, Chapterg01
g ThegCorporationgandgItsgStakeholders
Trueg /gFalseg Questions
1. Walmartghasgbeengcalledgag"templategforg21stgcenturygcapitalism."
gTrue False
2. Ag businessg isg anyg organizationg thatg isg engagedg ing makingg ag productg org providingg a
servicegforgagprofit
.gTrue False
3. Businesses g andg society g areg independent g ofg oneg another.
True False
4. Thegstakeholdergtheory gofgthegfirmgarguesgthatgagfirm'sgsolegpurposegisgtogcreategvalu
egforgitsgshareholders.
True False
5. Theg instrumentalg argumentg forg theg stakeholderg theoryg ofg theg firmg saysg thatgcompan
iesg performg betterg ifg theyg considerg theg rightsg andg concernsg ofg multiple g groupsgingsoc
iety.
True False
6. Thegnormativegargumentgforgthegstakeholdergtheorygofgthegfirmgsaysgthatgthegstakeh
oldergviewgisgsimplygagmoregrealisticgdescriptiongofghowgcompanies greally gwork.
True False
7. Nonmarketgstakeholders garegthosegthatgengagegingeconomicgtransactions gwithgthe
gcompany gasgitgcarries gout gits gprimary gpurpose gofgprovidinggsociety gwithggoods gan
dgservices.
True False
1-1
Copyrightg©g2017gMcGraw-
HillgEducation.gAllgrightsgreserved.gNogreproductiongorgdistributiongwithoutgthegpriorgwrittengconsentgofg McGraw-
HillgEducation.
,8. Marketgstakeholders gincludegnongovernmental gorganizations gandgthegbusiness g
supportggroups.
True False
9. Government g cang beg consideredg bothg ag marketg andg nonmarketg stakeholder.
True False
10. Theginterestsgofgdifferentgstakeholders goftengcoincide.
True False
11. Stakeholders ginvolvedgwithgonegpartgofgagcompany goftengmayghaveglittlegorgn
oginvolvement gwithganothergpartgofgthegcompany.
True False
12. Somegscholarsghavegsuggestedgthatgmanagers gpaygthegmostgattentiongtogstakeholdersg
possessinggthegleastgsalience.
True False
13. Urgencygrefersgtogthegextentgtogwhichgagstakeholder's gactionsgaregseengasgpropergor
gappropriate gby gthegbroader gsociety.
True False
14. Agstakeholdergmapgisgagusefulgtool,gbecausegitgenablesgmanagersgtogseegquicklyghowgs
takeholders gfeelgaboutgangissuegandgwhethergsalientgstakeholders gtendgtogbegingfavorg
orgopposed.
True False
15. Theg externalg environment g ofg businessg isg static.
True False
MultiplegChoicegQuestions
1-2
Copyrightg©g2017gMcGraw-
HillgEducation.gAllgrightsgreserved.gNogreproductiongorgdistributiongwithoutgthegpriorgwrittengconsentgofg McGraw-
HillgEducation.
, 16. Whichgstatementg isg notg correctg aboutg theg business-societyginterdependence?
A. Businessgisgagpartgof
gsociety.
B. Businessgisgseparatedgfromgthegrestgofgsociety gbygclear
gboundaries.
C. Businessgactivities gimpactgothergactivities gin
gsociety.
D. Actionsgbyggovernments grarelygaffect
gbusiness.
17. Whichgofgthegfollowinggexamplesgbestgillustratesgthegboundary gexchanges gagcompany
gwouldgencounter gaccordinggtogtheggeneral gsystems gtheory?
A. Angindustrialgcompany ginstallsgnewgequipmentgingitsgplantgtogcomplygwit
hgenvironmental gregulations.
B. Agsoftwaregcompany gdevelopsgangapplicationgfor
gagclient.
C. Agpurchasinggdepartmentgemployeegnegotiatesgagpricegongpartsgfrom
g agsupplier.
D. Allgofgthe
gabove.
18. Whichgofgthegfollowinggisgthegresultgofgtheginseparablegrelationshipgbetweengbusines
sgandgsociety?
A. Allgbusinessgdecisionsghavega gsocia
lgimpact.
B. Thegvitalitygofgbusinessgdependsgongsociety'sgactionsgan
dgattitudes.
C. Thegsurvivalgofgbusinessgisgindependent gof
gsociety.
D. BothgAgandgB,gbutgno
tgC.
