Question 1

Quest Systems, a local information technology firm, donates old computer equipment to a recycling company. What is Quest demonstrating?

Accepted Answer

Quest is demonstrating corporate responsibility by properly disposing of their old computer equipment through a recycling company. This action promotes environmental sustainability and reduces the amount of electronic waste that ends up in landfills.

Question 2

How did Kraft demonstrate its commitment to socially responsible policies?

Accepted Answer

Kraft demonstrated its commitment to socially responsible policies by pledging to stop advertising unhealthy foods to children. This decision shows that the company is prioritizing the health and well-being of its consumers, particularly those who are most vulnerable to the negative effects of unhealthy eating habits.

Question 3

Which consumer right is reflected when Mattel recalls toys from the marketplace due to toxic chemicals in the paint that are harmful to children?

Accepted Answer

Mattel's recall of toys from the marketplace due to toxic chemicals in the paint that are harmful to children reflects the consumer's right to be safe. This right ensures that products are not harmful or dangerous to users when used as intended.

Question 4

Which of the following behaviours has the goal of meeting the needs of the current generation without harming the ability of future generations to meet their needs?

Accepted Answer

Sustainable development is the only option presented that explicitly mentions meeting the needs of future generations while addressing the needs of the current generation. Socially optimal pricing, universal ethical standards, and corporate responsibility do not necessarily prioritize the needs of future generations in the same way.

Question 5

Recently, Estée Lauder announced that it will donate a portion of each sale of its Gwyneth Paltrow-endorsed perfume to breast cancer research. What is this an example of?

Accepted Answer

This is an example of cause-related marketing, as the company is aligning itself with a charitable cause (breast cancer research) in order to promote its product and increase sales.

Question 6

Which of the following behaviours is a company practising when it enforces supplier contracts with foreign countries that state that child labour will not be used to produce its products?

Accepted Answer

Enforcing supplier contracts to prevent the use of child labor is an example of corporate responsibility. This involves companies making ethical decisions and taking responsibility for the impact their actions have on society and the environment.

Question 7

What does "corporate philanthropy" refer to?

Accepted Answer

"Corporate philanthropy" specifically refers to business donations to not-for-profit groups, rather than other ethical standards or practices related to corporate responsibility.

Question 8

What is the usual result for firms that participate in cause-related marketing?

Accepted Answer

Firms that participate in cause-related marketing usually find that such programs help build their brands and increase sales. By aligning themselves with a cause that resonates with their target market, firms can establish an emotional connection with their customers, differentiate themselves from competitors, and enhance their reputation as socially responsible businesses. This can lead to increased customer loyalty, positive word-of-mouth, and ultimately, improved financial performance.

Question 9

What does consumerism, as a social movement, suggest?

Accepted Answer

Consumerism as a social movement suggests that consumer rights should be recognized and respected. It is a movement that seeks to protect and promote the interests of consumers by pressuring businesses and governments to adopt policies and practices that ensure fair treatment, product safety, and transparency in marketing and advertising. It does not suggest that consumers are more important than other stakeholders or that they should only be marketed through social media.

Question 10

Harbour Paint Products Inc. proactively implemented an incentive program that rewarded employees for soliciting customer feedback on its new deck stain product. Outside sales professionals, inside customer service representatives, and partner retail associates were asked to contribute a minimum of seven customer impressions (positive or negative) each week into a company marketing database. What did this program promote?

Accepted Answer

The incentive program promoted consumerism and the right to be heard by encouraging employees to solicit customer feedback on the company's new deck stain product. This allowed customers to have a voice in the development of the product and gave the company valuable feedback for future improvements.

Question 11

What is the difference between corporate responsibility and philanthropy?

Accepted Answer

Corporate responsibility refers to the actions and behavior of a company towards society and the environment, including ethical practices and sustainability efforts. Philanthropy, on the other hand, is when a company makes donations of money and time to charitable causes but may not necessarily improve their own business practices. Therefore, option B is the correct answer as it highlights the difference between the two concepts, where corporate responsibility focuses on the company's actions, while philanthropy is focused on charitable donations.

Question 12

What do we call the practice of deliberately designing a product to fail in order to shorten the time between a consumer purchase and a repurchase?

Accepted Answer

The practice of deliberately designing a product to fail in order to shorten the time between a consumer purchase and a repurchase is known as planned obsolescence. This tactic is often used by companies to boost sales and encourage consumers to make repeat purchases.

Question 13

Which of the following terms refers to the use of marketing partnerships between businesses and not-for-profit organizations that are designed to spike sales for the company and raise money for the not-for-profit organization?

Accepted Answer

Cause-related marketing refers to the use of marketing partnerships between businesses and not-for-profit organizations that are designed to spike sales for the company and raise money for the not-for-profit organization. Corporate philanthropy refers to charitable donations and contributions made by a company, while consumerism refers to a movement advocating for the protection of consumer interests and rights. Sustainable development refers to the practice of meeting the needs of the present without compromising the ability of future generations to meet their own needs.

Question 14

Which of the following best describes the concept of a living wage?

Accepted Answer

The answer of Which of the following best describes the...

Question 15

What is the term for the donation of time and/or money to not-for-profit organizations in an effort to support charitable causes?

Accepted Answer

Philanthropy is the term used to describe the act of donating time and/or money to not-for-profit organizations in support of charitable causes. Remuneration refers to compensation for work or services rendered, while responsibility and marketing are not related to charitable giving.

Question 16

The most socially responsible companies establish codes of conduct for their vendors that include policies pertaining to which of the following?

Accepted Answer

The most socially responsible companies establish codes of conduct for their vendors that include policies regarding human rights, such as fair labor practices, environmental responsibility, and ethical business practices. This is a key aspect of demonstrating a commitment to social responsibility, and is essential for maintaining the trust of stakeholders and consumers. The other options listed (B, C, and D) are also important considerations for socially responsible companies, but the protection of human rights is a foundational concern that underlies all others.

Question 17

What is the term for developing and promoting environmentally sound products and practices to gain a competitive edge?

Accepted Answer

Green marketing refers to the development and promotion of environmentally friendly products and practices by companies to gain a competitive edge in the market. It involves communicating the environmental benefits of the products and services to customers and stakeholders. The goal of green marketing is to meet the growing consumer demand for sustainable and eco-friendly products, while also addressing environmental concerns and reducing the company's carbon footprint.

Question 18

Ben & Jerry's is recognized for being a socially conscious trendsetter. As a socially responsible company, what is this maker of high-quality ice cream most likely to focus on?

Accepted Answer

As a socially responsible company, Ben & Jerry's is most likely to focus on finding the proper balance between earning profits and meeting responsibilities to other stakeholders, including the environment, employees, customers, and communities. This approach aligns with their mission statement of "creating linked prosperity for everyone that’s connected to our business." While they do offer non-dairy options, this is just one aspect of their overall commitment to social responsibility.

Question 19

A large community college system recently built a new "green" campus, where facilities were designed and constructed to use energy and water more efficiently in order to conserve the environment and its resources for future generations. What is this effort embracing?

Accepted Answer

The effort to design and construct facilities that use energy and water more efficiently in order to conserve the environment and its resources for future generations is an example of sustainable development.

Question 20

What do we call the process whereby a company promotes environmentally friendly products as a benefit to its customers?

Accepted Answer

This process is called green marketing, which involves promoting products or services that are environmentally friendly or sustainable as a way to appeal to customers who prioritize eco-friendliness in their purchasing decisions.

Quiz 2: Business Ethics and Social Responsibility: Doing Well by Doing Good