Principles of Management Final Exam Practice

The European Union has expanded to a _____-nation alliance. a. 14 b. 28 c. 16 d. 21 e. 12

28

Generally, early research found __________ relationship between personal traits and leader success. a. a strong b. a weak c. no d. a negative e. a positive

A weak

ANSWER BY LETTER What is the role of the liaison? a. The liaison role involves the initiation of change. b. The liaison role encompasses relationships with subordinates, including motivation, communication, and influence. c. The liaison role pertains to the development of information sources both inside and outside the organization. d. The liaison role involves handling ceremonial and symbolic activities for the department or organization. e. The liaison role pertains to decisions about how to assign people, time, equipment, money, and other resources to attain desired outcomes.

C

Scenario - Beth Bailey ​ The mandatory leadership-training seminar had just been concluded. All of the newly promoted managers at Marc's Music, Inc. had been asked to attend and participate in the two-day seminar, and Beth Bailey had been fascinated with what she had learned. She is now reviewing the material she covered. To become a Level 5 leader, Beth would have to hone which of the following personal characteristics? a. Tenacity b. Drive c. Ruthlessness d. Ego e. Humility

Humanity

Scenario - Beth Bailey ​ The mandatory leadership-training seminar had just been concluded. All of the newly promoted managers at Marc's Music, Inc. had been asked to attend and participate in the two-day seminar, and Beth Bailey had been fascinated with what she had learned. She is now reviewing the material she covered. Beth recognizes that her power can come from five sources, including all of the following except: a. coercive power. b. legitimate power. c. reward power. d. referent power. e. mechanistic power.

Mechanistic power

_____ have the greatest impact, according to Herzberg, on job satisfaction. a. Hygiene factors b. All of these c. Dissatisfiers d. Reinforcers e. Motivators

Motivators

The __________ is the department manager's tool for daily and weekly operations. a. conventional goal b. strategic plan c. tactical plan d. strategic goal e. operational plan

Operational plan

Organization development can help managers address problems such as merger/acquisitions, conflict management, and: a. none of these. b. cultural changes. c. organizational productivity. d. organizational decline/revitalization. e. force-field analysis.

Organizational decline/revitalization

Left-Right Industries employs a diverse set of individuals with strong personalities. Unfortunately, this means that there is a great deal of interpersonal disagreement among employees. What organizational tool would work best in this circumstance to manage conflict? a. A skunkworks b. None of these c. Small-group intervention d. Organization development e. Downsizing

Organizational development

What are the three Ps that comprise the triple bottom line? a. People, Politics, and Profit b. People, Planet, and Profit c. People, Performance, and Profit d. People, Planet, and Public e. Performance, Profit, and Public

People, planet, profit

Which of the following is not a function of management? a. Organizing b. Planning c. Leading d. Controlling e. Performing

Performing

An achievement culture values: a. being thrifty. b. responsiveness to customers. c. personal initiative. d. meeting the needs of employees. e. all of these.

Personal initiative

Sam is known by his colleagues as a great communicator, with an uncanny ability to shift speech patterns, expressions, and body language to be in tune with people from different cultures. Based on this example, Sam is strong in which component of cultural intelligence? a. Tangible b. Physical c. Cognitive d. Intangible e. Emotional

Physical

For guidance on how to handle a specific ethical situation, such as conflicts of interest or political gifts, a manager should refer to its company's: a. corporate credo. b. policy-based statement. c. principle-based statement. d. mission. e. value-based statement.

Policy-based statement

Riots, revolutions, civil disorders, and frequent changes in government are all examples of: a. political risk. b. political instability. c. events that typically occur in low-context cultures. d. political chaos. e. none of these.

