FOB final review

Which of the following statements is correct regarding team conflict?

It often improves team performance.

Yvonne's job is to coordinate the flow of raw materials from suppliers to her company's various production facilities. Which of the following best describes what Yvonne does?.

Logistics

Al makes a point of turning off the lights in his office when he's not using it because it saves his company money and saves energy for the environment. Which stage of ethical development is Al in?

Post-conventional

Katsuko decides not to take office supplies home because she fears she'll be fired if she's caught since it's against company rules. Which stage of ethical development is Katsuko in?

Preconventional

Which of the following pricing objectives has the most influence on Rolex's pricing strategy?

Prestige

Coke, Diet Coke, Cherry Coke, Coke Zero, and Coke with Lime constitute Coca Cola's _____ of soft drinks.

Product line

________ is the use of people and machinery to convert materials into finished goods or services.

Production

The four responsibilities to the general public are:

Public health issues, Protecting the environment, Developing the quality of the workforce, Corporate philanthropy

When a pharmaceutical company uses the phrase "ask your doctor" in its ads, the company is using a _____ strategy to appeal directly to the public instead of physicians alone.

Pulling

What is the first step a company should do when responding to a crisis?

Respond quickly with a prepared statement

Rachael is developing a new product and is working with specialists from her organization to eliminate ideas that cannot be developed within the company's resources. Rachael is in what stage of product development?

Screening

In the process of a retailer deciding where to locate a new store, Juan is analyzing census data on household characteristics. What type of data is Juan using?

Secondary data

Carlos routinely bids on contracts even though most of the other bidders are extremely large firms. Carlos believes his company offers better service at lower prices. Which of the following personality traits, common in entrepreneurs, does Carlos exhibit?

Self-confidence

Compact disc players, introduced in the early 1980s, were frequently over $2,000. Today disc players can be purchased for less than $100. The early compact disk marketers were using which of the following pricing strategies?

Skimming pricing

All of the following statements concerning team size are correct EXCEPT:

Small teams make the most demands on team leaders

Olivia owns a store that prepares gourmet chocolates, which are hand-made and sold on the premises. What type of product is Olivia selling?

Specialty

The board of directors of a corporation is elected by the ________.

Stockholders

Which stage of team development is marked by conflicts over the team's mission and the roles of team members?

Storming stage

Mario is part of a strategic planning team. He has identified that his company is the low-cost producer in its industry. This should be listed on a SWOT analysis as a ________.

Strength

Which of the following would present a challenge for a just-in-time (JIT) inventory system?

Sudden increase in demand

Which production system combines a number of raw materials or parts into a finished product, or changes raw materials into completely different finished products?

Synthetic

For today's managers, which of the following is LEAST important?

The ability to work by strict rules

Place utility is created ________.

by having the good or service available at a convenient location when the consumer wants to buy it

Technology, tools, information, and physical facilities for the operation of a business are called ________.

capital

Maria is campaigning for the city council's initiative related to general public safety. She talks to the public about their concerns. Maria is engaged in _____ marketing.

cause

Ben and Jerry had an idea for a different type of ice cream. They struggled to open their own small business, and later, to expand production and distribution. Their products are distributed nationwide and their sales continue to increase. Ben and Jerry are examples of ________.

classic entrepreneurs

Cosette's marketing team disagrees on the way to advertise a product based on their past experiences. However, all members are attempting to work through their differences to produce an effective marketing strategy. Cosette's team is experiencing _____conflict.

cognitive

Jana's firm allows her to work four 10-hour days each week. This type of flexible work arrangement is known as:

compressed workweek

The process that enables engineers to design parts and buildings on computer screens is _________.

computer-aided design (CAD)

Goods and services such as haircuts, GPS systems, and computers that are purchased for end users are examples of _____.

consumer products

Minnesota & Iowa Railway has plans in place to reroute trains in the event that floods or other natural disasters close some of the railroad's tracks. This is an example of ______ planning.

contingency

Products that consumers purchase frequently, immediately, and with little effort are _____.

convenience goods

Which of the following best describes an entrepreneur?

