BUS 201 Semester Mid Term Review

Which of the following factors would not be part of a process to improve a business's competitive positioning a global marketplace?

Reducing product quality to keep costs low

SCORE is _______ A. An organization affiliated with the Small Business Adminisration where retired experts volunteer to provide free advice to small businesses that are just getting started. B. A program similar to CDIF, where private lenders provide start-up funds for small business. C. A group of individuals or companies that invest in new businesses in exchange for partial ownership. D. government agency that elps establish empowerment zones and incubators to assist small businesses during ther initial start-up stage

A. An organization affiliated with the Small Business Administration wehre retired experts volunteer to provide free advice to small businesses that are just getting started.

Why do incubator facilities continue to remain very popular with start-up businesses? A. By providing essential services to entrepreneurs, they have a very strong success rate. B. They team up with large corporations who are willing to buy out the small businesses. C. They are essentially loan offices that provide funding. D. They almost always provide strong visibility and walk-in customers.

A. By providing essential services to entrepreneurs, they have a very strong success rate.

Reed Hastings created Netflix. His inspiration came from the fact that he had to pay a sizeable late fee for returning a DVD beyond the due date at a rental store. It took a few tries to develop the winning business model. Which statement accurately describes his key to success? A. His idea solved a problem. B. The government increased the charges on late fees to consumers. C. No other business had the capability to offer the same product. D. He obtained the only streaming video license available in the U.S.

A. His idea solved a problem.

While on a trip to South Africa, Erin was impressed with colorful woven outdoor placemats, floor mats, chair cushions, and umbrellas that local artisans were weaving. Upon returning to the U.S., she was confident that U.S. consumers would be as intrigued by these accessories as she was. Erin decided to explore the possibility of starting an importing business to bring these products to the U.S. Which of the following statements seems to be good advice for Erin? A. Learn from others who import goods from abroad, and particularly from Africa. B. Make certain that you have twice the cash necessary to make your first purchases. C. Before performing a feasibility study, form your legal business status. D. Since most import businesses are also export businesses, find a U.S. product South Africans would be willing to buy.

A. Learn from others who import goods from abroad, and particularly from Africa.

Which of the following is a false statement about small business? A. The first job for most Americans is unlikely to be in a small business. B. The majority of the country's new jobs are in small business. C. The vast majority of nonfarm businesses in the U.S. are considered small. D. Small businesses account for more than 50 percent of GDP (Gross Domestic Product).

A. The first job for most Americans is unlikely to be in a small business.

Small businesses have an advantage over large business in international trade in all these ways except: A. their prices are usually lower due to low overhead. B. overseas buyers like dealing with individuals rather than large bureaucracies. C. they can begin shipping faster. D. they can provide a wide variety of services.

A. Their prices are usually lower due to low overhead.

A small business: A. is considered small relative to other businesses in its industry. B. must have fewer than 100 employees to be considered small. C. cannot be a C or S corporation. D. should not have more than three locations in a region.

A. is considered small relative to other businesses in its industry.

Miriam Njunge wants to start a small business importing some products from her native Kenya. Before she starts, some good advice to Miriam would be: A. talk to others who have been or are in the import business. B. find a business to buy as soon as possible. C. incorporate the business immediately. D. get a loan from a bank right away.

A. talk to others who have been or are in the import business.

A small business advantage is ________. A. the ability to quickly adapt to customer needs B. they are more likely to employ part-time workers and use telecommuting C. colleges are more amenable to helping small businesses because they prefer working and writing about them than their larger counterparts D. friends can barter for goods and services the business needs

A. the ability to quickly adapt to customer needs

A business plan for a new business does NOT need to include: A. the names of the prospective lending companies. B. a marketing plan. C. a discussion of the purpose of the business. D. a description of the company background.

A. the names of the prospective lending companies.

The primary concerns when first starting your business are: A. planning and human resources. B. financing and planning. C. financing and marketing. D. marketing and accounting.

B. Financing and planning.

Andre works for a company that promotes an entrepreneurial culutre. Enployees are encourage to discuss new ideas. Development time is providedon the job for those ideas that float to the top. Employees who use their creative talents to generate ideas and create within large companies are called _____ A. Analyzers B. Intrapreneurs C. Patent directors D. brainstormerws

B. Intrapreneurs

Why do experts agree that small-business management and large-business management are similar in practice? A. Successful small businesses and large businesses typically grow at the same rate, and neither has the desire to remain the same size that it is today. B. Similar to large businesses, small business have concerns about obtaining capital and good marketing and management practices. C. Large and small businesses still require several employees. D. Small businesses and large corporations raise capital in the same manner, and look to the same sources for that capital.

B. Similar to large businesses, small business have concerns about obtaining capital and good marketing and management practices

While cultural differences and bureaucratic paperwork for foreign governments make the prospect of global trade difficult for small businesses, there is one bright spot on the horizon that has brought global trade closer to home. Small businesses can now ________. A. Buy health insurance for employees abroad that is much cheaper than in the U.S B. Use technology such as PayPal to fulfill orders, which gives them some assurance of payment. C. Delegate the details of going global to US government employees who are mandated to assure small buinesses succeed abroad. D. Avoid US labor laws that do not permit them to employe child labor.

B. Use technology such as PayPal to fulfill orders, which gives them some assurance of payment.

Entrepreneurs emphasize the importance of believing in your own ideas because in the process of developing those ideas you are likely to hear from skeptics. Characteristically, they also know that success or failure is "on them." These attributes are described as _____________. A. action-oriented and highly energetic B. self-directed and self-nurturing C. a high-stakes roller and highly energetic D. self-contained and self-centered

B. self-directed and self-nurturing

According to the textbook, one of the drawbacks of using venture capital is that: A. venture capital firms cannot give the small business owner any advice. B. venture capital firms may ask for a high stake in your business. C. they don't know your customers. D. the venture capital firm asks for very high interest rates on money loaned.

B. venture capital firms may ask for a high stake in your business.

ABC Company desires a successful product launch for its new product venture. Looking outside of its industry, the company solicited the advice of companies JKL and MNO, known for successful product introductions in past years. The business term used to describe the practice of looking toward others to develop a model approach is called _____________.

Benchmarking

Small businesses often have advantages in international markets. One advantage is: A. a greater expertise in managing the paperwork required to sell goods in international markets. B. a better understanding of the cultural differences involved. C. individualized customer service as opposed to impersonal corporate bureaucracies. D. the ability to obtain financing through the International Monetary Fund.

C. individualized customer service as opposed to impersonal corporate bureaucracies.

A company that makes fireplace mantles uses computer modeling in order to ensure that the process used makes the most efficient use of resources and effective design of their products. The company is equipped with ________ technology.

CAD/CAM

In order for a U.S. or non-European company to export manufactured goods to European countries, which of the following would most likely apply?

Companies that want to do business with the EU must be certified by ISO standards

Paul works in an auto plant in which parts constantly travel along a conveyor belt and each worker performs his/her specific job. The process Paul is involved with in his business is an example of a(n):

Continuous process

A manager's need to exert tight controls on subordinates (span of control) is most accurately captured by which of the following statements?

Control will decrease as the manager gets to higher levels in the organization and work becomes less standardized.

Organizations known as ________ have a significant role in the economic recovery. Some start-up businesses have successfully found sources of capital by going through one of these organizations. A. ARMs (Adjusted Rate Mortgage lenders) B. PACs (Personal Asset Collateral funds) C. Venture Capitalists D. CDIFs (Community Development Financial Institutions)

D. CDIFs (Community Development Financial Institutions)

When Parker started his business, he knew he had to keep costs to a minimum and he worried about taxes. He planned to build and distribute safety goggles for construction workers and military personnel. He realized most of his business would not be through walk-in customers but rather large orders from companies. He chose to locate in a government-subsidized area called a(n) ________________, where he would receive tax breaks. A. Intrapreneurial territory B. Affective designation C. Immigration Zone D. Enterprise zone

D. Enterprise zone

What are the primary sources of funding for entrepreneurs? A. The Small Business Administration B. Finance companies and banks C. Former empoloyers and the State Economic Development Authority D. Personal savings and individual investors such as family.

D. Personal savings and individual investors such as family.

Although the business plan has a great amount ofdetail and requires thoroughness, a well explained business idea will come to life almost immediately in which part of this document? A. The explanation of the management team. B. The marketing plan C. the Financial plan D. the Executive summary

D. The executive summary

There are many reasons why small-business owners don't go international. Which of the following is not one of those reasons? A. Paperwork is often overwhelming. B. They don't know how to get started. C. Financing is often difficult to find. D. The market doesn't have great potential.

