BUSINESS 100 MIDTERM PART 1 STUDY SET

Which of the following statements about managerial skills is true?

All of the statements about managerial skills are true.

_____ occurs when no money is involved in the exchange of goods or services.

Bartering

_____ uses a computer to design and test new products and modify existing ones.

Computer-aided design

____ is the ratio of benefits to the sacrifice necessary to obtain those benefits.

Customer value

_____ is the process of grouping jobs together so that similar or associated tasks and activities can be coordinated.

Departmentalization

_____ are goods and services that are made in one country and sold to other countries.

Exports

A good manager is never faced with unforeseen problems.

False

The Occupational Safety and Health Act requires that employers provide health insurance for their employees.

False

The _____ created the world's largest free-trade zone.

North American Free Trade Agreement

_____ focuses on smoothing transitions along the supply chain so that the firm can satisfy its customers with quality products and services while focusing on forging tighter bonds with its suppliers.

Supply chain management

Computer-aided manufacturing (CAM) uses computers to develop and control the production process.

True

Service companies generally use a repetitive or intermittent production process rather than the continuous process.

True

The _____ is an agreement that dramatically lowered trade barriers worldwide and created the new World Trade Organization (WTO).

Uruguay Round

Which of the following factors affects an employee's compensation?

all are correct statements

Which of the following is an example of a business?

all of the these Ford Motor Company Lawson & Tyler law offices Walmart Jack & Jill, a specialty clothing store for young children

Middle managers usually:

carry out plans and policies of top management

A mechanistic organization has

centralized decision making

Pierre Cardin gives technical advice on textile manufacturing to China and in exchange receives silk and cashmere. This is an example of a(n):

countertrade

In a(n) _____ election, the workers may vote out an existing union.

decertification

In 1997, Russia and Ukraine exported carbon steel plate into the U.S. at a price much lower than the countries were found guilty of charging the identical steel in their home markets. Russia and Ukraine were engaged in:

dumping

A country that exports more goods than it imports is said to have a(n)

favorable balance of trade

A country that exports more goods than it imports is said to have a(n):

favorable balance of trade

Currency markets operate under a system called _____. This means that prices of currencies vary based upon demand and supply of that currency.

floating exchange rate

Hugh Larrimore, Wilson Knight, and Frieda Perez have worked together for twelve years. They always clock in and clock out together. If one of the threesome happens to be late, the others will wait for him or her. This commonly accepted behavior for this informal group is called a(n):

group norm

A key element in capitalism is:

individual ownership of property

A _____ is a study of the tasks required to do a particular job well.

job analysis

Stuart McFarland is sales manager for a hotel. His job entails leading, motivating, and communicating with employees. McFarland's main management activity is:

leadership

As one of the factors of production, natural resources includes all of the following EXCEPT:

machinery

A(n) _____ is a union that consists of many local unions in a particular industry, skilled trade, or geographic area and thus represents workers throughout an entire country.

national union

Within the music industry, four companies (UMG, Sony-BMG, EMI, and Warner) control 90 percent of the music you hear. The music industry operates in a(n) _____ market structure.

oligopoly

The _____ measures prices paid by producers and wholesalers for commodities, including raw materials and finished products.

producer price index

The unprocessed corn used as the primary ingredient in many brands of dog food is an example of:

raw material

Decentralization is usually desirable in a company when:

the firm is operating in a dynamic environment

The major difference between a good and service is how the producer uses the factors of production to create each. t or f?

true

The categories of heavy, moderate, and light users have to do with which type of segmentation?

volume

_____ is the aspect of production control that involves specifying and controlling the time required for each step in the production process.

Scheduling

Creative Good is a 35-person strategy-consulting firm that believes you must create a good employee experience to offer a good customer experience. Toward this goal, Creative Good focuses on collaborative workshops, full-staff meetings, and a company-wide emphasis on relationships and communication--from the customer to the client, to the employees of Creative Good, and to the company's leaders. This description represents the _____ of Creative Good.

corporate culture

Cherokee Spring Mill produces four varieties of corn meal based on how finely the corn is ground. The mill makes long production runs of high volume. Cherokee Spring Mill uses a(n) _____ process. customized

continuous

The most fundamental reason for the growth in world trade is probably due to:

the need for businesses to expand their markets

A strategic alliance is a cooperative agreement between business firms. t or f?

true

One of the most difficult challenges when merging two global companies is uniting the two company's organizational culture.

