Portfolio strategy is a corporate-level strategy that minimizes risk by diversifying investment among various businesses or
product lines. TRUE
Global joint ventures can be difficult to manage because they represent a merging of four cultures. TRUE
When conducting global business, companies should attempt to identify the two types of political risk, which are political
uncertainty and economic uncertainty. FALSE
The General Electric Workout is a special kind of activity-oriented change FALSE results-driven change
According to the S.M.A.R.T. guidelines, goals should be ____. Measurable
Companies need to excel at managing ____ in order to successfully manage innovation streams. SOURCES OF
INNOVATION
If successful, which strategy is often followed by a growth strategy? RETRENCHMENT
Which of the following is a trend that has allowed companies to skip the phase model when going global? QUICK,
RELIABLE AIR TRAVEL
____ is used to assess how well managers and their families are likely to adjust to foreign cultures. ADAPTABILITY
SCREENING
Which of the following is the most specific type of standing plan? RULES AND REGULATIONS
Companies often choose a ____ strategy when their external environment doesn't change much or after they have
struggled with periods of explosive growth. STATBILITY
As direct competitors, UPS and FedEx would have ____. high degree of market commonality
Which of the following approaches is aimed at changing large systems, small groups, or individuals? organizational
development
Direct foreign investment is an increasingly important and common method of conducting global business. TRUE
The ____ approach to innovation assumes that innovation is occurring within a highly uncertain environment and that the
key to fast product innovation is to use intuition, flexible options, and hands-on experience to reduce uncertainty and
accelerate learning and understanding. EXPERIMENTAL
Developing a purpose statement is the sole responsibility of middle management. FALSE
Global business is defined as____. the buying and selling of goods and services to people from different countries
____ is responsible for developing strategic plans that make clear how the company will serve customers and position itself
against competitors in the next two to five years. Top management
A(n) ____ is a resource that is impossible or extremely costly or difficult for other firms to duplicate. imperfectly imitable
Refer to Krispy Kreme. The company’s goal to open six new Krispy Kreme stores in the next six months in British
Columbia where it already has a well-established reputation would be an example of a(n) ____ goal. PROXIMAL
Standing plans deal with unique, one-time-only events. False
According to strategic reference point theory, managers have two basic strategic alternatives. They are ____. riskavoiding strategy and risk-seeking strategy
Refer to Yuengling. In the first stage of the planning process for Yuengling, it should have ____. identified its problem as
the fact that demand for its beer exceeds its ability to supply it
The use of milestones in the experiential approach to innovation ____. shortens the innovation process
When the bargaining power of suppliers and buyers is high, companies in the industry will ____. find it more difficult to
be profitable
An analysis of an organization's external environment begins with an assessment of the company's distinctive competencies
and core capabilities. FALSE
In terms of Hofstede’s cultural differences, the people who are described as happy-go-lucky and are people who are
comfortable with an unstructured life and deal well with sudden changes. In terms of Hofstede’s cultural differences, these
people have a ____. low degree of uncertainty avoidance
____ is the knowledge, tools, and techniques used to transform inputs into outputs. TECHNOLOGY
If retrenchment works, it is typically followed by a stability strategy. False Recovery
The three parts of the experiential approach to innovation are design iterations, testing, and milestones. FALSE (5)
Groupthink occurs in ____ highly cohesive groups where there is a great deal of pressure to agree with each other
According to the text, valuable, rare, imperfectly imitable resources can produce sustainable competitive advantage only if
they are ____ resources. substitutable
Russia imposed limits on how much poultry, beef, and pork could be imported into the nation from the European Union (EU)
in retaliation to limits the EU placed on how much grain Russia could export. What type of nontariff barrier did Russia use to
control the amount of poultry, beef, and port it imported from the EU? QUOTAS
____ plans direct the behavior, efforts, and priorities of operative employees for periods ranging from one to six months.
