SOM FINAL

The Management Process

"... a set of activities directed at an organizations' resources with the aim of achieving organizational goals in an efficient and effective manner"(Griffin) Managers carry out this process

others

"Management is getting work done through _____"

B

"Recording, classifying, summarizing and interpreting of financial events and transactions in an organization to provide interested parties needed financial information" is the textbook definition for which of the following? a) Finance b) Accounting c) Bookkeeping d) Financial Accounting e) Managerial Accounting (PICK "A", "B", "C", "D", OR "E")

Effectiveness

"making the right decisions and successfully implementing them" doing the right thing

Efficiency

"using resources wisely and in a cost-effective way" doing things right

D

'Opinion leaders' would be contained within which of the influences on consumer behavior? a) Psychological, b) Personal c) Economic d) Social e) Cultural (PICK "A", "B", "C", "D", OR "E")

TOWS Matrix

A Conceptual Model A systematic analysis that facilitates matching the external threats and opportunities with the internal weaknesses and strengths of an organization. Emphasize is to start with the external Threats and Opportunities - these will help frame the Weaknesses and Strengths (avoids them being overly generic)

C

A friend of yours wants to know more about consumer behavior. You tell him you have learned four specific influences in your SOM122 class. Which of the following would NOT be part of your explanation a) Psychological, b) Personal c) Economic d) Social e) Cultural (PICK "A", "B", "C", "D", OR "E")

C

Amazon is rumored to be contemplating the development of its own internal transportation fleet to deliver goods to customer. Which level of strategy does this supply chain strategy predominantly manifest itself? a) Competitive b) Business c) Operational d) Multiproduct e) Strategic (PICK "A", "B", "C", "D", OR "E")

income tax, tax, income,

An ___1___ is a ___2___ that governments impose on financial ___3___ generated by all entities within their jurisdiction. By law, businesses and individuals must file an ___1___ return every year to determine whether they owe any ___2___es or are eligible for a ___2___ refund. ___1___ is a key source of funds that the government uses to fund its activities and serve the public. WRITE ANSWER AS "1, 2, 3"

True

Analyzing source documents is the first step in the accounting cycle. True of False? If False, what word or words would need to be swapped in order for it to be True? (PICK "True" OR "False", (IF FALSE) "[swapped word or words] instead of [false word or words]")

B

Ashley will only go to an IMPRESS event if it is worth more than 30 individual points - no matter how relevant/ interesting it may be to her. This best fits as which type of decision making bias? a) Elaborative mechanisms b) Heuristics c) How the problem is framed d) Anchoring e) Psychopathical Set (PICK "A", "B", "C", "D", OR "E")

Interpersonal, Figurehead, Leader, Liaison, Informational, Monitor, Disseminator, Spokesperson, Decisional, Entrepreneur, Disurbance Handler, Resource Allocator, Negotiator

Basic Managerial Categories and Roles: 1. ___1___ 1a. ___2___ Sample activity - Attending ribbon-cutting ceremony for new plant. 1b. ___3___ Sample activity - Encouraging employees to improve productivity 1c. ___4___ Sample Activity - Coordinating activities of two project groups 2. ___5___ 2a. ___6___ Sample Activity - Scanning industry reports to stay abreast of developments 2b. ___7___ Sample Activity - Sending memos outlining new organizational initiatives. 2c. ___8___ Sample Activity - Making a speech to discuss growth plans 3. ___9___ 3a. ___10___ Sample Activity - Developing new ideas for innovation 3b. ___11___ Sample Activity - Resolving conflict between two subordinates 3c. ___12___ Sample Activity - Reviewing and revising budget requests 3d. ___13___ Sample Activity - Reaching agreement with a key supplier or labor union WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13"

inputs, outputs

Basic Task of Management: Transform resources from ___1___ → ___2___ Managers coordinate and motivate the workers who, by themselves, are not likely to add value to resources WRITE ANSWER AS "1, 2"

Manage, management process

Basic Task of ___1___ment: Transform resources from outputs → inputs ___1___rs must utilize the ___2___ (planning and decision making, organizing, leading, and controlling) to coordinate and motivate the workers (who, by themselves, are not likely to add value to resources) using vision, training, and experience.

financial information, Accounting Information System (AIS), accounting statements, Inputs, Accounting documents, Processing, journal, accounts, Outputs, Financial Statements, Statement, controller, accounting

Because businesses engage in thousands of transactions, ensuring consistent, dependable, ___1___ is mandatory. This is the job of the ___2___, an organized procedure for identifying, measuring, recording, and retaining ___1___ so that it can be used in ___3___ and management reports. A summary of how the ___2___ goes is as follows: ___4___: ___5___: Sales documents Purchasing documents Shipping documents Payroll records Bank records Travel records Entertainment records -> ___6___: 1. Entries are made into ___7___s: recording 2. The effects of these ___7___ entries are transferred or posted into ledgers: classifying. 3. All ___8___ are summarized -> ___9___: ___10___: Balance Sheet Income ___11___ ___11___ of Cash Flows Other reports (e.g. annual reports) The ___12___, or chief ___13___ officer, manages a firm's ___13___ activities by ensuring that the ___2___ provides the reports and ___11___s needed for planning, decision making, and other management activities. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13"

A

Catco. CEO, Ms. Conte carries out which of Mintzberg's managerial roles when she attends a ribbon cutting ceremony for a new plant? a) Figurehead b) Disseminator c) Spokesperson d) Liaison e) Resource allocator (PICK "A", "B", "C", "D", OR "E")

Successful Strategies, Vision, External/Environmental Analysis, environment, Internal/Organizational Analysis, Effective Implementation, Successful Strategy

Common Elements in ___1___: 1. ___2___: Clear, consistent long-term goals 2A. ___3___: Profound understanding of the competitive ___4___ 2B. ___5___: Objective appraisal of resources 3. ___6___: Putting strategy into action These common elements lead to ___1___. WRITE ANSWER AS "1, 2, 3, 4, 5, 6"

False, Preferred instead of Common

Common stock are shares of ownership without voting rights but with defined dividends True of False? If False, what word or words would need to be swapped in order for it to be True? (PICK "True" OR "False", (IF FALSE) "[swapped word or words] instead of [false word or words]")

False, Defensive instead of Cyclical

Cyclical stock are more successful during a period of recession. True of False? If False, what word or words would need to be swapped in order for it to be True? (PICK "True" OR "False", (IF FALSE) "[swapped word or words] instead of [false word or words]")

planning, goals, strategy, tactical and operational plans

Determining what the organization needs to do and how best to get it done requires ___1___. ___1___ has three main components. It begins when managers determine the firm's ___2___. Next, they develop a comprehensive ___3___ for achieving those ___2___. After a ___3___ is developed, they design ___4___ for implementing the ___3___. WRITE ANSWER AS "1, 2, 3, 4"

False, Effectiveness instead of Efficiency

Efficiency is best defined as "making the right decisions and successfully implementing them." True of False? If False, what word or words would need to be swapped in order for it to be True? (PICK "True" OR "False", (IF FALSE) "[swapped word or words] instead of [false word or words]")

B

Ethan is trying to decide what aspect he should most prioritize in his first job out of college - money or work/life balance. Which of the stages of the rational decision-making process is Jimmy currently engaged in? a) Define the Problem b) Identify and weight the criteria c) Develop alternatives d) Alternative identification e) Cognition appraisal (PICK "A", "B", "C", "D", OR "E")

inputs

Examples of _____ include human resources, financial resources, physical resources, and information resources

False, ratios instead of statements

Financial statements serve as a basis for management to develop expectations of where the company will be in future periods. True of False? If False, what word or words would need to be swapped in order for it to be True? (PICK "True" OR "False", (IF FALSE) "[swapped word or words] instead of [false word or words]")

True

Fixed assets are assets with a long-term life that will not be used within the next year (they will not be liquidated). Usually a building, piece of equipment, or land. True of False? If False, what word or words would need to be swapped in order for it to be True? (PICK "True" OR "False", (IF FALSE) "[swapped word or words] instead of [false word or words]")

The Corporate Parent, Corporate Level Strategy, Strategic Business Units (SBU)/Business Strategies, Business/Competitive Level Strategy, Functional/Operational Level Strategy

Gap Inc. is ___1___ under the ___2___. This is where we're going to compete. Gap, Banana Republic, Old Navy, Athleta, Intermix, and Weddington Way are ___3___ under the ___4___. This is how we're going to compete. HRM, R&D, marketing, finance, production, and store operations are functions under the ___5___. This tells us how to implement the ___4___. WRITE ANSWER AS "1, 2, 3, 4, 5"

A

Gross profit = Revenue - ____________ a) Cost of goods sold b) Operating expenses c) Income tax d) Operating income e) Net income/ loss (PICK "A", "B", "C", "D", OR "E")

C

Harry has moved from Europe to the US and realizes he is an organ donor on his European license and not on his American license. When he looks into this he sees that it is due to the wording of consent on the form in the DMV. This is an example of which decision-making bias? a) Individual differences b) Heuristics c) How the problem is framed d) Anchoring e) Psychological Set (PICK "A", "B", "C", "D", OR "E")

Segmentation, Targeting, segment, Segmentation Methods, Geographic Segmentation, Demographic Segmentation, Psychographic Segmentation, Behavioral Segmentation, value, undifferentiated/mass marketing, Differentiated/segmented marketing, Concentrated/niche marketing, Micromarketing/local or individual marketing, value proposition, Differentiation, Positioning, target segment and need, brand, concept, point of difference, Differentiate, Position, target

How to Design a Customer-Driven Marketing Strategy 1. Select customers to serve using ___1___ and ___2___ 1a. ___1___ - Divide the total market into smaller ___3___s. ___4___ include ___5___, ___6___, ___7___, and ___8___ 1aa. ___5___ - Nations, regions, states, counties, cities, neighborhoods, population density (urban, suburban, rural), climate 1ab. ___6___ - Age, life-cycle stage, gender, income, occupation, education, religion, ethnicity, generation Examples: Halal meat is marketed to religious people, Carhatt is marketed to middle-class workers, Wall Street Journal College is marketed to young adults in the college stage of their life, the American Express Black Card is marketed to wealthy business travelers, Lululemon is marketed to people who do yoga, Rolex is marketed to successful people 1ac. ___7___ - Social class, lifestyle, personality 1ad. ___8___ - Occasions, benefits, user status, usage rate, loyalty status Example - toothpaste: hedonistic children seek flavor and product appearance, active teens and young people seek brightness of teeth, conservative large families seek decay prevention, and ___9___-oriented men seek price. 1b. ___2___ - Select the ___3___ or ___3___s to enter 1ba. From most broad to most narrow: ___10___, ___11___, ___12___, ___13___ 2. Decide on a ___14___ using ___15___ and ___16___ Format: To (___17___) our (___18___) is (___19___) that (___20___). 2a. ___15___ - ___21___ the market offering to create superior customer value 2b. ___16___ - ___22___ the market offering in the minds of ___24___ customers Example: Starbucks positioning = "third place" (couches, eclectic music, WiFi). Dunkin' has a decidedly more low-brow, "everyman" kind of positioning. Starbucks ___24___s a higher income, professional group. Dunkin's customers = blue & white-collar workers across all ages, races, and income levels. Starbucks tribe want to stand out as individual members with personalized service. Dunkin' tribe wants to be part of a crowd. 3. Create value for ___24___ed customers WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24"

D

In October, the Chinese Government announced that it was overturning the one child policy introduced in 1979. If you were doing a marketing analysis for a baby formula company which of the marketing 5 C's were predominantly impacted by this move? a) Consumers b) Company c) Conception d) Context e) Collaborators (PICK "A", "B", "C", "D", OR "E")

accounting, financial accounting, Managerial accounting, Managers,

In any company, the two fields of ___1___ can be distinguished by the users they serve: those outside the company and those within. A firm's ___2___ system is concerned with external information users: consumer groups, unions, stockholders, suppliers, creditors, and government agencies. It prepares reports such as income statements and balance sheets that focus on the activities of the company as a whole rather than on individual departments or divisions. ___3___, on the other hand, serves internal users. ___4___ at all levels need information to make departmental decisions, monitor projects, and plan future activities. Other employees also need ___1___ information. Engineers must know certain costs, for example, before making product or operations improvements, purchasing agents use information on materials costs to negotiate terms with suppliers, and to set performance goals, and salespeople need past sales data for each geographic region and for each of its products.

