BUS 101 TRUE OR FALSE

Established small businesses are defined as companies that have been in business at least fifteen years and employ between 50 to 500 employees.

False

Ethical decision making begins in the marketing department.

False

Mentoring is a form of off-the-job training.

False

Multipreneurs are businesspeople who have tried a succession of entrepreneurial start-ups without finding an area in which they could be successful.

False

Some global corporations are large enough to treate major changes in the external environment.

False

Strategic planning is long-range, formulated by top management, and made as if the company operated in a vacuum

False

Telecommunications equipment Manufacturers in the United States sell their products to people who live in Canada. To Canadians, the telecommunications equipment is an export.

False

The lowest level of management is engaged in strategic planning process.

False

The major difference between a good and a service is how the producer uses the factors of production to create each

False

The reason that Castle and Cooke processes and packages Dole pineapple products in Hawaii is more than likely because of low energy costs,

False

The short-range, detailed planning that focuses on current operations is called functional planning.

False

The sole proprietorship is considered a legal entity; therefore, it is taxed separately from the owner.

False

The time that an employee spends on a particular job determines his or her specialization of labor.

False

The tax that the United States imposes on imported carbon steel products is called a tariff.

True

Theory X managers view their workers as untrustworthy and unmotivated.

True

Ethics training programs typically teach how to disguise unethical behavior and not how to avoid unethical benavior

False

Facilities layout is all-important in production lines but it is not important in service-oriented businesses.

False

For partnerships to be legal, they must be established in writing.

False

Human resources managers have yet to find any use for Maslow' hierarchy of needs.

False

If the company wants employees to take ethical training seriously, the training should not include games

False

If the sole proprietorship acquires a legal business name, the owner then has limited liability.

False

In a limited partnership, all of the partners have limited liability.

False

Job description refers to the specific location or office where a job is done.

False

Labor, as a factor of production, relates only to the production of manufactured goods; services are not included.

False

Low volume, short production runs, and high-variety production are characteristic of the continuous process.

False

Managerial hierarchy refers to the number of subordinates overseen by each supervisor

False

One of the problems with setting up groups is the strong likelihood for the organization to experience decreased productivity.

False

Operations management refers to the role that computers play in the production process.

False

Organization charts show the formal and informal relationships among people, jobs, and departments.

False

Process departmentalization is a grouping of jobs by activity, such as marketing, finance, and production.

False

Process layout is almost always designed as a continuous, assembly-line layout.

False

Registration procedures for incorporation are uniform from state to state across the US.

False

Scientific management focused primarily on how human behavior and relations affect organizational performance.

False

Since the development of affirmative action programs, companies no longer require physical examinations as part of the selection process.

False

The Hawthorne effect is used to describe the individual reaction and not that of the group.

False

The Theory X approach to management builds on the idea that worker and organizational interests are congruent.

False

The exchange rate is the interest rate that foreign banks receive when borrowing money from the United States

False

The first step in starting your own business is the creation of a unique marketable idea.

False

The first two stages in the selection process are the initial contact and the preliminary interview.

False

The matrix structure is a combination of a line and a staff organization.

False

The philosophy of utilitarianism is used to explain why restaurants, theaters, and hotels should make themselves handicapped accessible.

False

To be a useful code of ethics, the code should offer broad policies and procedures rather than detailed rules

False

When workers in a union elect their officers to represent them, it is an example of division of labor.

False

A business is an organization that strives for a profit by providing goods and services desired by its customers.

True

A company that uses departmentalization groups jobs under the authority of one manager for the purposes of planning, coordination, and control,

True

A disadvantage of a partnership is that any partner may have to pay all of the debts of the company regardless of who incurred the debts.

True

A job shop uses an intermittent production process.

True

A study of the tasks required to do a job well is called a job analysis.

True

An entrepreneur is a person who opens and manages his or her own business.

True

Arranging a firm's human and material resources to carry out plans is called organizing,

True

Business owners and managers have a great deal of control over the internal environment of business, which covers the day-to-day business decisions.

True

Corporate officers are elected by the board of directors?

True

Cross-functional tears are made up of employees from about the same hierarchical level but different functional areas within the organization.

True

Dividing up the tasks (division of labor) is an important part of organizing

True

Entrepreneurs are people with vision, drive, and creativity, who are willing to take the risk of starting and managing a business to make a profit.

True

Entrepreneurs typically are innovators who start companies to pursue their ideas for a new product or service.

True

Factors of production are common to all productive activities, regardless of the economic system

True

Having a global vision simply means having a willingness to sell outside one's national borders if, and when, the opportunity arises

True

Human resource management is the process of hiring, developing, motivating, and evaluating people in order to achieve organizational goals.

True

Human rights include an individual's right to life, to freedom, and to the pursuit of happiness.

True

International trade-dependent jobs have grown at a rate three times the growth of U.S.-dependent jobs.

True

Leadership is the process of guiding and motivating others toward the achievement of organizational goals.

True

Lumber mills are located near the forests in the Northwest to save shipping costs and to be near their raw material.

True

Management is the process of guiding the development, maintenance, and allocation of objectives.

True

Many people consider knowledge to be a fifth factor of production.

True

Micropreneurs are entrepreneurs who start small and plan to stay small.

True

Mines in Colombia produce emeralds and sell them to jewelers in the United States. To Colombia miners, emeralds are an export

True

More than half of small businesses have between one and four employees.

True

One of the disadvantages of the sole proprietorship is that the owner has unlimited liability.

True

People who combine natural resources, labor, and capital in a profitable venture are called entrepreneurs.

True

Planning is the process of deciding what needs to be done to achieve organizational objectives; identifying when and how it will be done, and determining by whom it should be done.

True

Process layout is almost always designed as a continuous, assembly-line layout.

True

Production converts inputs into outputs by changing the inputs in some way.

True

Recruitment is the attempt to find and attract qualified applicants in the external labor market.

True

Scientific management is based on economic incentives and the premise that there is "one best way" to perform any job.

True

Service companies generally use a repetitive or intermittent production process rather than the continuous process.

True

Site selection is a part of production planning.

True

Social responsibility is a voluntary obligation.

True

The Theory Z approach emphasizes long-term employment.

True

The difference in value between a country's imports and exports is called its balance of trade.

True

The distributive process by which the burdens and rewards that society has to offer are shared varies from society to society.

True

The most basic responsibility of all businesses is its economic responsibility.

True

The opposite of free trade is protectionism.

True

The selection interview is designed to test an applicant's communication ability and motivation.

True

The skills, knowledge, and abilities a person must have to fill a job are spelled out in a job specification,

True

The standards used to determine actions acceptable to the group are called norms.

True

Maslow' hierarchy of needs is a motivation theory.

True

One of the basic functions of management is controlling.

True

Entrepreneurs, as a general group, dislike risk taking.

False

Not-for-profit organizations have the same goals as for-profit organizations.

False

internal labor market is made up of all employees in an industry

False

A good manager is never faced with unforeseen problems

False

A positive aspect of opening a small business is that it takes very little management skill because it is small.

False

According to Maslow's hierarchy of need, the most basic needs are the social needs.

False

According to the principle of absolute advantage, each country should specialize in the products that it can produce most readily and cheaply and trade those products for products that foreign countries can produce most readily and cheaply

False

All businesses approach ethics the same Wav

False

Armenia had a favorable balance of trade in 2018 when it exported $800 million in goods and services and imported $1.5 billion.

False

Articles of incorporation usually specify the life of a corporation as a certain number of predetermined years.

False

As a factor of production, capital includes money.

False

Dissolving a partnership is easier than dissolving a sole proprietorship.

False