MGT 351 Exam 1

A company can act ethically toward employees and meet their expectations by

creating an occupational structure that fairly and equitably rewards organization members for their contributions.

When performing the managerial task of planning, managers

decide which goals the organization will pursue and what strategies will achieve those goals.

Huan, a manager, is working with her company's labor union to reach an agreement about pay increases and benefits for her employees. She is performing the role of negotiator, which is a(n) _______ responsibility, according to Mintzberg.

decisional

What factor played an important role in speeding up globalization?

declining barriers to trade and investment that eased the flow of capital throughout the world

Managers at a well-known company sold their stock in advance of other shareholders because they knew that their company's performance was about to fall. This demonstrates the _______ approach to social responsibility.

defensive

Susan often defends unpopular or opposing alternatives for the sake of argument when discussing an issue. Susan is demonstrating

devil's advocacy

A local bike shop offers free tune-ups and simple repairs for any bike purchased there and even provides free pickup and delivery service for local customers. The shop is able to provide these exclusive services by selling its bikes at a premium price. The shop is following a _______ strategy.

differentiation

Madelyn informs employees about changes taking place in the external and internal environments that affect the sales of the company's products. She explains how the changes will also affect them and the organization. According to Mintzberg, she is playing the role of a(n)

disseminator

Gemstone designs and creates luxury items like jewelry and hair accessories. It sells its merchandise only through Francone's, a multinational retail store. Francone's acts as Gemstone's

distributor

Gail is responsible for overseeing her company's anonymous tip line used by employees to share concerns regarding discriminatory behavior in the workplace. Being a _______, she ensures that all calls are recorded and timely action is taken to correct the behaviors.

disturbance handler

Mel knows that the hair-styling business is highly competitive and new trends are constantly emerging, so she regularly provides training for her stylists, so they not only keep up with the latest hairstyles and techniques but are also able to provide new services to their customers. This, according to Teece, demonstrates the business's

dynamic capabilities.

Every day Isaiah is finding it difficult to focus on his job due to insulting remarks regarding his gender identity and derogatory slurs from his coworkers. He is considering quitting his job. Isaiah is experiencing

hostile work environment harassment.

A mobile phone manufacturer redesigning a phone to improve ergonomics and enhance styling is an example of quantum product innovation.

false

According to total quality management philosophy, the managers responsible for engineering and quality control are responsible for defining quality.

false

As part of his company's materials management function, Juan is responsible for assembling newly purchased bicycles and performing repairs.

false

Good value chain management requires that marketing managers focus primarily on the type of products the company makes.

false

Implementing a successful TQM program requires functions within the value chain to operate independently, ensuring optimization and focus within each function.

false

Inputs from an organization's members are sufficient for successful product development.

false

Maria is a member of a trade group that has a code of ethics, otherwise known as organizational ethics, for its members to follow.

false

Quantum product innovation results in improvements and refinements of products over time as existing technologies are perfected and managers gain experience performing value chain activities.

false

Corey, a project manager, is responsible for tracking project issues. Each week, he provides details regarding the effectiveness of solutions and what experiences could be used to guide improved issue resolution in the future. Corey's reporting is an example of the _______ step of the decision-making process.

feedback

As a manager who is high on the extraversion continuum, Farid is likely to

feel good about himself and other people.

Complex, difficult-to-move products are often produced using a _______ layout.

fixed-position

Celia is part of the team responsible for providing human resource planning and services for the rest of the company. Her team would be considered _______ managers.

functional-level

When encouraging creativity via the nominal group technique,

group members write down their ideas before sharing them with the group.

Members of a self-managed team often

have some responsibility for hiring, ordering materials, and managing schedules.

When deciding on the catering budget for her upcoming wedding, Kris was told that typically around 10% of invited guests usually decline. Kris is using a(n) _______ to simplify her decision making.

heuristic

A company with a high level of efficiency and a low level of effectiveness is most likely to produce a

high-quality product that customers do not want.

