Chapter 2: Challenges for Managers

Robert Ferro exposed a huge problem at Northrup Grumman. The company was selling faulty electronic equipment to the government and was required to pay a $325 million settlement to the U.S. government. This is a good example of

whistleblowing

In order to compete in a global economy, companies have to handle social changes, political changes, and cultural differences. Suppose that you are originally from the United States. You have been offered a job as an expatriate manager in Dubai, a country with a culture that is radically different from yours. What competencies would you need to take on this assignment? Check all that apply. Risk aversion Influencing others Cultural adventurousness Flexibility

Cultural adventurousness Flexibility

Which of the following companies has long-term orientation? Petrov is a farmer in Russia. He often thinks of the good old days when his neighbors gathered together to help each other, and the old traditions were upheld. Today, it seems like everything is changing, but as long as this year's wheat crop is good, things will be okay. Riesa Corporation is focused on making a profit quickly. Sales results are reviewed weekly, and if a new product doesn't turn a profit in six months, production is stopped and resources are moved to a different product. Hikooki Flight is a Japanese plane manufacturing company. Mr. Hikooki is a planner, and he knows what the company will be doing 25 years from now. He is constantly reminding his employees about the importance of creating efficient and reliable products so that the company does not need to do rework.

Hikooki Flight is a Japanese plane manufacturing company. Mr. Hikooki is a planner, and he knows what the company will be doing 25 years from now. He is constantly reminding his employees about the importance of creating efficient and reliable products so that the company does not need to do rework.

Prejudice or Discrimination: Assuming that baby boomers are slower and less creative than millenial employees. Not promoting a female employee because she is a woman.

-prejudice -discimination

Salim is a recycling expert for a large garbage company. He helps the company to develop new recycling processes that more efficiently process waste from homes in his area. Recently, Salim has started to become concerned because he feels that his company isn't treating employees properly. As a result, Salim set up a meeting with other employees to discuss unionization, and he sent a letter to senior managers recommending the hiring of an ethics executive to protect the rights of employees in the workplace. Salim is most likely to be a member of the_______________.

Baby boomer generation

Which of the following are problems associated with diversity? Check all that apply. Diversity can cause people to resist change. Diversity can slow down decision making. Diversity leads to poorer problem solving. Diversity reduces organizational flexibility.

Diversity can cause people to resist change. Diversity can slow down decision making.

Companies can shatter the glass ceiling by doing which of the following? Check all that apply. Putting women on standing committees that address key business issues Restricting the number of hours that women are allowed to work Putting systems in place that identify women with high achievement potential Supporting the advancement of women

Putting women on standing committees that address key business issues Putting systems in place that identify women with high achievement potential Supporting the advancement of women

At the heart of character and virtue ethics is a. emotional intelligence. b. a universal standard of behavior. c. religion. d. utilitarianism.

a. emotional intelligence.

Nick owns FreeLife, a company that imports automated external defibrillators (AEDs) from Ireland to the United States. FreeLife is an _______ organization because its managers take a U.S. perspective in running the company. They do not make decisions based on a global approach to their business.

international

When a company has LGBT-friendly policies, its stock price is likely to go ____

up

Which of the following companies has high power distance? At Anderson's Autos, compensation is based on how much you sell, not on what your job title is. Sales figures and overall profitability results are shared freely throughout the company, and managers and employees routinely get together to brainstorm about new ways to increase revenues. In Allegra Systems, all of the managers wear suits and ties, while all of the employees wear casual dress. Managers are asked to speak first in every meeting, and employees rarely contradict what they say. Dave Douglas, the CEO of Intrane, LLC, routinely walks through the office, stopping to chat with his employees. He encourages them to speak freely, and he gives them credit for their good ideas. His employees all say that Dave is one of the few bosses whose open door policy is just that: an open door.

In Allegra Systems, all of the managers wear suits and ties, while all of the employees wear casual dress. Managers are asked to speak first in every meeting, and employees rarely contradict what they say.

Which of the following companies has high femininity? At Big Fat Losers, Inc., weight counselors compete to see who can get the weight off their clients the fastest and keep it off the longest. If counselors have to intimidate clients a little to spur them on to a healthier lifestyle, well, that's the way it goes. Yes, sometimes the clients leave their counseling sessions in tears, but you can't argue with success. Last year, one counselor was responsible for clients losing more than 5,000 pounds of excess weight. The fishermen in the small salmon fishing cooperative of Kodiak Island, off the coast of Alaska, routinely help each other by sharing information on where fish are biting, providing each other with materials for boat repairs, and sharing the profits from their catches. In addition, the fishermen on Kodiak Island donated almost 13,000 pounds of salmon to a nearby village with a 25% unemployment rate. You had better be completely dedicated to your job if you want to work for Rajbit Research. Scientists are routinely expected to work 16-hour days and don't even think about asking the boss about time off for a child's soccer game. But if you're willing to put in the hours, Rajbit is an exciting company to work for. It has patented 20 new drugs in the last 2 years.

