The Importance of Trust as a Fundamental Principle Underlying Business

question 30

Multiple Choice

The importance of trust as a fundamental principle underlying business transactions is illustrated by expectations that:

• A) investors will be able to earn a return on their investments.
• B) employees may be discharged at any time for any reason without notice.
• C) litigation is inevitable because parties to agreements usually break promises.
• D) insider trading proves that the economic system underlying business is flawed.

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Definitions:

Media

The main means of mass communication (broadcasting, publishing, and the Internet) regarded collectively.

Instrument Of The State

A term used to describe organizations or individuals that carry out the directives and policies of the government, often in an authoritative or regulatory capacity.

Social Change

The transformation over time in the institutions, culture, and structure of society.

Subculture

A group within society that is differentiated by its distinctive values, norms, and lifestyle.