GEB1011 FINAL - QUIZZES (CHP 4 + 7)

Which of the following statements about incorporation is true?

Articles of Incorp. may vary slightly from state to state

Clarence Danvers is buying a Cinnabon franchise at the airport in Tulsa. Danvers knows that he will get all of the following benefits EXCEPT:

Assistance in personal income tax prep

The first step to incorporating a company is to:

select the company's name

Which of the following provides the legal & managerial guidelines for operating the firm?

Bylaws

A Mechanistic Org has:

Centralized decision making

A structure in which authority and responsibility are held by a group of workers rather than a single manager is called a ____ structure

Committee Structure

A group of cotton growers in North Georgia & North Alabama pooled their resources to build a cotton gin & storage area for the cotton. They marketed their cotton to textile mills under ONE label. This collective ownership organization is a:

Cooperative

What type of business org generates the most sales?

Corporations

__________ is the practice of giving great deal of authority & decision-making freedom to lower-level managers

Decentralization

With its ease of registration and pro-corporate policies, _____ is called the "state of incorporation." About half of the Fortune 500 companies are incorporated there.

Delaware

Which of the following statements describes one of the strengths of group decision making?

Group decision making results in a higher-quality decision than individual decision making

One of the disadvantages of the matrix structure is:

Lack of cohesiveness

Pharmacie & Upjohn, a pharmaceutical company, uses a functional structure (research, development, manufacturing, and marketing) within each of its three largest major product divisions. This company is an example of a:

Matrix Structure

The combination of the two companies that join to form one company is called a:

Merger

Some colleges, like Shorter College and Berry College in Rome, Georigia, typically have a(n) _____ organization, which is also referred to as a flat organizational structure

Organic (Relatively low degree of job specialization, loose departmentalization, etc)

One of the primary goals of Burberry, a British retailer, is to expand its market. When the company allocated resources so that it could open two stores in Japan, it was engaged in which management function?

Organizing

______ involves coordinating & allocating a firm's resources so that the firm can carry out its plans & achieve its goals

Organizing

A Matrix Organization is a:

Permanent org structure that draws from horizontal & vertical authority relations

A disadvantage of franchising to the franchisee is:

Restricted operating freedom

Which type of business org experiences the least gov regulation?

Sole Proprietorship

______ is the degree to which tasks are subdivided into smaller jobs

Specialization

How does the current boom in mergers & acquisitions differ from the ones in earlier years?

There is a greater number of US and foreign companies making cross-border acquisitions

_______ guarentees that each employee will have only ONE direct supervisor

Unity of Command

Informal organization does NOT:

Improve salary levels

An organic organization has:

Loose departmentalization

Decentralization is usually desirable in a company when:

The firm is operating in a dynamic environment

Paul Hyatt owns and operates DeepClean, a Florida-based company that cleans up mold and mildew in homes and businesses. As the sole proprietor of the business, he has unlimited liability, which means:

He is fully liable for all business debts

The franchisor generally does NOT provide the franchisee with:

Help in employee selection

When Linda McAnem began Stirya, a New York-based computer services company, she ran it as a sole proprietorship. As the business grew, she realized that she did not want to be personally liable for the business' debts and wanted her business accounts to be separate from her personal accounts. Therefore, she should have:

Incorporated Stirya

At your neighborhood Burger King, some employees take & fill orders, others prepare food, a few clean & maintain equipment, and some supervise. This process of dividing work into separate jobs & assigning tasks to workers is called:

Division of Labor

A ____ is when two or more companies form a special entity to undertake a specific project, usually for a specific period of time

Joint Venture

Of all forms of business ownership, corporations account for the largest share of both:

Sales & Profits

Three basic levels of the managerial hierarchy are:

Top, middle & supervisory

The _____ defines the relationships of authority from one level of org to the next, from top to bottom

Chain of command

Jayson Tully is contemplating the purchase of a Popeye's Chicken franchise. Tully has made a list of the disadvantages that he assumes he will face as a new business owner. Which of the following is actually an advantage?

Assistance in building plans

The management activity of organizing =

determine, groups, assigns work activities

Articles of Incorporation do NOT include:

A list of all stockholder's names

One of the advantages of the Matrix structure is:

ALL OF THESE -The ability to balance conflicting objectives -Higher performance -Flexibility -Teamwork

Which of the following is a key attribute of the VIRTUAL CORPORATION

ALL OF THESE ARE KEY ATTRIBUTES OF THE CIRTUAL CORP : -They are less permanent, less formal, and more opportunistic than traditional partnerships -With IT, geographically dispersed companies can easily work together -The structure expands the traditional boundaries of an org -Each partner brings its core competency to the alliance

Bob Nichol and Martha Bohner own and operate a small company that bakes and sells Thunder Muffins, gigantic muffins full of blueberries, blackberries, or raspberries. They sell the muffins at a local farm that is open to the public on weekends. Since they operate the business as a partnership, they should:

Agree to share the business' profits and losses

Kirk McCoy is district sales manager for the Jimmy Dean division of Sara Lee Corp. He has six sales managers that report to him. McCoy makes most of the decisions for his people and demands that they check with him on any changes in pricing, sales scheduling and routing, and sales presentation material. McCoy operates a ______ department.

Centralized

A(n) _____ organization is a network of connections & channels of communications based on the informal relationships of individuals inside an organization

Informal

Croutakie seemed like a great idea. Chef Leo Nyami and Sara Rice decided to take advantage of the popularity of shitake mushrooms and create some shitake mushrooms products that could be sold to restaurant patrons and other gourmets through their new company. Nyami and Rice have recently abandoned their business because they could not pay its outstanding business debts. Since Nyami and Rice are both liable for the debts, their business was a(n):

GENERAL Partnership

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