Question 1

Government can be considered both a market and nonmarket stakeholder.

Accepted Answer

A) True 
 B)False

Question 2

The five types of stakeholders' power recognized by most experts are:

Accepted Answer

A)   Voting, economic, political, legal, and informational power.
B)   Social, legal, environmental, economic, and political power.
C)   Social, regulatory, voting, governance, and information power.
D)   Economic, informational, legal, shareholder, and political power.

Question 3

Stakeholder groups can include:

Accepted Answer

A)   Shareholders.
B)   Business support groups.
C)   Environmental activists.
D)   All of the above.

Question 4

Which of the following is not an example of stakeholders' economic power?

Accepted Answer

A)   A supplier halts shipments to a business customer that demanded very low prices.
B)   A social group protests a government's decision to raise taxes.
C)   A local community boycotts a grocery store suspected of inaccurate weight scales.
D)   An equal rights group refuses to do business with a company that has a discriminatory hiring policy.

Question 5

Which of the following examples best illustrates the boundary exchanges a company would encounter according to the general systems theory?

Accepted Answer

A)   An industrial company installs new equipment in its plant to comply with environmental regulations.
B)   A software company develops an application for a client.
C)   A purchasing department employee negotiates a price on parts from a supplier.
D)   All of the above.

Question 6

The interests of different stakeholders often coincide.

Accepted Answer

A) True 
 B)False

Question 7

Supporters of the stakeholder theory of the firm make three core arguments for their position.Define and provide examples of each.

Accepted Answer

The stakeholder theory of the firm argue...

Question 8

Stakeholders involved with one part of a company often may have little or no involvement with another part of the company.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following is the result of the inseparable relationship between business and society?

Accepted Answer

A)   All business decisions have a social impact.
B)   The vitality of business depends on society's actions and attitudes.
C)   The survival of business is independent of society.
D)   Both A and B, but not C.

Question 10

Walmart has been called a "template for 21st century capitalism."

Accepted Answer

A) True 
 B)False

Question 11

Urgency refers to the extent to which a stakeholder's actions are seen as proper or appropriate by the broader society.

Accepted Answer

A) True 
 B)False

Question 12

The normative argument for the stakeholder theory of the firm says that the stakeholder view is simply a more realistic description of how companies really work.

Accepted Answer

A) True 
 B)False

Question 13

A stakeholder map is a useful tool because:

Accepted Answer

A)   It enables mangers to see quickly how stakeholders feel about an issue.
B)   It allows managers to evaluate what outcomes are likely regarding an issue.
C)   It helps managers discourage or dissolve stakeholder coalitions.
D)   Both A and B, but not C.

Question 14

The main reason a number of European countries require public companies to include employee members on their boards of directors is so that:

Accepted Answer

A)   The employees will be available to answer other board members' questions.
B)   Management will not have to attend the meetings.
C)   Employees interests will be explicitly represented.
D)   Employees will have more power than any other stakeholder.

Question 15

The instrumental argument says stakeholder management is:

Accepted Answer

A)   A more realistic description of how companies really work.
B)   More effective as a corporate strategy.
C)   Simply the right thing to do.
D)   Determined by the amount of stock owned in the firm.

Question 16

When a community group sues a company for health effects caused by the unsafe disposal of toxic chemicals,this is an exercise of a stakeholder's:

Accepted Answer

A)   Legal power.
B)   Voting power.
C)   Economic power.
D)   Political power.

Question 17

Stakeholders stand out to managers when they exhibit:

Accepted Answer

A)   Integrity, power, and legitimacy.
B)   Power, legitimacy, and urgency.
C)   Integrity, loyalty, and power.
D)   Legitimacy, loyalty, and urgency.

Question 18

Customers can exercise economic stakeholder power by:

Accepted Answer

A)   Voting on a proposed merger for the company and a competitor.
B)   Boycotting products if they believe the goods are too expensive.
C)   Attending the company's annual meeting.
D)   Applying for a job with the company.

Question 19

Describe and give examples of the external forces that shape the relationship between business and society.

Accepted Answer

The relationship between business and so...

Question 20

Which statement is not correct about the business-society interdependence?

Accepted Answer

A)   Business is a part of society.
B)   Business is separated from the rest of society by clear boundaries.
C)   Business activities impact other activities in society.
D)   Actions by governments rarely affect business.

Exam 1: The Corporation and Its Stakeholders

The normative argument for the stakeholder theory of the firm says that the stakeholder view is simply a more realistic description of how companies really work.

Correct AnswerverifiedShow Answer

Which of the following examples best illustrates the boundary exchanges a company would encounter according to the general systems theory?

Correct AnswerverifiedShow Answer

Supporters of the stakeholder theory of the firm make three core arguments for their position.Define and provide examples of each.

Correct AnswerAnswered by ExamLex AIThe stakeholder theory of the firm argue...View AnswerShow Answer

Customers can exercise economic stakeholder power by:

Correct AnswerverifiedShow Answer

Walmart has been called a "template for 21st century capitalism."

Correct AnswerverifiedShow Answer

Urgency refers to the extent to which a stakeholder's actions are seen as proper or appropriate by the broader society.

Correct AnswerverifiedShow Answer

The instrumental argument says stakeholder management is:

Correct AnswerverifiedShow Answer

Government can be considered both a market and nonmarket stakeholder.

Correct AnswerverifiedShow Answer

Which statement is not correct about the business-society interdependence?

Correct AnswerverifiedShow Answer

The main reason a number of European countries require public companies to include employee members on their boards of directors is so that:

Correct AnswerverifiedShow Answer

Stakeholders stand out to managers when they exhibit:

Correct AnswerverifiedShow Answer

When a community group sues a company for health effects caused by the unsafe disposal of toxic chemicals,this is an exercise of a stakeholder's:

Correct AnswerverifiedShow Answer

Describe and give examples of the external forces that shape the relationship between business and society.

Correct AnswerAnswered by ExamLex AIThe relationship between business and so...View AnswerShow Answer

A stakeholder map is a useful tool because:

Correct AnswerverifiedShow Answer

Which of the following is not an example of stakeholders' economic power?

Correct AnswerverifiedShow Answer

Stakeholder groups can include:

Correct AnswerverifiedShow Answer

The five types of stakeholders' power recognized by most experts are:

Correct AnswerverifiedShow Answer

Stakeholders involved with one part of a company often may have little or no involvement with another part of the company.

Correct AnswerverifiedShow Answer

Which of the following is the result of the inseparable relationship between business and society?

Correct AnswerverifiedShow Answer

The interests of different stakeholders often coincide.

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
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Correct Answer
Answered by ExamLex AI
The stakeholder theory of the firm argue...
View Answer

Correct Answer
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Walmart has been called a "template for 21^st century capitalism."

Correct Answer
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Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
Answered by ExamLex AI
The relationship between business and so...
View Answer

Correct Answer
verified

Correct Answer
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Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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