Session#4-assessment

What is a major social risk that companies face when they fail to manage labor relations effectively?

• Improved customer engagement

• Boycotts from institutional customers and consumer protests

• Increased brand loyalty

• Reduced production costs

Why do large investors like BlackRock focus on human capital management?

• It directly improves financial performance.

• It is a mandatory SEC requirement.

• It increases tax benefits for organizations.

• It reduces environmental impact.

How do communities enhance an organization's license to operate?

• By increasing tax rates

• By improving regulatory compliance

• By supplying materials, labor, and assets

• By decreasing supply chain costs

What was one consequence of Nike’s human rights issues?

• Increased workforce productivity

• Higher stock prices

• Boycotts and revenue loss

• Government subsidies

What is "Social washing"?

• Promoting ethical trade practices

• Presenting as socially responsible while hiding negative impacts

• Reducing environmental damage

• Investing in community development

What is the purpose of the MSCI ESG Index?

• To measure a company's ability to manage ESG risks and opportunities

• To analyze financial statements for profitability trends

• To evaluate the effectiveness of corporate branding and public relations campaigns

• To assess how well a company complies with industry tax regulations and reporting standards

What percentage greater profitability do engaged employees provide compared to disengaged employees?

• 10%

• 15%

• 21%

• 25%

Why is ESG maturity important for organizations?

• It decreases business risks and aligns with audience needs.

• It reduces operating costs and legal requirements.

• It focuses only on sustainability and ethics.

• It eliminates the need for financial disclosures.

What was Coca-Cola accused of in ESG-related controversies?

• False sustainability claims while contributing to pollution

• Labor rights violations in supply chains

• Tax evasion practices

• Using low-quality raw materials

How do organizations measure their commitment to social responsibility?

• Through ESG reporting frameworks

• By reducing employee salaries

• By expanding globally

• By increasing product prices