Whenever Nalini goes to the warehouse to pick up time sheets, she is confronted with whistles and lewd comments from male coworkers, making her uncomfortable. What type of environment is this?

hostile work environment

Joan has been working in a bicycle factory for several months. The assembly process requires multiple tasks, and Joan's supervisor assigns her to apply the custom paint and add the decals. Adding the decals requires perfection, and Joan does it quickly and always performs the task well, so her supervisor decides to keep her in this position. This is an example of

job specialization.

Ten of 123 Corporation's employees met to brainstorm how to make the company run more smoothly. As each employee threw out an idea, the rest of the group would critique it, holding to the correct way to brainstorm.

False

Shia makes some changes in the production process to ensure employees can perform tasks without endangering their health and safety. Shia is employing the moral rights rule to

seek to protect the rights and privileges of people affected.

Which of Teece's managerial activities would a company embrace if it wanted to use company resources to capture value for the organization from previously determined opportunities?

seizing

Martha is hiring an assistant marketing manager. Martha recruits Corrina because she comes from a local, wealthy family. Martha's behavior reflects the effect of bias with respect to

social status.

Ming believes that Lucas is more responsible and capable than Clive because Lucas is from the management team, whereas Clive is the company's maintenance supervisor. This is an example of implicit bias based on

social status.

Noreen is a member of an egalitarian culture, one in which few distinctions are made between individuals and groups. Her culture is low on

social stratification.

Caste systems in India are examples of

social structure

The employees of Burger Prince enjoy their work very much. This is largely due to their manager, Violet, who is always sympathetic to the needs of her employees and is seldom uncooperative. Violet can be said to be low on the agreeableness continuum.

False

The tendency of managers to ignore critical information is NOT as serious as the existence of incomplete information.

False

Josiah is a manager who claims that he is highly satisfied with his job. Which of the following would he be likely to say?

I think my job offers me great autonomy.

Which of the following best reflects Mary Parker Follett's views on management and leadership in an organization?

If workers have the relevant knowledge, then workers, not managers, should be in control of the work process itself.

Art Place makes and sells paintings, sculptures, and small craft items. Its products meet consumer needs, but they are often too expensive to buy. What is most likely to be true about the company?

Its product manager achieves company goals but uses resources inadequately.

Jaron wants to speed up the production process, so he used a time-and-motion study that monitored the actions required to complete the tasks in the assembly line.

True

Joleen has just been promoted to president of her company. It is likely that she has a high need for power, which is an important trait in high-level managers.

True

Patel Brothers Company uses a formal system of task and reporting relationships that coordinates and motivates its employees so that they work together to achieve organizational goals. This is an example of an organizational structure.

True

The aging of the population of a country is an example of a demographic force that affects organizations in the country.

True

The building blocks of competitive advantage are efficiency, quality, innovation, and responsiveness to customers.

True

Websites that allow free downloading of songs and movies illustrate the "tragedy of the commons" because there is pursuit of self-interest with no consideration for societal interest.

True

When one person starts to profit by behaving unethically, it encourages other people to act in the same way.

True

In what way do moods differ from emotions?

Unlike moods, emotions are relatively short-lived.

What is the Hawthorne effect?

Workers' productivity is affected more by their manager's personal behavior than by the work setting.

Which organization demonstrates Hofstede's cultural dimension of a short-term orientation?

Cho's Chalupas, a pop-up store that moves every two weeks to a new location (her employees love it!)

As a manager, Julia believes that every member of her team should receive the same pay raise each year regardless of their individual contribution. Julia is following the distributive justice principle when managing salaries in this way.

False

Carlos, a manager at Carz Autobody, always appears to be happy. He rarely exhibits negative emotions and moods and is always optimistic about himself and others. If you were his manager, you would tell Carlos that he needs to reduce his negative affectivity.

False

Globalization has decreased the levels of interdependence between people and nations.