D. The market doesn't have great potential.

Pam logged onto her Facebook account and noted that Sallie liked two different websites. Since Sallie is a good friend of Pam's and a reliable source of information, Pam checked out these websites and decided to purchase products from one of them. A common strategy for web-based business is _______________. A. strong-arm marketing B. strategic alliance marketing C. dendritic marketing D. affiliate marketing

D. affiliate marketing

Leveling the playing field for home-based businesses, ___________ has (have) made starting a home-based business much more affordable. A. tax laws B. opportunities to export to China and other global markets C. cultural acceptance D. broadband Internet connections and other technologies

D. broadband Internet connections and other technologies

For a market to exist there must be potential buyers: A. and a product that is safe and inexpensive. B. and retail stores which are willing to carry the product. C. who are looking for reasonable prices and financing. D. who have a willingness and the resources to buy.

D. who have a willingness and the resources to buy.

The first step in the process of organizing a business is to:

Determine the work that needs to be done

Bellandro Brewery recently became certified as an ISO 14000 company. Which of the following criteria would decision makers evaluate for this award?

Environmental improvement plans at the brewery

The O'Donnell Company field engineers perform installation and repair on large pieces of equipment that are used in the process of making gasoline at petro-chemical plants. Each day, the on-site engineer reviews the ________ to determine which parts of the project are in progress and which have been completed. This bar graph also shows the engineer which equipment must be installed before other parts are started.

Gantt Chart

Designing and making custom-made guitars is an example of which of the following processes?

Intermittent Process

A large commercial horse farm provides jobs for over 100 employees, who care for over 300 horses of various breeds. The operation consists of traditional functional units, which include management, marketing, and finance, and 45 veterinarians that specialize in the various breeds of horses owned by the company. Although the firm operates with a CEO, COO, CFO, and a director of marketing, it relies on the veterinarians to make decisions on the appropriate care and environment for the horses. Sometimes the veterinary decisions override marketing and financial concerns even though they operate at a lower level in the organization structure. The commercial farm operates as a(n) _________ organization.

Inverted

Sean, an operations manager at a wood processing plant, notices that there is significant scrap and inefficiencies in the plant's operations. Which of the following techniques would he be most interested in implementing?

Lean manufacturing

What statement is most accurate in describing the trend in manufacturing in the US?

Manufacturing jobs in the US have declined significantly

is about converting resources into goods and services. It includes inventory management, quality control, production scheduling, follow-up services and more.

Operations management

The project manager building a new underwater dolphin exhibit at Chicago?s Shedd Aquarium is reviewing the chronological sequence of activities that must be completed on the project and the estimated time of completion of each activity. He is employing the ________.

PERT Technique

________ is the process managers use to continually monitor all phases of the production process to ensure that quality is being built into the product from the beginning and that quality is not being inspected into the product at the end of the production process.

Statistical Quality Control (SQC)

The U.S. award that recognizes firms that meet customer needs, produce high-quality products and have high-quality internal operations is known as:

The Malcolm Baldrige National Quality Award.

Which of the following statements concerning the US service sector today is most accurate?

This sector has grown much more rapidly than the manufacturing sector

Quantum Industries is a maker of component parts in heating and cooling ventilation systems. The company is looking for a site on which to build a new production facility. A major consideration they must take into account is that any area selected have adequate rail access, and are at the hub of major highways to quickly move products. Quantum?s major consideration appears to be:

Time to market

A traditional tool that serves as a way of evaluating a company's current business situation is called the SWOT Analysis. This is an acronym for ___________. a) Strengths, Weaknesses, Opportunities, Threats b) Strategize it, Write it, Obtain it, Trust it c) Strategic, Willingness, Oneness, Tactics d) Say it, Weigh it, Own it, Try it

a

All managers do planning. Allison is a general manager for a large toy store. Each day she plans the number of employees she will have in each department, including the number of cashiers. She plans the break schedules and the freight delivery schedules. In the business world, we refer to this type of planning as ___________. a) operational planning b) contingency planning c) strategic planning d) tactical planning

a

American businesses are: a) demanding socially responsible behavior from international suppliers, particularly in the areas of environmental standards and human rights issues. b) holding international suppliers to different standards than American companies must adhere to in the United States. c) demanding that international suppliers adhere to higher, more costly standards than their American counterparts. d) not concerned with the ethical or socially responsible behavior of their international suppliers.

a

Among the changes resulting from increased global trade are: a) improved living standards around the world. b) less need for employees to update skills as workers conform to U.S. standards. c) less global competition as companies set up manufacturing systems in foreign countries. d) less need for efficient distribution systems.

a

As managers perform all four management functions, we recognize that ________ is required. For example, when making plans, the manager must typically choose between two or three alternatives, that have pros and cons. a) decision making b) operational planning c) tactical planning d) tabulating

a

At Six City Wellness Center, Greg operates a new state-of-the-art MRI scanner that serves approximately 10 patients during his 8-hour shift. Patients are scheduled for various lengths of time, depending on which part(s) of their body requires scanning. The image quality is significantly superior to what it was on previous scanners, but the number of patients served per day remains the same. This situation attests to the fact that ____________. a) the service sector has seen improvement in quality of service, but productivity remains about the same b) hospitals and health clinics are part of the service sector. Productivity is not a concern in this sector c) technological advancements have increased productivity in the service sector d) productivity has increased because it is calculated by combining quantity produced plus quality produced

a

At a young age, Eliza's coaches were confident she had the potential to be a world-class swimmer. They encouraged her parents to do as much as they could to further develop her skills, because a future in Olympic swimming could set her up for life, including promotional endorsements and coaching positions when her competitive days were over. After four years on an athletic scholarship and Olympic experience under her belt, she chose a different path. With her savings and personal connections, she rented a corner building in a bustling San Francisco neighborhood and pursued her dream: a surf shop business. After several successful years, Eliza was certain that Adam Smith would smile because ______________. a) he laid the foundation for her success: she had freedom of choice b) Eliza chose a career where there was very little competition c) unlike most business owners, owning private property was not her concern d) Eliza deliberately set out to help others

a

Charlie Hayes owns his own landscaping business, including all the land on which they grow their plants, and all the equipment. Charlie's son Josh has just graduated from college with an architectural landscaping degree. Charlie hopes to retire in a few years and turn the business over to Josh, and Josh will inherit the business when Charlie dies. This is an example of the ______________ in a capitalist system. a) right to private property b) right to compete c) right to freedom of choice d) right to have a job

a

Efficiency means _______. a) producing items using the least amount of resources b) producing as much as you can as fast as you can, regardless of cost c) using high-tech equipment to do a job d) the amount of output you generate in a given amount of time

a

For the last several years, the country of Amerensia has been moving from a communist country to a more mixed economic system. Which of the following most likely would not occur in Amerensia? a) An increase in the level of government involvement in trade. b) Private ownership of business. c) An increase in the rate at which jobs are created. d) More incentives for workers to work harder.

a

In order for the value of goods and services to be counted as part of a nation's gross domestic product, the goods and services must be ___________. a) produced within the physical boundaries of a particular nation b) produced by a company that was first established in that particular nation c) those that are purchased with disposable income d) purchased by the government or citizens of that particular nation, as opposed to other governments and people of other nations

a

Increased diversity of the population of the United States has: a) led to companies with more diverse workforces. b) fewer conflicts between groups at work as they learn to work with one another. c) much narrower definition of the meaning of diversity. d) declining need for dual language signs and brochures as the immigrant population learns English.

a

Lance and Laurie live on three acres of land in North Carolina, with two llamas, five goats, six chickens, and two dogs. The goats provide milk, cheese, yogurt and even fiber that is woven into yarn; the chickens provide free-range eggs; and the llamas serve as protection for the other animals. Although Lance and Laurie have other professional jobs, their home lifestyle represents _______. a) a growing trend in the social environment to have more control of the food they eat and where it comes from b) a need to challenge the competitive environments of big businesses that sell the same products c) an aversion to technological advancement leading to a slower and less productive life d) a desire to pay less sales tax on foods and other staple products at the larger stores

a

Organizational ethics begins: a) at the top levels of management. b) only with full-time employees. c) with the labor unions and employee groups. d) with mid-level and supervisory managers.

