Q&A Hero

Q: According to the textbook, strategic CSR is not about ______ but instead is about ______. A. philanthropy; day-to-day operations B. day-to-day operations; profit optimization C. profit optimization; day-to-day operations D. day-to-day operations; strategic corporate philanthropy

Q: According to the textbook, prominent business leaders, such as Bill Gates and Muhammad Yunus, have sought to reform the underlying principles of ______ by urging firms to ______. A. strategic CSR; adopt goals of profit maximization B. capitalism; adopt goals of profit optimization C. strategic CSR; adopt goals beyond profit optimization D. capitalism; adopt goals beyond profit maximization

Q: According to the textbook, strategic CSR is not about ______ but instead is about ______. A. sharing value; creating value B. creating value; sharing value C. sharing value; meeting primary stakeholders desires D. meeting primary stakeholders desires; meeting all stakeholders desires

Q: High-frequency traders ______. A. base decisions on a companys long-term future prospects B. base decisions on a companys diverse set of stakeholders C. do not base decisions on a companys primary stakeholders D. do not base decisions on a companys long-term future prospects

Q: Adopting a stakeholder perspective to decision-making in strategic CSR is that it can correct what critics have said is a tendency to prioritize what stakeholder group? A. shareholders B. the government C. boards of directors D. the communities in which business reside

Q: A focus on profit optimization orients the manager toward ______. A. short-term profits B. the interests of ETF shareholders C. the interests of a broader collection of constituent interests D. all of these

Q: ______ seek firms with a share price that reflects sound economic fundamentals, while ______ seek firms based on whether the share price will rise. A. Speculators; investors B. Investors; speculators C. Stakeholders; shareholders D. Shareholders; stakeholders

Q: Which of the following is NOT an example of strategic CSR? A. Dell plants a tree for each computer it sells. B. Nike addresses the issue of a livable wage in countries where its products are manufactured. C. Budweiser provides education about alcohol abuse to high school students. D. Unilever provides affordable cleaning products in developing countries.

Q: What is a possible issue with Dell working with a partner to plant a tree for each computer it sells? A. Dell looks like it is greenwashing B. Dell appears to exploit low-income consumers C. Dell has no perceived expertise in planting trees D. Dell appears to act counter to its vision

Q: For a U.S. chocolate company, addressing the issue of child labor in the countries where cocoa beans are harvested is ______. A. a generic social issue B. strategic corporate philanthropy C. a value chain social impact D. the social dimension of a competitive context

Q: When a U.S. retail clothing company outsources production overseas, it addresses the issue of a livable wage within the United States. According to Porter and Kramers framework, what is this an example of? A. a generic social issue B. strategic corporate philanthropy C. value chain social impacts D. the social dimension of a competitive context

Q: Which of the following is NOT one of the three levels in Porter and Kramers framework for incorporating a social decision in firms strategic decision-making? A. generic social issues B. strategic corporate philanthropy C. value chain social impacts D. social dimensions of the competitive context

Q: For a footwear manufacturer, prospect of government legislation on outsourcing labor issue represents which one of the three levels in Porter and Kramers framework for incorporating a social decision in firms strategic decision-making? A. generic social issues B. strategic corporate philanthropy C. value chain social impacts D. social dimensions of the competitive context

Q: Which of the following is NOT one of the components of the working definition of strategic CSR? A. understanding and responding to needs of stakeholders B. responsibly addressing environmental sustainability C. incorporating a CSR perspective within the firms culture and strategic planning processes D. any actions taken are directly related to core operations

Q: Which company was behind the creation of the Equator Principles? A. Amazon B. Patagonia C. Unilever D. Citigroup

Q: According to the textbook, corporate social responsibility concerns the economic, legal, ethical, and ______ issues that stakeholders view as directly related to the firms plans and actions. A. environmental B. governance C. social D. discretionary

Q: Johnson & Johnsons Credo places ______ as its lowest priority. A. employees B. customers C. stockholders D. Johnson & Johnson treats all its stakeholders equally

Q: Which organizations activity resulted in Citigroups adoption of wide-ranging environmental metrics in the criteria it uses to grant loans? A. EarthFirst! B. Greenpeace C. Rainforest Action Network (RAN) D. Sierra Club

Q: Which activist organizations activity resulted in Shells change of course regarding the breakup of the Brent Spar oil platform? A. EarthFirst! B. Greenpeace C. Rainforest Action Network (RAN) D. Sierra Club

Q: In 1911, a U.S. Supreme Court ruling forced Standard Oil to ______. A. pay its employees more fairly B. hire members of minority groups C. break up into separate companies D. remove lead from its gasoline

Q: According to the textbook, the firm ______. A. exists independently of its stakeholders B. exists to solve social, moral, and ethical problems C. exists only with the support of shareholders D. does not exist independently of its stakeholders

Q: Outline the industry perspective on business strategy. Choose an example industry and conduct an analysis of its competitive structure using Porters Five Forces model.

