Corporate Social Responsibility
Question Bank
Course Introduction
Corporate Social Responsibility (CSR) explores the ways in which businesses can operate ethically and responsibly within society. This course examines the theoretical foundations and practical applications of CSR, including the social, environmental, and economic impacts of corporate decision-making. Students will learn about stakeholder engagement, sustainability strategies, ethical leadership, and the integration of CSR into core business operations. Through case studies and real-world examples, the course also analyzes global CSR trends, reporting frameworks, and the role of corporations in addressing social challenges, preparing students to contribute to responsible business practices in their future careers.
Recommended Textbook
Business and Society Stakeholders Ethics Public Policy 13th Edition by Anne T. Lawrence
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Chapter 1: The Corporation and Its Stakeholders
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Sample Questions
Q1) The phenomenon of a person or group holding multiple stakeholder duties is referred to as:
A) Role sets.
B) Primary Stakeholder(s).
C) Ownership Theory.
D) None of the above.
Answer: A
Q2) What kind of power might a local community use to influence a company's decisions?
A) Publicizing an issue.
B) Lobbying government policy makers for regulations.
C) Challenging whether a business activity should continue to operate.
D) All of the above.
Answer: D
Q3) Stakeholder groups can include:
A) Stockholders.
B) The media.
C) Environmental activists.
D) All of the above.
Answer: D
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Chapter 2: Managing Public Issues and Stakeholder Relationships
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Q1) The drivers of stakeholders of engagement are:
A) Scanning, assessment, and growth.
B) Data, strategy, and organizational development.
C) Goals, motivation, and operational capacity.
D) Financial, operational, and legal.
Answer: C
Q2) Firms that generally act only when forced to do so, and then in a defensive manner are
A) Interactive companies.
B) Proactive companies
C) Reactive companies
D) Inactive companies.
Answer: C
Q3) Overtime, the nature of business's relationship with its stakeholders often:
A) Remains static.
B) Evolves through a series of stages.
C) Becomes more hostile.
D) None of the above.
Answer: B
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Chapter 3: Corporate Social Responsibility
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Q1) Define and provide an example of a business practicing enlightened self-interest. Answer: Enlightened self-interest is a business philosophy that suggests that acting in a way that benefits others can ultimately benefit oneself. This approach emphasizes the long-term benefits of ethical and socially responsible behavior for both the business and society as a whole.
An example of a business practicing enlightened self-interest is Patagonia, an outdoor clothing and gear company. Patagonia has a strong commitment to environmental sustainability and social responsibility. They have implemented various initiatives to reduce their environmental impact, such as using recycled materials in their products and donating a percentage of their sales to environmental causes. This commitment to sustainability has not only benefited the environment and society, but it has also enhanced Patagonia's brand reputation and customer loyalty, ultimately leading to long-term success for the company. By prioritizing the well-being of the planet and its people, Patagonia has demonstrated how practicing enlightened self-interest can lead to both ethical and financial success.
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Chapter 4: Ethics and Ethical Reasoning
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Q1) Business managers should use all four methods of ethical reasoning - virtues, utility, rights and justice - to better understand ethical issues at work.
A)True
B)False
Q2) A bottom-line mentality in business is reflected in which statement?
A) "I want it."
B) "We have to beat the others at all costs."
C) "Help yourself and those closest to you."
D) "Foreigners have a funny notion of what's right and wrong."
Q3) Define and discuss the six stages of moral development. What is the ethics referent at each stage? What is the basis of ethics reasoning at each stage?
Q4) Which of the following examples best illustrate an ethics issue based on cross-cultural contradictions?
A) Legally marketing a pesticide abroad that has been banned in the U.S.
B) Circumventing government regulations to ensure company profits.
C) Hiring child workers in violation of civil law.
D) False and misleading advertising claims.
Q5) Discuss why businesses should be ethical.
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Chapter 5: Organizational Ethics and the Law
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Q1) The unspoken understanding among employees of what is and is not acceptable behavior is called:
A) Ethical climate.
B) Efficiency.
C) Success.
D) Rites and rituals.
Q2) Typically, ethics training is offered to:
A) Managers.
B) To the rank-and-file.
C) Both managers and the rank-and-file.
D) The Board of Directors only.
Q3) Any business that wished to do so can improve the quality of its ethical performance.
A)True
B)False
Q4) Personal values and moral character play key roles in improving a company's ethical performance.
A)True
B)False
Q5) Define white-collar crime. Provide three examples of such criminal acts.
Page 7
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Chapter 6: The Challenges of Globalization
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Q1) How can collaborative partnerships help global problem solving?
Q2) Globalization is accepted worldwide and creates little controversy.
A)True
B)False
Q3) A critic of globalization might argue that companies decide to manufacture in China mainly because of China's:
A) Strict law enforcement.
B) High environmental standards.
C) Weak health and safety regulations.
D) Strong worker unions.
Q4) Unocal Corporation's controversial gas pipeline was built in which country that was notorious for human rights abuses?
A) Algeria.
B) Burma.
C) China.
D) Kazakhstan.
Q5) Discuss the benefits and costs of globalization. Provide examples of how globalization has helped or harmed individual nations and the world economy.
