Profit responsibility refers to A the obligation of a firm to price its goods

Profit responsibility refers to a the obligation of a

  • Rutgers University
  • MARKETING 301
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  • bigbobsnotes
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105. Profit responsibility refers to A. the obligation of a firm to price its goods or services at a level whereby the consumer is treated fairly and the firm is still able to make a profit.B. the duty of a firm to maximize profits for its owners or stockholders.C. the view that an organization has an obligation only to those constituencies which can affect achievement of its objectives.D. the concept that no expansion or additional research and development will occur until a company is making a profit.E. the view that a portion of profit (after taxes) should be reinvested in a socially or environmentally beneficial endeavor. 4-34
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Chapter 04 - Ethical and Social Responsibility in Marketing 106. The duty of a firm to maximize profits for its owners or stockholders is referred to as 107. Burroughs Wellcome, the developer and maker of AZT, a drug to treat persons afflicted with AIDS, charges each patient $6,500 annually—more than many AIDS patients can afford because they are unable to work. This is an example of the manufacturer recognizing its Figure 4-14-35
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Chapter 04 - Ethical and Social Responsibility in Marketing 108. There are three types of social responsibility, each relating to particular constituencies. According to Figure 4-1 above, constituency "A" represents __________ responsibility. 109. There are three types of social responsibility, each relating to particular constituencies. According to Figure 4-1 above, constituency "B" represents __________ responsibility. A. societalB. stakeholderC. profitD. customerE. seller 110. There are three types of social responsibility, each relating to particular constituencies. According to Figure 4-1 above, constituency "C" represents __________ responsibility. 111. Source Perrier S.A., the supplier of Perrier bottled water, exercised __________ when it recalled 160 million bottles of water after traces of a toxic chemical were found in 13 bottles. The recall cost the company $35 million and $40 million more was lost in sales. Even though the chemical was not harmful to humans, the president of the company believed it was his duty to remove "the least doubt, as minimal as it might be, to weigh on the image of the quality and purity of our product." 4-36
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Chapter 04 - Ethical and Social Responsibility in Marketing
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