False

Marco is the product manager at Lawns R Us. He is sociable, affectionate, outgoing, and friendly with his employees and clients. How would you rate him on the Big Five personality traits?

Marco is high on extraversion.

Bo gives a talk to his employees about standards that govern how members of their profession should conduct themselves. He is talking about _______ ethics.

Occupational

_______ is when people belong to the same organization, tending to share certain beliefs and values that lead them to act in similar ways.

Organizational culture

Aaron is a member of a group that meets weekly to discuss community issues. When the idea of changing recycling companies came up, Aaron knew the current company was doing a great job, but because everyone else wanted to change, he didn't say anything. This illustrates the concept of groupthink.

True

As CEO of a conservative company, Rashid is likely to emphasize a top-down approach to planning, which can slow down decision making.

True

Fayol recommended the use of organizational charts to show the position and duties of each employee in the organization.

True

What benefits does the global environment offer organizations?

The global environment provides organizations with opportunities to increase efficiency and effectiveness.

Employees at Southwest Airlines have highly flexible job descriptions that enable them to chip in and help where needed. Employees are encouraged to help solve problems where they see them. Thus, it's not uncommon to see a Southwest manager helping move passenger luggage into aircraft or check in passengers at a gate. This demonstrates the concepts in

Theory Y.

The town in which a large stone company has its headquarters is referred to as

a community.

Maintaining close coordination of value chain functions such as engineering, manufacturing, and marketing throughout a product development is best achieved through using

a cross-functional team

In Western cultures, an example of individualism values is

a high regard for individual entrepreneurs.

Two female managers suggest to a male colleague that he should model swimwear and the women then make comments about his physique, making him uncomfortable. This is an example of

a hostile work environment.

Hofstede's model defined societies with high power distance as having

a large gap between rich and poor.

Under the practical rule, for a business decision to be ethical, a manager would NOT be reluctant to communicate the decision to people outside the company when

a typical person would consider the decision acceptable.

The _______ approach to social responsibility is most likely to be taken by a typical large U.S. company.

accommodative

Siena, an employee of Scarlet Stone Inc., is extremely ambitious and insists on working on important projects by herself. According to McClelland, she has a high need for

achievement.

Jalen always strives to make optimum choices from the known alternatives but accepts that he will never have access to all available information and therefore must strive for the most satisfactory decisions. This realization is consistent with the _______ of decision making.

administrative model

Managers are being socially responsible and showing support for their stakeholders when they

allow employees to take time off when they need it.

When people are in negative moods, they

are focused on the facts at hand.

Millibytes, Inc. implements an organic structure, which means that at Millibytes,

authority is decentralized to middle and first-line managers.

Paolo is a manager for a small business. He wants his five employees to have positive working relationships and he wants to create a welcoming office environment. To encourage socializing and to motivate his staff to meet organizational goals, Paolo invites his employees to lunch once a week. Within a few weeks, Peter sees an increase in performance and improved collaboration among the staff members. This demonstrates the use of

behavioral management.

A company asked its managers to focus their efforts on improving the quality of one of its products. The new product is more advanced than those of its competitors, and customers are willing to pay more for the higher quality. By _______, this company outperformed its competitors by producing a product more efficiently and effectively than they did.

building a competitive advantage

Eastern Region Vice President Goodall works with her team of sales managers to develop a _______ plan, which defines the strategies, goals, and structure associated with achieving the company's objectives in the Eastern region of the United States.

business-level

A functional-level plan establishes the goals that the managers of each function will pursue to help the division attain its _______ goals, which then allow achievement of _______ goals.

business-level; corporate-level

Rashid has chosen not to advocate for dual command at his company because it

causes confusion among employees.

Barbara's Bangles outsells other jewelry designers in her town because it produces jewelry more efficiently and effectively than its competitors. This demonstrates the company's

competitive advantage.