B

In sports, there is much debate pertaining the title 'Most Valuable Player'(MVP) i.e. is it the best player on their respective team or is it the best player in the league for that season. This confusion could be used as an example of which decision making bias? a) Myopia b) Framing of the decision/Framing of the Problem c) Information anchoring d) Sunk costs e) Cognitive Dissonance (PICK "A", "B", "C", "D", OR "E")

A

In the context of the marketing process, what category comes directly after marketing analysis (i.e. the 5C's)? a) Segmentation, Targeting, Positioning b) Marketing Mix c) The 4 P's d) Customer acquisition and retention e) Profits (PICK "A", "B", "C", "D", OR "E")

Strategic Fit

It is important for companies to have the right _____. A few years ago, for example, Starbucks announced that Internet marketing Managers subsequently realized, however, that this initiative was not a good _____ for the firm. As a result, they scaled back this effort and made a clear recommitment to their existing retail business.

C

Jeff Bezos is the CEO of Amazon Inc., Bezos decides what industries Amazon should enter. This decision is taken at which strategy level? a) Function b) Operational c) Corporate d) Business e) Competitive (PICK "A", "B", "C", "D", OR "E")

C

Jenna decides to learn more about ______________ segmentation so she decides to review a VALS questionnaire a) Geographic b) Demographic c) Psychographic d) Behavioral e) Emotional (PICK "A", "B", "C", "D", OR "E")

C

Katie craves friendship and belonging. What level of Maslow's hierarchy of needs is Shauna experiencing? a) Physiological b) Safety c) Social d) Personal e) Self-actualization (PICK "A", "B", "C", "D", OR "E")

Corporate level strategy, corporation, different, units, compete, Strategic Business Units (SBU)/Business Strategies, corporate, Business/Competitive level strategy, Cost Leadership, Differentiation, Strategic Business Unit (SBU)/Business Strategy, competitors, Focused/Niche Cost Leadership, Business/Competitive Level Strategies, Cost, Focused/Niche Differentiation, Integrated Cost Leadership/Differentiation, Functional/Operational Level Strategy, functions

Levels of Strategy: 1. ___1___ - structure of the ___2___, how it is to be run in financial terms, how resources are to be allocated to the ___3___ ___4___, diversification (related/ unrelated) etc. Asks the question 'in what markets should we ___5___ in?' Concerned with the overall purpose and scope of the organization How value will be added to the ___3___ ___6___, and how resources are to be allocated between these ___6___. Examples: How new ___7___ opportunities are to be exploited? Mergers/ acquisitions? How ___7___ culture is to be shaped? How resources are allocated? How the company is to be structured? How value is added to ___3___ ___4___? How shareholder values are taken on board? Company Example: Nike selling Bauer Hockey in 2008. 2. ___8___ - how to ___5___ in the market, how to meeting customer needs, ___9___ v. ___10___ etc. Asks the question 'how should we ___5___ in the marketplace?' Concerned with how to ___5___ successfully in particular markets. Strategic decisions here are related to the ___11___. e.g. how to achieve advantage over ___12___ in particular markets/ industries What new opportunities can be identified or created in the industry? The extent to which a firm's product/ service meets customer needs so as to achieve organizational objectives Company Example: Forever 21's ___13___ strategy - appealing to a specific demographic on the basis of lower prices There are five ___14___: 2a. ___9___ - Broad Target and Low ___15___ Examples include: Walmart, Ryanair, Acer, Vizio, Old Navy 2b. ___10___ - Broad Target and Unique Examples include: Mercedes, Apple, SU, Nike, Avis 2c. ___13___ - Narrow Target and Low ___15___ Examples Include: Ikea, Forever 21, Sam's Club, Aldi 2d. ___16___ - Narrow Target and Unique Examples Include: Aston Martin, Beats, Von Zipper Sunglasses, Fleet Fleet, Banana Republic, Whole Foods, Thomas Pink 2e. ___17___ - Broad Target, Low ___15___, and Unique Examples Include: Hyundai, Southwest, H&M, Gap, Trader Joe's 3. ___18___ - concerned with the ___3___ ___19___ i.e. marketing, finance, manufacturing, purchasing etc. Asks the question 'How can the ___3___ ___19___ support the overall strategy of the organization?' Look to a lot of the ___3___ courses you can do here in Whitman... a lot of them echo ___3___ ___19___ within an organization Concerned with how the component parts deliver the ___7___ and ___14___ in terms of resources and processes e.g. how to set up a production line so as to achieve production targets and quality deliverables How to ensure consistency of output - for example through investing in superior technology or having rigorous quality procedures E.g. whether to have internal transport fleet to deliver goods to customer or contract service out to sub-contractors. Company Example: Patek Philippe recent marketing strategy WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19"

Product, Core Customer Value, Actual Product, Augmented Product, Products and Services, Convenience goods and services, Shopping goods and services, shop, Specialty goods and services,

Levels of ___1___s and Services: 1. ___2___ (What is it the customer really buying?) 2. ___3___ (Brand name, Quality level, Packaging, Design, Features) 3. ___4___ (Delivery and credit. ___1___ support, Warranty, After sales service) Categories of Consumer ___5___: 1. ___6___ - consumed rapidly and regularly, inexpensive, purchased often and with little input of time and effort. Examples include Milk, Newspapers, and fast food. 2. ___7___ - Purchased less often. More expensive. Consumers may ___8___ around and compare products based on style, performance, color, price, and other criteria. Examples include Television sets, Tires, Hotel reservations. 3. ___9___ - Purchased infrequently. Expensive. Consumer decides on a precise product and will not accept substitutions and spends a good deal of time choosing the "perfect" item. Examples include Luxury jewelry, Wedding gowns, and Healthcare insurance. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9"

organize, organization charts, organizing

Management process of determine how to best arrange an organization's resources and activities into a coherent structure. Managers must also ___1___ people and resources. For example, some businesses prepare charts that diagram the various jobs within the company and how those jobs relate to one another. These ___2___ help everyone understand roles and reporting relationships, key parts of the ___3___ function. WRITE ANSWER AS "1, 2, 3"

Leading

Management process of guiding and motivating employees to meet an organization's objectives. Managers have the power to give orders and demand results. _____, however, involves more complex activities. When _____, a manager works to guide and motivate employees to meet the firm's objectives. Legendary management figures such as Walt Disney, Sam Walton (of Walmart), and Herb Kelleher (of Southwest Airlines) had the capacity to unite their employees in a clear and targeted manner and motivate them to work in the best interests of their employer. Their employees respected them, trusted them, and believed that by working together, both the firm and themselves as individuals would benefit.

D

Mark is attempting to collect all the input accounting documents to help him develop financial statements. Which of the following would not be classified as an accounting document input? a) Sales documents b) Shipping documents c) Payroll entries d) Journal entries e) Travel records (PICK "A", "B", "C", "D", OR "E")

D

Milk and newspapers are commonly used as __________ examples within categories of consumer products. a) Shopping goods and services b) Disposable goods c) Early morning goods d) Convenience goods and services e) Small store goods (PICK "A", "B", "C", "D", OR "E")

System 1, heuristics, System 2, confirm, systematic, Biases, Individual differences/Perception, Perception, perceived, differ, Sunk Costs, sunk-cost fallacy, Narrow Framing, Loss Aversion, los, Anchor Bias, Confirmation Bias, Availability Bias, individuals

Most managers will try to make rational analysis but "the barriers to rationality can trip up the decision-maker." ___1___ - Subconscious values, drives, beliefs that influence our "gut reactions." Jumps to conclusions regarding causality. Operates effortlessly. Can be wrong but is more often right. Influenced by ___2___. ___3___ - Articulates judgments, makes choices, endorses or rationalizes ideas and feelings. Makes up stories to either ___4___ or deny those conclusions. Requires conscious effort to engage. Can be wrong or right depending on how hard it works. Examines those ___2___ when so inclined. ___2___ - People take short cuts by applying rules of thumb Example: a lender might use the following rule of thumb - an applicant's debt-to-income ratio should be no higher than 36% in order to approve a loan Pros: time efficient Cons: decision made may be less than perfect Rules of thumb work well because they are often ___5___ and predictable but problems arise when people habitually rely on this method of decision making, excluding or ignoring additional information. Decision Making ___6___: 1. ___7___ - Ability to absorb, analyse and process information varies from person to person. ___8___: selection and interpretation of information we receive through our senses and the meaning we give the information. A person's previous experience and position in a company will influence how a problem is ___9___ and their reaction to the problem. ___5___ versus intuitive decision styles: ___10___ent approaches - logical, step-by-step versus trial and error approach 2. ___11___ - If you buy a movie ticket and realize the movie is terrible, you can Stay to "get your money's worth" (___12___) or Leave the cinema and use that time to do something you enjoy. Do you change your mind if you are watching Netflix? Vacation Example: Suppose you purchase a ski trip to the Adirondacks for $400. You later purchase another trip to Vermont for $700. You later find out both trips fall on the same weekend. Which one do you go on? 3. ___13___ - Misdefining the problem may be the biggest barrier to making good decisions. Need to work hard to see what the problem really is. Example: Should I break up with my boyfriend/girlfriend? vs. What are the ways I could make this relationship better? In the first question we are only highlighting one alternative at the expense of all the others. 4. ___14___ - We tend to just like winning and dislike ___15___ing - and you almost certainly dislike ___15___ing more than you like winning. "When putting for birdie, you realize that, most of the time, it's acceptable to make par. When you're putting for par, there's probably a greater sense of urgency, so therefore you're willing to be more aggressive in order not to drop a shot" (Justin Leonard) Problem 1: Which do you choice? Get $900 for sure OR 90% chance to get $1,000 Problem 2: Which do you choose? ___15___e $900 for sure OR 90% chance to ___15___e $1,000 5. ___16___ - Giving disproportionate weight to the first information you hear. Example: Anthony and Cleopatra are lying dead on the floor of a villa in Egypt. Nearby is a broken bowl. There are no marks on their bodies, they did not die of natural causes and they were not poisoned. How did they die? Answer: They were goldfish! Not people! 6. ___17___ - A normal habit in life is to develop a quick belief about a situation and then seek out information that bolsters that belief. People are more likely to select information that supports their preexisting attitudes, beliefs and actions. Dan Lovallo, academic researcher on decision making: "___17___ is probably the single biggest problem in business, because even the most sophisticated people get it wrong. People go out and they're collecting the data, and they don't realize they're cooking the books." 7. ___18___ - ___19___ have a tendency to make decisions based on whatever information is easily retrievable to them and overestimate the importance of this information. This can be problematic when making decisions that involve other people as their information and perspective may ___10___. You also might miss out on facts or opinions that could make a ___10___ence. Example: Are there more English words that start with a k or more words with k as its third letter? WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19"

