Global Corporate Citizenship Exam #2

Economic leverage occurs when a business uses its economic power to:

answer: threaten to leave a location unless a desired political action is taken.

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, and customers trust its exceptional value (answer: all the above)

Which of these situations is not a reason for a firm to communicate through the media?

ignoring or downplaying a organizational crisis

The way organizational members believe others see the organization is called the corporate:

image

Business depends on the community for:

Education, public services, transportation. Answer on the test is "all the above"

Since 2000, most changes to federal regulatory oversight of environment protection have been due to:

agency rule making and executive action. The answer on the test is: Both B and C, but not A. *remember: legislation has no effect on this.

In the US, the federal government regulates which of the following major areas of environmental protection?

air pollution, water pollution, land pollution. The answer on the test is all of the above. *remember: the federal government regulates THREE major areas of environmental protection

The primary reason that governments try to keep pace with technology is to

answer: ensure the public is protected

A technological application that uses biological systems or living organisms to make or modify products or processes for specific use is called:

biotechnology.

the digital divide describes the gap between those:

individuals who have broadband technology and those who do not *remember: the digital divide is defined as the gap between those who do have Internet access through technology and those who do not. Broadband refers to wireless internet.

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

The mission of the Securities and Exchange Commission (SEC) is to:

protect shareholders' rights by making sure that stock markets are run fairly

Intellectual property refers to:

protecting one's ideas, concepts, and symbolic creations, special laws protecting copyrights, patents, and trademarks, Prohibiting the downloading of commercial software or videogames. (answer on test: all the above)

Software piracy is a major problem in which part of the world?

Globally

Life-cycle analysis involves:

collecting information regarding the lifelong environmental impact of a product, from extraction to disposal.

Proponents of business as a political participant argue:

they argue that a pluralistic system invites many participants and business is a vital stakeholder of government. On the test, the answer is "Both A and C, but not B".

A customer tweeting about a recent bad shopping experience is using which type of media communication?

user-generated content

Sustainable development:

balances economic and environmental considerations.

Another term for corporate giving is corporate

philanthropy

Which of these factors has accelerated the current ecological crisis?

Answer: Rapid industrialization.

Which of the following is NOT a possible cost of environmental regulation?

Answer: corporate restructuring *remember: there are four costs of environmental regulations: they are unemployment, reduced capital investment, corporate restructuring, and the fact that manufacturers, mining companies, and utilities spend billions of dollars annually to comply with environmental regulations.

This law tightened regulation on issuers of complex securities, especially those related to subprime mortgages:

Dodd-Frank Act

During crisis management, doing the right thing should include:

accepting responsibility and expressing regret (Both A and B, but not C)

An organization that produces net zero emissions of greenhouse gases is achieving:

answer: carbon neutrality. *remember: two of the words (carbon offsets and black carbon) are not vocabulary words. Also, think net zero= neutrality.

General Electric's "Ecomagination" effort to invest in clean technology is an example of:

answer: clean technology *remember: this company was known for its long association with pollution and they created new technologies to create less pollution and actually save the Earth.

Which of these statements accurately describes a Super PAC?

answer: does not allow direct contributions to candidates or political parties. *note: they are allowed unlimited contributions from unions, individuals, and corporations, but they cannot directly contribute to other bodies. Also, it is also known as an "independent" expidenture-only committee (the test gives you the choice of "dependent" expidenture-only committee.

How has the increase in information technology affected criminal activities globally?

answer: new mechanisms for stealing data, trafficking, contraband and laundering money have emerged

Which of these actions have Western nations taken to fight cybercrime?

answer: some nations protected personal privacy and others accessed private information for the public good.

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:

bear market

Some researchers believe that business firms moving towards ecological sustainability results in:

competitive advantages

A significant business disruption that stimulates extensive news media and social networking coverage is called a(n):

corporate crisis

Both large and small businesses have adopted sustainable practices to what advantage?

cost savings from operational efficiency, opportunity to serve emerging economies, reduction of regulatory risk. On test, the answer is "all the above"

Environmental regulations stimulate some sectors of the economy by:

creating jobs in industries like environmental consulting, asbestos abatement, and instrument manufacturing, saving jobs in industries like fishing and tourism when natural areas are protected or restored, and compelling businesses to become more efficient by conserving energy. The answer on the test is: all of the above

Downloading illegal files, spreading computer viruses, and stealing from online bank accounts is collectively referred to as:

cybercrime

Lobbyists, under U.S. law, must disclose their:

earnings and expenses. *note: they must file regular reports on their earnings (lobbyists) or expenses (organizations).

