The Manager of a Large Chain Recently Spoke to a Group

question 168

Multiple Choice

The manager of a large chain recently spoke to a group of college students about making it 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

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Definitions:

Adhesion Contract

A standard-form contract prepared by one party, usually favoring that party, to which the other party has little negotiation power and often must accept as is.

Outward Manifestation

Outward manifestation refers to the external display or expression of a condition, intention, or agreement, observable by others.

Reasonable Amount

an amount or quantity that is considered fair, appropriate, or moderate under the circumstances.

Counteroffer

A response to an offer in a negotiation, where the original offer is rejected and a new offer is presented.