Political instability

Which of the following is an activity mentioned in the text that many companies are using to attempt to influence the external environment? a. Political lobbying b. Fundraising c. Protests d. All of these e. Coalitions

Political lobbying

__________ refers to the degree to which people accept inequality in power among institutions, organizations, and people. a. Collectivism b. Individualism c. Power distance d. Masculinity e. Uncertainty avoidance

Power distance

According to Weber's ideas on bureaucracy, organizations should be based on: a. personal references. b. rational authority. c. family ties. d. personal loyalty. e. charismatic authority

Rational authority

__________ power is most visible in the area of charismatic leadership. a. Referent b. Coercive c. Expert d. Reward e. Legitimate

Referent

Which of the following is the stage of organization development in which individuals experiment with new behavior and learn new skills to be used in the workplace? a. Changing b. Refreezing c. Jumping d. Unfreezing e. Restating

Refreezing

Semway, a regional bank, recently announced that it would soon begin offering financial planning services. This is an example of: a. vertical integration. b. product line diversification. c. related diversification. d. unrelated diversification. e. cross-functional diversification.

Related diversification

The administrative model of decision making assures that most managers settle for a __________ rather than a __________ solution. a. minimizing; maximizing b. top-level; bottom-line c. challenging; simple d. satisficing; maximizing e. maximizing; satisficing

Satisfying; maximizing

_________ involves looking at trends and discontinuities and imagining possible alternative future to build a framework within which unexpected future events can be managed. a. Scenario building b. Trend management c. Crisis planning d. Caution planning e. Contingency planning

Scenario building

According to Hersey and Blanchard, which of the following leader styles works best for employees with moderate readiness? a. Selling and telling b. Selling c. Selling and delegating d. Telling e. Delegating

Selling

A(n) __________ leader works to fulfill followers' needs and goals as well as to achieve the organization's larger mission. a. charismatic b. transformational c. transactional d. interactive e. servant

Servant

The individual performer is a __________, whereas the manager has to be a(n) __________. a. producer; expert b. "leader"; doer c. specialist; generalist d. generalist; specialist e. communicator; operator

Specialist; generalist

Which of the following is a visual representation of the key drivers of an organization's success, showing the cause-and-effect relationships among goals and plans? a. Strategic plan b. SWOT analysis c. Gantt chart d. Strategy map e. Operational plan

Strategy map

__________ are natural talents and abilities that have been supported and reinforced with learned knowledge and skills and provide each individual with his or her best tools for accomplishment and satisfaction. a. Core competencies b. Traits c. Behaviors d. Competitive advantages e. Strengths

Strengths

The teamwork philosophy is based in part on the assumption that five people working together can produce more than five people working individually. This philosophy is consistent with the concept of: a. synergy. b. feedback. c. entropy. d. quality. e. transformation.

Synergy

Which of the following organization development activities enhances the cohesiveness and success of organizational groups and teams? a. Symbolic management b. Process-consultation activities c. Intergroup activities d. Survey feedback e. Team building

Team building

__________ skills include the understanding of and proficiency in the performance of specific tasks. a. Leadership b. Human c. Interpersonal d. Technical e. Conceptual

Technical

Sandra views herself as a tough but fair supervisor. She gives explicit instructions to her subordinates about how tasks should be accomplished and closely supervises their performance. According to Hersey and Blanchard's situational model of leadership, which type of leadership style does Sandra use? a. Delegating b. Selling c. Telling d. Participating e. Following

Telling

Henri Fayol and Charles Clinton Spaulding were significant contributors to: a. the administrative principles approach. b. the human relations movement. c. systems thinking. d. scientific management. e. management science.

The administrative principles approach

The distinguishing personal characteristics of a leader are known as: a. sources of power. b. leadership behaviors. c. personal preferences. d. traits. e. leadership styles.

Traits

Max is the Web site manager for a local florist. The company's owner would like Max to redesign the Web site so that customers can connect directly with florist employees on a daily basis about products and specials. This relates to which step in establishing an online business? a. Knowing when to pivot b. Using social media c. Choosing a domain name d. Choosing a target market e. Finding a niche market

Using social media

The merger of Ticketmaster with Live Nation Entertainment, which produces and promotes concerts, is an example of: a. a cost leadership strategy. b. unrelated diversification. c. horizontal integration. d. a focus strategy. e. vertical integration.

