Deck 3: Social Environment

Question 1

Which of the following represents the buying pattern of those with a simple lifestyle?

A) They will buy when the mood strikes them.
B) It is not an important factor in their buying behaviour.
C) They will buy less.
D) They will buy more.

Answer 1

C

Question 2

Which of the following is considered a value?

A) simplicity
B) complexity
C) drive
D) intelligence

Answer 2

A

Question 3

What is the greatest social change that has impacted business in Canada over the past three decades?

A) globalization
B) the phenomenon of working women
C) a better educated workforce
D) greater commuting distances for employees

Answer 3

B

Question 4

If companies want to attract employees from the Z generation, they must have which of the following?

A) flexible hours
B) a work-from-home policy
C) a good benefits plan
D) a social media presence

Question 5

Today, a person could be a banker, vegetarian, mountain banker, single father, and rock music fan; this is an example of which of the following?

A) growing consumer advocate
B) complex lifestyle
C) personal transition
D) component lifestyle

Question 6

Which of the following describes what demographics helps companies do?

A) isolate a target market
B) define the markets for their products
C) analyze trends in the marketplace
D) look at consumer purchasing power

Question 7

According to your text, which of the following demographic groups are described as "the most ethnically and socially diverse generation in history"?

A) the baby boomers
B) the mature market
C) Generation Y
D) Generation X

Question 8

Women account for what percentage of consumer purchases?

A) 95%
B) 85%
C) 75%
D) 65%

Question 9

Amra Singh was walking through the mall near her home and found an expensive watch lying on the ground. The decision that Singh must make-to keep the watch for herself, or turn it in to the mall's lost-and-found counter-involves which of the following?

A) consumerism
B) cultural awareness
C) ethics
D) social reciprocity

Question 10

Which of the following is considered a social factor?

A) ideals
B) values
C) beliefs
D) standards

Question 11

Component lifestyle is a term that is described by which of the following behaviours?

A) choosing to consider work, family, and leisure as equally important
B) having a complex set of interests and choices
C) choosing to live near employment during the week, and in cottage country on weekends
D) having several careers that are varied in nature over several years

Question 12

Which of the following is the study of people's vital statistics, such as their age, race and ethnicity, and location?

A) democracy
B) demographics
C) marketing
D) consumerism

Question 13

Which of the following are also known as the generation M (multitasking) or the iGeneration?

A) the baby boomers
B) Generation Z
C) Generation Y
D) Generation X

Question 14

Social factors are closely tied to which of the following?

A) race
B) gender
C) demographics
D) income

Question 15

The characteristics of being the first-generation of "latch-key" children (with working parents away all day), entering the job market during a period of economic recession or downsizing, and being cynical consumers who have had considerable exposure to media advertising, best represents which of the following groups?

A) Generation Y
B) Generation X
C) the baby boomers
D) the mature market

Question 16

A set of moral standards for judging whether something is right or wrong is referred to as which of the following?

A) beliefs
B) ideals
C) standards
D) ethics

Question 17

In the PEST model of the business environment, the "S" represents which of the following concepts?

A) stability
B) standards
C) stakeholders
D) social

Question 18

Which of the following environmental factors is the most difficult for owners and managers to forecast, influence, or integrate into business plans?

A) social change
B) political change
C) legal change
D) economic change

Question 19

Which of the following were born between 1995 and the present?

A) the baby boomers
B) Generation Z
C) Generation Y
D) Generation X

Question 20

Component lifestyles are important for businesses to consider for which of the following reasons?

A) They indicate consumer income.
B) They are important in domestic markets.
C) They increase the complexity of consumer buying habits.
D) They are constantly changing.

Question 21

The highest level of the corporate social responsibility pyramid is represented by which of the following?

A) philanthropic (charitable) responsibilities
B) economic responsibilities
C) responsibilities to stakeholders
D) legal responsibilities

Question 22

According to one market researcher, which generation will be the first to not live as well as their parents?

A) Generation Y
B) Generation X
C) the baby boomers
D) Generation Z

Question 23

Which of the following statements best describes social responsibility?

A) The federal government has written laws that require businesses to act in a socially responsible way.
B) Companies that exhibit corporate philanthropy are not acting in a socially responsible way.
C) The four components of the social responsibility pyramid model are equally important.
D) The obligation that a business has to act in a socially responsible way extends beyond shareholders, to include employees, suppliers, consumers, and the community.

Question 24

A homebuilder who disposed of asbestos shingles by burying them on the buyer's property may please the home buyer because it is a less expensive means of disposal but will be punished by various legal agencies if any become aware of the crime. At which stage of the social responsibility pyramid is the builder most likely operating?

