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MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the
question.
1) Tim's Tire Shop is concerned only with using the least amount of labor possible as it repairs/replaces the tires of
its customers. Its primary goal is 1) _______
A) efficiency. B) effectiveness.
C) goal attainment. D) management characteristics.
Application of Mintzberg's Management Roles
Suzanne was amazed. She had just spent the day with the CEO of a major manufacturing firm through a "Visit with
a Manager Program" developed by the college she attends. She was exhausted and wondered how the CEO managed
the hectic pace. Suzanne was amazed by the number of "hats" that the CEO was wearing throughout the day. The
day had started with a general manager's meeting where, the latest news concerning the competition had been
announced by the CEO. Then Suzanne and the CEO had spent an hour completing a report to be given the following
day to the board of directors. Lunch, where Suzanne had hoped to have time to ask questions, was an informal
meeting with a group of suppliers who were concerned about their increasing costs. As soon as they had returned to
the office, the CEO received a message of a fire in one of the major warehouses. They were immediately off to the
location to assess the damage. Then that evening, there was a formal dinner sponsored by the local Chamber of
Commerce, which the CEO had invited Suzanne to attend. Suzanne had declined, because she was exhausted.
2) When the CEO attended the supper held by the Chamber of Commerce, which role was the CEO displaying?
2) _______
A) negotiator B) monitor
C) figurehead D) spokesperson
3) Martin is the physician who heads the Critical Care Unit at Mercy Hospital, the most important roles that he
performs are probably ________ roles. 3) _______
A) figurehead B) decisional
C) disseminator D) monitor
4) Which of the following is not a criterion that can be used in determining if a business qualifies as a small
business? 4) _______
A) total assets B) sales
C) profits D) number of employees
5) At Augusta College, the Department Head who oversees activities of the faculty is a(n) 5)
A) top manager. B) middle manager.
C) operative. D) first-line manager.
6) Performing the task right and considering the relationship between inputs and outputs is 6)
A) efficiency. B) effectiveness.
C) goal attainment. D) a management characteristic.
_______
_______
7) Linda has spent the day in a session where the future of her company was discussed. The people involved were
trying to determine what the role of their company was as the 21st century approaches. Goals were then developed
based upon their vision of the company's mission. Linda spent her day on the ________ process. 7) _______
A) controlling B) organizing C) leading D) planning
8) The skill that centers on a manager's ability to work with, understand, and motivate other people is known as
________ skill. 8) _______
A) conceptual B) political
C) technical D) interpersonal
9) The goal of Dempsey's Dumpsters is to provide trash services to the city of Apex, whose motto is "The peak of
good living." The customers are satisfied with the level of service, but costs at Dempsey's Dumpsters are double that
of their competition. Dempsey's is 9) _______
A) neither efficient nor effective. B) effective but not efficient.
C) efficient but not effective. D) efficient and effective.
10) When the CEO of a large retail store chain decided to sell off or close some of the locations that were not
profitable, he was performing the management function referred to as ________. 10) ______
A) organizing B) leading C) controlling D) planning
11) ________ are responsible for carrying out the decisions and objectives that are developed by middle level
managers. 11) ______
A) First-line supervisors B) Operatives
C) Both A and B. D) Functional managers
12) A manager is someone who 12) ______
A) works anonymously behind the scenes.
B) sets the goals of the organization.
C) actually performs the service or produces the product.
D) supervises the work of others.
13) The level of management that translates the goals of the organization into specific plans that lower-level
managers can perform is known as 13) ______
A) middle management. B) operative managers.
C) first-line managers. D) top management.
14) Gabe Adams is a production supervisor for Waste Management Corp.; in his job, he makes the right decisions
and is able to implement them. We refer to Gabe as a(n) ________ manager. 14) ______
A) resource maximizing B) effective
C) competent D) efficient
15) Which of the following acts as an unambiguous measure of the effectiveness of a business organization? 15)
______
A) efficiency B) profits
C) increased revenues D) employee satisfaction
16) The greatest number and concentration of managers in most organizations can be found at the ________ level.
16) ______
A) district manager B) middle manager
C) first-line supervisor D) top manager
17) Which of the following is not true about operatives? 17) ______
A) A person on an assembly line could be described as an operative.
B) They work directly on a job or task.
C) They have no responsibility for overseeing the work of others.
D) They have no more than four employees who report directly to them.
