Management Midterm

Power of Buyers

Extent of buyer's influence on suppliers

Power of Suppliers

Extent of suppliers influence on buyers

The ____ environment is everything outside an organization's boundaries that might affect it.

External

In the Women's Pro Softball League (WPSL), the ticket revenues are ____ resources.

Financial

Threat of Substitute Products

Can other products work just as well?

A(n) ____ business is one that is primarily based in a single country but that acquires some meaningful share of its resources and/or revenues from other countries.

International

The norm of ____ means determining whether the act is consistent with what most people would see as fair.

Justice

Reactor

No clear organizational approach; design characteristics may shift abruptly depending on current needs

Whistle blowing

Occurs when an employee discloses illegal or unethical conduct by others within an organization.

Threat of new entrants

Ease of entering the market

Competitive Rivalry

Rivalry between firms in the same industry

5 Megatrends

Shift in global economic power, demographic change, rapid urbanization, rise of technology, and climate change/resource scarcity.

Economic Dimension

The overall health and vitality of the economic system in which the organization operates

How Organizations Adapt to Their Environments

information management; strategic response; mergers, acquisitions, and alliances; organization design and flexibility; direct influence; and social responsibility

Prospector

innovative and growth oriented, searches for new markets and new growth opportunities, encourages risk taking

Emergent strategy

is a developed pattern of actions in the absence of mission and goals or despite mission and goals. A strategy that is created over time as your plan makes contact with an ever-changing reality

The Product Life Cycle

is a model portraying how sales volume for products change over the life of the product.

Analyzer

maintains current markets and current customer satisfaction with moderate emphasis on innovation

Communication skills

The manager's abilities both to effectively conveyideas and information to others and to effectivelyreceive ideas and information from others.

Technological dimension

The methods available for converting resourcesinto products or services.

Regulatory agencies

An agency created by the government to regulatebusiness activities.

Organization Culture

The set of values, beliefs, behaviors ,customs, and attitudes that helps the members of the organization understand what it stands for, how it does things, and what it considers important.

The ____ is the extent to which new competitors can easily enter a market or market segment.

Threat of new entrants

How to identify a megatrend

look at macroeconomic factors such as demographic shifts, technological developments and political changes.

Effectiveness

making the right decisions and successfully implementing them producing a desired result

Accommodative Stance

meets legal requirements and goes beyond sometimes.

Maquiladoras

are light-assembly plants built in northern Mexico, close to the U.S. border.

Global Business

transcends national boundaries and is not committed to a single home country.

Multinational Business

uses a worldwide marketplace to buy materials, borrow money, manufacture, and sell its products.

A(n) ____ business transcends national boundaries and is not committed to a single home country.

Global

Sociocultural dimension

The customs, mores, values, and demographiccharacteristics of society.

The Sarbanes-Oxley Act of 2002 ____.

Imposes tough measures to deter corporate and accounting fraud

International dimension

The extent to which an organization is involved in oraffected by business in other countries.

Political-legal dimension

The government regulation of business and therelationship between business and government.

Interest group

A group organized by its members to attempt to influencebusiness.

Conceptual skills

The manager's ability to think in the abstract

Efficiency

Using resources wisely and in a cost effective way

Deliberate strategy

is a chosen plan of action implemented to support specific goals

overall cost leadership

reduce manufacturing and other costs

three sources of competitive advantage

-global efficiencies -multinational flexibility -worldwide learning

Management Process

1. Planning and Decision making 2. Organizing 3. Leading 4. Controlling

Organization

1: Human Resource 2: Financial Resource 3: Physical Resource 4: Information Resource

code of ethics

A formal, written statement of the values and ethical standards that guide a firm's actions

In what way is a global business different than a multinational business?

A global business is not committed to a single home country.

Regulators

A unit that has the potential to control, legislate, orotherwise influence the organization's policies andpractices

How an organization treats its employees

Hiring, firing, wages, work conditions, privacy and respect.

In the Women's National Basketball Association (WBNA), the coaches, managers, and players are ____ resources.

Human

____________ is the least risky type of international business in which firms usually become involved with.

Importing/exporting

Organizational stakeholders

Person or organization who is directly affected by the practices of an organization and has a stake in its performance

In the National Football League, stadiums like the SoFi Stadium in Los Angles are ____ resources.

Physical

Flowers can be purchased from florists, supermarkets, discount stores, and street vendors. In the 1920s, the most popular flower was the narcissus. In the 1960s, daisies were extremely popular. In the latter part of the twentieth century, roses were popular. This changing taste in flowers reflects changes in the ____ dimension of the general environment.

