Management 9th Edition By Richard L – Test Bank A+

$35.00
Management 9th Edition By Richard L – Test Bank A+

Management 9th Edition By Richard L – Test Bank A+

$35.00
Management 9th Edition By Richard L – Test Bank A+

Chapter 3—The Environment and Corporate Culture

TRUE/FALSE

  1. Mattel managers moved swiftly to reassure parents and customers after having to recall nearly 850,000 of its most popular toys because of lead paint.

ANS: T PTS: 1 DIF: 2 REF: 63

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Factors external to the organizations have been primarily the focus of management as a discipline.

ANS: F PTS: 1 DIF: 2 REF: 64

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The general environment and the task environment are the two layers of an organization’s external environment.

ANS: T PTS: 1 DIF: 1 REF: 64

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The outer layer, the general environment, is widely dispersed and affects organizations directly.

ANS: F PTS: 1 DIF: 1 REF: 64

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. To be effective, managers must monitor and respond to the environment — a closed-systems view.

ANS: F PTS: 1 DIF: 2 REF: 64

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Customers and competitors are two important sectors of the economic dimension of a firm’s general environment.

ANS: F PTS: 1 DIF: 2 REF: 65

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Current employees, management, and especially corporate culture are part of an organization’s internal environment.

ANS: T PTS: 1 DIF: 1 REF: 65

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The international dimension of the external environment represents events originating in foreign countries as well as opportunities for U.S. companies in other countries.

ANS: T PTS: 1 DIF: 1 REF: 65

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. In recent years, the most dramatic change in the international environment is the shift of economic power to Germany and France.

ANS: F PTS: 1 DIF: 1 REF: 65

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The technological dimension of the external environment includes scientific and technological advancements in a specific industry as well as in society at large.

ANS: T PTS: 1 DIF: 1 REF: 66

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The sociocultural dimension of the general environment includes societal norms and values.

ANS: T PTS: 1 DIF: 1 REF: 66

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The international dimension includes scientific and technological advancements in a specific industry as well as in society at large.

ANS: F PTS: 1 DIF: 2 REF: 66

NAT: AACSB Analytic | Information Technologies TYP: F

  1. According to Manager’s Shoptalk in Chapter 3, the Chinese concept of guanxi is a supportive, mutually beneficial connection between two people.

ANS: T PTS: 1 DIF: 1 REF: 67

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. According to Manager’s Shoptalk in chapter 3, one of the rules of doing business in China is remembering that relationships are short-term.

ANS: F PTS: 1 DIF: 1 REF: 67

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Economic problems in other parts of the world have a tremendous impact on U.S. companies.

ANS: T PTS: 1 DIF: 2 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The economic dimension of the general environment represents the demographic characteristics.

ANS: F PTS: 1 DIF: 2 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The economic dimension of the general environment includes consumer purchasing power.

ANS: T PTS: 1 DIF: 1 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. An example of part of the legal-political dimension of the general environment is a government’s report on the decline of unemployment rate.

ANS: F PTS: 1 DIF: 3 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: A

  1. President Clinton’s signing of the telecommunications bill in 1996 deregulating the industry is an example of the legal-political dimension of the general environment.

ANS: T PTS: 1 DIF: 3 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The task environmental dimension includes all elements that occur naturally on earth, including plants, animals, rocks, and natural resources such as air, water, and climate.

ANS: F PTS: 1 DIF: 2 REF: 69

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Customers are the people and organizations in the environment who acquire goods or services from the organization.

ANS: T PTS: 1 DIF: 1 REF: 69

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Recently, there has been strong concern about climate change such as global warming caused by greenhouse gases, most notably carbon dioxide.

ANS: T PTS: 1 DIF: 2 REF: 69

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. McDonalds, Burger King, and Checkers are competitors since all three sell fast food to individuals.

ANS: T PTS: 1 DIF: 2 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: A

  1. The raw materials that organizations use to produce its outputs are provided by customers.

ANS: F PTS: 1 DIF: 1 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Other organizations in the same industry or type of business that provide goods or services to the same set of customers are referred to as suppliers.

ANS: F PTS: 1 DIF: 1 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The labor market is made up by people in the environment who can be hired to work for an organization.

ANS: T PTS: 1 DIF: 1 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. If Johnson Lumber provides trees for Westvaco Paper Manufacturing, then Johnson Lumber is considered a supplier for Westvaco.

ANS: T PTS: 1 DIF: 2 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: A

  1. Organizations must manage environmental uncertainty to be effective.

ANS: T PTS: 1 DIF: 1 REF: 72

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. An organization experiences high uncertainty when internal factors gradually change over time.

