management 3200 exam 1
The global population is currently
growing exponentially.
Regulation can be argued as justified based on
utilitarian and justice grounds.
Environmental regulations stimulate some sectors of the economy by
All of these answers are correct.
Public issues are also referred to as
Both social issues and sociopolitical issues are correct.
The main U.S. law governing water pollution is the
Clean Water Act.
How do companies that reduce waste, recycle, and operate efficiently impact their costs?
Costs are generally reduced.
Why is water considered a renewable resource?
Moisture evaporates from oceans and returns to Earth as freshwater precipitation.
The emergence of a public issue indicates that
a gap may be forming between what stakeholders expect and what a firm is doing.
Because of the risks and opportunities public issues present, organizations need
a systematic way of identifying, monitoring, and selecting public issues.
Legal environmental intelligence includes
considerations of patents, copyrights, or trademarks.
Business managers need a set of ethical guidelines to help them
identify and analyze the nature of an ethical problem.
When the benefits of an action outweigh its costs, the action is considered ethically preferred according to
utilitarian reasoning.
Organizations founded with a core mission to create and sustain social value are called social:
ventures
The five types of stakeholders' power recognized by most experts are
voting, economic, political, legal, and informational power.
According to general systems theory, boundary exchanges are exemplified by which of the following?
All of these choices are correct.
Businesses are expected to be ethical in their relationships with
All of these choices are correct.
By raising and lowering the interest rates at which private banks borrow money from the government, the Federal Reserve Bank influences
All of these choices are correct.
Cooperation between business and government often occurs when
All of these choices are correct.
External forces that influence the relationship between business and society include
All of these choices are correct.
Public policies and government regulations are shaped by
All of these choices are correct.
Stakeholder groups can include
All of these choices are correct.
The ethical issue(s) of top concern within the marketing function of a firm include
All of these choices are correct.
The fiduciary duty of managers benefits a firm's
All of these choices are correct.
The reason(s) behind a corporate political strategy might be to
All of these choices are correct.
The typical public affairs executive spends most of the day
All of these choices are correct.
What role does social media play in stakeholder engagement?
All of these choices are correct.
Which pattern of consumption is recommended to reduce humanity's energy usage?
Consume less and purchase less harmful products.
Participants in the Montreal Protocol agreed that by 2030 they would phase out
HCFCs
The Toxic Substances Control Act is accurately described by which of the following?
It established a national policy to regulate, restrict, and, if necessary, ban toxic chemicals.
The power of stakeholders is accurately described by which statement(s)?
NOT Stakeholder power leverages resources to achieve a desired outcome.
What is the primary reason that stakeholder coalitions form?
NOT The stakeholder power(s) of different groups coincides.
A nonmarket stakeholder of business is exemplified by which of the following?
NOT customers
In the case "Tipping Point at Union Square Hospitality Group (USHG)," who were the internal market stakeholders?
NOT investors
These organizations recognize stewardship of the natural environment as one of their core responsibilities.
NOT waste management firms
Which recent addition to the Convention on Climate Change set limits on average global temperature rise?
Paris Agreement
How do ethical business practices impact the sentencing of an employee convicted of criminal activity, according to the U.S. Corporate Sentencing Guidelines?
The degree of blame is calculated based on how strong the firm's ethical policies are.
Firms in the chemical industry, which must contend with environmental regulations and the risk of dangerous accidents, usually have
a sophisticated political strategy.
In the United States, the federal government regulates which of the following major areas of environmental protection?
air pollution water pollution solid and hazardous waste
Sustainable organizations use complex auditing and forecasting techniques to
anticipate external influences on the firm.
Antitrust laws protect consumers from
anticompetitive practices by business, such as price fixing.
In the case "Corporate Social Responsibility at Gravity Payments," which view in support of corporate social responsibility is relevant according to Figure 3.3?
balances corporate power with responsibility
The term for the number and variety of species and the range of their genetic makeup is
biodiversity
The antitrust enforcement agencies in the United States have the legal authority to
block anticompetitive mergers in the United States.
Businesses' understanding of government regulations is
both a domestic and an international issue.
Departments, or offices, within an organization that reach across the dividing line that separates the company from groups and people in society are
boundary-spanning departments.
