Business MGT
The accounting cycle is a _____-step process.
4
Receivables turnover is a type of _____ ratio.
Asset Utilization
Carrying out the goals of business through the use of the Internet is generally known as _______.
e-business
Which agency is comprised of retired executives willing to provide advice and knowledge to owners of small firms?
SCORE
An assumption made by a Theory X manager about people is that ______.
people have little ambition
Ethics, principles, and values
Starbucks offers healthcare benefits to part-time employees and supports coffee growers by offering them fair prices.
India's comparative advantage - Which of the following best represents a training that would need to occur in order to help someone doing business in India overcome cultural barriers?
a training on gender roles and taboos
Motivating employees to work effectively to accomplish organizational objectives, encouraging employees to do their work, and administering appropriate rewards are all tasks associated with the ______ function of management.
directing
Chinese mattress companies have flooded the United States with incredibly low-priced mattresses, selling below cost, in an effort to quickly gain marketing share. This practice is referred to as
dumping
In a line-and-staff structure, those managers that provide advice and support to line departments on specialized matters such as finance, engineering, and human resources are called
staff
Economic resources owned by a firm are called
assets
Electra Bikes - As a global company, Electra Bikes sells its products to other countries. This process is referred to as
exporting
Which of the following is a disadvantage of a general partnership?
unlimited liability
_____ occurs when an economy is growing and people are spending more money. Their purchases stimulate the production of goods and services, which in turn stimulates employment.
economic expansion
Which of the following terms best describes Marie Truzio?
entrepreneur
Manager hot seat - The issue presented in the case is most closely related to the ethical category of
fairness & honesty
Which three items are considered inputs to the transformation process?
Energy Materials Labor
A tall organization typically has
many layers of management.
Which area of the organizational environment seeks to understand what motivates employees to perform on the job?
human relations
The Hawthorne studies were originally designed to study the relationship between ______.
workplace conditions and productivity
Labor unions use financial statements of a company to
establish reasonable expectations for salary and other benefit requests
Business Ownership: Zingerman's Deli - The Zingerman's case exemplifies a consistent struggle that many small businesses face when they prepare for
growth
Customer benefits subtracted by customer costs = customer _____.
value
Are shareholders stakeholders?
yes
_____ is the most popular social networking site in the world.
Which statement is false about outsourcing?
Outsourcing is one of three inventory management systems.
What are the three types of asset utilization ratios?
Receivables turnover Total asset turnover Inventory turnover
How would a manager subscribing to Theory Z manage his or her employees?
The management style would be participative; managers and workers share responsibilities
What is a disadvantage of sole proprietorship?
Unlimited liability
What type of economic system gives business owners the best opportunity to get themselves out of poverty and thrive?
capitalism
An organization structure in which decision-making authority is maintained at the top level of management is called a(n) ______ organization.
centralized
The rivalry among businesses for consumers' dollars is referred to as _____.
competition
Which type of media is considered to be the most consumer-driven?
digital media
The participation of different ages, genders, races, ethnicities, nationalities, and abilities in the workplace is referred to as ______.
diversity
_____ is the term used for the fact that customers, employees, suppliers come in different ages, genders, races, ethnicities, nationalities, and abilities.
diversity
Critics of supply and demand say the system
does not distribute resources equally.
What are three secondary characteristics of diversity?
education, work background, income, marital status, parental status, military experience, religious beliefs and geographic location
True or false: An expense account provides an explanation of how the company's cash changed from the beginning of the accounting period to the end.
false
True or false: CPAs pass and obtain their certification through the federal government.
false, through state.
The company that sells a franchise is called the ______.
franchiser
A key disadvantage of a general partnership is ______.
friction between partners
Stockholders' liability for losses only up to the amount they invest is called ______________.
limited liability
Purchasing is also known as ______.
procurement
Half of all small businesses fail within the first ______.
5 years
Reinforcement theory is associated with which of these processes?
Behavior modification
Which of the following is a difference between manufacturers and service providers?
Manufacturers typically have more control over the amount of variability of the resources they use than do service providers.
Select from the following those items that characterize a certified public accountant. (Select all that apply)
May file tax returns May provide opinions regarding the accuracy of financial statements May complete audits of corporate financial records
USMCA essentially replaced which foreign trade agreement?
NAFTA
Which organization was established in 1947 to promote trade among member nations by eliminating trade barriers and fostering financial cooperation?
The International Monetary Fund
Which statement regarding the transformation process is accurate?
The transformation process occurs in all organizations regardless of what they produce or their objectives.
What is an accurate assessment of labor union employees and wages?
Union workers make significantly more than nonunionized employees
At their meeting to finalize the insurance policies, Bennett gives the couple tickets to a sporting event. This is best described as
a bribe
Manager's Hot Seat: Is Sybil's Ethics Sheet in Balance? - Which of these will promote a strong culture of ethics at Sybil?
a code of ethics
ConveyerPape: Supplying Conveyer Belts Internationally - ConveyorPape is planning to purchase land and build a new manufacturing facility in India. This is an example of
a direct investment
Small firms can develop _____ by providing quality products and excellent service.
a good reputation
iSeeIt!: Corporate Social Responsibility - Sustainability refers to
a product's or company's ability to exist without causing harm to the environment.
Delegation of _____ means not only giving tasks to employees but also empowering them to make commitments, use resources, and take whatever actions are necessary to carry out those tasks.
authority
Born between 1946 and 1964, _____ is/are relatively wealthy. Many small businesses do not actively pursue this group but many experts believe it to be the market of the future.
baby boomers
In the 1970s, during a visit to Brazil, President Richard Nixon gave the A-OK sign to the crowd. This hand gesture in America means OK, however, Brazilians were embarrassed because in their culture the gesture is considered obscene. This situation exemplifies how even simple differences in _____ can cause misunderstandings in international relationships.
body language
India's comparative advantage - The strength of India's manufacturing sector gives it a ______ in comparison with other countries.
comparative advantage
iSeeit!: Entering Foreign Markets - A major advantage of having a foreign subsidiary strategy is that
control is maintained by the expanding firm to limit key knowledge and information from being exposed to competitors.
______ is a management function that involves evaluating and correcting activities to keep the organization on course.
controlling
Ultra Motor Company Limited and the E-Bike - A disadvantage of Ultra Motors' competitors business formation as a public corporation is
double taxation
If a business is following all the laws and regulations, it still might not be acting
ethically.
Studying business does NOT offer any benefits for those who decide to work for a government agency or a nonprofit organization.
false
True or false: All financial statements follow the exact same format under government regulations.
false
True or false: Although managers engage in four primary activities—planning, organizing, directing, and controlling—the activities are not interrelated; a manager can only perform one activity at a time.
false
True or false: Based on the information in Figure 6.2, there are typically more top managers than middle managers in a company.
false
True or false: In a manufacturing process, capacity is always measured in outputs, never in inputs.
false
A cleaning supply company that manufactures and markets eco-friendly cleaning solutions has two divisions—one in North America and one in Europe. Both divisions cater to the same type of clientele. However, this method of organizing jobs has helped the company be more efficient and responsive to local competition. Which of the following types of departmentalization is the company using?
geographical
A compensation plan refers to
how much people are paid for their work
China purchases wheat and other food grains from foreign markets. This is called
importing
Since the implementation of NAFTA in 1994, trade between Mexico, Canada, and the United States has ______.
increased
Organizational _____ are the levels of management in an organization.
layers
A _____ is an association of two or more persons who carry on as co-owners of a business.
partnership
A multinational consumer goods corporation has separate units for baby care, fabric care, family care, and feminine care. Thus, the company is following ________ departmentalization to organize jobs.
product
B.F. Skinner, a psychologist who developed behavior modification, theory found that behavior that is ______ will tend to be increased, whereas behavior that is ______ will tend to be eliminated.
rewarded; punished
Operations management refers to
the development and administration of the activities involved in transforming resources into goods and services.
match the position on the right with its level in the management hierarchy on the left.
top - president or CEO middle - plant manager first-line - foreman
According to the Federal Trade Commission, an online influencer must disclose if they receive compensation for any products they promote. This relates to Blank______ in online marketing.
transparency
iSeeIt!: Balance of Trade and Balance of Payment - A trade deficit is also referred to as a(n)
unfavorable balance of trade
Which trade agreement, originally signed by 23 nations in 1947, provides a forum for tariff negotiations and a place where international trade problems can be discussed and resolved?
General Agreement on Tariffs and Trade (GATT)
Sole Proprietorship Partnership Corporation
Individual income is taxes Individual owners' income is taxed Corporation and shareholders are taxed
iSeeit!: Entering Foreign Markets - What major advantage does a foreign joint venture have?
It allows access to the international market with a partner who has knowledge of the market.
Which of the following is true of the United States-Mexico-Canada Agreement (USMCA)?
It replaced the NAFTA
What would happen if the European Union (EU) had to devalue the euro?
It would raise the cost of EU goods abroad
Refer to Table 6.4 The interpersonal type of managerial role includes which three specific roles?
Leader, Liaison & Figure
Select from the following four key reasons why producers relocate their plants or open a facility at a new location.
Proximity to market Availability of raw materials Availability of labor Availability of transportation
What is not a typical marketing task of an organization?
Purchasing a product or service
Which site is an example of a crowdsourcing community?
Threadless
As a result of _____, employers cannot impose sex distinctions in job specifications, job descriptions, or newspaper advertisements.
Title VII of the Civil Rights Act
Maquiladoras are production facilities set up to take advantage of Mexico's low labor cost and proximity to the United States.
True
The USMCA created changes for the agricultural industry, as well as intellectual property rights.
True
Which of the following is an advantage of corporations as a form of business ownership?
Which of the following is an advantage of corporations as a form of business ownership?
In business, managers and employees are faced with many decisions. Which of the following is not a question you should ask yourself when trying to determine whether an action is ethical?
Will it help me further my career?
What are three concerns of small business owners that can contribute toward high stress levels?
Worries about competition Employee problems Changing market demand
Which of the following is an example of a market niche?
Young male, thrill-seekers who enjoy rock climbing
A country whose consumers are less likely to purchase nonessential products because they have a low per-capita income is considered to be ______.
a less-developed country
A structure having a traditional line relationship between superiors and subordinates and also specialized managers---called staff managers---who are available to assist line managers is known as a ______.
a line and staff structure
In perfect capitalism, if consumers are pleased with and prefer one business's products over all others, then this leads to
a monopoly
Nirav is a manager at Healthy Water and is faced with the declining sales of the company's vitamin-infused water. After a thorough examination of the situation, he comes up with several courses of action to boost sales: introduce new flavors, improve the packaging, offer price discounts, or develop new products. He is aware that each has its advantages and disadvantages. Identify the step of decision making in which Nirav is involved.
analyzing options
_____ are considered an important feature of smart phones due to the convenience and cost savings they offer to consumers.
apps
What is required to start a partnership?
articles of partnership
Pay and benefits make up a worker's _______ plan.
compensation
Skills that involve the ability to picture the organization as a whole and the relationship among its various parts are called _____ skills.
conceptual
An organization's values, beliefs, traditions, rules, and role models for behavior that are shared by all are an organization's
culture
The idea behind the marketing concept is that ______ will lead to a business achieving its goals.
customer satisfaction
Mark, the marketing manager of a large U.S. corporation, realizes that Afghanistan has virtually no supply of tomatoes. He conducts a study to see what quantity of tomatoes Afghan customers would be willing and able to buy at different prices. Mark is analyzing Afghanistan's ______.
demand for tomatoes
GrubHub and the Dynamic Business Environment - If GrubHub decides to expand to another country by allowing another company to use its company name, website infrastructure, and training materials in exchange for a fee, then GrubHub is using
licensing
Owners in an LLC have ______ liability.
limited
India's comparative advantage - What is India's comparative advantage in global competition?
low-cost labor
The goal of double-entry bookkeeping is to ______.
maintain the balance of the accounting equation
A specialized area of management that oversees the process of transforming resources into goods and services is called ______.
operations management
The levels of management in an organization are collectively referred to as ______.
organizational layers
A limited liability company is taxed like a(n) _______.
partnership
What are four external influences in the marketing environment?
political, legal, regulatory, social, competitive, economic, and technological forces
Due in part to the Industrial Revolution and the demand for manufactured goods, the _____ orientation was prominent in the second half of the 19th century.
production
A team that runs their own operation and has total control of a specific work project is called a ______.
project team
Which term is described as the act of buying of all materials needed by the organization?
purchasing
In an effort to protect the automobile industry, a country decides to impose a(n) ________ to limit the number of units of sedans that can be imported into the country.
quota
Parker is interested in starting a business. She wants to select the structure with the most freedom from government regulation. Which form of business ownership should Parker pursue?
sole proprietorship
Consumer products, such as designer clothing and shoes, are examples of ________ products.
speciality
Lloyd, a manager for a pharmaceutical company, is responsible for preparing for potential disasters such as product tampering. What type of planning is Lloyd engaging in?
tactical
Due to changes in communication and advancements in _____ (such as cell phones, the Internet, and social media), small companies can better customize their services quickly for international customers.
technology
Which motivation theory suggests that money is the sole motivator for workers?
the classical theory
the nations balance of trade refers to
the difference in value between imports and exports
How does the government get the money to buy and own these major industries?
through taxes
Professional marketers at Fortune 500 corporations, as well as, the average Internet user can all upload ______ to social media platforms such as YouTube or Vimeo.
videos
A _____ span of management exists when a manager directly supervises a very large number of employees.
wide
_____ is the process by which a person selects and interprets information through senses about the quality or features of a product.
perception
Ultra Motor Company Limited and the E-Bike - An advantage to Ultra Motors' business formation as a corporation is
perpetual life
How many owners are found in a sole proprietorship?