Application of Management Skills
Shawna had spent the day "tagging" her uncle. He is the CEO of a large firm that manufactures cereal and related
products. Shawna was a management major at a local college, and one of her class assignments was to interview a
business manager. When she approached her uncle about the assignment, he told her that he felt she would get a
better feel for management if she would "shadow" him for a day. So, over fall break, she had spent the day with him.
He had spent his day dealing with a variety of issues. The first agenda item for the day had been a meeting with the
division manager who was having difficulties meeting his target amount due to his inability to motivate his
employees. Then it had been off to the assembly line floor to inspect a new procedure for filling cereal boxes. Lunch
had been with a group of local CEOs where everything from the new hiring laws to the latest economic reports had
been discussed. After lunch, Shawna had sat in on a meeting where the five-year strategic plan for the company was
being evaluated. All in all, it had been a day full of information Shawna could use for her class assignment.
18) The five-year meeting for setting a strategic plan was an example of ________. 18)
A) technical skills B) interpersonal skills
C) political skills D) conceptual skills
______
19) Jerry Bickford is the CFO at Montana Mutual Saving Bank. According to research studies, which management
activities are likely to take up the greatest amount of time? 19) ______
A) Planning B) Organizing
C) Leading D) Controlling
20) When managers motivate employees, direct the activities of others, select the most effective communication
channel, and resolve conflicts, they are performing which of the following processes of management? 20)
______
A) leading B) organizing C) controlling D) planning
21) As managers move up the organization, they do more
A) planning. B) direct overseeing.
C) leading. D) controlling.
21)
______
22) Katz developed four critical skills that managers must possess. Which of the following is not one of those four
skills? 22) ______
A) technical B) connection
C) interpersonal D) conceptual
23) Annie's Pies produces cakes and pies that come in 207 different flavors that are shipped across the USA. Each
week, 3 or 4 new flavors are added. Annie's produces high quality cakes and pies using the best ingredients, it
wastes little, and few employees work overtime because the business operates 23) ______
A) effectively. B) flexibly. C) efficiently. D) reliably.
24) Managers with this skill tend to be better at getting resources for their groups and appear to receive higher
evaluation and get more promotions. What is it? 24) ______
A) providing for growth and development
B) organizing and coordinating
C) political skills
D) motivating employees and handling conflicts
25) Angelo is well known for his skills in using the advanced programming software of the engineering field. In
fact, it was his specialized knowledge that led to his promotion as manager. Which managerial skill is Angelo
demonstrating? 25) ______
A) technical B) political
C) interpersonal D) conceptual
26) A manager who has a reputation for being open and honest and understands how to motivate employees and
customers is said to have good ________ skills. 26) ______
A) political B) sales
C) technical D) interpersonal
27) Almost everything managers do requires them to 27)
A) make decisions B) allocate resources
C) plan D) hold meetings
______
28) Which of the following statements about middle managers is not true? 28)
A) The number of middle managers in the most organizations is increasing.
B) Middle managers implement the objectives and plans of top management.
C) Operatives can report directly to middle managers.
D) Middle managers coordinate the work of supervisors.
______
29) Many business school professors make use of the case method of teaching in which students are asked to solve
various types of business problems. Which managerial skills are most likely to be developed using this teaching
method? 29) ______
A) Diagnostic and intellectual B) Technical and Interpersonal
C) Diagnostic and analytical D) Conceptual and interpersonal
30) If you get more output for a given input, you have 30)
A) decreased effectiveness. B) increased effectiveness.
C) increased efficiency. D) decreased efficiency.
______
Application of Management Skills
Shawna had spent the day "tagging" her uncle. He is the CEO of a large firm that manufactures cereal and related
products. Shawna was a management major at a local college, and one of her class assignments was to interview a
business manager. When she approached her uncle about the assignment, he told her that he felt she would get a
better feel for management if she would "shadow" him for a day. So, over fall break, she had spent the day with him.
He had spent his day dealing with a variety of issues. The first agenda item for the day had been a meeting with the
division manager who was having difficulties meeting his target amount due to his inability to motivate his
employees. Then it had been off to the assembly line floor to inspect a new procedure for filling cereal boxes. Lunch
had been with a group of local CEOs where everything from the new hiring laws to the latest economic reports had
been discussed. After lunch, Shawna had sat in on a meeting where the five-year strategic plan for the company was
being evaluated. All in all, it had been a day full of information Shawna could use for her class assignment.