A) ethical
B) economic
C) stakeholder
D) legal

Question 25

Baby boomers were born in the period from the late 1940s to the mid-1960s. This group is best characterized by which of the following?

A) They are committed to the idea of building up their personal savings.
B) They created a strong ethic of volunteerism for themselves.
C) They value travel and independence more than the other groups.
D) They experienced postwar affluence that influenced the importance of material goods and improvement of social status.

Question 26

The president of a company that manufactures plastic pipes for transporting crude oil considers how the company's decisions will affect the welfare of society. He is expressing which of the following?

A) macroeconomics
B) social responsibility
C) consumerism
D) business ethics

Question 27

Older consumers are best described by which of the following?

A) They have part-time employment to add to their incomes.
B) They are the most significant group with respect to their consumerism.
C) They enjoy spending freely in their retirement years.
D) They are reluctant to spend money unless they can make cash purchases.

Question 28

Canada was the first country in the world to enact an official policy about which of the following?

A) immigration
B) multiculturalism
C) gay marriage
D) euthanasia

Question 29

What is the most important contributing factor to the required increase in Canada's population?

A) immigration
B) higher life expectancy
C) higher fertility rate
D) healthier life style

Question 30

When asked about an idea for a new product, a socially responsible manager in the 21st century might say which of the following?

A) "If it's profitable, let's make it."
B) "We can make the product, but what about the social effects?"
C) "What are the tax implications if we make this product?"
D) "How many do we have to sell to make a profit?"

Question 31

Which of the following is the concern of businesses for the welfare of society?

A) social responsibility
B) consumer protection
C) the marketing concept
D) business ethics

Question 32

Many weight-loss programs advertise that they can help individuals lose a great deal of weight without any changes in the individual's lifestyle. Typically when a person who has lost the weight leaves the program, he or she regains the weight. This phenomenon is almost as unhealthy for the body as the excess weight. Businesses operating these kinds of weight-loss programs are engaged in which type of behaviour?

A) illegal and irresponsible
B) legal and irresponsible
C) legal and responsible
D) illegal and responsible

Question 33

Walmart ran a series of advertisements in trade journals with the headline "We're Looking for Quality Products That Are Guaranteed Not to Last," meaning products that can be reused or recycled. This concern for the environment is one way that Walmart demonstrates which of the following?

A) macroeconomics
B) social responsibility
C) the marketing concept
D) environmental services

Question 34

The Toronto District School Board has established an employee assistance program for its employees. This program helps employees deal with personal issues, such as daycare, elder care, substance abuse, financial difficulties, and the need for marital and personal counselling. As an employer, what is the school board practising?

A) social responsibility
B) employee services
C) stakeholder satisfaction
D) macroeconomics

Question 35

The vast majority of businesses exhibit which two dimensions of social responsibility?

A) illegal and responsible
B) illegal and irresponsible
C) legal and irresponsible
D) legal and responsible

Question 36

A company can be concerned about which of the following types of responsibilities after it has met its economic and legal responsibilities?

A) societal
B) stakeholder
C) ethical
D) cultural

Question 37

A set of economic policies that believes that the economy should be market-driven, not government-driven is referred to as which of the following?

A) conservatism
B) neoliberalism
C) socialism
D) fascism

Question 38

A company has achieved which level of responsibility when it has met its ethical, legal, and economic responsibilities?

A) global
B) altruistic
C) societal
D) philanthropic

Question 39

Canada's population is 35.5 million people. Almost 10 million of them, or 28 percent, belong to which generation?

A) Generation Y
B) Generation X
C) GI Joe Generation
D) Generation Z

Question 40

Social responsibility goes beyond obligations provided by law or union contract. Which of the following represents two important aspects of social responsibility?

A) provincial and federal
B) voluntary and broad
C) open and lawful
D) public and private

Question 41

Which of the following is a philosophy that focuses on the consequences of an action to determine if it is right or wrong and expresses the idea that anything that negatively affects the majority of people in a situation is morally wrong?

A) utilitarianism
B) social responsibility
C) preconventional morality
D) distributive justice

Question 42

A retailer allows its employees to handle customer complaints without having to ask for permission or directions from management. Which of the following activities would this policy encourage?

A) employees feeling empowered to help customers
B) employees ignoring the rights of customers
C) employees actively helping customers
D) employees avoiding customers

Question 43

Corporate philanthropy is best described by which of the following?

A) It is defined as the corporation's responsibility to satisfy the needs of its investors.
B) It can be either a cash or noncash donation.
C) It is not a way that most companies express their social responsibilities.
D) It is the practice of limiting investments to companies that behave in accordance with the investor's code of ethics.

