The implementation of a pro-active ethics program is expected to result in ________.
A) a positive corporate image and increased respect, but is not expected to affect cash flows
B) an increased share price resulting from a decrease in risk, but is not expected to affect cash flows
C) a positive corporate image and increased respect, but is not expected to affect share price
D) a positive corporate image and increased respect, a reduction in risk, and enhanced cash flow resulting in an increase in share price

Question

Quizplus · Accepted Answer

Implementation of a pro-active ethics program is expected to result in a positive corporate image and increased respect, a reduction in risk, and enhanced cash flow resulting in an increase in share price. A positive corporate image and increased respect can lead to increased customer loyalty, investor confidence, and employee morale. Reduction in risk can save costs, and enhanced cash flow can increase profitability, leading to higher share prices. Therefore, all these factors contribute to an overall positive impact on the company's financial performance.

The Implementation of a Pro-Active Ethics Program Is Expected to Result