In the DiSC inventory, a person's behavioral style may be described in terms of

conscientiousness.

If a manager designs the organizational hierarchy based on the characteristics of the organizational environment, he is acting in accordance with _______ theory.

contingency

Riya is assigned to a new project and has ownership for key project stages from planning, through development, to delivery. Riya is considered a _______ member of the project team.

core

A car parts company decides to discontinue the production of its lowest-selling products and instead focuses on its areas of expertise. The company innovated a new automobile product with unique value. This is an example of using its

core competency.

In a small developing country, the percentage of the population switching to cellular technology in recent years has been rapidly increasing. A multinational telecommunication services company decides to take advantage of this change by installing network infrastructure and establishing a sales presence in that country. This is an example of a _______ strategy.

corporate-level

As CEO of his company, Bill works with a team of executives to make decisions pertaining to the organization's mission, overall strategy, and structure. These decisions are part of the organization's _______ plan.

corportate-level

Jacob, a marketing manager, is determining if the company budget allows for advertising a new product. Which criterion of decision making is he addressing?

economic feasibility

When the tasks and authority associated with various positions in the organization are clearly specified, it creates a scenario where

employees can be held strictly accountable for their actions.

After realizing that members of his rural community regularly drove over 15 miles for a touchless car wash, Ethan took out a small business loan and partnered with a local gas station to provide the service locally. Ethan exhibited traits of a(n)

entrepreneur

Li believes his destiny is in his own hands and is open to taking risks and trying new things. He is very confident in his abilities and has a strong drive to achieve success for himself. Li demonstrates characteristics of a(n)

entrepreneur

When an organization ignores the external environment and fails to acquire inputs, it is likely to experience

entropy

An example of a terminal value that is important to managers is

equality.

Eleanor has witnessed her manager harassing a coworker on multiple occasions. Eleanor knows that she should report the incidents to a superior manager, but she is hesitant to report the inappropriate behavior because she thinks she could lose her job. This example illustrates a(n)

ethical dilemma

Regan has identified alternatives to a work problem. After considering the pros and cons of each option, she has chosen and implemented a solution. What should Regan do next for an effective decision-making process?

evaluate the results of the solution

To increase effectiveness, middle managers

evaluate whether the organization's goals are appropriate

Sanjay, the company's human resources manager, serves in a monitoring role by ensuring diversity is effectively managed by

evaluating the extent to which all employees are being treated fairly.

Maryska's company asks her to recommend a method of international expansion that would incur the least amount of risk. Which method should she suggest?

exporting

Managers who are high in _______ are likely to be successful in positions that require high levels of social interaction with other employees.

extraversion

A brand of cereal attracts customers by offering the lowest prices among other brands of cereals. The company is using a differentiation strategy.

false

A computer operating system software manufacturer invests its profits to create newer versions of its operating system software to best leverage the ongoing advances in computer hardware. The company is following a diversification strategy.

false

A high level of rivalry typically results in price competition that increases existing prices.

false

Beto, who supervises 12 people in his department, recently met with his superiors to discuss his performance as a supervisor in controlling the behavior of his direct reports. Getting this feedback will help Beto develop his _______ skills.

human

Which cultural dimension in the GLOBE Project is being demonstrated by an organization that encourages and rewards individuals for being fair, altruistic, generous, caring, and kind to others?

humane orientation

In the classical model of decision making, managers

identify and evaluate all possible alternatives before choosing a course of action.

Ryan is reviewing the credentials of job applicants and notices that Rune shares his interest in watching and playing golf. Ryan is demonstrating a form of _______ when deciding to offer Rune the position based in part on this common interest.

implicit bias

A consequence of empowerment is a(n)

increase in performance.

Organizational performance is most likely to

increase with an increase in efficiency and effectiveness.

Every few months, a farm-to-table bistro increases the variety of its menu by taking advantage of new and novel produce offered by local farmers. This is an example of

incremental product innovation.

