MGT201: UNIT 3 QUIZ

According to Hofstede, which of the following is an implication of low power distance?

Dispersed authority

In low uncertainty avoidance countries managers are advised to provide structure and order to reduce uncertainty and ambiguity for subordinates. T or F

False

In societies with low power distance, people are more likely to accept that power inequality is good and acceptable. T or F

False

International trade specialists that buy goods at a discount from small businesses and resell them abroad are called:

export trading companies

The WTO's most important functions are all of these EXCEPT:

financing the infrastructure development projects in less developed countries.

In the management assistance area, the Small Business Administration (SBA) provides all of the following EXCEPT:

free college credit courses in management

_____ are individual investors or groups of experienced investors who provide funding for start-up businesses.

Angel investors

Which of these describe a belief that corporations have a social responsibility beyond pure profit?

CSR

____ is related to influencing behaviors to act in accordance to the law or face consequences.

Compliance

Which of the following refers to individuals' capabilities to function and manage effectively in culturally diverse settings?

Cultural intelligence

James is the owner of a small toy manufacturing company. James primarily focuses on buying and selling of products using the Internet. Which of the following best describes James' business practice?

E-commerce

According to Hofstede, which of the following is an implication of high individualism?

Employee-employer relationship based on the market

When leaders believe they can do no wrong because of who they are, it refers to which of these symptoms of the failure of ethical leadership?

Ethical complacency

Samantha, manager at ABC International, is facing situations and predicaments in which there is not an optimal or desired choice to be made between two options, neither of which solves her issue or delivers an opportunity that is ethical. Samantha can be described as facing which of these?

Ethical dilemma

When a leader is not able to see inconsistencies among values he say he follows, it refers to which of these symptoms of the failure of ethical leadership?

Ethical incoherence

When leaders are unable to act on their values from lack of knowledge or fear of the consequences of their actions, it refers to which of these symptoms of the failure of ethical leadership?

Ethical paralysis

Businesses close down for many reasons. Which of the following is NOT a typical reason for a business failure?

Expenses were lower than the owner expected.

Which of the following occurs when a company invests in another country by constructing facilities and buildings in that country?

FDI

Entrepreneurial activities are not influenced by changes in the external environment. T or F

False

Ethical blindness refers to when leaders are not able to see inconsistencies among values they say they follow. T or F

False

Ethics is related to influencing behaviors to act in accordance to the law or face consequences—referred to as a "stick" approach. T or F

False

FDI is a contractual agreement whereby, in exchange for a royalty or fee, a company gives the right to another company to use a trademark, know-how, or other proprietary technology. T or F

False

The culture of compliance refers to when people trust online reviews of their companies more than what companies communicate. T or F

False

The global strategy is the one in which a company adapts its products to meet the needs of the local market. T or F

False

Unfortunately, rights principle is grounded in legal but not moral rights. T or F

False

Unlike large corporations, sole proprietorships do not need a business plan. T or F

False

Which of the following leadership profile describe the degree to which the leader shows compassion and generosity, according to the GLOBE project?

Humane-oriented

_____ is at the core of most business failures.

Inadequate planning

_____ are entrepreneurs who apply their creativity, vision, and risk taking within a large corporation rather than starting a company of their own. They enjoy a high degree of autonomy while receiving a regular salary and financial backing from their employer.

Intrapreneurs

According to Hofstede, the degree to which a society emphasizes traditional qualities such as advancement and earnings refers to which of these?

Masculinity

Which dimension of cultural intelligence reflects the ability and desire to continuously learn new aspects of cultures and adapt to them?

Motivational dimension

Which of the following describe the only two cultural dimensions unique to the GLOBE project?

Performance orientation and humane orientation

Which of the following represents a moral and legal entitlement-based approach?

Rights

Entrepreneurs typically are innovators who start companies to pursue their ideas for a new product or service. T or F

True

Exporting is one of the easiest ways to go international. T or F

True

Which of the following describe the government policies through which countries agree to eliminate cross-border barriers to trade and to promote global integration?

Trade agreements

For ethical leaders, authenticity and integrity, in addition to their values, are also important components of character and behavior that must also be translated into attitude and action toward followers, external stakeholders, and broader communities. T or F

True

Many small businesses that sell their products internationally use the services of export management companies (EMCs). T or F

True

One of the biggest advantages that a small business has over a large business is a greater ability to serve specialized markets. T or F

True

Our choices and decision-making processes and our moral principles and values that govern our behaviors regarding what is right and wrong are also part of ethics. T or F

True

The most common use of a business plan is to persuade lenders and investors to finance the venture. T or F

True

Which of the following represents a duty-based approach?

Universalism

Use of which of these principles generally applies when resources are scarce, there is a conflict in priorities, and no clear choice meets everyone's needs—that is, a zero-sum decision is imminent?

Utilitarianism

____ is based on character traits such as being truthful, practical wisdom, happiness, flourishing, and well-being.

Virtue Ethics

The difference between the small business owner and the entrepreneur is that the entrepreneur:

assumes the risk of the business

Kathy Elliot has decided that she will start an Internet company to sell reliable used cars to customers nationwide. She has decided to use the sole proprietorship business format. Elliot's next step is to write a formal _____ before she applies for a business loan.

business plan

Mark Ghermizian had quit his job and was looking to start a small business so he could be his own boss. When he read that people spend up to fifteen minutes every day staring at a bathroom stall door, he decided he would find advertisers who wanted to pay to have their advertising messages on bathroom stall doors. Since he has his idea, Ghermizian's next step is to:

choose a form of business organization

In societies with high _______ scores, people are seen as being part of a wider group, known as the in-group.

collectivism

The two forms of business financing are _____ (borrowed funds) and _____ (ownership funds).

debt; equity

Examples of _______ are being helpful, honest, courageous, independent, and polite.

instrumental values

When Allison Logue found out her children were allergic to corn, she started looking for sweets and starches that were corn-free and was dismayed to find very few such products on the market. As a result, she has started her own small business to produce and market corn-free desserts. It is a small market, and Logue plans to keep her business small. Logue is an example of a(n):

micropreneur

Michael Bronner made a killing in the direct marketing business as the cofounder and CEO of Bronner Slosberg Humphrey, a wildly successful direct-marketing firm. His newest venture, Upromise Inc., enlists some of America's largest corporations to help families pay for college and is extremely successful. The 40-year-old Bronner will more than likely start at least one more new company before he retires because Bonner is a(n):

multipreneur

A(n) _____ is any group or individual who can affect or is affected by an organization's strategies, major transactions, and activities.

stakeholder

According to Chester Barnard, ______ is one that inspires "cooperative personal decisions by creating faith in common understanding, faith in the probability of success, faith in the ultimate satisfaction of personal motives, and faith in the integrity of common purpose.

values-based leadership