31) The five-year meeting for setting a strategic plan requires management to have specific skills in all of the
following areas except which of the following? 31) ______
A) technical skills
B) handling information
C) controlling the organization's environment and its resources
D) organizing and coordinating
32) The average cash compensation in 2001 for 727 of the top executives at the 363 largest publicly held United
States corporations was over 32) ______
A) $100,000. B) $1,000,000. C) $2,800,000. D) $2,000,000.
33) George is representing his company at the local Chamber of Commerce Annual Business Recognition
luncheon. He is performing which managerial role? 33) ______
A) figurehead B) negotiation C) monitor D) liaison
34) The annual income of senior managers at large toy manufacturing firms ranges between 34)
A) $100,000-$200,000. B) $225,000-$750,000.
C) $200,000-$600,000. D) $300,000-$900,000.
Application of Mintzberg's Management Roles
______
Suzanne was amazed. She had just spent the day with the CEO of a major manufacturing firm through a "Visit with
a Manager Program" developed by the college she attends. She was exhausted and wondered how the CEO managed
the hectic pace. Suzanne was amazed by the number of "hats" that the CEO was wearing throughout the day. The
day had started with a general manager's meeting where, the latest news concerning the competition had been
announced by the CEO. Then Suzanne and the CEO had spent an hour completing a report to be given the following
day to the board of directors. Lunch, where Suzanne had hoped to have time to ask questions, was an informal
meeting with a group of suppliers who were concerned about their increasing costs. As soon as they had returned to
the office, the CEO received a message of a fire in one of the major warehouses. They were immediately off to the
location to assess the damage. Then that evening, there was a formal dinner sponsored by the local Chamber of
Commerce, which the CEO had invited Suzanne to attend. Suzanne had declined, because she was exhausted.
35) Jack Jones was a middle manager who managed the facility where the fire occurred. He took responsibility for
making sure that the fire was extinguished and communicating to the local community and others outside of the
company. When he completed these activities, what roles was Jack performing? 35) ______
A) Spokesperson and disturbance handler
B) Disseminator and leader
C) Disturbance handler and disseminator
D) Leader and spokesperson
36) Which of the following skills are most important for top managers (CEO's)? 36)
A) Conceptual B) Functional
C) Interpersonal D) Technical
______
Application of Mintzberg's Management Roles
Suzanne was amazed. She had just spent the day with the CEO of a major manufacturing firm through a "Visit with
a Manager Program" developed by the college she attends. She was exhausted and wondered how the CEO managed
the hectic pace. Suzanne was amazed by the number of "hats" that the CEO was wearing throughout the day. The
day had started with a general manager's meeting where, the latest news concerning the competition had been
announced by the CEO. Then Suzanne and the CEO had spent an hour completing a report to be given the following
day to the board of directors. Lunch, where Suzanne had hoped to have time to ask questions, was an informal
meeting with a group of suppliers who were concerned about their increasing costs. As soon as they had returned to
the office, the CEO received a message of a fire in one of the major warehouses. They were immediately off to the
location to assess the damage. Then that evening, there was a formal dinner sponsored by the local Chamber of
Commerce, which the CEO had invited Suzanne to attend. Suzanne had declined, because she was exhausted.
37) The CEO's role at lunch was an example of which of the following roles? 37)
A) negotiator B) disseminator
C) resource allocator D) monitor
______
38) The most recent approach to defining the manager's job focuses on ________, a cluster of related knowledge,
skills, and attitudes related to effective managerial performance. 38) ______
A) executive activities B) management competencies
C) behavioral traits D) the management skill set
39) Which skill centers on a manager's mental ability to coordinate all of the organization's interests and activities?
39) ______
A) political B) conceptual
C) technical D) interpersonal
40) ________ courses help managers gain a better understanding of motivation, leadership, trust, employee
selection, performance appraisals, and training techniques. 40) ______
A) Psychology B) Sociology
C) Anthropology D) Political science
41) In an organization, ________ translate(s) into goal attainment. 41)
A) effectiveness B) managerial functions
C) efficiency D) resource minimization
42) Managers primarily perform which of the following tasks? 42)
A) ordering merchandise
B) stocking merchandise
C) directing the activities of other people
D) selling
______
______
43) An organization must contain all except which of the following characteristics? 43)
A) structure B) product C) purpose D) people
______
Application of Mintzberg's Roles to Size of Organization
John is the CEO of a large manufacturing firm that produces construction equipment. George is the owner and
operator of a small business that produces one of the key engine components for John's manufacturing firm. Both
are managers; however, George has noticed some differences between his activities and the activities John performs.
