Chapter 6 III.

Question 1

refers to the acceptance by business of a conscious effort in focusing and in satisfying the economic, legal, ethical, philanthropic and social responsibilities and other acts expected from the corporation to do to its stakeholders.

Answer 1

Corporate citizenship

Question 2

is the practice of giving money and time to help make life better for other people.

Answer 2

Philantrophy

Question 3

refers to the giving of the company’s profit directly to charitable organizations or to individual in need with the intention of helping and improving the quality of life of the different corporate stakeholders.

Answer 3

Corporate Philantrophy

Question 4

It can be characterized by hard policies such as no investment to those companies with questionable environmental records, those engaged in child labor, discrimination, those who use animals in product testing and many other anti-earth or anti-green policies.

Answer 4

“Scare-off from” strategy

Question 5

Using the strategy of balance with benefit, which is founded on the idea that for everything the company does there is always an impact to stakeholders.

Answer 5

Impact mitigation

Question 6

This strategy involves a kind of free market where companies within the same industries compete with one another for the best records on a variety of social issues.

Answer 6

Whoever is the best

Question 7

This strategy requires investors to decide whether or not they are concerned if an investment has a secondary involvement with a social problem.

Answer 7

Main or derivative connections

Question 8

refers to the practice of companies characterized by deceptively making it appear that their products, services and policies are environmentally friendly by projecting costs cuts as reduction in use of resources or investments in “green concerns” like in areas of ecology and environment.

Answer 8

Greenwashing

Question 9

“Energy-efficient” electronics that contain hazardous materials, 998 products and 57% of environmental claims committed this sin

Answer 9

Sin of the hidden trade-off

Question 10

Shampoos claiming to be “certified organic: but with no verifiable certification, 454 products and 26% of environmental claims committed this sin.

Answer 10

Sin of no proof

Question 11

Products claiming to be 100% natural when many naturally-occurring substances are hazardous like arsenic and

Answer 11

Sin of vagueness

Question 12

Products claiming to be CFC-free even though CFCs were banned 20 years ago. This sin was seen in 78 products and 4% of environmental claims.

Answer 12

Sin of irrelevance

Question 13

Products falsely claiming to be certified by an internationally recognized environmental standard like Ecologo, Energy Star or Green Seal. Found in 10 products or less than 1% of environmental claims.

Answer 13

Sin of Fibbing

Question 14

Organic cigarettes of “environmentally friendly” pesticides. This occurs in 17 products or 1% of environmental claims.

Answer 14

Sin of lesser of two evils

Question 15

This is perpetrated by a product wherein by either words or images, gives the impression of third-party endorsement while in fact and in reality, no such endorsement actually happened.

Answer 15

The sin of worshipping false labels