Chapter 5 Vocab

Question 1

corporate social responsibility

Answer 1

referring to the ethical responsibilities that a business has to the society in which it operates; the responsibilities that businesses have to the societies within which they operate. In various context, it may also refer to the voluntary actions that companies undertake to address economic, social, and environmental impacts of their business operations and the concerns of their principal stakeholders

Question 2

economic model of CSR

Answer 2

limits a firms social responsibility to the minimal economic responsibility of producing goods and services and maximizing profits within the law; places shareholders at the center

Question 3

Stakeholder model of CSR

Answer 3

the view that business exists within a web of social relationships; views business as a citizen of the society in which it operates and must conform to the normal range of ethical duties and obligations that all citizens face

Question 4

stakeholder theory

Answer 4

a model of corporate social responsibility that holds that business managers have ethical responsibilities to a range of stakeholders that go beyond a narrow view that the primary or only responsibility of managers is to stakeholders

Question 5

integrative model of CSR

Answer 5

for some business firms, social responsibility is fully integrated with the firm’s mission or strategic plan; integrate economic and social goals

Question 6

corporate sustainability report

Answer 6

provides all stakeholders with financial and other information regarding a firm’s economic, environmental, and social performance

Question 7

reputation management

Answer 7

the practice of caring for the “image” of a firm