Operational plans
In any organization, the ____ are the less visible, internal decision-making routines, problem-solving processes, and
organizational cultures that determine how efficiently inputs can be turned into outputs. Core Capabilities
When The Home Depot opened stores in Canada, it ran a series of ads featuring an animated hammer that showed that the
U.S.-based home improvement store had the lowest prices. According to Michael Porter, which of the following positioning
strategies did The Home Depot adopt to deal with existing Canadian stores that sold similar products? Cost Leadership
Which of the following statements describes an advantage of the results-driven change approach to managing change? ALL
-managers introduce changes in policies, procedures, rules, and regulations only when they will improve measured
performance
-it supplants the sole emphasis on activity with a focus on quickly measuring and improving results
-managers actually test to see if changes make a difference
-quick, visible improvements motivate employees to continue to make additional changes
Encouraging worker participation in goal setting, making goals public, and getting top management's support are all
recommended ways to increase goal commitment in a company. TRUE
The positioning strategy that is always paired with one of the other two positioning strategies to produce a specialized product
or service is ____. Focus
Specialized Bicycle Components, Inc. introduced the first major production mountain bike in 1980. Two-thirds of its profits
come from the sale of mountain bikes. It is recognized worldwide for its ability to design and produce superior mountain
bikes. This ability is its ____. DISTINCTIVE COMPETENCE
There are three kinds of ____ plans. They are single-use plans, standing plans, and budgets. OPERATIONAL
Cost leadership, differentiation, and focus are the three types of ____ strategies discussed in the text. POSITIONING
Tactical plans specify how a company will use its resources, budgets, and people to accomplish specific goals within its
mission. True
The evidence clearly shows that ____ is the most important factor in determining the success or failure of an international
assignment. how well an expatriate's spouse and family adjust to the foreign culture
From a competitive standpoint, ____ means that the strategic actions your company takes can probably be matched by your
direct competitors. Resource similarity
When companies are performing above or better than their strategic reference points, top management is more likely to choose
a daring, risk-taking strategy. FALSE
____ is a systematic process of defining problems, evaluating alternatives, and choosing optimal solutions. Rational decision
making
The Japanese government has proclaimed that its snow is different from that found in any other region of the world. As a
result, all snow skis marketed in Japan must be manufactured in Japan. This is an example of a(n) ____. nontariff barrier
An organization's purpose must regularly change to adapt to changes in the environment over time. FALSE
The purchase of new technologies to replace older ones is an example of ___. TECHNOLOGICAL SUBSTITUTION
Which of the following types of departmentalization does NOT have a problem with the duplication of resources? Functional
Because of problems associated with conflicts over schedules, budgets, and available resources (including employees), ____
departmentalization often evolves from a simple form to a more complex form. MATRIX
Refer to Standard Motor Products. At Standard Motor Products’ Edwardsville plant, team members lead the teams and
leadership rotates among the different team members. Each member on a team, not the management, takes turns scheduling
their team’s daily work, deciding what gets done, who does what, and ultimately taking responsibility for quality and timely
production of automotive parts. This demonstrates the use of ____. bureaucratic immunity
____ do NOT have the authority to make decisions. Employee involvement teams
____ is the process of solving problems by consistently applying the same rules, procedures, and processes.
Standardization
The Big Five dimensions of personality are autonomy, Machiavellianism, empathy, locus of control, and affectivity. FALSE
____ involves assigning direct authority and responsibility to a subordinate to complete tasks for which the manager is
normally responsible. Delegation of authority
____ is the collection of activities that transform inputs into outputs that customer’s value. Organizational Structure
Many orthopedic parts are almost identical in size and shape. Stryker Howmedica Osteonics in New Jersey used a semiautonomous work group to develop Product Recognition Technology that makes sure parts are identified correctly and orders
are filled correctly. What happened when the team reached the storming stage of team development? Team members began to
work together, and different personalities and work styles clashed.
The term task description refers to the number, kind, and variety of tasks that individual workers perform in doing their jobs.
TRUE
Which of the following is an example of a diversity principle that will help managers do a better job of managing company
diversity programs? ALL
Carefully and faithfully follow and enforce federal and state laws regarding equal opportunity employment
2. Treat group differences as important but not special
3. Find common ground
4. Tailor opportunities to individuals, not groups
5. Solicit negative as well as positive feedback
6. Set high but realistic goals
7. Maintain high standards
Job analyses, job descriptions, and job specifications help companies meet the legal requirement that their human resource
decisions be job-related. TRUE
An organization that rewards its team members through gainsharing is ____. sharing the financial value of performance
gains
Darlene Jespersen worked in a sports bar. She was an outstanding employee, but she didn't wear makeup because she felt it
"took away her credibility" and interfered with her ability to be an effective bartender, which sometimes required her to deal
with unruly, intoxicated guests. This changed when the sports bar implemented a "beverage department image transformation"
program. Female employees were told they would be fired if they did not wear makeup. Jespersen contended that it was an
example of ____ because male employees did not have to wear makeup. DISPARATE TREATMENT
Which of the following positions most likely performs a staff function? a member of the office cleaning crew
____ interviewing typically leads to much more accurate hiring decisions (i.e., correctly predicting which job applicants will
perform better, and therefore should be hired). STRUCTURED
An organization that has increased the number of different tasks that a worker performs within one particular job has engaged
in ____. JOB ENLARGEMENT
Like most large U.S. hospitals, University Health Care System spends an enormous amount on patient supplies. The hospital
has more than 15,000 individual products that are purchased on a routine basis. Its purchasing manager instituted a hospitalwide purchasing policy that gave a specific code to each individual item. In other words, the purchasing manager engaged in
____. STANDARDIZATION
In the stages of team development, a team moves from growth to decline during the ____ stage. Norming
Disadvantages of ____ departmentalization include slower decision making, the development of managers and workers with
narrow experience and expertise, and makes it more difficult for cross-departmental coordination. Functional
____ is the process of gathering information about job applicants to decide who should be offered. Empathy
In the nursing home industry, pairing two younger workers with an older worker creates more job opportunities for the older
workers. Furthermore, this pairing could be a significant advantage in nursing homes where an older worker may have more
sensitivity to aging problems. This would be an example of a type of mentoring called ____. DIVERSITY PAIRING
Job specialization can result in ____. EMPLOYEE BOREDOM
Which of the Big Five personality measures has the greatest impact on behavior in organizations? Conscientiousness
Refer to Trends in Hiring Practices. Central Market uses its application form to ____. determine how well future employees
are performing
The first selection device most job applicants encounter when they seek a job are ____. application forms and résumés
The hostile work environment form of sexual harassment occurs when employment outcomes such as hiring, promotion, or
simply keeping one's job depend on whether an individual submits to being sexually harassed. FALSE
Group cohesion tends to be relatively strong at the ____ stage of team development. NORMING
Background checks can be used to verify the truthfulness and accuracy of information that applicants provide about
themselves. TRUE
Which of the following is an example of an objective performance measure? input/output measures
A virtual organization is an organization that outsources noncore business activities to outside companies, suppliers,
specialists, or consultants. FALSE MODULAR
A key difference between affirmative action and diversity is that ____. affirmative action is legally mandated in all private
companies. diversity has a broader focus
E-Lab (the "E" stands for experience) has project teams perform field research for its clients. One team had to spend time
riding in the back seat of a squad car, accompanying cops on drug raids, as part of research for a new communications device
for police departments. Another team studied how people get sick with a cold to create a new over-the-counter cold remedy.
