Easy2 marksMultiple Choice
Business & TechnologyCSRSustainabilitySyllabus B

ACCA · Question 08 · Business & Technology

Section A

"Titanium Forge" is a heavy manufacturing firm. Despite operating in a country with very lax environmental laws, the board has invested heavily in zero-emission technology and publishes a comprehensive annual sustainability report.

Which approach to Corporate Social Responsibility (CSR) is Titanium Forge demonstrating?

Answer options:

A.

Reactive strategy

B.

Defense strategy

C.

Accommodation strategy

D.

Proactive strategy

How to approach this question

Evaluate the firm's actions against the legal requirements. Exceeding lax laws voluntarily indicates a proactive stance.

Full Answer

D.Proactive strategy✓ Correct
A proactive CSR strategy involves a company taking the initiative in social and environmental issues, going beyond what is legally required or expected by stakeholders.

Common mistakes

Choosing 'Accommodation' without realizing accommodation requires external pressure.

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