Question 1

Kevin works for a consulting firm that strictly follows a 40 hours-per-week work schedule as prescribed in the employment terms laid out by the labor tribunal. In this scenario, Kevin's firm is diligently fulfilling its _________.

Accepted Answer

The fact that Kevin's firm follows the 40 hours-per-week work schedule as prescribed by the labor tribunal shows that they are fulfilling their legal responsibilities, which refers to the firm's duty to comply with the laws and regulations set by the government. The other options, such as philanthropic responsibilities (A), hybrid responsibilities (B), and superordinate responsibilities (D), are not relevant in this scenario.

Question 2

Robin, a social entrepreneur, founded the Center of Business Excellence, a not-profit organization, and Fydil Investments Inc., a profit-oriented firm. Robin's motive is to provide a focused solution to poverty by helping the poor with a desire to succeed at business. His knowledge and expertise gathered over the years from working on different assignments ensured sustainability of the new ventures. Which of the following types of entrepreneurship corresponds to the skill sets of Robin?

Accepted Answer

Robin's focus on creating both a non-profit organization and a profit-oriented firm that work together to address poverty through business solutions aligns with the characteristics of a social bricoleur. This type of entrepreneur is known for their ability to piece together various resources, skills, and ideas to create innovative solutions to social issues.

Question 3

Which of the following statements is true of the fundamental social responsibilities of a business?

Accepted Answer

The fundamental social responsibility of a business includes economic, legal, ethical, and philanthropic responsibilities. Philanthropic responsibility is not a mandatory obligation, but it becomes an obligation only if the firm is viewed as an active member and contributing citizen of the community in which it operates. Economic responsibility is the most crucial responsibility for a firm's survival and growth, while ethical responsibility requires fulfilling the firm's social obligations that go beyond legal requirements. Legal responsibility is a minimal responsibility that requires firms to operate within the legal framework of the country.

Question 4

Jude works for a food-processing unit that sells processed food at rates as low as 25% of its selling price to orphanages, old-age homes, missionaries, and charitable institutions. Jude's organization can be classified as a(n)_________.

Accepted Answer

The organization in question is a hybrid organization as it combines social goals and business goals. The fact that the organization sells processed food at a heavily discounted rate to charitable institutions indicates that it is not solely profit-driven and has a social mission as well. This combination of social and business goals makes it a hybrid organization.

Question 5

Jacob, an automobile engineer, works at an automobile manufacturing firm that receives an order for 3,000 cars from a major client. This contract resulted in a high turnover and bonuses for its employees. Jacob's firm is fulfilling its _________.

Accepted Answer

The firm is fulfilling its economic responsibility by fulfilling the contract and generating high turnover and bonuses for its employees. Philanthropic responsibility involves giving back to the community, legal responsibility involves following laws and regulations, and superordinate responsibility involves ethical and moral obligations beyond legal requirements.

Question 6

Jack and Michael work as strategic consultants in a consulting firm in London. Jack is of the opinion that organizations focused on institutional change are most likely to be led by social bricoleurs, while Michael believes that it is a social engineer who adds value to organizations focused on capacity building. Which of the following statements, if true, would weaken Jack's opinion?

Accepted Answer

The answer of Jack and Michael work as strategic consultants...

Question 7

Walter Inc., an engineering firm, follows stringent rules related to safety such as wearing helmets, sporting safety goggles, and dust masks while working on-site. In this scenario, which of the following responsibilities is fulfilled by Walter?

Accepted Answer

Walter Inc. is fulfilling its ethical responsibility by following stringent rules related to safety while working on-site. Ethical responsibility refers to a company's obligation to do what is right, just, and fair, including following laws and regulations, and behaving in an ethical manner towards stakeholders.

Question 8

Dominic works as a trainer in a content analyst firm, Revel Inc., which specializes in corporate training programs. He trains employees on the various skill sets required to perform their job effectively thereby resulting in the transfer of knowledge and skills. This is an example of _________.

Accepted Answer

Dominic's job involves capacity building, which refers to the process of developing and strengthening the skills, knowledge, and abilities of individuals and organizations to improve their performance and achieve their goals. This is done through training, coaching, mentoring, and other forms of learning and development activities. While the other options may also be relevant to some extent, they do not fully capture the nature of Dominic's work as a trainer in a corporate training firm.

Question 9

Which of the following statements is true of the skills of social entrepreneurs?

Accepted Answer

The answer of Which of the following statements is true...

Question 10

Elvis works as a dentist at Prince Inc., a premier dentist clinic. The clinic conducts free checkups every month in remote places of the country to create more awareness on good dental hygiene. Which of the following social responsibilities is best reflected in this scenario?

Accepted Answer

This scenario best reflects philanthropic responsibilities as the clinic is conducting free checkups in remote areas to create awareness on good dental hygiene. Philanthropic responsibilities involve giving back to society through acts of charity or community service.