Vertical integration

__________ decisions are associated with conflicts over goals and decision alternatives, rapidly changing circumstances, fuzzy information, unclear links among decision elements, and the inability to evaluate whether a proposed solution will work. a. Programmed b. Nonprogrammed c. Wicked d. Irrational e. Conventional

Wicked

Which of the following employee behaviors is associated with the preconventional level of personal moral development? a. None of these b. Empowered employees c. Task accomplishment d. Work-group collaboration e. Full participation

Work-group collaboration

A(n)_____ is an example of an intrinsic reward. a. bonus b. promotion c. pay raise d. pat on the back from your boss e. employee's feelings of self-worth

employee's feeling of self-worth

Archies' Antiques, Inc., is characterized by separation of management from ownership and by clearly defined lines of authority and responsibility. These characteristics are consistent with the principles of: a. management science. b. the bureaucratic organizations approach. c. scientific management. d. the human resources perspective. e. all of these.

the bureaucratic organizations approach

A long-term orientation highly values: a. meeting social obligations. b. diversity. c. thrift and perseverance. d. tradition. e. creativity.

thrift and perseverance

__________ managers are responsible for departments that perform a single task and have employees with similar training skills. a. Top b. General c. First-line d. Middle e. Functional

Functional

Being a successful manager means thinking in terms of all of the following except: a. generating the most profit. b. becoming a motivator. c. building teams. d. becoming an organizer. e. establishing networks.

Generating the most profit

A manager's __________ skills are demonstrated in the way he or she relates to other people. a. controlling b. human c. conceptual d. leading e. technical

Human

A recent poll found that more than _____ percent of people surveyed agreed with the statement that corporate America's moral compass is "pointing in the wrong direction." a. 50 b. 25 c. 95 d. 75 e. 10

75

ANSWER BY LETTER Which of the following statements about the policy a bank adopts toward its investing of depositors' money is true? a. It is an expression of its philosophy of corporate social responsibility. b. It would represent its level of moral development. c. All of these d. It has no ethical implications. e. It is important only to the organization and not to the community.

A

Nikki Williams was working as the sales manager for Industrial Instruments. Some of the sales executives were showing signs of burnout. They were losing interest in their jobs and were no longer motivated to gain new accounts. The reward system focused on old reliable accounts, but Nikki was now under pressure to expand the customer base. Nikki had recently been to a seminar on corporate value systems. She recognized that the company's CEO wanted to change the way employees thought about the firm and the way they related to one another. She further recognized that a lasting solution to her problem required a fundamental shift in perception. Industrial Instruments operates in an environment that requires fast response and high-risk decision making. Which type of culture may be appropriate here? a. Consistency b. Achievement c. Involvement d. Clan

Adaptability

Genex Dynamics is a ballistics company that uses the unity of command, scalar chain, and division of work principles. These are part of which management philosophy? a. Behavioral sciences approach b. Scientific management c. Bureaucratic organizations approach d. Humanistic resources perspective e. Administrative principles approach

Administrative principles approach

Entrepreneurs who aspire to start an online or mobile business: a. follow the usual steps required to start a traditional business. b. all of these. c. should be savvy with technology. d. need to be unusually nimble. e. must know when to pivot.

All of these

Kara and Simon are both middle managers at Gotcha International. Kara is dissatisfied because she knows that Simon makes more in salary even though, in Kara's opinion, she works longer hours than he does. If Kara wishes to reduce this perceived inequity, what should she do? a. She could reduce the number of hours she works. b. She could ask for a raise. c. She could reduce the number of hours she works and she could ask for a raise only. d. All of these. e. She could increase her level of absenteeism.

