Question 1

Which of the following is true regarding laws and practices of the European Union and its members?

Accepted Answer

A)  European antitrust regulators are often more sympathetic to competitors than are U.S. authorities. 
B)  European antitrust regulators lack the authority to block mergers. 
C)  European antitrust regulators have the authority to block only foreign mergers, not mergers of companies located within the European Union. 
D)  It is expected that the impact of the European Union on corporate planning and strategy will become less, not more, evident in the future. 
A)  European antitrust regulators are often more sympathetic to competitors than are U.S. authorities. 
B)  European antitrust regulators lack the authority to block mergers. 
C)  European antitrust regulators have the authority to block only foreign mergers, not mergers of companies located within the European Union. 
D)  It is expected that the impact of the European Union on corporate planning and strategy will become less, not more, evident in the future.

Question 2

Which of the following is a term addressing the ability of a manager to communicate effectively with counsel and to work together to solve complex problems?

Accepted Answer

A)  Legal astuteness 
B)  Conciliatory interaction 
C)  Mediation 
D)  Arbitration 
A)  Legal astuteness 
B)  Conciliatory interaction 
C)  Mediation 
D)  Arbitration

Question 3

Managers can make their own ______ law by entering into contracts and crafting certain governance structures.

Accepted Answer

A)  Public 
B)  Primary 
C)  Cohesive 
D)  Private 
A)  Public 
B)  Primary 
C)  Cohesive 
D)  Private

Question 4

Which of the following is not one of the four primary public policy objectives furthered by laws and regulations applicable to U.S.business?

Accepted Answer

A)  Promoting economic growth 
B)  Protecting workers 
C)  Promoting consumer welfare 
D)  Promoting governmental regulation 
E)  Promoting public welfare 
A)  Promoting economic growth 
B)  Protecting workers 
C)  Promoting consumer welfare 
D)  Promoting governmental regulation 
E)  Promoting public welfare

Question 5

A legally astute manager understands that legal analysis is often ambiguous.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following is a type of law referencing formal rules embodied in constitutions and statutes enacted by legislatures?

Accepted Answer

A)  Public 
B)  Private 
C)  Substantive 
D)  Remedial 
A)  Public 
B)  Private 
C)  Substantive 
D)  Remedial

Question 7

Assume that after paying a large fine,a company survives charges of illegal activity. In what ways does illegal conduct put a company at a competitive disadvantage?

Accepted Answer

ILLegal conduct can put a firm at a comp

Question 8

As used in the text,the term "legal astuteness" refers to the ability of a manager to avoid situations making consultation with legal counsel necessary.

Accepted Answer

A) True 
 B)False

Question 9

Congress rescinded the jurisdiction of which of the following agencies over advertising to children?

Accepted Answer

A)  The American Consumer Agency 
B)  The Federal Communications Commission 
C)  The Federal Trade Commission 
D)  The Federal-State Advertising Coalition 
A)  The American Consumer Agency 
B)  The Federal Communications Commission 
C)  The Federal Trade Commission 
D)  The Federal-State Advertising Coalition

Question 10

Insurance policies may help firms manage risk.

Accepted Answer

A) True 
 B)False

Question 11

Promoting economic growth is one of the primary public policy objectives of laws and regulations applicable to business.

Accepted Answer

A) True 
 B)False

Question 12

The "systems approach" to business and society builds on which of the following stakeholder theory insights?

Accepted Answer

A)  That firms have relationships with many constituent groups, which both affect and are affected by the actions of the firm. 
B)  That firms have relationships with many constituent groups, and that these groups must be managed to best promote value to stockholders. 
C)  That although firms have relationships with many constituent groups, these groups have little impact on the ongoing management of business firms. 
D)  That firms have relationships with only a few groups, such as employees, that are directly connected with business operations. 
A)  That firms have relationships with many constituent groups, which both affect and are affected by the actions of the firm. 
B)  That firms have relationships with many constituent groups, and that these groups must be managed to best promote value to stockholders. 
C)  That although firms have relationships with many constituent groups, these groups have little impact on the ongoing management of business firms. 
D)  That firms have relationships with only a few groups, such as employees, that are directly connected with business operations.

Question 13

Each activity in regard to "law and the value chain" referenced in the text has legal aspects.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following is true regarding the criminal law in China?

Accepted Answer

A)  It prohibits businesses from paying bribes to government officials, but a payment of money is not considered a bribe unless the amount is significant. 
B)  It prohibits businesses from paying any bribes to government officials, regardless of amount. 
C)  It allows the payment of bribes in any amount to government officials. 
D)  It allows solvent business to pay bribes in any amount to government officials, but prohibits the payment of bribes by insolvent businesses. 
A)  It prohibits businesses from paying bribes to government officials, but a payment of money is not considered a bribe unless the amount is significant. 
B)  It prohibits businesses from paying any bribes to government officials, regardless of amount. 
C)  It allows the payment of bribes in any amount to government officials. 
D)  It allows solvent business to pay bribes in any amount to government officials, but prohibits the payment of bribes by insolvent businesses.