1-3
Copyrightg©g2017gMcGraw-
HillgEducation.gAllgrightsgreserved.gNogreproductiongorgdistributiongwithoutgthegpriorgwrittengconsentgofg McGraw-
HillgEducation.
g ThegCorporationgandgItsgStakeholders
Trueg /gFalseg Questions
1. Walmartghasgbeengcalledgag"templategforg21stgcenturygcapitalism."
gTrue False
2. Ag businessg isg anyg organizationg thatg isg engagedg ing makingg ag productg org providingg a
servicegforgagprofit
.gTrue False
3. Businesses g andg society g areg independent g ofg oneg another.
True False
4. Thegstakeholdergtheory gofgthegfirmgarguesgthatgagfirm'sgsolegpurposegisgtogcreategvalu
egforgitsgshareholders.
True False
5. Theg instrumentalg argumentg forg theg stakeholderg theoryg ofg theg firmg saysg thatgcompan
iesg performg betterg ifg theyg considerg theg rightsg andg concernsg ofg multiple g groupsgingsoc
iety.
True False
6. Thegnormativegargumentgforgthegstakeholdergtheorygofgthegfirmgsaysgthatgthegstakeh
oldergviewgisgsimplygagmoregrealisticgdescriptiongofghowgcompanies greally gwork.
True False
7. Nonmarketgstakeholders garegthosegthatgengagegingeconomicgtransactions gwithgthe
gcompany gasgitgcarries gout gits gprimary gpurpose gofgprovidinggsociety gwithggoods gan
dgservices.
True False
1-1
Copyrightg©g2017gMcGraw-
HillgEducation.gAllgrightsgreserved.gNogreproductiongorgdistributiongwithoutgthegpriorgwrittengconsentgofg McGraw-
HillgEducation.
,8. Marketgstakeholders gincludegnongovernmental gorganizations gandgthegbusiness g
supportggroups.
True False
9. Government g cang beg consideredg bothg ag marketg andg nonmarketg stakeholder.
True False
10. Theginterestsgofgdifferentgstakeholders goftengcoincide.
True False
11. Stakeholders ginvolvedgwithgonegpartgofgagcompany goftengmayghaveglittlegorgn
oginvolvement gwithganothergpartgofgthegcompany.
True False
12. Somegscholarsghavegsuggestedgthatgmanagers gpaygthegmostgattentiongtogstakeholdersg
possessinggthegleastgsalience.
True False
13. Urgencygrefersgtogthegextentgtogwhichgagstakeholder's gactionsgaregseengasgpropergor
gappropriate gby gthegbroader gsociety.
True False
14. Agstakeholdergmapgisgagusefulgtool,gbecausegitgenablesgmanagersgtogseegquicklyghowgs
takeholders gfeelgaboutgangissuegandgwhethergsalientgstakeholders gtendgtogbegingfavorg
orgopposed.
True False
15. Theg externalg environment g ofg businessg isg static.
True False
MultiplegChoicegQuestions
1-2
Copyrightg©g2017gMcGraw-
HillgEducation.gAllgrightsgreserved.gNogreproductiongorgdistributiongwithoutgthegpriorgwrittengconsentgofg McGraw-
HillgEducation.
, 16. Whichgstatementg isg notg correctg aboutg theg business-societyginterdependence?
A. Businessgisgagpartgof
gsociety.
B. Businessgisgseparatedgfromgthegrestgofgsociety gbygclear
gboundaries.
C. Businessgactivities gimpactgothergactivities gin
gsociety.
D. Actionsgbyggovernments grarelygaffect
gbusiness.
17. Whichgofgthegfollowinggexamplesgbestgillustratesgthegboundary gexchanges gagcompany
gwouldgencounter gaccordinggtogtheggeneral gsystems gtheory?
A. Angindustrialgcompany ginstallsgnewgequipmentgingitsgplantgtogcomplygwit
hgenvironmental gregulations.
B. Agsoftwaregcompany gdevelopsgangapplicationgfor
gagclient.
C. Agpurchasinggdepartmentgemployeegnegotiatesgagpricegongpartsgfrom
g agsupplier.
D. Allgofgthe
gabove.
18. Whichgofgthegfollowinggisgthegresultgofgtheginseparablegrelationshipgbetweengbusines
sgandgsociety?
A. Allgbusinessgdecisionsghavega gsocia
lgimpact.
B. Thegvitalitygofgbusinessgdependsgongsociety'sgactionsgan
dgattitudes.
C. Thegsurvivalgofgbusinessgisgindependent gof
gsociety.
D. BothgAgandgB,gbutgno
tgC.
1-3
Copyrightg©g2017gMcGraw-
HillgEducation.gAllgrightsgreserved.gNogreproductiongorgdistributiongwithoutgthegpriorgwrittengconsentgofg McGraw-
HillgEducation.
