MGMT Exam 3

Which company has high individualism?

At Arguello Industries, competition among salespeople is fierce. Everyone wants to get the Superior Salesperson award, which is given to the employee who closes the most deals during the fiscal year. Last year, one employee canceled another employee's orders just to win the award.

Example- A barcode scanning device manufacturer tried several times to update its products, but each of the attempts failed, leaving the company weaker and weaker in the process. Now, unless something remarkable happens, the company is facing bankruptcy.

Crisis

Aldhurst Corp., a software manufacturing firm in the state of Lochmount, bought Fairden Corp., a software manufacturing firm in the state of Vertholt. This scenario is an example of

Direct foreign investment

When Yum! Foods purchased the Little Sheep Group Ltd. (a chain of Chinese hot pot restaurants), it used to increase the globalization of its business.

Direct foreign investment

Which of the following is a difference between experiential approach to innovation and compression approach to innovation?

Experiential approach is used to establish a new dominant design, whereas compression approach is used to improve the function of the existing dominant design.

A financial services firm decides to downsize in order to save money rather than understanding the need to create new products for a changing demographic.

Faculty Action

Example- A financial services firm decides to downsize in order to save money rather than understanding the need to create new products for a changing demographic.

Faculty Action

McDonald's, Subway Sandwich Shops, 7-Eleven stores, and Dunkin' Donuts are all examples of operations, in which an individual purchases a license to run an entire business in a particular location.

Franchise

Which of the following is the most important factor in determining the success and failure of an international assignment?

How well an expatriate's spouse and family adjust to the foreign culture

Example- An automobile dealership that has always had success with homemade advertisements finds it difficult to switch to a professional advertising agency, despite the fact that consumers are becoming more sophisticated.

Inaction

Which of the following is an advantage of matrix departmentalization?

It allows companies to manage in an efficient manner large, complex tasks.

Which of the following statements is true of functional departmentalization?

It allows work to be done by highly qualified specialists.

Which company has high uncertainty avoidance?

Last week, Swanita approached her boss in tears. "But I've been sitting at the same desk for 20 years!" she exclaimed. "How will I be able to do my work if you put me all the way across the office from the people I'm supposed to support?"

Westburn Inc., a fast food restaurant in the state of Beachden, starts its chain of restaurants in the state of Valcoast. It changes its menu for the customers in Valcoast. This scenario is an example of

Local Adaptation

Which of the following trends has allowed companies to skip the phase model of globalization when going global?

Low-cost communication technologies make it easier to communicate with global customers.

Identify the mistakes managers typically make in the unfreezing part of the change management process. Check all that apply.

Not creating a powerful enough guided coalition Not establishing a great enough sense of urgency

In the context of organizational environments, which of the following is true of mechanistic organizations?

They are characterized by specialized jobs and responsibilities.

Which of the following is an error that managers make in the refreezing phase?

They declare victory too soon

is a regional trade agreement between Argentina, Brazil, Paraguay, Uruguay, and eight other countries.

UNASUR

In the context of organizational development, the purpose of small-group interventions is to:

assess how a group functions and help it work more effectively to accomplish its goals.

Environmental change requires organizational , if the company is to be a success.

change

Bridget's Gifts, a greetings and gifts store in Janville, has four departments: flowers and soft toys, cards and e-cards, metal collectibles, and photo albums and scrapbooks. These departments are responsible for producing their own products. This scenario is an example of _____.

functional departmentalization

Tom is an editor for the sports column at Mailing Daily. Chloe, Tom's manager, asks him to handle the essay column along with the sports column. Which of the following job redesign techniques is used by Chloe?

job enlargement

Because employees simply switch from one specialized job to another, allows companies to retain the economic benefits of specialized work.

job rotation

Stephanie is a receptionist at Violetcoast Corp. Over a period of six months, Stephanie has done a variety of jobs, such as data entry and preparing financial statements, along with her daily work. This scenario is an example of _____.

job rotation

Jason is an employee at Manisch Burger and Meals. He is assigned the task of serving soft drinks to customers ordering meals with potato fries, a burger, and a roll. Which of the following best illustrates Jason's job design?

job specialization

Companies adopting a(n) approach are likely to have different products, policies, and procedures for operations in different countries.

local adaptation

Quotas and voluntary export restraints are that limit the amount of goods flowing between countries.

