ba 325 final
Which of these statements is true regarding the Class Action Fairness Act of 2005?
Both of these answers are correct: Lawyers were restricted from shopping for friendly venues to try interstate cases; and excessive attorney compensation was limited.
Which part of the Department of Justice protects the public from being charged excess fees based on one's race?
Civil Rights Division
Businesses can reduce income inequality by which action?
Commit to paying a living wage to all employees.
The illegal recruitment and movement of people against their will is called:
Forced labor.
Trading stocks in advance of large institutional investment moves is called:
Front-running
Which groups often collaborate when developing industry-wide codes of conduct?
Government officials NGOs Companies
Warning consumers about the possible side effects of pharmaceutical drugs is an example of consumer protection against:
Hazardous products
An argument that opposes the idea of high executive pay is:
High salaries divert resources that could be used to invest in the business.
When lead firms work with suppliers they can create shared value such as:
Higher income for the supplier. Higher quality products for customers. A more stable supply of products.
Which of the following is not a reason for businesses to establish community relations departments?
Managing international relations projects for economic development.
Many executives believe that a diverse workforce boosts innovation because:
Many unique perspectives contribute to a better solution.
The mission of the Securities and Exchange Commission (SEC) is to:
Protect shareholders' rights by making sure that stock markets are run fairly.
If someone is entitled to be treated in a certain way, this refers to a(n):
Right
Which major consumer right was violated according to the discussion case Volkswagen's "Clean Diesel" Campaign?
Right to privacy
Communities depend on business for:
Schools. Health care. The arts.
Consumers owe more money on their home loans (mortgages) than on any other kind of household debt. After mortgages, what makes up the largest portion of household debt?
Student loans
What is the first step that lead firms take to develop their suppliers?
Supplier monitoring
A living wage has been defined as a wage that:
Supports half the basic needs of an average-sized family, based on local prices.
Which of these channels represents a traditional media outlet?
Television
Which of the following is not a function of board committees?
The finance committee works closely with the human resources department to fund employee salaries.
Which of the following is not true about occupational segregation?
The technology sector is dominated by women
According to a 2016 survey of senior supply chain managers, what is the leading reason to invest in supplier social responsibility?
To create a positive image and enhance brand equity.
What is one reason that firms partner with communities to increase economic development?
To develop workplace skills.
A reason for an increase in employee monitoring does not include:
To reduce the employer's health insurance premiums
Why should businesses get involved in the community?
To win local support for business activity. To build social capital. To meet stakeholder demands.
A customer tweeting about a recent bad shopping experience is using which type of media communication?
User-generated content.
Building a positive and ethical reputation requires a firm to:
Convey a compelling story about the firm and what it stands for.
Which of the following is true about corporate boards?
Corporate boards average between 9 and 11 members.
A significant business disruption that stimulates extensive news media and social networking coverage is called a(n):
Corporate crisis.
According to the Institute for Crisis Management this industry is among the top crisis-prone industries because of sophisticated technology found in its products:
Pharmaceuticals
Which type of supplier is hired to provide products or services directly to a lead firm?
Tier-1.
When firms invest in suppliers to exchange knowledge and collaborate on improvements, they create shared value for:
Both the supplier and the lead firm.
How can a lead firm improve a supplier's performance when the cost to replace the supplier is high?
Engage the supplier in capability-building.
Global businesses that have extended their public relations strategies worldwide should:
Ensure that communications with local media take place in the area's native language.
As shown in Figure 2, in 2015 the countries with the highest and lowest percentages of unionized labor, respectively, were:
Iceland, Turkey
Which law eliminated certain time restrictions for filing pay discrimination lawsuits?
Lilly Ledbetter Fair Pay Act of 2009.
Minority enterprises often do business in locations with:
Low-quality public services.
Organizations with strong positive reputations are generally more successful because they:
Often get the benefit of the doubt in uncertain circumstances.
What is one drawback of conducting supplier audits?
On-site inspections are expensive.
Which of these measures is (are) frequently used to rate suppliers when using an integrated supplier scorecard?
Both environmental performance and product quality.
Which of the following represents a type of corporate crisis?
Acts of God. Management indecision. Mechanical problems.
Private governance is most likely to emerge under which of these conditions?
Firms with highly visible brands are more vulnerable to reputational damage.
Emphasizing key points and guiding the media reporter to them is called:
Flagging
Seeking to restore the firm's reputation takes place during this effective crisis management step:
Follow up and, where appropriate, make amends to those affected.
Random drug testing of employees is accurately described by which statement?
It screens randomly selected employees at various times through the year.
The main responsibility of the National Highway Traffic Safety Administration is to:
Set motor vehicle safety standards.
The media control technique called bridging is exemplified by which of these phrases?
"While that is true, what is important to know is...".