C

New stocks and bonds are sold in what market? a) Tertiary market b) Private placement market c) Primary market d) Open market e) Secondary market (PICK "A", "B", "C", "D", OR "E")

A

Nick bought a new Tissot watch and was very impressed with the box it came in. The packaging of a product would be classified under which of the 4 P's of the marketing mix? a) Product b) Politics c) People d) Packaging e) Purchase (PICK "A", "B", "C", "D", OR "E")

D

On a Stock Quotation, ____________ can be explained as the daily total of shares traded. a) Div b) YLD % c) PE d) VOL e) CLOSE (PICK "A", "B", "C", "D", OR "E")

A

Patagonia's mission statement of 'Build the best product, cause no unnecessary harm, use business to inspire and implement solutions to the environmental crisis' can be used as an example of which of the following reasons why firms need strategy: a) Strategy as a decision support b) Strategy as a target c) Strategy as altruism d) Strategy as competition e) Strategy as cost (PICK "A", "B", "C", "D", OR "E")

effective, inefficient, ineffective, inefficient, effective, efficient

Practical Example of Efficiency vs. Effectiveness: Changing a Tire on a Car Mark starts by taking out the jack and placing it under the car. He doesn't quite know where to position it, so he goes by trial and error and wastes a lot of time doing it. After 20 minutes he finally manages to fix it, so he proceeds to lift the car and change the tire. We could say Mark was ___1___ (effective or ineffective) but ___2___ (efficient or inefficient). John, on the other hand, starts by grabbing a towel and cleaning the tire. He wants to make the thing shiny before he changes it. And mind you he is very good and fast at cleaning every little detail of the tire. We could say that John was ___3___ (effective or ineffective) and, though disputable, ___4___ (efficient or inefficient). Now if we had a third person, Peter, who could change the flat tire using the right steps and doing it quickly, we could say that he was both ___5___ (effective or ineffective) and ___6___ (efficient or inefficient). With the help of the management process (planning and decision making, organizing, leading, and controlling), goals can be attained efficiently and effectively. WRITE ANSWER AS "1, 2, 3, 4, 5, 6"

C

Some employees have special knowledge about a future event an organization will experience that will affect the value of the stock. Using this knowledge to buy or sell stock before the major event is called: a) Prospectus violations b) Market Capitalization c) Insider Trading d) Retaining earnings e) Underwriting (PICK "A", "B", "C", "D", OR "E")

Consumer Buying Process, Problem/Need Recognition, Information Seeking, Evaluation of Alternatives, Personal and Environmental Factors, Marketing Factors, Purchase Decision, Postpurchase Evaluation, Promotion/Communication, Promotional Mix, Personal Selling, Public Relations/Publicity, Direct and Digital Marketing, Sales Promotion/Communication, Advertising

Stages of the ___1___: 1. ___2___ Example: need to replace old shoes 2. ___3___ Example: Search for stores, styles, prices, opinions of others 3. ___4___, Example: Which are comfortable? affordable? how will others react to them? 3a. ___5___: Psychological, Personal, Social, Cultural 3b. ___6___: Product, Price, Place, Promotion 4. ___7___ - Choose rationally or emotionally 5. ___8___ - Example: Observe reactions with others, test durability, compare with older shoes ___9___ - Engaging Customers and Communicating Customer Value ___10___: Consistent, clear, and compelling company and brand messages - 1. ___11___ - Most effective with ___3___, ___4___, ___7___, and ___8___ 2. ___12___ - most effective with ___2___ 3. ___13___ - similar to ___15___ 4. ___14___ - most effective with ___7___ 5. ___15___ - most effective with ___2___, ___3___, and ___8___ WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15"

D

Starbucks' marketing strategy relies heavily on social media advertisements and engagement. This marketing strategy lies at which strategic level for Starbucks? a) Corporate b) Competitive c) Business d) Operational e) Task (PICK "A", "B", "C", "D", OR "E")

Factory, Existing products, Selling and promoting, Profits through sales volume, Market, Customer Needs, Conversational communication, profits through customer satisfaction

Starting Point -> Primary Focus -> Means of Achieving Goals -> Desired Ends The Selling Concept: ___1___ -> ___2___ -> ___3___ -> ___4___ The Marketing Concept: ___5___ -> ___6___ -> ___7___ -> ___8___ WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8"

The Selling Concept, The Marketing Concept

Starting Point -> Primary Focus -> Means of Achieving Goals -> Desired Ends ___1___: Factory -> Existing products -> Selling and promoting -> Profits through sales volume ___2___: Market -> Customer Needs -> Conversational communication -> profits through customer satisfaction WRITE ANSWER AS "1, 2"

D

Tanya is a managerial accountant and constantly talks about her job. She has decided to quiz you to see how much attention you pay to her stories. She asks you which of the following is NOT predominantly a function of her job? a) Costs of production b) Costs of marketing c) Preparation and control of budgets d) Annual reports e) Minimizing tax liabilities (PICK "A", "B", "C", "D", OR "E")

True

Target marketing requires dividing a market into categories for customer types or segments. True of False? If False, what word or words would need to be swapped in order for it to be True? (PICK "True" OR "False", (IF FALSE) "[swapped word or words] instead of [false word or words]")

Assets = Liabilities + Owner's Equity

The Fundamental Accounting Equation: _____

D

The Sarbanes-Oxley Act requires that? a) The board must be comprised at least 25 members b) Companies must divulge internal memos c) External auditors must provide consultancy services d) Establishes criminal liability for failure of corporate officers to certify financial reports e) Managers must be given a minimum of $10,000 in stock in the company (PICK "A", "B", "C", "D", OR "E")

Top Managers, Low, High, High, Middle Managers, Medium, High, High, First-Line/Frontline Managers, High, Medium, High

The Three Levels of Management: 1. ___1___ Examples include president, vice-president, treasurer, CEO, chief financial officer (CFO) Responsibilities include overall performance and effectiveness of the firm; setting general policies, formulating strategies, and approving all significant decisions; and representing the company in dealings with other firms and with government bodies. Technical Skills: ___2___ (Low, Medium, or High) Conceptual/Decision Skills: ___3___ (Low, Medium, or High) Interpersonal/Communication Skills: ___4___ (Low, Medium, or High) 2. ___5___ Examples include plant manager, operations manager, division manager, regional sales manager Responsibilities include implementing the strategies and working toward the goals set by top managers. Technical Skills: ___6___ Conceptual/Decision Skills: ___7___ Interpersonal/Communication Skills: ___8___ 3. ___9___ Examples include supervisor, office manager, project manager, group leader, sales manager. Responsibilities include supervising the work of employees who report to them and ensuring that employees understand and are properly trained in company policies and procedures. Technical Skills: ___10___ Conceptual/Decision Skills: ___11___ Interpersonal/Communication Skills: ___12___ WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12"

TOWS Matrix, external, internal, PEST analysis, External Opportunities (O) Box, External Threats (T) Box, Internal Strengths (S) Box, Internal Weaknesses (W) Box, The SO Strategy/Maxi-Maxi Strategy, The ST Strategy/Maxi-Mini Strategy, The WO Strategy/Mini-Maxi Strategy, The WT Strategy/Mini-Mini Strategy

The ___1___ is A Conceptual Model A systematic analysis that facilitates matching the ___2___ threats (T) and opportunities (O) with the ___3___ weaknesses (W) and strengths (S) of an organization. Emphasis is to start with the ___2___ Threats (T) and Opportunities (O) - these will help frame the ___3___ Weaknesses (W) and Strengths (S) (avoids them being overly generic) How to use the ___1___: 1. Start with ___2___ environment, look for current and future trends through the use of a ___4___. Should be more specific, however, because it will lead to specific ideas to implement. 1a. List the main opportunities (O) in the ___5___. 1b. List the main threats (T) in the ___6___ 2. The ___3___ environment of the organization is assessed for strengths (S) and weaknesses (W). 2a. List the main strengths (S) in the ___7___ 2b. List the main weaknesses (W) in the ___8___ 3. Move on to the four strategies 3a. ___9___ - Strategies that use strengths (S) to maximize opportunities (O). Key quadrant... where most strategy happens i.e. The intersection and alignment of key ___3___ strengths (S) with ___2___ opportunities (O). Example: GoPro teaming up with drones: ___3___ strength (S) - Go pro durability & mounts, wireless controls ___2___ opportunity (O) - drone tech 3b. ___10___ - Strategies that use ___3___ strengths (S) to minimize ___2___ threats (T) i.e. leverage ___3___ strengths (S) to avoid ___2___ threats (T) Example: Coca Cola purchasing Monster Energy 3c. ___11___ - Strategies that minimize ___3___ weaknesses (W) by taking advantage of ___2___opportunities (O) i.e. Improve ___3___ weaknesses (W) by using ___2___ opportunities (O). Example: SU uses 2U ___3___ weakness (W) - online & production at Whitman is bad ___2___ Opportunity (O) - No back row - Online educational delivery 3d. ___12___ - Strategies that minimize ___3___ weaknesses (W) and avoid ___2___ threats (T) The most defensive position on the matrix Example: Volkswagen making trains ___3___ Weakness (W) - ethics and culture ___2___ Threat (T) - sustainable vehicles (eco movement, Tesla) WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12"

Fundamental Accounting Equation

The _____: Assets = Liabilities + Owner's Equity

True

The formula for value is benefits divided by costs. True of False? If False, what word or words would need to be swapped in order for it to be True? (PICK "True" OR "False", (IF FALSE) "[swapped word or words] instead of [false word or words]")

technical skills, human relations skills, Conceptual skills, conceptual, Decision-making skills, decision-making process, decision making

The skills needed to perform specialized tasks are called ___1___. A programmer's ability to write code, an animator's ability to draw, and an accountant's ability to audit a company's records are all examples of ___1___. People develop ___1___ through a combination of education and experience. ___1___ are especially important for first-line/frontline managers. Many of these managers spend considerable time helping employees solve work-related problems, training them in more efficient procedures, and monitoring performance. Effective managers also generally have good ___2___, skills that enable them to understand and get along with other people. A manager with poor ___2___ may have trouble getting along with subordinates, cause valuable employees to quit or transfer, and contribute to poor morale. Although ___2___ are important at all levels, they are probably most important for middle managers, who must often act as bridges between top managers, first-line/frontline managers, and managers from other areas of the organization. Managers should possess good communication skills. Many managers have found that being able both to understand others and to get others to understand them can go a long way toward maintaining good relations in an organization. ___3___ refer to a person's ability to think in the abstract, to diagnose and analyze different situations, and to see beyond the present situation. ___3___ help managers analyze the probable outcomes of their decisions. The need for ___3___ differs at various management levels. Top managers depend most on ___3___, first-line/frontline managers least. Although the purposes and everyday needs of various jobs differ, ___3___ are needed in almost any job-related activity. In many ways, ___3___ may be the most important ingredient in the success of executives in e-commerce businesses. For example, the ability to foresee how a particular business application will be affected by or can be translated to the Internet is clearly ____4____ in nature. ___5___ include the ability to effectively define a problem and to select the best course of action. These skills involve gathering facts, identifying solutions, evaluating alternatives, and implementing the chosen alternative. Periodically following up and evaluating the effectiveness of the choice are also part of the ___6___. These skills allow some managers to identify effective strategies for their firm, such as Michael Dell's commitment to direct marketing as the firm's primary distribution model. But poor ___5___ can also lead to failure and ruin. Indeed, poor ___7___ played a major role in the downfall of such U.S. business stalwarts as Montgomery Ward, Studebaker, Circuit City, and Enron. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7"

