Applied Sport Management Exam 2

A SWOT analysis draws out those features in a company's environment that most directly frame its strategic window of options and opportunities. Select one: True False

F

Adidas made a programmed decision when it purchased TaylorMade and Reebok.

F

As a general rule, one should use the bounded rationality model with group decision making when a nonprogrammed decision with high risk or uncertainty exists. Select one: True False

F

Business-level strategy is a plan for handling multiple lines of business. Select one: True False

F

By purchasing TaylorMade, Adidas failed to expand its merchandise lines into the golf industry. Select one: True False

F

Criteria are the standards that an alternative must meet to be classified as a programmed or nonprogrammed decision. Select one: True False

F

Functional-level strategy is a plan for handling one line of business. Select one: True False

F

In problem solving, the objective must state what the decision should accomplish, whereas both "must" and "want" criteria are standards that an alternative must meet to be selected as the decision that will accomplish the objective. Select one: True False

F

Innovation is a way of thinking that generates new ideas. Select one: True False

F

Management by objectives (MBO) is the process by which managers set objectives for employees, periodically evaluate their performance, and reward according to the results. Select one: True False

F

Nike's weakness is its reputation for high-quality and innovative footwear. Select one: True False

F

Nike, Spalding, Reebok, and Adidas often use a focus strategy. Select one: True False

F

Nominal grouping is the process of suggesting possible alternatives without evaluation. Select one: True False

F

Nonprogrammed decisions are used in conjunction with decision rules or organizational policies and procedures, not with the decision-making model. Select one: True False

F

Operational planning is the process of developing a mission and long-range objectives and determining in advance how they will be accomplished. Select one: True False

F

The corporate growth strategies are concentration and diversification. Select one: True False

F

The three levels of strategy are corporate, business, and daily. Select one: True False

F

There are five steps in the decision-making process: (1) classifying and defining the problem or opportunity, (2) setting objectives and criteria, (3) generating creative and innovative alternatives, (4) analyzing alternatives and selecting the most feasible, and (5) planning and implementing the decision. Select one: True False

F

There are four steps in the creative process. Select one: True False

F

There are seven steps in the decision-making model. Select one: True False

F

Through the strategic process, upper and middle managers develop the long-range plans and lower-level managers determine the means to accomplish the ends. Select one: True False

F

The successful use of a SWOT in the 2010s would have helped the NBA to have a better understanding of emerging competitors such as Select one: a. NASCAR b. MLB c. NFL d. NHL

NASCAR

_____ decisions require a longer period of time. Select one: a. Uncertainty-based b. Nonprogrammed c. Programmed d. Risky

Nonprogrammed

Adidas used creative ways of thinking when it purchased TaylorMade. Select one: True False

T

Brainstorming is the process of suggesting possible alternatives without evaluation. Select one: True False

T

Business portfolio analysis is the process of determining which lines of business a corporation will be in and how it will allocate resources among them. Select one: True False

T

Consensus mapping is the process of developing group agreement on a solution to a problem. Select one: True False

T

Corporate-level strategy is a plan for handling multiple lines of business. Select one: True False

T

Creativity is a way of thinking that generates new ideas, whereas innovation is the implementation of a new idea. Select one: True False

T

Decision making is the process of selecting an alternative course of action that will solve a problem. Select one: True False

T

Generally speaking, the more unstructured and complex the decision is, the more important it is to use the decision-making model. Select one: True False

T

Management functions, decision making, and problem solving are related in that decision making precedes taking action on solving problems, and solving problems is necessary to accomplish management functions. Select one: True False

T

Objectives express what is to be accomplished in singular, specific, and measurable terms with a target date. Select one: True False

T

Programmed decisions are used with recurring or routine situations. Select one: True False

T

Strategic planning is the process of developing a mission and long-range objectives and determining in advance how they will be accomplished. Select one: True False

T

Strategy is a plan for pursuing the mission and achieving objectives. Select one: True False

T

The competitive advantage specifies how the organization offers unique customer value. Select one: True False

T

The grand strategy is a general focus of effort for the company as a whole. Select one: True False

T

The writing objectives model consists of infinitive + action verb + singular, specific, and measurable result to be obtained + target date. Select one: True False

T

There are three decision-making conditions. Select one: True False

T

When playing devil's advocate, some group members defend the idea that is on the table while others try to come up with reasons why it will not work. Select one: True False