The fishermen in the small salmon fishing cooperative of Kodiak Island, off the coast of Alaska, routinely help each other by sharing information on where fish are biting, providing each other with materials for boat repairs, and sharing the profits from their catches. In addition, the fishermen on Kodiak Island donated almost 13,000 pounds of salmon to a nearby village with a 25% unemployment rate.

he Four-Way Test asks members of Rotary Clubs to consider what they think, say, and do. It asks the following three questions: (1) Is it the truth? (2) Is it fair to all concerned? (3) Will it build goodwill and better friendships? What is the fourth question of the Four-Way Test? Will it be beneficial to all concerned? Will it convey my point accurately? Will others understand it? Is it efficient?

Will it be beneficial to all concerned?

Which of the following statements accurately describes gender diversity? a. In the United States, the glass ceiling tends to prevent women's movement to the executive level. b. Global female business leaders predominately come from the West. c. Median weekly earnings for women now match their male counterparts' earnings. d. The number of women in the U.S. labor force reached its peak in 1999 with a rate of 90%.

a. In the United States, the glass ceiling tends to prevent women's movement to the executive level.

According to Hofstede's research, what country is individualistic, has weak power distance, tolerates uncertainty, is masculine, and has a short-term orientation? a. United States b. Australia c. China d. Great Britain Hide Feedback

a. United States

Adam Smith's doctrine of natural liberty argues for open-market competition and free trade, which is similar to a. consequential theories of ethics. b. cultural relativism. c. rule-based theories of ethics. d. character theories of ethics.

a. consequential theories of ethics.

A popular athletic shoe company is focused on reducing the environmental impact of its supply chain, which is an example of a. corporate social responsibility. b. distributive justice. c. whistleblowing. d. procedural justice.

a. corporate social responsibility.

All of the following are benefits of workforce diversity EXCEPT a. enhanced communication b. attraction and retention of the best talent c. improved marketing efforts d. better problem solving

a. enhanced communication

What global business practice has the greatest potential for creating economic challenges? a. layoffs b. gift giving c. communication between generations d. use of symbols in technology

a. layoffs

Which term refers to the theory that there are no universal ethical principles and that people should not impose their own ethical standards on others? a. Aristotelian principle b. cultural relativism c. categorical imperative d. utilitarianism

b. cultural relativism

Lyft is a better company than Uber because Logan Green, the cofounder of Lyft, is concerned about the environment and trying to make it better in any way he can. Green and Zimmer believe in the importance of the community, and they show evidence of good judgement and integrity.

character ethics

Lyft is a better company than Uber because Lyft drivers make more per hour than Uber drivers.

consequential ethics

It is impossible to compare Lyft and Uber because Uber operates overseas, and Lyft does not. The companies' ethical values will be different in different locations and we should not expect either company to have practices that are considered ethical worldwide.

cultural relativism

All of the following statements about sexual harassment in the workplace are true EXCEPT a. Good corporate policies do not absolve the company of any problems resulting from harassment. b. It is more likely to occur in male-dominated workplaces. c. Supreme Court rulings tend to blame the company when its managers create sexually hostile working environments. d. Bystander interventions have no effect on workplace sexual harassment.

d. Bystander interventions have no effect on workplace sexual harassment.

Which of the following statements accurately describes guanxi? a. To build guanxi, Americans must negotiate quick, specific agreements with those in command. b. It is more common in societies with well-developed legal support for private businesses. c. Guanxi is a concept unique to China. d. It can mean anything from strongly loyal relationships to ceremonial gift giving.

d. It can mean anything from strongly loyal relationships to ceremonial gift giving.

Which generation of workers tends to place high importance on creativity and seek work in line with their values? a. Baby boomers b. Silent generation c. Baby busters (aka Generation X) d. Millennials (aka Generation Y)

d. Millennials (aka Generation Y)

In a company-wide meeting, Spiro questioned the huge discrepancy between his salary and that of the company's CEO. Spiro's question can be viewed as a matter of a. social responsibility. b. procedural justice. c. whistleblowing. d. distributive justice.

d. distributive justice.

All of the following are typical of cultures characterized by traditional masculinity EXCEPT a. high valuation of materialism b. importance of money and power c. admiration of achievement d. emphasis on the environment

d. emphasis on the environment

Managers are more likely to consult employees and work with them to achieve harmonious results when the culture is characterized by a. individualism. b. low uncertainty avoidance c. future time orientation. d. low power distance.

d. low power distance.

What is the most current term for organizations that do business in several countries? a. multinational organizations b. international conglomerates c. multicultural businesses d. transnational organizations

d. transnational organizations