False, Investing and Financing instead of Inputs and Outputs

The statement of cash flows has three major components: Operations, Inputs and Outputs. True of False? If False, what word or words would need to be swapped in order for it to be True? (PICK "True" OR "False", (IF FALSE) "[swapped word or words] instead of [false word or words]")

False, behavioral instead of psychographic

The toothpaste market can be segmenting into taste, whitening, fight cavities and cheap. This is an example of psychographic segmentation. True of False? If False, what word or words would need to be swapped in order for it to be True? (PICK "True" OR "False", (IF FALSE) "[swapped word or words] instead of [false word or words]")

TOWS Matrix, External Opportunities (O), External Opportunities (O) Box, External Threats (T), External Threats (T) Box, Internal Strengths (S), Internal Strengths (S) Box, Internal Weaknesses (W), Internal Weaknesses (W) Box), The SO Strategy/Maxi-Maxi Strategy, The ST Strategy/Maxi-Mini Strategy, The WO Strategy/Mini-Maxi Strategy, The WT Strategy/Mini-Mini Strategy

This is a mock ___1___ for Disney: ___2___ (inside the ___3___): 1. International Expansion 2. New Technologies (virtual reality, etc.) 3. Increased middle class incomes ___4___ (inside the ___5___): 1. Regulation and antitrust issues 2. Rival firms 3. Internet TV ___6___ (inside the ___7___): 1. Brand ($19 billion) 2. Synergy, vertical integration (one stop solution), & cross selling experience 3. Existing customer base ___8___ (inside the ___9___: 1. Issues surrounding success in legacy industries (film & media) 2. Still thought of as an American company 3. Highly leveraged 4. Some questions regarding work environment ___10___ (from the ___6___ (inside the ___7___) and the ___2___ (inside the ___3___)): 1. Leverage Brand to expand internationally 2. Use existing customer base and synergy to enter Virtual Reality Market (Jaunt VR - 66 million) ___11___ (from the ___6___ (inside the ___7___) and the ___4___ (inside the ___5___)): 1. Introduce new internet only products (Frozen, Star Wars sequels offered through web?) 2. Leverage existing brands to establish their own internet TV service (Sling?) ___12___ (from the ___8___ (inside the ___9___) and the ___2___ (inside the ___3___)): 1. Leverage UTV in India... develop more catered Bollywood movies in India. 2. Leverage legacy industries (film & media) through virtual reality 3. Development of sequels to drive profitability and reduce leveraged position (Star Wars, Pixar, Marvel, etc.) ___13___ (from the ___8___ (inside the ___9___) and the ___4___ (inside the ___5___)): 1. Improve work environment and nullify loss of key talent (e.g. Pixar integration) 2. Differential online pricing strategy (improved integration of legacy and internet TV) 3. Create more pure play companies with lower price points. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13"

Geographic Segmentation

This is an example of _____: Macy is looking at snowboard types based on where she wants to go skiing, whether it's in The Rockies, Vermont, etc.

The Strategy Process, strategic goals, organization, environment, strategy

This is called ___1___: 1. Set ___2___ 2a. Analyze the ___3___ 2b. Analyze the ___4___ 3. Match the ___3___ and its ___4___ 4. Formulate ___5___ Take, for example, Dave Wottle's 1972 800 m race. He won not because he was the best, but because he had the best ___5___. WRITE ANSWER AS "1, 2, 3, 4, 5"

interpersonal roles, figurehead, leader, leading, liaison, informational roles, disseminate, information, informational role, monitor, disseminator, spokesperson, decisional roles, decisions, entrepreneur, decisional role, disturbance handler, handling, resource allocator, resources, negotiator, negotiations, negotiate

Three ___1___ are inherent in the manager's job. First, the manager is often expected to serve as a ___2___ - taking visitors to dinner, attending ribbon cutting ceremonies, and the like. These activities are typically more ceremonial and symbolic than substantive. The manager is also expected to serve as a ___3___ - hiring, training, and motivating employees. A manager who formally or informally shows subordinates how to do things and how to perform under pressure is ___4___. Finally, managers can have a ___5___ role. This role often involves serving as a coordinator or link among people, groups, or organizations. For example, companies in the computer industry may use ___5___s to keep other companies informed about their plans. This enables Microsoft, for example, to create software for interfacing with new Hewlett-Packard printers at the same time those printers are being developed. And, at the same time, managers at Hewlett-Packard can incorporate new Microsoft features into the printers they introduce. The three ___6___ flow naturally from the ___1___ just discussed. The process of carrying out the ___1___ places the manager at a strategic point to gather and ___7___ ___8___. The first ___9___ is that of ___10___, one who actively seeks ___8___ that may be of value. The manager questions subordinates, is receptive to unsolicited ___8___, and attempts to be as well informed as possible. The manager is also a ___11___ of ___8___, transmitting relevant ___8___ back to others in the workplace. When the roles of ___10___ and ___11___ are viewed together, the manager emerges as a vital link in the organization's chain of communication. The third ___9___ focuses on external communication. The ___12___ formally relays ___8___ to people outside the unit or outside the organization. For example, a plant manager at Union Carbide may transmit ___8___ to top-level managers so that they will be better informed about the plant's activities. The manager may also represent the organization before a chamber of commerce or consumer group. Although the roles of ___12___ and ___2___ are similar, there is one basic difference between them. When a manager acts as a ___2___, the manager's presence as a symbol of the organization is what is of interest. In the ___12___ role, however, the manager carries ___8___ and communicates it to others in a formal sense. The manager's ___6___ typically lead to ___13___. The ___8___ acquired by the manager as a result of performing the ___6___ has a major bearing on important ___14___ that he or she makes. There are four ___13___. First, the manager has the role of ___15___, the voluntary initiator of change. A manager at 3M company developed the idea for the Post-It-Note but had to "sell" it to other skeptical managers inside the company. A second ___16___ is initiated not by the manager but by some other individual or group. The manager responds to her role as ___17___ by ___18___ such problems as strikes, copyright infringements, or problems in public relations or corporate image. The third ___16___ is that of ___19___. As a ___19___, the manager decides how ___20___ are distributed and with whom he or she will work most closely. For example, a manager typically allocates the funds in the unit's operating budget among the unit's members and projects. A fourth ___16___ is that of ___21___. In this role, the manager enters into ___22___ with other groups or organizations as a representative of the company. For example, managers may ___23___ a union contract, an agreement with a consultant, or a long-term relationship with a supplier. ___22___ may also be internal to the organization. The manager may, for instance, mediate a dispute between two subordinates or ___23___ with another department for additional support. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23"

Account, audit, tax services, management advisory services, Accounting Information System (AIS), systems, generally accepted accounting principles (GAAP), services, U.S. Securities and Exchange Commission (SEC), tax, information

Virtually all Certified Public ___1___ant (CPA) firms, whether large or small, provide ___2___ing, ___3___, and ___4___. An ___2___ examines a company's ___5___ to determine whether financial reports reliably represent its operations. Organizations must provide ___2___ reports when applying for loans, selling stock, or when going through a major restructuring. Independent ___2___ors who do not work for the company must ensure that client's ___1___ing ___6___ follow ___7___, which are formulated by the Financial ___1___ing Standards Board (FASB) of the American Institute of Certified Public ___1___ants (AICPA) and govern the content and form of financial reports. The ___2___ing of a firm's financial statements is one of the ___8___ that can be performed only by a Certified Public ___1___ant (CPA). The ___9___ is the U.S. government agency that legally enforces ___1___ing and ___2___ing rules and procedures. Ultimately, the Certified Public ___1___ant (CPA) performing the ___2___ will certify whether the client's reports comply with ___7___. ___3___ include assistance not only with ___10___-return preparation but also with ___10___ planning. A CPA's advice can help a business structure (or restructure) operations and investments and perhaps save millions of dollars in ___10___es. Staying abreast of new ___10___-law changes is no simple matter. Some critics charge that the changing of ___10___ regulations has become a full-time vocation among some state and federal legislators who add increasingly complicated laws and technical corrections on ___10___ation each year. As consultants, ___1___ing firms provide ___4___ ranging from personal financial planning to planning corporate mergers. Other ___8___ include production scheduling, ___11___ ___6___ studies, AIS design, and even executive recruitment. The staffs of the largest CPA firms sometimes include engineers, architects, mathematicians, and psychologists, all of whom are available for consulting. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11"

Financial Ratios, Ratio Analysis, Solvency Ratios, Profitability Ratios, Activity Ratios, Liquidity Ratios, Leverage Ratios, assets, Current Ratio = Current Assets / Current Liabilities, balance sheet, Debt to Owner's Equity Ratio = Total Liabilities / Owner's Equity, profits, Return on sales = Net Income/Net Profit/Net Earnings/Net Loss after taxes / Net sale, income statement, Fixed Assets Turnover = Revenue / Fixed Assets,

We use ___1___ to analyze Financial Statements using ___2___ - The assessment of a firm's financial condition using calculations and ___1___ developed from the firm's financial statements. There are three ___1___ we are concerned with: ___3___, ___4___, and ___5___. 1. ___3___ - ___1___, either short- or long-term, for estimating the borrower's ability to repay debt (short-term - ___6___, long term - ___7___) 1a. ___6___ measure a firm's ability to turn ___8___ into cash to pay its short-term debts. Equation: ___9___ This information is found on the firm's ___10___. 1b. ___7___ measure the degree to which a firm relies on borrowed funds in its operations. Equation: ___11___ This information is found on the firm's ___10___. 2. ___4___ - financial ratios for measuring a firm's potential earnings; measure how effectively a firm's managers are using the firm's various resources to achieve ___12___. Equation: ___13___ This information is found on the firm's ___10___ and ___14___. 3. Activity Ratios - financial ratios for evaluating management's efficiency in using a firm's ___8___; measure how effectively management is turning over inventory. Equation: ___15___ This information is found on the firm's ___10___ and ___14___. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15"

Product, Price, Place, Promotion

What are the 4 P's?

Price/Earnings

What does P/E stand for?