Q: Why do some firms, industries, and cultures have different CSR thresholds than others? Illustrate your answer with examples for all three categories.

Q: Define each of the following terms: vision, mission, strategy, and tactics. What is the relationship among them in relation to a firms strategic planning process?

Q: The textbook states that companies can pursue an effective corporate social responsibility policy of either offense or defense. What does this mean? In your answer, provide detailed examples of both approaches.

Q: A firms vision, mission, strategy, and tactics are broadly constrained in three ways. What are they and how do they constrain the firm?

Q: Define SWOT analysis and provide an example of how such an analysis could be applied to a specific business.

Q: The urgency with which corporate social responsibility policies are implemented depends on the perceived CSR threshold and the priority the issue holds for the firms leaders.

Q: The United States is more self-sufficient in the area of natural resources than is Europe; therefore, the United States has less need from the economic perspective of corporate social responsibility to preserve natural resources.

Q: The CSR threshold is the same for all companies in all industries.

Q: Walmarts core competency is efficient distribution.

Q: Vision statements do not need to appeal to multiple stakeholders.

Q: ______ countries have taken the lead in environmental management. A. Asian B. European C. North American D. South American

Q: A company with a ______ is more vulnerable to CSR transgressions than a company with a ______. A. lifestyle brand strategy; low-cost strategy B. low-cost strategy; lifestyle brand strategy C. differentiation strategy; lifestyle brand strategy D. low-cost strategy; differentiation strategy

Q: CSR can be viewed as ______. A. a set of defensive policies B. a set of offensive strategies C. a set of defensive policies and a set of offensive strategies D. neither of these

Q: One of the reasons that Amazon is successful is that it has achieved a core competency in managing its ______. A. workforce B. board of directors C. products D. supply chain

Q: According to Prahalad and Hamel, a firms capability must meet three criteria to be truly considered a core competency. Which of the following is NOT one of the criteria? A. It should be applicable to multiple markets. B. It should emphasize the external context in which the firm operates. C. It should be valued by the consumer. D. It should be difficult for a competitor to imitate.

Q: To assess their potential impact on the firms stakeholders, any tactical and strategic actions must first pass through a ______. A. strategic evaluation B. third-party assessment C. CSR filter D. McKinsey consultation

Q: SWOT analyses allow firms to identify their ______. A. strategies, wealth, opportunities, and theories B. strategies, weaknesses, organization, and threats C. strengths, wealth, opportunities, and theories D. strengths, weaknesses, opportunities, and threats

Q: Mercedes-Benz operates on a ______ business strategy. A. cost-leadership B. premium customer C. resource utilization D. differentiation

Q: As the news media and blogosphere continue to expose corporate social responsibility transgressions and people are better able to compare conditions across cultures, what will happen with societal tolerance for irresponsible behavior? A. It will increase. B. It will not change. C. It will decrease. D. It will be accounted for primarily in financial terms rather than cultural terms.

Q: The CSR threshold is higher in the financial/banking industry than in the apparel industry because ______. A. less money is involved when consumers purchase clothing than when they buy banking/financial products such as home mortgages B. it is harder for consumers to identify a victim caused by a CSR violation in the financial/banking industry C. the apparel industry has dramatically improved supply chain issues such as the use of sweatshop labor D. bank customers have a great deal of power and can demand more responsible actions from financial institutions

Q: The Honest Company, founded by actress Jessica Alba, sells products such as baby diapers, wipes, and other personal care products. The Honest Company describes its products as being made without health-compromising chemicals or compounds. This company has a ______ CSR threshold. A. low B. medium C. high D. extremely high

Q: According to the textbook, the United States Climate Action Partnership (USCAP), formed by a group of energy and manufacturing firms, is ______. A. CSR as brand insurance B. CSR as a corporate social opportunity C. CSR as a key component of cost-benefit analysis D. CSR as an offensive strategy

Q: A central feature of Prahalad and Hamels model of business strategy is its focus on ______. A. functional business units within a firm B. core competencies within a firm C. core competencies of competing firms D. firm comparisons across industries

Q: In Europe, pressure for corporate social responsibility is more likely to come from ______. A. courts B. governments C. nonprofits (NGOs) D. competitors

Q: Firms that sell based on price are likely ______. A. to pay greater attention to corporate social responsibility B. to have the resources to mount an effective corporate social responsibility campaign C. to attract less attention from consumers on issues unrelated to price D. to be big and thus attract greater attention from interest groups

Q: Walmart most likely has a higher CSR threshold because ______. A. it is a big company B. it deals with the public C. it has a business strategy that pursues low costs D. it is undertaking an extensive corporate social responsibility effort

Q: With which of the following is Michael Porter is most closely associated? A. Strategic CSR B. the industry perspective C. the resources perspective D. SWOT analysis