All of these

Scenario - Beth Bailey ​ The mandatory leadership-training seminar had just been concluded. All of the newly promoted managers at Marc's Music, Inc. had been asked to attend and participate in the two-day seminar, and Beth Bailey had been fascinated with what she had learned. She is now reviewing the material she covered. At the seminar, Beth learned of a recent study on gender differences in leadership behaviors. In which of the following areas of leadership do women score more highly than men? a. Developing others b. All of these c. Building relationships d. Driving for results e. Inspiring and motivating others

All of these

Which of the following is a critical management misstep? a. All of these b. Reactionary behavior c. Failure to adapt d. Poor communication skills e. Lack of personal integrity

All of these

Which of the following provides a safe harbor where ideas from employees throughout the company can be developed without interference from company bureaucracy or politics? a. An inventor b. An idea incubator c. An idea champion d. A sponsor e. A new-venture team

An idea incubator

Ryan is a financial manager. Based on research, which interpersonal influence tactic would he be more inclined to use? a. Help people to like you b. Develop allies c. None of these d. Appeal to higher authority e. Rely on the rule of reciprocity

Appeal to higher authority

Jeff and Rob have a difficult time getting along at work. Most days, Jeff spends a lot of time cracking jokes and goofing off, while Rob constantly nags him and tells him to act like a grownup. On days when Jeff is more reserved, Rob does not nag him, hoping that this will result in improved behavior down the road. This is an example of which form of behavior modification? a. Avoidance learning b. Extinction c. Positive reinforcement d. Empowerment e. Punishment

Avoidance learning

ANSWER BY LETTER All of the following are assumptions of the classical decision-making model except: a. all alternatives and the potential results of each are calculated. b. decision goals often are vague, conflicting, and lack consensus among managers. c. the decision maker is rational and uses logic to assign values, order preferences, evaluate alternatives, and make the decision that will maximize the attainment of organizational goals. d. criteria for evaluating alternatives are known. e. the decision maker operates to accomplish goals that are known and agreed on.

B

ANSWER BY LETTER John's company is working on a major new product, which will completely change the way we currently listen to music. John works in a unit responsible for developing the innovation. John's unit operates in a separate building and is not constrained by organizational rules and procedures. John is most likely working: a. for an idea champion. b. in a new-venture team. c. for a company that uses open innovation. d. for a company that uses innovation by acquisition. e. in a crowdsourced project.

B

ANSWER BY LETTER Which of the following is not a contingency approach to leadership? a. Fiedler's contingency theory b. Blake and McCanse's Leadership Grid® c. Hersey and Blanchard's situational model d. All of these are contingency approaches to leadership. e. The substitutes-for-leadership concept

B

ANSWER BY LETTER Which of the following statements about benefit corporations is true? a. The primary disadvantage of incorporating as a benefit corporation is the risk of being sued by shareholders. b. A benefit corporation is a for-profit organization that has a stated purpose that includes creating a material positive aspect on society. c. All 50 U.S. states and the District of Columbia has passed laws allowing mission-based businesses to incorporate as benefit corporations. d. Small companies (those with less than 50 employees) cannot incorporate as benefit corporations. e. Companies that incorporate as benefit corporations must get B Lab certification.

B

Kristen's Jewelry Shop has just hired a comparative shopper to visit other local jewelry stores to gain product pricing information. What strategy is this describing? a. Lobbying b. Joint venture c. Merger d. A flexible structure e. Boundary spanning

Boundary spanning

Melissa is a manager at InStylez Clothing. Her job is very complex, and she feels that she does not have enough time to identify and/or process all of the information she needs to make decisions. Melissa's situation is most consistent with which of the following concepts? a. Satisficing b. Intuition c. The classical model of decision making d. Bounded rationality e. Brainstorming

Bounded rationality

The BCG matrix organizes businesses along which of the following dimensions? a. Sales and market share b. Business growth rate and market share c. Business growth rate and profit d. Sales and profit e. Market share and profit

Business growth rate and market share

ANSWER BY LETTER One area of great growth and opportunity for women-owned businesses is: a. volunteering as consultants for the Small Business Administration (SBA). b. starting technology firms. c. hiring employees to work for the company. d. expanding globally. e. filing patents for the products they produce.

C

Social entrepreneurs are committed to both good business and: a. improving the natural environment. b. changing the world for the better. c. big profits. d. swaying political opinion of consumers. e. nonprofit goals.