When faced with an ethical dilemma as a manager, Sanjay tries to reflect on his upbringing to decide between right and wrong. Sanjay is reflecting on _______ ethics.

individual

In a(n) _______ culture, managers are likely to lead by example, encouraging employees to take risks and experiment.

innovative

When hiring new employees, a manager reviews numerous résumés and interviews several applicants. If the manager denies employment opportunities to diverse individuals, the manager is engaging in overt discrimination that is

intentional and deliberate.

When Bob calculates the yearly bonuses for his employees, he pays particular attention to the individual employee scores to ensure that they are based on performance and not favoritism. Which ethical rule is Bob following?

justice

Mei is a manager who uses her energetic personality and considerable persuasive skills to coordinate people and groups so their activities and efforts are in harmony. Mei exhibits the managerial skill of

leading

Selena facilitates a monthly forum that provides team members across various functions and locations throughout her company an opportunity to share ideas, concerns, and solutions related to the work environment. She is acting in the role of a _______ by enabling diverse individuals to coordinate their efforts.

liaison

Company Z has an organizational hierarchy with salespeople at the bottom, who report to regional sales managers, who in turn report to a director of marketing. The director of marketing reports to the CEO. This is an example of which of Fayol's principles of management?

line of authority

George is an effective and efficient manager. However, he tends to be pessimistic and avoids social interactions. How would you categorize him using the Big Five personality traits?

low on extraversion

A technology company decides to redesign key aspects of its products to better leverage the same components and reduce manufacturing overheads. These savings will then facilitate price reductions. What strategy is the company pursuing?

low-cost

To maintain profits while offering the best industry pricing to customers, a furniture company decides to order materials in larger quantities to realize larger discounts on materials. The company is employing a _______ strategy.

low-cost

Dorcal, Inc. manufactures plastic components. The company has a low level of efficiency and low level of effectiveness, which means it is most likely to produce a

low-quality product that customers do not want.

_______ are frequently in the position of having to juggle the interests of different stakeholders, including themselves.

managers

At her new job, Nicole developed a supportive relationship with Sheila, who worked with the same real estate agency for several years. Nicole talked with Sheila about a problem she was facing in the workplace. Sheila suggested possible solutions and they discussed the strengths and weaknesses of each. This is an example of

mentoring.

You have been put in charge of a manufacturing plant's new product line and need to choose first-line managers to supervise the line's workers. What level of manager are you?

middle

Chan is convinced that teamwork will provide the best solution for the problem that his group is facing. This reflects his

mood and emotions.

In a stage-gate development funnel model,

new product ideas are encouraged at stage 1.

The managers of Lehman Brothers, whose bankruptcy helped propel the 2008-2009 financial crisis, used loopholes in U.K. law to hide billions of dollars of worthless assets in its balance sheet to disguise its poor financial condition. This example illustrates the _______ approach to social responsibility.

obstructionist

Julia believes that it is important to find ways to motivate her employees to make decisions that raise effectiveness of the team and overall company. Julia is committed to

organizational learning

Maria, the HR manager of a landscape design company, has been asked to increase the level of efficiency at the workplace. She decides to restructure work relationships within the company and categorize people into departments according to the kinds of job-specific tasks they perform. Which managerial task is Maria performing?

organizing

To achieve distributive justice within an organization, managers should ensure that

outcomes are not distributed based on a person's personal characteristics like race or age.

Apple contracts with companies in Taiwan to make inputs such as the chips, batteries, and LCD displays that power its digital devices at lower costs. This strategy is an example of global

outsourcing

Maurice and Barry work in an electronics store and are the only two African American employees. The store manager is authorized to randomly inspect employee lockers as part of store security protocols; however, he routinely chooses Maurice's and Barry's lockers to search. The manager also frequently spot-checks Maurice and Barry's timecards while not doing so for other employees. The manager's behavior exhibits

overt discrimination.