Often clients give team members extremely ambitious goals which the team members initially have no idea how to solve. In
other words, project teams are given ____. stretch goals
Which of the following types of tests accurately predicts job performance in almost all kinds of jobs? cognitive ability tests
As a class project, Senora is working with other classmates to create a company that would market NASCAR memorabilia.
Senora’s teacher has instructed her to use the traditional approach to create the organization’s structure. What should Senora
do? create an organizational structure with vertical and horizontal configurations
Which of the following is a method used for compensating employees for team participation and accomplishments?
Gainsharing
The primary benefit of the ____ paradigm is that it generally brings about fairer treatment of employees and increases
demographic diversity. discrimination and fairness paradigm
Which of the following statements about mechanistic organizations is true? Mechanistic organizations work best in stable,
unchanging business environments.
Self-designing teams have all the characteristics of self-managing teams, but they can also control and change the design of
the teams themselves, the tasks they do and how they do them, and who belongs to the teams. TRUE
The learning and effectiveness paradigm for managing diversity focuses on the acceptance and celebration of differences; so
that the diversity within the company matches the diversity found among primary stakeholders such as customers, suppliers,
and local communities. FALSE
Which of the following is the only type of responsibility given to traditional work groups? execute the task
____ within P&G's management has led the company to realize that Hispanic consumers "are more likely to support a
company or brand that is active in their community." DIVERSITY
Specialized jobs are characterized by simple, easy-to-learn steps; low variety; and high repetition. TRUE
In spite of their disadvantages, companies continue to create and use specialized jobs because they are very economical.
TRUE
“References Etc” will pose as a prospective employer, call a prior employer on an employee's behalf, and find out what the
former employer is saying. If the prior employer provides unsubstantiated negative information, then the job applicant ____.
can sue for defamation.
Piecework, sales commission, profit sharing, employee stock ownership plans, and stock options are common pay-variability
options. TRUE
In matrix departmentalization, as in other forms of departmentalization, most employees report to a single boss. FALSE
Which of the following statements about job validation tests is true? Validation refers to the process of determining how well
a selection test or procedure predicts future job performance.
UPS was founded UPS in 1907 as a message delivery business. The development of the telephone would have put an end to
the business if UPS’s founder had not been a ____ type of leader. One who was able to get his employees to accomplish more
than they had thought possible and re-invent the company as a company that delivered goods for retailers. Transformational
____ are the rewards associated with performing a task or activity for its own sake. Intrinsic rewards
While transformational leaders use visionary and inspirational appeals to influence followers, transactional leadership is based
on an exchange process. True
Frequent, informal meetings between top managers and lower-level employees are one of the best ways for top managers to
hear what others feel and think. ITRUE
Bill Belichick is the coach of the New England Patriots football team. As a successful coach, he has to schedule structured
practices, emphasize careful planning, and assign tasks. He also has to show the players that he genuinely cares about them as
people. According to the Blake and Mouton grid, Belichick’s leadership style would be characterized as ____.team
management
____ is based on an exchange process, in which followers are rewarded for good performance and punished for poor
performance. Transactional leadership
Which of the following is the best leadership style for all situations? NONE
Which of the following is an example of an intrinsic reward? SENSE OF ACHIEVEMENT
Directive leadership is a leadership style in which leaders set challenging goals, have high expectations of employees, and
display confidence that employees will assume responsibility and put forth extraordinary effort. FALSE ACHIEVEMENT
ORIENTED
Goal specificity is the extent to which a goal is hard or challenging to accomplish. FALSE
Refer to Wegmans. Wegmans’ scholarship bonuses for part-time workers indicate the company is using ____. an
expectancy contingency
In the perceptual process, apprehension is the process of remembering interpreted information. FALSE
Which of the following statements about listening is true? ALL
According to Don Vlcek, a former Domino's Pizza vice president, "To achieve results, you've got to properly define the
goal—and that's not always easy. Vague goals are worthless. But 'increase productivity by 12 percent within three weeks'—
that is a clear, useful goal.” Vlcek is discussing ____. goal specificity
Perceptual filters may occur as the result of ____. personality-based differences
Which of the following is one of the mistakes that managers tend to make when they are coaching employees? They wait too
long before talking to them about the problem.