George spends much of his time in outwardly directed activities such as meeting with customers and potential
investors. John seems to spend more of his time on activities that are directed internally, such as allocating resources
to appropriate departments. George wonders what accounts for this difference, and he goes to a management
consultant for input.
44) The most important role played by John will be which of the following? 44)
A) negotiator B) spokesperson
C) entrepreneur D) resource allocator
______
Application of Mintzberg's Management Roles
Suzanne was amazed. She had just spent the day with the CEO of a major manufacturing firm through a "Visit with
a Manager Program" developed by the college she attends. She was exhausted and wondered how the CEO managed
the hectic pace. Suzanne was amazed by the number of "hats" that the CEO was wearing throughout the day. The
day had started with a general manager's meeting where, the latest news concerning the competition had been
announced by the CEO. Then Suzanne and the CEO had spent an hour completing a report to be given the following
day to the board of directors. Lunch, where Suzanne had hoped to have time to ask questions, was an informal
meeting with a group of suppliers who were concerned about their increasing costs. As soon as they had returned to
the office, the CEO received a message of a fire in one of the major warehouses. They were immediately off to the
location to assess the damage. Then that evening, there was a formal dinner sponsored by the local Chamber of
Commerce, which the CEO had invited Suzanne to attend. Suzanne had declined, because she was exhausted.
45) The General Manager's meeting was most likely a result of the following management function: 45)
______
A) Controlling B) Planning
C) Decision-Making D) Organizing
46) The distinct purpose of an organization is typically expressed in terms of 46)
A) a systematic structure. B) its vision statement.
C) a goal or set of goals. D) management competencies.
______
47) Specific topics of concern to political scientists include structuring of conflict, allocating power, and
________. 47) ______
A) manipulating power for individual self interest
B) ethics
C) values
D) responsibilities
48) Operatives can best be described as 48) ______
A) those who work anonymously behind the scenes.
B) those who actually perform the service or produce the product.
C) those who supervise others.
D) those who set the goals of the organization.
49) A universally accepted model of what a successful manager looks like would be described as ________. 49)
______
A) one who executes all of the roles in a professional manner
B) one who practices the four universal processes or functions
C) there is no universally accepted model of a successful manager
D) one who possesses all management skills at high levels
50) ________ are responsible for making decisions about the direction of the organization and establishing policies
that affect all organizational members. 50) ______
A) First-line supervisors B) Operatives
C) Middle managers D) Top managers
51) In the early part of the 20th century, a French industrialist by the name of ________ wrote that managers
perform five functions, referred to as the management process. 51) ______
A) Douglas McGregor B) Henry Mintzberg
C) Max Weber D) Henri Fayol
Application of Mintzberg's Management Roles
Suzanne was amazed. She had just spent the day with the CEO of a major manufacturing firm through a "Visit with
a Manager Program" developed by the college she attends. She was exhausted and wondered how the CEO managed
the hectic pace. Suzanne was amazed by the number of "hats" that the CEO was wearing throughout the day. The
day had started with a general manager's meeting where, the latest news concerning the competition had been
announced by the CEO. Then Suzanne and the CEO had spent an hour completing a report to be given the following
day to the board of directors. Lunch, where Suzanne had hoped to have time to ask questions, was an informal
meeting with a group of suppliers who were concerned about their increasing costs. As soon as they had returned to
the office, the CEO received a message of a fire in one of the major warehouses. They were immediately off to the
location to assess the damage. Then that evening, there was a formal dinner sponsored by the local Chamber of
Commerce, which the CEO had invited Suzanne to attend. Suzanne had declined, because she was exhausted.
52) When the CEO was speaking at the manager's meeting, which of the following roles was being performed?
52) ______
A) resource allocator B) figurehead
C) entrepreneur D) disseminator
53) Josh is a middle manager in the engineering department at a power plant. Which of the following competency
is least important in his position? 53) ______
A) Monitor, maintain and improve service
B) Supervise the day-to-day work and tasks of each of his subordinates
C) Recruit and select qualified people
D) Exchange information to solve problems and make decisions
54) According to the author, small businesses will account for ________ of new job growth in the next decade.
54) ______
A) 33% B) 50% C) 25% D) 75%
55) Katz found that all of the following are critical management skills except ________. 55)
A) Technical/functional B) Political
C) Intellectual D) Interpersonal
______
56) When we classify managers according to their level in the organization they are described as ________. 56)
______
A) high level and lower level managers
B) top managers, middle managers and supervisors
C) general managers and administrative managers
D) functional, staff and line managers
57) The management charter initiative (MCI) is based on an analysis of management activities and focuses on
57) ______
A) what skills efficient managers should have.