A

What happens prior to the Segmentation, Targeting, & Positioning Process? a) Analyzing the marketing environment b) Develop a positioning strategy c) Strategy or objectives d) Context e) Problem/ need recognition (PICK "A", "B", "C", "D", OR "E")

Accounting; financial; information; Accountants; bookkeeping; Customers; financial analysis; Skills in Strategic Thinking and Critical Problem Solving; accountant; solve critical problems; strategic; Communications, Interpersonal Skills, and Effective Leadership; communicate effectively; communication skills; interpersonal effectiveness; leadership; Dedication to Meeting Customer Needs; needs; Ability to Integrate Diverse Information; solving problems; Proficiency with Information Technology; information technology (IT)

What is ___1___? Recording, classifying, summarizing and interpreting of ___2___ events and transactions in an organization to provide interested parties needed ___2___ ___3___. To perform these functions, ___4___ keep records of taxes paid, income received, and expenses incurred, a process historically called ___5___ Relevant, Reliable, Comparable Who uses this information? Investors Government Agencies ___6___ Consumer Groups Suppliers Managers of the Business In order to conduct a ___7___, all of the users identified often use ratios to compare firms of different sizes to each other. "Did you ever hear of a kid playing accountant - even if they wanted to be one?" Jackie Mason The Role of ___4___? Watch dog Advisor Opine Trusted Professional Sarbanes Oxley Characteristics of ___4___/Emerging Competencies for Success in ___1___: ___8___ - The ___9___ can combine data with reasoning and professional knowledge to recognize and help ___10___ for better ___11___ action. ___12___ - The ___9___ can ___13___ in various business situations using meaningful ___14___ that provide ___15___ and ___16___. ___17___ - The ___9___ surpasses the competition in understanding each client's unique ___18___, in meeting those ___18___, and in visualizing the client's future ___18__. ___19___ - The __9___ can combine financial and other kinds of ___3___ to gain new meaning that provides clients with useful insights and understanding for ___20___. ___21___ - The ___9___ can use ___22___ in performing services for clients and can identify ___22___ applications that the client can adopt for added value to the business. WRITE ANSWER AS "1; 2; 3; 3; 5; 6; 7; 8; 9; 10; 11; 12; 13; 14; 15; 16; 17; 18; 19; 20; 21; 22"

planning, organizing, leading, controlling

When Alan Mulally took over the ailing Ford Motor Company a few years ago, he walked into a business that had low cash reserves, an unpopular product line, a confusing strategy, and a culture that was so resistant to change that one insider said it was "calcified." His first agenda was to set performance goals for all of Ford's top executives and clarify the strategic direction that would guide Ford in the future. He also worked to ensure that strategic, tactical, and operational ___1___ were all integrated and consistent with one another. This is an example of ___1___. After Mulally clarified Ford's strategy, he then overhauled the company's bureaucratic structure to facilitate coordination across divisions and promote faster decision making. This is an example of ___2___. Mulally took several steps to change the leadership culture that existed at Ford. The firm had previously used a directive, top-down approach to management. But Mulally decentralized many activities so as to put the responsibility for making decisions in the hands of those best qualified to make them. He also clarified channels of communication and revamped the incentive system used for senior managers. This is an example of ___3___. At Ford, Mulally installed a more rigorous financial reporting system so that he could better assess how various parts of the far-flung Ford empire were performing and get information he needed to make strategic decisions faster and easier than was the case when he first took over. This is an example of ___4___. WRITE ANSWER AS "1, 2, 3, 4"

C

When Dean Anderson carries out performance reviews he is predominantly doing which of the four management functions? a) Strategy b) Organizing c) Controlling d) Distributing e) Decision Making (PICK "A", "B", "C", "D", OR "E")

A

When Henry Ford famously said 'You can have any color, as long as it's black', he was advocating the selection of which target market? a) Mass marketing b) Segmented marketing c) Niche marketing d) Micromarketing e) Nanomarketing (PICK "A", "B", "C", "D", OR "E")

A

When Liam cracks his snowboard on a rail he realizes he must replace it. What stage of the consumer buying process has he just found himself in? a) Problem/ need recognition b) Information seeking c) Evaluation of alternatives d) Purchase decision e) Stimulus identification (PICK "A", "B", "C", "D", OR "E")

B

When Macy is looking for a new snowboard she notices on the company website that it is segmented into different types of 'terrain' based on what riding style the boarder pursues (e.g. Park, Backcountry, Spitboards, Freeride etc.). This segmentation is an example of which of the following? a) Sociological b) Behavioral c) Geographic d) Demographic e) Monographic (PICK "A", "B", "C", "D", OR "E")

A

When a business decides that they are going to create products for a wide audience and talk about the uniqueness of the product, what generic business strategy are they pursuing? a) Differentiation b) Cost Leadership c) Focus Cost Leadership d) Integrated cost leadership/ differentiation e) Focused Differentiation (PICK "A", "B", "C", "D", OR "E")

C

When a manager resolves a conflict between two subordinates he is performing the _____________ managerial role. a) Negotiator b) Monitor c) Disturbance Handler d) Spokesperson e) Peacemaker (PICK "A", "B", "C", "D", OR "E")

D

Which of the following can also be labeled the profit and loss statement? a) Balance Sheet b) Cash Flow Statement c) Ledgers d) Income Statement e) None of the above (PICK "A", "B", "C", "D", OR "E")

D

Which of the following generic competitive strategies does Trader Joe's pursue? a) Differentiation b) Cost Leadership c) Focus Cost Leadership d) Integrated cost leadership/ differentiation e) Focused Differentiation (PICK "A", "B", "C", "D", OR "E")

C

Which of the following is NOT one of the four functions of managers? a) Planning b) Organizing c) Distributing d) Controlling e) Leading (PICK "A", "B", "C", "D", OR "E")

C

Which of the following is at the center of the marketing environment analysis framework? a) Competition b) User c) Customer d) Benefits e) Psychology (PICK "A", "B", "C", "D", OR "E")

B

Which of the following is indicative of a bull market? a) Stock prices that are averaging 20 percent off peak b) Rising stock prices for 12 months or more c) Falling stock prices for 6 months or more d) A spike in the value of the DIJA e) Investors who are motivated to sell stocks based on current value (PICK "A", "B", "C", "D", OR "E")

D

Which of the following is usually contained within the shareholder's equity section of a balance sheet? a) All long term debts b) Current assets c) Fixed assets d) Retained earnings e) All of the above (PICK "A", "B", "C", "D", OR "E")

E

Which of the following refers to the rules and procedures governing the content and form of financial reports? a) National bookkeeping standards b) Core competencies c) Accounting and financial rules d) National guidelines of accounting principles e) Generally accepted accounting principles (PICK "A", "B", "C", "D", OR "E")

C

Which of the following segments does Charles Duhigg identify as the 'holy grail' of consumer behavior? a) Grandparents b) Uncles c) New parents d) Teenagers e) College Students (PICK "A", "B", "C", "D", OR "E")

A

Which of the following steps come after the transfer (posting) journal entries to a ledger? a) Take a trial balance b) Record transactions in a journal c) Prepare financial statements d) Analyze financial statements e) Analyze source documents (PICK "A", "B", "C", "D", OR "E")

A

While it's invested, money grows by earning interest or yielding some other form of return. What is this known as? a) Compound growth b) Dividend c) Capital gains d) Security e) Diversity (PICK "A", "B", "C", "D", OR "E")

Strategy, Decision Support, decision, Coordinating Device, Target

Why Do Firms Need ___1___: ___1___ as (a) ___2___ -> Improves the quality of ___3___ making ___1___ as (a) ___4___ -> Creates consistency and unity ___1___ as (a) ___5___ -> Improves performance by setting high aspirations Example: "We're going to be the #1 jacket provider in the world." WRITE ANSWER AS "1, 2, 3, 4, 5"

B

You go to see the new Star Wars movie (The Last Jedi) and after 10 minutes you realize that it is 'Star Trek' you like and in actuality you strongly dislike Star Wars. You decide to 'suffer through' the movie as you have paid $20 instead of leaving. What decision making bias have you just fallen into? a) Myopia b) Sunk Costs c) Framing of the decision/Framing of the problem d) Information availability e) Anchoring Bias (PICK "A", "B", "C", "D", OR "E")

(Abraham) Maslow's Hierarchy of Needs, Physiological Needs, Safety Needs, Social Needs, Personal Needs, Self-Actualization Needs

___1___ (from bottom to top): 1. ___2___: Food, water, shelter, oxygen 2. ___3___: Freedom from harm, financial security 3. ___4___: Friendship, belonging, love 4. ___5___: Status, respect, prestige 5. ___6___: Self-fulfillment WRITE ANSWER AS "1, 2, 3, 4, 5, 6"

Time Value Of Money, Money, valuable, Compound Growth, compounding, time, Value, Rule of 72, Rule, 72, Stock, Common Stock, Preferred Stock, dividend, Categories of Common Stock, Blue Chip, Income, growth, Cyclical, Defensive/Counter-Cyclical, Large-Cap, Mid-Cap, Small-Cap, market capitalization, market value, cap, Penny Stock, Stock Valuation, Book Value, price, market, Price/Earnings (P/E) Ratio, Price appreciation, Securities markets, securities, primary markets, secondary markets, Securities Act of 1933, U.S. Securities and Exchange Commission (SEC), Securities Exchange Act of 1934, Stock/Market Index, Dow Jones Industrial Average (DJIA), Standard & Poor's 500 (S&P 500), 500, National Association of Securities Dealers Automated Quotations System (NASDAQ) Composite Index, National Association of Securities Dealers Automated Quotations System (NASDAQ), Russell 2000 Index, index, 2,000, Bull Market, Bear Market

___1___ - ___2___ received sooner is more ___3___ than ___2___ received later Example: Would you rather receive $1,000 now or $1,000 five years from now? Receiving amounts sooner leads to higher interest rates Example: Suppose you agree to receiving $1,600 five years from now in lieu of $1,000 now. You are charging 9.8% per year interest rate. ___4___ - ___5___ of interest over ___6___—with each additional ___6___ period, interest returns accumulate Future ___7___ = Present ___7___ (1 + interest rate)^Number of Years $1,000 become $1,600 in 5 years at the interest rate of 9.86% per year A simple ___1___ Calculator The ___8___ - A Simple ___9___ of Thumb; You can find the approximate number of years needed to double your ___2___ by dividing the annual interest rate (in percent) into ___10___. Example: At 8 percent per year interest rate, it will take approximately ___10___ ÷ 8 = 9 years to double your ___2___. You can also approximate how much interest you must get if you want to double your ___2___ in a given number of years: Simply divide ___10___ by the desired number of years. Example: To double your ___2___ in 6 years, you have to earn approximately ___10___ ÷ 6 = 12 percent per year interest rate. ___11___ - portion of ownership of a corporation ___12___ - most basic form of ownership, including voting rights on major issues, in a company ___13___ - Shares of ownership without voting rights but with defined ___14___s Investment ___15___: ___16___ - ___11___s of major, well-established corporations with demonstrated ability to manage their way through every kind of economic condition; such ___11___s are usually considered safe, if not necessarily thrilling, choices. ___17___ - ___11___s purchased primarily for ___14___ payouts rather than capital gains potential; companies tend to be older, stable firms with fairly predictable profits but lower prospects for ___18___. ___18___ - ___11___s from rapidly growing companies that usually reinvest profits (to keep growing) rather than pay ___14___s; investors buy these ___11___s for potential capital gains, not money received on a regular basis; companies tend to be more tiny and younger, and many are in the technology center. ___19___ - ___11___s from companies whose earnings tend to track the ups and downs of the economy in a predictable pattern - in other words, their revenue and profits grow as the economy grows and shrink as the economy shrinks; many of these companies are in basic industries such as housing and transportation. ___20___ - ___11___s of companies that tend to fare better when the economy is doing worse and vice versa; for example, new car sales decline in a falling economy but car repair businesses usually increase revenue as people try to hang onto their automobiles longer. ___21___, ___22___, ___23___ - General designations for the size of a company's ___24___ (the ___25___ of its ___11___ multiplied by the number of shares in circulation); ___23___ tend to be higher-risk, higher-reward ___26___ than ___21___s, with ___22___s somewhere in between - but these are average over ___6___, not predictions for specific ___11___s. ___27___ - ___11___s that sell for less than one dollar per share or, more generally, ___11___s that are highly speculative (risky, but with upside potential, in other words); tend to be from newer companies or established companies whose ___11___ has plummeted for some reason. Ways to perform ___28___: ___29___ - The difference between the assets and liabilities, on a per share basis, as listed on the balance sheet ___29___ of a share of Google ___11___ (Sep 30, 2017): $214.01 ___25___ - The ___30___ at which the ___11___ is actually selling in the ___11___ ___31___ ___25___ of a share of Google ___11___ (Nov 2, 2017): $1,025.58 ___32___ - The ___25___ per share divided by the earnings per share Measures the ___7___ of ___11___ per dollar of current earnings ___32___ of Google is 37.31 and ___30___ of McDonald's is 27.62 Reasons for Investing- Stability and Safety, Conservative Capital ___18___, and/or Aggressive ___18___ Gains from Investing in ___11___s: ___14___s - Payments from the company to the shareholders ___33___ - Change in the ___30___ of the ___11___ Example: Buy 100 shares of McDonald's on July 31 at $155.14 per share Receive ___14___ of $0.94 per share on August 30 Sell the shares on August 30 at $159.53 per share ___34___: $159.53 - $155.14 = $4.39 per share Total gain: $4.39 + $0.94 = $5.33 Return on investment: $5.33/$155.14 = 3.44% ___34___ are financial ___31___ places for ___11___s and bonds and serve two main functions: 1. Assist businesses in finding long-term funding to finance capital needs. 2. Provide private investors a place to buy and sell ___35___ such as ___11___s and bonds. ___34___ are divided into ___36___ and ___37___: ___36___ handle the sale of new ___35___. ___37___ handle the trading of ___35___ between investors with the proceeds of the sale going to the seller. ___38___ - Dealt mainly with the process of issuing new ___35___ Required firms issuing new ___11___ in a public offering to file a registration statement with the ___39___. ___40___ - Regulated the trading of previously issued ___35___. ___39___: Oversee the ___35___ industry ___41___es: ___42___ oldest and most widely cited ___41___ based on the ___30___s of 30 ___16___, ___21___ industrial firms on the New York Stock Exchange (NYSE) Oldest: GE (1907), Youngest: Apple (2015) ___43___ - ___41___ of U.S. equities based on the performance of ___44___ ___21___ stocks representing various sectors of the overall equities ___31___ ___45___ - ___41___ that includes all ___46___-listed companies, both domestic and foreign, with a high proportion of technology companies and ___23___ stocks ___47___ - specialty ___48___ that uses ___49___ ___11___s to measure the performance of the tiniest U.S. companies ___50___s and ___51___s: ___50___ - ___31___ going up for 12 months or longer. ___51___ - ___31___ going down for 12 months or longer. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37, 38, 39, 40, 41, 42, 43, 44, 45, 46, 47, 48, 49, 50, 51

