Free Practice Question
CR · Critical Reasoning
705-805
Assumptions
Corporate social responsibility (CSR) is based on the idea that firms should act responsibly to promote public benefit and that they can profit through such activities, but this idea is inherently flawed. Companies inevitably try to maximize their profits, and social welfare is not the primary motive in most cases; for example, cases in which social welfare is delivered by serving healthier foods or by opting for fuel-efficient vehicles. Therefore, social welfare is a by-product rather than an objective in most CSR activities.
Which of the following is an assumption made by the author?
Which of the following is an assumption made by the author?
Answer Choices
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Products such as fuel-efficient cars are created because of consumer demands.
B
Most CSR activities are affiliated to products such as healthier foods or fuel-efficiency.
C
In most instances of CSR activities, it is not possible for companies to extract any additional profit by going the non-CSR route.
D
Companies’ long-term interests are oriented more toward profit acquisition than social welfare.
E
The higher a company’s desire to maximize its profits, the lower is it's prioritizing of the objective of social welfare.
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Difficulty
705-805
Type
CR