Question 15

Which of the following is a type of relationship building lobbying prevalent in China?

Accepted Answer

A)  Xantu 
B)  Olaying 
C)  Guanxi 
D)  Quinta 
A)  Xantu 
B)  Olaying 
C)  Guanxi 
D)  Quinta

Question 16

Which of the following is an advocacy group that has lobbied against marketing to children?

Accepted Answer

A)  The Alliance to Ban Advertising Targeting Children 
B)  The Protect the Children Foundation 
C)  The Center for Science in the Public Interest 
D)  The Group for Ethical Marketing Practices 
A)  The Alliance to Ban Advertising Targeting Children 
B)  The Protect the Children Foundation 
C)  The Center for Science in the Public Interest 
D)  The Group for Ethical Marketing Practices

Question 17

Which of the following is a type of law referencing formal rules embodied in judicial decisions rendered by courts?

Accepted Answer

A)  Public 
B)  Private 
C)  Substantive 
D)  Remedial 
A)  Public 
B)  Private 
C)  Substantive 
D)  Remedial

Question 18

The ______ approach to business and society introduced in the text is a descriptive framework that integrates legal and societal considerations with mainstream theories of competitive advantage and social responsibility.

Accepted Answer

A)  Integrative 
B)  Systems 
C)  Proactive 
D)  Economic 
A)  Integrative 
B)  Systems 
C)  Proactive 
D)  Economic

Question 19

Which of the following is true regarding a comparison of the law of the United States and the law of the European Union?

Accepted Answer

A)  Laws of the United States and the European Union differ in regard to consumer privacy and emissions standards but are similar in regard to chemical usage and accounting standards. 
B)  Laws of the United States and the European Union differ in regard to consumer privacy, emissions standards, and chemical usage but are similar in regard to accounting standards. 
C)  Laws of the United States and the European Union differ in regard to consumer privacy, emissions standards, chemical usage, and accounting standards. 
D)  Laws of the United States and the European Union are similar in all significant areas involving business regulation and vary in only minor respects 
A)  Laws of the United States and the European Union differ in regard to consumer privacy and emissions standards but are similar in regard to chemical usage and accounting standards. 
B)  Laws of the United States and the European Union differ in regard to consumer privacy, emissions standards, and chemical usage but are similar in regard to accounting standards. 
C)  Laws of the United States and the European Union differ in regard to consumer privacy, emissions standards, chemical usage, and accounting standards. 
D)  Laws of the United States and the European Union are similar in all significant areas involving business regulation and vary in only minor respects

Question 20

Researchers found a statistically significant inverse relationship between a country's economic prosperity,as measured by the per capita gross domestic product,and the country's judicial independence.

Accepted Answer

A) True 
 B)False

Exam 1: law, value creation, and risk management

Which of the following is true regarding laws and practices of the European Union and its members?

Which of the following is a term addressing the ability of a manager to communicate effectively with counsel and to work together to solve complex problems?

Managers can make their own ______ law by entering into contracts and crafting certain governance structures.

Which of the following is not one of the four primary public policy objectives furthered by laws and regulations applicable to U.S.business?

A legally astute manager understands that legal analysis is often ambiguous.

Which of the following is a type of law referencing formal rules embodied in constitutions and statutes enacted by legislatures?

Assume that after paying a large fine,a company survives charges of illegal activity. In what ways does illegal conduct put a company at a competitive disadvantage?

As used in the text,the term "legal astuteness" refers to the ability of a manager to avoid situations making consultation with legal counsel necessary.

Congress rescinded the jurisdiction of which of the following agencies over advertising to children?

Insurance policies may help firms manage risk.

Promoting economic growth is one of the primary public policy objectives of laws and regulations applicable to business.

The "systems approach" to business and society builds on which of the following stakeholder theory insights?

Each activity in regard to "law and the value chain" referenced in the text has legal aspects.

Which of the following is true regarding the criminal law in China?

Which of the following is a type of relationship building lobbying prevalent in China?

Which of the following is an advocacy group that has lobbied against marketing to children?

Which of the following is a type of law referencing formal rules embodied in judicial decisions rendered by courts?

The ______ approach to business and society introduced in the text is a descriptive framework that integrates legal and societal considerations with mainstream theories of competitive advantage and social responsibility.

Which of the following is true regarding a comparison of the law of the United States and the law of the European Union?

Researchers found a statistically significant inverse relationship between a country's economic prosperity,as measured by the per capita gross domestic product,and the country's judicial independence.

Ethics ant the law

Courts, sources of law, and dispute resolution

Constitutional bases for business regulation

Agency

Administrative Law

Contracts

sales,licensing,and e-commerce

Torts and Privacy protection

product liability

Intellectual property

The employment agreement

civil rights and employment discrimination

Criminal law

Environmental law

Antitrust

Consumer Protection

real property and land use

Forms of business organizations

Directors, Officers, and Controlling Shareholders

Public and Private Offerings of Securities

Securities Fraud and insider trading

Debtor-Creditor Relations and Bankruptcy

International Business

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