strategic management tutorial
Tutorial questions of SM Ch 3
1. When a firm attempts to incorporate the interests of stakeholders into its mission statement, what kinds of the steps should the firm?
Identification of stakeholders
Understanding stakeholders’ specific claims vis-à-vis the firm
Reconciliation of these claims and assignment of priorities
Coordination of the claims with other elements of the company mission (survival; product & service)
2. What are the Carroll’s four types of Social Responsibility?
Economic – the duty of managers, as agents of the company owners, to maximize stockholder wealth
Legal – the firm’s obligations to comply with the laws that regulate business activities
Ethical – the company’s notion of right and proper business behavior.
Discretionary – voluntarily assumed by a business organization.
3. Who are the perceived stakeholders for companies?
Outside stakeholders Customers Government Society
-Insider stakeholders Shareholders Employees
4. What are the factors complicating a Cost-Benefit Analysis of CSR?
1. Some CSR activities incur no dollar costs at all. In fact, the benefits from philanthropy can be huge.
2. Socially responsible behavior does not come at a prohibitive cost.
3. Socially responsible practices may create savings, and, as a result, increase profits.
4. Proponents argues that CSR costs are more than offset in the long run by an improved company image and increased community goodwill.
5. What are the three broad trends of CRS today?
Three broad trends to drive business to adopt CSR frameworks
1. Resurgence of Environmentalism
2. Increasing Buying Power among Consumers
3. Globalization of Business
6. What is the social audit? What are the reasons for the social audit?
A social audit is an attempt to measure a company’s actual social performance against its social objectives.
- Company wants to be sure it is implementing CSR policies as planned
- CRS actions
1. When a firm attempts to incorporate the interests of stakeholders into its mission statement, what kinds of the steps should the firm?
Identification of stakeholders
Understanding stakeholders’ specific claims vis-à-vis the firm
Reconciliation of these claims and assignment of priorities
Coordination of the claims with other elements of the company mission (survival; product & service)
2. What are the Carroll’s four types of Social Responsibility?
Economic – the duty of managers, as agents of the company owners, to maximize stockholder wealth
Legal – the firm’s obligations to comply with the laws that regulate business activities
Ethical – the company’s notion of right and proper business behavior.
Discretionary – voluntarily assumed by a business organization.
3. Who are the perceived stakeholders for companies?
Outside stakeholders Customers Government Society
-Insider stakeholders Shareholders Employees
4. What are the factors complicating a Cost-Benefit Analysis of CSR?
1. Some CSR activities incur no dollar costs at all. In fact, the benefits from philanthropy can be huge.
2. Socially responsible behavior does not come at a prohibitive cost.
3. Socially responsible practices may create savings, and, as a result, increase profits.
4. Proponents argues that CSR costs are more than offset in the long run by an improved company image and increased community goodwill.
5. What are the three broad trends of CRS today?
Three broad trends to drive business to adopt CSR frameworks
1. Resurgence of Environmentalism
2. Increasing Buying Power among Consumers
3. Globalization of Business
6. What is the social audit? What are the reasons for the social audit?
A social audit is an attempt to measure a company’s actual social performance against its social objectives.
- Company wants to be sure it is implementing CSR policies as planned
- CRS actions