In 2017, median compensation for directors at the largest U.S. corporations was around:
$300,000
According to a recent survey, what percentage of firms would terminate a supplier if serious violations were found?
48 percent.
An example of "insider trading" is:
A company executive passing nonpublic information about an upcoming acquisition to a friend, who traded for a profit.
Investors may receive an economic benefit from the ownership of stock by receiving:
Both dividends and capital gains.
Which industry(ies) have taken the lead in revitalizing neighborhoods?
Both of these answers are correct: Life insurance firms; and health insurance companies.
The "gig" (or sharing) economy is accurately described by which of these?
Both of these answers are correct: Many companies have become more cost-efficient; and the generally low wages have increased the welfare burden on the government.
Employees in the United States have a legal right to:
Both of these answers are correct: Organize and bargain collectively; and a safe and healthy workplace.
Which of the following describe why the consumer movement exists?
Both of these answers are correct: Some product advertising claims have been inflated; and some businesses have violated the public's privacy.
Where are workers not permitted to form independent unions?
Both some communist countries and some military dictatorships.
Brand management often involves conveying what about a product or service?
Both the solutions provided and the expected experience.
A good way for a business to express its commitment to corporate citizenship is:
By establishing community relations programs. By behaving responsibly toward all its stakeholders. By correcting problems associated with its operations.
The EU's 2018 General Data Protection Regulation applies to:
Companies anywhere who provide services to European customers.
The law requiring that toys and infant products be tested before sale is called the:
Consumer Product Safety Improvement Act.
A global organization headquartered in London that represents over 200 consumer groups in more than 100 nations is called:
Consumers International
Sexual harassment applies to:
Either men or women who are being harassed.
Corporate governance involves the exercise of control over a company's:
Entire corporate direction.
The directors of a company are a central factor in corporate governance because they:
Exercise formal legal authority over company policy.
One important aspect of the new social contract regarding fixed pension benefits is:
Fixed pensions have been reduced in the U.S. by around 90 percent.
When women and minorities are highly competent but are unable to attain executive positions, this is typically called:
Glass ceiling
Government rules on equal treatment of employees include:
Government contractors must have written positive affirmative action plans to overcome the past and present effects of discrimination in their work force.
Richard M. Locke argues that global supply chains are best managed through a combination of public and private governance because:
Government-enforced laws give legitimacy to demands for workplace changes. Regulators benefit from record-keeping required by private companies' codes of conduct. Public and private organizations are able to share the enforcement workload.
The company justified Wynn's high compensation package, in the discussion case Executive Misconduct at Wynn Resorts, by saying that:
He had led the company to total returns of 19 percent per year between 2002 and 2017.
Which of these situations is not a reason for a firm to communicate through the media?
Ignoring or downplaying an organizational crisis.
The way organizational members believe others see the organization is called the corporate:
Image
What media technique is used to promote the general perception of a product or service, rather than promoting its functional attributes?
Image advertisements.
A financial services firm decided to assess the return on its social investment in an educational program in local schools. As part of its assessment, it measured the improvement in learning among students who had participated in the program, compared with the learning of students who had not. Which of the following elements was assessed?
Impacts
Supporters of declassifying board elections argue that this approach:
Increases accountability and responsiveness to shareholders.
In 2014, of the following nations, the fastest-growing stock market was in:
India
A supplier that controls critical worker skills and technical know-how holds which type of power over its lead firm?
Informational
Institutional investors are best described by which statement?
Institutions invest their funds by purchasing shares of stock in corporations on behalf of their investors or members.
Which of these is not a current consumer law that protects individual privacy?
Internet "do not track" rules
An argument against affirmative action is:
It is inconsistent with the principles of fairness and equality.
The relationship between business and the community is accurately described by:
It is one of mutual interdependence.
Which of the following statements is not true about the organization Consumer Reports?
It is supported by the federal government.
One argument in favor of affirmative action is:
It levels the playing field to correct past discriminatory hiring practices.
The "agency problem" arises when:
Managers act in their own interest, rather than in the interest of shareholders.
A good public relations program:
Manages the firm's public image and its relationship with the public.
Romantic relationships in the workplace are described by which statement?
Many companies allow managers to become romantically involved with subordinates, so long as they do not supervise them directly.
As communications improve and people around the world are able to witness the horrors of natural disasters, terrorism, and war, international relief efforts by corporations are becoming:
More important.
Codes of conduct are accurately described by which statement?
Most early codes of conduct were developed by individual companies.
Under U.S. laws, who has the right to hold an election to choose what union they want to represent them, if any:
Most private and public workers.
Sexual harassment is accurately described by which statement(s)?
Most sexual harassment incidents target women. Sexual harassment is illegal in the United States. The U.S. Equal Employment Opportunity Commission is empowered to sue on behalf of victims.
One particularly negative aspect of behavioral advertising is:
Online users may be vulnerable to the spread of misinformation tailored to their beliefs.
