Which of the Following Arguments Provided by Milton Friedman Suggests

question 59

Multiple Choice

Which of the following arguments provided by Milton Friedman suggests that corporate social responsibility may be unethical?

• A) Corporate social responsibility compels managers to spend money on some individuals that rightfully belongs to other individuals.
• B) Corporate social responsibility is not mandated by law, which means that it has to be done by will, not by compulsion.
• C) Empirical studies have not yet demonstrated a definitive relationship between corporate social responsibility and profitability.
• D) Profitability and growth go hand-in-hand with responsible treatment of employees, customers, and the community.
• E) Firms use corporate social responsibility to increase their brand awareness.

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Definitions:

Ultimate Consumers

The end-users who purchase products or services for personal use rather than for resale or manufacturing.

Many Uses

A characteristic of products or services that can be utilized in multiple ways or for various purposes, enhancing their appeal.

Production

The process of creating goods and services through the combination of labor, materials, and technology.

Promotional Mix

The combination of marketing strategies and tactics used by a company to promote its products or services, including advertising, sales promotions, public relations, and direct marketing.