One
Sole Proprietorship Partnership Corporation S Corporation
One Owner Two or more owners Any # of shareholders Up to 100 shareholders
The grouping of jobs into working units usually called departments, units, groups, or divisions is called ______.
departmentalization
What are three sustainability issues in relationship to manufacturing?
Pollution of land and air Urban sprawl Climate change
By selling the young couple insurance that doesn't fit their needs, Bennett is showing the least concern for which type of stakeholders' needs?
customers
Which of the following is a disadvantage of being a small-business owner?
they tend to be victims of physical and psychological stress.
The study of how resources are distributed for the production of goods and services within a social system is called
economics
What is the least likely sustainability-related issue for businesses?
employee benefits
Courtney, a manager at a magazine publisher, believes employees should be able to do their work without much interference. She sets performance standards for her team and allows them to find their own ways to meet the standards. Courtney can be regarded as a(n) ________ leader.
free rein
Being able to be your own boss is one of the leading reasons that entrepreneurs choose to go into business for themselves. This advantage of small-business ownership is referred to as _______.
independence
In the transformation process, _____ are the resources, such as labor, money, materials, and energy, that are converted into goods, services, or ideas.
inputs
From the perspective of the United States, the process of foreign companies transferring tasks and jobs to U.S. companies is called
insourcing
A partnership established for a specific project or for a limited time is called a ______.
joint venture
A ____ ____ is an employee organization that represents its members in negotiations with management over wages and working conditions.
labor union
In a free-enterprise system, _____ dictates whether or not a business will succeed or fail.
market demand
In the context of digital marketing, accessibility is defined as the ability of
marketers to obtain digital information
An individual's values, principles, and standards of conduct are referred to as ______.
personal ethics
Considered the first function of management, _____ is the process of determining the organization's objectives and deciding how to accomplish them.
planning
What are the four steps in the accounting cycle?
prepare financial statements examine source documents post transactions record transactions
______ ratios measure how much operating income an organization is able to generate relative to assets, owners' equity, and sales.
profitability
India is best described as having what type of economic system, making it difficult for Kiva lenders to loan money to entrepreneurs in India?
socialism
_____ combines sight, sound, and animation to facilitate testing of concepts as well as packaging and design features.
virtual testing
What are two assumptions about people made by Theory X managers?
People prefer to avoid work. People must be forced to work.
Quantum Manufacturing was founded in 1955 by Earl and Jenni Maxwell. Today, their two sons own the business and are closely involved in managing the day-to-day workings of the company. What kind of company is Quantum Manufacturing?
Private corporation
Through observation and study, a job _____ determines information about a job—the tasks that comprise it and the environment in which it will be performed.
analysis
is the maximum load that an organizational unit can carry or operate.
capacity
How a particular society distributes its resources to produce goods and services describes a(n) ______ system.
economic
Which of the needs in Maslow's hierarchy are similar to the motivational factors in Herzberg's two-factor theory?
esteem needs
In marketing terms, when you pay the cashier money for the items you purchase at a store, it is an example of a(n) _____.
exchange
Wages are defined as ______.
financial rewards based on the number of hours the employee works or the level of output achieved
The two major types of partnerships are ______.
general and limited
Gerard received an unemployment check in the mail even though he had never filed for unemployment. When he called his state office of unemployment, they told him someone else had filed for benefits under his name and he would need to file a police report so he would have a record of this criminal behavior. This is an example of
identity fraud
The woman in the video might be rightly accused of
inappropriately applying pressure.
Which report summarizes an organization's profitability over a specific period, which may be a week, a month, or a year?
income statement
Internal company networks that increase communication across different departments and levels of management and help with the flow of everyday business activities are called ______.
intranets
Melody works for a large corporation as a product developer. She takes responsibility for the development of innovations within the organization.Melody is a(n)
intraprenuer
All raw materials, components, completed or partially completed products, and pieces of equipment a firm uses is the definition of ______.
inventory
Economics
is the study of how society chooses to employ resources to produce goods and services and distribute them for consumption among various competing groups and individuals.
Tariffs and other trade restrictions are part of a country's ______ structure but may be established or removed for political reasons.
legal
_____ is appropriate for an organization when it is not feasible to inspect every part it manufactures.
sampling
The International Development Association and the International Finance Corporation provide loans to private businesses and member countries and are associated with which organization?
the World Bank
True or false: The tools and techniques for analyzing exactly why consumers purchase what they purchase have been perfected and are quite exact.
false
The internal use of accounting statements by managers in planning and directing the organization's activities is referred to as ______.
managerial accounting
Based on Herzberg's theory, which element is a hygiene factor?
Job security
Which of the following fields is best classified as a high-technology business?
robotics
In some companies, human resources management is referred to as _______.
personnel management
______ is a public protest against management practices and involves union members marching at the employer's site.
picketing
Measuring Global Trade - Which of the following statements is true?
the US exports the most goods to Canada.
Select three ways in which digital marketing differs from conventional marketing techniques.
1. Digital media make customer communications faster and interactive. 2. digital media help companies reach new target markets more easily. 3. digital media help marketers utilize new resources in seeking out and communicating with customers.
Knowing how to sort large amounts of information in order to find relevant facts to resolve a problem or issue is an example of the use of ______.
analytical skills
Small firms are important as exporters representing _____ of the value of exported goods.
33 percent
What is the main distinguishing factor between accountants and bookkeepers?
Accountants analyze and interpret financial information and bookkeepers do not.
Of the following forms of business ownership, which is relatively easy and inexpensive to form?
Sole proprietorship
Why should a business be concerned with stakeholders?
Stakeholders represent a very large, broad group of people who stand to gain or lose by the actions of the business.
How do the forces of supply and demand affect the sale of ticket prices?
As demand for tickets increases and supply of tickets decreases, the cost of tickets increases.
Which unit of the U.S. Department of Commerce offers small- and mid-sized U.S. firms practical knowledge about international markets and industries?
Commercial Service
What can the national broker do to encourage agents to balance customer needs with attempts to meet sales goals?
Create and reinforce a code of ethics that includes a portion on customer needs. Consistently mention the importance of customer needs during communications. Balance goals for cross-selling with goals for customer retention and satisfaction. All answers are correct.
Managerial Roles - Raul Wilson
Entrepreneur - innovative products Resource allocator - set salaries Negotiator - reach agreements Monitor - seek environment changes Disseminator - report environment changes Spokesperson - launch ad campaign Figurehead - state ethical guidelines Leader - provide example Liaison - establish alliances
Manager's Hot Seat: Is Sybil's Ethics Sheet in Balance? - The scenario presented in the video demonstrates which concept?
Ethics begins with each of us.
Scalpers often artificially decrease supply by releasing tickets in waves, making it impossible for consumers to know how many tickets remain. This causes the equilibrium price to
Increase
Which statement best portrays a company's ability to understand consumer buying behavior?
It is extremely difficult to explain exactly why a customer purchases a particular product.
How are the members of a board of directors selected?
They are elected by the stockholders of the corporation.
Carli is an online influencer. She has 500,000 followers who view her Instagram fashion posts every day. Based on FTC guidelines, she is required to clearly disclose any connection she has with the brands she promotes. What aspect of Internet marketing does this relate to?
Transparency
What are three primary reasons that small businesses fail?
Undercapitalization Inability to cope with growth Managerial inexperience
In the 1960s, Lyndon B. Johnson dealt with which workplace issue and passed laws in relation to it?
affirmative action
A marketing strategy has two major components: selecting a target market, and ______.
developing an appropriate marketing mix
Political, legal, regulatory, social, competitive, economic, and technological factors are all _______ forces that influence the development of marketing strategies.
external
An assembly line is most closely associated with which facility layout?
product layout
The arrangement or relationship of positions within an organization is referred to as
the organizational structure
Select from the following the two formats of balance sheets.
vertical and traditional
YouTube, Vimeo, and Dailymotion are all examples of _______ sharing sites.
video
Interactive multimedia research is also known as ____
virtual testing
Of all the federal regulatory units, the _______ most influences business activities related to questionable practices that create disputes between businesses and their customers.
Federal Trade Commission
Which discipline encompasses the process of planning, organizing, leading, and controlling people and organizational resources in order to accomplish the goals of the organization?
Management
Ratification of which agreement in 1994 created a free trade area among the United States, Mexico, and Canada?
NAFTA
Which organization, established in 1946, primarily serves to loan funds to underdeveloped and developing nations, where the funds are used to finance projects ranging from road and factory construction to the building of medical and educational facilities?
The World Bank
To avoid the difficulties involved in starting a restaurant from scratch, Elon obtains the rights to operate a Taco Bell location. This business arrangement requires Elon to pay an annual fee to the owner of the chain. In this scenario, Elon is a(n)
franchisee
The most significant informal communication occurs through the ____ an informal channel of communication, separate from management's formal, official communication channels.
grapevine
The buying, selling, and trading of goods and services across national boundaries is referred to as
international business
Fabulous Fixtures manufactures custom lighting for its clients. Along with finished pieces, the company's warehouse houses tools, electrical components, glass and metal housings, and a wide array of decorative materials. All of these items are part of Fabulous Fixtures' ______.
inventory
Alejandro is an internal auditor employed by Jameson & Crowe, a large technology corporation, to prepare and analyze its financial statements. Based on this information, Alejandro is a(n)
private accountant
What term refers to a corporation that is owned by just one or a few people, often a family, who are closely involved in managing the business?
private corporation
A matrix structure is also referred to as a(n) ______ structure.
project management
Business Ownership: Zingerman's Deli - Zingerman's reached a crossroads in the growth of their business and sought a solution that would maintain
quality.
Title VII of the Civil Rights Act prohibits job discrimination based on what four conditions?
race, religion, color, gender identity, sexual orientation, national origin, or handicap
What are the five sections of the Google Analytics dashboard?
real time, audience, acquisition, behavior and conversions
Marvin Hardware Sales used to meet with all of its clients face-to-face at least once a month. Today, the company uses email and video conferencing to accomplish those same tasks. This demonstrates how changes in ______ affect an organization.
communication
The government owns or has a strong hand in all small businesses in what type of economic system?
communism
business ownership - State Bread Co. competition - constant sales profits - government collected product availability - limited choice price - expensive gas
communism
Every box of Cheez-It baked snack crackers has a toll-free number printed on the side. This allows buyers to contact the manufacturer and ask questions or make comments. This is an initiative promoting
consumerism
Manager's Hot Seat: Is Sybil's Ethics Sheet in Balance? - If Marcus owned stock in P&M, the company that is acquiring Sybil Systems, and then sold his stock after learning of this very large expense that was not disclosed to P&M, Marcus
could be charged with insider trading.