B) what effective managers know, rather than what they should be able to do.
C) what effective managers should be able to do, rather than what they know.
D) what education is needed by effective managers.
58) Jose is involved with discussions among employees, management, and the union to which his employees
belong. They are discussing wage issues. Management is interested in keeping the wages at minimum wage. The
employees/union want $.50 plus minimum wage. Jose is performing which managerial role? 58) ______
A) negotiator B) organizer
C) monitor D) entrepreneur
59) Becky has joined an organization that promotes the discussion of current management topics. The majority of
the managers in North Carolina belong to the organization. Which managerial skill is Becky addressing? 59)
______
A) technical B) political
C) conceptual D) interpersonal
60) Nancy's strength as a manager lies in her ability to work with people. She is able to work with, motivate, and
lead others easily. Nancy is demonstrating which managerial skill? 60) ______
A) conceptual B) technical
C) interpersonal D) political
61) The ability to build networks and power bases that increase one's power in the organization is referred to as
________. 61) ______
A) influence skill B) strategic skill
C) political skill D) controlling
62) Small businesses account for ________ of all non-farm businesses in the United States. 62)
A) 27% B) 79% C) 98% D) 38%
63) According to Mintzberg, monitor, disseminator, and spokesperson activities are all 63)
A) planning roles. B) decisional roles.
C) interpersonal roles. D) informational roles.
______
______
64) The universality of management concept typically applies to all except which of the following countries? 64)
______
A) Chile B) United States
C) Australia D) Canada
65) Research has identified six sets of behaviors that explain more than 50% of a manager's effectiveness. Which
of the following is not one of these six sets of behavior? 65) ______
A) motivating employees and handling conflicts
B) making human resource decisions
C) strategic problem solving
D) organizing and coordinating
66) Martin is the Branch manager at Montana Mutual Saving Bank. If he is your average middle manager, which
of the four management activities is he likely to spend the greatest amount of time? 66) ______
A) Planning B) Leading
C) Negotiating D) Controlling
67) Which of the following is a characteristic of the old economy? 67)
A) The economy was driven by large corporations.
B) Job opportunities were for knowledge workers.
C) Customer needs drove business.
D) Business accepted its social responsibilities.
______
68) Which of the following is not an argument for the assumption of social responsibility by business? 68)
______
A) costs B) ethical obligations
C) long-run profits D) stockholder interests
69) There is a clear chain of cause-and-effect running from employee ________ and behavior to customer attitudes
and ________ to an organization's revenues and ________. 69) ______
A) attitudes; behavior; profits
B) perceptions; behavior; successes
C) needs; wants; profits
D) dissatisfaction; needs; image
70) Which wave of modern civilization transformed society from a manufacturing focus to a focus on service?
70) ______
A) industrialization B) agriculture
C) information D) manufacturing
71) Which of the following type of corporation initiated the rapid growth in international trade? 71)
A) transnational corporations B) blue-chip corporations
C) uninational corporations D) multinational corporations
______
Application of Contemporary Management Practices
Jenny had been reading several management periodicals for her class assignment. She was confused by all the terms
she had come across in her search for changes that were reshaping contemporary organizations. The first article had
described a new business owner who had taken a large calculated risk to initiate his new business venture where he
had become quite successful at the age of 26. The next article dealt with a process that managers were using for
quality control at a local cheese producing plant. The company was constantly monitoring the cheese-making
process and little by little improving the quality of its cheese. The next article was in direct contrast. This roller
blade manufacturer had decided that its product needed to be completely remade in order to keep up with the
competition. So it had basically started from scratch and developed a new revised product. Several of the articles
Jenny had read talked about companies laying off numerous employees, and the practice was not limited to the
United States. It was occurring worldwide. Finally, several articles had also mentioned that businesses were hiring
fewer core employees and using more contingent workers. Many larger businesses were hiring people to fill in for
those employees off for an extended time period, such as for a new dad off for 12 weeks after the birth of a child.
72) Which type of worker is replacing the new father who is staying home with his baby? 72)
A) temporary employee B) part-time employee
C) contract employee D) project employee
______
73) According to Hofstede, which of the following has a major impact on employees' work-related values and
attitudes? 73) ______
A) international culture B) regional culture
C) company culture D) national culture
74) Which of the following statements most accurately describes the average age of the American workforce? 74)
______
A) It is much younger than Japan's workforce.
