Which of the following groups or individuals would not be considered an organizational​ stakeholder?

In the long run, an organization that follows unethical practices is most likely to ________.

be bureaucratized

________ occurs when an employee informs an outside person or agency, such as a government agency, a newspaper, or television reporter, about an organization's (its managers') illegal or immoral behavior

Whistle-blowing

A(n) ________ problem is a problem in determining managerial accountability that arises when delegating authority to managers.

Agency

The workforce and managers are considered outside stakeholders.

False

All stakeholder groups are equally important for an organization.

False

Suppliers have a direct effect on the organization's efficiency and an indirect effect on its ability to attract customers.

True

Outside directors of a corporation are full-time employees of the corporation.

False

Customers are usually an organization's smallest outside stakeholder group.

False

Which of the following is one of the two conditions that lead to a moral hazard problem?

the agent has an incentive to pursue goals and objectives that are different from the principal's

Which of the following would be considered to be the lowest level of management in a chain of command?

functional managers

"Self-dealing" is defined as ________.

a manager acting in his own best interest, as opposed to the interests of the other stakeholders

In an organization, the position of the ________ is one of trusteeship.

members of the board of directors

Which of the following terms best describes the system of hierarchical reporting relationships in an organization?

chain of command

________ are people who have an interest or claim in an organization, in what it does, and in how well it performs

Stakeholders

Shareholders are a part of inside stakeholders.

True

An inside director of a company can be a professional director who holds positions on the boards of many companies.

False

Behavior that follows accepted ethical rules confers a(n) ________ effect on an individual or an organization.

reputation

Which of the following is an outside stakeholder group?

suppliers

The reputation effect ________.

reduces transaction costs

In effect, ________ are the agents or employees of shareholders.

managers