Which of the following is an example of a rule used within normative decision theory to increase decision quality? the goal
congruence rule
Noise can occur when ____. ANY the sender isn’t sure of what message to communicate/the receiver doesn’t have the time to
understand the message/the message is not decoded properly/the message is not encoded properly/ any of these occur
Refer to Oakland Athletics. One of the reasons for Beane’s success is his ability to let employees know precisely what is
expected of them, give specific guidelines for playing baseball (e.g., All pitchers are instructed to throw strikes on the first
pitch and to throw as few pitches as possible during each inning.), and make sure players follow these standards of
performance. Beane is a(n) ____ leader. DIRECTIVE
Which of the following statements about hearing and listening are true? Hearing is the act of perceiving sounds, while
listening is the act of making a conscious effort to hear.
Mike plays all kinds of competitive sports, and was excited to read that his company was sponsoring a softball team. Nonathletic Kenneth typically walks by the same bulletin board at least three times every day and has yet to see the softball notice.
The fact that one saw the notice and the other did not is due to ____. SELECTIVE PERCEPTION
____ is the tendency to fill in gaps of missing information by assuming that what we don't know is consistent with what we
already know. CLOSURE
Leaders who possess the trait of ____ are more decisive and assertive and more likely to gain others' confidence. SELFCONFIDENCE
Linda Stein is the manager of an ad agency. Recently her employees have shown an unwillingness to work as a team. Linda
has decided to use reinforcement to encourage more team cohesiveness. What advice can you give her on how to motivate
with reinforcement theory? Don’t reinforce the wrong behaviors.
While consideration primarily affects subordinates’ job performance, initiating structure primarily affects subordinates’ job
satisfaction. False
One recommendation for managers wishing to improve their formal communication is to decrease reliance on downward
communication. FALSE
In the perceptual process, ____ is the process of attaching meaning to new knowledge. INTERPRETATION
Managers can motivate employees to increase their efforts by ____. asking employees what their needs are then matching
rewards to those needs
Strategic leadership is defined as the ability to think strategically and create a strategic plan for an organization. FALSE
According to the text, ____ is the set of forces that initiates, directs, and makes people persist in their efforts to accomplish a
goal. Motivation
W. L. Gore is the company that created Gore-Tex among many other innovative products. W.L.Gore employees (known as
associates) don’t have titles or bosses in the traditional sense. Instead, associates make commitments to work on projects that
they believe are most worthy of their time. At W.L. Gore, few leaders are appointed; leaders simply emerge as needed by the
other employees or the project itself. The Gore company more than likely adheres to the ____ theory of leadership.
Contingency
Refer to JetBlue. What step of the communication process is involved when the CEO writes down customers' comments on
cocktail napkins? Feedback
Refer to Pay TV. According to ____, employees at most call centers would likely believe they are being treated unfairly
compared to DirecTV employees. Equity theory
According to the expectancy theory, ____ affect the conscious choices that people make about their motivation. valence,
expectancy, and instrumentality
Refer to Hewlett-Packard. According to the contingency theory, when Mark Hurd decided to lay off 14,500 employees, he
was showing high ____. Position power
Fiedler's contingency theory is based on the assumption that leaders are capable of adapting and adjusting their leadership
styles to fit the demands of different situations. False
Hot Topic is a fast-growing clothing chain targeted to the alternative teen demographic. Hot Topic’s CEO Betsy McLaughlin
relies on her employees to locate new trends. McLaughlin almost daily consults with her employees for suggestions on what
the stores should carry. She relies on their input before making inventory decisions. McLaughlin uses the ____ style of
management. Participative
Refer to Pay TV. Apparently, rewards such as empowerment and free satellite television have a ____ for people who are the
customer service reps for DirecTV. High valence
Refer to JetBlue. What step of the communication process is involved when managers turn the CEO’s notes written on the
cocktail napkins into to-do lists? Decoding
The two kinds of one-on-one communication are mentoring and vestibule training. FALSE couching and counseling
Currently the U.S. Olympic Committee (USOC) pays Olympic athletes $25,000 for each gold medal, $15,000 for a silver
medal, and $10,000 for a bronze medal. The USOC pays disabled athletes only 10 percent of what the Olympic athletes are
paid. Paralympic athletes are angry at being treated unfairly. What kind of inequity are the Paralympic athletes experiencing?
Underreward
The steps in the perceptual process in order are ____. attention, organization, interpretation, retention
Recently, a newly appointed CEO of a major corporation began by firing the entire management committee. A few months
later, this same executive, fired two of his hand-picked senior executives. From this information, it is obvious that this
executive was more concerned about his employees’ ____ than their job satisfaction. In terms of Fiedler's contingency theory,
this executive was most concerned with establishing ____. Power position
Perception is the process by which individuals attend to, organize, interpret, and retain information from their environments.
