Which of the following statements is true about the sustainability theory of social responsibility?
a. It states that corporations should only focus on increasing shareholder wealth.
b. It exclusively focuses on the corporations' duty to protect the environment.
c. It states that focusing on the world's social and responsible problems will help corporations outperform their peers.
d. It states that corporations should think about social responsibility only after they establish themselves and achieve profitability.
ANSWER: c
The newest theory in social responsibility is called sustainability. This refers to the idea that socially responsible companies will outperform their peers by focusing on the world's social and environmental problems and viewing them as opportunities to build profits and help the world at the same time.
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