A risk taker who seeks a profitable opportunity

Jim stops at the local convenience store to buy a six-pack of beer. He wants Miller Lite, but if the store does not carry it, he will settle for Bud Light. Jim is at which stage of brand loyalty?

Brand preference

Which of the following is a major consideration in selecting a business idea?

Find something you love to do and are good at doing.

Antonio is able to select the type of benefits he receives by choosing from a list of possibilities including health insurance, dental and vision plans, and life and disability. This type of "cafeteria" plan is called a ________ benefits plan.

Flexible

In which stage do profits generally first appear?

Growth stage

Which of the following statements is correct regarding stock option plans?

If the stock price increases, employees are likely to exercise their option to purchase the stock.

A product line is a group of _____ products marked by physical _____.

related; similarities

Nurturing long-term customer loyalty by gathering knowledge of customer needs and preferences is an approach known as ________.

relationship management

Happy Times, a newly formed singles organization, aims its promotions toward singles between the ages of 25 and 40 who reside in Travis County. Happy Times has __________.

selected a target market

A formal procedure that identifies and evaluates all company activities relating to social issues is known as a ________.

social audit

When management considers social and economic issues in decision making, the company is practicing ________.

social responsibility

Although ______ are the most common type of business ownership, the greatest revenues come from ______.

sole proprietorships, corporations

When Walgreens puts its own line of cough syrup on the shelf next to Robitussin, Walgreens is promoting its ________ brand.

store

Accountants think of profits as:

the difference between a firm's revenues and the expenses incurred in generating them

If you did a breakeven analysis for your firm, it would be possible for you to show management the point at which _____.

the level of sales will cover all of the company's costs

Owing to the vast devastation caused by hurricane Harvey, Kraft, a food company, decided to supply its 1,000 cartons of food products for free to the affected region. This is an example of _____.

corporate philanthropy

Miguel is a research specialist in a marketing division. He is working on a project that involves searching through customer files to detect spending patterns or trends that his company could target to increase sales. Miguel is ________.

data mining

To be successful in the private enterprise system, firms must ________.

find a basis for competitive differentiation

Anita established a corporation in Nebraska, but she recently moved to Colorado where she now conducts her business. What type of corporation does Anita own?

foreign corporation

Distribution contributes to all of the following types of utility EXCEPT _____.

form

Greg buys a McDonald's franchise. Greg is the ________ and ________ for McDonald's.

franchisee; does not work

Dimitri is scheduled for a 360-degree performance review at Finnacle Corp. The advantage of this type of review is that:

it gathers feedback from multiple perspectives.

Jane, who has two toddlers at home, and Tanya, who attends college during the day, work for a company that has allowed them to divide the tasks of a project, which would normally be assigned to one person, between themselves. This is an example of _____.

job sharing

The organizational structure based on a direct flow of authority from the top manager to subordinates is the ________ organization.

line

The concept of branding first emerged during the ________.

marketing era

Which of the following is an overall objective of the human resource management department?

maximizing employee effectiveness in the organization

Which level of management includes job titles such as general manager, division manager, or plant manager?

middle management

Diverse employee teams tend to perform ________ and develop ________ than do homogenous employee groups.

more effectively; better solutions

The factors of production in an economic system are ________.

natural resources, human resources, capital, and entrepreneurship

Deni uses lots of gestures and facial expressions when communicating. These are examples of _____________ communication.

nonverbal

A company is introducing a new product so it mails out flyers to prospective customers and includes a cents-off coupon. This is part of a ___________.

promotional campaign

Desmond is developing several different marketing strategies based on target markets that differ in terms of lifestyles. He is segmenting the overall market by ___________.

psychographics

List and describe the four stages of the product life cycle. b. Discuss how Ben and Jerry's marketing decisions changed as the product entered the maturity stage of the life cycle. Use specific product, pricing, distribution or promotional decisions to support your answer.

