MG 222 Exam 1

Front

Sustainability

Back

Meeting the needs of the present without compromising the ability of future generations to meet their own needs

Front

Triple Bottom Line

Back

the three realms of a sustainable business:

Economic, can make financial gains

Environment, takes care of the environment

Social, takes care of people

(aka people, planet, profit)

Front

Shareholder Theory

Back

Old theory, Friedman's theory that businesses make money to pay owners and investors

Front

Stakeholder Theory

Back

Freeman's theory that business has the responsibility to serve & create value for their stakeholders, including external and internal sources

Front

5 types of stakeholder power

Back

1. Voting power

2. Economic power

3. Political power

4. Legal power

5. Informational power

Front

Public Issue

Back

Issue that is of mutual concern to an organization and one or more of its stakeholders

Front

Stakeholder Expectations

Back

mix of people’s opinions, attitudes, and beliefs about what constitutes good behavior

Front

Performance-Expectations Gap

Back

Gap between expected performance and actual performance in terms of economic and social performance over time

Front

Issue Management Process

Back

A cycle: Identify issue → analyze issue → generate options → take action → evaluate results → identify next issue (& repeat)

Front

Stakeholder Materiality

Back

Mapping and prioritizing importance of issues to stakeholders vs importance of issues to company