Changing the world for the better

Marion is a great manager. He has the ability to get his subordinates to do more than they would normally do, and has a strong vision for the future and motivates his subordinates to help realize it. Which of the following type of leader best describes Marion? a. People-oriented b. Supportive c. Charismatic d. Transactional e. Production-oriented

Charismatic

People need to understand how their individual actions can contribute to achieving an organizational strategy. This can be accomplished by delegating authority and responsibility, defining roles, and defining measures and metrics. These actions are part of which tool for putting strategy into action? a. Human resources b. Visible leadership c. Clear roles and accountability d. Bargaining power of employees e. Candid communication

Clear roles and accountability

The biggest mistake that many managers make is the failure to: a. communicate effectively. b. clarify direction. c. create employee recognition programs. d. display compassion to employees. e. focus on productivity.

Communicate effectively

When trying to overcome the resistance for change, which of the following approaches is best suited when change is technical? a. Communication and education b. Top management support c. Coercion d. Negotiation e. Participation

Communication and education

The results of studies asking people to rank the desired characteristics of leaders and followers showed which of the following qualities in the top 5 for both leaders and followers? a. Loyal b. Competent c. Intelligent d. Inspiring e. Dependable

Competent

When Troy measures his employees' performance and compares their performance against the goals he set for them, he is performing which of the following functions? a. Organizing b. Staffing c. Planning d. Controlling e. Leading

Controlling

You are violating which of the following characteristics of effective goals when you attempt to create goals for every aspect of employee behavior? a. Defined time period b. Cover key result areas c. Challenging but realistic d. Specific and measurable e. Linked to rewards

Cover key result areas

Artful Innovations Inc. operates with open channels of communication and an established suggestion system that encourages brainstorming and freewheeling discussions. Artful Innovations can best be described as a(n) __________ organization. a. entrepreneurial b. creative c. cooperative d. experimental e. disruptive

Creative

ANSWER BY LETTER Culture can be defined as: a. none of these. b. an object, act, or event that conveys meaning to others. c. a narrative based on true events that is repeated frequently and shared among organizational employees. d. the set of key values, beliefs, understandings, and norms shared by members of an organization. e. the ability to speak different languages.

D

ANSWER BY LETTER The recognition of decision requirement step in the managerial decision-making process often requires managers to: a. focus on generating ideas. b. use the classical model of decision making. c. develop alternative solutions. d. integrate bits and pieces of information in novel ways. e. select undesirable alternatives.

D

The human resources perspective of management combines motivation theories with: a. top management. b. efficiencies. c. design of job tasks. d. profit maximization. e. floor managers.

Design of job tasks

Which of the following strategies involve an attempt to distinguish the firm's products or services from others in the industry? a. Focus b. Internal growth c. Differentiation d. Cost leadership e. Diversification

Differentiation

A drawback of a sole proprietorship is: a. difficulty in obtaining financing. b. the unlimited liability of the partners. c. the complexity and cost to keep the records required by law. d. its continued existence regardless of whether the owner lives or dies. e. conflicts with partners.

Difficulty in obtaining financing

Roger Duke is the manager of the Accounting division at GTC Industries. The group of employees that he oversees has many issues. Morale is low, and there is a lot of infighting within the group. They easily get sidetracked with their work, and Roger must constantly direct and oversee them to make sure they stay on task. Roger has also caught a few of them instant messaging friends on their computers while they should be working. A couple of them have also been caught stealing supplies, and three of his employees have failed drug tests in the past month. Because of this, top management wants Roger to monitor his employees' Internet use, keep an inventory of supplies on a regular basis, and give random drug tests every week.​ All of the following are things that Roger can do to promote a culture in which everyone behaves in an ethical and socially responsible way except: a. communicate and enforce ethical standards through behavior. b. display honestly and integrity. c. be fair in decisions. d. show kindness and concern for others. e. distribute rewards disproportionately.

Distribute rewards disproportionately

ANSWER BY LETTER Research shows that successful innovations: a. are occurring less frequently in today's organizations. b. typically come from ideas by top managers. c. come more often from outside the organization's boundaries than internally. d. usually come from organizations that use a top-down approach. e. are often accompanied by a high rate of failure.

