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PPP is a company that designs and markets attractive handsets, tablets, and laptop PCs globally.

PPP is a company that designs and markets attractive handsets, tablets, and laptop PCs globally. Its brand is one of the top ten global brands. PPP uses external companies to manufacture its products.

 

The recently appointed CEO of PPP presented the company's strategy to a meeting of investors and journalists.

 

The CEO referred to public concerns about its past ways of doing business. He stated that PPP was actively seeking to address concerns about exploitation of workers in the factories of its suppliers. He said that PPP is also establishing a system to recycle or refurbish its products to avoid hazardous materials leaking into the environment and to give recycled products free of charge to people in poorer countries who cannot afford to buy them.

 

One investor asked the CEO to confirm whether this strategy would improve the profits of PPP in the present financial year. The CEO replied that it would not but that the strategy was essential to protect the future of the PPP brand. The investor was unhappy with this response from the CEO of PPP.

 

Which of the following statements reflects BOTH the CEO's and investor's stances on Corporate Social Responsibility (CSR) expressed at the meeting?

A.

The CEO is taking a long-term shareholder interest stance. The investor is taking a short-term shareholder interest stance.

B.

The CEO is taking a multiple stakeholder stance. The investor is taking a longer-term shareholder interest stance.

C.

The CEO is taking multiple stakeholder obligation stance. The investor is taking a multiple stakeholder obligation stance.

D.

The CEO is taking a shaper of society stance. The investor is taking a longer-term shareholder interest stance.

CIMA E3 Summary

  • Vendor: CIMA
  • Product: E3
  • Update on: Jul 29, 2025
  • Questions: 280
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