MGT 491 Ch. 11 Practice Quiz

Which of the following organizational structures matches best with an international strategy? simple matrix multidivisional functional

functional

What is most likely to happen if a firm relies too long on a competency without honing, refining, and upgrading as the firm and the environment change? The firm's original core competency can turn from a liability into an asset. The firm's organizational inertia can turn into its core rigidity. The firm's competitive parity can turn into its competitive advantage. The firm's culture can turn from a core competency into a core rigidity.

The firm's culture can turn from a core competency into a core rigidity.

Which of the following statements best describes groupthink? It is a process by which the founder defines and shapes an organization's culture, which can persist for decades after his or her departure. It is a situation in which organizations compete with one another for resources, but they also need to cooperate to share competencies. It is a process whereby employees internalize an organization's values and norms through immersion in its day-to-day operations. It is a situation in which opinions coalesce around a leader without individuals critically challenging and evaluating that leader's opinions and assumptions.

It is a situation in which opinions coalesce around a leader without individuals critically challenging and evaluating that leader's opinions and assumptions.

Li runs a firm that has diversified into different product lines and geographies. She should probably use a(n) _______ organizational structure. functional simple network M-form

M-form

An organization that is organized according to strategic business units (SBUs) and also along organizational structures is most likely using a ________ structure. functional multidivisional matrix simple

matrix

Sirius Cybernetics Corp. produces touch-enabled wearable devices. Its research and development team recently became aware of a new, open-source technology produced by a firm overseas that would improve the processing speed and battery life of all Sirius Cybernetics devices. In this scenario, Sirius Cybernetics would be best served to embrace open innovation. closed innovation. disruptive innovation. radical innovation.

open innovation.

E Corp is a pharmaceutical company that has many breakthroughs in medicine to its credit. Unlike many other pharmaceutical companies, E Corp has a relaxed work environment where employees are free to discuss projects with each other. Employees are encouraged to choose the projects that interest them; communication between team members and their supervisors is open and easy. Because of the company's work culture, its employees feel motivated to work harder and display more entrepreneurial behaviors. In this scenario, E Corp Inc. is most likely an organization that is formalized. mechanistic. centralized. organic.

organic.

Vanessa just graduated from law school and wants to open her own law firm. Vanessa should probably adopt a(n) ______ structure for the firm. simple functional M-form matrix

simple

Why does strategy implementation often require changes within an organization? Strategy implementation is less important than strategy formulation. Strategy implementation transforms strategy into actions and business models. Strategy always follows structure. Strategy implementation does not affect resource allocation and power distribution within an organization.

Strategy implementation transforms strategy into actions and business models.

Denise wants to clearly communicate and create a ________, a key input control, before her team tackles business activities. This way the team will be able to better allocate her firm's scarce resources in order to accomplish the tasks at hand. mission statement carrot-and-stick approach results-only-work-environment (ROWE) budget

budget