True
Research at three universities has confirmed that two basic leader behaviors, ____ and ____, are central to successful
leadership. Initiating structure, consideration
Which of the following statements about informal communication in organizations is true? None
According to equity theory, when employees perceive ____, they tend to experience anger or frustration. Underreward
____ is feedback that is disapproving without any intention of being helpful and almost always causes a negative or defensive
reaction in the recipient. Destructive feedback
Extrinsic rewards are ____. exemplified by bonuses, trophies, and plaques
When one of Canada's largest financial service providers wanted to develop a customer-focused sales and service culture, an
executive team developed the plan through the use of ____ communication. Horizontal
Question 1
Managers who train and supervise the performance of nonmanagerial employees, and who are directly responsible for
producing the company's products or services, are categorized as:
First-line managers
Question 2
Managers are responsible for doing the basic work in the company.
Correct False
Question 3
Which type of skills tends to be most important to the success of lower-level managers?
Technical skills
Question 4
Upper-level managers may actually spend more time dealing with people than lower-level managers.
Correct True
Question 5
The sales manager is in charge of monitoring the expense accounts of her sales force. In this decisional role, she acts as
a(n):
Resource allocator
Question 6
Typical responsibilities for __________ include setting objectives consistent with organizational goals and then planning
and implementing the subunit strategies for achieving these goals.
Middle managers
Question 7
A manager engaged in the management function of __________ is monitoring progress toward goal achievement and
taking corrective action when needed.
Selected Answer:
Controlling
Question 8
Which skills increase in their importance to success as managers rise through the managerial ranks?
Conceptual skills and the motivation to manage
Question 9
Top managers are responsible for creating a context for change in the organization.
Correct True
Question 10
A manager striving to improve organizational __________ is accomplishing tasks that help fulfill organizational objectives.
Effectiveness
Question 1
A Gantt chart can be used to track informal communication paths.
Correct False
Question 2
Frederick Taylor is famous for:
creating the principles of scientific management
Question 3
Frederick Taylor was the father of systems management.
Correct False
Question 4
Management ideas and practices have actually been used from the earliest times of recorded history.
Correct True
Question 5
Which of the following statements about the origins of management is true?
Management as a field of study is only about 125 years old.
Question 6
At about the same time as management theorists were developing scientific management principles in the United States,
Max Weber was in Europe developing:
bureaucratic management
Question 7
In a departure from mainstream management thinking, Mary Parker Follett believed:
conflict could be beneficial
Question 8
Human relations management focused on managers’ roles and authority.
Correct False
Question 9
According to Henri Fayol’s 14 principles of management, _____ requires that each employee should report to and receive
orders from just one boss.
unity of command
Question 10
Frank and Lillian Gilbreth are important to management because they:
used motion studies to eliminate unnecessary or repetitive motions from the work process
Question 1
In terms of environmental complexity, __________ environments have few environmental factors, whereas __________
environments have many environmental factors.
simple; complex
Question 2
External environments are the forces and events outside a company that have the potential to influence or affect it.
Correct True
Question 3
Which of the following is a characteristic of successful organizational cultures?
all of these
Question 4
The first step managers use to make sense of their changing environments is:
environmental scanning
Question 5
__________ is used to refer to a company's practice of identifying and addressing customer trends and problems after
they occur.
Reactive customer monitoring
Question 6
Which of the following is a component of Volkswagen’s specific environment and will directly influence how it does
business?
Renault, a French car make
Question 7
__________ is/are a primary source of organizational culture.
The company's founder
Question 8
The __________ is the set of key values, beliefs, and attitudes shared by organizational members.
organizational culture
Question 9
Managers can use behavioral addition and behavioral substitution to:
modify corporate culture
Question 10
__________ involves deciding who your competitors are, anticipating competitors' moves, and determining competitors'
strengths and weaknesses.
A competitive analysis
Question 1
Kohlberg's three phases of moral development in order are law and order, instrumental exchange, and universal principle.
Correct False
Question 2
Which of the following principles of ethical decision making would support the practice of "looking after number one"?
the principle of long-term self-interest
Question 3
10 out of 10 points
Ethics is the set of moral principles or values that defines right and wrong for a person or group.
Correct True
Question 4
__________ is unethical behavior that violates organizational norms about right and wrong.
Workplace deviance
Question 5
Secondary stakeholders are important to a company because:
Selected Answer:
they can affect public perceptions and opinions
Question 6
The __________ determined that companies can be prosecuted and punished for the illegal or unethical actions of
employees, even if management didn't know about the unethical behavior.
U.S. Sentencing Commission Guidelines
Question 7
According to Milton Friedman, which of the following is a position opposing the stakeholder model of corporate social
responsibility?
The time, money, and attention diverted to social causes undermine market efficiency.
Question 8
What is the term used to describe the degree of concern people have about an ethical issue?
Ethical intensity
Question 9
Historically, __________ responsibility means making a profit by producing a product valued by society. It has been
business’s most basic social responsibility.
economic
Question 10
What is social responsibility?
a business's obligation to pursue policies, make decisions, and take actions that benefit society
Question 1
To make completely rational decisions, managers would have to operate in a perfect world with no:
constraints
Question 2
The first step in rational decision making is to:
define the problem
Question 3
The __________ approach to decision making is a method in which an individual or a subgroup is assigned the role of a
critic.
devil's advocacy
Question 4
Tactical plans specify how a company will use resources, budgets, and people to accomplish specific goals within its
mission.