a

Recently, two nations experienced a trade dispute over copyright issues. Country "A" accused Country "B" of violating international copyright laws. Since both were members of ______________, they appealed to this organization to mediate the dispute. a) the WTO (World Trade Organization) b) IMF (International Monetary Fund) c) GACT (General Agreement on Copyrights and Trademark) d) a common market

a

Sovereign wealth funds (SWFs) are a fast-growing form of foreign direct investment. The size of these funds and the fact that they are investments from government coffers of other nations might be a cause for concern. More specifically, some fear __________. a) the governments who offer these funds may obtain sensitive technologies or gain control of strategic resources b) these investments are strictly a trend that can be pulled away from large corporations without any repercussion at any time c) these funds will go bankrupt if spread too thin d) SWFs that did not get to invest in multinational corporations will retaliate with embargoes

a

Technical skills that apply to the business at hand are most often necessary at __________. a) lower levels of management b) mid-levels of management c) the board of directors level d) higher levels of management

a

The EU is an example of a trading bloc, or a______________, which has a common external tariff, no internal tariffs and the coordination of laws to facilitate trade between member countries. a) common market b) multinational export assistance center c) strategic alliance d) joint venture

a

The Pak-It-Your-Way Company makes custom packaging of all kinds. The firm has evolved into a big business due to quality and innovative work. Recently, top management asked company departments to list and evaluate the kinds of socially responsible efforts conducted internally and externally in the business and also to list negative occurrences that supervisors observed. Top management is essentially conducting a(n)_____________. a) social audit b) aggregate independent appraisal c) 360-review d) internal investigation

a

The law that specifically prohibits "questionable" or "dubious" payments to foreign officials in an effort to secure business contracts is called the: a) Foreign Corrupt Practices Act. b) General Agreement on Tariffs and Trade. c) Securities and Exchange Act. d) North American Free Trade Agreement.

a

The management function of ___________ includes hiring, motivating and retaining the best people to accomplish the company's objectives. a) staffing b) controlling c) planning d) leading

a

The number of businesses owned by immigrants, minority groups, and women has ________ in recent years. a) grown b) dramatically decreased c) declined d) stabilized

a

The recent financial crisis created problems for companies because: a) companies had to cut managers and lay off many workers. b) it was difficult to find available workers to fill jobs in basic manufacturing. c) management moved away from the team concept to an emphasis on discipline and order giving as more workers refused to leave jobs. d) managers found many options for financing as banks looked for more customers.

a

The way in which a country's resources are utilized to produce goods and services and the way those goods and services are distributed among those who desire to have them depends upon the ______________. a) economic system under which the country operates b) stage of development of those resources c) number of documented economically disadvantaged persons in the nation d) availability of tangible versus intangible resources

a

Today, high-paying service-sector jobs in the U.S. can be found in ___________________. a) accounting b) machine tools production c) farming d) the automobile industry

a

U.S. companies that operate abroad, particularly those who contract with foreign companies, are now ________ human rights and environmental standards followed by U.S. law. a) separating themselves from suppliers who violate b) asking suppliers to lower their standards to be in compliance with c) free from the concern of d) requiring suppliers to be evaluated monthly concerning

a

We refer to the BRIC nations as four global economic powers that will likely be important forces in world trade by 2030. It is predicted that the two nations that will supply the world with most of the world's raw materials are ___________. a) Brazil and Russia b) Ireland and China c) Bolivia and Romania d) Russia and Bosnia

a

When corruption is evident in governments: a) factories are more difficult to build without obtaining a permit through bribery of public officials. b) minimum wages are lower. c) it's easier to open a store without a permit. d) the news media attempts to keep it quiet in order to minimize bad publicity.

a

When it comes to ethical behavior: a) many Americans decide what's ethical based upon the situation in which they find themselves. b) most Americans have an absolute sense of what is moral. c) most Americans give a considerable amount of time to helping their communities. d) employees rarely violate safety standards or "goof off" at work.

a

Which of the following best describes a capitalistic nation? a) Most or all of the factors of production and distribution are privately owned and operated for a profit. b) The nation-state practices state capitalism. It prefers to maintain ownership of certain industries. c) The nation-state owns most of the factors of production and distribution, and makes central decisions with respect to the distribution of resources. d) The political system endorses several hundred entitlement programs. Business taxes support these programs that are restricted to the unemployed.

a

Which of the following is not characteristic of a leader? a) A leader will always attempt to keep operations from changing. b) A leader will establish corporate values. c) A leader will emphasize corporate ethics. d) A leader has a vision and rallies others around the vision.

a

Which of the following leadership styles focuses on making decisions without consulting others? a) Autocratic b) Plutonomous c) Participative d) Team-based

a

_______________ is a cost-effective way that many companies outsource the production of goods, such as clothing, shoes, and cell phones. The domestic firm contracts with a foreign company to produce and private-label the goods, because the price is much cheaper than the domestic firm could produce in its' home market. a) Contract manufacturing b) Franchising c) Exporting d) Foreign direct investment

a

___________________are economic systems where some allocation of resources is made by the market and some by the government. a) Mixed economies b) Socialist economies c) Command economies d) Free-market economies

a

Which statement does not appear overconfident? a. After completing two training sessions, you should see your productivity increase. b. I'm sure that you will want to order the new video training series. c. I know that these clip-art images are perfect for your business. d. Because I'm sure you want these wrist pads, I will call you tomorrow. e. If you know what's good for you, you'll order these wrist pads.

a. After completing two training sessions, you should see your productivity increase.

The phrase there is is an example of a. an expletive. b. a hidden verb. c. a buzz word. d. an action verb. e. jargon.

a. an expletive.

You can develop a confident message by a. believing that your decision is based on sound logic. b. starting a sentence with I hope. c. using self-conscious words and phrases. d. demonstrating arrogance. e. doing all of these.

a. believing that your decision is based on sound logic.

Mechanics include all of the following except a. content. b. punctuation. c. number expression. d. word division. e. abbreviations.

a. content

Logically, a paragraph should a. cover a single topic. b. connect the previous paragraph to the topic sentence. c. be divided into simple and compound sentences. d. use parallel structure for coherence. e. contain no fewer than 25 characters.

a. cover a single topic.

A paragraph has coherence when each sentence a. is connected smoothly to the sentence before and the sentence after. b. uses parallel construction to develop one idea consistently and logically. c. demonstrates the "you" attitude through implied or stated reader benefits. d. uses nondiscriminatory language. e. uses the appropriate typeface and mechanics.

a. is connected smoothly to the sentence before and the sentence after.

An idea receives the most emphasis in a a. simple sentence. b. compound sentence. c. complex sentence. d. compound-complex sentence. e. dependent clause.

a. simple sentence.

Negative language is appropriate when a. your message must be strong and emphatic. b. the reader wants to retain your goodwill. c. you are focusing your reader on specific facts. d. a sentence contains a hidden verb or subject. e. jargon and slang would be misconstrued.

a. your message must be strong and emphatic.

The ________ puts together components to make a finished product.

assembly process

Many companies are moving from a(n) ________, in which workers do only a few tasks at a time to a ________, in which teams of workers combine to produce more complex units of the final product.

assembly-line layout; modular layout

"We believe in creating loyal customers by providing a superior experience at a great value. We are committed to direct relationships, providing the best products and services based on standards-based technology, and outperforming the competition with value and a superior customer experience." This statement is a part of Dell's: a) functional objectives. b) mission statement. c) short-term strategy. d) near-term goals.

b

According to Geert Hofstede, who has spent a lifetime studying differences in cultures, the Chinese have a long-term orientation, meaning they are patient savers and are willing to forgo things today, for a better future. Americans typically have a short-term orientation. They prefer more instant gratification and are not as willing to save for the future. This difference in values between the Chinese and Americans is a _____________ attribute that may represent a challenge in future global trade. a) legal and regulatory b) sociocultural c) physical d) economic

b

After 8 years of working for a company that installed underground sprinkling systems for golf courses, Jake was ready to venture into his own business. As he prepared his SWOT analysis, he evaluated where he stood at this time. He was fortunate to have $100,000 financing to get the business under way. He knew of three skilled installers who were willing and interested to work for him, and he was aware that new construction was at an all-time low, with several residential properties being foreclosed. In reviewing his list, you would categorize these events as __________. a) two strengths and one opportunity b) two strengths and one threat c) three opportunities and one threat d) three opportunities and one weakness

b

Americans are often accused of ethnocentricity. This means that: a) U.S. businesses are pursuing a policy of multiculturalism. b) Americans feel their culture is superior to others. c) Americans welcome diversity in their workforce. d) U.S. firms are actively seeking international markets.

b

As a strategy for reaching global markets, licensing provides the licensor with several advantages. One advantage is _____________. a) licensing helps avoid patent infringement. b) the cost of producing and marketing the product in a foreign market is significantly reduced. c) once the licensing agreement is signed, the licensor has no obligation to customers for the quality of the product they receive. d) there are very few contractual agreements between the two parties, so the licensee is free to sell proprietary technologies originally owned by the licensor at its discretion.

