MGMT 371 Exam 1

The United States and Canada have been working with China to reduce tariffs and trade barriers in order to improve economic ties with one another. Which of the following trading blocs does this fall under?

Asia-Pacific Economic Cooperation

After the Enron accounting scandal in the 2000's, Hewlett-Packard (HP) added a written set of standards to clearly state top management's expectations for all employees....which included prohibiting from 'cooking the books or making false accounting records/statements. This addition by Hewlett-Packard best represents a set of standards called a(n) ________.

Code of ethics

John is an executive at Coca-Cola working at the company's Moscow location. Coca-Cola is the largest soft drink distributor in Russia and wants to expand their products into the Russian Universities with vending machines. John realizes that in order to get the university contract, he would need to offer President Vladimir Putin cash under the table because Putin is a key decision maker for the University system. By offering Putin a bride, John is violating which law?

Foreign Corrupt Practices Act

Joe, owner of ABC Electronics, just discovered that his trusted friend Paul, his accountant for over 30 years, has been mishandling the company books and stealing from the company bank account. Joe must decide whether to publicly ignore his friend's actions and avoid bad publicity for the firm, an example of ________.

an ethical dilemma

Ethnocentric managers believe that their native country, culture, language, and behavior ________.

are superior to all others

American Airlines collects data on their average plane turnaround time, on-time arrivals, cost per seat per passenger, miles, fuel costs, numbers of lost bags. American Airlines then compares their data to the data of United Airlines, Delta Airlines, Frontier, Allegiant, and Southwest in order to see how their performance compares. This is known as ________.

benchmarking

Sal, a production manager, knows that some of his employees are upset with the new corporate policy, and as a result, are participating in soldiering. To eliminate soldiering Sal can ________.

carefully select workers according to their abilities and give workers training

Three brothers, Larry, Darryl, and Darrell who own Bottletop Bakery, are concerned because Panera Bread is opening a new store just one mile from their shop. They know that Panera will be offering similar products; therefore, Panera Bread will be a ________ to Bottletop Bakery.

competitor

The American economy consists of a complex combination of organizations and variables, such as countless companies differing in size and what they market, current events, and markets such as housing. All of these independent factors often behave as a single unit based on events and economic news, and respond to the environment and affect the stock market. This is an example of ________.

complexity theory

According to the findings of the GLOBE project, Germany, Austria, Greece, and the United States have the highest values of ________. Whereas, Sweden and Japan rank the lowest on this cultural dimension.

confrontation and competitiveness

Greg is using a ________ perspective when he sets up a system with inputs, outputs, transformation processes, and feedback and then utilizes a management style that varies according to the individual and environmental situation, with a strategy for minimizing errors by managing each stage of production.

contemporary

When a manager assesses a particular situation and decides what to do according to the individual and environmental situation, the manager is utilizing the ________ viewpoint.

contingency

Closets, Closets, Closets, Closets, Incorporated sells shelving to customers at prices that are below those of Home Depot and Lowes, who offer a similar line of products across the same broad markets. Closets, Closets, Closets, Closets, Incorporated is pursuing a ________ strategy.

cost-leadership

Artemis, from Mississippi, arrived in Saudia Arabia and immediately noticed that the way Saudi men treat women is vastly different than how men in the U.S. treat women. Artemis was feeling uncomfortable because she was experiencing ________.

culture shock

As a store manager, Liandra has to play the role of negotiator, such as purchasing products at a fair price for her company. As she handles this responsibility, Liandra is playing the ________ role.

decisional

Americans marrying later in life and young people having fewer children are examples of trends in society known as ________ forces.

demographic

A pay structure, in which more efficient workers earn higher wages, as suggested by Frederick W. Taylor, is known as a(n) ________ system.

differential rate

A construction company offers not only construction services but also home repair, snow removal, and other household services in order to limit their risk exposure. This business is utilizing a ________ strategy.

diversification

The macroenvironment includes these forces: ________.

economic, technological, sociocultural, demographic, political-legal, international

Bill runs an manufacturing plant and he decides to implement a quality control program that increases customer satisfaction, which results in higher sales. Bill is an example of a(n) ________ manager.

effective

In the hope that he can discover possible opportunities for new products or threats from competitors, Anakin keeps a close eye on his company's internal and external environment. This is an example of ________.

environmental scanning

Alice's Pasta Kitchen makes quality pasta and sells its products to customers in other countries. This is an example of ________.

exporting

To focus on improving company customer service this year, the CEO outlined a list of stakeholders to concentrate on: distributors, local communities, and the mass media. These three groups are ________.

external stakeholders

Because business was slow at her Grove Tailgate Setup company, Lauren decided to drop the price of setup. This price decrease resulted in a large increase in setup orders. The increase in orders is a type of ________.

feedback

Recent protests against World Bank operations involve complaints of supporting countries permitting sweatshop labor or that restrict religious freedom, and ________.

financing projects which could damage the ecosystem

Mark directly supervises union employee in the Toyota factory he works at. This makes him a(n) ________ level manager.

first-line

Donna is the vice president of finance. As a result, she has complete control over the finances of her company. Because of this, we consider her a ________ manager.

functional

A large production company has been utilizing the Hawthorne effect in its 12 international factories, and it has seen great success from implementing the Hawthorne principles that propose that ________.

giving more attention to employees increases worker productivity, if they think managers care about them

The multiplier effect states that a manager's influence on the organization ________.

has implications far beyond the results that can be achieved by one person acting alone

Local livestock farmers could allow the runoff of manure nutrients into a stream that feeds a local lake because this helps farmers in the short term. However, farmers will act ethically in the short run to avoid harming others in the long run because this is also in the farmer's best long-term interests, is reflected by the ________ approach to deciding ethical dilemmas.

