Business Corporate System Principles Quiz

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Questions and Answers

In Corporate Governance, who are the stakeholders that need to be balanced?

  • Suppliers and customers
  • Managers and employees
  • Governments and shareholders (correct)
  • Customers and financiers

What does Corporate Management primarily deal with?

  • Financial analysis
  • Daily operations (correct)
  • Strategic planning
  • Market research

According to Stewardship Theory of Corporate Governance, what is a steward responsible for?

  • Maximizing personal gains
  • Neglecting the needs of others
  • Protecting the interests of shareholders (correct)
  • Limiting company growth

What is the main goal of Stewardship governance?

<p>Creating a successful organization for shareholder prosperity (B)</p> Signup and view all the answers

How does business ethics impact corporate governance?

<p>It ensures good governance (D)</p> Signup and view all the answers

What is the primary purpose of Good Corporate governance?

<p>Dealing with stakeholders in a fair manner (D)</p> Signup and view all the answers

What does 'Accountability' refer to in a company?

<p>Giving an explanation for the company's actions (A)</p> Signup and view all the answers

Who are considered the primary stakeholders in a typical corporation?

<p>Investors, employees, customers, and suppliers (A)</p> Signup and view all the answers

What is a key aspect of 'Fairness' in corporate decision-making?

<p>Ensuring all shareholders receive equal consideration (C)</p> Signup and view all the answers

How can a company practice 'Transparency' effectively?

<p>Proactively communicating information openly (D)</p> Signup and view all the answers

What is the relationship between management and the Board regarding 'Accountability'?

<p>Management is accountable to the Board, and the Board is accountable to shareholders (A)</p> Signup and view all the answers

How does 'Fairness' impact decision-making in a company?

<p>Balancing the interests of different stakeholders (D)</p> Signup and view all the answers

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