When a mother or father is granted time off when children are born or adopted and during the early months of a child's development, this is called:
Parental leave
Another term for corporate giving is corporate:
Philanthropy
Age, ethnicity, gender, mental or physical abilities, race, and sexual orientation fall under which dimension of diversity?
Primary
Purposefully planned messages sent to selected media promoting the company without payment to the media is called:
Publicity
The "right to be heard" promises that consumers' interests will:
Receive full and sympathetic consideration.
The share of all giving made up by in-kind contributions of products and services has been:
Rising steadily over the past decade.
Reports filed with the SEC provide information on a company's:
Sales and earnings Depreciation by line of business Details of foreign operations
Bias within the hiring process refers to:
Selecting only candidates that match a preconceived ideal of the role.
One action a company can take to effectively manage diversity and inclusion is:
Set up a diversity council to monitor the company's goals.
According to a Harvard Business Review study, which of the following is not an area in which corporate contributions are most likely to enhance a company's competitiveness?
Stakeholder management.
Under what legal doctrine does a firm bear legal responsibility for injuries caused by something it made or sold, whether or not it was negligent or breached a warranty?
Strict liability
Consumer groups have generally opposed the idea of product liability reform using which argument?
Strict liability should be retained
The Occupational Safety and Health Act gives workers the right to a job:
That is free from recognized hazards that are likely to cause death or serious injury.
The term civic engagement describes:
The active involvement of businesses and individuals in improving communities. Correct
What happened to United Airlines' reputation after several in-flight incidents were reported, according to the discussion case United Airlines—Navigating a Social Media Storm?
The company's public rating dropped significantly.
Benefits of managing diversity and inclusion effectively includes all except:
The federal government provides tax breaks
What is one reason why woman and minorities fail to move into executive or board positions?
The old boys' network
Which of the following is (are) core rights of consumers?
The right to safety
Factor conditions are strategic contributions focusing on:
The supply of trained workers, physical infrastructure, and natural resources.
What criteria must be met before a whistle-blower goes public?
There is enough potential harm to justify the possible costs of disclosure to the whistle-blower.
Employee Assistance Programs (EAPs) are correctly described by which of these statements?
They offer counseling and follow-up to alcohol and drug abusers. Almost all employers with 1,000 or more workers offer EAPs. Nearly three-quarters of small companies with 50 to 99 employees offer EAPs.
Minority, women, and disabled veteran-owned firms are accurately described by which of these?
They often partner with larger firms in a diversity supplier role.
The general public is accurately described by which statement(s)?
This organizational stakeholder consists of individuals and groups found in society.
Racial harassment is illegal under:
Title VII of the Civil Rights Act
In the case The Ugly Side of Beautiful Nails, the nail salon industry violated which of these worker rights?
To a safe and healthy workplace
What is the primary goal of a community relations department?
To build relationships with important community groups.
A legal right of shareholders is:
To vote on members for the board of directors.
Which law allows individuals who sue federal contractors for fraud to receive up to 30 percent of any amount recovered by the government?
U.S. False Claims Act (as amended in 1986)
The activism of institutional investors in other countries has been spearheaded by:
U.S.-based pension and mutual funds that in recent years acquired large stakes in foreign countries
Social impacts of global supply chains include:
Wages Working conditions Employee health
Institutional investors are sometimes referred to as:
Wall Street investors
The risk online shoppers take when their web profile negatively impacts their credit is known as:
Weblining
A prime social responsibility of business is to safeguard consumers:
While continuing to supply them with goods and services they want.
When an employee believes his or her employer has done something that is wrong or harmful to the public, and he or she reports alleged organizational misconduct to the media, government, or high-level company officials, what has occurred?
Whistle-blowing
The audit committee is required by U.S. law to be:
financially literate
The International Labor Organization (ILO) identifies child labor by which factors?
Both a child's age and the work hours.
One alternative to product liability lawsuits is called:
Alternative dispute resolution
Which of these statements is (are) true regarding sexual harassment?
An imbalance of power.
In 2015, more than 50 percent of minority-owned businesses were owned by:
Asian Americans.
When suppliers endure audit after audit by different lead firms, this is called:
Audit fatigue.
A rule of media communication is to:
Be honest. Be current. Be accessible.
In 2008 and early 2009, share values declined sharply as the global economy fell into a severe recession. This type of stock market is referred to as a:
Bear market.
Which of these programs offer a common auditing tool for sharing data on the labor, environmental and ethical practices of suppliers?
Both Sustainable Compliance Initiative and Sedex Global.
During crisis management, doing the right thing should include:
Both accepting responsibility and expressing regret.
Media training is especially important for which company roles?
Both board of directors and General Counsel.
As a stakeholder, suppliers' interests include:
Both earning income and utilizing productive capacity efficiently.