b

Blake wanted to offer high-quality meals in his restaurant. His motto was "the best darn meat and potatoes for miles around." The locals agreed that the food was good. They also agreed that if you decided to eat there, be prepared to wait. Food preparation and service were slow. Although Blake's motto stated the business's competitive advantage, your accurate advice to Blake would be _______. a) the challenge now must be to tackle the social entrepreneurial aspect of running a business b) the winning competitive advantage is one that addresses quality and service c) service has become the number one consideration of customers; the restaurant must focus a little less on quality and a little more on service d) the rule of thumb is to always stick to what you do best—if you're good at it, your customers will respond with loyalty

b

Buying products produced in another country is known as: a) exporting b) importing c) trade protectionism d) comparative advantage

b

Citizens of socialist nations can rely on the government to provide all of the following except: a) unemployment and retirement benefits b) money to start a business c) education d) health care

b

Darnell lives in an area where labor is plentiful and locations for start-ups are relatively cheap. He is also confident that he can find start-up funds for a graphic arts business. As he evaluates the opportunity for his proposed venture, which two other factors of production does he need to succeed? a) Labor and knowledge b) Entrepreneurship and knowledge c) Entrepreneurship and capital d) Capital and land

b

Dave facilitated a hiring committee for his advertising company. Six employees (including two managers) met together to discuss applicants and select the finalists for a copywriter position in the public relations department. Although the head of public relations would have the final nod on the candidate that would ultimately be hired, the evaluative work of the committee was very important because this group would send forward those persons they believed would be good work colleagues. In setting up this type of hiring process, the head of public relations was utilizing a(n) __________ style of leadership. a) contingent b) participative c) autocratic d) free-rein

b

Encouraged by the new Sarbanes-Oxley law, individuals who report unethical or illegal behavior within an organization are referred to as ____________. a) compliance police b) whistleblowers c) corporate raiders d) vigilantes

b

Imagine the following: New sources of energy have become marketable and the industries involved have hired thousands to operate the emergence of new businesses. Construction companies cannot build homes fast enough for workers in the energy industry. Due to increasing salaries in several other industries that partner with energy companies, the demand for everything from food to entertainment to travel has increased. High demand has brought about shortages in some product categories. To help manage the situation in the short term, ___________. a) the Fed will likely decrease interest rates b) the Fed will likely increase interest rates c) Congress will likely decrease taxes d) Congress will likely enact monetary policy

b

Judy started a business called Music and Memories™. She recognized that music, socialization, and memory-challenging activities for senior citizens helped maintain their cognitive skills for longer periods of time. Though she strives for a financial gain, she uses the excess funds for enriching her programs instead of a personal profit. Her organization is classified as: a) insourced b) nonprofit c) profit-seeking d) outsourced

b

One of the results of the increase in the older population of the United States is: a) a decline in the economy, as this segment of the population tends to be poorer. b) a future problem for the Social Security system. c) fewer opportunities for new businesses as the population declines. d) less focus on technology as the older population will be less interested in technology-related products.

b

Proponents of corporate social responsibility strongly believe in benevolence; however, they still want their businesses to be profitable. In the long run, they believe ______________. a) benevolence can lead to a vote of no confidence by company stakeholders b) CSR can lead to even more profits c) the fastest way to demoralize your stakeholders is to spend too much money supporting social issues, such as having employees assist in community efforts d) firms should take added caution not to support government programs that protect the environment

b

Robert Redford created The Sundance Film Festival, where talented, young directors and producers can submit their films for review and possible screening. The festival attracts thousands of tourists each year, employs many others at various capacities, and provides important exposure to up-and-coming artists who may otherwise not be able to get their works noticed. Ultimately, the festival provides social and economic benefit for many. Adam Smith believed that one's self-directed gain would eventually create prosperity for many, and called the process the ___________. a) opportunistic behavior b) invisible hand c) deliberate intervention d) amateur opportunity

b

Sergey Brin and Larry Page are the founders of Google. Most would agree that they have a superb product, but in order to grow, the company needed more structure. Together, they agreed to hire Eric Schmidt to join the executive team as the executive chairman. Schmidt quickly began performing the ________ function, where he created well-structured departments and hired skilled people to perform the various functions of the business. a) planning b) organizing c) contingency planning d) controlling

b

Since the mid-1980s, the __________ sector has generated the most increases in employment in the United States. a) manufacturing b) service c) agricultural d) goods producing

b

Socialist systems tend to: a) have relatively low tax rates. b) discourage the best from working as hard as they can. c) keep up with countries like the U.S. in the areas of job and wealth creation. d) encourage innovation.

b

The controlling function closes the loop for managers. It answers the question: "Did we succeed in what we set out to do?" Which of the following business departments has a very important role in the controlling function? a) Retail sales clerks b) Accounting department c) Preliminary design engineers d) Shipping department

b

The first day on the job waiting tables at a popular restaurant, Ashley noticed that when one member of the wait staff was serving a very large party, the other waiters would help with carrying food to the tables and even checking to make sure water glasses were filled. Although these actions were not part of the mandatory wait staff training, Ashley perceived that wait staff members who were not attentive in helping out were not viewed as team players by the majority of employees. Ashley was observing an example of the ___________ followed at this organization. a)social order ethics b) integrity-based ethics c) compliance-based ethics d) actual ethics

b

The makers of Whirlpool washers and other electrical appliance manufacturers need to be concerned about the kind and availability of electricity in the global marketplace. If there were a compatibility problem, it would be the result of a _____________difference. a) societal b) technological c) economic d) cultural

b

The most basic question in an ethics-based management system is asking the question: a) Is it balanced? b) Is it legal? c) Who will know? d) Has it been done before?

b

The nation of Andulasia exports $50 million worth of products and services and imports $44 million worth of products and services. Andulasia has a(n) _____________. a) unfavorable balance of trade b) trade surplus c) trade deficit d) trade embargo

b

To encourage entrepreneurial growth, governments might _______. a) reduce the value of their currency to encourage foreign investment b) pass laws that enable businesspeople to write contracts that are enforceable in court c) establish a high tax rate to support loans for small businesses d) take over ownership of small businesses when they are first getting started

b

When referring to risk, which of the following statements is reasonable? a) Good business strategy encourages less risk, because the least risky ventures usually make more profit. b) Sizeable risks can lead to substantial profits, if the business takes calculated risks and captures good opportunities. c) Although risk means taking a chance, a start-up will usually manage to get off the ground faster if the stakes are high. d) Although risk means taking a chance at losing, your business is likely to always turn a profit.

b

Which of the following circumstances is most likely to reduce one's standard of living? a) Stable prices and an increase in employee wages b) An increase in the cost of some goods such as escalating gasoline prices c) Losing your job, but gaining a sizeable inheritance d) A decrease in the cost of some goods such as a decrease in housing prices

b

Which of the following is a false statement? a) Companies are organizing so that customers have more influence. b) General consensus is that larger companies are more responsive to customer needs than smaller companies. c) Companies are looking at the best way to organize to respond to the needs of customers. d) Many large firms are being restructured into smaller, customer-focused units.

b

Which of the following is not a part of the business cycles that occur in economies over time? a) Recovery b) Structural unemployment c) Economic boom d) Depression

b

Which sentence does not contain a cliché or wordy expression? a. According to our records, you paid your bill after the due date. b. During 2004, the company will focus on redefining its mission statement c. It goes without saying that customer service representatives must be polite at all times. d. I'd like to take this opportunity to thank the development team for its extraordinary effort on the project. e. Enclosed you will find three copies of the contract.

b. During 2004, the company will focus on redefining its mission statement

Identify the logical compound sentence. a. Plans A and B are safe and convenient options as retirement investments. b. Jill will photocopy the letters, and Adam will type the envelopes. c. Although the data was received after the deadline, we still managed to complete the project within one week. d. Please purchase paper clips, pencils, and notebooks when you go to the office supply store. e. Doug types 100 words per minute, and Amy sings in the choir.

b. Jill will photocopy the letters, and Adam will type the envelopes.

Which of these statements about sentence variety is not true? a. Using too many simple sentences makes writing seem choppy. b. Mixing negative and positive sentences maintains reader interest. c. Readers may have difficulty reading a message with too many long sentences. d. If you use different sentence patterns and lengths, your messages will be more interesting. e. A message that contains one long sentence after another can bore readers.

b. Mixing negative and positive sentences maintains reader interest.

Which sentence displays a confident writing style? a. I hope that my explanations make sense to you. b. To take advantage of this special offer, call our toll-free number. c. If you have any further problems, please don't hesitate to call me. d. Why not order the new exercise equipment? e. If you agree with my proposal, please let me know.

b. To take advantage of this special offer, call our toll-free number.

Identify the sentence that does not contain a redundant phrase. a. Young adults should plan ahead for retirement. b. Understanding absolute and relative cell references is fundamental to working with spreadsheets. c. The company will give each and every employee a year-end bonus. d. Receive a free gift when you subscribe to our magazine. e. When and if profits increase by 15 percent, everyone will receive a raise.

b. Understanding absolute and relative cell references is fundamental to working with spreadsheets.