1. introduction- when a product is introduced into the market for the first time. This is when a company attempts to promote and advertise the product as much as possible. 2. growth- this stage is when the company starts seeing real profits. This moves the company into the stages of growing and expanding its sale area. 3. maturity- when a company is at the peak of its success. This is when a company has solidified itself in the market. 4. decline- this stage is when a company begins to fall off the spectrum usually due to competitors or the product has lost its value/usefulness. b. Ben and Jerry did a great job at making their core product different and creative, which attributed to its large margin of success in their beginning stages. What set B&J overtop was when they decided to change to design of their ice cream carton to something that stood out to the eye much more. This helped them get an extra push in sales, as well as gave them leverage to promote their newly designed product.

Marketing segmentation is the process of dividing a market into groups with relatively similar needs. List and describe the four methods of segmenting consumer markets. b. Which segmentation method best describes how Ben and Jerry's thought about segmenting the superpremium ice cream market (remember that ALL superpremium ice creams have high butterfat and low overrun)?

1.) Demographic- This method is used to aim a product to a market based on age, gender, level of education, etc. This is something B&J took into account when looking for their first site because they wanted a college student demographic. 2.) Geographic- This is the easiest to identify for those seeking a place to have their business. This refers to the postal code, city, region, etc. of a market. B&J took this into account as well as they wanted a warmed weather location. 3.) Behavioral- This refers to the spending and purchasing habits of a population. This can give markets an understanding of people that spend more and are more loyal to brands. 4.)Psychographic- This refers to the lifestyle and beliefs of a population. This can gauge what is sought after in a certain area or what is not accepted. b.) A couple of these examples B&J exercised but the one that benefited the duo the most was the demographic segmentation. B&J were able to gain traction very quickly for their product due to the many young people that would come in and love their product. This also helped spread the work quicker about B&J.

Which of the following is both a consumer product and a business product?

A checking account

Which firm would be LEAST likely to select a plant location based on proximity to raw materials?

A computer manufacturer

Macrozine Inc. provides support for employees faced with ethical dilemmas. An ethics compliance officer is available in the Human Resources office or through an employee hotline. This is an example of ethical _____.

Action

All of the following statements are correct EXCEPT:

Business includes nonprofit organizations that provide services to the public.

Amazon.com keeps track of goods its customers have ordered (books, movies, household items, etc.). When a returning customer logs onto Amazon.com, the site creates list of recommendations based on the customer's purchasing history. How is Amazon.com segmenting the market?

By product

Catherine is a diabetes educator at a local clinic. Recently she was offered a lavish trip by a sales rep who has been pushing the clinic to use his company's diabetes supplies. Catherine declined the gift. Which ethical challenge did she face?

Conflict of interest

________ refers to the actions of consumers directly involved in obtaining, using, and disposing of products, and the decisions that precede and follow these actions.

Consumer Behavior

_____ is responsible for moving goods and services from producers to buyers.

Distribution

Which of the following statements is correct?

Doing what is right can sometimes be difficult.

Which of the following is often a negative result of downsizing?

Employee morale declines

Kumar is trying to promote the cohesiveness of his team. Which of the following would LEAST likely improve his team's cohesiveness?

Encourage his team members to work from home

Explain Maslow's hierarchy of needs model and how an individual is motivated at each level. b. Provide an example of how companies try to meet each need level for their employees. c. What can you conclude from this?

Maslow stated that each of us is motivated by unfilled, ascending needs. The lowest level needs are physical—food, shelter, and basic clothing. Once these needs are satisfied, they no longer act as motivators, but a new, higher level of needs (safety) act as the next level of motivators. Social needs are on the next level and are followed by esteem needs. The highest level is self-actualization.

Greta has been analyzing the competitive standings of one of her products. Since Greta began her operation, 20 similar products have appeared, forcing her to change distribution strategies. Greta has also needed to change pricing strategies in order to remain competitive. Sales volume has dipped, and she suspects sales of her product have reached a saturation level. At what stage of the product life cycle is this item?

Maturity stage

Which federal agency is responsible for setting workplace health and safety standards?

OSHA

Pure Products is introducing a new paper coffee filter that can be washed and reused ten times. Pure Products expects that competitors will come out with similar products within a short period of time. Which pricing strategy will enable Pure Products to discourage competitors?

Penetration pricing

Intensive distribution is a strategy used by the marketers of which of the following products?

