The manager of a large retail chain recently spoke to a group of college students about being successful in the business world. He focused particularly on the importance of fulfilling the purpose of the business organization: that is, to produce and market profitable products needed by society. In so doing, he indicated that a shareholder, not the society as a whole, invests in a corporation to earn a return on his or her investment and that a firm is legally obligated to act in shareholders' interests. What concept do the manager's comments reveal?
A) socioeconomic model of social responsibility
B) economic model of social responsibility
C) strictest model of social responsibility
D) consumerism

Question

Quizplus · Accepted Answer

The manager's comments expressed the economic model of social responsibility, which prioritizes maximizing profits for shareholders and fulfilling the purpose of the business organization as the primary responsibility. This model is often criticized for neglecting the broader impacts of business decisions on society and the environment.

The Manager of a Large Retail Chain Recently Spoke to a Group