Which sentence lacks parallelism? a. The seminars will be held on February 14, March 15, and April 1. b. Victoria is proficient not only in word processing but also in database management. c. Our word processing program includes pull-down menus, scroll bars, and sentences can be checked for grammatical errors. d. Students will learn how to write effective messages, make persuasive speeches, and handle themselves in interviews. e. The new smoke detector is both efficient and effective.

b. Victoria is proficient not only in word processing but also in database management.

Identify the sentence that best reflects the "you" attitude. a. The order was shipped on March 15. b. You should receive your order by Friday, April 10. c. We have extended our store hours until 10 p.m. on weekends. d. Please send your completed questionnaire by December 1 so I can start analyzing the data and preparing my report. e. You will be smart to open a checking account at our bank because we pay higher interest rates.

b. You should receive your order by Friday, April 10.

Two related ideas of equal importance should be positioned in a. two simple sentences. b. a compound sentence. c. the dependent clause of a complex sentence. d. the dependent clause of a compound-complex sentence. e. the independent clause of a complex sentence.

b. a compound sentence.

A platitude is a. a transitional expression that connects ideas in logical fashion. b. a trite or obvious statement that implies a condescending attitude. c. a paragraph that lacks both parallel structure and unity. d. a series of short, simple sentences that explain a single idea. e. an overconfident statement that implies arrogance.

b. a trite or obvious statement that implies a condescending attitude.

When all your sentences work together to develop a single idea, the result is a. the "you" attitude. b. paragraph unity. c. coherence. d. parallelism e. reader benefits.

b. paragraph unity.

You can subordinate an idea by a. devoting more space to the idea. b. using passive voice instead of active voice. c. using reasonable repetition. d. underlining or capitalizing particular words or phrases. e. doing all of these

b. using passive voice instead of active voice.

Two expressions that carry negative connotations are a. compound-complex and redundant. b. will not and cannot. c. subjunctive and passive voice. d. ethnocentrism and abstraction. e. ambiguity and expletive.

b. will not and cannot.

The US has:

become a service-based economy

Julie recently started working at a major urban university. One of the first things her supervisor provided her with was a large white notebook that contained rules and regulations on just about every aspect of the university's business. As a recent business graduate, Julie realized that the university operated in a(n) ___________ environment.

bureaucratic

A few months ago, Pedro's Pizza House, a large nationwide chain of restaurants, purchased one of its competitors, Italian Stallion Pizza Stations, for $800 million. Italian Stallion stockholders got a very fair deal for their stock they owned in the company. However, the purchase was not without its problems. An issue arose when it was disclosed that somehow a member of Pedro's management team mentioned the deal to a person he sat next to on a flight from LA to Seattle. That person called five of his relatives and several friends. They quickly bought shares of Italian Stallion and purchased the stock before the acquisition became public. These actions are called _________. a) acquisition stalking b) pro-current procurement c) insider trading d) moral impropriety

c

A legal provision known as the _______________ now provides an award for whistleblowers whose actions result in a legal conviction. The monetary award may total as high as 30% of the amount collected for violations, above the first $1 million. a) Sarbanes-Oxley Ruling b) Internal Audit Company Protection Act c) Dodd-Frank Wall Street Reform and Consumer Protection Act d) Sherman Act

c

A mobile veterinary business, Preferred Pet Care, Inc., created a mission statement long before it opened its doors for business. The mission statement referred to the unique characteristic of the business: a traveling pet unit whose veterinarians went to the home of the pet owner, rather than the pet owner bringing the pet to the clinic. What other criteria should be considered for the mission statement? a) A description of the management team and the firm's long-term financial goals. b) A description of the management team and its global perspective. c) A description of the customers it serves and a statement about its social responsibility to the area where it operates. d) A description of the firm's SWOT analysis and its organization chart.

c

At Schwinn, managers of various new departments in the company were told, "Go out and shape the department the way you feel is best. You have total freedom and support." Schwinn's managers operate under a system of: a) participative leadership. b) productive delegation techniques. c) ree-rein leadership. d) autonomous decision making.

c

Because of the high volume of bicycles as a common form of transportation in Beijing and Shanghai, Charles wants to sell his bicycle horns to these markets. In this case, the exchange rate is $1 U.S. dollar = 6.42 Chinese yuan. Economically speaking, how are his prospects? a) Not good. The Chinese would not see value in a horn because they are accustomed to just yell at each other in traffic. b) Good because the yuan has strength against the dollar. The Chinese have 6.42 yuan to spend compared to $1 U.S. dollar. c) It depends on the value of the Chinese yuan in relation to the dollar. d) Pretty good because the U.S. dollar is down against the Chinese yuan.

c

Ben oversaw the work of six pharmaceutical sales managers in the southeast region of the U.S. Each sales manager managed a team of 8-10 pharmaceutical sales representatives that developed relationships with doctors, clinics, hospital pharmacies and local drug stores. Ben met regularly with four others in his company whose jobs were similar to his position. How would you describe the level of management Ben has achieved? a) Top management b) Supervisory management c) Middle management d) First-line management

c

Cara started a small business a little less than 10 years ago. The business employed several social workers and nurses that visited and cared for persons who had left hospital care, but were not quite ready to be on their own at home. As the CEO of the firm, Cara decided it was time to hire a business operations manager and a marketing manager to handle the details of the business. Which of the following functions of management was Cara primarily performing? a) Leading b) Controlling c) Organizing d) Planning

c

During the past five years, the nation of Andolvia began a massive undertaking: teaching farmers how to successfully grow and harvest peanuts. The government subsidized the building of peanut processing plants, where private businesses are now producing peanut butter and other products of nutritional value. Although the Andolvia government has not completely banned the importation of peanuts, it has placed ________________ on the number of peanut products that the nation can import each year, in order to protect Andolvia's young peanut industry. a) counter measures b) subsidiaries c) import quotas d) embargoes

c

Ethics are the standards of right and wrong set for us by society, whereas the law is __________. a) a higher calling where society acknowledges that we must take a higher level of action against what may be perceived as a wrongful act b) the specific and certain way of solving right and wrong that goes beyond what we consider good ethical behavior c) the minimum protection a society enacts toward behavior that is harmful to many d) obeyed strictly out of compliance, whereas ethical behavior is in complianc

c

If your supervisor directed you to enter false information into a sales order book and told you if you refused that you would lose your opportunity for promotion, you would probably consider this situation to be a(n) ________. a) win-win situation b) corporate accountability issue c) ethical dilemma d) important act of self-interest

c

In global trade, the term "dumping" refers to: a) a foreign company's production of private-label goods to which a domestic company attaches its own brand name. b) the buying of permanent property and businesses in foreign nations. c) the practice of selling products in a foreign country at lower prices than those charged in the producing country. d) a situation that exists when a country exports more than it imports.

c

In terms of economic systems, the trend has been for: a) countries to remain primarily within the economic system the country has in place. b) countries that are mostly socialist to move toward communist systems. c) countries that are mostly capitalist to move toward more socialism. d) countries that are capitalist to move toward communism.

c

Jake served on a committee of employees who were charged with selecting three co-workers to honor at the holiday banquet. One employee whose name was at the top of everybody's list was instrumental in helping another employee who failed to wear his protective headgear to avoid suffering a serious head injury. Although this was a noble act, Jake knew that the hero was frequently negligent about wearing his own headgear. Jake knew that several other employees followed strict company policy every day and always wore their headgear; yet, they were not being acknowledged for their compliance. According to Norman Vincent Peale, which of the following questions should Jake refer to as he proceeds to make an ethical decision? a) Is the action I am proposing to take something the boss would like to promote among workers? b) How does the action I am proposing to take make me feel about myself? c) Does the action I am about to take follow universal business practices? d) How can my decision help elevate my own status within the firm?

c

Most businesses follow a logical process when performing the planning function. It is important to understand ______________________, before embarking upon creating future long-term goals, objectives, and strategies. a) how to evaluate job descriptions and specifications b) how to measure objectives c) the current situation d) the needs of secondary suppliers

c

Progressive companies today use __________ to communicate their CSR efforts with the public. Toyota, for example, ran a contest where it donated 100 cars to nonprofit organizations, voted on by Facebook™ and Twitter™ participants. a) free magazine, newspaper, and TV ads b) government-supported direct mail campaigns c) social media d) employees and internal public relations

c

Select the statement that best substantiates why we say, "The role of management is changing." a) Future managers must have their ear and eye toward domestic issues because the goal is to bring jobs back to the U.S. by eliminating outsourcing. b) Managers will evolve toward measuring and evaluating individual employee performance and eliminate employees who prefer not to work independently. c) Contemporary managers will focus on global issues and green issues, and continue to emphasize the team approach to work. d) Contemporary managers will emphasize structure and less creative thinking, particularly during recessionary times.