Finance, financial intermediary, Financial Intermediaries, Debt, Equity, Securities, Investment bankers, initial public offering (IPO), securities markets (exchanges), Information Asymmetry, risk, randomness, Dow Jones Industrial Average (DJIA), Standard and Poor's (S&P) 500 Index, The Consumer Financial Protection Bureau (CFPB),

___1___ - vb. to furnish, supply funds for; to provide capital for. Peter Buys a House Needs to ___1__ the purchase Borrows $300,000 from a bank Interest rate = 4% per year (monthly payments) Length of loan = 30 years (360 payments) Monthly payment = $1,432.25 In Excel =-PMT(4%/12,30*12,300000) Uses the house as a collateral Mortgages the house to get the loan If Peter is unable to make the loan payments, the bank can seize the house Where Does the Bank Get the Money? The bank is a ___2___ Borrows money from the depositors at low interest rates Loans it to borrowers such as Peter at higher interest rates Why ___3___? Why does Peter use a bank? Why doesn't he borrow directly from the depositors? Too complicated and expensive for Peter and the depositors to find each other. ___3___ include: Commercial Banks (or just banks) Credit Unions Insurance Companies Mutual Funds Hedge Funds Pension Funds ___3___ are a subset of a broader category of companies known as Financial Services Companies Emily Has An Idea For A Business Emily Needs Capital For Her Business She starts by using her savings and her credit cards She asks family and friends to invest in her business ___4___: Loan for specified periods at specified interest rates Example: $10,000 @ 15% per year for 3 years ___5___: Share of the business Example: $20,000 for 10% of the business She asks other investors Banks and ___6___ ___3___ General public ___4___ Other names for ___4___: Loan, Bond, Note ___4___ has to be paid back with interest as per the contract Emily is legally obligated to pay $1,500 per year for three years $10,000 at the end of the third year If she defaults on her payments (is unable to pay), the lenders can sue her Even force the business into bankruptcy and liquidation Interest payments are a write-off for tax purposes Some ___4___ is OK because but too much ___4___ can be dangerous ___5___ Other names for ___5___: stock, common stock, shares, shares of common stock If business generates income (profits) they can be distributed to the investors in form of payments known as dividends No legal obligation to pay dividends Poor business performance can lead to pressure from investors The value of investors investment goes up and down with the performance and market value of the business ___6___ ___4___ and ___5___ are ___6___ Companies issue (sell) ___6___ Investors buy them ___7___ bring sellers and buyers of ___6___ together Business Financing Businesses go through several rounds of financing during their life. Google (now Alphabet) is a good example. ___6___ When companies grow large enough, they may sell shares to the public in an ___8___ Google had its ___8___ on August 19, 2004. Shares rose over 18% on the first day. Facebook had its ___8_ on May 18, 2012. Shares fell by 27% in the first two weeks. Once issued, the ___6___ trade in ___9___ Much like used cars ___6___ dealers and brokers facilitate in the process Who Buys the ___6___? People Directly: Buy shares of common stock Indirectly: Buy mutual funds, hedge funds, pension funds, insurance. These intermediaries buy shares of common stock For? Buying a house or car Children's education Retirement Emergency They hope that their invested capital, the value of the ___6___, will grow over time ___10___ When we invest, we entrust our money to strangers They have more information about their ventures than we do Not much different than a used car transaction Be street smart Investing is ___11___y (due to ___12___) as it is... don't be taken for a ride by crooks Capitalism works only when informed investors do their homework and take responsibility for their actions and decisions How Do We Deal With ___12___? We try to analyze, protect and control Analysts Diversification (Mutual funds) and Insurance Regulation Does it work? We think, hope and pray so. At least it creates jobs! ___11___ ___11___ is a fact of life In investing, ___11___ comes from many sources It also comes with potential rewards The higher the ___11___, the higher the expected return Without ___11___, there are no rewards. If someone tells you otherwise, run as fast as you can Embrace ___11___, be smart about it (diversify) Invest in portfolios; mutual funds The Market? Market: Aggregate of stocks (or bonds) "How's the market doing?" Market performance is measured by indexes such as ___13___ and ___14___ The market is up by over 16% this year Sober reminder: On October 19, 1987, the market declined by over 22%. Personal Advice Start investing today. No, yesterday Do you really need that latte? phone? shoes? Support your favorite companies and make a buck for yourself ___15___ is an agency of the United States government responsible for consumer protection in the financial sector. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15"

Marketing Research, Controlling Marketing Variables, Stakeholders, Environmental Factors, decisions, Marketing Decisions, Market, Research Method, Observation, Survey, Focus Group, group, Experimentation

___1___ <-> ___2___: Product, Price, Place, Promotion ___3___: Consumers, Employees, Investors, Suppliers, Local Communities ___4___: Economic, Technological, Competitive, Political-Legal, Sociocultural <-> Assessing information needs, providing information, making ___5___ <-> <-> ___6___: ___7___ segmentation, Target ___7___ selection, ___7___ing plan, Goals for performance ___8___s: ___9___ - ___8___ that obtains data by watching and recording consumer behavior ___10___ - ___8___ of collecting consumer data using questionnaires, telephone calls, and face-to-face interviews ___11___ - ___8___ using a ___12___ of people from a larger population who are asked their attitudes, opinions, and beliefs about a product in an open discussion ___13___ - ___8___ using a sample of potential consumers to obtain reactions to test versions of new products or variations of existing products WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 10, 11, 12, 13"

Vision Statements, customer oriented, product oriented, Mission statements

___1___ Are aspirational for a company Look forward ten to twenty years Refer to what organization considers success Are crucial for organizations to have vision and direction Fall into two categories: ___2___ or ___3___ Trend: companies moving away from ___3___ (less flexible model) Should be clear and concise and avoid generic statements IKEA "Our vision is to create a better everyday life for the many people. Our business idea supports this vision by offering a wide range of well-designed, functional home furnishing products at prices so low that as many people as possible will be able to afford them." ___1___ are future-oriented (ten to twenty years). ___4___ flow from ___1___ but are more concrete: Who, what, and how of organization. Why the organization exists and what it actually does. PATAGONIA "Build the best product, cause no unnecessary harm, use business to inspire and implement solutions to the environmental crisis." WRITE ANSWER AS "1, 2, 3, 4"

Financial Statements, Balance Sheet, Income Statement/Profit-and-Loss Statement, Statement of Cash Flows, assets, liabilities, owner's equity, tangible assets, intangible assets, Current assets, liquidating, liquidity, liquid, Marketable securities, merchandise inventory, Fixed Assets, depreciation, Intangible Assets, goodwill, Current liabilities, Accounts Payable, Long-term liabilities, paid-in capital, retained earnings, point in time, revenues, cost of revenues, operating expenses, Net Income/Net Income/Net Profit/Net Earnings/Net Loss, period of time, revenue, Gross Profit, Operating Income/income before taxes, Operating Activities, Investing Activities, Financing Activities, Cash Flows from Operations/Operating Activities, Cash Flows from Investing/Investing Activities, Cash Flows from Financing/Financing Activities