When interviewing job candidates, Anka's first impression was more favorable to Gabriella, who dressed in designer clothes and attended an expensive college, over Wanda, who dressed more conservatively and graduated from a local college. Anka's implicit bias toward Gabriella was influenced by

perception of social status.

Margene is the product manager at Fashions Ltd., a company that designs and manufactures clothes and fashion accessories. Noticing the rising popularity of rhinestone jewelry and the fact that only a handful of stores actually stocked it, she decides to take advantage of the latent demand in the market. Margene knows that she is taking a risk by committing organizational resources to pursuing this idea, but she is confident about the merit of her decision. In deciding the allocation of resources for attaining her goals, which managerial task is Margene performing?

planning

One thing that it is important to remember about shareholders is they

play an important role, but are not the company's only stakeholder group.

Due to changing _______ forces, Constantine's oil company benefited greatly from decreased regulation of his industry.

political and legal

Smoking marijuana is illegal in many states; therefore, smoking marijuana is

possibly unethical or ethical, depending on the circumstances.

Judy has thought of a novel solution to her company's recent challenges fulfilling customer orders on time. She must now determine whether the company has the capabilities and resources required to implement the solution. Which criterion of decision making is she addressing?

practicality

The president of Bank Fortuna is attempting to determine whether the bank has both the capability and the resources to open a branch facility in a new location. Which criterion of decision making is the president addressing?

practicality

The supervisor of medical billing at a physician's office documents employees' job performance throughout the year to help her make objective decisions when evaluating and promoting employees. The supervisor is practicing the principle of _______ justice.

procedural

Manuel has been asked to identify one sales rep from his team for an upcoming layoff. Data shows that Jamie's latest sales numbers are lowest within the team; however, further analysis reveals that Jamie's numbers only recently fell due to a manufacturing delay that hit his product line the hardest. Manuel takes this into account and based on other factors determines Jamie should not be laid-off. Manuel is exhibiting _______ in approaching the decision in this way.

procedural justice

A firm manufactures custom-made furniture. Which facilities layout would best suit the firm's needs?

process-layout

For an organization to obtain a competitive advantage through superior innovation, it should

produce products with technologies that have not been used previously.

Ayan is responsible for quality control for an automobile manufacturer and recently made the decision to suspend production when test results for completed cars fell below the manufacturer's standards. What type of decision is this?

programmed

A company invests considerably in research, with a dedicated team that is challenged to scour the industry for breakthrough ideas that could allow the business to create new products with unique features. This company demonstrates a commitment to

quantum product innovation.

The promotion that Angela was told she would be getting was given to another employee after she declined her boss's sexual advances. Her boss was using _______ harassment.

quid pro quo

NAFTA is an example of a

regional free-trade agreement.

Julian decides to offer his marketing services at a tradeshow in order to acquire new customers. Due to bad weather in the area, not a lot of people showed up. Frustrated, Julian decides he will never offer his services at a tradeshow again. Julian's decision demonstrates

representativeness bias

When deciding on schedules, the construction manager takes into account probabilities related to delays in materials or the potential for bad weather that could impact progress. The manager is accounting for

risk

The most potentially threatening force that managers must deal with in the task environment is

rivalry between competitors.

ANC Inc. operates with planning horizons greater than five years. However, it is difficult to predict competitive conditions five years in the future, so the top managers implement a plan that involves regular reviews and updates in all levels of the company. The plan enables the company to respond quickly and to make adjustments as necessary. This is an example of a(n) _______ plan.

rolling

As managers plan for the future, it is important to handle unexpected circumstances. By developing backup plans with alternative courses of action defined in case conditions change, managers are conducting _______ planning.

scenario

People with an internal locus of control

see their own actions and behaviors as being major and decisive determinants of important outcomes.

At Home Service, Inc., employees stay with the organization for many years and develop skills on the job that help Home Service, Inc. become more efficient. This is consistent with Fayol's principle of

stability of tenure.

