Bachelor of General Studies (BGS) Degree Practice Exam

Which five types of power are recognized as stakeholders' power?

1. Voting, financial, social, ethical, and informational power.

2. Voting, economic, political, legal, and informational power.

3. Financial, operational, political, ethical, and legal power.

4. Operational, strategic, economic, financial, and social power.

The correct answer is: Voting, economic, political, legal, and informational power.

The identification of the five types of power as recognized stakeholders' power is rooted in the understanding of the various influences stakeholders can exert within an organization. The correct answer encompasses voting, economic, political, legal, and informational power, each contributing to how stakeholders can affect decision-making and operational outcomes. Voting power refers to the ability of stakeholders, such as shareholders in a corporation, to influence decisions through their votes on key issues, demonstrating their role in governance. Economic power reflects the financial resources stakeholders bring, which can dictate the level of support or opposition they can offer to the organization. Political power pertains to the ability of stakeholders to leverage connections or influence policymakers, impacting how an organization is regulated or supported by governmental entities. Legal power entails the capacity of stakeholders to engage in legal actions or leverage laws that can benefit or challenge the organization. Finally, informational power highlights the significance of controlling information and knowledge, which can grant stakeholders the ability to sway public perception and organizational outcomes. The other choices present combinations that do not align with the recognized frameworks for stakeholder power effectively. Therefore, the answer that includes voting, economic, political, legal, and informational power accurately captures the spectrum of influences stakeholders can assert.