___1___ include the ___2___, ___3___, and the ___4___. 1. ___2___s supply detailed information about the accounting equation items: ___5___, ___6___, and ___7___. 1a. ___5___ - Economic resources owned by a firm. Items can be ___8___ or ___9___. 1aa. ___10___ - Items that can or will be converted to cash within one year. 1aaa. The act of converting something into cash is called ___11___. ___5___ are normally listed in order of ___12___, the ease of converting them to cash. Debts, for example, are usually paid in cash. A company that needs but cannot generate cash - a company that's not "___13___" - ay be forced to sell ___5___ at reduced prices or even to go out of business. 1aab. By definition, cash is completely ___13___. ___14___ purchased as short-term investments are slightly less ___13___ but can be sold quickly. These include stocks or bonds of other companies, government securities, and money market certificates. 1aac. Many companies hold other non___13___ ___5___ such as ___15___, the cost of merchandise that's been acquired for sale to customers and is still on hand. Google has no ___15___ because it sells services rather than physical goods. 1ab. ___16___ - Long-term ___5___ that are relatively permanent such as land, buildings, or equipment. 1aba. ___16___ (such as land, buildings, and equipment) have long-term use or value, but as buildings and equipment wear out or become obsolete, their value decreases. Accountants use ___17___ to spread the cost of an asset over the years of its useful life. To reflect decreasing value, accountants calculate an asset's useful life in years, divide its worth by that many years, and subtract the resulting amount each year. Every year, therefore, the remaining value (or net value) decreases on the books. Google shows ___16___ of $30,242 million after ___17___. 1ac. ___18___ - Long-term ___5___ that have no physical form but do have value such as patents, trademarks, and ___19___. 1aca. ___19___ is the amount paid for an existing business beyond the value of its other ___5___. A purchased firm, for example, may have a particularly good reputation or location. Google declares both ___18___ and ___19___ in its ___2___. 1b. ___6___ - What the business owes to others - its debts. 1ba. ___20___ are debts that must be paid within one year. Google has ___20___ of $16,805 million. 1baa. ___21___ - ___20___ a firm owes for merchandise or services purchased on credit. 1bb. ___22___ are debts that are not due for at least a year. These normally represent borrowed funds on which the company must pay interest. The ___22___ of Google are $9,828 million. 1c. ___7___ - The amount of the business that belongs to the owners minus any ___6___ of the owners. 1ca. When Google was first formed, it sold a small amount of common stock that provided its first ___23___. ___23___ is the money invested by owners. Google's ___23___ had grown to $28,794 million by year-end 2014, and includes proceeds from Google's initial public offering of stock in 2004 that created additional funds that were needed for expansion. 1cb. ___24___ - Accumulated earnings from the firm's profitable operations that are reinvested in the business. At the close of 2014, Google had ___24___ of $75,706 million. The ___2___ for any company, then, is a barometer for its financial condition at one ___25___. 2. The ___3___ is called what it is because its description of financial and expenses results in a figure showing the firm's annual profit or loss. In other words, Profit or Loss = ___26___- Expenses The 2014 ___3___ for Google was $14,444 million. The ___3___, popularly known as the bottom line, is divided into four major categories: (1) ___26___, (2) ___27___, (3) ___28___, and (4) ___29___. Unlike a balance sheet, which shows the financial condition at a specific ___25___, an ___3___ shows the financial results that occurred during a ___30___, such as a month, quarter, or year. 2a. ___26___ - funds that flow into a business from the sale of goods or services. When a law firm receives $250 for preparing a will or a supermarket collects $65 from a grocery shopper, both are receiving ___26___, the funds that flow into a business from the sale of goods or services. In 2014, Google reported ___26___ of $66,001 million from the sale of advertising and Web-search services to Google Network members, such as AOL. 2b. ___27___ - shows the costs of obtaining the ___26___ from other companies during the year. In the Google ___3___, the ___27___ section shows the costs of obtaining the ___26___ from other companies during the year. These are fees Google must pay its network members - ___31___ sharing from advertising income - and also include expenses arising from the operation of Google's data centers, including labor, energy, and costs of processing customer transactions. The ___27___ for Google in 2014 was $25,691 million. 2ba. ___32___- preliminary, quick-to-calculate profit figure calculated from the firm's ___26___ minus its ___27___ (the direct costs of getting the ___26___). 2c. ___28___ - costs, other than the ___27___, incurred in producing a good or service In addition to costs directly related to generating ___27___, every company has general expenses ranging from pencils to the CEO's salary. Like cost of revenues, ___28___ are resources that must flow out of a company if it is to earn ___26___ Google had ___28___ of $23,814 million in 2014. 2d. ___33__ - ___32___ minus ___28___ Google's ___33___ in 2014 was $66,001 million - $23,814 million = $12.760 billion dollars. 2da. ___29___ - The ___31___ left over after costs and expenses. Google's ___29___ in 2014 was $16,496 million - $2,052 million = $14,444 million. 3. ___4___ - Reports cash receipts and cash disbursements related to the three major activities of a firm: ___34___, ___35___, and ___36___. 3a. ___37___ - This first section of this concerns main ___34___: cash transactions involved in buying and selling goods and services. For the Google example, it reveals how much of the year's cash balance results from the firm's main line of business, sales of advertising and Web-search services. ___33___ at Google contributed net cash inflows amounting to $22,476 million in 2014. 3b. ___38___ - The second section reports net cash used in or provided by ___35___. It includes cash receipts and payments from buying and selling stocks, bonds, property, equipment, and other productive assets. These sources of cash are not the company's main line of business. Purchases of property, equipment, and investments made by Google, for example, consumed $21,055 million of net cash. A cash outflow is shown in parentheses. 3c. ___39___ - The third section reports net cash from all ___36___. It includes cash inflows from borrowing or issuing stock, as well as outflows for payments of dividends and repayment of borrowed money. Google's ___36___ provided a net cash out-flow of $1,439 million. The overall change in cash from these three sources is -$551 million for the year. The amount is added to the beginning cash (year-end cash from the 2013 ___2___) to arrive at 2014's ending cash position of $18,347 million. When creditors and stockholders know how a firm obtained and used funds during the course of a year, it's easier for them to interpret year-to-year changes in the ___2___ and ___3___. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37, 38, 39"

Channels of Distribution, Direct Distribution, Retail Distribution, Retailer, Wholesale Distribution, Wholesaler, Distribution by Agents or Brokers, Agent or Broker, Value-Adding Intermediary

___1___ include: 1. ___2___: Producer -> End Users (consumers and industrial buyers) 2. ___3___: Producer -> ___4___ -> End Users 3. ___5___: Producer -> ___5___ -> ___4___ -> End Users (consumers and industrial buyers) 4. ___6___: Producer -> ___7___ -> End Users Example of a ___8___ - Supermarket WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8"

Price, product, Benefits, Costs, Product Costs, Price Floor, Consumer Perceptions of Value, Price ceiling, Cost-Based Pricing, Value-Based Pricing

___1___ is the amount of money charged for a ___2___ or service, or the sum of all the values that customers exchange for the ___3___ of having or using the product or service. Value = ___3___ / ___4___ Considerations in setting ___1___: 1. ___5___ - ___6___: No profits below this ___1___ 2. Competition and other External Factors: Competitors' strategies and ___1___s. Marketing strategy, objectives, and mix. Nature of the market and demand. 3. ___7___ - ___8___: No demand above this ___1___ ___9___: 1. Design a good ___2___ -> 2. Determine ___5___ -> 3. Set ___1___ based on cost -> 4. Convince buyers of ___2___'s value ___10___: 1. Assess customer needs and value perceptions -> 2. Set target ___1___ to match customer's perceived value -> 3. Determine ___3___ that can be incurred -> 4. Design product to deliver desired value at target price WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10"

Financing, Financial Managers, macro, micro, Financial Management, Balancing short-term and long-term demands, long-term, Balancing potential risks and potential rewards, risk/reward, risk, reward, Balancing leverage and flexibility, leveraged

___1___ the Business Firm ___2___ - Examine ___1___ data and recommend strategies for improving financial performance. ___2___ are responsible for Paying company bills, Collecting payments, Staying abreast of market changes, and assuring accounting accuracy Top Financial Concerns of Company Chief ___1___ Officer's (CFO's) - ___3___ - include Consumer demand, Federal-government policies, Price pressure from competitors, Credit markets/interest rates, Global ___1___ instability Top Financial Concerns of Company Chief ___1___ Officer's (CFO's) - ___4___ - include Ability to maintain margins, Ability to forecast results, Maintaining morale/productivity, Cost of healthcare, Working-capital management ___5___: 3 Fundamental Concepts 1. ___6___ - Must have ready cash to pay salaries, bills, and taxes. Need a ___1___ cushion to ride out tough times. May need money for acquisitions or other extraordinary expenses. Must make strategic ___7___ investments 2. ___8___ - Every decision involves a ___9___ trade-off. Higher ___10___s may yield higher ___11___s. The safest choices aren't always the best choices 3. ___12___ - Can use debt ___3___cally and sometimes out of necessity. Debt can be a tool, but it can also be a trap. Highly ___13___ companies have far less ability to maneuver and are more vulnerable to setbacks WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13"

Debt Financing, Equity Financing, Maturity, Specifi, debt, Not Applicable (N/A), equity, Claim on income, Nondiscretionary, Discretionary cost, management, discretion, Claim on assets, Prior, claims on assets, Residual, Influence over management, Usually little, usually, influence, Varies, Tax consequences, Deductible, tax, Not deductible, Employee benefit potential, Stock options

___1___ versus ___2___ Characteristics: 1. ___3___ ___1___: ___4__c: In most cases, ___4___es a date by which ___5___ must be repaid. ___2___: ___6___: ___7___ funding does not need to be repaid. 2. ___8___ ___1___: ___9___, usually a recurring cost and usually fixed: ___5___ obligations must be repaid, regardless of whether the company is profitable; payments can be regular (e.g., monthly), balloon (repaid all at once), or a combination. ___2___: ___10___: At ___11___'s ___12___ and if company is profitable, shareholders may receive dividends after creditors have been paid; however, company is not required to pay dividends. 3. ___13___ ___1___: ___14___ity: Lenders have ___14___ ___15___ ___2___: ___16___: Shareholders have claims only after the firm satisfies claims of lenders. 4. ___17___ ___1___: ___18___: Lenders ___19___ have no ___20___ over ___11___ unless ___5___ vehicles come with conditions or ___11___ fails to make payments on time. ___2___: ___21___: As owners of the company, shareholders can vote on some aspects of corporate operations, although in practice only large shareholders have much ___20___. Private ___7___ holders (such as venture capitalists) can have considerable ___20___. 5. ___22___ ___1___: ___23___: ___5___ payments reduce ___24___able income, lowering ___24___ obligations. ___2___: ___25___: dividend payments are not ___24___ ___23___. 6. ___26___ ___1___: ___6___: ___1___ does not create any opportunities for compensation alternatives such as ___27___. ___2___: ___27___: Issuing company shares creates the opportunity to use ___27___ as a motivation or retention tool. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27"

Marketing Process; Market Analysis/The 5 C's; Segmentation, Targeting, and Positioning (STP); Segmentation; Target; Positioning; Marketing Mix/The 4 P's; Customer; Profits

___1___: 1. ___2___ 1a. Customers 1b. Company 1c. Competitors 1d. Collaborators 1e. Context 2. ___3___ 2a. Market ___4___ 2b. ___5___ Market Selection 3c. Product/Service ___6___ 3. ___7___ 3a. Product and Service 3b. Place/Channels 3c. Promotion ->3d. Pricing 4a. ___8___ Acquisition 4b. ___8___ Retention 5. ___9___ WRITE ANSWER AS "1; 2; 3; 4; 5; 6; 7; 8; 9"

Budgeting Process, Finding and Allocating Funds, financial management, Sources of funds, Uses of funds, Internal Sources, External Sources, Strategic Plan, Financial plan, capital, Budgets, Start-up budget, fund, Operating budget, Capital budgets, cash, Project budgets, projects, Monitoring the Working Capital Accounts, working capital accounts, inventory, accounts receivable, accounts payable/Payables (A/P), received, Cash Reserves, financial, Budgeting, Managers, Fixed costs, variable costs, strategic

___1___: 1. ___2___ - ___3___ involves finding suitable ___4___ and deciding on the most appropriate ___5___s. 1a. ___4___: 1aa. ___6___: Revenue from sales, investment income, revenue from selling assets 1ab. ___7___: Credit cards, Trade credit, secured loans, unsecured loans, commercial paper, factoring, leases, corporate bonds, equity 1b. ___8___ establishes goals, objectives, and priorities 1ba. ___9___ identifies the amounts and types of ___10___ needed to accomplish those goals and objectives 1baa. ___11___ identify where and when money will be spent 1baaa. ___12___ identifies ___13___s and spending needed to launch the company 1baab. ___14___ identifies ___15___ requirements and spending for current time period 1baac. ___16___ plan ___13___ing for major ___10___ investments 1baad. ___17___ plan ___10___ing and spending for specific ___18___ 1c. ___5___: Payroll, taxes, dividends, debt repayment, rent, utilities, real estate and facilities, equipment, parts and materials, supplies, professional services, advertising and other marketing, training, research, acquisitions, investments 2. ___19___ - The ___20___ represent a firm's ___15___ on hand as well as economic value that can be converted to ___15___ (___21___) or is expected from customers (___22___), minus what it is scheduled to pay out (___23___). ___22___ - Amounts owed to the company but not yet ___24___. Need to be monitored closely and managed carefully so that the firm gets the revenue it is expecting on time. ___25___ - ___15___ or ___15___ equivalents (___26___ instruments that can be converted to cash quickly). Readily available and under the company's control. ___21___ - Has the potential to be converted to ___15___ but must be sold first. Represents a cost while it's sitting there waiting to be sold. ___23___ - Amounts the company owes but hasn't paid yet. Firms generally wait as long as possible to pay unless given incentives to pay early. ___24___ Challenges: 1. Every company has a limited amount of money to spend. ___18___ and departments are often in competition for resources. ___25___ need to make tough choices, occasionally taking money from one group and giving it to another. 2. Revenues and ___15___ are often difficult to predict. Sales forecasts are never certain, particularly for new products or in sales into new markets. ___26___ are easy to predict, but ___27___ can be hard to predict, particularly more than a few months out. 3. It's not always clear how much should be spent. With some expenses, such as advertising, ___25___ aren't always sure how much is enough. Uncertainty leads to ___24___ based on past expenditures, which might be out of line with current ___28___ needs. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28"