nontariff barriers

Cisco Systems uses a differentiation strategy. They offer their customers the latest in routers and switches. Cisco products may cost a bit more, but customers believe they are worth every penny. Cisco Systems will be more effective if it has

organic structure

According to Lewin, the third step in behavioral change is

refreezing

Example- A person in a one-man band who plays guitar, drums, and harmonica is higher on this dimension than a musician who plays only the piano.

skill variety

Fill in the blank with the tactic for managing resistance to change from the options. - Negotiation

A cab company manager wants his employees to change their work shifts so that they work 6 hours per day, 6 days per week. The cab drivers, who are currently working 9 hours per day, 4 days per week, are not happy with the idea. Eventually, after much bargaining, the manager and employees agree that the drivers will work 7 hours and 12 minutes per day, 5 days per week.

Fill in the blank with the tactic for managing resistance to change from the options. Participation -

A company has a large open-office space in which different types of employees are scattered almost at random throughout the building. The sales employees decide that they would like to sit together, so they invite the editors, content developers, user experience coordinators, and computer programmers to work with them on developing a new seating chart for the office.

Which of the following is a difference between a line function and a staff function?

A line function contributes directly to selling a company's products, whereas a staff function does not contribute directly to selling a company's products but instead supports line activities.

Top-Management support

A manager who wants to make a process change involving several different departments appeal to his boss, asking her to star in a video in which she outlines the reasons the change will be good for everyone.

Fill in the blank with the tactic for managing resistance to change from the options. Education and communication -

A new manager is trying to get his company to switch from installing conventional wood fencing to installing concrete freeway barriers. The manager's first step is to set up meetings with all employees to outline changes in the marketplace and show how much more money the company and employees can earn with the new product.

Suppose Kim Ping and Abdel decide to set up a joint venture. Working together, the two companies will build a new, independent manufacturing facility in Morocco. What problems might Kim Ping and Abdel encounter with their joint venture? Check all that apply.

Because Kim Ping and Abdel must share their profits from the new venture, the profit available for each of them may be less. Kim Ping and Abdel may find themselves engaged in a power struggle as they determine how to run the new business.

Crimsom Corp., an electronics manufacturer in Mallowdeer, plans to enter a foreign market. It wants to establish its new office in Ostview. Which of the following is a qualitative factor that Crimsom Corp. should consider while choosing the new office location?

Company Strategy

Which of the following is an advantage of geographic departmentalization?

It can reduce costs by locating unique organizational resources closer to customers.

Which of the following statements is true of resistance to change?

It decreases when change efforts receive significant managerial support.

Which of the following statements is true of the World Trade Organization?

It ensures that trade flows as predictably and freely as possible.

Which of the following is an advantage of unity of command?

It prevents the confusion that might arise when an employee receives conflicting commands from two different bosses.

Which of the following is a disadvantage of modular organizations?

They are characterized by a loss of control that occurs when key business activities are outsourced to other companies.

Companies use technology cycles and innovation streams for which of the following purposes? Check all that apply.

To create a competitive advantage To respond to environmental change To protect themselves from strategic threats

Technological substitution occurs when:

customers purchase new products to replace older technologies.

Endoscopic surgery will become the when most physicians prefer it to older, more invasive surgical procedures.

dominant design

If companies focus too much on local adaptation, they run the risk of:

losing the cost effectiveness and productivity that result from using standardized rules and procedures throughout the world.

In an organization, organizational encouragement of creativity occurs when:

management encourages risk taking and new ideas

KelHouse Corp. specializes in mobile computing devices. It has developed a working model of a cell phone charger that can charge the battery of a cell phone in less than 15 minutes. This model is being tested for design, function, and reliability. In the context of the experiential approach to innovation, the working model is a(n) _____.

product prototype

The Maastricht Treaty, NAFTA, and ASEAN are all examples of treaties that created where tariff and nontariff barriers to trade are reduced or eliminated.

regional trading zones

The U.S. government provides in the form of low-cost loans and income supplements to many U.S. agribusinesses, including the producers of wheat, corn, cotton, and milk.

subsides

Babette is a manager at a fast-food outlet. Recently, her employees have been coming in late, and she wants to change their behavior. When Babette shows her employees a chart indicating how many times people have been late to work by at least 15 minutes in the past 2 months, and they start to see what a problem their behavior has caused, the employees are in the part of the change process.

unfreezing