c

The American Society of Civil Engineers published a report card for America's interstates. It was reported that road repairs cost the American taxpayers $67 billion per year. Through the enactment of ___________, the U.S. government collects tax dollars and then spends some of these funds to maintain the infrastructure of the nation. Increasing taxes has the effect of drawing money away from the private sector. a) monetary policy b) congressional policy c) fiscal policy d) deficit policy

c

The CPI (consumer price index) measures ________________ and ________________. a) rising and falling prices of goods, but not services; provides a 10-year comparison b) inflation; excludes apparel, health care, and education c) inflation and deflation; includes energy and food as part of the market basket of goods and services that it measures d) inflation and deflation; excludes energy and food as part of the market basket of goods and services that it measures

c

The Republic of South Africa exports edible fruits and nuts into the common market known as the European Union, and imports from the European Union other products which South Africa could produce but at a higher cost than what it costs the Europeans to produce. This practice follows the premise of _________________. a) The Theory of Malthus b) The Theory of Competitive Positioning c) The Theory of Comparative Advantage d) The Theory of Absolute Advantage

c

The U.S. unemployment rate is a key economic indicator because most of us need jobs to maintain our standard of living. A criterion used to calculate the unemployment rate is _________. a) anyone under the age of 60 who does not have a job and lives within the physical borders of the U.S. b) persons who were dismissed from their last job, and subsequently have been out of work for over a year c) unemployed persons age 16 and over, who have been looking for work during the past four weeks d) all persons claiming not to have a job, except students; full-time and part-time students are excluded from the calculation

c

The last recession changed the way many companies offer support to people and communities in need. Many companies ______________. a) increased financial donations to local areas but pulled away from national and global contributions b) decreased financial donations and eliminated support in almost every way c) decreased financial donations but encouraged their employees to volunteer their time to corporate social initiatives and projects d) increased their financial donations because they understood how badly society needed a helping hand

c

The new era of business will: a) be dominated by an increase in the manufacturing sector as global markets grow. b) see a rise in the agricultural sector. c) be an information-based global revolution that will impact all sectors of the economy. d) probably see a major decline in productivity.

c

The sum of all the federal deficits over time is known as the: a) gross national debt b) aggregate demand for money c) national debt d) fiscal policy

c

Using government regulations to limit the import of goods and services is called: a) mercantilism b) global marketing c) trade protectionism d) regulating the balance of trade

c

What must companies do to be competitive in today's market? a) Focus on activities that will reduce taxes. b) Create low-cost advertising campaigns. c) Offer high-quality products and outstanding service at competitive prices. d) Create alliances with competitors.

c

What's going on here? As soon as Dewey Cheatum and Howe Motors increase the prices on their SUVs, then so does their only competitor, You Betcha Motors! Their prices are basically the same for similar vehicles, although their advertising says their products are really very different. What kind competition exists here? a) Monopolistic competition b) Perfect competition c) Oligopolistic competition d) Limited competition

c

When President Obama was elected, the U.S. economy was in trouble, and had slid into a recession. Consumer spending was low and getting worse. In an effort to stop the decline, President Obama proposed an economic stimulus package which included government spending on roads, bridges, and schools, among other things, and a tax cut that each U.S. worker would see in her or his paycheck. Apparently, President Obama was a proponent of: a) communist economic theory b) Malthusian economics c) Keynesian economic theory d) monetary policy

c

When an F5 (category 5) tornado hit a town in southern Missouri, the people that lived there needed the basics: food, water, and shelter. The owners of Boccardi's Ristorante in St. Louis drove several hours with a van of employees, equipment, and food to donate what they could to help the storm victims. The business term we use to describe this philanthropic action is ___________________, where a company donates what it does best to help make a situation better. a) social impact program b) corporate beneficial management c) corporate social initiative d) corporate inclusion policy

c

When developing and maintaining good stakeholder relationships, companies find that _______. a) caring for the environment comes before caring for the well-being of employees b) insourcing is always a good trade-off to outsourcing c) most often, they must balance the needs of the stakeholders with the need to make profits d) it's almost always best to continue to keep costs low, even if it means outsourcing most of the production

c

When the value of exports from a country exceeds the value of imports into that country, there is a _______________. a) trade deficit b) balance of payments c) favorable balance of trade d) unfavorable balance of trade

c

Which of the following control standards is stated most effectively? a) Praise employees more often this month. b) Cut the number of finished product rejects. c0 Increase sales of our top-end product from 2000 in the first quarter to 3000 during the same period by 2017. d) Empower employees to make more decisions next year.

c

Which of the following is not a part of an integrity-based ethics code? a) Defines an organization's guiding principles b) Supports ethically sound behavior c) Emphasizes strong penalties for wrong-doers d) Stresses shared accountability

c

Which of the following is not included as one of the questions we must ask when faced with an ethical dilemma? a) Is it legal? b) How will it make me feel about myself? c) Is it acceptable if everyone else is doing it? d) Is it balanced?

c

Which of the following is the best reason for a business to be managed ethically? a) So that government regulators will not be able to complain about the ethical behavior of the company. b) If the company is engaged in a lawsuit, the ethics code can be used as a legal defense. c) An ethically managed business helps to reduce employee turnover. d) Business leaders don't want to get caught behaving unethically.

c

Which of these actions is least likely to restore the trust of the American public in the free-market system? a) Passing stricter accounting and financial reporting laws. b) Punishing those who have broken the law. c) Define the concept of ethics more narrowly, and make the definition closer to the definition of legality. d) Passing new laws making business, religious and government leaders more accountable for their actions.

c

______________ is the world's largest exporter. a) Brazil b) The United States c) China d) India

c

Identify the sentence that does not contain a cliché or slang. a. If you want to play ball with me, you need to increase your offer. b. Let me take this opportunity to congratulate you on your promotion. c. As you requested, I sent a new catalog to the supervisor. d. The bottom line is that we must improve our customer relations. e. If I can be of further help, please do not hesitate to call me.

c. As you requested, I sent a new catalog to the supervisor.

Which of the following is not a way to achieve clarity in your writing? a. Be sure the message is accurate and complete. b. Use familiar words and phrases. c. Emphasize compound sentences. d. Avoid dangling expressions. e. Eliminate unnecessary jargon.

c. Emphasize compound sentences

Identify the statement that does not contain an unnecessarily long word. a. Brian fabricated the events of the accident to circumvent prosecution. b. Please initiate the modification of the innovative computer system. c. William is vital to the success of the convention. d. The vice president will recapitulate the presentation after illustrating the new software. e. Initiate the termination procedures for the dispensable employees.

c. William is vital to the success of the convention.

Which of the following sentences should be rewritten without the "you" attitude? a. You won a brand-new entertainment center. b. After placing an order, you will be entered into our weekly drawing. c. You should have written a more in-depth report. d. Your new living room furniture will arrive by Friday afternoon. e. Your résumé will be forwarded to the appropriate manager for review.

c. You should have written a more in-depth report.

To subordinate an idea, place it in a. a simple sentence. b. the first independent clause of a compound sentence. c. the dependent clause of a complex sentence. d. the independent clause of a complex sentence. e. an independent clause in a compound-complex sentence.

c. the dependent clause of a complex sentence.

Assume you have five paragraphs in a letter. Which paragraph receives the most emphasis? a. first b. second c. third d. fourth e. fifth

c. third

Which of the following would not be used to describe a company with a positive corporate culture?

closer supervision of employees

In order to build the next generation of gaming software, Idle Time Gaming, Inc., put together a ______________ structure. The structure consisted not only of employees but also suppliers, distributors, and customers, who joined the company experts to pursue the company's objectives.

cross-functional team

According to the text, ethical behavior begins with: a) religious and community leaders. b) government regulations and laws. c) top corporate leaders. d) ourselves.

d

All of the following are reasons for countries to participate in foreign trade except: a) no nation can produce all of the products its people want and need. b) some nations have resources, but not technological know-how; while others have know-how, but lack resources. c) even if a country were self-sufficient, other nations would seek to trade with that country in order to meet the needs of its own people. d) it is just as easy to start a business overseas as it is in the U.S.