True

The quality of life is:

the general level of human happiness based on such things as life expectancy, educational standards, health, sanitation, and leisure time

Allyson Cooke is a union member and an employee of a company that manufactures surgical equipment. She believes she has a grievance because her supervisor made her work an hour longer than usual for several days and has refused to pay her any overtime. Cooke should contact her _____, who represents union members to management when workers have complaints.

shop steward

_____ are groups of employees who share resources and coordinate efforts so as to help members better perform their individual duties and responsibilities. The performance of this group can be evaluated by adding up the contributions of the individual group members.

Work groups

Employers set up _____ to expand job opportunities for women and minorities.

affirmative action programs

In 1947, the largest brewer in the U.S., Schlitz, had a 4.57 percent share of the domestic market. (Anheuser-Busch was number four in those days). The top ten brewers, including the number one brewer, had 29.29 percent of the domestic market. Over 70 percent of the domestic market was controlled by "all other" brewers. By the year 2001 the largest brewer was Anheuser-Busch, with a 54.76 share of the domestic market. The top ten brewers held 97.04 percent share of the domestic market in 2001. Thus, the brewing industry in the U.S. became a(n) _____ market structure.

imperfect competition

Larry Gomez is a warehouse manager for a company that markets electric generators. In this small entrepreneurial firm, there are direct lines of communication and authority flowing from the company's CEO down to Gomez and through her to the workers in the warehouse. Gomez works in a _____ organization.

line

Because with building costs soaring out of sight, there is pent-up demand for a well-designed, green-built, contemporary home that's actually affordable. That means it has to be efficiently constructed, and the best way to do this is in a factory, where it can be put together on an assembly line, like an automobile. A company has developed the Glidehouse can be built that way in 19 days in a factory near Vancouver, British Columbia, then trucked to your property. Glidehouse is produced through:

the assembly process

Which of the following companies would be LEAST likely to use the continuous process?

a bakery

A company that uses departmentalization groups jobs under the authority of one manager for the purposes of planning, coordination, and control.

True

Management is the process of guiding the development, maintenance, and allocation of resources to achieve objectives.

True

One of the advantages multinational corporations have over other companies is their ability to sidestep regulatory difficulties.

True

The selection interview is designed to test an applicant's communication ability and motivation.

True

When a country sells its products in a foreign country at a cheaper price than usual, and sometimes even at a loss, it is dumping products.

True

The _____ is a list of components and number of each needed for file cabinets that a manufacturing company will produce.

bill of material

he two types of business products are classified as expense and non-expense items.

false

Which of the following is an example of a social factor that influences the consumer decision-making process?

family

Cellular manufacturing combines aspects of both:

fixed position and assembly-line layouts

The purpose of reengineering is to

identify and abandon the outdated rules and fundamental assumptions that guide current business operations

In a large metropolitan market, it is relatively easy to set up a law office. The ease of entry explains why you will find hundreds of lawyers listed in the New York City phone book. Each lawyer is a close substitute for another but with slight differences. Which of the following market structures best describes the one in which lawyers operate?

monopolistic competition

_____ refers to the core values and beliefs that support the mission and the business model of the firm and guide employee behavior.

Corporate culture

_____ pricing is the strategy of increasing the price of a product so that consumers will perceive it being of higher value.

Prestige

Luca Villanova has a major decision to make about how to increase attendance for the professional soccer team he owns. He wants to call his players and coaches together, generate alternatives, and come up with a solution by mutual agreement and vote. His style of leadership is called:

democratic (participative)

Alysha Johnson is a manager who communicates effectively, successfully motivates and leads her workers, and allows them leeway in making decisions. Copeland is said to have good:

human relations skills

Steve Miller, group managing director of the Royal Dutch/ Shell Group of Companies, uses what has been labeled as "grassroots leadership." He devotes more than 50 percent of his work time to getting input from the company's front-line employees. By listening to their suggestions, the company has increased its productivity and placed an emphasis on quality. His leadership style is:

participative

3M Consumer Healthcare has introduced a "Home 'n Go Pack" packaging concept that organizes each of its bandage offerings into a separate plastic pouch within the bandage box. The pouch is visible through a window in the external packaging. The decision to offer this new packaging was made as part of the _____ strategy.

product

xpense items that have undergone little or no processing and are used in the manufacture of end products are called:

raw materials

Protected classes are:

specific groups that are protected against employment discrimination

Two co-workers at Nortel came up with an idea for renting software over the Internet. Nortel's top management liked the idea and set up a special division called Channelware devoted to taking the idea and making a new product. The ability of the Nortel top management to create this new division and assign employees to it is a result of their having _____ power

legitimate

A research employee at the European Metabolic Diseases Group would have a boss at the company's European Research department and a boss at the company's European Metabolic Diseases product group. This would be in violation of:

unity of command

Transmissions purchased by the Snapper Inc. to build riding lawn mowers are called component parts.

True