MGT 3120 - Quiz Questions for Midterm Exam (Chapters 1-7)

Which scholar developed the global corporate social responsibility pyramid?

Archie Carroll

________ is the process by which a company compares its performance with that of high-performing organizations.

Benchmarking

________ refer(s) to the arrangement that ensures strategic goals align downward with more specific short-term goals.

Cascading goals

(T/F) There are two levels of management in an organization: top and first-line.

FALSE

_______ are difficulties that inhibit the achievement of goals. For example, the lack of parking may be the main reason why a new restaurant is failing.

Problems

Emilio and Dylan are studying the strengths and weaknesses of their construction business, Construction Concepts, as well as researching the opportunities and threats in the external environment. They are conducting a

SWOT analysis.

In advance of opening his new gym, Ethan is writing an explanation of the reason for his business. Ethan is writing his mission statement.

TRUE

Maquiladoras are foreign-owned manufacturing plants allowed to operate in Mexico with special privileges in return for employing Mexican citizens.

TRUE

The trend of the world economy toward becoming a more interdependent system is known as

globalization

Which core business process outlines what needs to be done and who is going to do it?

operations

Dominique and Isidora Wilson are wealthy entrepreneurs who are very interested in helping people who have been wrongly convicted of crimes. What philosophy would they choose to implement?

philanthropy

"All birds lay eggs. A swan is a bird. Therefore, a swan lays eggs." This passage is an example of

syllogism

Efficiency is ________, while effectiveness is ________. - achieving results; investing in technology - using resources wisely; leading by example - setting goals; using resources wisely - using resources wisely; achieving results

using resources wisely; achieving results

Fine Cuts has been manufacturing excellent cutlery for over 50 years. Management wants to hang a banner in the production facility with their mission statement. Which of the following statements would be on that banner?

"We will always provide the highest-quality cutlery at the lowest cost to our customers and always give honest, winning customer service, thereby earning a fair profit for our stakeholders."

A business plan is a tool used by the federal government to determine how to strengthen the business sector through macroeconomics and microeconomics.

FALSE A business plan is a document that outlines a proposed firm's goals, the strategy for achieving them, and the standards for measuring success.

(T/F) To maintain a competitive advantage, Gabriela's company must be responsive to customers, be innovative, make high quality products, and do the work efficiently.

TRUE

After the manager and employee work together to set the employee's objectives, what is the next step of MBO?

The employee should develop an action plan for meeting the objectives.

Stores of data that are so vast that conventional database management systems cannot handle them, and very sophisticated analysis software and supercomputing-level hardware are required, are known as ________. These data include not only data in corporate databases but also web-browsing data trails, social network communications, sensor data, and surveillance data.

Big Data

A goal is a specific commitment to achieve a measurable result within a stated period of time.

TRUE

All 78 locations of Moviely Cinemas has a poster in the lobby that reads, "We want to become the epicenter for family entertainment that highlights creative talents and inspires the next generation of film legends." This is the vision statement for Moviely.

TRUE

Lego committed $150 million to convert its operations entirely to renewable energy and to minimize its production and packaging waste. Lego is an example of a company acting in a socially responsible way.

TRUE

Organizations cannot easily control the macro environment, which includes sociocultural, demographic, political-legal, and international forces.

TRUE

Farrah, a regional manager for an HVAC equipment retailer, received an e-mail from the CEO outlining the new goal of decreasing company costs over the next three years. This is an example of a strategic goal.

TRUE Strategic goals tend to span one to five years and focus on achieving the strategies identified in a company's strategic plan.

Samir owns a dental practice, but business has slowed down significantly over the last six months. Which analysis would you recommend to Samir to help him determine whether his dental practice has competitive potential?

VRIO framework

At Kaira's Caribbean Cuisine, Kaira improves focuses on efficiency by - closing the restaurant during lunch hours. - training her assistant manager to handle the restaurant's finances. - advertising specials to use up food inventory that is nearing its expiration date. - only hiring employees who come from the Caribbean

advertising specials to use up food inventory that is nearing its expiration date.

Managers can use the VRIO framework to

analyze a firm's competitive potential.

Decisions are sometimes based on an initial figure due to

anchoring and adjustment bias.

Every Saturday, Martin and hundreds of other shoppers visit Home Pro, a home improvement supply store, to buy supplies for their home improvement projects. These shoppers are ________ of Home Pro.

customers

In the Management in Action case, once Amtrak decided to change its dining cart service, what category of individuals needed to plan its operational execution?

first-line managers and team leaders

Sew Much Fabrics buys fine linens, silks, and other fabrics from sellers in more than 30 countries to retail to local customers. Sew Much Fabrics is an example of a company that

imports

________ managers believe that their native country, culture, language, and behavior are superior to all others.

Ethnocentric

A social audit is a systematic assessment of employee happiness within a company.

FALSE

External stakeholders include employees, owners, and the board of directors.

FALSE

When individuals or groups are in the process of purchasing a company, this action is known as being a stakeholder.

FALSE

A decision tree, which is the chain of command used by many organizations when discussing alternatives, must be followed when getting decisions approved.

FALSE A decision tree is a graph of decisions and their possible consequences; it is used to create a plan to reach a goal.

When evaluating the alternatives of a decision, managers need to base decisions strictly on cost, quality, and feasibility.

FALSE Managers need to evaluate each alternative not only according to cost and quality but also according to the following questions: (1) Is it ethical?, (2) Is it feasible?, and (3) Is it ultimately effective?

The Foreign Corrupt Practices Act makes it illegal for employees of the U.S. government to seize a foreign or domestic company's assets.