B) There are an equal number of workers in each age category.
C) It is increasing.
D) It is much younger than it was 20 years ago.
75) In Stage II of going global, an organization might 75) ______
A) build production facilities in a foreign country.
B) license or franchise to another firm the right to use the organization's brand name.
C) hire foreign agents or brokers to represent the organization's product lines.
D) export products to foreign countries.
76) Which of the following is the fastest growing worker population in the global economy? 76)
A) Computer systems analysts B) Blue collar workers
C) Technical professionals D) Managers
77) An organization going global typically proceeds through three stages. In Stage I, 77)
A) the organization hires host country nationals.
B) the organization sells products in foreign countries or makes them in foreign factories.
C) managers export products to foreign countries.
D) the organization signs a licensing or franchise agreement.
______
______
78) Hofstede identified all of the following fundamental differences in values that can be used to characterize
people in different national cultures except: 78) ______
A) power orientation. B) economic orientation.
C) time orientation. D) social orientation.
79) According to the GLOBE leadership study which countries were rated the most collective, or least
individualistic? 79) ______
A) Hong Kong and United States B) Singapore and Japan
C) Greece and Germany D) Japan and Israel
80) ________ is the form of international business involvement in which a domestic and a foreign firm share the
costs of developing new products or building production facilities in a foreign country. 80) ______
A) Direct investment B) International brokering
C) A Joint venture D) An Importing agreement
Application of Hofstede's Cultural Dimensions
Kevin knew that it was likely his corporation was going to ask him to go abroad and manage the new chemical
factory they were building. He was excited about the prospects but also apprehensive. He had never traveled before
and, as far as he was concerned, there was only one way to do anything-the "American way." He decided some
research was in order to at least get an idea about other countries. In his reading, he learned that some cultures place
a high priority on a loose social framework, where they feel primarily responsible for themselves and their
immediate family. He also learned that in some societies, employees show a great deal of respect for those in
authority, and titles and rank carry much weight. Some countries have little job mobility and practice lifetime
employment. He also learned that some countries are characterized by assertiveness and materialism. Now he
wondered if there was any framework to help organize his thoughts.
81) Kevin noticed that in China, workers were more likely to hold the cultural belief that the group comes first.
This is what Hofstede referred to as ________. 81) ______
A) collectivism B) aggressive goal behavior
C) power tolerant D) individualism
82) The concept of a boundaryless world where goods and services are produced and marketed worldwide is
known as 82) ______
A) international businesses. B) the global village.
C) MNCs. D) the global community.
83) Acme Plastics is an organization that is becoming more diverse. As a result, management has been adapting its
human resource practices to reflect this change in all of the following ways but which one? 83) ______
A) hire and promote more minorities
B) promote and retain more white males
C) encourage vendor diversity
D) provide diversity training
84) Which of the following is not one of the four specific dimensions of national culture according to Hofstede?
84) ______
A) space acceptance
B) individualism versus collectivism
C) power distance
D) uncertainty avoidance
85) According to Toffler, which wave of modern civilization focused on the individual who was his/her own boss
performing a variety of tasks? 85) ______
A) information B) manufacturing
C) agriculture D) industrialization
86) Focusing on the greatest good for the greatest number of people is an example of which of the following views
of ethics? 86) ______
A) theory of justice view B) rights view
C) utilitarian view D) ethical view
Application of Hofstede's Cultural Dimensions
Kevin knew that it was likely his corporation was going to ask him to go abroad and manage the new chemical
factory they were building. He was excited about the prospects but also apprehensive. He had never traveled before
and, as far as he was concerned, there was only one way to do anything-the "American way." He decided some
research was in order to at least get an idea about other countries. In his reading, he learned that some cultures place
a high priority on a loose social framework, where they feel primarily responsible for themselves and their
immediate family. He also learned that in some societies, employees show a great deal of respect for those in
authority, and titles and rank carry much weight. Some countries have little job mobility and practice lifetime
employment. He also learned that some countries are characterized by assertiveness and materialism. Now he
wondered if there was any framework to help organize his thoughts.