E

ANSWER BY LETTER Which of the following is a major limitation of goals and plans? a. None of these b. Goals and plans decrease employee motivation. c. Goals and plans guide resource allocation. d. Goals and plans decrease employee commitment. e. Goals and plans may cause rigidity in a turbulent environment.

E

The delegation of power and authority to subordinates is referred to as: a. need for power. b. need of affiliation. c. empowerment. d. passing the buck. e. need for achievement.

Empowerment

Countries whose social values reflect low power distance: a. expect equality in power. b. none of these. c. accept inequality in power among institutions, organizations, and people. d. are highly democratic. e. avoid uncertainty.

Expect equality in power

A(n) __________ is a person who sees the need for and champions productive change within the organization. a. creative individual b. catalyst c. idea champion d. sponsor e. idea incubator

Idea champion

Tracy's Trikes believes that each employee should enjoy the idea of working on something that is new, creative, or personally meaningful. Tracy's Trikes exemplifies which of the categories of small-business owners? a. Optimizers b. Idealists c. Hard workers d. Jugglers e. Sustainers

Idealists

Colleen Farney at TeleTech shows vast knowledge, intelligence, cognitive ability, and keen decisiveness. Which of the following personal characteristics of leadership is she showing? a. Personality characteristics b. Intelligence and ability c. Physical characteristics d. Work-related characteristics e. Social characteristics

Intelligence and ability

The management of business operations conducted in more than one country is called: a. global management. b. none of these. c. multinational management. d. international management. e. domestic management

International management

Which of the following combines a series of tasks into one new, broader job? a. Job simplification b. Job characteristics c. Job rotation d. Job lay-off e. Job enlargement

Job enlargement

_____ systematically moves employees from one job to another, thereby increasing the number of different tasks an employee performs without increasing the complexity of any one job. a. Job enrichment b. Job simplification c. None of these d. Job enlargement e. Job rotation

Job rotation

Which of the following statements regarding the current external business environment is true? a. Corporate culture defines success. b. The business environment is static. c. Mergers are declining. d. All of these e. Joint ventures are on the rise.

Joint ventures are on the rise

The star has a __________ market share in a __________ industry. a. small; slow-growth b. moderate; slow-growth c. small; rapidly growing d. large; rapidly growing e. large; slow-growth

Large; rapidly growing

A government inspection has required your company to upgrade the safety equipment in the manufacturing process of ice creamery. What dimension of the external environment has influenced these upgrades? a. Legal-political b. Task c. Technological d. Economic e. Sociocultural

Legal-political

Ian does not have much of a relationship with his subordinates. They feel obligated to follow his directions regarding work activities because he's the boss. This is an example of __________ power. a. referent b. coercive c. expert d. legitimate e. reward

Legitimate

According to Mintzberg, which of the following is an interpersonal role? a. Negotiator b. Monitor c. Liaison d. Spokesperson e. Disturbance handler

Liaison

All of the following are common reasons why small-business ventures fail except: a. operational mediocrity. b. poor management. c. sloppy accounting. d. fear of firing. e. long-term focus.

Long-term focus

Which of the following organizational variables is a substitute for a task-oriented leadership style? a. Physical separation b. Inflexibility c. Low position power d. All of these e. Group cohesiveness

Low power position

Focusing manager and employee efforts on activities that will lead to goal attainment is a benefit of what management method? a. Single-use planning b. Tactical planning c. Management by walking around d. Management by objectives e. Contingency planning

Management by objectives

The bureaucratic organizations approach is a subfield within: a. systems thinking. b. the classical perspective. c. management science. d. scientific management. e. the humanistic perspective.

The classical perspective

A "dairy farm" view of management (i.e., just as contented cows give more milk, satisfied workers will produce more work) was espoused by: a. none of these. b. the human resources perspective. c. the behavioral sciences approach. d. management science. e. the human relations movement.

The human relations movement

__________ represents people in the environment who can be hired to work for the organization. a. Competitors b. Suppliers c. The government d. The labor market e. Customers

The labor market

The most important responsibilities for __________ managers include communicating a shared vision for the organization and shaping corporate culture. a. middle b. leading c. first-line d. organizing e. top

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