Question 1

Some strategists agree with Ralph Nader, who proclaims that organizations have tremendous social obligations.

Accepted Answer

Ralph Nader is known for his advocacy on consumer protection and corporate responsibility, often emphasizing the social obligations of organizations.

Question 2

Contrast Ralph Nader's and Milton Friedman's positions on social responsibility. With whose view do you agree?

Accepted Answer

The answer of Contrast Ralph Nader's and Milton Friedman's positions...

Question 3

Firms should strive to engage in social activities that have no economic benefits, to avoid their being viewed as public relations ploys.

Accepted Answer

Firms should engage in social activities that align with their values and business goals, creating both social and economic benefits, which can enhance their reputation and sustainability.

Question 4

Fiscal responsibility refers to a firm's obligation to care for its employees, customers, communities, and society in which it operates.

Accepted Answer

Fiscal responsibility refers to the efficient and prudent management of financial resources, focusing on budgeting, spending, and financial planning, rather than social obligations.

Question 5

Bill Gates asserts that organizations have no obligation to do any more for society than is legally required.

Accepted Answer

Bill Gates has been known to advocate for corporate social responsibility and philanthropy, notably through his work with the Bill & Melinda Gates Foundation, which suggests he believes organizations have obligations beyond just legal requirements.

Question 6

The first social responsibility of any business must be to make enough profit to cover the costs of the future because if this is not achieved, no other social responsibility can be met.

Accepted Answer

This statement reflects the view that a business must be financially sustainable to fulfill any social responsibilities, as without profit, it cannot continue to operate or contribute to social causes.

Question 7

Substantial research reveals no relationship between corporate social responsibility and corporate financial performance.

Accepted Answer

Research has shown mixed results, with some studies indicating a positive relationship between corporate social responsibility (CSR) and financial performance, while others find no significant link or even a negative relationship.

Question 8

Strategists should examine social problems in terms of potential costs and benefits to the firm and focus on social issues that could benefit the firm most.

Accepted Answer

Strategists often analyze social problems by assessing their potential impact on the firm, prioritizing issues that align with the firm's goals and can provide competitive advantages or enhance reputation.

Question 9

Many New Zealanders, supported by Japanese, are outraged about Australia's "large-scale" whaling operations in Antarctic.

Accepted Answer

Australia does not conduct large-scale whaling operations; it is Japan that has been involved in controversial whaling activities in the Antarctic, which have been opposed by countries like Australia and New Zealand.

Question 10

There are no countries that favor or engage in commercial whaling today.

Accepted Answer

Some countries, such as Japan, Norway, and Iceland, still engage in commercial whaling despite international opposition and regulations.

Question 11

Substantial research reveals a u-shaped relationship between corporate social responsibility and corporate financial performance.

Accepted Answer

Research indicates that moderate levels of corporate social responsibility (CSR) can lead to optimal financial performance, while too little or too much CSR can result in lower financial performance, forming a U-shaped relationship.

Question 12

Ralph Nader believes that big firms like ExxonMobil have an obligation to help society cure its many ills.

Accepted Answer

Ralph Nader, a consumer advocate and political activist, has often argued that large corporations have a social responsibility to address societal issues and contribute positively to the community.

Question 13

Social responsibility refers to actions an organization takes that are legally required to protect or enhance the well-being of living things.

Accepted Answer

Social responsibility refers to voluntary actions taken by an organization to contribute to societal goals and the well-being of living things, beyond what is legally required.

Question 14

Social responsibility refers to a firm's obligation to care for its employees, customers, communities, and society in which it operates.

Accepted Answer

Social responsibility involves a company's duty to act in the best interests of its environment and society as a whole, including its employees, customers, and communities.

Question 15

Most economists suggest that firms should not engage much, if any, in philanthropy, because simply making a profit is difficult, and shareholders expect a high return on their investment.

Accepted Answer

Economists often argue that a firm's primary responsibility is to maximize shareholder value, and engaging in philanthropy can divert resources away from this goal, potentially affecting profitability and shareholder returns.

Question 16

According to economists, shareholders are quite supportive of philanthropic ventures since these do not affect the profits available to them.

Accepted Answer

Shareholders may be concerned that philanthropic ventures could reduce profits available to them, as these activities often involve spending company resources without direct financial returns.

Question 17

No social need can be met if the firm fails.

Accepted Answer

A firm's failure means it can no longer operate and provide goods or services, which means it can no longer meet any social needs.

Question 18

Both Milton Friedman and Ralph Nader agree on the importance of corporate social responsibility.

Accepted Answer

Milton Friedman believed that the primary responsibility of a corporation is to maximize shareholder value, while Ralph Nader emphasized the importance of corporate social responsibility and accountability to the public.

Question 19

According to Friedman's point-of-view, it is irresponsible for a firm to give monies to charity.

Accepted Answer

Milton Friedman argued that the primary responsibility of a business is to maximize shareholder value, and using company funds for charity could detract from this goal.

Question 20

Only eight U.S. states have laws banning the sale of shark fins in food.

Accepted Answer

There are only eight U.S. states that have laws banning the sale of shark fins in food.

Quiz 10: Business Ethics, Environmental Sustainability, and Social Responsibility