c. An evaluation of a person’s ability to adhere to their culture in a variety of
challenging situations
d. Information that may be used to monitor cultural groups’ behavior as consumers
e. Knowledge used to identify and avoid situations in which cultural differences are
likely to cause confusion
What is one of the main weaknesses of cause-related marketing?
a. Consumers do not see their contributions as really helping an important cause.
b. Cause-related marketing activities have not shown potential to affect consumer
buying patterns.
c. They help companies become aware that supporting social causes can support
business goals.
d. Consumers have difficulty recalling exact philanthropic relationships between
companies and causes.
e. It promises donations to a specific cause that is important to company stakeholders.
Until the early 1900s, how could the relationship between employer and employee best
be characterized?
a. Teamwork
b. Master-servant
c. Father-son
d. Mother-daughter
e. Supportive
To what time period can the origins of the Internet be traced back?
a. 1930s
b. 1950s
c. 1970s
d. 1980s
e. 1990s
What is the main argument presented by proponents of complete deregulation?
a. Regulations are simply too confusing.
b. Less government intervention would allow business markets to work more
effectively.
c. Regulations hamper competition because they level the playing field.
d. There are no benefits received from regulations, only enormous costs.
e. Regulations lower prices to an unfair level that hinders firm profitability.
Which of the following statements least demonstrates strategic philanthropy?
a. A talk show geared toward mothers supports a children’s foundation to enhance the
social and cultural development of disadvantaged children
b. A chemical company implements a vanpooling system to cut back on environmental
pollution and also carefully designs its chemical processes to minimize environmental
damage
c. A healthcare-based company works with other healthcare systems to make health
insurance available to residents who cannot afford it
d. Employees at a telecommunications company are encouraged to serve food at a food
kitchen in order to help the homeless
e. A computer software company creates and funds technology-based learning centers
nationwide to help underprivileged citizens learn about technology
In the long run, the success of a company is built on
a. a company’s commitment to be on the leading edge of technology.
b. its efficiency in operations.
c. long-term relationships with customers built on mutual respect and cooperation that
leads to repeat purchasing.
d. a company’s ability to negotiate with suppliers and vendors.
e. innovative integrated marketing communications programs.