TEST BANK
Business and Society:
Stakeholders, Ethics, Public Policy,
17th Edition
By Lawrence, Weber, All Chapters 1 - 19
,TABLE OF CONTENTS
Chapter 1: The Corporation and Its Stakeholders
Chapter 2: Managing Public Issues and Stakeholder Relationships
Chapter 3: Corporate Social Responsibility and Global Citizenship
Chapter 4: Business in a Globalized World
Chapter 5: Ethics and Ethical Reasoning
Chapter 6: Organizational Ethics
Chapter 7: Business–Government Relations
Chapter 8: Influencing the Political Environment
Chapter 9: Sustainable Development and Global Business
Chapter 10: Managing for Sustainability
Chapter 11: The Role of Technology
Chapter 12: Regulating and Managing Technology
Chapter 13: Shareholder Rights and Corporate Governance
Chapter 14: Consumer Protection
Chapter 15: Employees and the Corporation
Chapter 16: Managing a Diverse Workforce
Chapter 17: Business and Its Suppliers
Chapter 18: The Community and the Corporation
Chapter 19: Managing the Public and the Corporate Reputation
,Chapter 1: The Corporation and Its
Stakeholders
Answers are at the end of Each chapter
Student name:
TRUE/FALSE - Write 'T' if the statement is true and 'F' if the
statement is false.
1) A business is any organization that is engaged in making a product or
providing a service for a profit.
⊚ true
⊚ false
2) The term stakeholder refers exclusively to the founders of a business
organization.
⊚ true
⊚ false
3) Businesses and society are independent of each other.
⊚ true
⊚ false
4) The stakeholder theory of the firm argues that a firm’s sole purpose is
to create long-term value for its shareholders.
⊚ true
⊚ false
5) The instrumental argument for the stakeholder theory of the firm
says that companies perform better if they consider the rights and
concerns of multiple groups in society.
⊚ true
⊚ false
6) The normative argument for the stakeholder theory of the firm says that
the stakeholder view is simply a more realistic description of how
companies really work.
⊚ true
⊚ false
, 7) Nonmarket stakeholders are those that engage in economic transactions
with the company as it carries out its primary purpose of providing
society with goods and services.
⊚ true
⊚ false
8) Market stakeholders include nongovernmental organizations and business
support groups.
⊚ true
⊚ false
9) Government can be considered both a market and a nonmarket
stakeholder.
⊚ true
⊚ false
10) The interests of different stakeholders often coincide.
⊚ true
⊚ false
11) The first step of stakeholder analysis is to identify relevant stakeholders.
⊚ true
⊚ false
12) Some scholars have suggested that managers pay the most
attention to stakeholders possessing the least salience.
⊚ true
⊚ false
13) The organization of a corporation’s boundary-spanning functions is
complex.
⊚ true
⊚ false
14) Businesses are increasingly trying to meet their commitments to multiple
stakeholders.
⊚ true
⊚ false
15) The external environment of business is static.
⊚ true
⊚ false
Business and Society:
Stakeholders, Ethics, Public Policy,
17th Edition
By Lawrence, Weber, All Chapters 1 - 19
,TABLE OF CONTENTS
Chapter 1: The Corporation and Its Stakeholders
Chapter 2: Managing Public Issues and Stakeholder Relationships
Chapter 3: Corporate Social Responsibility and Global Citizenship
Chapter 4: Business in a Globalized World
Chapter 5: Ethics and Ethical Reasoning
Chapter 6: Organizational Ethics
Chapter 7: Business–Government Relations
Chapter 8: Influencing the Political Environment
Chapter 9: Sustainable Development and Global Business
Chapter 10: Managing for Sustainability
Chapter 11: The Role of Technology
Chapter 12: Regulating and Managing Technology
Chapter 13: Shareholder Rights and Corporate Governance
Chapter 14: Consumer Protection
Chapter 15: Employees and the Corporation
Chapter 16: Managing a Diverse Workforce
Chapter 17: Business and Its Suppliers
Chapter 18: The Community and the Corporation
Chapter 19: Managing the Public and the Corporate Reputation
,Chapter 1: The Corporation and Its
Stakeholders
Answers are at the end of Each chapter
Student name:
TRUE/FALSE - Write 'T' if the statement is true and 'F' if the
statement is false.
1) A business is any organization that is engaged in making a product or
providing a service for a profit.
⊚ true
⊚ false
2) The term stakeholder refers exclusively to the founders of a business
organization.
⊚ true
⊚ false
3) Businesses and society are independent of each other.
⊚ true
⊚ false
4) The stakeholder theory of the firm argues that a firm’s sole purpose is
to create long-term value for its shareholders.
⊚ true
⊚ false
5) The instrumental argument for the stakeholder theory of the firm
says that companies perform better if they consider the rights and
concerns of multiple groups in society.
⊚ true
⊚ false
6) The normative argument for the stakeholder theory of the firm says that
the stakeholder view is simply a more realistic description of how
companies really work.
⊚ true
⊚ false
, 7) Nonmarket stakeholders are those that engage in economic transactions
with the company as it carries out its primary purpose of providing
society with goods and services.
⊚ true
⊚ false
8) Market stakeholders include nongovernmental organizations and business
support groups.
⊚ true
⊚ false
9) Government can be considered both a market and a nonmarket
stakeholder.
⊚ true
⊚ false
10) The interests of different stakeholders often coincide.
⊚ true
⊚ false
11) The first step of stakeholder analysis is to identify relevant stakeholders.
⊚ true
⊚ false
12) Some scholars have suggested that managers pay the most
attention to stakeholders possessing the least salience.
⊚ true
⊚ false
13) The organization of a corporation’s boundary-spanning functions is
complex.
⊚ true
⊚ false
14) Businesses are increasingly trying to meet their commitments to multiple
stakeholders.
⊚ true
⊚ false
15) The external environment of business is static.
⊚ true
⊚ false