d

At Backstreet Books, Inc., the department manager uses a hand-held scanner to determine the quantity of each best seller the bookstore has on its shelves, how many copies of each book was sold the past week and the past month, and exactly when the next shipment of these books is expected to arrive. Backstreet Books embraces the strategy of _______. a) changing demographics b) maintaining a low inventory turnover because it will keep costs down c) staying ahead of the competition by routinely secret shopping the competition's shelves d) using technology to stay responsive to customer needs

d

Besides environmental groups, unions, and investors, a relatively new type of watchdog organization that reports on corporate social responsibility efforts is _____________. a) corporate raider divisions b) secondary market companies c) internal search and occupy organizations d) socially conscious research organizations

d

Besides the shift of jobs to foreign countries, outsourcing has other drawbacks such as __________. a) inadequate supply of labor for the number of products that need to be produced b) lack of low-cost technical talent to produce products c) inadequate supply of natural resources close to factories d) questionable safety and quality issues with finished products

d

Contemporary managers ___________. a) become specialists in only one or two functional areas. b) function solely as intermediaries between workers and labor unions. c) must closely supervise highly skilled workers who would like to "do their own thing." d) emphasize teamwork and cooperation, and act as coaches, rather than bosses.

d

Even though the nation faces political instability, the island of Frollik with its wide, expansive beaches is a destination hub for cruise lines. Recently, a large theme park company showed strong interest in buying land in Frollik with the intent of building a park targeted toward families. The company wants to make a commitment to Frollik, including the hiring of several hundred local employees. They're using a global marketing strategy called ____________. a) strategic alliance b) licensing agreement c) joint venture d) foreign direct investment

d

Government and business leaders are being held to: a) lower ethical standards than in the past. b) ethical standards in the U.S., but unfortunately foreign leaders are not being subjected to ethical scrutiny. c) ethical standards are often unreasonable and cannot be met by most leaders. d) higher ethical standards than in the past.

d

Harry is a supervisor in a small automotive shop. He spends a lot of his time training some workers, while helping others solve some of the problems they have in doing their jobs. He also runs the diagnostic machine. Harry spends time on: a)staffing skills. b) human relations skills. c) conceptual skills. d) technical skills.

d

In a free-market economic system, if consumers perceive the price for a state-of-the-art smartphone as too high for the value received, they are likely to avoid buying it. In the same light, if the __________. a) consumer's desired price is too low, producers will want to produce an abundance of the product b) seller's price is too low, consumers will definitely consider it of poor quality c) consumer's desired price is too low, producers will refuse to make a substitute d) consumer's desired price is too low, producers may limit the amount produced

d

Jason's mom specifically asked for a CIP cast iron pan for her birthday. As Jason scanned the stock in two department stores, he found ten different brands, none of which were CIP. When he found CIP in a kitchen specialty shop, he was challenged to tell the difference between his mom's choice and the others. In his business class, he learned about ______________, where many sellers may be offering very similar products. Through various means, each seller differentiates his product from the competition. a) oligopolistic competition b) limited competition c) perfect competition d) monopolistic competition

d

Juan has many business ideas that could satisfy the unfulfilled needs of people who live in his community. However, there are laws that govern the type of businesses that private citizens can own and business taxes are high because the government subsidizes many social programs in his nation. In this case, challenges in the _________________ environment increase the risk of Juan starting a business. a) competitive b) social c) technological d) economic and legal

d

Measuring performance relative to objectives and standards is part of ___________. a) using technical skills b) directing c) decision making d) controlling

d

One of the most serious negative results of the increased use of databases by companies has been: a) changes in the organizational structures of companies leading to loss of jobs. b) increased failure rates by e-companies. c) a decrease in the amount of "junk mail" received by consumers. d) an increase in identity theft.

d

Profits equal _______. a) revenues plus expenses, less taxes b) the sales dollars that a business acquires, over time c) the owner's annual salary d) the funds available for business growth, after expenses and salaries are paid

d

The difference between money coming into a country from exports and money leaving a country due to imports, plus money flows from other factors, is known as the: a) trade deficit b) balance of trade c) free trade d) balance of payments

d

The first step in developing a knowledge management system is: a) setting goals and developing action plans. b) finding answers to questions from the SWOT analysis. c) establishing high performance standards. d) determining what knowledge is most important.

d

The foundation of the U.S. economic system is considered to be: a) monopolistic b) communist c) socialist d) capitalist

d

The impact of war and terrorism on U.S. business is that: a) there is less global trade. b) fewer jobs will be created in the United States. c) there are lower organizational costs for security personnel and equipment as firms are depending upon the government to provide those items. d) companies have grown more slowly as money has been diverted to the war effort.

d

The strategic alliance between Coca-Cola and Nestlé has spanned a period of over 20 years due to the fact that both companies benefit from this arrangement. As a global marketing strategy, an important characteristic of a strategic alliance is _____________. a) the complete immersion of employees assigned to the alliance, eventually forming a separate company b) separation of company policies, procedures, and production, but unified financial accountability c) it must be a long-term venture of 10 or more years d) participant companies do not share costs or profits

d

There are those who hope that ______ is a stepping-stone to the creation of a Free Trade Area of the Americas. This agreement today is between the United States, Canada, and Mexico. a) ASEAN b) EU c) Mercosur d) NAFTA

d

Which of the following is (are) not considered a factor of production? a) Knowledge b) Land c) Capital d) Taxes

d

Which of the following statements reflects upon the difficulty companies face when requiring international suppliers to follow environmental and human rights standards set by U.S. firms? a) It's the age-old reality: "Out-of-sight, out-of-mind." U.S. companies tend to overlook and forget human rights abuses abroad. b) Multinational corporations are committed to operating within the legal limits of U.S. law. U.S. law does not require U.S. firms to comply because of competitive advantage concerns. c) U.S. companies follow the lead of consumers, and at this time, there is no evidence of a trend toward concern for better human rights and environmental standards. d) Both economics and culture enter into the discussion of fairness concerning international suppliers who do business with U.S. firms.

d

You studied for two hours each day, for an entire week, before your first marketing exam. When you turned in the test, you felt confident that your effort would pay off. At the next class meeting, your instructor said she was considering curving the grades because the class average was lower than she had anticipated. All of a sudden, your 98% score did not have the same impact that it did when you first saw it! Now the guy next to you that got an 84% is likely to have an "A" grade too. As you analyze this situation, you realize that it parallels an economic system such as ________________, where even if you work harder than another person, you are likely to realize the same benefit. a) monopolism b) capitalism c) oligopolism d) socialism

d

Which guideline about confident writing is correct? a. Use confident phrases such as I hope. b. Encourage the reader to provide excuses for denying your request. c. Imply that something might not work out satisfactorily. d. Avoid using presumptuous language such as "I know you will agree." e. Appear helpful with statements such as "Let us know if you have other problems."

d. Avoid using presumptuous language such as "I know you will agree."

Which sentence contains nondiscriminatory language? a. The young, yuppie managers lack the experience needed to develop policies. b. Stephen, the gay science instructor, receives high student evaluations. c. That nerdy high school kid in the tech section sold me the wrong ink cartridge for my printer. d. Dr. Lopez and his assistant, Ms. Martin, attended the seminar. e. Tonya, a Hispanic sales representative, is the employee of the month.

d. Dr. Lopez and his assistant, Ms. Martin, attended the seminar.

Which statement does not contain sexist language? a. The sports jocks hang out at the Recreation Building. b. The girls in the office will attend the secretarial meeting. c. Doug is the best man for the project. d. Sally enjoys being a homemaker. e. The stewardess asked the passengers to prepare for landing.

d. Sally enjoys being a homemaker.

Which sentence effectively uses words that are familiar to businesspeople? a. Please ascertain whether the deliverance of merchandise will be forthcoming in the duration of the business cycle. b. He was not cognizant of the actuality that he was still in a probationary period. c. A financial deficit may be encountered during the transitional period following the merger. d. The board of directors will soon meet to discuss acquiring the Sonar Company. e. The accountant will commence to compute the amount of monetary funds that should be allocated for remunerations.

d. The board of directors will soon meet to discuss acquiring the Sonar Company.

Short and simple words help business writers a. impress their readers. b. emphasize the receiver of the action. c. use jargon to build credibility. d. express their meaning without distraction. e. use redundancy in appropriate situations.

d. express their meaning without distraction.

Which transition does not reflect a cause-and-effect relationship? a. as a result b. consequently c. because d. finally e. hence

d. finally

A _____ sentence is often used to emphasize a single idea. a. passive-voice b. compound c. complex d. simple e. compound-complex

d. simple

In an active sentence, a. the subject is the receiver of the action. b. the subject is subordinated to the action. c. the action is subjunctive to the doer. d. the subject performs the action. e. the verb tense describes the doer.

d. the subject performs the action.

Which strategy best emphasizes an idea? a. using a compound sentence b. placing the idea in a middle paragraph c. minimizing the space devoted to a topic d. using active voice e. typing the entire message in all capital letters

d. using active voice

The process of setting up individual departments to do specialized tasks is called:

departmentalization

Robin Banks is a supervisor for a large, bureaucratic organization on the West Coast. According to the views of a bureaucratic organization, this means that Robin should:

do her work and let middle- and upper-level managers do the decision making.

