Which of the following examples best illustrates the boundary exchange a company would encounter according to the general system theory?

1). Which of the following examples best illustrates the boundary exchange a company would encounter according to the general system theory?
(A) An industrial company implementing new equipment in its plant to comply with environmental government regulations.
(B) A software company develops an application for a client
(C) A purchasing department employee negotiates a price on parts from a supplier
(D) All of the above

2) Corporation who model their operation according to the stakeholder theory create value by:
(A) innovating new product
(B) increasing their stock price
(C) developing their employees’ professional skills.
(D) All of the above

3) Which of the following statements most accurately describe a firm’s responsibility to market stakeholders?
(A) It is a relationship with political and cultural influences
(B) It involves distribution, procurement, and competition.
(C) It is more important to the survival of business than non-market relationships.
(D) It mostly occurs at a broad conceptual level

4) Which of the following is not an example of stakeholders’ economic power?
(A) A toy manufacturer halts supplier to distributor asking higher than fair prices.
(B) A social group protest a government’s decision to raise taxes.
(C) A local community boycotts a grocery store suspected of inaccurate weight scales.
(D) A social organization demands the closure of a store that has a discriminatory hiring policy

5). Society has change their expectation from “trust me” attitude regarding business to a:
(A) ” listen to me” attitude
(B) Help me attitude
(C) ” Prove it ” attitude
(D) “Accept it attitude

6) Interactions between business and society occur:
(A) within a finite natural ecosystem
(B) only during an environmental crisis
(C) when business employees and the community are of similar cultural backgrounds,
(D) when legislation is passed requiring interaction .

7) A successful business must meet its:
(A) economic objectives
(B) social objectives.
(C) economics and social objectives
(D) top executives expectations

8) The emergence of a public issue indicates that:
(A) a gap has developed between what stakeholders expects and what an organization is actually doing.
(B) technology is forcing ethics and business strategy closer together.
(C) consumer are unaware of how an organization’s actions affect them.
(D) All of the above

9) The third phase in the public issue life cycle begin when:
(A) A corporate crisis occurs
(B) an issue begins to capture public attention
(C) laws are passed
(D) legislative proposal or draft regulation emerge.

10) Society can utilize a corporate public affairs units to:
(A) perceive, monitor and understand external changes.
(B) influence corporate policy and practice
(C) Both A & B
(D) None of the above

11) Customer environmental intelligence includes:
(A) demographic factors
(B) an analysis of the firms competitors
(C) new technological application
(D) the cost of producing consumer goods.

12) When dealing with a corporate crisis, its is best to:
(A) take an offensive approach and be the first to comment on the situation to the media
(B) take an defense approach and only answer question submitted by the media in a formal interview process
(C) take a defense approach but appoint a single representative like the Public Affairs Director or CEO to answer all media question
(D) hire a professional consulting firm

13) An effective crisis management plan will:
(A)minimize the seriousness of the problem.
(B) exaggerate minor incident
(C) use the internet to convey the public affairs message
(D) immediately apologize to the public and accept any liability.

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