Hannah works in the corporate office of a mobile phone company. She develops communication exchanges with customers via mobile and social networks. This demonstrates which type of marketing?
digital marketing
What are the four categories of social responsibility?
economic, philanthropy, ethics & legal
How are governments considered stakeholders?
Governments play a role in the outcome of the business through taxes, increased property values, and regulations designed to protect consumers.
_____ are legally liable for the mismanagement of the firm or for any misuse of funds.
board members
Which document sets forth the basic legal agreement between partners?
articles of partnership
A country barters its avocados for pineapples grown in another country. The two countries do not exchange currency. The type of business arrangement between the two countries can be regarded as a(n)
countertrade agreement
What are three tasks associated with human resources?
Training workers Hiring workers to fulfill company needs Compensating workers
A _____ is elected by the stockholders to oversee the general operation of the corporation and set its long-range objectives.
board of directors
COPPA was enacted in 2000 to protect which aspect of Internet activity?
children's online activities
Adam, a human resource manager, is negotiating with a union to reach a compensation agreement. He tries to negotiate a labor contract that permits the company to retain control over things like work schedules, the hiring and firing of workers, and separations. Adam is engaged in
collective bargaining
The negotiation process of management meeting with unions representing workers to discuss changes in working conditions, wages, and terms of employment is known as _______.
collective bargaining
Business Ownership: Zingerman's Deli - Zingerman's despised the idea of franchising because it was worried about
consistency
Fatima is manager for a retail organization. Her favorite part of the job is working one-on-one with employees, motivating them to excel, and encouraging them in their work. Fatima enjoys the _____ function of her management job.
directing
At a fulfillment warehouse, the senior supply chain manager assigns a task to a lower level manager. The pattern of formal communication illustrated in this scenario is ________ communication.
downward
Joe works for a publicly owned apparel company. He does not own stock in the company and often feels that his work only benefits the owners. This is an example of
employee-owner separation
Anna is a customer service representative. She has the authority to handle low-level problems as she sees fit without having to get approval from a manager. Anna's company believes in Blank______.
empowering its employees
_____ is an intangible asset that reflects an organization's positive reputation.
goodwill
What is the largest analytics platform monitor currently in use?
google analytics
A systematic, objective process of gathering information about potential customers to guide marketing decisions is the definition of ______.
marketing research
Ann works as a receptionist for a large company. Since the job is fairly repetitive, Ann gets bored easily. Her company recently offered Ann the opportunity to cycle through other departments in administrative jobs so she can learn new skills related to the other departments. This is an example of
job rotation
What are the four activities that make up the marketing mix?
product, price, promotion & distribution
After retiring from his corporate job at age 50, Marcus decided to realize his life-long dream and open up a donut shop in his hometown. He runs the business by himself, including the donut making. Marcus's donut shop is an example of a _____.
sole proprietorship
Dividing specific tasks into smaller jobs based on employee skill is called ______.
specialization
The manufacturing process that makes identical interchangeable components or products is called ______.
standardization
Thomas wants to become a certified public accountant (CPA), so he must be certified by the ________ in which he practices to provide accounting services.
state
In general, it is wise for a business to
strive to create positive relationships with all stakeholders.
The relationship between price and the quantity of products a company is willing to sell can be shown graphically with a(n) ________ curve.
supply
A major function of operations is _____, which refers to connecting and integrating all parties or members of the distribution system in order to satisfy customers.
supply chain management
Tumblr allows Greta to post text, photos, and hyperlinks about some of her favorite things. She enjoys reading the feedback that other Internet users post about her choices. Which form of consumer-generated media is Greta using?
Blog
A form of business ownership that looks like a corporation but is taxed as though it were a partnership with restrictions on shareholders is ______.
an S corporation
How a firm is perceived by its various stakeholders is its ______.
reputation
Which industry is best characterized by the acquiring of goods from producers or wholesalers and then selling them to consumers?
retailing
_____ is the sequencing of operations through which a product must pass.
routing
True or false: Cookies can be turned off so as to lessen the potential of invasion and revealing information to marketers.
true
True or false: Every organization, regardless of size, organizational type, product, or profit objective has a corporate culture.
true
What are the four ways in which departments are commonly organized?
By product By geographic region By customer By function
Which two characteristics are especially important in accounting practices?
accuracy & transparency
What are four components of the selection process of HRM?
application, interviewing, testing & reference checking
In the context of accounting, CMA stands for
certified management accountant
A permanent, formal group that performs a specific task is called a ______.
committee
Fairness and honesty are at the heart of business _______ and relate to the general values of decision makers.
ethics
A company would rely on ratio analysis to calculate the organization's:
financial health.
One tool managers can use to foster employee loyalty and boost productivity is
motivation
Investors may use per ___________ data to compare the performance of one company with another on an equal, or per share, basis.
share
The owner of a flower shop has three employees. Two employees are better at arranging flowers in a vase while the third is skilled at preparing the flowers to be arranged. Separating the employees by these skills is called ______.
specialization
Which of the following statements is TRUE of project teams?
Their membership is likely to be composed of people from different functional areas.
Which statement is accurate regarding the adoption of digital media by businesses?
There is often a gap between technical knowledge in developing sites and digital marketing strategies.
Herzberg's hygiene factors relate to
the work setting.
What are two things companies should do to manage the risks associated with global operations?
Make sure supply chains are diverse Encourage procurement employees to work together to find suppliers at a reasonable cost
What strategy is a company using when it customizes its products, promotion, and distribution to fit cultural, technological, and other national differences?
Multinational
Which two terms are synonymous with "income statement"?
Operating statement P&L statement
Society; the right to contributions for the betterment of society Bagel Works adopts company practices such as in-store recycling, composting, and using nontoxic cleaners.
Society/Environment
Felicity firmly believes the employees at her craft store like to work, and if she provides them with challenging tasks—such as organizing and hosting fun crafting workshops—and the tools they need to accomplish the tasks, they will want to be responsible for doing well at their jobs for their own personal reward. Which motivational theory does Felicity's management style reflect?
Theory Y
Electra Bikes - The business relationship between Electra Bikes and Trek provides Electra with a competitive advantage. This business arrangement would be classified as
a joint venture
Business Ownership: Zingerman's Deli - Even after growing from a partnership to a multi-divisional corporation, Zingerman's had the culture of
a small company.
The total value of a nation's exports compared to its imports measured over a particular period is the definition of ______.
balance of trade
A ratio analysis combines information from which two reports?
balance sheet income statement
Jamal buys a hair trimmer but realizes when he opens the package that the product does not include any information about risks or instructions for use. This infringes on Jamal's right to
be informed
business ownership - Jack's Wheels competition - market influence profits - charity donation product availability - abundant selection price - gas prices sky rocket
capitalism
If Pete was tasked with developing an organizational structure for his company, he would ______.
define the various positions in the company and their relationship to one another
The basis of Victor Vroom's expectancy theory is that motivation and effort is affected by ______.
expectations of achieving a desirable outcome
True or false: Technological advances and an increase in service exports have made it more difficult for small companies to expand their operations abroad.
false
A small business owner must deal with ongoing worries about competition, employee problems, rent increases or changing market demand. All of these are aspects of which disadvantage of small business ownership?
high stress levels
One advantage of a partnership is that ______.
it is easy to create
Flexibility for the small business owner means that ______.
it can more easily adapt to changing market demands
What is the employee organization called that represents labor in negotiations with management?
labor union
Managers who have the ability to influence employees to work toward organizational goals have the skill of _____.
leadership
What is one advantage of corporations?
limited liability
ConveyerPape: Supplying Conveyer Belts Internationally - ConveyerPape is worried about sharing proprietary information about their manufacturing process with individuals in other countries. In order to manufacture their products in another country, ConveyerPape should use
offshoring
The Uruguay Round of GATT negotiations, provided new rules to ______.
prevent dumping
____ are similar to task forces, but normally they run their operation and have total control of a specific work project.
project
Roberto, an experienced human resource manager, is hired at a company called Social Grow Inc. The company has a high turnover rate, so he is tasked with minimizing losses due to separations and transfers. Why would Social Grow Inc. want to hire Roberto to reduce the turnover rate?
recruiting new employees is easy and affordable
A company that needs to fill several positions is in the process of collecting information about applicants and using that information to make hiring decisions. What process is the company in?
selection
For the United States, importing involves the purchase of goods and services from foreign sources while exporting involves ______.
selling goods and services to foreign markets
Business ethics is defined as
the principles and standards that determine acceptable conduct in business organizations
Natural Beauty, a cosmetics company, has a business arrangement with the laboratories that manufacture their products. These suppliers allow Natural Beauty to take possession of the goods and pay for them later. In this scenario, Natural Beauty has obtained funding in the form of
trade credit
iSeeIt!: Balance of Trade and Balance of Payment - If the United States exports more goods/services than it imports, then the U.S. would have a(n)
trade surplus
Who stated that competition fosters efficiency and low prices by forcing producers to offer the best products at the most reasonable price?
Adam Smith
Safety; the right to safety, the right to be informed, the right to choose, and the right to be heard Mattel refuses to buy toys from foreign suppliers that contain lead.
Customer
Civil Rights - Desegregation Discrimination - Fair hiring practices Deceptive advertising - Consumer protection Third World sweatshops - Co.'s change labor policies Financial Mismanagement - The Sarbanes-Oxley Act Data Protection - Disruptive technologies
Ethical & Socially responsible concerns
Which of the following scenarios involving scalpers is likely to result in prices for consumers that are lower than the initial price listed by the legitimate retailer?
Scalpers purchase tickets that are undesirable to consumers, forcing the scalpers to auction the tickets at a price lower than the original price offered by the retailer.
Which of the following best describes the negative impact of ticket scalping?
Scalping decreases the availability of tickets through traditional channels, causing ticket prices to increase.
When it comes to fairness and honesty, which two actions are expected of businesses?
To follow applicable laws and regulations To avoid harming customers, employees, clients, or competitors
A description of how a particular society distributes its resources to produce goods and services is the definition of ______.
an economic system
Several restaurants in the area have started using Marie's sauce, and an increasing number of stores are carrying her sauces. This is an example of
an increase in demand.
______ is/are principles and standards that determine acceptable conduct in business
business ethics
Country A had been in economic turmoil for several years, but today people are spending more money which stimulates the production of goods and services. This has resulted in more people being employed. It can be said that Country A is now experiencing _____.
economic expansion
Jarek is short of his sales goal this month. He knows if he adds small items to his customer's orders, they most likely won't notice the small increase and then he would be able to make his goal. His only other choice is to accept he hasn't met the goal and will lose some of his commission. This exemplifies a(n) ______.
ethical issue
In some states, there are legal limits to how much a scalper can mark up the price of tickets. Which type of economy does this suggest?
modified capitalism
If the price of a product were to go down, what would happen to the quantity demanded of that product?
quantity would increase
A business's major role is to
satisfy customer needs.
Regardless of what an individual believes about a particular action, if _____ judges it to be unethical or wrong, whether correctly or not, that judgment directly affects the organization's ability to achieve its business goals.
society
Jacinta has high individual moral standards and values but the opportunity still exists for her to engage in misconduct in her company. What is one of the three key factors influencing ethical decisions that will affect Jacinta's actions?
the behavior of her managers and coworkers
Which of the following trade alliances is likely to promote economic cooperation between Australia, Russia, and Thailand?
APEC
Which two tasks are most important for a company prior to making any product?
Determine what consumers want Design the product to satisfy wants
Ming Lee got frustrated every time she tried to find a spice jar in her spice cabinet. She came up with a unique way to organize spices and is now investing her money and time developing the product to be sold to others. Ming Lee would be classified as a(n) ______.