ANS: F PTS: 1 DIF: 1 REF: 73

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. A boundary-spanning role is an effort to spot trends that enable managers to predict future events.

ANS: F PTS: 1 DIF: 2 REF: 73

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. A sales executive for General Motors fills an essential boundary-spanning role.

ANS: T PTS: 1 DIF: 2 REF: 73

NAT: AACSB Analytic | Environmental Influence TYP: A

  1. Competitive intelligence professionals are really just in-house snoops who obtain information about other companies.

ANS: T PTS: 1 DIF: 1 REF: 74

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Competitive intelligence is an approach to boundary spanning which results from using sophisticated software to search through large amounts of internal and external data to spot patterns, trends, and relationships that might be significant.

ANS: F PTS: 1 DIF: 2 REF: 74

NAT: AACSB Analytic | Information Technologies TYP: F

  1. More organizations are requiring all employees to perform boundary-spanning because of environmental turbulence and uncertainty.

ANS: T PTS: 1 DIF: 2 REF: 74

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Given the increasing environmental uncertainty, managers in partnering organizations are shifting from a partnership orientation to an adversarial orientation.

ANS: F PTS: 1 DIF: 2 REF: 74

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. A joint venture involves a strategic alliance or program by two or more organizations.

ANS: T PTS: 1 DIF: 1 REF: 75

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Due to the stable environment and lack of technological change, mergers and joint ventures rarely occur in the U.S.

ANS: F PTS: 1 DIF: 1 REF: 75

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The internal environment within which managers work includes corporate culture, sociocultural aspects, and customers.

ANS: F PTS: 1 DIF: 2 REF: 75

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. Culture can be defined as the ability to speak different languages.

ANS: F PTS: 1 DIF: 1 REF: 76

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Physical symbols are associated with the surface level of organizational culture.

ANS: F PTS: 1 DIF: 2 REF: 76

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Symbols, stories, heroes, slogans, and ceremonies combine to create an organization’s culture.

ANS: T PTS: 1 DIF: 2 REF: 77

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. The set of key values, beliefs, and norms, that are shared by members of an organization are combined to create the symbols of an organization.

ANS: F PTS: 1 DIF: 2 REF: 77

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. A symbol is a figure that exemplifies the deeds, character, and attributes of a corporate culture.

ANS: F PTS: 1 DIF: 2 REF: 77

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. A narrative based on rumors within the organization that can lead to destructive results if not carefully controlled by management is called an organizational story.

ANS: F PTS: 1 DIF: 2 REF: 77

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. A phrase or sentence that succinctly expresses a key corporate value is called a story.

ANS: F PTS: 1 DIF: 1 REF: 77

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. The mythical sales representative at Robinson Jewelers who delivered a wedding ring directly to the church because the ring had been ordered late is an example of a hero.

ANS: T PTS: 1 DIF: 1 REF: 77

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. A slogan is a phrase or sentence that succinctly expresses a key corporate value.

ANS: T PTS: 1 DIF: 2 REF: 78

NAT: AACSB Analytic | HRM TYP: F

  1. A ceremony is a planned activity at a special event that is conducted for the benefit of an audience.

ANS: T PTS: 1 DIF: 1 REF: 78

NAT: AACSB Analytic | Motivation Concepts TYP: F

  1. In adaptive cultures, managers are concerned with customers and processes that bring about useful change.

ANS: T PTS: 1 DIF: 2 REF: 79

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The achievement culture emerges in an environment that requires fast response and high-risk decision-making.

ANS: F PTS: 1 DIF: 2 REF: 79

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. An achievement culture is found in an environment that is dynamic and requires high-risk decision-making.

ANS: F PTS: 1 DIF: 2 REF: 80

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. The clan culture is suited to organizations that are concerned with serving specific customers in the external environment but without the intense need for flexibility and rapid change.

ANS: F PTS: 1 DIF: 2 REF: 80

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. A results-oriented culture that values competitiveness, aggressiveness, personal initiative, and willingness to work long and hard to achieve results is called the achievement culture.

ANS: T PTS: 1 DIF: 2 REF: 80

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. The bureaucratic culture has an external focus and a consistency orientation for a dynamic environment.

ANS: F PTS: 1 DIF: 2 REF: 81

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. Corporate culture plays a key role in creating an organizational climate that enables learning and innovative responses to threats from the external environment, challenging new opportunities, or organizational crises.

ANS: T PTS: 1 DIF: 2 REF: 82

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. When an organization pays little attention to either cultural values or business results, it is unlikely to survive for long.