Corporate governance involves the exercise of control over a company's

entire corporate direction

Social capital is a phrase that refers to all of the following except:

funds set aside for company events.

Which of the following is a key feature of effective boards of directors?

hold regular meetings without the CEO present. *remember: they want to hire managers who don't have inside knowledge about the company, they believe that the duties of the board chairman and the chief executive should be separate, and they select outside members to fill most positions on the board

The purpose of the right to be forgotten is to:

increase protection of privacy and personal information

What are the benefits of sequencing the human genome?

it provides early diagnosis of diseases and spurs new ways to prevent illnesses. The answer on the test is A and C, not B.

The information strategy tool most used by business is:

lobbying *remember- lobbying is defined as the most important and most-used political action in which representatives are hired to communicate with government officials and help with determining legislative and regulatory outcomes).

The "agency problem" arises when:

managers act in their own interest, rather than in the interest of shareholders *remember: it is a conflict of interest between managers and shareholders (stalkholders)

Hiring former government officials for positions in the corporate world is:

normally legal and it is also considered unethical by over 50% of Americans. (A and C, but not B) *note: it may carry potential for abuse. This is also what is known as the "revolving door" strategy.

Organizations with strong positive reputations are generally more successful because they:

often get the benefit of the doubt in uncertain circumstances

The practice of using fake business emails in order to trick users into divulging personal data, such as usernames and passwords, is called:

phishing

Rapid economic development is often accompanied by:

rising incomes, bringing higher rates of both consumption and waste

which of these steps has the U.S. recently taken to counter cybercrime?

setup a system of voluntary cybersecurity standards opened a new center dedicated to managing cyber activities Answer on test: both A and B, but not C.

The term civic engagement describes

the active involvement of businesses and individuals in improving communities

The use of robotics in the workplace has increased recently because:

the cost of robots has decreased, robots are more reliable than people, and new collaborative machines have been invented. The answer on the test is all the above.

Which of the following illustrates the idea of sustainable development through technology cooperation?

the development of long-term partnerships between companies in developed and developing countries to transfer environmental technologies.

Which of the following statements is NOT true about environmental standards?

the government rarely interferes in a business's choice of pollution technology *remember: they directly control this. Think of "command and control regulation", where the government commands business firms to comply with certain standards and often directly controls their choice of technology.

Which of the following is not true about institutional investors?

the proportion of institutional ownership of stock in the US has declined slowly since the 1960s *remember: it has actually risen significantly

which of the following statements is not true about shareholders

they own equal shares of company assets.

What is the primary goal of a community relations department?

to build relationships with important community groups

What is one reason that firms partner with communities to increase economic development?

to develop workplace skills

Which of the following is not a legal right of shareholders?

to vote on who will become CEO

In some economically developed countries and most developed countries around the world, genetically modified food was:

welcomed as a way to increase crop yields

to influence government policymakers' actions, an information strategy involves

business leaders speaking before government policymakers

which of these specializations was/were spurred by the rapid changes in technology over the past few decades?

Smart manufacturing, wireless networks, processing of enormous amounts of data. On the test, the answer is all the above.

To influence government policymakers' actions, an information strategy involves:

business leaders speaking before government policymakers. *remember: information strategy means that a business seeks to provide government policymakers with information to influence their actions, such as lobbying.

Public policies and government regulations are shaped by:

business, special interest groups (a community within a large organization w/ a shaped interest), and government. Answer on test: all the above *remember: business is also a political participant.

Which of the following statements is NOT true about arable land?

it is a nonrenewable resource (arable land is renewable)

Restrictive government often reduce or eliminate citizen access to the Internet and social media sites in order to.....

suppress political dissent and impose religious or ideological views. Answer on test: A and B, but not C.

Brand management often involves conveying what about a product or service?

The solutions provided and the expected experience (Both A and C, but not B)