The manager of a large chain recently spoke to a group of college students about being successful in the business world. He focused particularly on the importance of fulfilling the purpose of the business organization: that is, to produce and market profitable products needed by society. In so doing, he indicated that a stockholder, not the society as a whole, invests in a corporation to earn a return on his or her investment and that a firm is legally obligated to act in stockholders' interests. What concept do the manager's comments reveal?
A) Socioeconomic model of social responsibility
B) Economic model of social responsibility
C) Strictest model of social responsibility
D) Consumerism
E) Rights of employees

Question

Quizplus · Accepted Answer

The manager's comments reflect the economic model of social responsibility, which argues that a business's only responsibility is to maximize profits for its shareholders. This model prioritizes the financial interests of the company above all else.

The Manager of a Large Chain Recently Spoke to a Group