T

If you have only eliminated the symptom, you have likely failed to Select one: a. plan and implement the decision b. set objectives and criteria c. define the problem d. analyze and select alternatives e. generate alternatives

define the problem

The first step in decision making is to Select one: a. set objectives and criteria b. define the problem c. plan and implement the decision d. analyze and select alternatives e. generate alternatives

define the problem

When some group members focus on defending the solution while others try to come up with reasons the solution will not work, they are playing Select one: a. devil's advocates b. defenders c. innovators d. decision champions

devil's advocates

A manufacturer establishing its own retail outlets to be closer to the final customer exemplifies Select one: a. backward integration b. unrelated diversification c. related diversification d. concentration e. forward integration

forward integration

What type of corporate growth strategy would News Corporation (Fox networks) use if it were able to buy a professional sport franchise? Select one: a. forward integration b. concentration c. backward integration d. related diversification

forward integration

One way to _____ without evaluation is to use brainstorming. Select one: a. define the problem b. set objectives and criteria c. generate alternatives d. analyze and select alternatives e. plan and implement the decision

generate alternatives

Reflexive decision makers often fail to sufficiently Select one: a. plan and implement the decision b. set objectives and criteria c. generate alternatives d. analyze and select alternatives e. define the problem

generate alternatives

Nominal grouping is the process of Select one: a. suggesting and evaluating as many ideas as possible b. suggesting possible alternatives without evaluation c. generating and evaluating alternatives using a structured voting method d. developing group agreement on a solution to a problem

generating and evaluating alternatives using a structured voting method

Overall corporate-level strategies of growth, stability, turnaround, and retrenchment are called _____ strategies. Select one: a. corporate b. grand c. contingency d. functional

grand

Examples of _____ include synectics and consensus mapping. Select one: a. playing devil's advocate b. individual decision making c. brainstorming d. group decision making

group decision making

Economies of scale for lower prices and higher market share typify which phase of the product life cycle? Select one: a. maturity Incorrect b. growth c. introduction d. decline

growth

Very significant decisions are most likely to be Select one: a. risky b. uncertain c. nonprogrammed d. programmed

nonprogrammed

A problem is best described as something that exists when Select one: a. objectives are not met b. unexpected expenses occur c. something unexpected happens d. an employee makes a mistake

objectives are not met

Decision-making efforts are wasted if one fails to Select one: a. set objectives and criteria b. define the problem c. plan and implement the decision d. analyze and select alternatives e. generate alternatives

plan and implement the decision

The three steps in the creative process, in order, are Select one: a. preparation, incubation and illumination, and evaluation b. germination, preparation, and evaluation c. germination, incubation and illumination, and preparation d. incubation and illumination, preparation, and evaluation

preparation, incubation and illumination, and evaluation

When making decisions under conditions of risk, use the _____ theory. Select one: a. break-even b. probability c. capital budgeting d. queuing e. linear-programming

probability

The process of taking corrective action to meet objectives is Select one: a. problem solving b. troubleshooting c. decision making d. management

problem solving

Rules, policies, and procedures are used for _____ decisions. Select one: a. uncertain b. programmed c. risky d. nonprogrammed

programmed

The _____ strategy is used in fast-changing environments. Select one: a. prospecting b. analyzing c. marketing d. defending

prospecting

With the _____ strategy, the firm aggressively enters new markets. Select one: a. analyzing b. marketing c. defending d. prospecting

prospecting

To address the issue of customer waiting time, use the _____ theory. Select one: a. queuing b. probability c. break-even d. linear-programming e. capital budgeting

queuing

Event managers use ______ to determine the optimal number of ticket takers to reduce waiting time entering an event. Select one: a. queuing theory b. probability theory c. linear programming d. capital budgeting e. break-even analysis

queuing theory

When Nike added sport clothing to its athletic shoe line, it used Select one: a. forward integration b. unrelated diversification c. concentration d. backward integration e. related diversification

related diversification

The relationship between objectives, problem solving, and decision making is that Select one: a. the decision maker sets objectives for decision making, which is done to solve a problem b. decision making is always completed first c. the decision maker sets objectives to solve problems, which is part of the decision-making process d. there is no relationship among the three

the decision maker sets objectives for decision making, which is done to solve a problem

A problem occurs only when something unexpected happens. Select one: True False

F

Problem solving is the process of selecting an alternative course of action that will solve a problem. Select one: True False

F

Programmed decisions are usually made under the condition of certainty, whereas nonprogrammed decisions are usually made under conditions of risk and uncertainty. Select one: True False

F

The adaptive strategies are normally used at the functional level. Select one: True False

F

The sport industry is immune to making bad decisions. Select one: True False

F

Which of the following is true of a model objective? Select one: a. It is the responsibility of top management only. b. It lacks a target date. c. It is the same as a goal. d. It is written as an infinitive plus an action verb.

It is written as an infinitive plus an action verb.

A situation analysis draws out those features in a company's environment that most directly frame its strategic window of options and opportunities. Select one: True False

T

Which of the following is true of nonprogrammed decisions? Select one: a. They are usually made for nonrecurring and nonroutine situations. b. They should be used with decision rules or organizational policies and procedures. c. They are usually made for recurring or routine situations. d. They involve certainty.