Pepsi soft drinks

Damien is working on a project where he needs to anticipate future events and conditions, as well as avoid costly mistakes. Damien is engaged in the ________ managerial function.

Planning

Describe the three basic skills necessary for managerial success.

The three basic skills are human skills, technical skills, and conceptual skills. Human skills are needed at all levels of management and allow managers to work effectively with and through people. These skills include leadership, motivation, and communication. Technical skills are most critical for first-line supervisors because they interact with non-managerial employees who must operate and explain machinery and computers. Conceptual skills are particularly important for top management who must develop long-range plans for the future. It allows them to see the overall importance of each function of the company.

Malcolm, manager of a purchasing department, keeps a close watch on his employees to make sure they don't extend their work breaks beyond the 15-minute time allotment. Malcolm would be described as a ________ manager.

Theory X

Which of the following statements best describes how entrepreneurs view failure?

They view failure as a learning experience

The primary reasons people become entrepreneurs include all EXCEPT which one of the following reasons?

To create employment opportunities for other people

The automobile manufacturer Ford offers a version of its F-150 truck called the Harley Davidson edition. This is an example of ___________.

a co-branded product

All of the following statements concerning pricing are correct EXCEPT _____.

a company has to cut prices in order to increase market share

Margaret is the owner-manager of a 24-hour convenience store. When she first opened the business, she employed only four people, and it was easy to manage the store through informal means. The store experienced rapid growth and is now a six-unit chain. Margaret is now trying to manage 30 employees and coordinate operations in the same manner as when she first opened the business. She is frustrated and feels that her business is "out of control." What Margaret needs is ________.

a formal organization structure

Franchising offers all of the following advantages EXCEPT ________.

a guaranteed level of profitability

Companies use ________ to focus on a specific consumer market by combining product, distribution, promotion, and pricing strategies.

a marketing mix

A university offers its alumni a special Visa card with the university's logo printed on the front. Each time the cardholder uses the card, the university receives a small percentage of the amount charged. This is an example of _____.

an affinity program

Lisa is trying to start a new business. A women's business network puts her in touch with an investor who is willing to invest in her company in exchange for an equity stake. This investor is a _________.

angel investor

When a company establishes a code of conduct for employees, the company is utilizing ethical ________ to assist workers in identifying ethical problems when they occur.

awareness

Marketing intermediaries include _____.

both wholesalers and retailers

Maria is the owner of a very small technology start-up. She shares clerical staff, computers, and other business services with other small business owners. Maria is part of a:

business incubator

Simone is opening a home health care business that she knows will do well in her community. She makes this assumption based on prior research. Although she must repay borrowed funds, Simone chooses _____ to maintain complete control over the business without having to answer to investors or partners.

debt financing

All of the following are primary tasks of production managers EXCEPT __________.

determining what products to produce

All of the following are examples of external communications EXCEPT:

e-mails sent to sales representatives

David is the head chef in a restaurant and has decided to increase the number of tasks performed by the kitchen staff. The added tasks do not result in increased challenge or authority. David's efforts are called job ________.

enlargement

Waste Disposal, Inc. wants to build a landfill in northern Williamson County. The company must conduct a ________ study, which includes analyzing the effect the landfill might have on the water supply, air conditions, and wildlife.

environmental impact

Mercedes-Benz is an example of a company that benefits from the added value of its successful name. This brand ________ can result in financial gain due to large market shares and decreased price sensitivity.

equity

Alex invests personal funds in his new venture along with the money supplied by Deccan Corp., the co-owner of his start-up. This type of funding is known as _____.

equity financing

The Tour of Hope is a cross-country bike tour designed to raise awareness about cancer clinical trials. Dasani bottled water is one of the sponsors, which enables the company to utilize ________ marketing

event

In an organization with a strong culture, ________.

everyone knows and supports the same objectives

A strategy that promotes environmentally friendly products and production methods is called ________.

green marketing

Persuasive advertising is used in the ________ stages of the product life cycle.

growth and maturity

In which stage of the product life cycle do competitors enter the field with similar offerings?

growth stage

Chloe and Lawrence are opening a new spa and have a very limited marketing budget. They decide to utilize ________ by offering half-price chair massages outside a corporate office lobby to attract new customers.