Which is not a reason to avoid slang in business writing? a. It is too informal. b. It is not businesslike. c. It is identified with a specific group of people. d. It is short-lived. e. It may not be understood by the general population.

e. It may not be understood by the general population.

Passive voice is appropriate when a. you want to inform an applicant tactfully that he was not chosen for the job. b. the identity of the person doing the action is unimportant. c. you want to emphasize the receiver of the action instead of the doer of the action. d. the person who performed the action is unknown. e. Passive voice is appropriate in all of these situations.

e. Passive voice is appropriate in all of these situations.

Which statement does not contain a dangling expression? a. Eric informed Jason about the policy changes, but he doesn't like the changes. b. While reviewing the corporate report, a few discrepancies were found. c. While traveling to Boston, the auditor will review the financial reports. d. Abraham Lincoln wrote the Gettysburg Address while traveling to Gettysburg on the back of an envelope. e. The manager plans to address the use of cell phones in weekly meetings.

e. The manager plans to address the use of cell phones in weekly meetings.

Which of the following is not a principle of the "you" attitude? a. Stress the reader's benefits of doing what you ask. b. Develop empathy for the reader. c. Emphasize how the reader will be affected. d. Write from the reader's perspective. e. Use the word you frequently when conveying negative information.

e. Use the word you frequently when conveying negative information.

Which of the following does not contain platitudes or other offensive expressions? a. You must realize that full tuition refunds are available only before the first day of class. b. Our company depends on customers like you to pay the balance owed on their accounts on time. c. Apparently you did not carefully read the procedures memo before submitting your travel reimbursement request. d. I find it difficult to believe that your new VCR ate your videotape collection. e. Your letter has been forwarded to the Tulsa division. One of the service specialists will call you by next Friday.

e. Your letter has been forwarded to the Tulsa division. One of the service specialists will call you by next Friday.

The phrase came to an agreement is an example of a. an expletive. b. unnecessary repetition. c. concise language. d. jargon. e. a hidden verb.

e. a hidden verb.

Avoid focusing on the reader in which of the following instances? a. You must refuse the reader's request. b. You disagree with the reader. c. You must point out the reader's mistakes. d. You need to discuss negative news with the reader. e. all of these

e. all of these

Business writers should create an overall tone that a. emphasizes and subordinates ideas appropriately. b. avoids discriminatory language. c. appears confident, courteous, and sincere. d. conveys the "you" attitude. e. does all of these.

e. does all of these.

Positive language a. is more likely to help achieve your objectives than negative language. b. builds and maintains goodwill between you and your reader. c. often provides more information than negative language. d. can be achieved by stressing what can be done instead of what cannot be done. e. does all of these.

e. does all of these.

Sincerity is not conveyed in which of the following statements? a. I'm surprised that you were not aware of the upcoming business luncheon. b. I know you are a top-notch executive and I am a mere college student, but I would appreciate your answers to some questions. c. Your satisfaction is more important than profits; therefore, we will gladly exchange your new stereo system. d. I seriously doubt that you really want me to speak at the awards banquet e. none of these

e. none of these

Sun-2-Shade wants to link its computerized functions of all its divisions and subsidiaries of the firm into an integrated software program that uses a single database in order to develop a more integrated system that improves customer service. Sun-2-Shade could use:

enterprise resource planning.

During the past recession, Cali-Bration Company created a __________ organization, when it restructured and eliminated several middle management positions and broadened the span of control for the remaining managers. As it emerged from the recession, Cali-Bration realized that technology permitted the remaining employees to be just as responsive to customer needs as the firm was prior to restructuring.

flat

Accountants at Idle Time Gaming, Inc., have a big job! Although they work with state-of-the-art systems that create financial statements every day, the interpretation and analysis of those statements can take several hours. The accounting department consists of financial, managerial, and tax accountants. One advantage of departmentalizing the accountants is ______________.

for efficiency, the employees can coordinate work within the function.

The idea of facility layout is to:

have offices, machines, and storage areas in the best position to enable workers to produce goods and services for their customers.

The principle of _______________ means that each person should know to whom they report, and that managers should have the right to give orders and expect others to follow.

hierarchy of authority

A.J. was a newly hired attorney for Idle Time Gaming, Inc. Even though he reported directly to the president of the company, A.J. noticed that the president always had time to converse with the director of sales, calling on him to get a pulse on legal/regulatory issues that, as the company attorney, A.J. could have probably handled. A.J. also noted that the HR manager's administrative assistant was the go-to person for a number of things that would make life easier at work. A.J. was recognizing the _________________ culture at Idle Time Gaming.

informal organization

Even though he is not a manager, Mr. Bilko is the one to see in the company when there is something you need. He will get it quickly, and can avoid the red tape that often delays action. Mr. Bilko is also the one to see if you need advice or help. Mr. Bilko is an important member of the firm's:

informal structure

A Japanese auto company recognized the quality of air-conditioning systems that a U.S. company in Indiana successfully manufactured for the U.S. auto industry. Rather than build its own, it ______________ the air-conditioning component of its models to the U.S. company, which provided several jobs for skilled tradespersons in that state

insourced

The Toyota assembly plant in Tennessee purchases several thousand unassembled parts for automobiles and then performs final assembly of the vehicles before delivering them to dealers all over the nation. Purchasing parts several days or weeks before they are assembled would increase the total cash outlay the plant has tied up in inventory at any given time. In order to reduce the expense of large inventories, most assembly plants have successfully adopted ________ inventory systems.

just-in-time

New production techniques have:

made it possible to custom-make products for individual buyers

The evolving business environment has made ____________ a critical managerial function.

managing change

ABC Company was awarded a bid to build an energy-efficient motor for a large government heating and cooling project. The requirements of the project included a timeline of one year to build and deliver the system. In order to provide a quality product and stay within the time requirements, ABC Company set up a _____________ organization, whereby employees from various functions of the business would join a team to see this project through, from start to finish. Upon completion, the team would disband and members would return to their respective functional units.

matrix

In order to more quickly respond to customer needs, Hewlett-Packard is changing its organizational structure to give more authority and responsibility to field managers located across the country. These managers spend time with customers and know what the customers need right away. It appears that HP is moving toward a _______________ structure.

more decentralized

graph

n/a

graph question

n/a

Anna worked for over an hour trying to set up her new phone by going online to access the manual. She finally gave up and used the store locator to find the service provider's nearest location to her home. Businesses know their products can be complicated and many customers prefer on-site service visits. Brick-and-mortar locations need to ________ in order to compete for the business of busy customers.

offer outstanding customer service and efficient locations

In the past, the major purpose of organizational design was to facilitate the needs of management in making their job easier, rather than ___________________.

pleasing customers

Dewey, Cheatum, and Howe is a car company that makes four models, a hybrid sport utility, a sports car, a four-door sedan, and a compact car. Workers at Dewey basically work on only one type of vehicle, and separate marketing and product development processes are designed for each type of vehicle, to better serve the customers for each type of vehicle. Dewey, Cheatum, and Howe is departmentalized by

product

Maria Escobar works as an attorney for a large East Coast consulting firm. Maria's job is to act as an advisor to the firm's consultants, to be sure that they do not confront any legal issues when they are working at the various clients' job sites. Maria's position would be classified as a __________ position.

staff

Division of labor means ___________.

tasks are divided into areas of specialization among a group of employees

As Idle Time Gaming, Inc.'s business and product lines continue to grow, it wants to limit the need to build additional space to house programmers and other personnel who work on new products. The company has strategically decided to adopt ________ so skilled employees can work from remote locations.

telecommuting

Rachel planned to open a pastry shop in a resort town on the east coast. As she pondered her organizational set-up, she decided she would need four employees to specialize in the creation and production of delicate pastries, and three employees to greet, serve, and sell to customers. One or two of her workers were designated as supervisors. Another preliminary organizational decision that Rachel will most likely tackle is _______________.

the allocation of resources within her operation

Transparency refers to ____________.

the seamless operation of organizational partners, so that each is perceived as an integral part of the operation, and appears to be part of the same company

The following PERT network lists all the different tasks that must occur in order for West Coast Aquatics Swim Club to successfully host a regional swim meet at the Frank Fiscallini Swim Center. The darkened boxes are the critical path because ________.

this represents the path of tasks that will take the longest to complete.

Due to his reputation of putting together powerful presentations, Brock was contractually hired by Robotic Life, Inc., to help this firm introduce the value of its new robotic arms and legs to high-net worth investors. Robotic Life hired Brock strictly for this special project. At this stage of its life, the firm operates as a(n) ______________, where it solicits the services of other companies on an "as needed" basis, and then releases them when the job is done.

virtual corporation