Entrepreneur
_____ is the process of creating and managing a business to achieve desired objectives.
Entrepreneurship
What is a disadvantage of the partnership form of business?
Friction between general and limited partners
International business refers to the buying, selling, and trading of goods and services across national boundaries.
True
iSeeit!: Entering Foreign Markets - If Marco decides to buy a company in a foreign country in order to expand internationally, this would represent
a foreign subsidiary
What kind of economic system does the United States operate within?
a mixed economy
Assume that Indonesia is the only country that can produce tapestry fabrics. If this were true, then Indonesia would have a(n) _______ related to the production of these fabrics.
absolute advantage
Tammie was communicating to her employees the proper way to handle abuse in the workplace. One individual kept interjecting comments while Tammie was speaking. This behavior is known as ______ and can be a serious barrier to effective communication.
an interruption
For a small business entrepreneur, independence refers to ______.
being your own boss
The four functions of management are planning, leading, organizing, and ______.
controlling
The process of evaluating and correcting activities to keep the organization on course is known as _____.
controlling
Through _____ consumers can learn about everything they consume and use in their lives, ask questions, voice complaints, indicate preferences, and otherwise communicate about their needs and desires.
digital media
A superstore offers a sale on tumblers and travel mugs for $9.99. In this case, which of the following pricing strategies is the superstore implementing?
even/odd pricing
Warby Parker and VisionSpring's business partnership demonstrates success through its ethical business practices and commitment to corporate social responsibility. Which of the following is not one of the partnership's core business philosophies?
focusing on investors
A manufacturer made the decision to buy less expensive component parts from a supplier which resulted in the reduced quality of its products. As a result, company sales dropped and many retailers refused to carry the product line. This is an example of:
how negative judgments can affect an organization's ability to achieve its goals.
When Casey went to work at the corporate offices of Simpson Department Stores, he soon realized that 60% of the clothing the company bought to sell in the stores wasn't even made in the United States but was shipped to them from other countries. What process does Simpson Department Store use to bring this clothing to their stores?
importing
Built on an ethical standard of providing stylish eyewear at reasonable prices and creating an environment that supports ethically sound behavior, Warby Parker is demonstrating _______ ethics codes.
integrity based
A business that has a philanthropy program engages in this activity because
it wants to in order to give back.
Small businesses often require ______ money to start and maintain than do larger businesses.
less
A _____ is a group of people who have a need, purchasing power, and the desire and authority to spend money on goods, services, and ideas.
market
In a free-enterprise system, a business succeeds or fails based on ______.
market demand
The group of activities that includes creating, distributing, pricing, and promoting a good or a service is referred to as ______.
marketing
Vroom's expectancy theory states that ______.
motivation depends not only on how much a person wants something but also on the person's perception of how likely he or she is to get it
Neema works at a premium pet food company. She develops and administers the activities involved in transforming resources, such as people and raw materials, into goods ready for the marketplace. Neema is a(n) ________ manager.
productions and operations
Advertising, personal selling, publicity, and sales promotion are collectively known as the
promotion mix
iSeeIt!: Sole Proprietor - If a corporation is formed, then the owners are known as
shareholders
More than 99 percent of all U.S. firms are classified as _____ businesses.
small
A ______ is a group of employees, selected for their expertise, who come together on a temporary basis to bring about a particular change in an organization.
task force
Measuring Global Trade - Of the countries listed on the chart, the United States is closest to being in balance of trade with
the UK.
In a sole proprietorship, any debts or damages incurred by the business that cannot be paid by the business are considered personal debts and the owner must pay them. This disadvantage can be termed _____.
unlimited liability
Hasan is a full-time blogger who reviews camera equipment for professional photographers. He purchases the latest Canon DSLR camera and posts a review of the camera. This refers to
user-generated content
Manager's Hot Seat: Is Sybil's Ethics Sheet in Balance? - If Marcus decides to report the discrepancy to the public, he may be considered a(n)
whistleblower
A toy manufacturer, Tots, Inc., faced bankruptcy but did not want to be acquired by its main competitor, We Are Toys. The management of Tots, Inc. approached a more acceptable firm, Toys N' Things, which was willing to complete to acquisition instead. In this scenario, Toys N' Things is referred to as a
white knight
Tyrone needs a new laptop. He knows how much he can afford, but rather than just purchase impulsively, he is in the process of researching different models and asking his friends for their recommendations. Marketers would consider this to be Tyrone's ______.
buying behavior
Marketing focuses on a complex set of activities that must be performed to accomplish objectives and generate exchanges. What are three of these activities?
buying, selling, transporting, storing, grading, financing, marketing research and risk taking.
In what way do Vision Spring and Warby Parker participate in corporate social responsibility?
by establishing an ethical standard
Stefan has three small children and wants to buy a car that has good safety ratings. He is also in the market for a new television and as a sports-lover, he wants a large screen TV that has great definition. These two buying behaviors are a reflection of his
social roles
Electra Bikes - In order to keep its manufacturing costs down, Electra manufactures its bikes in Taiwan because it is cheaper for the company than producing the bikes in the United States. The process of contracting the production of goods to an overseas company is called
outsourcing
The contracting of manufacturing or other tasks to independent companies outside of the firm is referred to as ______.
outsourcing
iSeeit!: Entering Foreign Markets - When a company uses a different company to produce all or part of the product, this is known as
outsourcing
Javier's Jalapeno hut is the newest taco stand on campus. Javier is the owner and he employs two students to work part-time. In terms of its size, the Jalapeno hut would be considered a ______ business.
small
Honestly Organics is a skincare company that is independently owned and operated by Norma. The company is not yet a dominant competitor in the industry, but Norma hopes one day it will be. Honestly Organics employs 90 workers. Honestly Organics is an example of a(n)
small business
iSeeIt!: Managers and Leaders 1. If the director of the film makes all the decisions without input from others, then this leadership style is called 2. When the director/manager allows employees to guide themselves toward the goal, then _____________ leadership style is being used. 3. If a manager uses a free-rein leadership style, then he/she would more than likely provide the workers tools needed in order to make decisions and progress toward the goal. This is called
1. autocratic 2. free-rein 3. enabling
What is a blog?
A web-based journal
The North American Free Trade Agreement (NAFTA) went into effect in 1994 and merged which three countries into one free trade market?
Canada, The United States & Mexico
1. When John Wakoski was a teenager, he worked at his uncle's famous artisan pottery shop on weekends. 2. Jack Sampson works in a highly competitive industry. He has to make sure he knows the trends of his market, so he always offers good value and retains his competitive advantage. 3. Selena Franka chose to give all the money earned beyond the cost of running her footwear company to a charity. 4. Every summer, Janet Webber goes to the mall to buy new shorts but gets so overwhelmed by all the different styles she just wears the ones she already owns. 5. Each time there is a risk that the oil supply will decrease, or the supply does in fact decrease, gasoline prices skyrocket.
Capitalism
Steve is skilled at all of the following, but which three are considered part of his human relations skill set?
Communicates well with others Understand others' needs Relates to others
Performance appraisals are used for which three purposes?
Compensation Rewards Provide employee feedback
What two factors have given rise to consumer-generated information?
Consumers' tendencies to trust other consumers over corporations. The increase in consumers publishing their own thoughts and opinions through blogs or digital media.
Which three items are usually listed in the articles of partnership?
Contribution (money or assets) of each partner How profits will be distributed Authority and responsibility of each partner
What is a legal document that the state issues to a company based on information the company provides in the articles of incorporation?
Corporate charter
Which of the following statements relates to concerns with the national broker's social responsibility?
Cross-selling could decrease the public's sense of trust with insurance organizations.
Which are considered the four primary functions of management?
Directing Organizing Planning Controlling
What is the main information included on the tax return for a partnership?
Distribution of profits among the partners
Refer to Table 6.4 When a manager attends an awards banquet, he or she is acting in which interpersonal role?
Figurehead
According to Herzberg, hygiene factors at work would include which two items?
Good working conditions & job security
Why would a business want to make sure that its supply chain is diverse?
Having only a few suppliers could disrupt operations in the event of a disaster.
In his classical theory of motivation, Frederick Taylor proposed two things that he thought would improve worker productivity. What were they?
Job specialization Linking pay to output
Which two scenarios are examples of intellectual property?
Karina is a popular songwriter and a song she wrote for Justin Timberlake is now playing on every radio station. Juanita wrote a novel that was published last year.
What type of ratio measures the speed with which a company can turn its assets into cash in order to meet its debts?
Liquidity ratio
______ can be defined as a process designed to achieve an organization's objectives by using its resources effectively and efficiently in a changing environment.
Management
Choosing a Strategy for International Business 1. McDonald's develops different menu items for different markets. For example, the McDonald's in India does not serve beef hamburgers because in India cows are considered holy. 2. Because different cultures have different preferences for sweetness, the level of sugar is different in Coca-Cola depending on which market is being targeted. 3. By personalizing promotion messages to incorporate geographic, cultural, and societal norms in the region, Nike created a strategy to promote similar products in different markets.
Multinational Strategy
iSeeIt!: Corporate Social Responsibility - Is following a model of corporate social responsibility required? What is the rationale?
No, but many organizations seek to be a good corporate citizen to receive a positive public image.
How has digital media and the advent of online shopping affected the retail landscape?
Online shopping has led to the closing of many brick-and-mortar stores.
S corporation and LLC
Personal taxation only: This organization is taxed exactly like a partnership, with owners paying only personal taxes at the normal income tax rate.
Home Depot firmly believes that its objectives should not be limited to earning profits. The company supports its local communities through donations, employee giving, fundraising, and other activities. What stage of social responsibility is Home Depot fulfilling?
Philanthropic
The ____ Antitrust Act, passed in 1890, was put in place to prevent businesses from restraining trade and monopolizing markets.
Sherman
Which act was passed to prevent businesses from restraining trade and monopolizing markets, and condemns "every contract, combination, or conspiracy in restraint of trade"?
Sherman Antitrust Act
What has been the result of NAFTA on trade between the United States and Mexico?
Since NAFTA was initiated, trade between the United States and Mexico has dramatically increased.
What is an advantage of self-directed work teams?
They have the flexibility to change rapidly to meet the competition.
Axel finds a job listing for a public relations coordinator position. He's interested in the listing until he sees that the job description specifies that the candidate must be a woman. Axel emails the hiring manager to inquire about the job description and remind them that ________ prohibits discrimination in employment.
Title VII of the Civil Rights Act
Why are many companies hiring employees representing a diverse background?
To better serve their diverse customers
A maquiladoras is ______.
a Mexican production facility that allow U.S. companies to take advantage of lower production costs
In the United States, a salesperson bringing an expensive gift to a meeting with a prospective client is most likely an example of
a bribe
Aldovia is a country with a total national expenditure of $200 billion annually. However, the country only generates $150 billion from taxes annually. In this scenario, Aldovia is facing
a budget deficit
The advantage that exists when a country has a monopoly on producing a specific product is called ______.
absolute advantage
Legally mandated plans that try to increase job opportunities for minorities are referred to as ______.
affirmative action
The United States-Mexico-Canada Agreement replaced NAFTA and implemented major changes for what industry?
automobile
GrubHub and the Dynamic Business Environment - Which of the following is an example of a barrier due to infrastructure that could affect GrubHub's expansion into developing countries?
availability of Internet access for restaurants and customers
_____ behavior is the decision process and actions of people who purchase and use products.
buying
Huang works at Pure Athletics, a sporting goods store. The company uses an incentive system that pays him 20 percent of the sales he makes in a month. Which form of financial compensation does Huang receive?
commission
Business Ownership: Zingerman's Deli - Zingerman's initial success came from its
company reputation
Amy, a supply chain manager, makes a decision that leads to some personal financial gains, while the company incurs financial losses. What type of ethical issue is depicted in this scenario?
conflict of interest
Which social responsibility issue is associated with unsatisfied product users writing emails to companies, lobbying government agencies, making public service announcements, and boycotting reckless companies?
consumer relations
Ace Hardware has many independently-owned stores across the United States. These stores all share in the savings that result from the company buying supplies in large quantities and providing advertising for the stores. Which form of ownership does this represent?
cooperative
A state-chartered legal entity with authority to act and have liability separate from its owners is a ______.
corporation
Angelica, a manager at a company that sells collectible baby dolls, discovers employee performance has dropped. She needs to come up with a course of action that will boost employee productivity. She conducts employee surveys and holds discussions with other managers to create a list of possible courses of action for improving employee productivity. In this scenario, Angelica is ________ as a part of the decision-making process.
developing options
According to William Ouchi, Theory Z is a management philosophy that stresses ______.
employee participation in decision-making
employee ___ occurs when employees are provided with the ability to take on responsibilities and make decisions about their jobs.
empowerment
Trey has $25,000 in savings, two new laptops, two laser printers, and a variety of quality office furniture that he's using to start his new Internet auction startup business. This array of assets brought into a company is known as _____ financing because Trey is using real personal assets rather than borrowing funds from outside sources.
equity
_____ theory states that employees look for fairness in the workplace as compared to others before deciding to perform.
equity
Certification provides a public accountant with which of these rights?
express, officially, an unbiased opinion regarding the accuracy of the client's financial statements.