Sociocultural

Task Environment

Specific organizations or groups that influence an organization

McDonalds operates restaurants in airports around the world. The agreement between McDonalds and the airports is a(n)

Strategic alliance.

The BCG matrix

a method of evaluating businesses relative to the growth rate of their market and the organization's share of the market.

Domestic Business

acquires all of its resources and sells all of its products or services within a single country.

World Trade Organization (WTO)

began in 1995 and replaced the GATT, absorbing the GATT, absorbing its mission. Requires members to open their markets totheir markets to international trade follow WTO rules

The Task Environment

competitors, customers, suppliers, strategic partners, regulators, Regulatory agencies, and interested group

Manager Skills

conceptual, technical, interpersonal, time-management, decision making, communication, diagnostic

The four types of organizational justice are:

distributive, procedural, interpersonal, andinformational.

Defensive Stance

does only what is legally required, nothing more

Obstructionist Stance

firm does as little as possible

Multinational Flexibility

gives firms the ability to respond to change in one region by making changes in other regions

Worldwide Learning

gives firms the advantage of adopting best practices from wherever they originate

Examples of mega trends

health, population growth, urbanization and digitalization

The Internal Environment

owners, board of directors, employe issues, The Physical Work Environment

Sarbanes-Oxley Act of 2002

requires CEOs and CFOs to vouch for the truthfulness of their firm's financial disclosures.

Proactive Stance

views itself as a citizen and seeks opportunities to contribute.

Diversification

the number of different businesses an organization engages in and the extent to which these businesses are related to each other.

Five Competitive Forces

the threat of new entrants, competitive rivalry, the threat of substitute products, the power of buyers, and the power of suppliers

Levels of Management

top managers, middle managers, first-line managers

According to Griffin's definition, In n Out Burger is considered a _______ business.

Domestic

Technical Skill

Are necessary to accomplish to understandthe specific kind of work being done in anorganization.

Which of the following occurs when a firm headquartered in one country, purchases operating facilities in a foreign country? A: licensing B: direct investment C: a strategic alliance D: joint venture

B. Direct investment

Which of the following refers to using resources wisely and in a cost-effective way? A: pervasiveness B: reliability C: efficiency D: effectiveness

C. Efficiency

Which of the following statements BEST reflects the relationship between management and leadership? A: Management and leadership are the same thing. B: Leadership and management are unrelated concepts. C: Leadership is only one part of management. D: Management is only one part of leadership.

C. Leadership is only one part of management.

Which is one of the four basic management functions, and requires determining how to group activities and resources? A: correcting B: motivating C: organizing D: disciplining

C. Organizing

Boards of directors are responsible for which area of emerging ethical issues?

Corporate governance

When Starbucks operates in other countries, it customizes snacks to local tastes. This is a(n) ____ challenge for international managers.

Cultural

How employees and the organizations treat other economic agents.

Customers, competitors, stockholders, suppliers, dealers, and unions.

The process of actively monitoring the environment through activities such as reading and observation is called ____.

Environmental scanning

What is often considered to be the most important and most challenging of all management activities? A: Leading B: Organizing C: Controlling D: Planning

D. Planning

Which skills are most important for first-line managers? A: Operational B: Diagnostic C: Conceptual D: Technical

D. Technical

Which of the following correctly lists all of the basic management functions? A: decision making, controlling, leading, and coordinating B: planning, decision making, organizing, and controlling C: planning and decision making, leading, and organizing D: planning and decision making, organizing, leading, and controlling

D: Planning and decision making, organizing, leading, and controlling

Which of the following is a thorough, formal analysis of the effectiveness of a firm's response to social responsibility? A: a legal compliance assessment B: an ethics review C: whistleblowing D: a corporate social audit

D: a corporate social audit

Human resource

Definition and example

The firm using a(n) ____ approach to social responsibility meets its obligations and is also willing to respond to appropriate societal requests.

Accommodative

The primary purpose of The Management Process (What do Managers Do?) is to ____.

Achieve organizational goals efficiently and effectively

____ is the cultural belief that the person comes first.

Individualism

In the Major League Soccer (MLS), the promotional ads are ____ resources.

Informational

The relationship between business and government is part of the ____ dimension.

Political-legal

Theo works for a data mining company. He recently discovered a co-worker who has knowingly breached the company's online privacy policy to complete an important project for his manager. If Theo decides to report this breach, his actions will be considered ____.

Whistleblowing

Where does any effort to enhance ethical behavior in the workplace begin?

With top management

General Agreement on Tariffs and Trade (GATT)

is a trade agreement to promote international trade by reducing barriers and making it easier for all nations to compete into international markets

International Business

is based in a single country but acquires meaningful resources and/or revenues from other countries.