Customers can exercise economic stakeholder power by
boycotting products they believe are too expensive.
A structural remedy for an antitrust violation includes
breaking up a monopolistic organization.
A questionable or unjust payment to facilitate a business transaction is called
bribery
When a firm solicits its stockholders for political contributions for a particular candidate and then sends those contributions to the candidate on behalf of its stockholders, this is called
bundling
To influence government policymakers' actions, an information strategy involves
business leaders speaking before government policymakers.
How do managers organize to effectively engage in global corporate citizenship?
by using an integrated approach that leverages company resources
An organization that produces net zero emissions of greenhouse gases is achieving
carbon neutrality.
Failure to understand the beliefs and expectations of stakeholders may
cause the performance-expectations gap to grow larger.
Life-cycle analysis involves
collecting information on the lifelong environmental impact of a product, from cradle to grave.
Integrity-based ethics programs
combine concern for the law with an emphasis on employee responsibility.
Past decisions of the courts, the original basis for the U.S. legal system, are called
common law
An interactive business-stakeholder relationship is one where
companies actively engage with stakeholders through mutual respect and trust.
An accounting auditor who softens a report in return for receiving nonaudit business is committing what?
conflict of interest
The capability of effective global leaders to engage stakeholders in dialogue and partnership over public issues is referred to as
connectedness.
A company that builds stakeholder coalitions to influence government is using which strategy?
constituency building
Which political action strategy seeks to gain support from other affected organizations to better influence policymakers?
constituency-building strategy
When working well, the issue management process
continuously cycles back to the beginning and repeats.
Possible costs of environmental regulation include all of the following except
corporate restructuring.
As spirituality in the workplace has increased, how have some organizations responded?
created ways to allow for religious diversity and expression at work
A market stakeholder of business is exemplified by which of the following?
creditors
Which of the eight strategic radar screens would be the most significant in the case "Robinhood: The Challenges of Keeping Pace with Innovation"?
customer
Undisclosed contributions to tax-exempt organizations are called
dark money.
Customer environmental intelligence includes
demographic factors.
The removal or scaling back of regulatory authority and activities of government is called
deregulation
Which argument says that stakeholder management realistically depicts how companies really work?
descriptive argument
The commitments of the Convention on Biological Diversity include
developing national conservation strategies.
Cross-cultural contradictions arise due to
differences between home and host countries' ethical standards.
Which of the following isnot a constituency-building strategy tool?
direct communication
The amount of land and water a human population needs to produce the resources it consumes and to absorb its wastes given prevailing technology is called
ecological footprint.
When a government orders companies not to conduct business in another country because of a war, human rights violations, or the lack of a legitimate government; these orders are called
economic sanctions.
A company that strives for efficiency is demonstrating which ethical criterion?
egoism
The government imposing high taxes on new cars, with exceptions for electric vehicles, is an example of which type of pollution control method?
emissions charges or fees
The main reason a number of European countries require public companies to include employee members on their boards of directors is that
employees' interests will be explicitly represented.
The issue of reactive management policies occurs in which stage of global corporate citizenship?
engaged
The most significant motivator of corporate social reporting is
ethical concerns.
Product stewardship refers to the idea that companies have responsibility for the environmental impact of their goods
even after they are sold.
Which type of employee is most likely to report ethical issues in the workplace?
executives
A public issue exists when there is agreement between the stakeholders' expectations of what a business firm should do and the actual performance of that business firm.
false
Biodiversity refers to the number and variety of species that have become extinct.
false
Public policy is a plan of action undertaken by business to influence the government.
false
To qualify as a B corporation, a business must be certified by a state government agency.
false
Patterns of government collecting and spending funds to stimulate or support the economy fall under which type of policy?
fiscal
If a manager approaches ethics with benevolence in mind, he or she would stress what?
friendly relations with coworkers
Which entity enforces rules to balance the relationship between business and society?
government
The issue management process consists of these steps in this order:
identify issue, analyze issue, generate options, take action, evaluate results.
Companies that believe they can make decisions unilaterally, without taking into consideration their impact on others, are
inactive
Public policy tools involve a combination of
incentives and penalties.
