Management Pre-Test

When analyzing market potential, a business must consider the market's interest level in the product and the market's

ability to buy.

An effective mission statement should effectively reflect the business's

core values.

An important aspect of the organizing function of management involves

establishing levels of authority.

Businesses usually analyze market potential for a certain product by considering total demand in a specific

geographical area.

The owners of the IHM Company are determining if they should structure the new business by product line or by departmental functions. The owners are performing an activity associated with the __________ management function.

organizing

One way that a business can learn about its competitors' activities is by

reviewing secondary data.

A production supervisor provides a new line worker with information about how to assemble an item. What management function is the production supervisor performing?

Directing

What is the focus of quality assurance?

Developing processes to prevent product defects

A business manager who helps an employee decide when and where products should be delivered performs which management function?

Directing

A mission statement can be thought of as the __________ of the business strategy.

"why"

Which of the following businesses is most likely to require a different management plan than the other businesses described:

A clothing store franchise with 10 locations

Which of the following statements is true regarding business plans:

A corporation is the only legal form of business ownership that should develop a business plan.

Which of the following is a situation indicating a problem with product durability:

A customer complains that her/his new cell-phone battery quit working after one week.

Which of the following is an activity that is conducted during the closing phase of a project:

Archiving documents

What management theory focuses on understanding employee motivation, conflict, expectations, and group dynamics?

Behavioral management theory

Which of the following is a main factor that businesses consider when staffing the company:

Employee compensation

What is a factor that a growing business might consider when determining hiring needs?

Employee to customer ratio

Which of the following is a tool that defines the business's purpose and guides its organizational decision-making:

Mission statement

The final deliverable of your project is choosing a name for your company's new product. Which of the following tasks is most likely outside the project's scope:

Generating potential names for future products

Which of the following is one way to make it easier to have conversations about employee compensation:

Have a set structure for raises and bonuses.

Which of the following is an activity associated with the closing phase of a project:

Holding a team meeting to evaluate the project's successes and mistakes

Which of the following has a negative effect on an understaffed business:

Increased errors

Which of the following statements describes how a human resources organizational plan benefits employees:

It helps them understand their roles within the company.

A job description starts: "We are seeking a bright, talented self-starter with a salesman's mentality and 3-5 years of experience." What is a potential problem with this opening sentence?

It includes discriminatory language.

Which of the following is an example of a conflict of interest that might make it difficult for a manager to be ethical:

Making a decision about an employee who is a friend

In which section of the business plan would you find evidence of customer interest in a new product?

Market analysis

The XRT Company wants to increase its sales by 15%. Is this a SMART goal?

No. The goal is not time bound.

What is an example of a broad goal that management might develop for a business?

Reduce operating expenses

What project-management activity involves determining when project tasks should be performed?

Scheduling

Why is it important for a business to identify its product's competitive advantage?

To develop an appropriate marketing strategy

Wanda feels uncomfortable discussing compensation with her employees, so she tries to bring it up as infrequently as possible. What is a possible consequence of doing so?

Wanda's employees will come to inaccurate conclusions about their pay.

Which of the following is a psychographic characteristic that businesses often use to identify market segments:

Style of living

Which of the following is an internal weakness that a business might detect by conducting a SWOT analysis:

Technological obsolescence

Which of the following is a financial risk that managers of global businesses must be aware of:

The impact of currency exchange rates

Axile Unlimited is the leader in its market, but two of its competitors just merged to form a larger company. Where would the competitors' merger fall in Axile's organizational SWOT?

Threats

What is the primary purpose of managerial planning?

To prepare for the future

Which of the following is a true statement about project planning:

With a project plan, you can mentally walk through your project from start to finish.

Which of the following is a problem associated with scientific management theory:

Workers might intentionally underperform so that their performance is evaluated against a low standard.

The function of managerial control involves comparing what was planned with the

actual results

Corporate social responsibility refers to a company's willingness to

adopt practices that benefit society.

A primary activity of the directing function of management is...

initiating action

Setting the overall goals for a business, guiding the activities of the business, and keeping the business moving toward its goals are part of the role of

managers

When the Green Company selected its target market, it decided to ignore the segment differences and generate appeal with one offer. The company is using __________ marketing.

mass

Many experts believe that providing too much detail in the work breakdown structure (WBS) work packages often causes the project manager to

micromanage the project.

Liz has two employees that report to her. She is one of several managers with staffs of similar size. Liz's organization has a

narrow span of control.

Which of the following is the first step in the control process

set performance standards

An important criterion to consider when identifying market segments is the __________ of the market.

size

A job profile for an account manager includes the following sentence: "The ideal candidate must be an excellent communicator." This part of the job profile is focused on

skills.

Serena is determining the specific activities needed to carry out a year-long advertising campaign. Serena is engaged in __________ planning.

tactical

Staffing is important because human resources are

the organization's most valuable assets.