Market economy

is based on the private ownership of business that allows market factors such as supply and demand to determine business strategy

Strategy implementation

is the methods by which strategies are executed within the organization it focuses on the processes which achieve strategies.

Strategy formulation

is the set of processes involved in creating or determining the strategies of the organization it focuses on the content of strategies.

Megatrends

Are trends that have an effect on a global scale. Some of the current mega trends are identical with global threats. It's also a major movement, pattern, or trend emerging in the microenvironment.

The extent to which the environment is relatively stable or dynamic is referred to as the degree of ____.

Change

Market systems.

Clusters of countries that engage in high levels of trade with one another

Focus

Concentrate on specific regional market, product market, or group buyers

A manager's ability to think in the abstract is a(n) ____ skill.

Conceptual

How employees treat the organization

Conflicts of interest, secrecy, confidentiality, and honesty.

What is the extent to which an organization follows basic standards of moral behavior?

Ethical compliance

Porter's Generic Strategies

Differentiation, Overall cost leadership, and Focus

Differentiation

Distinguish products or services

International Business

Domestic, International, Multinational, Global

When a locally owned construction firm fears new competition from a national chain such as Toll Brothers moving in, it is experiencing a change in its...

External environment.

When IBM makes large contributions to the performing arts, it is working in which general area of social responsibility?

General social welfare

Global Efficiencies

Location efficiencies allows firms to locate wherever they can obtain cost advantage. - Economies of scale lowers the per unit cost of production due to large quantities. - Economies of scope lowers cost per unit by sharing expenses across product lines

eBay is based in San Jose, California, but buyers and sellers on the site are located around the world. eBay is a(n) ____ business

International

The extent to which an organization is affected by or involved in businesses in other countries refers to its ____.

International dimension

Which type of justice relates to the degree of fairness people see in how they are treated by others in their organization?

Interpersonal

What is meant by the glass ceiling

It is a barrier that keeps women and other minorities from upper management positions.

Who or what is generally the starting point of an organization's culture?

Its founder

The National Football League and team owners allow shirts, hats, blankets, and many other products to be sold with team logos on them. The teams and league get a percentage of the sale. The teams have chosen to use a(n) ____ strategy to generate more income.

Licensing

The light assembly plants built in Northern Mexico close to the U.S. border, and are given tax breaks by the Mexican government, are referred to as ____.

Maquiladoras

What is involved in the managerial function of controlling?

Monitoring an organization's progress toward its goals.

Companies that take a(n) ____ stance to social responsibility do as little as possible to solve social or environmental problems.

Obstructionist

The Four stances of an organization

Obstructionist stance, Defensive stance, Accommodative stance, Proactive stance.

Employees are more likely to be motivated to participate in activities, follow rules, and accept outcomes when the perceive a high level of ____.

Procedural justice

The Miles and Snow Typology

Prospector Defender Analyzer Reactor

Defender

Protects current markets, maintains stable growth, serves current customers

In what way can the government attempt to influence how a business operates, and what they can and cannot do?

Regulation

The Federal Communications Commission monitors radio broadcasts for inappropriate content. This is an example of the ____ component.

Regulator

Decision-making skills

The manager's ability to correctly recognize anddefine problems and opportunities and to thenselect an appropriate course of action to solveproblems and capitalize on opportunities.

Which of the following would be an ethical breach on the part of an employee toward the organization? A: sharing confidential information B: paying more than necessary C: hiring a personal friend D: a manager sharing private information about an employee

A. sharing confidential information

Management can best be defined as...

Achieving organizational goals in an efficient and effective manner

Managerial Ethics

Are standards of behaviorthat guide individual managers in their work.

Interpersonal skills

Are the ability to communicate with,understand, and motivate both individuals andgroups.

What is the term that describes differences among people?

Diversity

General Motors sold an auto parts company because profitability was low. The primary environmental dimension considered was...

Economic

Unemployment rates, interest rates, and economic growth are part of the ____ dimension of organizations.

Economic

The General Environment

Economic, technological, sociocultural, political- legal, and international dimensions

Since the company's founding, Petra and her top executives have provided a consistent message to employees that customers, employees, communities where the company did business, and shareholders were all important. This is an example of what type of informal organization dimension of managing social responsibility.

Leadership practices

Executives carry smart phones that keep them connected to people and information all day. This is an example of the ____ dimension of the external environment.

Technological

The ____ dimension refers to the methods available for converting resources into products and services.

Technological

Time-management skills

The manager's ability to prioritize work, to workefficiently, and to delegate appropriately.

Diagnostic skills

The manager's ability to visualize the mostappropriate response to a situation.

General Environment

The set of broad dimensions and forces in an organization's surroundings that create its overall context.