ANS: T PTS: 1 DIF: 1 REF: 83

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. When an organization pays little attention to cultural values and instead focuses on business results, success will be difficult to sustain in the long run.

ANS: T PTS: 1 DIF: 1 REF: 83

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. Success will be difficult to sustain in the long run when an organization puts emphasis on both cultural values and business results.

ANS: F PTS: 1 DIF: 1 REF: 83

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. In a high performance culture, organizations put high emphasis on both culture and solid business performance as drivers of organizational success.

ANS: T PTS: 1 DIF: 1 REF: 83

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. According to Unlocking Innovative Solutions Through People in Chapter 3, the Brazil-based Semco Corp. was revived when the president turned control over to the employees.

ANS: T PTS: 1 DIF: 1 REF: 84

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. A cultural leader defines and uses signals and symbols to influence corporate culture.

ANS: T PTS: 1 DIF: 1 REF: 85

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. The cultural leader articulates a vision for the organizational culture that employees can believe in and that generates excitement.

ANS: T PTS: 1 DIF: 1 REF: 85

NAT: AACSB Analytic | Group Dynamics TYP: F

MULTIPLE CHOICE

  1. The environments in which businesses operate are increasingly ____, requiring managers to be ready to react and respond to even subtle environmental shifts.
a.static
b.universal
c.constant
d.dynamic
e.traditional

ANS: D PTS: 1 DIF: 2 REF: 63

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. ____ includes all elements existing outside the boundary of the organization that have the potential to affect the organization.
a.Organizational environment
b.Internal environment
c.Task environment
d.General environment
e.Technological environment

ANS: A PTS: 1 DIF: 2 REF: 64

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. ____ system draws resources from the external environment and releases goods and services back to it.
a.Production
b.Closed
c.Open
d.Information
e.Management

ANS: C PTS: 1 DIF: 2 REF: 64

NAT: AACSB Analytic | Creation of Value TYP: F

  1. The ____ environment represents the outer layer of the environment and affects organizations ____.
a.task; indirectly
b.general; directly
c.internal; directly
d.internal; indirectly
e.general; indirectly

ANS: E PTS: 1 DIF: 2 REF: 64

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. All of these are a part of an organization’s task environment EXCEPT
a.Customers
b.Labor markets
c.Competitors
d.Employers
e.Suppliers

ANS: D PTS: 1 DIF: 2 REF: 64

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Which of these is NOT a part of an organization’s general environment?
a.Technological
b.Economic
c.Competitors
d.Legal-political
e.Sociocultural

ANS: C PTS: 1 DIF: 1 REF: 64

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. ____ is a part of Ford’s, a U.S. auto manufacturer, task environment.
a.Inflation rate
b.Chrysler
c.Securities and Exchange Commission (SEC), a government regulating agency
d.Amazon.com, an online bookseller
e.Ford’s corporate culture

ANS: B PTS: 1 DIF: 2 REF: 65

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. ____ is a part of an organization’s internal environment.
a.Its customers
b.Its salespeople
c.The consumer price index
d.Its suppliers
e.Its competitors

ANS: B PTS: 1 DIF: 2 REF: 65

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Molly Madison received “The Employee of the Month” Award at Internal Workings Remodeling Service in April. Molly would be considered a part of which of these for Internal Workings?
a.General environment
b.Task environment
c.Economic environment
d.Internal environment
e.Political activity

ANS: D PTS: 1 DIF: 2 REF: 65

NAT: AACSB Analytic | Environmental Influence TYP: A

  1. The ____ of the external environment represents events originating in foreign countries as well as opportunities for American companies in other countries.
a.National dimension
b.Global dimension
c.International dimension
d.Japan’s dimension
e.U.S. dimension

ANS: C PTS: 1 DIF: 1 REF: 65

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Scientific and technological advancements in a specific industry as well as in society at large are included in which general environment dimension?
a.Sociocultural dimension
b.Legal-political dimension
c.Economic dimension
d.Technological dimension
e.Corporate culture dimension

ANS: D PTS: 1 DIF: 1 REF: 66

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Which dimension of the general environment represents the demographic characteristics, norms, customs, and values of the population within which the organization operates?
a.Legal-political dimension
b.Economic dimension
c.Technological dimension
d.Corporate culture dimension
e.Sociocultural dimension

ANS: E PTS: 1 DIF: 1 REF: 66

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. When Miami Herald launches a Spanish-language newspaper, El Nuevo Herald, with articles emphasizing Hispanic, Cuban, and Latin American news and sports, it is responding to changes in ____ environment.
a.sociocultural
b.technological
c.economic
d.competitors
e.suppliers

