The approach that justifies corporate expenditure on socially responsible activities by suggesting that there is an implied social contract between a company and society that ensures the company's validity and survival as long as its activities are consistent with society's values is:

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The approach described suggests that a company's social responsibility is necessary for its legitimacy and continued existence in society. This aligns with the core principles of legitimacy theory, which posits that a company must maintain its social, economic, and environmental legitimacy to secure a stable future. Choice A, enlightened self-interest, refers to the idea that companies act in their best interest by investing in social responsibility initiatives. Choice B, stakeholder management strategy, refers to the practice of involving all stakeholders in decision-making processes. Choice D, ethical universalism, maintains that certain ethical principles are applicable to all individuals and organizations regardless of culture or context. While some of these theories may inform the approach described, none of them exactly match the given explanation except for legitimacy theory.

The Approach That Justifies Corporate Expenditure on Socially Responsible Activities