guerrilla marketing

United Airlines' purchase of Continental Airlines combines the resources and capabilities of both firms to create the world's largest airline. The newly formed company is an example of a _____________.

horizontal merger

First-line managers interact continuously with members of the work team. Therefore, they must possess effective ________ skills.

human

Which of the following is NOT a reason for outsourcing?

improving internal management controls

Many businesses fail during the early years because of ________.

inadequate financing

Procter & Gamble markets laundry soap with the brand names of Tide, Cheer, and Dash. Each brand targets a specific market segment. Procter & Gamble is utilizing ________ branding.

individual

Chris and Ingrid like to send e-mail back and forth discussing their families and work-related issues. They are engaging in ________ and ________ communication.

informal; written

Aidan is tired of doing his laundry at the local laundromat and would like to buy a washer and dryer for his apartment. He notices that an online retail store is having a half-price sale. Aidan is at what step of the consumer behavior process?

information search

Leadership is most often associated with the ability to ________.

inspire others toward high levels of achievement

Production with the _______ process describes a manufacturing operation in which the production run is short and machines are shut down frequently or changed in order to produce different products.

intermittent

Esperanza is reviewing data that shows sales of her company's products during specific hours of each day. What kind of data is Esperanza reviewing?

internal data

Businesses have responsibilities to _____.

investors, customers, employees, and society

Valerie manages the finance department at her company, and she discovers that one of her employees is performing poorly and letting coworkers pick up the slack. Valerie knows that resentment is building, so after an initial write-up, she proceeds with a _____ of the employee.

involuntary turnover

The Georgetown Public Library provides a wide variety of library services to its neighborhood. It also provides free online support to its members, and any fee collected from its members goes directly to support the library. The library is an example of a _____.

not-for-profit organization

Chris is allowed to purchase a reasonably priced notebook computer for graduation. He sees one in Best Buy for $999.99 and calls his parents to assure them he's spending "less than a thousand." Both Chris and Best Buy are using ________ to downplay the price of the computer.

odd pricing

An acquisition occurs when _____.

one company purchases the property and assumes the obligations of another company

Some companies are replacing classroom training with computer-based and online training programs because these programs offer all of the following advantages EXCEPT ________.

online training programs are less difficult

Karl is a member of his firm's strategic planning team. He has identified several untapped markets that exist in other countries. In a SWOT analysis, his observation should be listed as a _____.

opportunity

Management is the process of achieving ________ through people and other resources.

organizational objectives

When a business employs an outside company to handle all customer correspondence and phone calls, the business is ________ its customer service department.

outsourcing

When Toyota was faced with serious quality problems and was forced to recall thousands of vehicles, the company quickly formed a temporary group of employees to brainstorm the problem. This is an example of a _______ team.

problem-solving

Volkswagen owns several automobile divisions including Volkswagen, Audi, Bentley, Bugatti, Lamborghini, Porsche, SEAT and Skoda. This constitutes Volkswagen's ________.

product mix

In the U.S. economy, ________ are considered the reward for the risk of entering business.

profits

Morgan is the manager of a local Best Buy and has put up signs promoting the store's weekly sale products. Morgan's assignment would be classified as a ________.

programmed decision

The complete sequence of suppliers that contribute to creating and delivering a good or service is called _____.

the supply chain

Which of the following is a concern about performance appraisals?

they may be skewed in favor of a single manager's subjective opinion

DAM Inc. is a cell phone service provider that offers 3G services. A new entrant in the market that offers 4G services is most likely to be a _____ to DAM Inc.

threat

Lucia is a chief financial officer in a large corporation. Her responsibilities include the full financial authority to make appropriations and authorize expenditures. Lucia is likely to be a member of ________ management.

top

Autocratic leaders have all of the following characteristics EXCEPT ________.

two-way communication

An overall idea for how to convert a business idea into a success is called _____.

vision

Mike was a foreman at Hi-Way Construction and discovered his company was deliberately using faulty materials for a project. Although Mike was worried about his family's financial security if he lost his job, he went to authorities and informed them of the potentially dangerous construction. Mike's action is called ________.

whistle-blowing