Companies can combat sexual and racial harassment—and protect themselves from expensive lawsuits—by:
Both of these answers are correct: Communicating a zero-tolerance policy on harassment to all employees; and establishing a complaint procedure and acting quickly to resolve any problems.
The primary goal(s) of the Food and Drug Administration include:
Both of these answers are correct: Ensuring the safety and effectiveness of a wide range of consumer products; and reviewing and approving new products before they are released to consumers.
The major federal consumer protection agencies are authorized by law to:
Both of these answers are correct: Intervene directly into the very center of free market activities, if that is considered necessary to protect consumers; and substitute government-mandated standards for decision making by private buyers and sellers.
Environmental concerns for supply chain managers include:
Both of these answers are correct: The distance of transporting goods from their source to the consumer; and efficiency within the supply chain.
Women in the U.S. workforce are accurately characterized by which of these statements?
Both of these answers are correct: The participation rate has been between 46 and 47 percent since the late 2000s; and the participation rates of women and men in the workforce have diverged.
The purpose of the media relations department is to manage a firm's:
Both relationship with the public and public image.
Which of these statements is not true about supply chain transparency?
Brand loyalty among consumers is reduced by a firm's revelations.
How do companies encourage their employees to volunteer their time?
By sponsoring specific projects. By offering recognition for service. By publicizing opportunities to serve.
The board committee that administers and approves salaries and benefits of high-level managers in a company is called:
Compensation.
Since the mid-1950s the proportion of American workers represented by unions has:
Decreased
Variation in the important human characteristics that distinguish people from one another is called:
Diversity
Collaborative partnerships between business, government, and communities have been particularly successful in which social area?
Education
Business depends on the community for:
Education. Public services. Transportation systems.
A reason for institutions becoming more assertive in promoting the interests of their member investors is:
Expressing dissatisfaction with management performance by selling a large block of stock would reduce the value of the institution's holdings.
The right to a safe and healthy workplace is accurately described by which statement?
Extensive training and careful precautions are necessary to avoid accidents, injuries, and illness.
Most corporate community relationship departments consist of how many team members?
Fewer than three people plus a manager.
Which type of U.S. company is required to follow the Family and Medical Leave Act (FMLA), and offer up to 12 weeks of unpaid employee leave to address family needs?
Firms with at least 50 employees
An argument in support of high executive compensation is:
High salaries provide an incentive for innovation and risk-taking.
Which of the following is (are) true regarding a recognizable brand?
Identifies how a company is distinctive from their rivals. Instills an emotional attachment that creates brand loyalty. Customers trust its exceptional value.
Child care assistance in the workplace is accurately described by:
It helps reduce employee absenteeism and tardiness. It aids in recruiting workers by making the company more attractive to parents. It helps retain talented employees.
Employee theft is correctly described by which statement?
It is a significant economic, social, and ethical problem in the workplace.
In 2015, the largest generation in the workforce was:
Millennials
Which industry gives the most in-kind contributions?
Pharmaceutical companies.
What was the primary motivator for corporate giving, according to the National Bureau of Economic Research?
Philanthropical.
Social investors seek to eliminate from their investment portfolios companies that:
Pollute the environment Discriminate against employees Make dangerous products like tobacco or weapons
States that have adopted right-to-work laws:
Prevent unions from requiring all workers they represent to pay fees or dues.
The Sarbanes-Oxley Act makes it illegal for employers to:
Retaliate against whistle-blowers who report information that could have an impact on the value of a company's shares.
What primary form of corporate giving did Salesforce contribute when working with the Red Cross, according to the case Salesforce's 1+1+1 Integrated Philanthropy Model?
Skills-based assistance.
When Fidelity partnered with the Capital Good Fund to service loans to disadvantaged communities, this was an example of:
Skills-based volunteerism.
Some studies have shown that the burden of complying with safety regulations falls hardest on:
Small businesses
A firm can affect the general public's opinion of its reputation through:
Television advertisements. Billboard messages. Blogs written by CEOs.
Consumers have become more dependent on businesses for product quality because:
The complexity of products makes choices complicated for consumers.
The current trend in the United States of firms' eliminating domestic partner benefits is largely due to:
The legalization of same-sex marriage in 2015.
In the discussion case, Ikea's Sustainable Cotton Supply Chain, which statement accurately describes IKEA's supply chain?
The long and complex chain involved farming, ginning, spinning, weaving, and stitching.
This type of audit is perceived by stakeholders as more objective and reliable:
Third-party
The leading cause of death on the job is due to:
Vehicle accidents
In some cases, businesses have banded together to agree on how they will treat their customers. This is called:
Voluntary industry codes of conduct.
Rules in the United States that prohibit competitors from secretly dividing up the market amongst themselves are called:
Antitrust laws.
Studying the underlying cause of repeated supplier violations is called:
Root cause analysis.