ANS: A PTS: 1 DIF: 2 REF: 66

NAT: AACSB Analytic | Environmental Influence TYP: A

  1. ____ environment consists of demographic factors, such as population density.
a.Technological
b.Sociocultural
c.Legal-political
d.Internal
e.Economic

ANS: B PTS: 1 DIF: 2 REF: 66

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Anyone considering doing business in China, according to Manager’s Shoptalk in Chapter 3, should keep in mind all of the following rules except:
a.Business is always personal
b.Don’t skip the small talk
c.Remember that relationships are not short-term
d.Be efficient with use of time
e.Make contact frequently

ANS: D PTS: 1 DIF: 1 REF: 67

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Which of the following rules, according to Manager’s Shoptalk in Chapter 3, is about forging an emotional bond?
a.Don’t skip the small talk
b.Business is always personal
c.Remember that relationships are not short-term
d.Make contact frequently
e.Be efficient with use of time

ANS: A PTS: 1 DIF: 2 REF: 67

NAT: AACSB Analytic | Leadership Principles TYP: F

  1. Lying at the heart of Chinese culture, ____ is a supportive, mutually beneficial connection between two people.
a.kaizen
b.ganqing
c.renqing
d.kansei
e.guanxi

ANS: E PTS: 1 DIF: 2 REF: 67

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The general environment dimension that includes consumer purchasing power, the unemployment rate, and interest rates is called the
a.legal-political dimension.
b.sociocultural dimension.
c.technological dimension.
d.economic dimension.
e.task dimension.

ANS: D PTS: 1 DIF: 2 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. A recent significant trend in the economic environment is the frequency with which companies seem to be involved in ____.
a.mergers
b.bankruptcy
c.reorganizations
d.layoffs
e.expansions outside the United States

ANS: A PTS: 1 DIF: 2 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. A government inspection has required your company to upgrade the safety equipment in the manufacturing process of ice creamery. What dimension of the external environment has influenced these upgrades?
a.Technological
b.Legal-political
c.Task
d.Sociocultural
e.Economic

ANS: B PTS: 1 DIF: 2 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: A

  1. The ____ dimension of the general environment includes federal, state, and local government regulations.
a.technological
b.legal-political
c.economic
d.sociocultural
e.international

ANS: B PTS: 1 DIF: 1 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. An interest group that works within the legal-political framework to influence companies to behave in socially responsible ways is called a(n)
a.pressure group.
b.legal group.
c.political influence group.
d.social group.
e.none of these.

ANS: A PTS: 1 DIF: 1 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Which of the following dimensions of the general environment includes all elements that occur naturally on earth?
a.Sociocultural dimension
b.Technological dimension
c.Economic dimension
d.Natural dimension
e.Environmental dimension

ANS: D PTS: 1 DIF: 2 REF: 69

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Concern for the environment has prompted companies to take all of the following actions, EXCEPT:
a.Eliminating nonbiodegradable plastic bags from the environment
b.Hiring an environmental specialist
c.Improving efficiency of plants and factories
d.Investing in cleaner technologies
e.All of these

ANS: B PTS: 1 DIF: 2 REF: 69

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The people and organizations in the environment who acquire goods or services from the organization are
a.competitors.
b.suppliers.
c.customers.
d.employees.
e.potential employees.

ANS: C PTS: 1 DIF: 1 REF: 69

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Integrated Computers, Inc. wants to compile a profile of the customer it will target in its next promotional mailing. What environment would this be found in?
a.Internal environment
b.Task environment
c.Work environment
d.General environment
e.None of these

ANS: B PTS: 1 DIF: 2 REF: 69

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. For Southwest Airlines, all of the following can be suppliers EXCEPT
a.Exxon (providing jet fuel).
b.Citibank (providing finances).
c.Delta Airlines (providing competition).
d.Boeing (providing planes).
e.All of these are suppliers for Southwest Airlines.

ANS: C PTS: 1 DIF: 3 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: A

  1. ____ is(are) included in an organization’s task environment.
a.Suppliers
b.Accounting procedures
c.Technology
d.Government
e.Demographic characteristics

ANS: A PTS: 1 DIF: 2 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The ____ represents people in the environment who can be hired to work for the organization.
a.competitors
b.labor market
c.suppliers
d.customers
e.government

ANS: B PTS: 1 DIF: 1 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Ally’s Applesauce is in the process of hiring sixty new workers. The personnel department has a large pool of unskilled labor to draw from due to the high unemployment rate in the local area. Which dimension of the external environment is involved here?
a.Sociocultural
b.Competitors
c.Technological
d.Labor market
e.Legal-political