Selected Provisions of the Sarbanes-Oxley Act/Sarbox/Sox (2002), Public Company Accounting Oversight Board (PCAOB), Certified Public Accountant (CPA), 5, Chief Executive Officer (CEO), Chief Financial Officer (CFO), U.S. Securities and Exchange Commission (SEC), 10, 25, 20

___1___: Creates a national ___2___ that, among other activities, must establish the ethics standards used by ___3___ firms in preparing audits. Requires that auditors retain audit working papers for specified periods of time. Requires auditor rotation by prohibiting the same person from being the lead auditor for more than ___4___ consecutive years. Requires that the ___5___ (A ___5___ is the highest-ranking executive in a company, and their primary responsibilities include making major corporate decisions, managing the overall operations and resources of a company, and acting as the main point of communication between the board of directors and corporate operations) and ___6___ (the senior executive responsible for managing the financial actions of a company) certify that the company's financial statements are true, fair, and accurate. Prohibits corporations from extending personal loans to executives and directors. Requires that the audited company disclose whether it has adopted a code of ethics for its senior financial officers. Requires that the ___7___ regularly review each corporation's financial statements. Prevents employers from retaliating against research analysts who write negative reports. Imposes criminal penalties on auditors and clients for falsifying, destroying, altering, or concealing records (___8___ years in prison). Imposes a fine or imprisonment (up to ___9___ years) on any person who defrauds shareholders. Increases penalties for mail and wire fraud from ___4___ to ___10___ years in prison. Establishes criminal liability for failure of corporate officers to certify financial reports. WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11"

The Marketing Mix/The 4 P'S, Product, Price, Place/Distribution, Promotion/Communication,

___1___: ___2___: Core ___2___ & services, along with accessories, options and other enhancements ___3___: Monetary Value asked in exchange for the ___2___s offered ___4___: Systems for connecting customers with those ___2___s, including online and physical retailing ___5___: Bidirectional conversation about customer needs and the way company can meet them WRITE ANSWER AS "1, 2, 3, 4, 5"

Influences on Consumer Behavior, Cultural Influences, Culture, Social, Social Influences, Personal Influences, Personality, Psychological Influences,

___1___: ___2___ - ___3___, Sub___3___, ___4___ Class ___5___ - Groups, Opinion Leaders, Family, Roles ___6___ - Demographics (Ages, Lifecycle, Occupation), Self-image, ___7___ ___8___ - Motives, Perception Process, Learning, Attitudes WRITE ANSWER AS "1, 2, 3, 4, 5, 6, 7, 8"

Accrual Accounting, Accounting, Accrual

___1___: ___2___ method that records revenues and expenses when they are incurred, regardless of when cash is exchanged. The term "___3___" refers to any individual entry recording revenue or expense in the absence of a cash transaction. WRITE ANSWER AS "1, 2, 3"

Decision process; process; develop; analyzing; alternative; making; choice; problem; Decision; Programmed decisions; consequences; Nonprogrammed decisions; Rational Decision-Making Process; Define the Problem; defining the problem; Identify and weight the criteria; Criteria; Develop alternatives; choose; Analyze the alternatives/consequences; weigh; Choose, Implement, and Evaluate; Implement; evaluated; Rational Choice Theory; rational; decision-maker; risk; state of risk; decision making; state of uncertainty;

___1___: the ___2___ of ___3___ing and ___4___ ___5___s and ___6___ a ___7___. Can be prompted by ___8___s - A discrepancy between a desirable and an actual situation. ___9___s don't always involve ___8___s but ___8___-solving always involves ___1___ Crisis/ ___8___ = Danger + Opportunity? Two main types of ___9___s made by managers: ___10___: Well-structured Routine Repetitive, occurring on a regular basis Can be solved through mechanical procedures Usually take place at lower levels in the organisation, have short-term ___11___, based on readily available information Example: Do have a specific order by which you put on your clothes? ___12___: Unique Novel Unstructured As a result - no previously established ___9___ rule Generally, they rely heavily on judgement and focus on the firm's strategic ___3___ment and survival Taken at higher levels Long time frame Example: CEO's ___9___ to launch a new product or go into a new international market The ___13___: 1. ___14___ Einstein is quoted as having said that if he had one hour to save the world he would spend fifty-five minutes ___15___ and only five minutes finding the solution. Some definitional issues: Confusing the ___8___ with the cause Initial success & failure Not enough information to clearly define what the ___8___ is Not enough time Perceptions & Judgments (www.implicit.harvard.edu) Prior experiences Psychological set Example: Hotel Manager defines her ___8___ as: Increase business vs. increase repeat business 2. ___16___ ___17___ often often move up and down in terms of priorities ___17___ will depend on the objective or ___8___ Example: Your college ___7___ solely on academic quality? Business ___17___ to be profitable to shareholders or to increase stakeholder value? What is important to you when you buy a car? Design, MPG, Warranty, Price, Engine, Color, 4wd, Awd, # Doors, Resale value, Prestige/ reputation, Seating, Truck space, Environmental aspects, Multimedia/ Dash, Country of manufacture 3. ___18___ "Whenever one has to judge, one must have ___5___s among which to ___19___. Only if there are ___5___s can one hope to get insight into what is truly at stake. Effective people therefore insist on ___5___s of measurement - so that they can ___19___ the appropriate one" (Drucker) Importance of information in ___1___ Creative thinking? Often we are hardwired to stop at the first ___5___ (satisfice) - Product of a formal education! Example: Apollo 13 - ___9___ on how to go about carbon dioxide issue 4. ___20___ ___21___, compare and contrast Match the ___5___s to the ___17___ to see which is most desirable Methods Use tools such as SWOT analysis Assign numerical values Rank order of ___5___s Example: Using Kelly Blue Book (KBB) to compare cars 5. ___22___ ___19___ the most appealing ___5___ ___23___ation phase is key! Failure is an opportunity to learn! Contrast to multiple failures! "Insanity is doing the same thing over and over and expecting different results." (Einstein) Every ___9___ must be ___23___ed and ___24___! Economics: ___25___ - assumes human behavior is guided by instrumental reason. For a ___9___ to be ___26___, the ___27___: is able to compare all the ___5___ and comparisons are consistent, always ___19___s the item he/she prefers, has perfect information, has the cognitive ability to ___21___ ___7___s, and is aware of all possible ___7___s Why ___25___? Allows for an easier understanding of complex social phenomena Why structure a ___9___? Substantiate your answer, Reduces ___28___, and Most important ___9___s carry too many ___11___ to not put conscious thought behind it Under a ___29___, the availability of each ___5___ and its potential payoffs and costs are all associated with probability estimates. Most of the major ___30___ in contemporary organizations is done under a ___31___. The ___27___ does not know all the ___5___s, the ___28___s associated with each, or the likely ___11___ of each ___5___. WRITE ANSWER AS "1; 2; 3; 4; 5; 6; 7; 8; 9; 10; 11; 12; 13; 14; 15; 16; 17; 18; 19; 20; 21; 22; 23; 24; 25; 26; 27; 28; 29; 30; 31"

VOL

_____ - How much is traded on a given day

Marketing

_____ - The activity, set of institutions and processes for creating, communicating, delivering, and exchanging offerings with value for customers, clients, partners, and society at large.

Anchoring

_____ - The first review you heard of The Last Jedi said it was awesome. You actually view the movie as awesome and tell other people it's awesome because of this.

Convenience goods and services

_____ are those which are repeatedly bought over and over again; these should be easily available to consumers.

Controlling

_____ is the process of monitoring an organization's or firm's performance to make sure that it is meeting its goals. All CEOs must pay close attention to costs and performance. Managers at United Airlines, for example, focus almost relentlessly on numerous indicators of performance that they can constantly measure and adjust. Everything from on-time arrivals to baggage-handling errors to the number of empty seats on an airplane to surveys of employee and customer satisfaction are regularly and routinely monitored. If on-time arrivals start to slip, managers focus on the problem and get it fixed. If customers complain too much about the food, catering managers figure out how to improve it. As a result, no single element of the firm's performance can slip too far before it's noticed and fixed... Doing this can also show where performance is running better than expected and can serve as a basis for providing rewards or reducing costs. For example, when Chevrolet introduced the Super Sport Roadster (a classic, late-1940s pickup-style vehicle with a two-seat roadster design), the firm thought it had a major hit on its hands. But poor sales led to Chevrolet's decision to suspend production of the vehicle. On the other hand, Apple's iPad has been so successful that the firm has not been forced to discount or offer incentives for people to buy the device.

Management

_____ itself is the process of planning, organizing, leading, and controlling an organization's financial, physical, human, and information resources to achieve its goals.

D

__________ research method uses a group of people from a larger population who are asked their attitudes, opinions, and beliefs about a product in an open discussion. a) Ethnography b) Survey c) Grounded Theory d) Focus Groups e) Experimentation (PICK "A", "B", "C", "D", OR "E")

B

_____________ ratio = Market Value per Share / Earnings per Share a) EPS b) P/E c) Dividends per share d) Book Value e) Net Income (PICK "A", "B", "C", "D", OR "E")

D

_________________ is calculated by dividing the net income over total revenues a) Operating income b) Current ratio c) Return on profit d) Return of sales e) Return on goods sold (PICK "A", "B", "C", "D", OR "E")

A

_________________ is the difference between assets and liabilities as listed on balance sheet divided by shares outstanding a) Book value b) EPS c) Dividends d) Par value e) Intrinsic value (PICK "A", "B", "C", "D", OR "E")

A

_________________ sacrifice current income and safety by investing in stocks of new (and even troubled) companies, firms developing new products and technologies, and other higher risk securities. a) Aggressive Growth b) Conservative Capital Growth c) Stability and Safety d) Mutual funds e) Money market funds (PICK "A", "B", "C", "D", OR "E")

D

__________________ occurs when a company becomes so focused on their own products that they lose sight of underlying customer needs. a) Product fixation b) Marketing shortsightedness c) Product dystopia d) Marketing myopia e) Product monomania (PICK "A", "B", "C", "D", OR "E")

D

_____________________ is oldest and most widely cited market index based on the prices of 30 blue-chip, large-cap industrial firms on the NYSE a) S&P 500 b) Nasdaq Composite Index c) Russell 30 d) Dow Jones Industrial Average e) None of the above (PICK "A", "B", "C", "D", OR "E")