Deck 1: The Business and Society Relationship.

Question 1

News shows are the only type of programming on television that has contributed to criticism of business.

Answer 1

False

Question 2

The business environment in current times can best be described as turbulent.

Answer 2

True

Question 3

The social contract in the modern era is changing rapidly and dramatically.

Answer 3

True

Question 4

Movies depict corporate life as amoral and possibly deadly.

Question 5

Ethics refers to issues of right and wrong, fairness, and justice.

Question 6

The Iron Law of Responsibility states that people who use power wisely will be rewarded with more power.

Question 7

The authors of the textbook lay the primary responsibility for business's problems on the media.

Question 8

Power is only manifest when it is used purposefully.

Question 9

Common Cause and the U.S. Chamber of Commerce are examples of general purpose interest groups.

Question 10

The percentage of the U.S. population that has earned high school diplomas and college degrees has remained about the same over the last thirty years.

Question 11

The principal internal stakeholders of a corporation are its customers and employees.

Question 12

The common perception of business power is that there is too little of it to provide a balance with other social institutions.

Question 13

Pluralism is a condition in which there is a concentration of power among society's groups and organizations.

Question 14

A child's assumption that he or she will have a higher standard of living than the previous generation is called the revolution of rising expectations.

Question 15

Affluence refers to the level of wealth, disposable income, and standard of living of a society.

Question 16

Stakeholders are the owners of shares in a corporation.

Question 17

Some businesses are socially responsible; other businesses do just about anything they want.

Question 18

Business interacts with only a limited number of stakeholder groups.

Question 19

The social contract is the set of rights and duties imposed on citizens by their government.

Question 20

When speaking of business in the collective sense, the textbook will most often be focusing on big business.

Question 21

Major institutions in a pluralistic, special-interest society will inevitably receive

A) praise.
B) special favors.
C) analysis and criticism.
D) tax advantages.

Question 22

A purposeful aggregation of people who represent a common cause or share common beliefs is called a(n)

A) special interest group.
B) general interest group.
C) interest group.
D) clique.

Question 23

The collection of private, commercially oriented organizations, ranging in size from sole proprietorships to large corporations is referred to as

A) the third sector.
B) government.
C) business.
D) the free market economy.

Question 24

Because of the sheer member, and specificity of special interest groups, the groups often

A) collaborate with each other to achieve common goals.
B) sabotage each other's efforts to attain their goals.
C) work at cross-purposes.
D) collude to see that their common interests are emphasized.

Question 25

Carrying the idea of a pluralistic society to an extreme leads to

A) anarchy.
B) totalitarian government.
C) a special-interest society.
D) a free market economy.

Question 26

The processes by which laws are enacted and government officials are elected are part of the

A) social environment.
B) economic environment.
C) political environment.
D) technological environment.

Question 27

Technology-based advancements and progress in the applied sciences that help achieve a practical purpose is part of a firm's

A) social environment.
B) political environment.
C) economic environment.
D) technological environment.

Question 28

Which of the following is not a factor in the social environment that has lead to the current climate of criticism of business?

A) affluence and education
B) the revolution of rising expectations
C) an entitlement mentality
D) all of these choices are factors leading to criticism of business

Question 29

Which of the following is not listed as a general issue involving social or ethical ramifications within the relationship between business and society?

A) downsizing pension programs
B) toxic waste disposal
C) insider trading
D) death penalties

Question 30

Segments of business's macroenvironment include all of the following except

A) the social environment.
B) the natural environment.
C) the economic environment.
D) the political environment.

Question 31

The concept of sustainability is derived from the notion of management development.

Question 32

The demographics, lifestyles, and social values of a society determine the firm's

A) social environment.
B) economic environment.
C) political environment.
D) technological environment.

Question 33

Spheres of power describe the arenas in which power may be utilized.

Question 34

Gross national product, inflation, interest rates, and unemployment rates are included in a firm's

A) social environment.
B) economic environment.
C) political environment.
D) technological environment.

Question 35

The sheer numbers of relationships that business has with other segments of society indicate the ____ of its social environment.

