In the context of corporate social responsibility,which of the following statements is true of the stakeholder theory?
A)It states that companies should only focus on increasing shareholder wealth
B)It states that social responsibility is best carried out by government agencies.
C)It states that a company is expected to be a good citizen in its community
D)It states that employees and not the top management should be involved in corporate social responsibility.

Question

In the context of corporate social responsibility,which of the following statements is true of the stakeholder theory?
A)It states that companies should only focus on increasing shareholder wealth​
B)It states that social responsibility is best carried out by government agencies.​
C)It states that a company is expected to be a good citizen in its community
D)​It states that employees and not the top management should be involved in corporate social responsibility.

Quizplus · Accepted Answer

The stakeholder theory states that a company is expected to be a good citizen in its community, which includes considering the interests of a wide range of stakeholders such as customers, employees, suppliers, and the environment, rather than solely focusing on increasing shareholder wealth. Therefore, option C is the correct statement. Options A, B, and D are incorrect as they do not reflect the principles of the stakeholder theory.

In the Context of Corporate Social Responsibility,which of the Following