87) What orientation describes a culture that is characterized by planning, investing in the future and delaying
gratification? 87) ______
A) Time orientation B) Individual orientation
C) Assertiveness orientation D) Future orientation
88) Based on his research, Kevin discovered that which of the following Globe cultural dimensions was not
contained in Hofstede's original of national culture? 88) ______
A) Time orientation
B) Humane orientation
C) Individualism versus collectivism orientation
D) Assertiveness orientation
Application of Corporate Social Responsibility
Kerri was confused. Her management class was focusing on social responsibility, and her assignment was to find
business cases demonstrating social responsibility. She had several examples, but now she was not sure which case
was an example of which concept. Her first business dealt with the tuna industry, which in response to pressure from
environmentalists, had stated dolphins would no longer be caught with the tuna. Her second business dealt with a
company whose primary focus was on profit maximization for its stockholders. The primary focus of this company
was legal compliance and profit maximization. Her third business was in the tobacco industry that each year gives
thousands of dollars to the arts. Her fourth business also dealt with the tobacco companies and the fact they were no
longer advertising near local schools. Legislation had been enacted in order to prevent cigarettes from being
promoted in locations where children under the age of 18 would be likely to see the advertisements.
89) Which of the following actions were not represented in Kerri's assignment? 89)
A) ethical obligation B) social obligation
C) social responsibility D) social responsiveness
90) One of the greatest effects of e-commerce is that 90)
A) costs will be reduced.
B) computers will be less important.
C) employees become more powerful.
D) customers will be empowered.
______
______
91) The United States labor shortage is a function of two factors: birth rates and ________. 91)
A) labor participation B) workforce downsizing
C) lack of knowledge workers D) outsourcing
______
92) A large chemical company not only disposes of all toxic waste properly as outlined by law, but it also spends
$1 million dollars each year on research to determine better processes for all businesses to use in disposing of toxic
wastes. This company is exhibiting which of the following? 92) ______
A) moral obligation B) social obligation
C) social responsiveness D) social responsibility
Application of Hofstede's Cultural Dimensions
Kevin knew that it was likely his corporation was going to ask him to go abroad and manage the new chemical
factory they were building. He was excited about the prospects but also apprehensive. He had never traveled before
and, as far as he was concerned, there was only one way to do anything-the "American way." He decided some
research was in order to at least get an idea about other countries. In his reading, he learned that some cultures place
a high priority on a loose social framework, where they feel primarily responsible for themselves and their
immediate family. He also learned that in some societies, employees show a great deal of respect for those in
authority, and titles and rank carry much weight. Some countries have little job mobility and practice lifetime
employment. He also learned that some countries are characterized by assertiveness and materialism. Now he
wondered if there was any framework to help organize his thoughts.
93) A culture that practices lifetime employment would be demonstrating which dimension of national culture?
93) ______
A) power distance
B) individualism versus collectivism
C) quantity versus quality of life
D) uncertainty avoidance
94) Who runs operations in each country for a transnational corporation? 94)
A) nationals
B) management teams sent from the Home Office
C) management teams sent from the Regional Office
______
D) management teams sent from the United States
95) If a United States company that furnishes the facilities and equipment and a Chinese firm that furnishes the
operating capital join together to build ships for international commerce, they are involved in 95) ______
A) a strategic alliance B) outsourcing
C) licensing D) importing and exporting
96) Choose the activity that is not one that entrepreneurs engage in. 96)
A) Assess the potential for the new venture.
B) Choose the right insurance agency.
C) Deal with start-up issues.
D) Plan the venture.
______
Application of Contemporary Management Practices
Jenny had been reading several management periodicals for her class assignment. She was confused by all the terms
she had come across in her search for changes that were reshaping contemporary organizations. The first article had
described a new business owner who had taken a large calculated risk to initiate his new business venture where he
had become quite successful at the age of 26. The next article dealt with a process that managers were using for
quality control at a local cheese producing plant. The company was constantly monitoring the cheese-making
process and little by little improving the quality of its cheese. The next article was in direct contrast. This roller
blade manufacturer had decided that its product needed to be completely remade in order to keep up with the
competition. So it had basically started from scratch and developed a new revised product. Several of the articles
Jenny had read talked about companies laying off numerous employees, and the practice was not limited to the
United States. It was occurring worldwide. Finally, several articles had also mentioned that businesses were hiring
fewer core employees and using more contingent workers. Many larger businesses were hiring people to fill in for
those employees off for an extended time period, such as for a new dad off for 12 weeks after the birth of a child.
