MGMT 3200 test 1

Political action committees are limited to ______ in direct contributions and _______ in indirect contributions

$5000; Unlimited

According to Total Quality Management experts, how much more does it cost to find a new customer than to keep an old one?

5 times as much

The assessment of the strengths and weaknesses of the organization as well as the threasts and opportunities in the environments is known as

A SWOT analysis

Which of the following is NOT a characteristic of an effective goal, according to the SMART model?

A goal that is easily achieved

The organizing function of management is most important to:

A middle manager

All of the following are true concerning the power of suppliers except

A supplier is more powerful when they only have a few customers that make large purchases from them

Which organizational subsystem deals directly with the organization's two major dependencies?

Boundary-Spanning

When a new entrant enters the marketplace, which of the following does not occur?

Competitor's resource costs are decreased

A manager's ability to see the big picture and forecast the future are examples of what type of managerial skill

Conceptual

According to the cyclical nature of the transformation process, which of the following statements is true?

Customers and suppliers are equally important to the organization's survival

Gresham's law of planning assumes that

Decision-makers have the best of intentions to plan Planning gets neglected because managers fear failure Decision-makers have an external focus of control All of the above

Which of the following would a top manager exclude from his/her business portfolio, according to the Business Portfolio Matrix approach?

Dogs that are not profitable

Which of the following is NOT true concerning corporate downsizing

Downsizing is primarily effectiveness oriented

Planning involves a basic dilemma between commitment and

Flexibility in changing the plan

Ford International acquired a new business that really took of--Citrus Rush. Citrus Rush is a new semi-carbonated drink that is high in Vitamin C and has all the other benefits of that Gator drink but tastes great. It has a high market share in a high growth market and is profitable. According to the Business Portfolio Matrix approach, which strategy is reccomended?

Growth

Which of the following would improve the implementation of a plan

Having employees participate in the planning process Make sure the planning process is connected to the budgetary system of the organization Clear communication of what the plan is and the reasons behind it All of the above

All of the following are true concerning managerial skills except

Human skills are the most difficult to develop

Which of the following is true concerning contingency planning?

It's more likely to be useful for a company in a dynamic environment rather than a stable one

Which concept assumes that businesses that are unable to compete will be forced to change their product lines or else die out?

Law of the marketplace

When a CEO of a company holds a meeting of top executives to communicate to them the importance of higher quality and to motivate them to use new quality improvement processes in their divisions, she is engaged in

Leading

Which function of management is most important to phase 4: implementing a course of action in the planning process

Leading

Which of the following market conditions is associated with a high amount of rivalry among organizations in a marketplace

Mature, low growth market When the power of the customer is high BOTH A AND D

Jack Welch, ex CEO of GE, believed that turnover was good for a company. In fact, he believed that "the new blood" helped infuse the company with new ideas, preventing a decline in the company. Jack Welch's comments are consistent with what characteristic of an open system?

Negative Entropy

Just introduced in August 2005 Apple's Ipod Nano is just beginning to gain market share in the high growth market for portable digital music players. Right now, you would classify this Nano as a __________. However if it continues to gain market share and does as well as its siblings you would classify it as a __________

New Venture; Star

Which of the following represents the "siamese twins" of management?

Planning and Controlling

Buffering the technical core refers to maintaining stability in which subsystem of the organization?

Production

Which of the following is NOT true concerning Luthans real manager study?

Promotions were based primarily on performance

Mercedes-Benz announced last year that they would begin offering their luxury cars with a leather-free option. This move was in response to the increasing pressure that was placed on the organization by PETA. This action was taken in response to what aspect of the external environment?

Society

Which of the following was stated in the Business Week article "What's in a phrase?"

Some of the best brand's don't have slogans associated with them Some companies change their slogans too quickly before they have time to take hold Slogans shouldn't advertise aspirations because some customers may try to prove you wrong In general, most people can't recall what a company's slogan is ALL OF THE ABOVE

Toyota Motors Corporation has long been recognized for building superior automobiles. But, much of their success rests on their ability to bring new products to market faster than the competition-this ability is known as

Strategic Planning

Which component of strategy is similar to the concept of business level strategy?

Synergy

Which of the following is true concerning effectiveness and efficiency?

The more an organization is concerned about efficiency the more difficult it is for the organization to be effective

The (OSHA) was created to monitor the safety of working conditions in US businesses. This is an example of __________

The shadow bureaucracy

Which of the following would not be considered a barrier to entry into an industry/market

a lack of brand loyalty by customers

To deal with environmental uncertainty, an organization may use the strategy of changing domain, whereby the organization

alters where it does business or what product or products it offers

The WSJ article entitled "When competitive advantage is neither' stated that

competitive benchmarking was an effective strategy for gaining market share and profitability

Which of the following is true concerning a defender strategy?

emphasizes cost containment and control

A manager who engages in the persian messenger syndrome most adversely effects what aspect of the planning process?

evaluating results

Which of the following would lead to a "good" competitive environment from an organization's standpoint?

having many customers who have few other places to buy what you're selling

Which of the following is NOT a method for establishing and maintaining a positive, mutually beneficial relationship with an organization's suppliers?

increase the number of suppliers so one can get a better deal thru competition

Southwest Airlines is gaining customers in its domestic marketplace due to the bankruptcies of Delta and Northwest Airlines. Its costs however are increasing due to the skyrocketing costs of gas and jet fuel. From the facts given, Southwest Airlines' effectiveness is __________ and efficiency is ____________

increasing; decreasing

Company X has 2 divisions. The 1st has a product A that exists in a relatively stable environment: decreased demand. The second division has a product B that exists in a dynamic environment: increased demand. The first division has a highly efficient production process and is very strictly controlled. The second division has a very flexible production process and is very loosely controlled. Given this information, Company X

is an analyzer

To deal with environmental uncertainty, businesses may use the strategy of smoothing which is

maintaining a continuous demand for a product

The primacy of planning refers to the fact that

planning is the first of the management functions

All of the following are true concerning technological innovations/substitutes except

substitute products when they are 1st introduced are typically offered at a lower price than products currently on the market

The industrial revolution resulted in all of the following except

the skill level of the laborer increased

Mars Inc. is involved in a number of businesses. Among the businesses are candies, snack foods, pet foods ......... According to the textbok, Mars Inc is pursuing a strategy of

unrelated diversification