Question 44

Which of the following is the practice of limiting investments to companies that behave in accordance with the investor's beliefs about ethical and social issues?

A) strategic giving
B) social investing
C) investor paternalism
D) corporate philanthropy

Question 45

Which term represents all of the individuals or groups to whom a business has a responsibility?

A) stakeholders
B) lobby groups
C) shareholders
D) consumers

Question 46

Peter Drucker, a well-known management scholar, has said that companies should be evaluated on which two basic dimensions?

A) profitability and philanthropy
B) customer satisfaction and profitability
C) legality and profitability
D) legality and responsibility

Question 47

As part of their responsibility to society a company must do which of the following?

A) sponsor children's sports teams
B) be active with at least one charity
C) be good stewards of the environment
D) hire local workers

Question 48

Cash donations of equipment and products and support for volunteer efforts of employees are all aspects of which of the following?

A) corporate philanthropy
B) whistle-blowing
C) social contract
D) social responsibility

Question 49

Which of the following best describes social investing?

A) It has little impact on whether a company chooses to operate in a socially responsible way.
B) It is the practice of limiting investments to companies that have the ethical policies that match those of the investor.
C) It was more popular in the 1960s than it is today.
D) It is a type of corporate philanthropy.

Question 50

As part of their responsibility to their customers a company must do which of the following?

A) deliver what it promises
B) respond to all customer complaints
C) have a generous returns policy
D) have safe facilities

Question 51

In addition to individual ethics what else can be used as guideposts for choosing between right and wrong?

A) advice of elders
B) parents' behaviour
C) laws of our society
D) company policies

Question 52

Royal Bank gives money to support performing arts presentations in schools. This is an example of which of the following behaviours?

A) corporate philanthropy
B) ethical responsibility
C) financial empowerment
D) economic responsibility

Question 53

The employees, the wood suppliers, the customers, and the government inspectors in a company that manufactures fine wooden office furniture are described as being which of the following?

A) partners
B) shareholders
C) investors
D) stakeholders

Question 54

The base of the corporate social responsibility pyramid is represented by which of the following?

A) responsibilities to stakeholders
B) economic responsibility
C) legal responsibility
D) philanthropic responsibility

Question 55

Who is responsible for the organization being managed in the best interest of the corporation?

A) executives
B) corporate officers
C) board of directors
D) shareholders

Question 56

Which of the following is the practice of charitable giving by corporations?

A) financial empowerment
B) ethical responsibility
C) economic responsibility
D) corporate philanthropy

Question 57

Martin's stock portfolio includes only companies using recycled components in their manufacturing process. He is a strong believer in environmental protection, and his way of expressing that belief is by which of the following?

A) ethical giving
B) strategic giving
C) social investing
D) social paternalism

Question 58

The way in which an organization is governed, directed, and administered is referred to as which of the following?

A) corporate governance
B) organizational behaviour
C) management structure
D) institutional leadership

Question 59

As part of their responsibility to their employees a company must provide which of the following?

A) a safe working environment
B) competitive wages
C) good benefits
D) potential for advancement

Question 60

Which of the following would be stakeholders for a manufacturer of agricultural pesticides?

A) people who work for the competitor in the United States
B) the farmers who buy the products
C) truckers who pass the plant on the highway
D) government officials who set income tax rates

Question 61

Utilitarianism is best explained by which of the following?

A) It creates the best situation for all individuals.
B) It is difficult to implement because it is hard to predict how a decision will affect a large number of people.
C) It states that any act that goes against the rights of an individual is wrong.
D) It expresses the idea of fairness.

Question 62

The chemical waste from a factory is at the legal limits that are allowed for disposal through drains and sewers on the factory property. Even though it is at legal limits, it could potentially harm wildlife along the nearby river, and could affect neighbouring farms and livestock through streams and ponds. The factory owners want to prevent this from happening, but it will mean that they need to spend nearly $3 million for new equipment, and this will mean eliminating 70 jobs. A company president who would implement the new equipment to reduce the chemical waste because it could harm the environment and surrounding community is in which stage of ethical development?

A) preventional
B) conventional
C) preconventional
D) postconventional

Question 63

Which of the following is an example of ethical business activity?

A) The employee uses the company postage meter to put postage on personal letters.
B) The employee regularly tells jokes that make fun of blonde women.
C) The employee went to a movie one afternoon, telling others in the office that she had an appointment at a customer location.
D) The employee reports to his supervisor that he has witnessed a coworker taking home expensive company supplies such as printer cartridges.

Question 64

Which of the following statements best describes ethics training?