True or false: Quality of life is never a reason for a facility location decision.
false
Refer to Table 6.3 Liberty Engineering Corp. is contemplating opening a new plant in the Southeast United States. The company needs to know if it has the capital to make such an investment and if so, will it affect the organization's overall goals. This type of decision would fall under the responsibility of a ______ manager.
financial
Refer to Table 6.3 Which type of manager is responsible for obtaining the money needed for the successful operation of the organization?
financial managers
An informal channel of communication separate from management's formal official communications related to a job or organization that can sometimes be gossip is called a(n) ______.
grapevine
_____ reveals whether a product meets quality standards in an organization.
inspection
Elite Fashion operates several social media profiles, including Facebook, Instagram, and TikTok. Through these profiles, its customers can express their needs and wants directly to the firm in response to its marketing communications. Which of the following characteristics of digital marketing is depicted in this scenario?
interactivity
A partnership established for a specific project or for a limited time is called ___ venture.
joint
An organization that has direct two-way lines of responsibility, authority, and communication running from the top to the bottom of the organization, with all people reporting to only one supervisor is called a(n) ______ structure.
line
During an employee strike at GeoPower Energy Plant, management decides to close the plant so that employees cannot go to work because it seems less expensive to close completely. GeoPower Energy Plant is engaging in a
lockout
A manager in supply chain would work with other managers in which three areas?
logistics procurement operations
The internal use of accounting statements by managers in planning and directing the organization's activities is known as ____ accounting.
managerial
____ structure, also called a project management structure, sets up teams from different departments, thereby creating two or more intersecting lines of authority.
matrix
A firm is looking to restructure its organization into larger groups. It is deciding whether to organize its departments on the basis of geography, customer type, or product. Either way, structuring the firm in this way is utilizing the ______ structure.
multidivisional
________ is the practice of charging the highest possible price that buyers who want a product are willing to pay.
price skimming
The original intent of the Hawthorne studies was to conduct a study to correlate physical conditions in the workplace--such as the level of lighting--with worker's ______.
productivity
Marketing _____ is a systematic, objective process of gathering information about potential customers.
research
Gaby is motivated to work hard in a capitalistic society because
she wants to do well for herself.
Advances in the development of computers, cell phones, and access to broadband Internet in developing countries are examples of _____ advances that are creating global marketing opportunities.
technological
Which statement is an accurate description of S corporations?
they are taxed like a partnership
Which social media format is a hybrid of social networking and micro-blogging?
ROI; the right to a return on investment OMRON's earnings distribution policy is based on securing internal capital resources for investments to promote growth and distributing any surplus to shareholders to the maximum extent possible
Investor
What is the difference between a stakeholder and a shareholder?
Shareholders have ownership in the business, whereas stakeholders have only a vested interested.
The young woman's refusal to "tell others" about the deal triggers a question about what would be
accepted by coworkers.
The quantity of goods and services that people are willing to buy at different prices at a specific time is called:
demand
One reason that entrepreneurs in developing countries have a hard time creating and growing business is because
of government corruption
Gross domestic product (GDP) is defined as
the sum of all goods and services produced in a country during a year.
While unemployment is seen as an economic issue, it carries ethical implications when:
the unemployment gap between rich and poor is large.
The young woman's proposal seems to be ________ by company policy.
unaddressed
What are two long-term goals of the European Union (EU)?
- Improve the economic efficiency of the EU nations - Stimulate economic growth
Randy's Spray Foam Insulation Business 1. Which of the following is not an organization from which Randy should consider seeking advice and resources? 2. Randy worries that unforeseen early business experiences will cause the business to fail due to undercapitalization. Randy should consider acquiring a/an 3. While pursuing debt financing, Randy is asked to create a business plan. Which of the following is not likely to be included in the business plan? 4. Randy owns a personal computer and truck, which he plans to use for the business. In his business plan, Randy should classify these assets as a form of 5. Randy realizes that there is a national company that provides spray foam insulation for roofing, and that for a license fee, he can use the national company's logo, methods, advertising, and products. In considering purchasing the license, Randy is considering operating as a/an
1. BBB 2. line of credit 3. a list of past failures of the entrepreneur 4. equity financing 5. franchise
Hardware House: Finding Sources of Cash for Expansion 1. Which of the following best describes the ownership of Hardware House? 2. Which of the following is an advantage Doug should expect by sharing ownership with others? 3. Which of the following is a disadvantage Doug should expect by sharing ownership with others? 4. Doug has determined that the most advantageous way to acquire cash is to sell stock to public markets. Doug will need to file which of the following? 5. Doug is forming a Board of Directors to oversee Hardware House. Which of the following statements best represents a practice Doug should implement in order to insure that he attracts board members with adequate expertise and time to focus on the company?
1. Corporation 2. access to additional knowledge and expertise 3. additional government regulation 4. initial public offering 5. Only allow board members to serve on one other board.
Partnership
1. Pet Perfect: John, with an expertise in sales, and Francine, with experience in management, opened a pet shop together, sharing profits and responsibilities equally. 2. No company tax: The owners of this organization each pay taxes on the profits they receive but do not pay taxes directly.
Sole Proprietorship
1. RT Taxes: After years of preparing taxes for his extended family, Ronald began a tax-consultant business from his home office. He hires assistants as needed but does all of the management and main services himself. 2. Personal/higher rate: The owner of this organization pays taxes only on the personal level but at a higher rate than others. He or she benefits in tax-exempt accounts for retirement and profit sharing.
Launching a Business - JCF Health and Fitness 1. Which of the following organizations is an independent agency of the federal government that offers managerial and financial assistance to small businesses like JCF Health and Fitness? 2. Which of the following industries best describes JCF Health and Fitness? 3. h of the following is an advantage that Daris likely experienced by starting a small business? 4. Which of the following approaches to starting a small business did Daris use in starting JCF Health and Fitness? 5. Which of the following is not a likely trait associated with Daris as a young entrepreneur?
1. SBA 2. services 3. independence 4. starting from scratch 5. risk-aversion
iSeeit!: SWOT Analysis 1. A good way for a company to determine what it does well and what it needs to improve is to conduct a 2. The things a business currently possesses and does well are called 3. When creating a SWOT, what good is it to list out weaknesses? 4. Which items of the SWOT analysis are usually internal issues? 5. Although threats are often uncontrollable, what is the purpose of identifying them?
1. SWOT analysis. 2. strengths. 3. so the business recognizes and can try to improve those weaknesses to win over consumers 4. strengths and weaknesses 5. to try and prepare for the uncontrollable things that could impact your business
LLC (Limited Liability Company)
1. Town doctor: Dr. O'Reilly was disenchanted with the policies at the hospital where he'd worked for many years and decided to open an office on his own. He wanted his personal assets protected in case of malpractice but didn't want the hassle that comes along with traditional incorporating.
Leadership Transition at Country Packaging 1. As part of her training, Lauren reviewed the mission statement of the organization and realized it was no longer accurate given shifts in the external environment and the organization's strategy. She began to consider the components that a revised mission statement should include. Which of the following is not a question that should be answered in the new mission statement? 2. Lauren gathers a group of long-term employees to generate ideas of what elements should be included in the mission statement. Which of the following methods should Lauren use during the group discussion to generate ideas? 3. During her first few days at the organization, Lauren asks questions about what to do in case of an emergency. The human resources manager gave a very basic answer, instructing Lauren she should proceed to the nearest exit. Lauren realized there was not a set of instructions to be executed by top management in case of an emergency. In response, Lauren should develop a (an) 4. Before beginning her new position, Lauren decided that since the organization was a manufacturing organization, she should assume that the employees are unskilled and uncommitted laborers. Thus she should use a/an ____________ leadership style. After beginning her position, she realized that the employees were invaluable to the organization, as they were highly skilled with specialized knowledge that pertained directly to their organization. Thus she appropriately switched to a/an ___________ leadership style. 5. Lauren recognizes that there is not a system for measuring performance, comparing the performance back to the standards, and taking corrective action. By creating such a system, Lauren is focusing on which of the functions of management?
1. What is our annual profit? 2. brainstorming 3. crisis management plan 4. autocratic; free-reign 5. controlling
Manager's Hot Seat: Too Much Personality, Too Little Performance 1. The manager in this video is actively involved in trying to encourage his team to get the job done. This is the ________ function of management. 2. When the manager assesses the situation and determines the current plan is not producing the expected results, this is the function of 3. Riley and Trevon are both waiting on information to be provided to them by other members of the organization. In respect to position, Riley and Trevon are acting as 4. The leadership style that this manager is using appears to be more closely associated with which style of leadership? 5. If the manager just allowed Riley and Trevon to figure out their own work issues themselves without interfering, then this would be which leadership style?
1. leading 2. controlling 3. internal customers 4. participative (democratic) leadership 5. free-rein
iSeeIt!: The Four Functions of Management in Action 1. The four functions of management typically fall under the categories of 2. The four functions of management 3. If Frank makes Justin a night-shift supervisor, he would be engaging in which function of management? 4. If Frank is researching the number of customers who have gluten or wheat allergies, and then he begins to devise a strategy to cater to these individuals, Frank would be involved in 5. Frank discovers that workers on the evening shift are consistently late, so he devises a new policy in which employees are only allowed three late clock-ins before they are terminated. These actions are part of the ________ function.
1. plan, organize, lead, and control. 2. are not a step-by-step process, but rather they occur simultaneously to operate an organization. 3. organizing 4. planning 5. controlling
The Buzz about Burt's Bees 1. Which of the following best represents Quimby's approach to starting the business Burt's Bees? 2. By maintaining early ownership in the company, Quimby was able to access which of the following advantages? 3. Which of the following is a likely consequence of Quimby's decision to sell the majority of shares of Burt's Bees to AEA Investors? 4. Which of the following characteristics is not associated with young entrepreneurs like Quimby? 5. Roxanne Quimby founded the organization based on a certain set of values and gave a large portion of her wealth to land conservation. Which of the following terms best describe Quimby?
1. started from scratch 2. freedom to make decisions that match her values 3. Quimby gained access to additional sources of capital to fund future growth of Burt's Bees. 4. disorganized 5. social entrepreneur
Growth and Crisis at Marriott International 1. Which of the following is an example of downsizing at Marriott International? 2. When opening a new property, managers from Marriott International often participate at local job fairs and hold recruiting events. This is an example of which of the following? 3. Which management function are Bill Marriott and Arne Sorenson most likely to utilize? 4. When the coronavirus pandemic first began, hotels around the world likely began implementing which type of plan? 5. Managers in the Marriott Voyage program are most likely trained on which of the following functions of management?