ANS: D PTS: 1 DIF: 2 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The internal environment within which managers work includes all of the following except
a.corporate culture
b.production technology
c.organization structure
d.physical facilities
e.labor market

ANS: E PTS: 1 DIF: 2 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Which of the following roles are assumed by people and/or departments that link and coordinate the organization with key elements in the external environment?
a.Figurehead
b.Liaison
c.Boundary-spanning
d.Disturbance handler
e.Leader

ANS: C PTS: 1 DIF: 2 REF: 73

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Which of the following is NOT a part of adapting the organization to changes in the environment for coping with high environmental uncertainty?
a.Boundary-spanning roles
b.Advertising/public relations
c.Mergers/joint ventures
d.Interorganizational partnerships
e.All of these are a part of organizational response in adapting the organization to changes in the environment.

ANS: B PTS: 1 DIF: 2 REF: 73-75

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. ____ is an approach to boundary spanning which results from using sophisticated software to search through large amounts of internal and external data to spot patterns, trends, and relationships that might be significant.
a.Merger intelligence
b.Business intelligence
c.Competitive intelligence
d.Partnership intelligence
e.Environment intelligence

ANS: B PTS: 1 DIF: 2 REF: 74

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Kristen’s Jewelry Shop has just hired a comparative shopper to visit other local jewelry stores to gain product pricing information. What strategy is this describing?
a.Boundary-spanning roles
b.A flexible structure
c.Unfair practice
d.Increase planning and forecasting
e.Joint venture

ANS: A PTS: 1 DIF: 2 REF: 74

NAT: AACSB Analytic | Environmental Influence TYP: A

  1. Based on the notion that organizations are dealing with a very turbulent and uncertain external environment, more organizations are requiring ____ to perform boundary-spanning activities.
a.top leaders
b.middle managers
c.line managers
d.all employees
e.suppliers

ANS: D PTS: 1 DIF: 2 REF: 74

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Companies can reduce boundaries and increase collaboration with other organizations by creating
a.flexible structures.
b.interorganizational partnerships.
c.new company cultures.
d.new supplier connections.
e.none of these.

ANS: B PTS: 1 DIF: 1 REF: 74

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Many organizations are adapting to the environment by developing more of a(n) ____ relationship rather than a(n) ____ relationship with competitors.
a.adversarial, partnership
b.partnership, adversarial
c.strategic, competitive
d.competitive, strategic
e.none of these

ANS: B PTS: 1 DIF: 2 REF: 75

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. When two or more organizations combine to become one, it is referred to as a
a.joint venture.
b.flexible structure.
c.mechanistic structure.
d.merger.
e.inorganic venture.

ANS: D PTS: 1 DIF: 1 REF: 75

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. In a joint venture between large and small businesses, large businesses can provide all of the following EXCEPT
a.sales staff.
b.research staff.
c.financial resources.
d.distribution channels.
e.top level management.

ANS: E PTS: 1 DIF: 2 REF: 75

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Culture can be defined as
a.the set of key values, beliefs, understandings, and norms shared by members of an organization
b.the ability to speak different languages
c.an object, act, or event that conveys meaning to others
d.a narrative based on true events that is repeated frequently and shared by organizational employees
e.none of these

ANS: A PTS: 1 DIF: 1 REF: 76

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. The level of corporate culture which cannot be seen but can be discerned from how people explain and justify what they do is
a.Invisible artifacts
b.Expressed values and beliefs
c.Underlying assumptions and deep beliefs
d.Dress and office layout
e.Slogans and ceremonies

ANS: B PTS: 1 DIF: 1 REF: 76

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. The level of corporate culture in which values are so deeply embedded that members are no longer consciously aware of them is
a.Invisible artifacts
b.Expressed values and beliefs
c.Underlying assumptions and deep beliefs
d.Dress and office layout
e.Slogans and ceremonies

ANS: B PTS: 1 DIF: 1 REF: 76

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. ____ are associated with surface level of organizational culture.
a.Values
b.Norms
c.Manners of dress
d.Beliefs
e.All of these

ANS: C PTS: 1 DIF: 2 REF: 76

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. Which of the following would be considered a visual representation(s) of a company’s corporate culture?
a.All department heads have an executive office.
b.Each department has an award plaque for employee of the month.
c.All employees are dressed in professional business attire.
d.Top level executives drive company owned sports car.
e.All of these.

ANS: E PTS: 1 DIF: 2 REF: 76

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. An object, act, or event that conveys meaning to others is referred to as a
a.symbol.
b.slogan.
c.story.
d.hero.
e.culture.

