Question 1

The belief that a firm's pursuit of social goals would give them too much power is known as what argument in opposition to a firm being socially responsible?
A) lack of broad public support
B) lack of skills
C) too much power
D) costs

Accepted Answer

The argument that a firm's pursuit of social goals would give them too much power is known as the "too much power" argument. Choice A (lack of broad public support) and D (costs) are not relevant to this argument. Choice B (lack of skills) may be a factor in a firm's ability to pursue social goals, but it is not directly related to the argument of too much power.

Question 2

Which argument for social responsibility puts forth the belief that an imbalance between the large amount of power held by firms and their responsibility is harmful to the public good?
A) balance of responsibility and power
B) public expectation
C) public image
D) ethical obligation

Accepted Answer

The argument for social responsibility that puts forth the belief that an imbalance between the large amount of power held by firms and their responsibility is harmful to the public good is the balance of responsibility and power. This argument asserts that firms have a duty to use their power and resources for the benefit of society and not just for their own profits. Failure to do so can result in negative consequences for both the company and the public.

Question 3

The belief that the costs of social activity are passed on as higher prices to consumers is known as which argument against a firm being socially responsible?
A) violation of profit maximization
B) costs
C) lack of skills
D) dilution of purpose

Accepted Answer

The argument that the costs of social activity are passed on as higher prices to consumers is known as the "costs" argument against a firm being socially responsible. This argument states that if a firm spends resources on social activities, it will have to compensate for those costs by increasing its prices, which may lead to a decrease in demand and ultimately reduce profits. However, some argue that being socially responsible may actually benefit a firm in the long run by improving its reputation and customer loyalty.

Question 4

__________is defined as a business firm's obligation, beyond that required by law and economics, to pursue long- term goals that are good for society.
A) Values- based management
B) Social screening
C) Social obligation
D) Social responsibility

Accepted Answer

Social responsibility is the business firm's obligation to pursue long-term goals that are good for society, beyond what is required by law and economics. Values-based management refers to the use of a company's core values in decision-making processes, while social screening is a process of assessing investments based on their social and ethical impact. Social obligation refers to a company's legal and ethical responsibilities to stakeholders, such as providing a safe workplace and fair wages.

Question 5

When a firm advertises that it only uses recycled paper products, it is __________.
A) paying attention to the bottom line
B) being socially responsive
C) meeting its social obligation
D) meeting social responsibilities

Accepted Answer

By advertising that it only uses recycled paper products, the firm is demonstrating social responsiveness to environmental concerns.

Question 6

There is to say that a company's socially responsible actions significantly hurt its long- term economic performance.
A) a lot of evidence
B) not any evidence
C) little evidence
D) mounting evidence

Accepted Answer

The statement suggests that socially responsible actions hurt a company's long-term economic performance, but there is no evidence provided to support this claim. Therefore, option B ("not any evidence") is the correct choice.

Question 7

The belief that businesses that help solve difficult social problems create a desirable community and attract and keep skilled employees is known as which argument for social responsibility?
A) public image
B) better environment
C) ethical obligation
D) possession of resources

Accepted Answer

The "better environment" argument for social responsibility posits that businesses that contribute to solving social issues help create a more desirable community, which in turn can attract and retain skilled employees. This approach emphasizes the role of businesses in improving their broader environment, not just focusing on profits.

Question 8

The belief that business leaders should not direct social policy because there is no direct line of social accountability to the public is known as what argument against a firm being socially responsible?
A) too much power
B) lack of accountability
C) costs
D) dilution of purpose

Accepted Answer

This argument suggests that businesses should not be responsible for social policy because they are not directly accountable to the public for the social impact of their actions. This is often used by those who believe that businesses should focus solely on maximizing profits and not take on additional social responsibilities. The other choices (A, C, and D) are other common arguments against social responsibility, but they are not related to the issue of accountability.

Question 9

Employee relations, philanthropy, pricing, resource conservation, product quality and safety, and doing business in countries that violate human rights are some obvious examples of__________ .
A) decisions that managers face that have a social responsibility dimension
B) areas of social responsibility that influence managers, not employees
C) social responsibility issues that employees must confront while at work
D) social responsibility ethics that managers must decide on a daily basis

Accepted Answer

These are all examples of decisions that managers face that have a social responsibility dimension, meaning that they must consider the impact of their decisions on society and stakeholders beyond just the financial bottom line.

Question 10

Social obligation is the obligation of a business to meet its __________.
A) social and technological responsibilities
B) economic and legal responsibilities
C) economic and social responsibilities
D) technological and economic responsibilities

Accepted Answer

Social obligation refers to a business's responsibility to fulfill its economic and legal responsibilities. While a business may choose to take on additional social or ethical responsibilities, fulfilling economic and legal responsibilities is essential for the business to operate lawfully and sustainably. Technological responsibilities may also be important for certain industries, but they are not necessarily considered part of a business's social obligation.

Question 11

Under the concept of social obligation, the organization__________ .
A) fulfills its obligation to the law and its stakeholders
B) does what it can to meet the law, and a little bit more for stakeholders
C) fulfills its obligation to the stakeholders, which makes it fulfill the law, too
D) does the minimum required by law

Accepted Answer

Under the concept of social obligation, an organization focuses on doing the minimum required by law, without necessarily going beyond these requirements to meet additional stakeholder expectations.

Question 12

Social responsiveness refers to the capacity of a firm to adapt to changing __________.
A) societal leaders
B) organizational conditions
C) societal conditions
D) organizational managers

Accepted Answer

Social responsiveness refers to a firm's ability to adapt to changes in societal conditions, such as shifts in values, beliefs, and expectations of consumers, employees, and stakeholders. It involves being aware of and responsive to social issues and trends that impact the business environment, and taking proactive steps to address them. Socially responsive firms are more likely to establish stronger relationships with their customers, enhance their reputation, and achieve competitive advantage in the long run.