1. the decision to furlough employees during the coronavirus pandemic 2. staffing 3. planning 4. contingency plan 5. directing and controlling
Domino's Still Rolling in the Dough 1. Domino's was originally operated as a partnership between two brothers. Which of the following was likely a disadvantage of this type of business ownership? 2. After a few years, one of the two brothers no longer wanted to be an owner of the business and sold his half of the business back to his brother. For the next few years, Domino's operated as what type of business? 3. Franchisees experience all of the following benefits except 4. Domino's stock is traded on public markets under the stock symbol (or "ticker") DPZ. Which of the following types of corporations best describe Domino's? 5. Which of the following best describes Domino's when it is doing business in nations outside the United States?
1. unlimited liability 2. sole proprietorship 3. autonomy to make decisions. 4. public corporation 5. alien corporation
iSeeIt!: Sources of Financing for a Small Business 1. If a business owner is in need of financing, he/she might consider a(n) ________________, who would invest in the business for a partial ownership stake. 2. James could also explore the possibilities of financing through a government agency that advises and assists small businesses. This organization is known as
1. venture capitalist 2. the SBA
What are three benefits of fostering and valuing workforce diversity?
Ability to better serve a diverse customer base Increased innovation and creativity Reduced conflict among employees from different backgrounds
______ skills refer to the ability to identify relevant issues and recognize their importance, understand the relationships between them, and perceive the underlying cause of the situation.
Analytical
ConveyerPape: Supplying Conveyer Belts Internationally - In order to build a manufacturing facility in China, ConveyerPape will need to work within the constraints outlined in the
Asia-pacific Economic Cooperation
In relation to the marketing environment, what are two important features of apps?
Cost savings for users Convenient for users
Potential investors study the financial statements in a company's annual report to
Determine whether the returns from the firm compare favorably with other similar companies.
Advantages and Disadvantages of Business Formation
Disadvantages of Sole Proprietorship (Limited Financial Resources) Partnership (Business Responsibility) Private Corporation (Double Taxation)
Which four activities are most often part of an orientation to a company?
Distribution of manuals Tour of the building Socializing Introduction to fellow workers
In what way does e-business differ from traditional business activities?
E-business goals are carried out through the use of the Internet.
Eventually, the EU plans to eliminate all trade barriers between ______.
EU member nations
Environment; the right to a safe environment and just compensation Costco prides itself on its salary and benefits program being among the best in hourly retail.
Employee
Standardization is characterized by what three things?
Faster quality control checks Quicker production times Reduced production costs
Choosing a Strategy for International Business 1. Like most pharmaceutical companies, Pfizer's marketing and distribution decisions are pursued in a relatively uniform way around the globe 2. Caterpillar uses a flexible automated manufacturing system. This allows a flexible range of equipment to be made on the same assembly line, allowing it to provide its full portfolio of equipment options within each market in which it operates. 3. By focusing on fewer models in more colors, Adidas is able to streamline production and promotion across markets.
Global Strategy
A ______ is a precise statement of the rationale for the business and a step-by-step explanation of how it will achieve its goals.
a business plan
In the context of the characteristics of digital marketing, control is defined as
a customer's ability to regulate the information they view as well as the rate and exposure to that information.
Tony is interested in starting a Subway sandwich shop in the Pearl district of Portland, Oregon. The license to sell another's products or use another's name in business (in this case Subway) is referred to as _____.
a franchise
Less developed countries are characterized by ______.
a low per-capita income
Alaric owns an IT consulting firm, and Tessa owns a computer store. Alaric offers to offer free IT support for 6 months in exchange for a set of new laptops. Which of the following sources of business funding does this scenario best illustrate?
bartering
Managers of most firms tend to keep debt-to-asset levels ______.
below 50%
Which of the following activities is a major intellectual property problem?
copying of software, video games, movies and music
What is a legal document that the state issues to a company based on information the company provides in the articles of incorporation?
corporate charter
General Electric is a legal entity whose assets and liabilities are separate from those of its owners. As a ________, General Electric is owned by any number of shareholders.
corporation
As a legal entity, _______ have many of the rights, duties, and powers of a person, such as the right to receive, own, and transfer property.
corporations
______ describes how marketers use digital media to find out the opinions or needs of a potential market.
crowdsourcing
Ratios that measure how much debt an organization is using relative to other sources of capital, such as owners' equity are ______ ratios.
debt utilization
Giving employees not only tasks but also the power to make commitments, use resources, and take whatever actions are necessary to carry out those tasks is the definition of ______.
delegation of authority
Starbucks wants more control and is willing to invest considerable resources in international business, so it decides to open coffee shops in a foreign country, developing and operating the new locations. This is known as
direct investment
Lloyd is a sales representative for a medical tools and devices company. He visits doctor's offices to assist the physicians in discussing the benefits of the company's products, financing arrangements, and any warranties or guarantees. The communication that takes place between Lloyd and his customers is an example of
direct selling
When a corporation pays a tax on its profits and individual stockholders each pay tax on dividends distributed by the corporation, it is called ______.
double taxation
In the commercialization step of the product development process, a company is likely to
engage marketing research specialists, engineers, and outside sources to generate ideas for a new product.
At the heart of all business is the _____, the act of giving up one thing (money, credit, labor, goods) in return for something else (goods, services, or ideas).
exchange
True or false: It is typical for an organization to only inspect work-in-process and finished items that the company produced. It is not typical to inspect purchased items.
false
What term is defined as two or more individuals who communicate with one another, share a common identity, and have a common goal?
group
Your text defines a _____ as two or more individuals who communicate with one another, share a common identity, and have a common goal.
group
Companies that practice employee empowerment use managers for ______. (Select all that apply)
guiding employees setting goals making major decisions
Becky and Carl work for a marketing firm. The two accountants discuss the organization's financial performance. Carl asks Becky, "What's the bottom line?" Becky reviews a financial report that shows the firm's profitability over the last quarter. The document Becky reviews is called the
income statement
In the context of using digital media to learn about consumers, which of the following statements is true of crowdsourcing?
it allows marketers to find out the opinion or needs of potential markets.
It is easy to start a sole proprietorship because ______.
it may only require a simple permit or license to start
Managers use the information obtained through a ________ to develop job descriptions and job specifications.
job analysis
Healthy Bee Beauty Company borrows a significant amount of money from banks and other institutions to acquire Leila's Organic Beauty. Healthy Bee Beauty Company uses the assets of Leila's Organic Beauty to guarantee repayment of the loan. This is an example of a
leveraged buyout
In the context of diverse workforces, ________ is a secondary characteristic of diversity.
marital status
Most companies use _____ to determine which goods and services to provide and the features they need to possess.
marketing research
Which three items are considered inputs to the transformation process?
materials, labor and energy
iSeeIt!: Corporate Social Responsibility - The three major factors associated with corporate social responsibility are
maximizing positive societal impact, minimizing negative societal impact, and acting in the organization's best interest in returning a profit.
The factors that go into a marketing program—product, price, distribution, and promotion—are called the marketing ____
mix
Digital marketing geared toward devices like smartphones is termed ______ marketing.
mobile
A _____ structure organizes departments into larger groups called divisions.
multidivisional
GrubHub and the Dynamic Business Environment - When operating in other countries, GrubHub uses different promotion mechanisms based on the cultural and technological characteristics associated with each country. This is an example of what type of strategy for international business.
multinational strategy
A _____ span of management exists when a manager directly supervises only a few subordinates.
narrow
Maya's company invests in land, forests, minerals, and water. These are examples of
natural resources
Rissa reviews her flower company's assets and liabilities. She considers the total value of her assets and subtracts the liabilities. Rissa calculates that the remainder would be $27,000. In this case, the amount of $27,000 represents the
net income
While large corporations must compete for large market segments, small firms can focus their efforts on a precisely defined group of customers known as a market _____ which allows them to satisfy a need that other companies have not addressed.
niche
In the context of managerial accounting, wages, material costs, and taxes are examples of
operating expenses
A manufacturing business must take resources and transform them into goods and services. The development and administration of the activities involved in this process is referred to as ______.
operations management
Managers are engaged in the ______ function of management when they review plans and determine what activities are necessary to implement them; then, divide the work into small units and assign it to specific individuals, groups, or departments.
organizing
The structuring of resources and activities to accomplish objectives in an efficient and effective manner describes the management function of ______.
organizing
A(n) _____ introduces and familiarizes a new employee with fellow workers, company procedures, and the physical property of a company.
orientation
India's comparative advantage - Because the cost of labor is low, many countries have ____ manufacturing and call center functions to India.
outsourced
What is a source of equity financing?
parties who invest in the business
A legal form of business with two or more owners is a(n) ______.
partnership
Modern Glass is releasing a first of its kind augmented reality mirror that allows people to virtually try on clothes and makeup. To enter the market and gain market share rapidly, Modern Glass is slashing the prices of its products because the company suspects competitors might enter the market shortly after the mirror is introduced. In this scenario, which of the following pricing strategies is Modern Glass using?
penetration pricing
The partnership business entity is not taxed, because each partner pays tax on the business's profits as their ______.
personal income
Last week, all of the employees at the Nice Night Hotel Group marched in front of their respective places of employment. They carried signs that said they wanted better wages and better working conditions. Which type of labor dispute does this represent?
picketing
The process of determining the organization's objectives and deciding how to accomplish them is the management function known as ______.
planning
iSeeIt!: Corporate Social Responsibility - When companies follow the key factors of Corporate Social Responsibility, a ________ usually results, thus ________.
positive public image; attracting more customers
New technologies such as electricity and railroads allowed the ______ orientation to flourish in the second half of the 19th century by allowing goods to be manufactured with increased efficiency.
production
A number of studies have found a direct relationship between social responsibility and _______ as well as a link that exists between employee commitment and customer loyalty.
profitability
teams are similar to task forces, but normally they run their operation and have total control of a specific work project.
project
Mark looks at smartwatches online at Tech Today, an electronics store, to research his options and see what is in stock. Later that day, he browses in-store at a Tech Today retail location to try on the various styles of watches. Mark uses a coupon from Tech Today's app at checkout. This exemplifies ________ retailing.
promotion
According to the USMCA, cars or trucks having 75% of its components made in one of the three nations involved in the agreement will
qualify for zero tariffs.
______ reflects the degree to which a good or service meets the demands and requirements of customers.
quality
Developing a pool of qualified applicants from which management can select employees is the task known as _____.
recruitment
Electra Bikes - When Electra decided to produce its "pedal-assist" motor bike, it had to adhere to speed regulations. The company found out, however, that safety regulations differ greatly among various countries, and it opted to use the U.S. standard which calls for a lower speed motor. This is an example of how _______ forces can affect global trade.
regulatory
Titus and Stephanie applied for a field training specialist position at a nationwide restaurant chain. Stephanie, a female candidate, was selected for the job. Titus later discovered that his qualifications and experience were better than Stephanie's, but she was hired as a part of the company's affirmative action efforts. In this case, Titus may have experienced
reverse discrimination
Wells Fargo bank was exposed when employees opened fake accounts for customers without their knowledge in order to meet lofty sales goals and earn bonuses. As demonstrated in this case, one of the principal causes of unethical behavior in organizations is
rewards for overly aggressive business objectives.
If Barrett fails to tell the couple about the policy's reoccurring fees, he is violating which of the consumer bill of rights?
right to be informed
A pharmacist stocks only one particular brand of acetaminophen, a popular pain-relief drug. Even if his customers prefer other popular brands selling the same drug, he insists they buy this brand. This is a violation of consumers'
right to choose
job _____ involves moving workers from one task to the next to make work more interesting and motivating.
rotation
When inspection tests are destructive and/or pointless to use, _____ is likely to be used in an organization.
sampling
Every time Kendra walks by Robert's desk, he whistles and says "hey babe, what's going on? and then touches her leg. Kendra is the victim of
sexual harrassment
Paper Supply Corp, manufactures paper stationary products such as paper and envelopes. To increase employee productivity, the company decides to assign each employee a single task. For example, one worker feed the paper machine, one quality checks the envelopes, and one packages finished envelopes into a box. Which of the following concepts is illustrated in this scenario?
specialization
The ______ explains how the company's cash changed from the beginning of the accounting period to the end.
statement of cash flows
Warby Parker and VisionSpring operate under a "triple bottom-line" philosophy, which takes into consideration company profits, human capital, and
the environment in which the firm operates.