A) simplicity
B) size
C) divisiveness
D) complexity

Question 36

Which of the following characteristics of an industry does not add to the creation of visible and controversial social problems?

A) intense advertising
B) creation of pollution
C) geographic location
D) products that affect health

Question 37

Decentralization and diversity of power concentrations leads to

A) anarchy.
B) a totalitarian society.
C) a pluralistic society.
D) democracy.

Question 38

Strengths of pluralism include all of the following except

A) pursuit of self-interest.
B) prevention of concentrations of power.
C) a built-in set of checks and balances.
D) maximization of freedom of expression.

Question 39

Which of the following is not a weakness of pluralism?

A) prevention of concentrations of power
B) pursuit of self-interest
C) overlapping goals, causing confusion about which groups best serve particular interests
D) emphasis on conflict

Question 40

A community, nation, or broad grouping of people having common traditions, values, institutions, and collective activities and interests is a

A) society.
B) culture.
C) population.
D) network.

Question 41

A gap between society's expectations of social conditions and the current social realities is recognized as

A) a social problem.
B) distributive justice.
C) the revolution of rising expectations.
D) inevitable reality.

Question 42

An internal stakeholder is a person or group who

A) exist outside the boundaries of the firm.
B) is located in the same country in which the firm in located.
C) is defined as an "insider" in laws regulating financial markets.
D) is "inside" the company, such as employees and owners.

Question 43

The levels of power include all of the following except

A) the macro level.
B) the micro level.
C) the institutional level.
D) the individual level.

Question 44

The ability to produce an effect or influence a situation is known as

A) authority.
B) abuse.
C) power.
D) dictatorship.

Question 45

An entitlement mentality is

A) a necessary outgrowth of the welfare system.
B) an outgrowth of the revolution of rising expectations.
C) the idea that one has to work for what one gets.
D) the idea that each citizen owes something to society.

Question 46

Which of the following is not an element of the social contract?

A) laws
B) employment contracts
C) regulations
D) shared understandings

Question 47

The business power wielded by an individual firm is known as

A) macro level power.
B) intermediate level power.
C) micro level power.
D) individual level power.

Question 48

Stakeholders include all of the following groups except

A) owners.
B) employees.
C) customers.
D) all of these are stakeholder groups.

Question 49

CEOs such as Virginia Rometty of IBM or Tim Cook of Apple hold which level of power?

A) macro
B) micro
C) individual
D) intermediate

Question 50

The belief that each succeeding generation should have a higher standard of living than its predecessor and that major institutions should continually improve is known as

A) the revolution of rising expectations.
B) the iron cage of rationality.
C) the iron law of oligarchy.
D) the soft bigotry of low expectations.

Question 51

"In the long run, those who do not use power in a manner which society considers responsible will tend to lose it" is the description of

A) The Iron Law of Oligarchy.
B) The Iron Cage of Rationality.
C) The Iron Law of Responsibility.
D) The Peter Principle.

Question 52

The macro level of business power resides in

A) the Federal government.
B) the entire corporate system.
C) corporate CEOs.
D) particular industries.

Question 53

Which of the following is not a sphere of power indicated in the text?

A) economic
B) technological
C) political
D) intermediate

Question 54

Television raises our level of awareness about business in all of the following ways except

A) news programs.
B) prime-time programs.
C) pay-per-view programs.
D) commercials.

Question 55

The intermediate level of business power is found in

A) corporate headquarters.
B) the boards of individual corporations.
C) groups of corporations acting in concert.
D) medium-sized corporations.

Question 56

The government, consumers, and members of the community are examples of

A) stockholders.
B) the technological environment.
C) external stakeholders.
D) primary stakeholders.

Question 57

The set of reciprocal understandings that characterize the relationships between major social institutions is called the

A) implied contract.
B) unilateral binding accord.
C) social contract.
D) procedural justice agreement.

Question 58

Movies are a significant source of business criticism because

A) corporations are seen as powerful, profit-seeking enterprises that have no redeeming values.
B) corporations are depicted as moral.
C) corporations represent free enterprise undoomed.
D) businesses are not greedy.

