Chapter 2 Game

Which of the following is a business benefit from corporate social responsibility?

• revenue decreases

• cost increases

• increase in brand value

• risk assessment

With an Ethnocentric approach, a company applies the morality used in its

________.

• host nation

• industry

• general society

• home country

A company subscribing to Ethical relativism would implement the morality of the ________.

• host country

• shareholders

• legal system

• home country

Social responsibility, ethical behavior, and interdependence are important

concerns to be built into _______.

• economic control

• management control

• moral idealism

• corporate control

Which of the following MNC subsidiary activities is blamed for rising interest rates in the host countries?

• Transferring appropriate technology

• Corrupt Practices Act and bribe

• Filling the key jobs with expatriates

• Raising capital from local sources

MNCs are not accountable to host nations but only respond to home-country governments; they are not concerned with host-country plans for development.

• True

• False