Q6) Outline and discuss the major attributes of the three major sectors.
Page 8
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Chapter 7: Global Corporate Citizenship
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Q1) Once a company enters the innovative stage of corporate citizenship, it will:
A) Begin reporting its efforts to stakeholders.
B) Step up its philanthropic giving.
C) Increase the number of stakeholders to the firm.
D) Build more coherent initiatives with stakeholders.
Q2) There is no single universally accepted method for designing a CSR management structure.
A)True
B)False
Q3) Which of the following organizations have developed standards to judge corporate performance?
A) International Organisation for Standards.
B) Global Development Initiative.
C) Institute of Accountability.
D) All of the above.
Q4) Triple bottom line disclosure is primarily driven by:
A) Noneconomic drivers.
B) Managerial accounting drivers.
C) Economic drivers.
D) Technological advances.
Page 9
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Chapter 8: Business-Government Relations
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Q1) Government regulations come in different forms. Discuss the major types of government regulations of business.
Q2) Patterns of government taxing and spending that are intended to stimulate or support the economy are:
A) International standards policies.
B) Social assistance policies.
C) Fiscal policies.
D) Monetary policies
Q3) Managers' understanding of government regulations is:
A) Both a domestic and international issue.
B) Primarily a domestic issue.
C) Primarily an international issue.
D) An international issue only for large firms.
Q4) Cost-benefit analysis is often used to determine the costs of regulation.
A)True
B)False
Q5) Define each key element of public policy process and provide an illustration or example for each element.
Q6) Compare and contrast economic policies with social assistance policies.
Page 10
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Chapter 9: Influencing the Political Environment
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Q1) Most scholars agree that business must participate in politics.
A)True
B)False
Q2) Which of the following group has seen the greatest revolving door activity?
A) Professional sports agents.
B) Railroad industry executives.
C) Appropriations committee of the U.S. House of Representatives.
D) Nongovernmental organizations in the northeast U.S.
Q3) Supporters of advocacy advertisements believe that they:
A) Identify a company as an interested and active stakeholder.
B) Can help mold public opinion on a particular policy issue.
C) Increase union activity and long-term expenses for an organization.
D) Both A and B, but not
Q4) Campaign finance reform was sought in the United States to:
A) Reduce the corrupting influence of money in the political process.
B) Include more participants in financing political campaigns.
C) Balance business and labor unions political campaign contributions.
D) Enable non-U.S. citizens access to the U.S. campaign financing arena.
Q5) How does the problem of money and campaign financing in the American political system affect business?
Page 11
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Chapter 10: Ecology and Sustainable Development in Global Business
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Q1) Human society used 60 times as much energy in the late 20<sup>th</sup> century as it did in 1860, when industrialization was in its early stages.
A)True
B)False
Q2) Which of the following statements is not true about the population?
A) The world population will peak at over 11 billion people around the year 2100.
B) For many thousands of years, population growth was gradual.
C) Industrial production would have to quintuple over the next 40 years in order to maintain the same living standard that people have now, given expected population growth.
D) Just 10,000 years ago, the earth was home to no more than 1 million humans, scattered in small settlements.
Q3) In which year was the first World Summit on Sustainable Development held?
A) 1982.
B) 1985.
C) 1990.
D) 1992.
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Page 12
Chapter 11: Managing Environmental Issues
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Q1) Environmental regulations hurt the economy in the following way (s):
A) $160 billion a year spent by business and individuals in the United States in 2000 to comply.
B) Job increases in some particularly polluting industries.
C) Increased competitiveness among capital-intensive, "dirty" industries.
D) None of the above.
Q2) The EPA has identified carbon monoxide as the sole indicator of the overall level of air pollution.
A)True
B)False
Q3) Environmental regulations, such as energy conservation, depress the economy.
A)True
B)False
Q4) Which of the following statements is not true about environmental standards?
A) Regulatory agencies can establish standard allowable levels of pollutants.
B) The government has the power to command business firms to comply with certain standards.
C) The government rarely interferes in a business's choice of pollution technology.
D) They are the most widely used methods of regulation.
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Chapter 12: Technology, Organizations, and Society
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Q1) Nations have tended to move sequentially through each phase of technology, beginning with the lowest technology and moving higher with each step.
A)True
B)False
Q2) Recently, some evidence suggested that the digital divide in the United States is widening.
A)True
B)False
Q3) A technological application that uses biological systems or living organisms to make or modify products or processes for specific use is called:
A) Biosphere outcome.
B) Metatechnology.
C) Biology.
D) Biotechnology.
Q4) Future shock means change will happen too fast and shock itself to death.
A)True
B)False
Q5) Define technology and describe its three primary features.
Q6) Discuss what factors have fueled technological growth and development.
Page 14
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Chapter 13: Managing Technology and Innovation
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Q1) By the end of 2008, the number of attacks on information security reached:
A) 200,000.
B) 2 million.
C) 20 million.
D) 200 million.
Q2) Many experts have raised ethical questions about the ways RFID technology enables businesses, governments, and criminals to gather information about presale, sales, and post-sale activities.