Question 59

The average level of formal education in the United States is

A) rising.
B) dropping.
C) staying about the same.
D) unknown.

Question 60

The ____ is a result of the growing numbers of individuals and groups who see themselves as having been victimized by society.

A) Rights Movement
B) Entitlement Mentality
C) Revolution of Rising Expectations
D) Victimization philosophy

Question 61

When a business affects the life of a member of the surrounding community without meaning to, the company has wielded

A) coercive power.
B) deliberate power.
C) hidden power.
D) unintentional power.

Question 62

Provide a short answer to each of these questions. Be sure to fully explain your answer.
What is the difference between internal and external stakeholders?

Question 63

Provide a short answer to each of these questions. Be sure to fully explain your answer.
Explain the rationale that is the foundation of The Iron Law of Responsibility.

Question 64

Utilize the knowledge you have gained to respond to the following essay questions. Your answers should state your position and use logical arguments and content from this and other chapters in the textbook to support it.
The key elements of a pluralistic society are decentralization and diversity of power. Using what you know about American society, do you consider it to be a pluralistic society? Why or why not?

Question 65

Provide a short answer to each of these questions. Be sure to fully explain your answer.
Explain what is meant by spheres of power.

Question 66

Utilize the knowledge you have gained to respond to the following essay questions. Your answers should state your position and use logical arguments and content from this and other chapters in the textbook to support it.
The textbook says that when power gets out of balance, other forces are brought to bear so that balance is restored. Name some of the other forces that are used to balance business power. Describe how effective each of those other forces is in combating business power.

Question 67

Provide a short answer to each of these questions. Be sure to fully explain your answer.
The authors of the textbook say that, at a general level, they will be discussing the role of business in society. What do they mean by "the role of business in society?"

Question 68

Provide a short answer to each of these questions. Be sure to fully explain your answer.
The authors state, "the of victimizationphilosophy is intimately related to and sometimes inseparable from the rights movement and the entitlement mentality." Explain how these three concepts are related.

Question 69

Provide a short answer to each of these questions. Be sure to fully explain your answer.
The authors discuss the rights movement as a contributing factor in the climate that is critical of business. What are "rights?"

Question 70

The examination of business and its relationship to society typically focuses on

A) big business and highly visible industries.
B) all business and all industries.
C) small business and highly visible industries.
D) none of these.

Question 71

Provide a short answer to each of these questions. Be sure to fully explain your answer.
Describe the virtues of a pluralistic society.

Question 72

Provide a short answer to each of these questions. Be sure to fully explain your answer.
Describe what the authors mean by the managerial approach taken in the textbook.

Question 73

The most important stakeholders of a business are typically its

A) employees.
B) government.
C) consumers.
D) owners.

Question 74

Utilize the knowledge you have gained to respond to the following essay questions. Your answers should state your position and use logical arguments and content from this and other chapters in the textbook to support it.
Choose a particular corporation and describe the power it wields in different spheres.

Question 75

Utilize the knowledge you have gained to respond to the following essay questions. Your answers should state your position and use logical arguments and content from this and other chapters in the textbook to support it.
Using the managerial approach discussed in the textbook, discuss the topic of ecological damage and sustainability as they relate to business.

Question 76

Provide a short answer to each of these questions. Be sure to fully explain your answer.
Explain the role that television plays in creating a climate critical of business.

Question 77

Sustainability, at a simple level, is about business's:

A) ability to survive and thrive over the long term
B) approach to only the natural environment
C) preservation of the environment in the present generation
D) ability to meet the needs of the present while compromising future generations

Question 78

Utilize the knowledge you have gained to respond to the following essay questions. Your answers should state your position and use logical arguments and content from this and other chapters in the textbook to support it.
If "rights" are the entitlement to certain life chances and freedom from certain limitations that are accorded to persons simply because they have been born and are alive, what else does the existence of rights imply?

Question 79

Provide a short answer to each of these questions. Be sure to fully explain your answer.
Why does discussion of the institution of business tend to focus on big business?