Chapter 5 Lesson 2

What is the advantage a business has due to its good reputation?

• Increased competition

• Employee satisfaction

• Customer loyalty

• Lower production costs

What federal agency provides information about environmental-compliance rules and regulations?

• Department of Energy (DOE)

• Food and Drug Administration (FDA)

• Federal Trade Commission (FTC)

• Environmental Protection Agency (EPA)

What is an example of corporate environmental awareness?

• Investing in new technology

• Expanding into international markets

• Offering employee benefits

• Using energy efficient lightbulbs

How does social responsibility influence the economy?

• By avoiding taxes and regulations

• By putting money back into the community and supporting the local economy

• By reducing competition and increasing prices

• By outsourcing jobs to other countries

What is the role of the Environmental Protection Agency (EPA)?

• Regulating international trade

• Enforcing labor laws

• Promoting social welfare through volunteering

• Providing information about environmental-compliance rules and regulations

What does corporate culture describe?

• How the owners and employees of a company think, feel, and act as a business

• The location of a company's headquarters

• The financial performance of a company

• The size and scale of a company

What is the main focus of philanthropy?

• Maximizing profits

• Promoting the welfare of others

• Expanding market share

• Reducing operating costs

Why is goodwill important to a business?

• It creates customer loyalty and is vitally important to a business

• It reduces production costs

• It increases employee turnover

• It attracts international investors

What are some ways for businesses to preserve natural resources?

• Outsource production to other countries

• Increase energy consumption

• Ignore environmental regulations

• Use green products, reusable shopping bags, and recycle

Why is it important for businesses to engage in ethical practices?

• To avoid legal penalties only

• To ensure higher dividends to shareholders

• To build trust with consumers and improve business sustainability

• To solely increase immediate profits