Question 13

The aspect that differentiates social responsibility from other similar concepts is that it __________.
A) considers social norms
B) adds a moral imperative
C) adds a legal imperative
D) adds an ethical imperative

Accepted Answer

Social responsibility is primarily concerned with ethical imperatives, focusing on doing what is right and beneficial for society beyond legal obligations.

Question 14

Applying social criteria to an investment decision refers to__________ .
A) socioeconomic view
B) social responsibility
C) social screening
D) social responsiveness

Accepted Answer

Applying social criteria to an investment decision refers to social screening. Social screening involves evaluating potential investments based on social and ethical criteria, such as environmental impact, labor practices, and community relations. This practice allows investors to align their financial objectives with their personal values or social concerns.

Question 15

provides a way for individual investors to support socially responsible companies.
A) The stock exchange
B) A socially responsible investment fund
C) Going green
D) A bond

Accepted Answer

A socially responsible investment fund provides a way for individual investors to invest their money in companies that align with their values and beliefs regarding social and environmental responsibility. These funds invest in companies that prioritize issues such as sustainability, human rights, and ethical practices. This allows investors to not only make a financial return but also to support and promote responsible businesses.

Question 16

Which argument for social responsibility puts forth the belief that by becoming socially responsible businesses can expect to have less government regulation?
A) public expectations
B) discouragement of further government regulation
C) public image
D) stockholder interests

Accepted Answer

This argument is the discouragement of further government regulation. By becoming socially responsible, businesses can show that they are already taking steps to address societal issues and may be able to avoid additional regulations from the government.

Question 17

The belief that businesses have the financial, technical, and managerial resources to support needed public and charitable projects is known as _________which argument?
A) public expectations
B) possession of resources
C) public image
D) ethical obligations

Accepted Answer

This argument is based on the belief that businesses have the resources needed to support public and charitable projects. It is the possession of resources argument, as it emphasizes that businesses are capable of providing the necessary support. The other options (public expectations, public image, ethical obligations) focus on different reasons why businesses should engage in social responsibility, but do not specifically address the belief in their resources.

Question 18

The belief that businesses should be responsible because such actions are right for their own sake is known as which argument for social responsibility?
A) discouragement of further government regulation
B) public image
C) public expectation
D) ethical obligation

Accepted Answer

The ethical obligation argument for social responsibility states that businesses should behave in a responsible manner because it is the right thing to do. It is based on a moral and ethical responsibility to society and the environment, rather than just meeting public expectations or trying to improve their public image.

Question 19

The belief that businesses are being socially responsible when they attend only to economic interests is known as which argument against a firm being socially responsible?
A) violation of profit maximization
B) dilution of purpose
C) too much power
D) costs

Accepted Answer

The belief that businesses are being socially responsible when they attend only to economic interests falls under the violation of profit maximization argument against a firm being socially responsible. This argument states that businesses have a responsibility to their shareholders to maximize profits and prioritize economic interests over social or environmental concerns.

Question 20

One should be cautious in the interpretation, but a summary of more than a dozen studies analyzing the relationship between organizational social responsibility and economic performance provides what conclusion?
A) Corporate social involvement tends to devalue stock prices in the long run.
B) Good economic performance allows firms to be socially responsible.
C) There is a positive relationship between corporate social involvement and economic performance.
D) Being socially responsible causes good economic performance.

Accepted Answer

The summary of more than a dozen studies analyzing the relationship between organizational social responsibility and economic performance suggests that there is a positive relationship between corporate social involvement and economic performance. However, caution should be exercised in interpreting these findings.

Quiz 5: Social Responsibility and Managerial Ethics

The belief that a firm's pursuit of social goals would give them too much power is known as what argument in opposition to a firm being socially responsible?

Which argument for social responsibility puts forth the belief that an imbalance between the large amount of power held by firms and their responsibility is harmful to the public good?

The belief that the costs of social activity are passed on as higher prices to consumers is known as which argument against a firm being socially responsible?

__________is defined as a business firm's obligation, beyond that required by law and economics, to pursue long- term goals that are good for society.

When a firm advertises that it only uses recycled paper products, it is __________.

There is to say that a company's socially responsible actions significantly hurt its long- term economic performance.

The belief that businesses that help solve difficult social problems create a desirable community and attract and keep skilled employees is known as which argument for social responsibility?

The belief that business leaders should not direct social policy because there is no direct line of social accountability to the public is known as what argument against a firm being socially responsible?

Employee relations, philanthropy, pricing, resource conservation, product quality and safety, and doing business in countries that violate human rights are some obvious examples of__________ .

Social obligation is the obligation of a business to meet its __________.

Under the concept of social obligation, the organization__________ .

Social responsiveness refers to the capacity of a firm to adapt to changing __________.

The aspect that differentiates social responsibility from other similar concepts is that it __________.

Applying social criteria to an investment decision refers to__________ .

provides a way for individual investors to support socially responsible companies.

Which argument for social responsibility puts forth the belief that by becoming socially responsible businesses can expect to have less government regulation?

The belief that businesses have the financial, technical, and managerial resources to support needed public and charitable projects is known as _________which argument?

The belief that businesses should be responsible because such actions are right for their own sake is known as which argument for social responsibility?

The belief that businesses are being socially responsible when they attend only to economic interests is known as which argument against a firm being socially responsible?

One should be cautious in the interpretation, but a summary of more than a dozen studies analyzing the relationship between organizational social responsibility and economic performance provides what conclusion?