individual

To increase profitability, top management of a national retailer needs to decide if it will close several stores. Management knows that by closing the locations, it will save the top management jobs and their bonuses. However the store closing will put nearly 1000 people of out work next year. This logic is an example of the ________ approach.

individual

Despite having her bakery destroyed in a flood, Leeloo believed that she was in control of her own destiny and made a decision to rebuild the company. Leeloo is an individual with a(n) ________.

internal locus of control

To focus on improving company customer service this year, the CEO outlined a list of stakeholders to concentrate on: employees, owners, and board of directors. These three groups are ________.

internal stakeholders

General Motors has a deal with Shanghai Automotive Industry Group to build Buicks in China because the only way General Motors can sell their cars in China is through the establishment of a(n) _________.

joint venture

At times, customers have an unexpected need and require certain departments, such as production, to change their schedule to meet the demands of the sales department. When Susan, the vice president of marketing, is involved in resolving this conflict, this is an essential part of which management function?

leading

Pepper is an executive at a large technology company. She recently attended a training conference sponsored by several top professionals in her field, where she learned numerous ways to ensure that her company can better serve its governmental customers. Pepper is excited that the company owners asked her to present this information to them so the company can make needed improvements. Pepper's company is a(n) ________ organization.

learning

Dallas, the president of a successful family-owned company, wants to ensure the company is obeying all local and national laws. To do this, she adds an oversight committee and ensures that the company is acting in the best interests and what is required by global stakeholders. What Dallas's company is doing is an example of ________.

legal responsibility

The classical viewpoint of management emphasized ways to ________.

manage work more efficiently

The corporate director of Domino's uses mathematical tools to aid in product ordering and scheduling decisions; this is an example of ________.

management science

Two of the primary challenges facing managers today are ________.

managing the effects of globalization and information technology

"As California's first comprehensive, public university and academic medical center, the University of California transforms lives, communities, and the world by providing opportunities for the people of California and beyond through excellence in learning, discovery, healthcare, and engagement." This quote is an example of a(n)________.

mission statement

Small manufacturers could allow waste to runoff into a stream that feeds a local lake because it benefits them in the short term. Instead, they follow good disposal practices to avoid harming others, because it is unethical to deny people in the community the right to health and safety. This reflects the ________ approach to deciding ethical dilemmas.

moral-rights

Free trade is the ________.

movement of products between countries without political or economic obstruction

Recently, more attention is being paid to strengthening the corporate governance of organizations after the Enron, WorldCom, and Tyco fraud scandals, because ccorporate governance is the system ________.

of governing a company so that the interests of corporate owners and other stakeholders are protected

Globalization is the trend ________.

of the world economy toward becoming a more interdependent system

In order to manufacture farming equipment, John Deere keeps all production in the US because "it is critical and core to the operations." However, John Deere has recently started using an IT company overseas to help with the coding of its mobile apps because "the mobile app is not what makes the difference to our customers, so we leverage others to build our app." This practice is known as ________.

outsourcing

Sabine, a successful banker and educator, has decided to retire, but she is very interested in staying involved with her company because "it cares." So when asked to be on its board of directors, she gladly accepted the invitation. As a member of the board, Sabine will be involved with the organization's ________.

overall strategic goals and approval of major decisions

Functional managers from the Flextronics plant in Hungary contact corporate HR in the US with complaints about their plant manager, Marcia, who is originally from New York. They complain that "Marcia only sees things as a New Yorker and doesn't consider the perspectives of others." Marcia's management style can be described as ________.

parochialism

Local communities are stakeholders of organizations because communities ________.

rely on the tax base from companies, and their employee payrolls, to thrive

The rarest and most precious resource in business according to Fortune magazine is ________.

skilled and effective managers

Don, the owner of a fishing business, attended an entrepreneurship workshop that discussed the triple bottom line, which measures an organization's ________ performance.

social, environmental, and financial

Over his entire life, Sally grew her company to six clothing stores. As Sally approaches retirement in the face of increased competition, she decided to pass the business on to her daughter in order to reduce the amount of effort she has to spend. Her daughter does not plan to change the business model and would prefer a period of consolidation. This represents a ________.

stability strategy

Ethics are ________.

standards of right and wrong that influence behavior

When building a new residential development or mall, a national real estate organization typically does not remove many trees, basing its decision on the belief that natural resources are limited and the company must not compromise the ability of future generations to meet its own needs. This philosophy is known as ________.

sustainability

A nation's culture is ________.

the shared set of beliefs, values, knowledge, and patterns of behavior common to its people

Ben and his family have developed a successful business selling rich, organic compost material to farmers in his area to help them grow healthy strong plants. Recently Seeds R' Us, a national seed company, has been marketing a non-organic compost material to his customers that is less expensive than Tom's product that has similar results. Seeds R' Us' efforts are an example of ________ in Porter's model for industry analysis.

threats of new entrants

The United States uses government regulations, such as tariffs, embargoes, and import quotas, to limit the import of goods and services and protect their U.S. industries against foreign competition. This use of these regulations is known as ________.

trade protectionism

Billy, a college athlete noticed that his coaches acted illegally and unethically while away at a conference games. The coaches were obtaining illegal drugs and taking bribes from fans. Billy was acting as a(n) _______ when he decided to report the organizational misconduct to the NCAA.

whistle-blower

In 2014 Fiat, an automobile company based in Italy, announced a deal to purchase Chrysler, an automobile company based in the United States. In this situation Chrysler is an example of a ________.

wholly-owned subsidary