ANS: A PTS: 1 DIF: 1 REF: 77

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. Symbols, stories, and heroes are important because they
a.entertain executive level management.
b.address the concerns of government.
c.acquaint customers to the organization.
d.communicate the significant values of an organization.
e.give employees something to talk about.

ANS: D PTS: 1 DIF: 1 REF: 77

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. ____ is a narrative based on true event that is repeated frequently and shared by organizational employees.
a.Symbol
b.Slogan
c.Story
d.Hero
e.Culture

ANS: C PTS: 1 DIF: 1 REF: 77

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. A figure who exemplifies the deeds, character, and attributes of a corporate culture is referred to as a
a.symbol.
b.stories.
c.slogan.
d.hero.
e.culture.

ANS: D PTS: 1 DIF: 1 REF: 77

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. Heroes are important to an organization due to the fact that they
a.exemplify key values of the organization.
b.exemplify a strong corporate culture.
c.serve as examples to other employees.
d.all of these.
e.none of these.

ANS: D PTS: 1 DIF: 2 REF: 78

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. A ____ represents a phrase or sentence that succinctly expresses a key corporate value.
a.symbol
b.stories
c.culture
d.hero
e.slogan

ANS: E PTS: 1 DIF: 1 REF: 78

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. McDonald’s “We Love to See You Smile” represents a
a.ceremony.
b.symbol.
c.ritual.
d.slogan.
e.political activity.

ANS: D PTS: 1 DIF: 2 REF: 78

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. “Chiquita. Perfect for Life.” was Chiquita’s
a.ceremony.
b.slogan.
c.symbol.
d.ritual.
e.all of these.

ANS: B PTS: 1 DIF: 2 REF: 78

NAT: AACSB Analytic | Group Dynamics TYP: A

  1. If a company emphasizes that “no purchase is complete until the customer is satisfied,” then it’s
a.utilizing a symbol.
b.communicating its values to customers.
c.using a slogan to present their values to customers and employees.
d.utilizing a hero for the purpose of conveying values.
e.using customers to harass the employees.

ANS: C PTS: 1 DIF: 1 REF: 78

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. Culture tends to differ between ____, but appears similar within ____.
a.organizations, industries
b.people, organizations
c.groups, industries
d.organizations, groups
e.industries, geographical regions

ANS: A PTS: 1 DIF: 2 REF: 78

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. What are managers concerned with in adaptive cultures?
a.Customers and processes that bring about useful change
b.Themselves
c.All people who have ideas on changing the company
d.Their immediate work group
e.All of these

ANS: A PTS: 1 DIF: 2 REF: 79

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. All of the following are types of corporate cultures except
a.adaptability culture.
b.clan culture.
c.consistency culture.
d.involvement culture.
e.achievement culture.

ANS: D PTS: 1 DIF: 2 REF: 79

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. The adaptability culture emerges in an environment that requires ____ response and ____ decision making.
a.fast; high-risk
b.fast; low-risk
c.slow; high-risk
d.slow; low-risk
e.regulated; low-risk

ANS: A PTS: 1 DIF: 3 REF: 79

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. Which of the following cultures is suited to organizations that are concerned with servicing specific customers in the external environment but without the intense need for flexibility and rapid change?
a.Adaptability culture
b.Clan culture
c.Achievement culture
d.Consistency culture
e.None of these

ANS: C PTS: 1 DIF: 2 REF: 80

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. The involvement culture has a(n) ____ focus on the involvement and participation of employees to rapidly meet changing needs from the environment.
a.external
b.internal
c.structural
d.competitive
e.technological

ANS: B PTS: 1 DIF: 1 REF: 80

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. The consistency culture has a(n) ____ focus and an orientation for a ____ environment.
a.external; stable
b.external; dynamic
c.internal; stable
d.internal; dynamic
e.structural; dynamic

ANS: C PTS: 1 DIF: 3 REF: 81

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. Which of the following cultures values and rewards a methodical, rational, orderly way of doing things?
a.Achievement culture
b.Involvement culture
c.Accomplishment culture
d.Consistency culture
e.Adaptability culture

ANS: D PTS: 1 DIF: 2 REF: 81

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. ____ plays a key role in creating an organizational climate that enables learning and innovative responses to threats from the external environment, challenging new opportunities, or organizational crises.
a.Mission statement
b.Vision statement
c.Competitive intelligence
d.Employee training
e.Corporate culture

ANS: E PTS: 1 DIF: 2 REF: 82

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. What is likely to happen to organizations that pay little attention to either cultural values or business results?
a.Unlikely to survive for long
b.No help for performance during hard times
c.Profitable in short run but difficult to sustain over long term
d.High performance
e.none of these

