DECA Marketing Cluster Practice Exam

Which of the following terms describes a corporation's social welfare efforts?

1. Rebate

2. Lobbying

3. Corporate philanthropy

4. Publicity

The correct answer is: Corporate philanthropy

The term that accurately describes a corporation's social welfare efforts is corporate philanthropy. This concept refers to the act of businesses giving back to the community by donating money, resources, or time to various causes, including education, health, and social services. Corporate philanthropy highlights a company's commitment to contributing to the overall well-being of society and addressing social issues, which can help improve its public image and strengthen relationships with stakeholders. In contrast, a rebate pertains to the return of a portion of the purchase price to customers, primarily utilized as a sales incentive. Lobbying involves influencing government policy and decision-makers, which is quite different from social welfare efforts as it focuses on political advocacy. Publicity refers to gaining public visibility or awareness for a business or cause, which does not inherently involve the act of helping others or contributing to social welfare.