Correct True
Question 5
Management by objectives (MBO) is a management technique often used to develop and carry out:
tactical plans
Question 6
S.M.A.R.T. goals are Specific, Meaningful, Active, Reachable, and Timely.
Correct False
Question 7
Managers can monitor __________ to track progress toward goal achievement.
proximal and distal goals
Question 8
One method of weighting decision criteria uses ______, which is a process where each decision criterion is compared
directly to every other criterion.
relative comparisons
Question 9
__________ can help organizations to maintain flexibility as they plan.
Options-based planning
Question 10
Top management is responsible for developing long-term __________ that make clear how the company will serve
customers and position itself against competitors in the next two to five years.
strategic plans
Question 1
The first step in the strategy-making process is to:
assess the need for strategic change
Question 2
In a situational analysis, a strategic group is a group of __________ that top managers choose for comparing, evaluating,
and benchmarking their company's strategic threats and opportunities.
other firms within an industry
Question 3
Significant cost reductions, layoffs of employees, closing of poorly performing stores, offices, or manufacturing plants, or
closing or selling entire lines of products or services would be characteristic of a __________ strategy.
retrenchment
Question 4
In any organization, the __________ are the less visible, internal decision-making routines, problem-solving processes,
and organization cultures that determine how efficiently inputs can be turned into outputs.
core capabilities
Question 5
The research on diversification in portfolio management indicates that the best approach is probably:
unrelated diversification
Question 6
An organization implementing a(n) ____________________ strategy would NOT follow a consistent strategy.
reactor
Question 7
The __________ is a portfolio strategy that managers use to categorize their corporation's businesses by growth rate and
relative market share. This strategy guides them on how to decide how to invest corporate funds.
BCG matrix
Question 8
According to Michael Porter, five industry forces determine an industry's overall attractiveness and potential for longterm profitability. Which of the following is one of those forces Porter identified?
bargaining power of suppliers
Question 9
Resource similarity and __________ are factors that determine the extent to which firms will be in direct competition
with each other.
market commonality
Question 10
Which of the following is a mechanism used to examine external threats and opportunities facing a firm as well as its
internal strengths and weaknesses?
a situational analysis
Question 1
The same techniques for managing innovation work equally as well after technological discontinuities as during periods of
incremental change.
Correct False
Question 2
The General Electric workout is a special kind of:
results-driven change
Question 3
Which of the following approaches is aimed at changing large systems, small groups, or individuals?
organizational development
Question 4
The first stage of organizational decline is:
blinded
Question 5
Resistance to change results from organizational factors, such as the absence of promotion guidelines, bonuses, and
praise.
Correct False
Question 6
Which of the following is NOT one of the components of creative work environments?
group compensation
Question 7
Patterns of innovation over time that can create sustainable competitive advantage are called:
innovation streams
innovation streams
Question 8
According to John Kotter's analysis of the errors managers make when leading change, the first and potentially most
serious of these errors is:
not establishing a great enough sense of urgency
Question 9
The __________ approach to managing innovation assumes that innovation is a predictable process made up of a series
of steps and that compressing the time it takes to complete those steps can speed up innovation.
compression
Question 10
Which of the following is one of the three steps in the basic process of managing organizational change outlined by Kurt
Lewin?
unfreezing
Question 1
Which of the following represents the correct sequence for the phase model of globalization?
exporting; cooperative contracts; strategic alliances; wholly owned affiliates
Question 2
A country or region that has an attractive business climate for companies that want to go global has:
an effective and cost-efficient place to build an office or manufacturing site
Question 3
The two general kinds of trade barriers are:
tariff barriers and nontariff barriers
Question 4
One of the major questions that a company must typically answer once it has decided to go global is:
To what extent should the company standardize or adapt business procedures?
Question 5
Hofstede's research has shown there are:
five consistent dimensions of cultural differences across countries
Question 6
An expatriate is someone who:
lives and works outside of his or her own country
Question 7
What are the strategies that can be used to minimize or adapt to the political risk inherent to global business?
control, avoidance, and cooperative strategies
Question 8
Two factors help determine the growth potential of foreign markets. They are foreign competition and:
purchasing power
Question 9
The General Agreement on Tariffs and Trade (GATT):
eliminated tariffs in ten specific industries
Question 10
Global business:
Selected Answer:
Incorrectb.
only involves companies with more than 50 employees
is the buying and selling of goods and services to people from different countries
Question 1
Managing global joint ventures can be difficult because they:
represent a merging of four cultures
Question 2
Hofstede's research has shown there are:
five consistent dimensions of cultural differences across countries
Question 3
The General Agreement on Tariffs and Trade (GATT):
eliminated tariffs in ten specific industries
Question 4
Global business:
is the buying and selling of goods and services to people from different countries
Question 5
Two factors help determine the growth potential of foreign markets. They are foreign competition and:
purchasing power
Question 6
One of the major questions that a company must typically answer once it has decided to go global is:
To what extent should the company standardize or adapt business procedures?
