BUS MID TERMS Study Guide
Which is NOT a guideline to consider when starting a business?
An analysis of a detailed, itemized budget for the entire fiscal year
Corporate cultures remain constant throughout the course of a company's existence.
False
Delegation leads to unhappier employees.
False
Democratic leaders give their subordinates the authority to make all decisions
False
Which of the following is an example of on-the-job training?
apprenticeship programs
Tactical planning is primarily the responsibility of ________.
middle managers
Compared to top-level managers, first-line managers have what span of control?
wider
What is the first step in the organizing process?
Determine specific work activities necessary to implement plans and achieve objectives.
Manuel is responsible for guiding and motivating 10 other employees to accomplish various organizational objectives. Manuel handles the ________ managerial function.
Directing
Experts agree that the democratic leadership style is the best style to use.
False
Managers engage in planning on a situational basis. It's not an everyday activity.
False
Managers generally continue to exhibit one leadership style throughout the duration of their employment.
False
Owning a business, by definition, means that you are an entrepreneur.
False
People should not attempt to convert their hobbies into a business, since starting a business is a serious venture
False
SWOT is an acronym for strategies, weaknesses, opportunities, and teamwork.
False
Studies indicate that free-rein leadership is the most effective.
False
The basic purpose of directing is to evaluate the success of the planning function.
False
The corporate culture of an organization is generally shaped by employees rather than managers.
False
The first step in the organizing process is to group work activities in a logical pattern or structure.
False
Which of the following is a major consideration in selecting a business idea?
Find something you love to do and are good at doing.
Which of the following statements regarding globalization and entrepreneurship is correct?
Globalization has resulted in high quality products for low-cost.
By using a(n) ________, Starbucks addressed the threat of fluctuating consumer trends by offering a variety of beverages and merchandise beyond coffee.
SWOT analysis
A company's vision should include flexibility.
True
An auto parts store establishes a policy requiring that customer service representatives respond to Web site emails within three business days. This policy is a result of the company's operational planning.
True
CEOs spend most of their time on strategic planning.
True
Decision making involves assessing the results of a solution.
True
Effective planning can help a business avoid costly mistakes.
True
Entrepreneurs are always managers, but managers are NOT always entrepreneurs
True
Entrepreneurs take necessary risks to set up and operate a business.
True
Great leaders do not share the same qualities.
True
In the past, most entrepreneurs started their ventures without creating formal business plans.
True
Mission statements are generally no longer than one or two sentences.
True
Obtaining financing for an existing business is easier than it is for most start-up companies.
True
Social entrepreneurs recognize a societal problem and use business principles to develop innovative solutions
True
Successful entrepreneurs operate in industries that are experiencing a lot of change.
True
Tactical planning involves current and near-term activities required to implement company wide strategies.
True
The current outlook for becoming an entrepreneur is positive.
True
Chau-Lee is the owner-manager of a 24-hour convenience store. When he first opened the business, he employed only four people, and it was easy to manage the store through informal means. The store experienced rapid growth and is now a six-unit chain. Chau- Lee is now trying to manage 30 employees and coordinate operations in the same manner as when he first opened the business. He is frustrated and feels that his business is "out of control." What Chau-Lee needs is ________.
a formal organization structure
An entrepreneur:
accepts the risk of starting and running a business.
At a celebratory gathering in a restaurant, Al presents his team members with personal thank-you notes in appreciation for their hard work on a project. Al and his team are in the ________ stage of team development.
adjourning
Evan is working on a labor dispute. He meets with both sides, listens to their proposals, and makes a decision on a new contract. Evan is acting as a(n) ________ and ________ force a settlement.
arbitrator; can
Approximately what percentage of private-sector American workers currently belongs to a labor union?
between 8 and 9 percent
A company that retains decision making at the top is known as:
centralize
A primary ________ of eBay is being the world's largest online auction site.
competitive differentiation
Jana's firm allows her to work four 10-hour days each week. This type of flexible work arrangement is known as ________.
compressed work week
Hasim is a bank manager who believes his bank should expand nationally for greater profit and efficiency. Hasim is using his ________ skills.
conceptual
As someone moves up the managerial hierarchy, which skills become relatively more important?
conceptual skills
Ramon's to establish performance standards, monitor actual performance, compare actual performance to the standards. Ramon is engaged in the ________ managerial function.
controlling
Which of the following tasks are NOT typically outsourced?
core business
Based on employee performance appraisals, managers make objective decisions about all of the following EXCEPT ________.
corporate outsourcing
Leticia is reorganizing the sales force for her wholesale office-supply business. She has decided to divide the sales force into three groups: one specializing in educational sales, a second on government offices, and a third focusing on business customers. Which form of departmentalization is Leticia using?
customer
Marcus believes in empowering the employees in his department. Most likely, Marcus is a(n) ________ leader.
democratic
The process of dividing work activities into units is known as ________.
departmentalization
Teams at Google come from many different countries, with skills ranging from creativity to communication to search engine optimization. This is an example of team ____________.
diversity
Marriott has a policy of allowing employees at its hotels to immediately respond to customer problems without having to obtain prior approvals from senior managers. This policy is best described as ________.
employee empowerment
Which of the following is NOT a trend in employee benefits?
employers are paying a greater percentage of health care costs.