A)True
B)False
Q3) Loss of annual sales due to software piracy by software companies was estimated to be:
A) $120 million.
B) $25 billion.
C) $53 billion.
D) Impossible to calculate.
Q4) Discuss the steps businesses and governments have taken to better protect stakeholder privacy.
Q5) Who should be entrusted with guarding against minors accessing adult-oriented Web sites?
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Chapter 14: Stockholder Rights and Corporate Governance
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Q1) Describe a current trend in corporate governance, providing a real example.
Q2) Which of the following is not true about institutional investors?
A) Institutions invest the funds of individuals by purchasing shares of stock in corporations.
B) The proportion of institutional ownership of stock in the U.S. has declined slowly since the 1960s.
C) Through institutions over one-half of the U.S. population has an indirect ownership in corporations.
D) Institutions accounted for 62 percent of the value of all equities owned in the U.S. in 2005.
Q3) Do you think U.S. executives are compensated too highly? Why or why not?
Q4) Why have U.S. institutions become more active as investors? How has this trend spread to other countries?
Q5) The paramount duty of the board of directors of a public corporation is to:
A) Ensure the company is profitable.
B) Select and oversee competent and ethical management to run the company.
C) Audit the firm's financial statements for transparency.
D) Make certain that employees are dealt with in a fair and equitable manner.
Q6) What are the key features of effective boards of directors?
Page 16
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Chapter 15: Consumer Protection
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Q1) The burden of responsibility for product performance has shifted to the producer, under the legal doctrine of:
A) Strict liability.
B) Product liability.
C) Consumer liability.
D) Supplier liability.
Q2) The main responsibility of the National Highway Traffic Safety Administration is to:
A) Set a uniform national speed limit.
B) Set airline safety standards.
C) Set motor vehicle safety standards.
D) Safeguard consumers from altered odometers.
Q3) Which of the following is not a goal of consumer protection laws?
A) Encourage competitive pricing.
B) Facilitate consumers' getting extended credit when making purchases.
C) Provide consumers with better information when making purchases.
D) Protect consumers against possible hazards from products purchased.
Q4) Outline some of the major government agencies responsible for consumer related issues. What is the major mission of each?
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Chapter 16: Employees and the Corporation
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Q1) Drug testing for cause is commonly used after an accident or some observable change in behavior.
A)True
B)False
Q2) Which of the following is true about romantic relationships in the workplace?
A) Most businesses have strict policies forbidding all romantic relationships in the workplace.
B) OSHA requires businesses to forbid workplace romantic relationships.
C) Many companies allow managers to become romantically involved with subordinates, so long as they do not supervise them directly.
D) Many companies allow managers to become romantically involved with subordinates if the subordinate has been working at the company for at least 18 months.
Q3) Under the new social contract, the bond between the employer and employee has become stronger.
A)True
B)False
Q4) Provide an example where employee whistle-blowing is justified and an example where it is not. Provide support for each example.
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Page 18
Chapter 17: Managing a Diverse Workforce
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Q1) By 2009, around 25 percent of businesses were owned or controlled by women, according to the Center for Women's Business Research.
A)True
B)False
Q2) The pay gap for Hispanic women:
A) Declined by almost 15 percent since 2000.
B) Declined by almost 5 percent since 2000.
C) Increased by almost 15 percent since 2000.
D) Increased by almost 5 percent since 2000.
Q3) What percentage of Fortune 500 companies have diversity programs to promote sensitivity and awareness?
A) 25 percent.
B) 50 percent.
C) 75 percent.
D) 90 percent.
Q4) Do you believe that support programs for work and family primarily benefit women employees, men employees, or both equally? Explain.
Q5) What is the role of government in the area of equal employment opportunity? Discuss from a historical perspective.
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Chapter 18: The Community and the Corporation
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Q1) Which of the following statements is true about community relations?
A) Fewer than half of companies have a written policy or mission statement for their community relations program.
B) More than 80 percent of companies include a statement in their annual report on their commitment to community relations.
C) About 10 percent of companies factor community involvement into their overall strategic plan.
D) Businesses still generally regard community relations as a nuisance and a drain on economic resources.
Q2) Strategic philanthropy emphasizes the links between corporate contributions and business goals, such as creating demand for a product or service.
A)True
B)False
Q3) Social capital is a phrase that describes the following, except:
A) The goodwill that is engendered by the fabric of social relations.
B) A close relationship between companies and groups in the community.
C) The norms and networks that enable collective action.
D) All of the above are described by social capital.
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Chapter 19: Managing Public Relations
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Q1) An effective public relations program is not fundamental to an organization's relationship with the public.
A)True
B)False
Q2) The right to free speech is protected under the U.S. Constitution's:
A) Fifth Amendment.
B) Third Amendment.
C) First Amendment.
D) Preamble.
Q3) A good public relations program:
A) Sends a constant stream of information to the company's stakeholders.
B) Is separate from the company's public affairs program to avoid conflicts of interest.
C) Should be primarily reactive, responding to issues as they arise.
D) Is necessary only for highly vulnerable companies.
Q4) The public scrutiny following a corporate crisis can have a political, legal, financial, and governmental impact on its business.
A)True
B)False
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