The Relationship Between Institutional Theory (IT),Legitimacy Theory (LT)and Stakeholder Theory

question 22

Multiple Choice

The relationship between Institutional Theory (IT) ,Legitimacy Theory (LT) and Stakeholder Theory (ST) is that:

• A) IT is a normative theory while LT and ST are positive theories
• B) IT is a more detailed version of LT, and broadly consistent with ST
• C) The mechanisms IT suggests firms will use to align the perceptions of their performance with society's values could include the mechanisms suggested by LT and ST
• D) The mechanisms IT suggests firms will use to align the perceptions of their performance with society's are different from the mechanisms suggested by LT and ST

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Definitions:

Foreign Language Course

An educational program designed to teach students a language that is not their native or primary language.

Cognitive Bias

A systematic error in thinking that affects judgments and decisions, often leading to deviations from standard rationality or good judgment.

Medical Treatment

The management and care of a patient to combat disease or disorder.

Lewis Terman

An American psychologist best known for his revision of the Stanford-Binet IQ test and his longitudinal studies on gifted children.