Giving employees responsibility and authority to make decisions about their work is called ________.
empowerment
Pin-yuan is trying to promote the cohesiveness of his team. Which of the following would LEAST likely improve his team's cohesiveness?
encouraging his team members to work from home
Jada is opening her own bakery. Jada is an example of a(n) ________.
entrepreneur
________ is concerned with an individual's perception of fair and equitable treatment.
equity theory
The Fair Labor Standards Act ________.
established the federal minimum wage
According to Maslow, the desire to be valued and recognized by others is a(n) ________ need.
esteem
Local unions are typically organized by ________.
geographic area
Entrepreneurs and small-business owners both have all of the following qualities EXCEPT:
growth of their company
When Sara instructs new employees on handling customer complaints, she motivates them to respond with patience and a positive attitude. Sara has effective ________ skills.
human
The function of attracting, developing, and retaining enough qualified employees to perform the activities necessary to accomplish organizational objectives is part of ________.
human resources management
Which of the following statements is CORRECT regarding stock option plans?
if the stock price increases, employees are likely to exercise their option to purchase the stock.
Which of the following is NOT a reason for outsourcing?
improving internal management controls
Team norms are ________ and ________ standards of behavior.
informal; unwritten
The purpose of the EEOC is to ________.
investigate claims of discrimination
Collective bargaining encompasses all of the following issues EXCEPT ________.
investors relation
Rose was recently let go from her position at an insurance agency as a result of downsizing. This is an example of ________.
involuntary separation
Organization charts are the visual indication of a firm's ________.
jobs positions and function
Nonviolent picketing is ________.
legally protected free speech
Malita's company has evolve from a line structure to a line-and-staff structure. The production department would be classified as ________.
line
Union workers at an auto parts plant go out on strike. In response, management closes the plant. This tactic is a ________.
lockout
Autocratic leaders ________.
make decisions on their own, often without consulting others
What makes entrepreneurs unique is their overwhelming desire to ________.
make their business grow
Saul is the CEO of Summertime, Inc. He uses the resources of the firm to expand and diversify into winter sports areas. Saul would be classified as a(n) ________
manager
________ percent of the typical manager's day is spent engaged in communication.
more than 75
Jacob begins working as an apprentice plumber. He will most likely receive:
on-the-job training
A(n) ________ is a structured grouping of people working together to achieve common goals
organization
A(n) __________ can help clarify the structure of a firm.
organization chart
A key premise of Maslow's hierarchy of needs theory is that ________.
people's needs are based on an order of importance
Kara's team is engaged in problem solving and appears focused on accomplishing tasks. Kara's team is likely in which stage?
performing stage
Hewlett Packard (HP)is subdivided by its different lines (such as laptops, desktops, mobile devices, printers, and servers). HP is departmentalized by ________.
product
During the forming stage, what is the role of the team leader?
providing time for members to become acquainted
Tamika's company uses open book management, where employees can visit the company intranet and look up financial performance, design standards, and photos of coworkers. This sharing of information will ________ in employee empowerment and will have ________ on product quality.
result; a positive impact
According to Maslow's Hierarchy of Needs Theory, which stage comes after the esteem needs stage?
self-actualization needs
Under __________, employees receive stock shares or the value of the stock upon retiring or leaving the company.
stock options
Kellie is the leader of a problem-solving team. She is encouraging every member of the team to openly express differences and work through conflicts. Kellie's team is likely in the ________ stage.
storming
Which stage of team development is marked by conflicts over the team's mission and the roles of team members?
storming stage
Mario is part of a strategic planning team. He has identified that his company is the low- cost producer in its industry. This should be listed on a SWOT analysis as a(n) ________.
strength
Chaya's firm allows her to complete most of her work tasks from her home. Which flexible work plan is Chaya using?
telecommerter
Carlos, a management trainee, completed a leadership profile in which he was identified as having Theory Y assumptions about people. Therefore, Carlos would believe that ________.
the average worker will, under proper conditions, not only accept but also actually seek responsibility
Which of the following has contributed the LEAST to the boom in entrepreneurship?
the rise of service industries
Gloria, a supervisor of data entry clerks, includes her subordinates in decision making when possible. She believes that most people can think of creative ways to solve work- related problems. Gloria's assumption about worker behavior is based on ________.
theory y
Which of the following is a concern about performance appraisals?
they may be skewed in favor of a single manager's subjective opinion.
Which of the following is made up primarily of external factors?
threats
Most companies base their compensation policies on all of the following factors EXCEPT ________.
worker's previous salary
