Which of the Following Is NOT a Part of the Business

question 51

Multiple Choice

Which of the following is NOT a part of the business case for why companies should act in a socially responsible manner?

• A) Every business has a moral duty to be a good corporate citizen.
• B) Acting in a socially responsible manner reduces the risk of reputation-damaging incidents.
• C) Acting in a socially responsible manner is in the overall best interest of shareholders.
• D) To the extent that a company's socially responsible behavior wins applause from consumers and fortifies its reputation, a company may win additional patronage.
• E) Acting in a socially responsible manner can generate internal benefits (as concerns employee recruiting, workforce retention, employee morale, and training costs).

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Definitions:

Circular Flow Model

An economic model that depicts the continuous flow of money, goods, services, and factors of production between households and businesses in an economy.

Economy

An arrangement for creating, distributing, and using goods and services within a specified geographic region.

Doghouses

Doghouses are small shelters or structures designed to provide a safe and secure outdoor environment for dogs to sleep, rest, and be protected from the elements.

Dishwasher Industry

The sector of the economy focused on the manufacturing, distribution, and retail of dishwashers.