MIDTERM EXAMINATIONS

The Legal Environment of Philippines Business and Management

INSTRUCTIONS:

1. Choose five questions to answer for your midterm examinations. ( 10 points each)
2. Choose another two questions to answer for your class standing. (10 points each).
3. The first five answers which appear on your examination paper will be considered for your
midterm examinations while the last two answers which appear on your examination paper will
be considered for your class standing.
4. You may encode your answers. Please abide by the schedule on passing your examination
papers as we have agreed upon during our last meeting.

Questions:
1. Why should the State take interest in the regulation of the stock exchange market? Cite at least
five (5) implications of the regulation of the stock market to business and management.

2. It is often claimed that a corporation is an “impersonal entity”. Do you agree? Explain the legal
basis of your position.

3. Discuss the legal procedure of merger/consolidation as prescribed in the Corporation Code.

What are the implications of merger/consolidation to the operation of the
surviving/consolidated corporation?

4. What is social justice as enshrined in the 1987 Philippines Constitution. Cite at least five (5)
provisions of the Constitution that promote social justice. In what ways may corporate policies
and practices promote social justice? Cite at least five (5) specific policies or practices in your
workplace that promote social justice.

5. Explain the concept of intergenerational responsibility. May such concept find application in the
management of one’s business? Discuss.

6. Explain the Constitutional provision on the Filipino First Policy. As Filipino managers or
entrepreneurs, how do you intend to exploit the said provision for the benefit of your
organization?

7. Compare and contract Section 17 and Section 18, Article XII of the 1987 Philippine Constitution.
What are the implications of these provisions of the Constitution to business and management?

8. Section 3, Article XIII if the 1987 Philippines Constitution in a rare instance cites the rights of
capitalists. Are these rights contrary to the concept of social justice? Explain.
9. Given your working knowledge of what police power is, in what ways will the State regulate
business? Cite at least ten (10) specific situations in your workplace when police power is at
work.

10. Is there any benefit to the operation and management of a business organization when the said
organization pays its taxes? Explain.

11. As provided in the Corporation Code of the Philippines, cite at least four ( for each) by which the
following classes of individuals are protected:

a. Members of the Board of Directors;

b. Stockholders;
c. Creditors;
d. Public, in general.