ANS: A PTS: 1 DIF: 2 REF: 83

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. What is likely to happen to organizations that pay little attention to cultural values and instead stress business results?
a.Unlikely to survive for long
b.No help for performance during hard times
c.Profitable in short run but difficult to sustain over long term
d.High performance
e.none of these

ANS: C PTS: 1 DIF: 2 REF: 83-84

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. A high-performance culture is based on all of the following except
a.solid organizational mission
b.shared adaptive values
c.individual employee ownership of bottom-line results
d.individual employee ownership of organization’s cultural backbone
e.singular focus on business results

ANS: E PTS: 1 DIF: 1 REF: 84

NAT: AACSB Analytic | Group Dynamics TYP: F

  1. In a study by Kotter and Haskett evidence is provided to support the claim that ____ is important for performance.
a.managing cultural values
b.leading partnerships within an industry
c.surveying the external environment
d.managing client relationships as boundary spanners
e.empowering employees

ANS: A PTS: 1 DIF: 2 REF: 84

NAT: AACSB Analytic | Group Dynamics TYP: F

CASE

Scenario – Nikki Williams

Nikki Williams was working as the sales manager for Industrial Instruments. Some of the sales executives were showing signs of burnout. They were losing interest in their jobs and were no longer motivated to gain new accounts. The reward system focused on old reliable accounts, but Nikki was now under pressure to expand the customer base. Nikki had recently been to a seminar on corporate value systems. She recognized that the company’s CEO wanted to change in the way employees thought about the firm and in the way they related to one another. She further recognized that a lasting solution to her problem required a fundamental shift in perception.

  1. To affect the value system, Nikki will be working primarily with
a.the legal-political dimension.
b.the sociocultural dimension.
c.the internal cultural dimension.
d.the economic dimension.
e.the external dimension.

ANS:

c

PTS: 1 DIF: 1 REF: 75

NAT: AACSB Analytic | Group Dynamics KEY: Scenario Questions

TYP: A

  1. Nikki could use the following to affect the corporate culture:
a.structured symbolic logic.
b.stories about political heroes.
c.stories about company officers, stressing a value.
d.stories about economic depression.
e.all of these.

ANS:

c

PTS: 1 DIF: 2 REF: 75

NAT: AACSB Analytic | Group Dynamics KEY: Scenario Questions

TYP: F

  1. It appears that one of the problems that Nikki faced was the presence of a __________ gap.
a.culture
b.logic
c.generation
d.transformation
e.symbolic

ANS:

a

PTS: 1 DIF: 1 REF: 76

NAT: AACSB Analytic | Group Dynamics KEY: Scenario Questions

TYP: A

  1. Industrial Instruments operates in an environment that requires fast response and high-risk decision making. Which type of culture may be appropriate here?
a.Consistency
b.Adaptability
c.Clan
d.Achievement
e.Involvement

ANS:

b

PTS: 1 DIF: 1 REF: 79

NAT: AACSB Analytic | Group Dynamics KEY: Scenario Questions

TYP: A

Scenario – Melissa Hill

Melissa Hill, sales manager for One-Hit-Wonder Record Company, was trying to create a new strategy to turn around the declining record sales the company was facing. Melissa needed to find a way to find out what the customers really wanted, since One-Hit-Wonder didn’t have accurate information like the competitors did. It was imperative that she find the correct strategy and information because the company was in financial trouble. The company’s President wanted all employees to help find information and work as a team to develop better relationships that might help the company. He also stated that he wanted the company to remain an independent company. Melissa realized that through hard work and team efforts, the company could get back on its feet as soon as they got reliable information.

  1. Melissa will be working primarily with
a.the legal-political dimension.
b.the labor market.
c.the internal cultural dimension.
d.pressure groups.
e.the sociocultural dimension

ANS:

e

PTS: 1 DIF: 1 REF: 66

NAT: AACSB Analytic | Environmental Influence KEY: Scenario Questions

TYP: A

  1. The problem Melissa faced was
a.culture gap.
b.structural instability.
c.environmental uncertainty.
d.company transformation.
e.legal problems.

ANS:

c

PTS: 1 DIF: 1 REF: 72

NAT: AACSB Analytic | Environmental Influence KEY: Scenario Questions

TYP: A

  1. Which of the following would be the best way for One-Hit-Wonder to decrease its uncertainty?
a.To create boundary-spanning roles
b.To eliminate interorganizational partnerships
c.To merge with another company
d.To create a joint venture
e.None of these

ANS:

a

PTS: 1 DIF: 1 REF: 73

NAT: AACSB Analytic | Environmental Influence KEY: Scenario Questions

TYP: A

  1. Which of the following best describes One-Hit-Wonder’s culture?
a.Clan culture
b.Achievement culture
c.Consistency culture
d.Adaptability culture
e.None of these

ANS:

d

PTS: 1 DIF: 1 REF: 79

NAT: AACSB Analytic | Group Dynamics KEY: Scenario Questions

TYP: A

COMPLETION

  1. The external ____________________ includes all elements existing outside the boundary of the organization that have the potential to affect the organization.

