Question

Despite recent pressure from stockholders to increase profits, Global Oil., a global petroleum organization, has maintained a practice of consistently acting ethically by being a good global corporate citizen, taking host-country and global standards into consideration when making decisions, and obeying the laws of host countries as well as international law. Global Oil. provides an example of a company acting in a socially responsible way.

1. True
2. False.

Answer 1

1. True

Step-by-step explanation:

Acting socially responsible means deliberate actions by the management to protect and promote the interests of society. The concept of corporate social responsibility encourages enterprises to make decisions that do not maximize profits only but also benefit other members of society, such as consumers, employees, and the community.

The management of Global oil is acting in the best interest of consumers by not increasing prices to maximize profits. By following the laws of the country, the management is proving that there are not interested in not profits only, but they are responsible citizens.