Question 7
The two general kinds of trade barriers are:
tariff barriers and nontariff barriers
Question 8
A country or region that has an attractive business climate for companies that want to go global has:
an effective and cost-efficient place to build an office or manufacturing site
Question 9
The evidence clearly shows that __________ is the most important factor in determining the success or failure of an
international assignment.
how well an expatriate's spouse and family adjust to the foreign culture
Question 10
Which of the following represents the correct sequence for the phase model of globalization?
exporting; cooperative contracts; strategic alliances; wholly owned affiliates
Question 1
The core philosophy upon which the job characteristic model is based is:
internal motivation
Question 2
__________ is a fundamental rethinking and radical redesign of business processes to achieve dramatic improvements
in critical measures of performance, such as cost, quality, service, and speed.
Reengineering
Question 3
A(n) __________ organization is an organization that is characterized by specialized jobs and responsibilities,
precisely defined, unchanging roles, and a rigid chain of command based on centralized authority and vertical
communication.
mechanistic
Question 4
The two disadvantages associated with product departmentalization are costly duplication and difficulties with
cross-departmental coordination.
Correct True
Question 5
Except for the core business activities that they can perform better, faster, and cheaper than others, __________
outsource all remaining business activities to outside companies, suppliers, specialists, or consultants.
modular organizations
Question 6
One of the key assumptions underlying the chain of command is __________, which means that workers should
report to just one supervisor.
unity of command
Question 7
Organizational authority is traditionally characterized by:
chain of command
Question 8
Job enlargement and job enrichment mean essentially the same thing.
Correct False
Question 9
The central concern of the job characteristics model (JCM) is:
internal motivation
Question 10
A(n) __________ organization is an organization that is characterized by specialized jobs and responsibilities,
precisely defined, unchanging roles, and a rigid chain of command based on centralized authority and vertical
communication.
mechanistic
Question 1
Background checks can be used to verify the truthfulness and accuracy of information that applicants provide about
themselves.
True
Question 2
Functional turnover is the loss of high-performing employees who choose to leave the organization.
False
Question 3
Which of the following is an internal recruiting method?
c.
job posting
Question 4
Human resource management (HRM) is the process of finding, developing, and keeping the right people to form a
qualified work force.
True
Question 5
A __________ is a performance appraisal process in which feedback is obtained from the boss, subordinates, peers and
co-workers, and the employees themselves.
c.
360-degree feedback
Question 6
The __________ interview uses only standardized, job-related interview questions that are prepared ahead of time and
asked of all candidates
b.
structured
Question 7
A __________ is a purposeful, systematic process for collecting information on the important work-related aspects of a
job.
d.
job analysis
Question 8
To which of the following aspects of the human resource management process does federal employment law
apply?
e.
all of these
Question 9
__________ is the loss of high-performing employees who voluntarily choose to leave a company.
b.
Dysfunctional turnover
Question 10
An ESOP is an:
a.
employee stock ownership plan
Question 1
Conscientiousness is:
a.
the degree to which someone is organized, hardworking, responsible, and achievement oriented
Question 2
Which of the following is NOT one of the Big Five personality dimensions?
c.
empathy
Question 3
Which of the following statements explains why diversity actually makes good business sense?
a.
Diversity helps companies attract and recruit talented employees.
Question 4
__________ consists of differences communicated through verbal and nonverbal behaviors, such as personality
and attitudes that are learned only through extended interaction with others.
c.
Deep-level diversity
Question 5
Research has shown that performance capabilities decline with age.
False
Question 6
Affirmative action is required by law for all private employers, and diversity is voluntary.
False
Question 7
Organizational plurality is consistent with:
c.
the learning and effectiveness paradigm
Question 8
Which of the following is a paradigm for managing diversity?
e.
the learning and effectiveness paradigm
Question 9
The Big Five dimensions of personality are autonomy, Machiavellianism, empathy, locus of control, and
affectivity.
False
Question 10
The _________ paradigm focuses on the acceptance and celebration of differences to ensure that the diversity
within the company matches the diversity found among primary stakeholders.
e.
Access and legitimacy
Question 1
Which of the following is a basic component of equity theory?
Correctc.
referents
Question 2
In general, extrinsic rewards are more important to workers than intrinsic rewards.
Correct False
Question 3
The primary ways for creating reinforcement contingencies in organizations are:
extrinsic rewards and the schedules of reinforcement
Question 4
Goal acceptance is most similar to the idea of:
goal commitment
Question 5
To use expectancy theory to motivate employees, managers can
systematically gather information to find out what employees want from their jobs
Question 6
According to the expectancy theory, __________ affect the conscious choices that people make about their motivation.
valence, expectancy, and instrumentality
Question 7
__________ strengthen behavior (i.e., increase its frequency).
Positive and negative reinforcement
Question 8
Distributive justice refers to the perceived fairness of the process used to make reward allocation decisions.
Correct False
Question 9
In a(n) __________ reinforcement schedule, a consequence follows every instance of a behavior.
continuous
Question 10
Which of the following statements about goal-setting theory is true?
Goals can energize behavior.
Question 1
Which of the following approaches to implementing Fiedler's contingency theory in the workplace has proven effective?
accurately measuring and matching leaders to situations
Question 2
According to the normative decision theory, using the right degree of employee participation improves the quality of
decisions and the extent to which employees accept and are committed to decisions.