Jose is an employee of Carling company. Based only on this information, you know he must be a(n)

stakeholder

Within 30 days of receiving a gift valued over $50 from a client, sales representatives in the company are required to submit a written disclosure. This is an example of a

standard operating procedure

Frederick Taylor believed that written rules and standard operating procedures

standardized and simplified jobs, making them more efficient.

Misha, a sales manager, can select either Helga or Ryan as his new assistant sales manager. Both are equally qualified. He selects Helga because he believes that women are soft-spoken and polite, making better managers. Misha is influenced by

stereotypes.

Jessie just started working at Alogics, an electronics company. During her first week of employment, she attended an orientation meeting in which the managers talked about the company's history. As they talked about the actions of those who contributed to Alogics's growth and those who caused problems over the years, Jessie learned what values and norms are appropriate to the organization's culture. The company used _______ to communicate organizational culture.

stories and language

The CEO of Blake's company effectively motivates employees by actively engaging them in her vision of the company's goals and what she believes they can achieve in the industry. The CEO exhibits _______ skills.

strategic leadership

_______ is the process of developing an action plan that will allow an organization to achieve its goals, while using techniques such as SWOT analysis and the five forces model.

strategy formulation

An appliance manufacturer's products are in high demand despite their premium pricing due to the products' reliability and lower maintenance costs. The manufacturer has achieved a competitive advantage through

superior quality

Surrey Store gets its products directly from the manufacturer and sells them to consumers. In this case, the manufacturer is a

supplier

Johnson's Furniture Factory gets its raw material from the local timber yard. The timber yard acts as Johnson's

supplier.

To decrease product defects, materials managers must work closely with _______ to improve the quality of raw materials and obtained parts.

suppliers

Societies with low power distance have been defined by Hofstede as those in which

the government uses taxation and social welfare programs to reduce inequality.

Organizations can have a strong organizational culture when

the organizational commitment is strong.

Kylie is the only woman in her work group and Justin frequently consults her on how women might respond to new product ideas. Kylie appreciates having her inputs deemed important, but also feels Justin expects that her inputs alone will ensure the product fully satisfies the needs of female customers. Justin is influenced by _______ in his interactions with Kylie.

the salience effect

Managers pursue functional-level strategies that allow the organization's value chain to provide

the same product attributes at a lower price.

A core competency is

the specific set of departmental skills, knowledge, and experience that allows one organization to outperform another.

The general environment includes

the wide-ranging global, technological, sociocultural, and political forces that affect organizations.

The essential problem when solving moral dilemmas is

there are no absolute or indisputable rules or principles to decide whether an action is ethical.

During a SWOT analysis, Sweet Treats identifies a growing number of local businesses now offering bakery items to customers. This finding would be characterized as a(n)

threat

When Apple created the iPod, it shifted its focus from computers to consumer electronics, demonstrating Teece's concept of

transforming

ACME is known for offering exclusive features that are not available by its competitors and charging a higher price for its appliances. ACME is following a differentiation strategy.

true

Higher product quality can increase employee productivity, which translates to lower operating costs.

true

High Tech Corp. decides to develop a product based on a completely new technology, with no existing information on the possible challenges and outcomes of bringing such a product to market. This decision illustrates

uncertainty

Carl works for a printing business that offers printing and copying, bookbinding, and graphic design. The business has a single, comprehensive long-term plan that guides every department. The business is following Fayol's principle of

unity of direction.

Monroe's Machines recently expanded its business by purchasing a bookstore chain. This business expansion is an example of

unrelated diversification

Mary Parker Follett's primary criticism of Taylor's system of scientific management was that Taylor

was ignoring the human side of the organization and did not allow workers to exercise initiative and contribute to the organization.

A recent SWOT analysis determines that a company's controls allowed inventory levels of some products to rise while other products to consistently be out of stock. The firm would classify this as a potential

weakness.