The annual EPA report Toxics Release Inventory (TRI) is an example of which environmental policy type?
information disclosure
A firm subscribing to the shareholder theory of the firm would mainly be concerned with providing long-term value for its
investors
A stakeholder analysis
involves understanding the nature of stakeholder interests.
Contemporary issue management
is an interactive, forward-thinking process.
In the United States, most solid waste ends up
landfills
Which type of organization typically conducts regular, ongoing ethics training?
larger and more mature firms
When a business seeks to overturn a law or threatens to challenge the legal legitimacy of a new regulation through the courts, this is called a
legal challenge.
The underlying concept behind corporate citizenship is that businesses are
like individual citizens with real responsibilities to society.
All of the following are external stakeholders of the firm except
managers
The process of firms buying and selling the right to pollute is an example of which type of environmental regulation?
market-based
When undertaking social initiatives, a company
may sacrifice short-term profits.
The Great Pacific garbage patch formed due to which marine ecosystem threat?
microplastics
Rules that affect the supply, demand, and value of a nation's currency refer to which type of public policy?
monetary
The instrumental argument states that stakeholder management is
more effective as a corporate strategy.
The concept of businesses not emitting more pollutants than they remove or offset is called
net zero
The act of corporations working collaboratively with other businesses, concerned persons, and organizations is an example of stakeholder
networks
Natural assets such as oil and coal are considered to be what type of resource?
nonrenewable
A company that channels employee behavior in a lawful direction by emphasizing the threat of detection and punishment is
operating under the compliance-based approach.
The category of cross-media environmental law refers to
oversight of pollution with multiple impacts on air, water, and land.
A thin layer of gas that protects the earth from excessive ultraviolet radiation from the sun is
ozone
Economic leverage occurs when a business uses its economic power to
persuade a government body to act in a certain way that favors the business.
A common tactic in a financial-incentive political strategy is
political contributions.
The information strategy tool most used by business is
political lobbying.
When a firm sells products below cost to drive rivals out of business, this is called
predatory pricing.
How can business and government ensure fairness in sustainable development?
promote development that does not further degrade the environment
Expert witness testimony is often collected through
public congressional hearings.
Every environmental regulation must be initially evaluated for its costs and benefits in a process called
regulatory impact analysis.
At the core of rights reasoning is the belief that
respecting others is the essence of human rights.
When a person or group holds multiple stakeholder roles, it is referred to as
role sets
When something stands out from a background, is seen as important, or draws attention it is
salient
An important principle of sustainability leadership is aligning corporate practices with
science-based targets.
Laws aimed at protecting consumers, the environment, and workers are collectively known as
social regulations.
A social audit systematically evaluates which of a firm's performance metrics?
social, ethical, environmental
A company that installs sensors to drive efficient water usage is adopting which sustainability strategy?
technological innovation
One factor in determining the moral intensity of an ethical issue is how quickly the consequences take effect, a factor that is known as
temporal immediacy.
The job of a business lobbyist is to represent
the company by influencing government policy.
A conception of right and wrong is
the definition of ethics.
The critical component in installing an effective ethics program is
the integration of various ethics safeguards into a comprehensive program.
What is the purpose of an environmental partnership?
to leverage the strengths of each partner to improve the environment
Why is it important for an ethical decision maker to consider the probability that the action will lead to the consequences predicted?
to mitigate the likelihood of harm
Managers responding to the needs of the local education system as a normal or routine aspect of its operations is an example of an organization in which stage?
transforming
By setting a common standard for all firms, government can take the cost of pollution control out of competition.
true
Environmental intelligence is the acquisition of information gained from analyzing the multiple environments affecting organizations.
true
For human society to survive over time, it must operate sustainably.
true
How a business reacts to specific government policy often depends on if they would be helped or hurt by the rules.
true
Huge businesses can disproportionately influence politics, shape tastes, and dominate public discourse.
true
Stakeholder materiality is a method companies use to prioritize the relevance of the stakeholders and their issues.
true
The first U.S. federal laws to protect the environment involved protecting navigable waterways.
true
Understanding and responding to changing societal expectations is a business necessity.
true
The most effective global leaders possess the ability to grasp changing business context, which means what?
understanding emerging environmental and social trends affecting the firm
The percentage of people in a country who live in a city or town as compared to rural areas is called
urbanization