Correct True
Question 3
Research at three universities has confirmed that two basic leader behaviors, ______ and ______, are central to
successful leadership.
initiating structure; consideration
Question 4
Relatively stable characteristics such as abilities, psychological motives, or consistent patterns of behavior, form the basis
for the __________ of leadership.
trait theory
Question 5
Fiedlers contingency theory assumes:
leaders are effective when their work groups perform well
Question 6
Which of the following is NOT one of the four leadership styles identified in the path-goal theory of leadership?
charismatic
Question 7
The Vroom-Yetton-Jago Model is another name for the:
normative decision theory
normative decision theory
Question 8
Transactional leaders:
reward followers for good behavior and punish followers for poor behavior
Question 9
Which of the following is the best leadership style for all situations?
none of these
Question 10
One of the differences between managers and leaders is that managers focus on visions, missions, goals, and objectives,
and leaders focus solely on productivity and efficiency.
Correct False
Question 1
In the __________ type of grapevine communication network, one "highly connected" individual shares information with
many other managers and workers.
gossip chain
Question 2
Managers with better listening skills are rated as better managers by their employees and are much more likely to be
promoted.
Correct True
Question 3
One of the best ways for top managers to hear what others feel and think is through:
frequent informal meetings
Question 4
The first thing that managers need to recognize when communicating feedback one-on-one to employees is that feedback
can be:
constructive or destructive
Question 5
__________ is a kind of one-on-one communication used by managers to improve an employee's on-the-job performance
or behavior.
Coaching
Question 6
The steps in the basic perception process include all of the following EXCEPT:
analysis
Question 7
__________ is the tendency to overestimate our value by attributing successes to ourselves (internal causes) and
attributing failures to others or the environment (external causes).
A self-serving bias
Question 8
The __________ is the system of official channels that carry organizationally approved messages and information.
formal communication channel
Question 9
The three formal communication channels in organizations are categorized as:
downward, horizontal, and upward
Question 10
__________ is the withholding of information about organizational problems or issues by employees.
Organizational silence
Question 1
__________ is the extent to which it is possible to implement each step in the control process.
Cybernetic feasibility
Question 2
__________ is a control method that encourages managers to look beyond traditional measures to evaluate four different
perspectives on company performance.
Balanced scorecard
Question 3
The two types of objective controls managers use are:
behavior and output
Question 4
Control is a(n) __________ process.
continuous, dynamic, and cybernetic
Question 5
Economic value added (EVA) is so important to workers and managers because it:
shows whether a business or subset of a business is really making a profit
Question 6
Normative controls should be used when:
organizational culture, values, and beliefs are strong
Question 7
In the traditional control systems used at most companies, __________ measures are used to assess performance and
influence behavior.
objective control
Question 8
In terms of the basic methods of control, __________ control is an improvement over __________ control because it
attempts to eliminate or shorten the delay between performance and feedback about the performance.
concurrent; feedback
Question 9
The basic control process begins with:
the establishment of clear standards of performance
Question 10
According to the text, which of the following levels of waste minimization produces the greatest minimization of waste?
waste prevention and reduction
Question 1
__________ is the direct electronic transmission of purchase and ordering information from one company's computer
system to another company's computer system.
Electronic data interchange
Question 2
Which of the following statements about knowledge is true?
Knowledge is the understanding that one gains from information.
Question 3
In the process of capturing information, ASCII text is generated by:
optical character recognition software
Question 4
Raw data contain useful information that communicate a clear and readily understandable message to the person for
which the data were gathered.
Correct False
Question 5
Which of the following statements about the characteristics and costs of useful information is true?
Useful information does not come cheaply.
Question 6
Two critical steps are required to make sure that data can be accessed by authorized users and no one else. They are:
authentication and authorization
Question 7
Unsupervised data mining is unethical.
Correct False
Question 8
The goal of an executive information system (EIS) is to:
provide accurate, complete, relevant, and timely information to managers
Question 9
Data mining is the:
process of discovering unknown patterns and relationships in large amounts of data
Question 10
Data clusters:
occur when three or more database elements occur together in a significant way
Question 1
The three principles that characterize TQM are continuous improvement, teamwork, and:
customer focus and satisfaction
Question 2
Downtime and lost efficiency are both examples of:
setup costs
Question 3
_______ refers to a manufacturing operation that divides manufacturing processes into separate parts or modules that
are combined to create semi-customized products.
Assemble-to-order
Question 4
Which of the following shows the correct relationship for productivity, outputs, and inputs?
Correctb.
productivity = (outputs/inputs)
Question 5
__________ is a deviation in the form, condition, or appearance of a product from the quality standard for that product.
Variation
Question 6
The term __________ refers to restoring customer satisfaction to strongly dissatisfied customers.
service recovery
Question 7
Two common measures of productivity are extrinsic productivity and intrinsic productivity.
Correct False
Question 8
The three basic measures of inventory are inventory turnover, average aggregate inventory, and:
weeks of supply
Question 9
Which of the following types of operations are most dependent on the accuracy of sales forecasts?
make-to-stock operations
Question 10
The first step in the service-profit chain is external service quality or the quality of treatment that employees receive from
a company’s internal service providers.
Correct False