Question 1

A stakeholder perspective is an integral part of a comprehensive, strategic approach to corporate social responsibility.

Accepted Answer

A stakeholder perspective ensures that a company considers the impact of its actions on all stakeholders, including employees, customers, suppliers, local communities, and the environment. This approach is essential for effective corporate social responsibility.

Question 2

What does it mean for an organization to be ethical? What is the difference between an unethical and an illegal act?

Accepted Answer

The answer of What does it mean for an organization...

Question 3

The underlying principles of strategic CSR suggest that any problem with capitalism, as currently practiced, is the pursuit of profit over nonfinancial considerations.

Accepted Answer

The answer of The underlying principles of strategic CSR suggest...

Question 4

John Mackey, founder and co-CEO of Whole Foods Market, is a leading proponent of ______.
A)conscious capitalism
B)stakeholder activism
C)the gig economy
D)values-based business

Accepted Answer

John Mackey is a well-known advocate of conscious capitalism, which is a business model that focuses on creating value for all stakeholders, including employees, suppliers, investors, communities, and the environment, while still generating profits.

Question 5

To illustrate how doing good is good business, if you invested in Starbucks the day it went public (June 26, 1992), your stock would be up ______.
A)20%
B)100%
C)500%
D)2,000%

Accepted Answer

If you had invested $1,000 in Starbucks on its first day of trading, that investment would now be worth over $20,000, a gain of 2,000%. This demonstrates the long-term success of the company, which has become known for its commitment to social responsibility, sustainability, and ethical sourcing.

Question 6

What are the principles of conscious capitalism and how do they affect how a firm should operate?

Accepted Answer

The answer of What are the principles of conscious capitalism...

Question 7

In your view, what does a values-based business look like? Think of an example you have seen or read about in the news: What makes you believe this firm is a values-based business? What do you think would be different about working for a firm like that?

Accepted Answer

The answer of In your view, what does a values-based...

Question 8

Which of the following is NOT a principle on which conscious capitalism is based?
A)higher purpose
B)stakeholder independence
C)conscious leadership
D)conscious culture

Accepted Answer

Conscious capitalism is based on higher purpose, conscious leadership, and conscious culture. Stakeholder independence is not a principle of conscious capitalism.

Question 9

As a values-based business, in 2008, Starbucks founder Howard Schultz resisted the call of investors to ______.
A)reduce the number of Starbucks franchises
B)eliminate plans to expand globally
C)cut back substantially on health-care coverage for his workers
D)significantly downsize his workforce

Accepted Answer

In 2008, investors called on Howard Schultz to cut back on health-care coverage for Starbucks workers, but he resisted this call as it went against the company's values-based approach.

Question 10

In 1989, Ben & Jerry's was the first major corporation to ______.
A)allow an independent social audit of its business operations
B)use only fair trade goods in all of its products
C)be purchased through a hostile takeover for other than financial reasons
D)introduce the concept of a living wage for all its employees

Accepted Answer

In 1989, Ben & Jerry's was the first major corporation to allow an independent social audit of its business operations, demonstrating their commitment to transparency and accountability in their business practices.

Question 11

One approach a firm may take is to pay employees as little as possible if unemployment is high enough that if one employee leaves, another can be hired.Another approach is to pay employees a living wage because it raises morale and productivity while decreasing turnover and the hiring costs associated with replacing workers.Which position do you take on this issue? Support your answer with specific examples.

Accepted Answer

The answer of One approach a firm may take is...

Question 12

The notion of businesses founded on values is not new.It is likely that the earliest author to espouse this view was ______.
A)Milton Friedman
B)Adam Smith
C)Edward Freeman
D)Peter Drucker

Accepted Answer

The idea of businesses founded on values can be traced back to Adam Smith, who believed that self-interest could be harnessed for the greater good through voluntary exchange and fair competition. Smith's concept of the invisible hand emphasized the importance of ethical behavior and trust in the marketplace.

Question 13

The ethics and morals of an organization start with the ethics and morals of the group of people in the organization.

Accepted Answer

The answer of The ethics and morals of an organization...

Quiz 12: Sustainable Value Creation

A stakeholder perspective is an integral part of a comprehensive, strategic approach to corporate social responsibility.

What does it mean for an organization to be ethical? What is the difference between an unethical and an illegal act?

The underlying principles of strategic CSR suggest that any problem with capitalism, as currently practiced, is the pursuit of profit over nonfinancial considerations.

John Mackey, founder and co-CEO of Whole Foods Market, is a leading proponent of ______.

To illustrate how doing good is good business, if you invested in Starbucks the day it went public (June 26, 1992) , your stock would be up ______.

What are the principles of conscious capitalism and how do they affect how a firm should operate?

In your view, what does a values-based business look like? Think of an example you have seen or read about in the news: What makes you believe this firm is a values-based business? What do you think would be different about working for a firm like that?

Which of the following is NOT a principle on which conscious capitalism is based?

As a values-based business, in 2008, Starbucks founder Howard Schultz resisted the call of investors to ______.

In 1989, Ben & Jerry's was the first major corporation to ______.

The notion of businesses founded on values is not new.It is likely that the earliest author to espouse this view was ______.

The ethics and morals of an organization start with the ethics and morals of the group of people in the organization.