Deck 11: CSR as a Strategic Filter

Question 1

Mercedes-Benz and other luxury goods producers can charge a premium for the ________ that consumers value.

A)customer support
B)differentiation
C)luxury
D)virtuous cycle

Answer 1

B

Question 2

Walmart has a great distribution system,including the world's largest private satellite network.This is considered a ________ of Walmart.

A)capability
B)competency
C)core competency
D)core resource

Answer 2

D

Question 3

McDonald's has located its fast-food restaurants where they will be successful.This is considered a ________ of McDonald's.

A)capability
B)competency
C)core competency
D)core resource

Answer 3

B

Question 4

According to the textbook,the formulation of firm strategy occurs most effectively

A)using the resources perspective.
B)using the industry perspective.
C)when it is run through a CSR filter.
D)using a combination of the resources and industry perspectives.

Question 5

Which of the following are actions a firm can do very well?

A)Capabilities
B)Competencies
C)Core competencies
D)Core resources

Question 6

________ are actions that the firm not only does very well but is so superior at performing that other firms would have difficulty matching its performance.

A)Capabilities
B)Competencies
C)Core competencies
D)Core resources

Question 7

The textbook argues that there are three types of organizations.Which of the following is NOT one of these types?

A)Family based
B)For-profit
C)Governmental
D)Nonprofit

Question 8

A ________ is applied when a firm decides the competitive environment demands a change in strategy and management must evaluate internal and external resources.

A)strategic intent
B)virtuous cycle
C)core competency
D)make-or-buy decision

Question 9

As the CEO of company that owns a small chain of 16 restaurants,you regularly review your company's vision,mission,and strategy with the restaurant managers and central office managers and staff.As part of these reviews,you discuss the impact of the firm's activities on its various constituents.Which of the following are you using?

A)A competency-based approach
B)A CSR filter
C)A resources approach
D)Industry-recognized best practices

Question 10

The ideal organizational structure is a design that

A)results in operational efficiency.
B)best supports effective execution of the strategy.
C)is modeled on the vision and mission of the firm.
D)makes tactical decisions obvious.

Question 11

Which of the following is used to evaluate the impact of strategic and tactical decisions on the firm's various stakeholders?

A)Virtuous cycle
B)CSR filter
C)Make-or-buy analysis
D)Graphic analysis

Question 12

The connection between a firm's internal strengths and its external opportunities is driven by

A)the firm's vision.
B)a desire to protect against external threats,real and potential.
C)the strategic axiom that success depends on competing from a position of strength.
D)the changes that result when a firm creates a new set of aspirations and forms them into a vision.

Question 13

________ requires that firms establish a point of differentiation.

A)Building a brand
B)Implementing strategic CSR
C)Using a CSR filter
D)Using the resource-based strategic planning model

Question 14

As a result of ________,a sole focus on the linkage among vision,mission,strategy,and tactics is insufficient to achieve the firm's goals.

A)globalization
B)complexity
C)Sarbanes-Oxley legislation
D)the CSR filter

Question 15

When a firm's resources and competencies interact and reinforce each other,supporting the firm's strategy,a ________ is created.

A)business-level strategy
B)capability
C)core resource
D)virtuous cycle

Question 16

________ are actions that a firm can do,such as pay its bills,in ways that add some value to the production process.

A)Capabilities
B)Competencies
C)Core competencies
D)Core resources

Question 17

Which of the following statements is true about the CSR filter?

A)It helps management assess planned actions by considering the potential impact on constituents.
B)A CSR filter is now required by Sarbanes-Oxley.
C)It enhances profits in both the short and long run.
D)A CSR filter is more important for firms that focus on cost strategies than those that focus on lifestyle brands.

Question 18

The textbook describes three ways in which a firm's vision,mission,strategy,and tactics are broadly constrained.Which of the following is NOT one of these constraints?

A)Cultural constraints
B)Environmental constraints
C)Policy constraints
D)Resource constraints

Question 19

________ represents the intersection between how the firm competes in the marketplace and considerations of the firm's impact on relevant stakeholders.

A)CSR
B)Business strategy
C)Strategic CSR
D)The resources perspective

Question 20

Leaders of all organizations constantly grapple with the tradeoffs between ________ and ________.