FALSE The Foreign Corrupt Practices Act makes it illegal for employees of U.S. companies to make "questionable" or "dubious" contributions to political decision makers in foreign nations. Expropriation is defined as a government's seizure of a domestic or foreign company's assets.

Filipino shrimpers practice dumping by selling their catch to U.S. customers at a price that is higher than the price of shrimp caught in the United States.

FALSE Dumping is the practice of a foreign company exporting products abroad at a lower price than the price in the home market, or even below the costs of production, to drive down the price of the domestic product.

The manager of a retail pharmacy stated that "the pharmacy will increase its profit margins." This is an example of a SMART goal.

FALSE A SMART goal is one that is specific, measurable, attainable, results-oriented, and has target dates.

A local university is facing some tough decisions, so they are using the decision tree, which contains individuals, websites, and organizations that specialize in handling sensitive and difficult decisions.

FALSE A decision tree is a graph of decisions and their possible consequences; it is used to create a plan to reach a goal.

(T/F) After a customer buys a custom cake or receives catering service from For Goodness Bakes, a service representative contacts each customer to conduct a survey. The survey information is a form of output.

FALSE (Feedback)

Upon graduating from college, Annie needed to decide which city she wanted to live in, what kind of job to look for, whether to apply to graduate school now or later, what to do about her lease that was going to expire in three months, and whether to trade-in her car. What would you advise Annie to do first in her decision-making process?

List the decisions she needs to make.

A Truss Above, a home builder in the United States, secures products such as roofing shingles, cabinets, and plumbing materials from a variety of domestic and international suppliers. ________ is the practice of using outside suppliers to help the contractor build homes.

Outsourcing

Which level of strategy is concerned with how much to spend on marketing or whether to expand facilities?

business

Alejandro is the type of manager who completely focuses on efficiency, and he assumes workers are rational. Alejandro is probably applying the ________ viewpoint.

classical

Together, focusing on individual employee productivity and managing the overall firm comprise the ________ viewpoint.

classical

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

Once implemented, managers need ________ to keep strategic plans on track.

control systems

A person's ________ reflects the combination of how he or she perceives and responds to information.

decision-making style

Crush Blush's cosmetics products are sold to consumers and stylists in Beautiful You's beauty supply store. Crush Blush relies heavily on Beautiful You to help sell its goods to customers. Beautiful You is a ________ of Crush Blush products.

distributor

The three core business processes of people, strategy, and operations indicate a company's overall ability to

effectively execute.

During the Cold War, the United States had a(n) ________ with anyone importing Cuban cigars and sugar.

embargo

To enact strategic control, Bryan Barry suggests that organizations should

engage people keep it simple stay focused keep moving.

After studying many management approaches, the best perspective to take as a manager is

evidence-based management.

Chase's Chaises in Arkansas produces high-quality furniture and ships its products to customers in over 40 countries. Chase's Chaises is ________ its products.

exporting

Abraham Maslow's listing of physiological, safety, love, esteem, and self-actualization needs, and his belief that some of these needs must be satisfied before others, was proposed as the

hierarchy of human needs.

Dr. B.J. Fogg theorized that changing behaviors into habits begins with which step? - celebrating each time you perform a tiny change - identifying a simple, tiny change you can implement - attaching the tiny change to an existing habit - identifying something specific you want to accomplish

identifying something specific you want to accomplish

In their ________ roles, managers interact with people inside their work units; while solving problems is part of their ________ roles. decisional; conceptual interpersonal; technical decisional; technical interpersonal; decisional

interpersonal; decisional

Noah's Ark is a successful child care center. It focuses on actively developing, finding, and communicating new knowledge to its employees so that workers can modify their behavior to reflect this new knowledge. Noah's Ark is an example of a(n) ________ organization. - evolving - learning - research - customer-focused

learning

Samara conscientiously strives to achieve both efficiency and effectiveness for her company. She carefully plans, organizes, leads, and controls her company resources, including her employees. Samara is delegating. managing. developing synergy. entrepreneurship.

managing

Kindred Spirits Stables (KSS) is a therapeutic horse-riding organization that provides emotional, mental, and behavioral therapies to anyone who needs them. KSS charges enough to cover its operational costs, but it does not expect to make money. KSS is probably a - for-profit company. - servant organization. - nonprofit organization. - mutual-benefit corporation.

nonprofit organization.

Managers in a cosmetics factory have been having problems with employees starting cliques. To develop more of a team culture, the CEO suggested utilizing Mary Parker Follett's idea that companies should

operate as a community, with employees working in harmony.

At Rita's restaurant 'Ritas + Tacos, employees work together to achieve the company's goals and purposes. Rita's 'Ritas + Tacos is a(n) - visionary - ad hoc team - organization - user of stretch goals.

organization

Local communities are stakeholders of organizations because communities

rely on the tax base from companies and the jobs the company provides.

Rosa hired Luis from Cajun College. He was an amazing employee and exceeded all her expectations. The next year, Rosa received an application for a job opening from another graduate from Cajun College. She was very excited to hire another outstanding candidate. Rosa has ________ bias.

representativeness

Prior to 1990, the United States imposed a tax, known as a(n) ________, on automobiles imported from Mexico.

tariff

According to Robert Katz, which three skills do managers develop through education and experience? - monitoring, planning, leading - technical, leading, planning - technical, conceptual, human - planning, leading, conceptual

technical, conceptual, human

Selecting your management approach based on the situation and the people involved is applying

the contingency viewpoint.

Drucker introduced key ideas that are now considered core organizational tenants, including that

the corporation could be considered a human community.

In the third step of the strategic management process, managers should

translate the broad mission and vision into a corporate strategy.