McDonald's golden arches logo is an example of a
trademark
Jared was hired by Creative Auto Works because he has the knowledge and skill set desired by the company. However, Jared still needs to know the precise way the company handles all of its auto repairs and paperwork. This is accomplished through ______.
training
Accountants who follow ethical practices demonstrate integrity and are respected for their work. What characteristics would be evident in ethical accounting practices?
transparency
When supply and demand meet at the equilibrium point, prices in the market will
trend toward that price
True or false: Assessing an employee's performance is one of the most difficult tasks for managers.
true
True or false: Employees are motivated by the nature of the relationships they have with their supervisors, by the nature of their jobs, and by the characteristics of the organization.
true
True or false: In order to keep the accounting equation in balance, each business transaction must be recorded in two separate accounts.
true
True or false: In order to save the expense of maintaining various departments, small business owners may hire other firms to supply services on an as-needed basis.
true
True or false: People both inside and outside of an organization use accounting tools to evaluate organizational operations.
true
True or false: Transformation processes occur in all organizations, regardless of what the organization produces.
true
The _____ format balance sheet is newer and gaining wide acceptance. It shows assets on the top followed by liabilities and owners' equity.
vertical
Janeena, Allie, and Ricky are salespeople for a pharmaceutical company. They are individually accountable for their work and results but have the same goal as the organization—to increase sales. These salespeople are an example of a
work group
What term refers to a corporation that is owned by just one or a few people, often a family, who are closely involved in managing the business?
Private corporation
What skills are most needed by first-line managers and are least critical to top-level managers?
Technical Skills
The Just Like Home Hotel Group developed an app that allows hotel guests to check in on their smartphones. The app also lets guests make a reservation at the hotel restaurant, check what time the pool opens, and book an appointment at the spa. Creating opportunities for guests to use their smartphones for these activities demonstrates the idea of
mobile marketing
Ultra Motor Company Limited and the E-Bike - Which of the following business formation allows for the most secrecy and lack of public reporting requirements?
sole proprietorship
1. Because they always knew how much they were going to make and sell each month, the bread factory managers didn't worry about what other bread companies were doing. 2. All of the money earned beyond the cost of running the shoe manufacturing business goes to the government. 3. Because the choice is so limited and she has to buy the same sweaters that everyone else has, Penny puts a lot of time into matching things together to be funky. 4. Relative to people's incomes, the price for gasoline is quite high, so those who own cars are very conscientious about using them. 5. When Suzanna Kogan was a teenager, she worked at the state-owned bread factory where everyone in her family worked.
Communism
Jacinta has high individual moral standards and values but the opportunity still exists for her to engage in misconduct in her company. What is one of the three key factors influencing ethical decisions that will affect Jacinta's actions
The behavior of her managers and coworkers
When it comes to fairness and honesty, which two actions are expected of businesses?
To avoid harming customers, employees, clients, or competitors To follow applicable laws and regulations
An identifiable problem, situation, or opportunity that requires a person to choose between actions that may be evaluated as ethical or unethical is referred to as _______.
an ethical issue
The definition of a business is
an organization that seeks to provide goods and services to others while operating at a profit.
Gen Zennial, an innovative smartwatch manufacturer, launches a new line of high-performance sports watches. The company is willing to sell the watches at $150 each, and the consumers are also willing to buy these watches at that price. In this scenario, $150 is the ________ price of the new smartwatches made by Gen Zennial.
equilibrium
The American economy is a(n) ________ economy, or an economy in which economic activities occur between the country and the international community.
open
What is the focus for future legislative efforts regarding business conducted on the Internet?
personal privacy protection
A country may attempt to protect its own domestic industries by imposing a(n) _____, a type of tax, on imported products.
tariff
Advantages and Disadvantages of Business Formation
Advantages of Sole Proprietorship (Ease of formation) Partnership (Availability of Capital and Credit) Private Corporation (Limited Liability)
Because it is taking on department stores and big box stores, which online retailer has completely transformed the way many people shop?
Amazon
Managerial Roles - Jill Applebaum
Entrepreneur - Expand internationally Resource allocator - appropriate resources Negotiator - establish agreements Monitor - evaluate performances Disseminator - communicate vision Spokesperson - public speeches Figurehead - outline goals at meetings Leader - mobilize support Liaison - coordinate work
Which organization is considered the closest thing the world has to an international central bank?
International Monetary Fund
What is a potential benefit to a company that fosters and values workforce diversity?
Reduced conflict among employees of different ethnicities
Emerson wants to start a custom t-shirt business that sells clothing to order. He plans to operate multiple kiosks in major metropolitan areas in addition to selling online and will employ about 25 people. Which of the following agencies should Emerson approach for financial and managerial assistance?
SBA
What are three forms of equity financing?
The accumulated value in a life-insurance policy A personal laptop The savings account of the owner
iSeeit!: Entering Foreign Markets - What is a major pitfall of franchising?
The brand is at risk by franchisees who may deliver poor products.
Ultra Motor Company Limited and the E-Bike - How will Ultra Motors file taxes?
The company will file taxes as a separate entity.
Why does Kiva also provide loans to entrepreneurs in developed countries, like the United States?
The entrepreneurs are minorities or people with bad credit and cannot get a loan.
The ____ was established by the world's industrialized nations in 1946 to loan money to underdeveloped and developing countries.
World Bank
Two food delivery services merge, effectively reducing the number of corporations competing in the food delivery industry. This is an example of a(n)
horizontal merger
Carlos relates well with others, has good communication skills, and is empathetic to the needs of others. Carlos has good _____ skills.
human relations
________ skills are the ability to deal with people both inside and outside an organization.
human relations
Nelson Dairy Supply has organized a group of people from across all of the company's departments to address an internal issue related to paid time off for certain holidays. This group will be responsible for bringing about change related to this issue and it is expected to accomplish this task within six months. What type of group does this represent?
task force
A manager with ______ expertise has skills that involve specialized knowledge and training needed to perform jobs that are related to particular areas of management.
technical
_____ refers to a customer's subjective assessment of what they receive relative to costs in determining the worth of an item.
value
_____ are the financial rewards based on the number of hours an employee works.
wages
iSeeit!: SMART Goals 1. Workers often do not understand what the goals of the organization actually are, and this could be resolved by making sure goals are 2. If Martha states that the company needs to sell at least $60,000 of merchandise in the month of December, then this is 3. If Martha's employees believe they cannot meet the goal of $60,000, then there will be issues with 4. If Martha were to set a goal of selling $60,000 during the month of December, and at the same time giving workers directives to reorganize the break-room, then workers might question which of the five essential goal-accomplishment factors? 5. If Martha tells employees they need to "do a better job of selling" in the month of December, then employees might fail to accomplish this goal. Why do you think workers might fall short?
1. specific 2. specific and time bound 3. attainability 4. relevancy 5. The goal is not specific and measurable.
iSeeIt!: The Business Plan: A Roadmap to Success 1. Why should Mary Ann and Nana create a business plan? 2. What are the three main factors addressed in a business plan? 3. Which businesses need to write business plans? 4. Which section of the business plan details and outlines the authority structure that exists inside the company? 5. The section of the business plan that is designed to initially captivate and energize a potential financial investor would be the
1. to provide an overall road map of how to start the business and to attract/satisfy investors 2. goals, plans, and metrics for success 3. All businesses should write business plans to create a framework for success. 4. management plan 5. executive summary.
What are the two components of a business plan?
A step-by-step explanation of how the business will achieve its goals A precise statement of the rationale for the business
When does routing take place for operations managers?
After materials have been purchased and their use determined
What is the drawback of monopolistic competition?
Businesses find it difficult to differentiate their products from competitors.
Which organization allocates a large portion of its resources to curbing false advertising, misleading pricing, and deceptive packaging and labeling?
Federal Trade Commission
Which trade agreement, originally signed by 23 nations in 1947, provides a forum for tariff negotiations and a place where international trade problems can be discussed and resolved?
GATT
Which theory states that goals act as motivators to focus employee efforts on achieving certain performance outcomes?
Goal-setting theory
Goal-setting theory assumes what three things?
Goals help employees develop consistent behavior patterns. Goals direct employee efforts toward an outcome. Goals act as motivators.
In order to implement the marketing concept, what is essential for a business to have?
Good information about consumer desires
According to your text, ethical decisions in organizations are influenced by what three key factors?
Individual moral standards and values The influence of managers and co-workers The proportion of employees to management
_____ includes ideas and creative materials developed to solve problems, carry out applications, and educate and entertain others.
Intellectual property
Which four characteristics describe Twitter as a social networking site?
It is a hybrid of a social networking site and a micro-blogging site. It is being used by companies to build customer relationships. It allows posts with a limited number of characters. It asks users one simple question: "What's happening?"
GrubHub and the Dynamic Business Environment - Which of the following statements is true regarding GrubHub's legal obligations when operating outside the United States?
It is important for GrubHub owners to understand and obey the laws of the host country.
Marlena, the human resource manager, is putting together a package describing the new job opportunity available at her company. What resource would she use to learn about the specific tasks the job includes and the knowledge and abilities a person would need to perform the job?
Job analysis
What are three examples of benefits that provide additional compensation to employees beyond wages?
Life insurance Sick days Paid vacation
Choosing a Strategy for International Business
Multination Strategy - Mcdonalds, Coca Cola, Nike Global Strategy - Pfizer, Caterpillar, Adidas
Electra Bikes - Electra Bikes is an American brand with a global presence. Which of the following trade agreements allowed Electra Bikes to expand its business by opening a new market in Canada?
NAFTA
To avoid deception, all online communication must comply with which three factors?
Not mislead consumers Substantiate any claims Tell the truth
What type of ratios measure how effectively a firm is using its various resources to achieve profits?
Profitability
Comparing the decision-making process between large and small firms, which of the following statements is accurate?
Small businesses usually have only one layer of management that helps speed decision making.
What do studies show about the relationship between social responsibility and profitability?
Social responsibility is associated with improved business performance.
Philanthropic activities
Starbucks created the Starbucks Foundation to award grants to eligible nonprofits and to give back to its communities.
Financial and economic viability
Starbucks offers investors a healthy return on investment, including paying dividends.
Compliance with legal and regulatory requirements
Starbucks specifies in its code of conduct that payments made to foreign government officials must be lawful according to the laws of the United States and the foreign country.
Customer - Mattel Investor - OMRON Society/Environment - Bagel Works Employee - Costco
The Stakeholders Involved in Social Responsibility
Measuring Global Trade - Which of the following statements is true, according to the chart?
The US has a trade surplus with the UK.
Measuring Global Trade Consider the situation in which trade between the United States and China became balanced. Which of the following statements is true based only on the countries included in the chart?
The US would have a trade deficit.
Which organization was established in 1947 to promote trade among member nations by eliminating trade barriers and fostering financial cooperation?
The World Trade Organization
A market is defined as ______.
a group of people who have a need, purchasing power, and the desire and authority to spend money on goods, services, and ideas
________ is an example of a soft benefit provided by a company to its employees.
a pension plan
While The Fresh Burger Hut does not dominate in the fast food market, it is successful. The independently-owned company employs 155 people and operates six restaurants in Pennsylvania. The Fresh Burger Hut would be classified as
a small business
Organizations evaluate their operations through the recording, measurement, and interpretation of financial information. This process is known as _______.
accounting
What is an example of a primary characteristic of diversity?
age
Managers utilize many tools to help organize their work, including a(n) _____, which contains both specific and vague items, covering short-term goals and long-term objectives.
agenda
Which of the following would increase Marie's profit?
all of the choices are correct.
iSeeIt!: Sole Proprietor - If one owner of partnership makes a bad decision that ends up in the business being sued, then
all partners face unlimited liability.