ANS: organizational environment

PTS: 1 DIF: 2 REF: 64

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The ____________________ is the outer layer that is widely dispersed and affects organizations indirectly.

ANS: general environment

PTS: 1 DIF: 2 REF: 64

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. A(n) ____________________ includes the elements within the organization’s boundaries.

ANS: internal environment

PTS: 1 DIF: 2 REF: 65

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The ____________________ environment includes the sectors that conduct day-to-day transactions within the organization.

ANS: task

PTS: 1 DIF: 2 REF: 65

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. An example of ____________________ dimension is that Dixon Ticonderoga Co. is in trouble because of increased competition especially from low-cost pencil companies in China.

ANS: international

PTS: 1 DIF: 2 REF: 65

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The ____________________ environment represents an ever-changing and uneven playing field compared with domestic environment.

ANS: global

PTS: 1 DIF: 2 REF: 66

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The ____________________ dimension of the general environment includes scientific and technological advancements in a specific industry and in society.

ANS: technological

PTS: 1 DIF: 2 REF: 66

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The ____________________ dimension of the general environment represents the demographic characteristics as well as the norms, customs, and values of the general population.

ANS: sociocultural

PTS: 1 DIF: 2 REF: 66

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Lying at the heart of Chinese culture, ____________________ is a supportive, mutually beneficial connection between two people.

ANS: guanxi

PTS: 1 DIF: 2 REF: 67

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The general economic health of the country or region in which the organization operates is represented by the ____________________ dimension.

ANS: economic

PTS: 1 DIF: 2 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The ____________________ dimension includes government regulations at the local, state, and federal levels.

ANS:

legal-political

legal political

PTS: 1 DIF: 2 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. An interest group that works within the legal-political framework to influence companies to behave in socially responsible ways, is called a(n) ____________________.

ANS: pressure group

PTS: 1 DIF: 2 REF: 68

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Included in a(n) ____________________ environment are sectors that have a direct working relationships with the organization, among customers, competitors, suppliers, and the labor market.

ANS: task

PTS: 1 DIF: 2 REF: 69

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The ____________________ of the general environment includes all elements that occur naturally on earth.

ANS: natural dimension

PTS: 1 DIF: 2 REF: 69

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Managers today are concerned because technologically speaking, the ____________________ has given more power to customers and enabled them to directly impact an organization.

ANS: Internet

PTS: 1 DIF: 2 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. ____________________ are organizations in the same industry that provide goods or services to the same set of customers.

ANS: Competitors

PTS: 1 DIF: 2 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. People and organizations that provide raw materials the organization uses to produce its output are called ____________________.

ANS: suppliers

PTS: 1 DIF: 2 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. The ____________________ represents people in the environment who can be hired to work for the organization.

ANS: labor market

PTS: 1 DIF: 2 REF: 70

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Not having sufficient information about environmental factors to understand and predict environmental needs and changes is called ____________________.

ANS: uncertainty

PTS: 1 DIF: 2 REF: 72-73

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. When environmental factors change rapidly, the organization experiences ____________________ uncertainty.

ANS: very high

PTS: 1 DIF: 2 REF: 73

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. ____________________, ____________________, and ____________________ are three types of strategies that organizations can use to adapt to environmental changes.

ANS:

boundary-spanning roles; interorganizational partnerships; joint ventures

boundary-spanning roles; interorganizational partnerships; mergers

PTS: 1 DIF: 2 REF: 73-75

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Roles assumed by people that link the organization with the external environment are called ____________________ roles.

ANS: boundary-spanning

PTS: 1 DIF: 2 REF: 73

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. Interorganizational partnerships allow companies to join together to become ____________________ and share ____________________.

ANS: more effective; scarce resources

PTS: 1 DIF: 2 REF: 74

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. A(n) ____________________ is when two or more organizations combine to make one organization.

ANS: merger

PTS: 1 DIF: 2 REF: 75

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. A(n) ____________________ involves a strategic alliance or program by two or more organizations.

ANS: joint venture

PTS: 1 DIF: 2 REF: 75

NAT: AACSB Analytic | Environmental Influence TYP: F

  1. ____________________ are becoming more popular as organizations strive to keep up with technological advancements and compete in the global economy.

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