Deck 11: Corporate Citizenship

Question 1

The following is TRUE about measuring the welfare of the stakeholders:

A)The "triple bottom line" is the broadly accepted consensus on how to measure and report changes in stakeholder welfare.
B)The Balanced Scorecard measures performance in four perspectives: customer, internal processes, employee learning and growth.
C)Accounting measures like earnings) or market value measures like stock price) can be used to identify the impact of past and current managerial decisions on stakeholder welfare.
D)Both b and C

Answer 1

A

Question 2

Stakeholder welfare is difficult to measure

Answer 2

True

Question 3

The following is TRUE about the Stakeholder View of the Firm:

A)A stakeholder view of the firm places executives at the center of managing relations with each stakeholder group.
B)The only way to categorize the different stakeholders is by contractually determined relationships primary and secondary stakeholder).
C)Primary stakeholders have limited contractual connection to the firm.
D)All of the above is true.

Answer 3

C

Question 4

The following is TRUE about Corporate Social Responsibility, EXCEPT:

A)Social responsibility is a dynamic process.
B)Philanthropy Level I) is a responsibility that has one of the highest priorities.
C)Failures in higher priority responsibilities cannot be offset through greater participation in lower priority responsibilities.
D)Both a and c are not true.
E)All of the above is true.

Question 5

A firm must be efficient and survive over the long term, in order to be useful to society.

Question 6

Which is NOT a perspective used by proponents of stakeholder theory?

A)Regulative
B)Descriptive
C)Instrumental
D)Normative
E)All of the above are perspectives used by proponents of stakeholder theory.

Question 7

The U.S.government, various state governments, and courts have formalized the rights of stakeholders in Corporations.

Question 8

Stakeholders are defined by what kind of interest the company has in them.

Question 9

Stakeholders who are impacted by the firm's actions but have limited contractual connection to it are known as:

A)Secondary Stakeholders
B)Primary Stakeholders
C)Contractual Stakeholders
D)All of the above.
E)None of the above.

Question 10

Proponents of the Corporate Social Responsibility argue the main drivers of the citizenship trend include the following:

A)Globalization
B)Pressure from assertive social activists
C)Desire in the capital markets to punish firms not meeting ethical standards
D)All of the above.
E)None of the above.

Question 11

What are the responsibilities of a firm, with regards to Corporate Social Responsibility? Order from MOST importance to LEAST importance:

A)Economic, Ethical, Legal, Philanthropy
B)Ethical, Economic, Legal, Philanthropy
C)Economic, Legal, Ethical, Philanthropy
D)Economic, Legal, Philanthropy, Ethical
E)Philanthropy, Economic, Legal, Ethical

Question 12

As Wal-Mart is the largest corporate cash contributor to charity with $170 million, we can say that Wal-Mart is doing a good job of engaging many of its stakeholders to optimize their mutual interests.

Question 13

Many companies have an organizational unit tasked with communicating with shareholders.