Question

How can a corporation have rights and duties?

a.It could increase benefits
b.It could make profits in terms of money
c.It could suffer from anything
d.It could imply both positive and negative effects to the planet

Answer 1

Ans. Option 4 is correct. It could imply both positive and negative effects on the planets.

A corporation is considered as an artificial person. They have the right to enter into a contract, sell goods, and services, make certain decisions, and implement and amend any of their policy or strategy. Whereas their duties or responsibilities are toward their owners and the environment in which they operate.

These rights and duties can have positive or negative effects on the planet. Sometimes, they have to make decisions that can have damaging effects on the planet. Their owners are their first priority. Their benefits override those of society.

The strategy they make can also benefit the planet. For example,

• reducing the waste material in the packaging or production.
• Using the environment-friendly production methods.

Other options do not point out to the effect precisly.