Q: The late C. K. Prahalad argued that countries at the bottom of the pyramid ______. A. deserve restitution from the colonial powers that historically exploited these countries B. should work with the United Nations to develop health programs for their impoverished people C. will soon be more economically powerful than the United States, France, and Germany combined D. represent a huge and largely untapped market with many business opportunities

Q: Prahalad and Hamel are most closely associated with which of the following? A. Strategic CSR B. the industry perspective C. the resources perspective D. SWOT analysis

Q: Which of the following is a limitation of the resources perspective? A. It provides a description of the firm that is overly deliberate and rational. B. It focuses too much on a firms competitors. C. It provides a description of the firm that is not very deliberate or rational. D. It presents business as a combative pursuit.

Q: The ______ perspective assumes a zero-sum game and a confrontational view. A. focused B. industry C. resources D. strategic CSR

Q: Which of the following does Porters Five Forces Model NOT include? A. suppliers B. buyers C. government regulation D. industry rivalry

Q: Southwests competitive advantage in the airline industry is a combination of its technology and its ______. A. suppliers B. rivals C. culture D. customers

Q: In Jay Barneys model, VRIO stands for which four concepts? A. variability, returns, industry, operations B. valuable, rare, imitate, organized C. valuable, returns, industry, organized D. variability, rare, imitate, operations

Q: One of the criticisms of Porters Five Forces model is that it assumes competition to be a ______ game among the firm and its various stakeholders. A. zero-sum B. cooperative C. strategic D. nationalistic

Q: The resources perspective on business strategy ______. A. deemphasizes the external context in which the firm operates B. has been disproven through research C. is too narrow, focusing only on assets, not processes D. focuses on the firms competitive operating environment

Q: You own a small bakery and focus on developing highly skilled employees and baking the best, highest quality, and most tasty bakery items possible, with little regard for what other bakeries are doing. This best exemplifies the ______ perspective on business strategy. A. industry B. financial C. strategic CSR D. resources

Q: The ______ perspective is an ______ view of the firm that identifies its unique resources as the main determinant of a competitive advantage. A. resources; internal B. industry; external C. resources; external D. industry; internal

Q: What are the firms most valuable resources or most innovative capabilities? A. its people B. its finances C. its competencies D. its strategies

Q: Digital innovation has disrupted a number of industries. Which of the following firms have remained profitable? A. The New York Times B. Verizon C. Barnes & Noble D. Universal Music

Q: The ______ are the day-to-day management decisions made to implement the firms ______. A. strategies; tactics B. tactics; strategies C. tactics; vision D. strategies; vision

Q: The ______ determines how the organization is going to undertake its ______. A. strategy; mission B. mission; tactics C. vision; mission D. vision; strategy

Q: IKEAs ______ statement is To create a better everyday life for the many people. A. mission B. vision C. strategy D. tactics

Q: Ending hunger in its community and feeding the poor illustrate the relationship between ______. A. strategy and tactics B. profits and revenue C. vision and mission D. aspirations and strategy

Q: The firms ______ identifies what the organization is going to do in order to attain its ______. A. profitability; revenue target B. mission; profits C. mission; vision D. vision; mission

Q: For any business, the pursuit of ______ is so broad a mandate that it offers little guidance about where to begin or what to do. A. vision B. strategy C. mission D. profit

Q: The need that the organization strives to meet forms the basis of its ______. A. aspirations or vision B. strategy C. profits D. mission

Q: Why is the measurement of corporate social responsibility such a pressing and contentious area within the overall CSR debate?

Q: If you wanted to institute a wellness program at your company, based on behavioral economics, what would be the types of nudges would you use to get workers to participate?

Q: Is a major retailer that employs thousands of people, but pays women less than men for the same job a better or worse firm (in terms of corporate social responsibility) than a major sporting goods manufacturer which outsources many of its jobs to other countries.

Q: Is a tobacco firm that employs tens of thousands of people and pays significant taxes a better or worse firm (in terms of corporate social responsibility performance) than a supermarket that sells food but pays its employees low wages?

Q: Why is it important to think of firm performance with respect to corporate social responsibility on a continuum rather than a dichotomy?

Q: At present, the Global Reporting Initiative (GRI) has developed to where many countries now require [it], either by law or as a condition of stock exchange listing largely because its model of reporting is relatively simple.

Q: Since the late 1990s, the measurement of corporate social responsibility has become increasingly uniform and widely accepted across all industries.

Q: Enron is a good example of how good things had become in terms of corporate responsibility at the end of the 20th century.

Q: Corporate social responsibility reporting suffers from the potential for greenwash.

Q: The real cost of a gallon of gasoline, after accounting for all costs and removing all existing subsidies, is estimated to be less than $1.

Q: In terms of strategic CSR, it is essential to think of firm performance as a dichotomy rather than a continuum.