A) The most effective ethics training begins with the development of a personal code of ethics.
B) Ethics training is formal training to develop awareness of inappropriate behaviour and to practise appropriate responses.
C) Ethics training is best done informally to allow employees to feel free to admit their mistakes.
D) One of the purposes of ethics training is to get employees to admit when and where they have acted unethically.

Question 65

One of the indications of ethical business behaviour is which of the following?

A) the number of mature workers in the company
B) the number of rules, regulations, and guidelines provided by the company
C) the behaviour of the company's senior management
D) the perception of company rules by employees

Question 66

Individuals move from a self-centred viewpoint to consider the expectations of the society in which they live in which stage of ethical development?

A) conventional
B) self-defined
C) preconventional
D) societal

Question 67

Which stage of ethical development is most likely to be seen in mature adults?

A) ego-centred
B) postconventional
C) conventional
D) preconventional

Question 68

Which approach to ethics has been evident when it comes to cyberspace?

A) concentrated
B) focused
C) laissez-faire
D) secret

Question 69

Which of the following statements best describes ethical development?

A) A child who decides not to play with her mother's jewellery because she is afraid she will be punished is in a state of ego-centred ethical development.
B) An individual with conventional ethics is self-centred.
C) An adult who refuses to visit his aunt in the hospital because the visit will cause him to miss Hockey Night in Canada on television is in the postconventional stage of ethical development.
D) An individual in the preconventional stage of ethical development would be more concerned about rewards and punishment than about what is right or wrong.

Question 70

Organizations can reduce the potential for bad business ethics within their organization by doing which of the following?

A) have all employees help write the code of ethics
B) educating their employees about ethical standards
C) hire only ethical employees
D) hire an ethics consultant

Question 71

In 1996, the Atlanta Olympic Committee designed and built a tall structure shaped like the Olympic Torch, for visitors to climb to get a view of the city. The design was not wheelchair accessible, as the required changes to the design would alter the structure's appearance significantly. The decision was that no one would be allowed to climb to the top. This decision reflects which philosophy?

A) preconventional morality
B) social responsibility
C) distributive justice
D) utilitarianism

Question 72

The first step in making a good and ethical business decision is which of the following?

A) Learn to recognize unethical business activities when they occur.
B) Develop a business code of ethics.
C) Hire an ethics consultant.
D) Develop a personal code of ethics.

Question 73

Vonda Bao works for a furniture store that was near bankruptcy. Bao developed a marketing promotion where customers could buy one room of furnishings, and get a second room of equal value free. Her employer will be able to offer this promotion if, just prior to advertising, he doubles all of the prices. Bao knows that the advertising will make customers believe they are getting a good deal, and she thinks her employer should go ahead with the plan because it will allow the store to earn enough to stay in business. Bao is at which stage of ethical development?

A) preconventional
B) conventional
C) societal
D) self-defined

Question 74

The notion that people should act so as to generate the greatest good for the greatest number is derived from which of the following?

A) socialism
B) conventional morality
C) utilitarianism
D) social responsibility

Question 75

People choose between right and wrong based on which of the following?

A) what others are doing
B) their desire to please the boss
C) their fear of discovery
D) their personal code of ethics

Question 76

Taking your company's trade secrets to a new place of employment constitutes which of the following ethical violations?

A) hiding or divulging information
B) violating rules
C) taking unfair advantage
D) permitting organizational abuse

Question 77

Which of the following is an example of an unethical business activity?

A) The employee reports his employer for making several illegal deductions from his pay.
B) The employee unknowingly gives out incorrect information.
C) The sales representative allows the customer to believe that his purchase would be delivered on time, as he believed this to be true himself.
D) The employee uses a company computer to check his results in an online betting transaction.

Question 78

A code of ethics can best be characterized by which of the following?

A) It can offer a lengthy and detailed set of guidelines to employees.
B) It is considered a public relations tool.
C) It provides employees with the knowledge of what their company expects with regard to their responsibilities and behaviour.
D) It summarizes the company's goals, policies, and priorities.

Question 79

Paul Thomas was going to leave the gas station without paying for the gas he had just put into his car when he noticed a police car pull up at one of the other pumps. Thomas went into the cashier and paid because he was afraid he would get caught if he tried to get away without paying. Thomas is in which of the following stages of ethical development?

A) preconventional ethics
B) self-defined ethics
C) conventional ethics
D) ego-centred development

Question 80

Which of the following best reflects the Canadian Charter of Rights and Freedoms?

A) It is effective for those working for federally incorporated companies.
B) It is superordinate to any other laws that affect Canadians' rights and freedoms.
C) It applies only to employer-employee situations.
D) It relates to what is considered fair by prevailing standards of society.