A)methods; results
B)losses; profit
C)profit maximization; profit optimization
D)methods; strategies

Question 21

The impact of greenwashing,"green noise," and the general information overload about environmental claims about products

A)makes consumers much more likely to purchase "green" products.
B)reduces consumer confidence in companies and arouses suspicion about corporate social responsibility claims.
C)increases consumer confidence in companies.
D)is more pronounced in Europe than in the United States.

Question 22

According to the textbook,Walmart

A)is not very socially responsible.
B)is only socially responsible after legal action is taken about a particular issue.
C)serves society very effectively and is,therefore,very socially responsible.
D)is responsible in terms of environmental issues,but not for other social issues.

Question 23

Many firms in the United States once blatantly paid women less than men for the same work.In response to shifting values,the federal government enacted the Equal Pay Act in ________,outlawing discrimination in pay based on an employee's gender.

A)1963
B)1983
C)2003
D)Such a federal law has not yet been enacted.

Question 24

________ and ________ are two common competitive business strategies described in the textbook.

A)Low-cost,differentiation
B)Differentiation,virtuous cycle
C)Virtuous cycle,environmental
D)Environmental,industry perspective

Question 25

Although the use of the CSR filter is complex,the focus on linkage among vision,mission,strategy,and tactics is sufficient to achieve the firm's goals.

Question 26

Core competencies are the firm's assets that are unique and difficult to replicate.

Question 27

The CSR filter must be applied between the firm's ________ and its ________.

A)vision; mission
B)mission; strategies
C)strategy; tactics
D)vision; internal competencies

Question 28

Research indicates that consumers generally

A)expect firms to be socially responsible and are willing to pay higher prices for higher levels of CSR.
B)expect firms to be socially responsible but are not willing to pay higher prices for CSR.
C)do not really care if firms are socially responsible.
D)care if firms are socially responsible in some areas,but not in others

Question 29

What advantages does a CSR filter provide? If you were the CEO of a firm,how would you go about applying a CSR filter-what form might it take? Describe a company that is successfully utilizing a CSR filter today.

Question 30

A large majority of consumers are willing to pay higher prices for "green" products.

Question 31

Why are companies with lifestyle brands more susceptible to CSR transgressions than companies that seek to compete with a business-level strategy of low cost,and how can lifestyle brands use CSR as brand insurance? Provide examples to support your answer.

Question 32

The firm's most appropriate structure (organizational design)is the one that best supports the firm's strategy.

Question 33

Why are large,multinational firms more likely to be concerned about corporate social responsibility?

Question 34

Today,Nike employs a CSR filter at the core of its strategy.

Question 35

You have recently started a small business.Your primary competition is much larger and can benefit from economies of scale that keep its costs (and prices)significantly lower than yours.To be competitive,it is important for you to

A)clearly differentiate your product or services.
B)grow so that you can reduce your costs to match those of the competition.
C)keep your workforce wages low to reduce your current costs.
D)There is not enough information to provide an answer.

Question 36

Thoroughtly define greenwash and explain why it is dangerous to the overall corporate social responsibility effort.

Question 37

Unilever is seeking to have an honest and genuine conversation with its stakeholders through its Five Simple Levers program.Which of the following is NOT one of the levers?

A)Make it understood.
B)Make it easy.
C)Make it green.
D)Make it a habit.

Question 38

Customers,competitors,and other forces all drive changes in the firm's operating environment.When environmental changes occur,leaders face a make-or-buy decision.

Question 39

Which of the following is the act of misleading consumers regarding the environmental practices of a company or the environmental benefits of a product or service?

A)Corporate fraud
B)Greenwashing
C)False advertising
D)The sin of vagueness

Question 40

In the 1990s,Nike's brand was damaged when it was discovered that some of its products were manufactured in sweatshop factories.Since the 1990s,Nike has repaired its brand reputation.According to the textbook,Nike's business strategy before the 1990s did not employ

A)ethical managers.
B)a CSR filter.
C)the appropriate public relations firm.
D)a strategic planning director.

Question 41

The textbook says that a firm's vision,mission,strategies,and tactics are broadly constrained by resources,policies,and environmental factors.Explain what that statement means,providing clear examples to illustrate your answer.