BU360 Lesson 1 Exam SCORE 95 PERCENT

Question 1

In the first step of a stakeholder analysis, __________ of the focal organization identify the issue to be considered.

Question options:

	suppliers
	customers
	shareholders
	managers
Question 2

Which of the following is considered to be a nonmarket stakeholder?

Question options:

	Customers
	Nongovernmental organizations
	Creditors
	Stockholders
Question 3

According to management scholar Karl Albrecht, scanning to acquire environmental intelligence should focus on:

Question options:

	eight strategic radar screens.
	six management templates.
	eight process improvements.
	six ethical decision indicators.
Question 4

A corporation's issue management activities are usually linked to:

Question options:

	both the board of directors and top management.
	the board of directors.
	top management.
	the strategic governance committee.
Question 5

Departments or offices within an organization that reach across the dividing line that separates the company from groups and people in society are:

Question options:

	inter-departmental divisions.
	geographic location areas.
	boundary-spanning departments.
	organizational maps.
Question 6

Contemporary issue management:

Question options:

	is a linear process.
	was useful in the 1970s, but not today.
	is used by all government agencies.
	is an interactive, forward-thinking process.
Question 7

An analysis of the stability or instability of a government is an example of scanning the _____ environment.

Question options:

	social
	legal
	geophysical
	political
Question 8

All of the following are considered to be external stakeholders, EXCEPT:

Question options:

	managers.
	customers.
	shareholders.
	suppliers.
Question 9

Once an issue has been identified its implications must be:

Question options:

	acted upon.
	analyzed.
	segmented.
	deleted.
Question 10

In instances when we find some person or group holding multiple duties we refer to such parties as maintaining:

Question options:

	roll sets.
	the interests of primary stakeholders.
	a particular ownership theory.
	an independent status set.
Question 11

When working well, the issue management process:

Question options:

	is static and never pulls in additional information that would disturb the balance.
	generates two specific options for each issue.
	minimizes dialogue with the stakeholders and focuses on short-term survival.
	continuously cycles back to the beginning and repeats.
Question 12

In your text, all of the following represent the dynamic environment of business, EXCEPT:

Question options:

	evolving business regulation.
	changing social expectations.
	new technology and innovation.
	the unemployment rate.
Question 13

Failure to understand the beliefs and expectations of stakeholders:

Question options:

	causes a company's profits to increase in the short run.
	causes a company's profits to decrease in the short run.
	causes the performance-expectation gap to grow larger.
	increases the chance of a corporate buyout.
Question 14

In accord with modern stakeholder theory, a business and its stakeholders are best visualized as an interconnected:

Question options:

	vortex.
	network.
	complex.
	web.
Question 15

With the explosive growth of technologies that facilitate the sharing of information, what kind of stakeholder power has become increasingly important?

Question options:

	Economic power
	Political power
	Legal power
	Informational power
Question 16

The issue management process is a:

Question options:

	beneficial tool used only to maximize the positive effects of a public issue for the organization's advantage.
	beneficial tool used only to minimize the positive effects of a public issue for the organization's advantage.
	systematic process companies use when responding to public issues that are of greatest importance to the business.
	confusing process that is rarely used to help top management within an organization.
Question 17

The issue management process has how many stages?

Question options:

	Three
	Four
	Five
	Six
Question 18

The main reason that a number of European countries require public companies to include employee members on their boards of directors is so that:

Question options:

	the employees will be available to answer other board members' questions.
	management will not have to attend meetings.
	employees' interests will be explicitly represented.
	employees will have more power than any other stakeholder.
Question 19

Which statement is NOT correct?

Question options:

	Business and society need, as well as influence, each other.
	The boundary between business and society is clear and distinct.
	Business is a part of society and society penetrates far and often into business.
	Business and society are both separate and connected.
Question 20

Customers can exercise economic stakeholder power by:

Question options:

	voting on a proposed merger of a company and a competitor.
	boycotting products if they believe the goods are too expensive.
	attending a company's annual meeting.
	applying for a job with the company.