3.4.3 shareholders vs stakeholders, 3.4.4 business ethics

Question 1

Pressure group

Answer 1

a group of people with a common interest who try to further that interest

Question 2

shareholder

Answer 2

a owner of (part of) a company

Question 3

Shareholder value

Answer 3

a term widely used by company chairmen and chairwomen, which means little more than the attempt to maximise the company’s share price

Question 4

social responsibilities

Answer 4

duties towards stakeholder groups, which the firm may or may not accept

Question 5

stakeholder

Answer 5

an individual or group that affects and is affected by an organisation

Question 6

corporate culture

Answer 6

the culture of an organisation is the (perhaps unwritten) code that affects the attitudes, decision making and management style of its staff

Question 7

Corporate social responsibility

Answer 7

a term intended to sum up the ethically driven activities of a business; but often its a extension of the public relations department, making sounds that signify nothing

Question 8

vested interest

Answer 8

when there’s a personal, often hidden, reason for making a decision (often rooted in money)

Question 9

whistleblowing

Answer 9

when an employee decides they can’t accept a moral dilemma (such as knowing of bribery) and exposes the unacceptable practice - perhaps first to a senior manager and then - if nothing is done- to the media