They are usually made for nonrecurring and nonroutine situations.

One of the most successful newer competitors in the athletic footwear industry is Select one: a. Nike b. Under Armour c. Adidas d. Reebok

Under Armour

Creativity is defined as Select one: a. using the decision-making process b. the implementation of a new idea c. a way of thinking that generates new ideas d. putting existing elements together in a new combination

a way of thinking that generates new ideas

The _____ strategy is a combination strategy. Select one: a. prospecting b. analyzing c. marketing d. defending

analyzing

With the _____ strategy, the firm moves into new markets cautiously. Select one: a. prospecting b. marketing c. defending d. analyzing

analyzing

A manufacturer that begins producing its own components exemplifies Select one: a. unrelated diversification b. related diversification c. concentration d. backward integration e. forward integration

backward integration

All of the following are steps in the decision-making model except Select one: a. classifying and defining the problem or opportunity b. generating creative and innovative alternatives c. brainstorming d. setting objectives and criteria

brainstorming

To determine the volume needed to yield a profit, use Select one: a. queuing theory b. break-even analysis c. linear programming d. probability theory e. capital budgeting

break-even analysis

What strategy level focuses on managing one line of business? Select one: a. functional b. business c. corporate

business

What level of strategy was most involved when Adidas used its TaylorMade golf division to acquire Adams Golf in March 2012? Select one: a. functional-level strategy b. business-level strategy c. corporate-level strategy

business-level strategy

Discounted cash flow is a technique used in Select one: a. capital budgeting b. probability theory c. break-even analysis d. queuing theory e. linear programming

capital budgeting

Through _____, the firm grows in its existing lines of business. Select one: a. backward integration b. unrelated diversification c. concentration d. related diversification e. forward integration

concentration

The process of selecting an alternative course of action that will solve a problem is called Select one: a. troubleshooting b. decision making c. problem solving d. management

decision making

Turnaround and retrenchment may be appropriate for which phase of the product life cycle? Select one: a. growth b. decline c. maturity d. introduction

decline

The _____ strategy is used in slow-changing environments. Select one: a. prospecting b. analyzing c. marketing d. defending

defending

The company situation analysis (SWOT) is used to Select one: a. help investors decide whether to invest in the company b. determine an organization's internal environmental strengths and weaknesses and external environmental opportunities and threats c. decide what can be done to deal with a specific problem confronting the company d. determine what company might be useful to take over

determine an organization's internal environmental strengths and weaknesses and external environmental opportunities and threats

Consensus mapping is the process of Select one: a. suggesting possible alternatives without evaluation b. generating and evaluating alternatives using a structured voting method c. suggesting and evaluating as many ideas as possible d. developing group agreement on a solution to a problem

developing group agreement on a solution to a problem

New firms will more likely enter the market during which phase of the product life cycle? Select one: a. introduction b. maturity c. decline d. growth

growth

Charging a high price to recover investments may be appropriate for which phase of the product life cycle? Select one: a. introduction b. maturity c. growth d. decline

introduction

Corporate-level strategy focuses on Select one: a. managing one line of business b. managing one area of the business c. managing multiple lines of business d. plans developed by first-line managers

managing multiple lines of business

A defender strategy is appropriate for which phase of the product life cycle? Select one: a. maturity b. decline c. introduction d. growth

maturity

Which of the following is a major reason for the abrupt ending of the XFL? Select one: a. poor experience b. poor patience c. poor practice d. poor planning

poor planning

You can assign probability if you are dealing with Select one: a. nonprogrammed conditions b. uncertainty c. risk d. programmed conditions

risk

Most management decisions involve _____ conditions. Select one: a. programmed b. uncertain c. nonprogrammed d. risky

risky

Brainstorming is the process of Select one: a. generating and evaluating alternatives using a structured voting method b. suggesting possible alternatives without evaluation c. developing group agreement on a solution to a problem d. suggesting and evaluating as many ideas as possible

suggesting possible alternatives without evaluation

Innovation is defined as Select one: a. the implementation of a new idea b. putting existing elements together in a new combination c. creative thinking d. a way of thinking that generates new ideas

the implementation of a new idea

One difference between strategic plans and operational plans is Select one: a. time frame b. budgeted resource c. success rate d. effort involved

time frame

The relationship among management functions, decision making, and problem solving is that Select one: a. while making decisions, managers perform management functions b. there is no relationship among the three c. while performing management functions, managers must solve problems, which is part of the decision-making process d. while performing management functions, managers must make decisions, which are the basis for correcting problems

while performing management functions, managers must make decisions, which are the basis for correcting problems