Truzios was originally a restaurant, but is now a supplier of jarred Italian sauces. Which of the following statements is true?
as a restaurant, Truzios provided a product and a service.
To be most effective, liquidity ratios should be examined in conjunction with ______.
asset utilization ratios
Refrigerated display cases, commercial meat slicers, and walk-in cold storage units are Blank______ of Julie's Deli in downtown Portland.
assets
Diedre works at Sally's Autobody Workshop. Her main job responsibility is to record the routine, day-to-day business transactions of the firm. Based on this information, Diedre is a
bookkeeper
Heather works at Big City Bus Corp. It is her job to record the day-to-day financial transactions of the company, including paying utilities and accepting bill payments. Heather works as a _____.
bookkeeper
Which feature of Facebook allows companies to develop an advertisement quickly from a post on their timelines, select the people they would like the advertisement to target, and select the budget they want to spend?
boosted posts
The owner of a department store offers the manager of its major supplier an expensive gift to obtain a price reduction for the next consignment. Which of the following approaches is the store owner using to influence the manager's decision making?
bribery
A ______ is a precise statement of the rationale for the business and a step-by-step explanation of how it will achieve its goals.
business plan
Labor unions and management reach agreements through the process of ______.
collective bargaining
Dante works at a manufacturing plant. He has been asked by upper management to be part of a formal group that will specifically work with union laborers to address all concerns and draft company policy regarding union benefits. Dante has been asked to be part of a ______.
committee
During his interview with the human resource manager, Kent asked about the benefits the company provided. What would be one thing the HR manager might tell Kent about with regard to benefits?
company health insurance plan
France has a(n) ________ advantage in making wine because of its agricultural capabilities, reputation, and the experience of its vintners.
comparative
A person using ______ skills has the ability to think in abstract terms and see how parts fit together to form the whole.
conceptual
In order to be a quality organization, a firm must _______.
consistently produce what the customer wants
Before the owners of a corporation can establish the company's bylaws and elect a board of directors, they must receive a Blank______ from the state in which they are doing business.
corporate charter
A business' concern for the welfare of society is called
corporate social responsibility.
The situation known as "double taxation" only occurs with which form of business ownership?
corporations
ConveyerPape: Supplying Conveyer Belts Internationally - ConveyerPape wants to export to a customer in a country that imposes high tariffs on currency exchange but allows exchange of goods and services without tariff. ConveyerPape recognizes that the customer could provide services via its customer service center to fill some of the needs of ConveyerPape. In order to export to the country without encountering high tariffs, ConveyerPape should form a
countertrade agreement
Differences in spoken and written language are a(n) ______ barriers to international trade.
cultural
GrubHub and the Dynamic Business Environment - The video states that GrubHub is expanding to other countries. One concern is to make sure that instructions are clearly translated on the website, taking into account norms in different countries. This is an example of what type of barrier to international trade?
cultural
What theory is based on the idea that employees try to maintain fairness or balance between inputs and outputs as compared to others in similar positions?
equity
True or false: The FTC has different rules for online marketing than for any other form of communication or advertising.
false
True or false: Typically, traditional businesses accustomed to using print media will be able to transition to digital media with ease.
false
In order for communication to be effective in the workplace, managers need to solicit comments and criticism from employees regarding their communication messages. This input from employees is referred to as ______.
feedback
Managers should always encourage ________, even if it is negative. If this is not provided, then communication will be ineffective and can drag down overall performance.
feedback
According to Herzberg's two-factor theory, ________ factors include adequate wages, working conditions, and job security.
hygiene
What are two commonly-known financial statements a company would use?
income statement balance sheet
Which of the following forms of market coverage is most likely to be used to distribute convenience items?
intensive distribution
Smaller firms based in the United States can learn more about international business opportunities from the work done by CIBERs which are located at Blank______.
leading business schools in the United States
India's comparative advantage - A recent change in Indian law allows some foreign retailers to operate in India without partnering with an Indian company. This represents a lowering of ________ to international trade.
legal barriers
Which of the following is one of the shortcomings experienced by franchisees in a franchise arrangement?
less freedom in business decisions
a structure has a clear chain of command, which enables managers to make decisions quickly. A mid-level manager facing a decision must consult only one person, his or her immediate supervisor.
line
Jim is working on starting his own small business catering to the nutritional needs of large, mature dogs that live in tiny, inner-city spaces without opportunity for exercise. His small, specific group of customers is his ______.
market niche
Casey is responsible for planning, pricing, and promoting products at a consumer electronic goods company. He is also responsible for making them available to customers through distribution. Casey is a(n) ________ manager.
marketing
The team members at a car factory are each given a single task. For instance, one person attaches the tires, one person installs the brake lights, and one person shines the interior. The team has expressed to management that they are bored and unsatisfied with their work. Their complaints go ignored, and over time their unhappiness leads to poor quality work. What issue is at play in this scenario?
overspecialization
A business that is marked by quick decision making, ease of organization, availability of capital and credit, and combined knowledge and skills is most likely a(n)
partnership
Data used by investors to compare the performance of one company with another on an equal, per share basis is the definition of ______.
per share data
Which psychological factor is the process by which a person selects, organizes, and interprets information received from his or her sense, as when experiencing an advertisement or touching a product to better understand it?
perception
Water, food, shelter, and clothing are essential for life and are considered _____ needs by Maslow.
physiological
After working for years at one of the big accounting firms, Joslyn has decided to go into business for herself. She has opened up her own accounting and tax preparation firm. While she is the only accountant right now, Joslyn hopes to hire more people in the future. Joslyn's business can be defined as a ______.
sole proprietorship
What are two ways companies can use the grapevine to their advantage?
soliciting feedback and reacting accordingly using it to float ideas
Manager's Hot Seat: Is Sybil's Ethics Sheet in Balance? - If Marcus is only following orders to avoid a workplace disruption, he
still could face legal consequences for his involvement in the matter.
Hewlett Packard, Dell, and Lenovo are all companies that have been affected by competition stemming from ______ advances in developing countries.
technological
The arrangement or relationship of positions within an organization is referred to as ______.
the organizational structure
ConveyerPape: Supplying Conveyer Belts Internationally - In some very small countries, ConveyerPape recognizes that the cost of navigating the legal system and establishing a distribution channel is more than the potential profit. Still, ConveyerPape would like to provide conveyer belts to some established customers operating in the country. ConveyerPape should consider utilizing a
trading company
Mei lives in a country where she is free to keep profits from her business and use them as she wishes, within legal limits. What type of economy is this?
capitalist
Which form of competition is the most common?
monopolistic competition
If a buyer has an almost unlimited selection of products that are very difficult to differentiate between, this represents ____________ competition.
perfect
An example of an oligopoly would be
the automobile industry
Which issue resulting from factory closures can be considered an ethical issue because of the repercussions it has on other businesses—mainly in the loss of sales?
unemployment
True or false: Artificial Intelligence is having a significant impact on workplace monitoring.
ture
iSeeIt!: Sole Proprietor - If a sole proprietor is found negligent of an action, then that person could face
unlimited liability
ISO 9000 is designed in part to ______.
provide a framework for documenting how a business tests products and fixes defects
Restaurants, boutiques, and hardware stores are examples of ______.
retailers
The baby boomer generation is very important to small business due to its large size of approximately ______ Americans.
75 million
1. Sole Proprietorship 2. Partnership 3. Corporation 4. S Corporation 5. LLC
1. (company-RT Taxes/Taxation Type - Personal/higher rate) 2. (company-Pet Perfect/Taxation Type-No company tax) 3. (company-I Scream Inc/Taxation Type-Double Taxation) 4. (company-JoyPass/Taxation Type-personal taxation only) 5. (company-Town Doctor/Taxation Type-Personal taxation only)
Entrepreneurs Reinvent Pizza 1. Which of the following does not represent a reason that the pizza business is a new opportunity for entrepreneurs? 2. Papa John's strategy to pursue breakfast pizza is an example of 3. Darren is preparing to graduate college and has dreams of opening a pizza chain focused on healthy ingredients. Darren has no money, few possessions, little credit, and does not have family members in a position to loan him money. Darren should try to fund his business through 4. Darren decides to start his pizza business by purchasing a franchise from a larger chain. Which of the following is not an advantage Darren will likely experience? 5. The case describes a shift in customer preference towards healthier and local options. This represents which of the following changing trends?
1. As pizza continues to rise in popularity, entrepreneurs can open more stores. 2. intrapreneurship 3. venture capitalist 4. Darren will have the freedom to create his own pizza style. 5. demographic
Corporation
1. I Scream Inc.: A group of friends began an ice cream factory. Because there was a certain amount of risk in whether it would succeed, the friends didn't want to lose their homes over it—plus they wanted those who helped with the startup costs to have a share of the profits. 2. Double taxation: Since this organization's profits are taxed on the company level and again when the dividends are passed on to shareholders, they are in essence paying taxes twice on the same income.
According to the U.S. Census Bureau, minorities will be the majority in the United States by:
2044
What are two characteristics of centralized organizations?
Authority is concentrated at the top levels of the organization. Most daily and routine procedures is delegated to the lowest levels.
Ultra Motor Company Limited and the E-Bike - If Ultra Motors needs to raise funds to grow the business, it can
become a public corporation.
The ________ identifies risk areas for online communication and provides warnings to consumers as misconduct is reported.
FTC
The SBA has organized _____ on almost 500 university and college campuses in the United States in which seniors, graduate students, and faculty provide onsite management counseling.
SBI's
The SBA is the government agency that advises and assists small businesses by providing which three services?
Training for owner(s) and their employees Management assistance Consulting on improving operations
Which of the following activities is associated with the risk-taking function of wholesaling?
assuming responsibility for theft, product obsolescence and excess inventories
To obtain ISO 9000 certification, an independent _____ must verify that a business's factory, laboratory, or office meets quality standards.
auditor
What device, stored on a computer, allows website operators to track how often a user visits a site, what he or she looks at while there, and in what sequence?
cookie
A business owned and controlled through pooled resources by the people who use it is a(n) ______.
cooperative
iSeeIt!: Balance of Trade and Balance of Payment - The economic goal for most nations is to achieve a(n)
favorable balance of trade
Functions of _____ include buying, selling, transporting, and storing goods for an organization in order to accomplish objectives and generate exchanges.
marketing
Employees at the Mercury Group have been using work-time as personal time by playing video games on their computers and checking their social media. The company has decided to implement a policy in which employees must sign an agreement that states they will limit their personal time on their computers to their lunch hours. This agreement represents how this company is
monitoring employee communications
Splendid Grocers shares a weekly audio file with consumers that can be downloaded from the Internet. The weekly audio segment educates listeners on seasonal produce. Subscribers receive the audio file on their smartphone automatically via an app as soon as it is available and can listen when and where they choose. This audio file refers to a
podcast
iSeeIt!: Corporate Social Responsibility - If Martha were to add recycling containers inside her store for her customers, this would
probably end up costing her more money and time but could result in more satisfied customers and future profitability.
A business tries to earn a profit by providing ________, goods or services with both tangible and intangible characteristics that provide satisfaction and benefits.
products
A set of expectations for individuals based on some position they occupy are known as _____
social roles
Even though Joe's Vegetarian Cuisine hired qualified, educated chefs, the restaurant chain still must make sure they know how to do the specific job tasks required at Joe's. This takes place during _______.
training
The USMCA created changes for the agricultural industry, as well as intellectual property rights.
true; USMCA created changes for agricultural products, intellectual property, copyrights, and digital trade between the three countries.
Josephine hires a new human resource manager. She tells the new manager that the company has a problem with employees quitting and needing to be replaced. Josephine is referring to
turnover
Lost productivity in the vacated job and an increase in the costs and time to find a new employee are side effects of ______ in an organization.
turnover
When employees quit or are fired from an organization and must be replaced by new employees it is referred to as ______.
turnover
Which of these basic questions will be answered by a well-developed mission statement?
what is our operating philosophy?