Question 11

Tracy, an employee of an online retailing firm, is the member of the employee engagement committee in her firm and is entrusted with the task of organizing a cultural event. The proceeds of this cultural event will go toward providing free and affordable healthcare to the backward sections of the community. In this scenario, Tracy's firm is fulfilling its ________.

Accepted Answer

Tracy's firm is fulfilling its philanthropic responsibilities by organizing the cultural event to provide healthcare to the backward sections of the community. Economic responsibilities refer to making a profit, legal responsibilities refer to following laws and regulations, and institutional responsibilities refer to maintaining ethical business practices.

Question 12

Which of the following examples best represent an in-kind donation?

Accepted Answer

An in-kind donation is a non-cash contribution of goods or services. Option C represents a donation of relief materials, which is an example of an in-kind donation. Options A, B, and D involve cash donations and therefore do not represent in-kind donations.

Question 13

Which of the following statements best defines a social engineer?

Accepted Answer

A social engineer is a social entrepreneur who designs and creates new social systems to create large-scale change. Social engineering is a term used to describe the process of using social and psychological principles to influence behavior and social systems. A social engineer applies this concept to entrepreneurship and focuses on creating new systems that address a particular social problem or need. Examples of social engineering include designing new educational systems, healthcare systems, or environmental systems.

Question 14

Nick and Juliet work in an online retailing firm in Chicago. Nick believes that a company's primary social responsibility is economic in nature while Juliet believes that its primary responsibility is to contribute to the enhancement of the community in which it operates. Which of the following statements, if true, strengthens Nick's belief?

Accepted Answer

This statement supports Nick's belief that a company's primary responsibility is economic in nature by emphasizing that without profitability and sustainability, a company cannot effectively fulfill any other responsibilities, including those related to enhancing community.

Question 15

Which of the following statements is true of institutional change?

Accepted Answer

Institutional change agents typically focus on large-scale social problems that have proven difficult for governments or other social actors to solve. Institutional change involves altering the fundamental structures, policies, and practices of an organization or society to better address these problems. It is not necessarily related to customers valuing an organization's output or transferring tasks between organizations. The effectiveness of institutional change may vary depending on the organization's goals and priorities, but there is no evidence to suggest that it is most effective in organizations pursuing multiple goals of equal importance.

Question 16

Erina, an investment banker, quit her job to start her own financial institution to help the poor in her community who were trapped in a vicious cycle of debt to moneylenders. She began following a strategy that contradicted prevailing practice and provided small loans to poor women. Erina saw the potential to change long-held beliefs about gender imbalances through her social initiative. In this scenario, Erina best represents a _________.

Accepted Answer

Erina's initiative to provide small loans to poor women contradicts prevailing practice and aims to change long-held beliefs about gender imbalances, which aligns with the principles of social constructionism. A social bricoleur is someone who uses existing resources to create something new, and while Erina is starting a new financial institution, it is not explicitly mentioned that she is using existing resources. A social complementor is someone who works to enhance or support existing organizations or institutions, which does not apply to Erina's situation. A social competitor is someone who directly competes with existing organizations, which is not Erina's intention as she is targeting a different market segment.

Question 17

John works for Roth Inc., a mining firm, which strictly adheres to the employment rules as prescribed by the labor commission. The firm employs individuals only above the age of 23 for occupations that could pose safety hazards. In this scenario, which of the following social responsibilities is fulfilled by Roth?

Accepted Answer

Roth Inc. is fulfilling its legal responsibility by adhering to the age requirement set by the labor commission for occupations involving safety hazards. Legal responsibility refers to the obligation of a business to operate within the law and fulfill its legal obligations.

Question 18

Katie works for an electronics manufacturing company that contributes 10% of employees' performance-linked bonuses toward the education of children with autism. Which of the following social responsibilities is best reflected in this scenario?

Accepted Answer

The scenario showcases philanthropic responsibility, where the company is contributing toward social causes voluntarily. The company is not legally obligated to contribute a portion of their bonus to children with autism; neither is it fulfilling any economic responsibility by doing so. The company is voluntarily making a difference in society by contributing towards social causes.

Question 19

Which of the following statements best defines philanthropy?

Accepted Answer

Philanthropy is the act of promoting the welfare of others through donations of time, money, or resources. It involves giving without expecting anything in return, with the goal of improving the lives of others. While philanthropy can sometimes involve creating new social systems or combining diverse elements, at its core it is about promoting the well-being of others through the act of giving.

Question 20

Which of the following describes those living in conditions of extreme poverty around the world, usually defined as less than $2 per day?

Accepted Answer

The term commonly used to describe those living in extreme poverty around the world is "base of the pyramid." This concept refers to the millions of people who live on less than $2 per day and make up the large, but often overlooked, bottom layer of the global economic pyramid.

Quiz 14: Strategy and Society