97) The new business owner could best be described by which of the following? 97)
A) entrepreneur B) intrapreneur
C) downsizer D) reengineer
______
Application of Hofstede's Cultural Dimensions
Kevin knew that it was likely his corporation was going to ask him to go abroad and manage the new chemical
factory they were building. He was excited about the prospects but also apprehensive. He had never traveled before
and, as far as he was concerned, there was only one way to do anything-the "American way." He decided some
research was in order to at least get an idea about other countries. In his reading, he learned that some cultures place
a high priority on a loose social framework, where they feel primarily responsible for themselves and their
immediate family. He also learned that in some societies, employees show a great deal of respect for those in
authority, and titles and rank carry much weight. Some countries have little job mobility and practice lifetime
employment. He also learned that some countries are characterized by assertiveness and materialism. Now he
wondered if there was any framework to help organize his thoughts.
98) A culture that is characterized by assertiveness and materialism would be demonstrating which dimension of
national culture? 98) ______
A) individualism versus collectivism
B) uncertainty avoidance
C) quantity versus quality of life
D) power distance
99) According to Toffler all of the following were characteristic of Wave 2-Industrialization except
______
A) rise of skilled craftsmen. B) rise of blue-collar workers.
C) mass production. D) specialized jobs.
99)
Application of Hofstede's Cultural Dimensions
Kevin knew that it was likely his corporation was going to ask him to go abroad and manage the new chemical
factory they were building. He was excited about the prospects but also apprehensive. He had never traveled before
and, as far as he was concerned, there was only one way to do anything-the "American way." He decided some
research was in order to at least get an idea about other countries. In his reading, he learned that some cultures place
a high priority on a loose social framework, where they feel primarily responsible for themselves and their
immediate family. He also learned that in some societies, employees show a great deal of respect for those in
authority, and titles and rank carry much weight. Some countries have little job mobility and practice lifetime
employment. He also learned that some countries are characterized by assertiveness and materialism. Now he
wondered if there was any framework to help organize his thoughts.
100) In the Philippines, cock-fighting, bull fights, and other aggressive games are a national pastime; based on this
observation, this culture would appear to be rated high on the ________ orientation. 100) ______
A) assertiveness B) quantity versus quality of life
C) collectivism D) uncertainty avoidance
101) Which of the following international business strategies has the lowest amount of risk? 101)
A) Licensing strategy B) Importing/exporting strategy
C) Direct investment D) Joint venture
102) The use of intranets and extranets is lowest in which type of organization? 102)
A) Type A B) Type E C) Type C D) Type B
______
______
103) Technology has made it possible to enhance production processes by replacing 103)
A) electronic/computer equipment with human labor.
B) human labor with assembly lines/manufacturing firms.
C) human labor with electronic/computer equipment.
D) assembly lines/manufacturing firms with electronic/computer equipment.
______
104) Managers today realize that long-term success can be achieved primarily by satisfying the customer.
Customers are demanding quicker service, higher quality, and more ________. 104) ______
A) online choices B) variety in services
C) personal attention D) value for their money
105) An international business advances to stage III. Which of the following new strategies are used (Stage I)
usually become involved? 105) ______
A) Joint ventures and licensing
B) Direct investment and exporting
C) Agents and importing
D) Importing and exporting
106) What strategy did HP use when it agreed to let some Japanese firms manufacture computers and printers and
use the HP name and logo? 106) ______
A) Joint venture B) Licensing
C) Direct investment D) Importing/exporting
107) Which of the following deals with the need of a business to meet only basic economic and legal standards?
107) ______
A) social obligation B) moral obligation
C) social responsiveness D) social responsibility
108) Which of the following is not a component of total quality management? 108)
A) accurate measurement
B) concern for continuous improvement
______
C) employee empowerment
D) focus on the stockholders of the company
109) A large pulp and paper company meets all federal guidelines and obeys all laws rigorously as it cuts down
timber. The primary concern of this company is compliance and profit maximization for its stockholders. This
company is exhibiting which of the following? 109) ______
A) social responsiveness B) social responsibility
C) moral obligation D) social obligation
110) The United States does not produce rubber, so when a United States Tire Manufacturer wants to purchase
rubber to manufacture its tires locally in the United States, it must engage in which kind of strategy? 110)
______
A) Global sourcing B) Direct investment
C) Importing D) Exporting
Application of SWOT Analysis
Terry had been told to reexamine the strategic niche their company held in the cosmetic industry. Top management
did not want the company caught unaware of any changes occurring. Terry began reviewing a list of factors in his
mind. There had been some negative publicity lately due to cosmetic testing on animals. The animals were well
treated, but they were used to test new products. Positively, sales industry-wide was up 10%. Women were buying
more cosmetics in general, which was nothing but good for the company. Another positive factor was their
personnel. They had good people working in the company, particularly in research and development. The only other
negative Terry could find was that the advertising campaign that was begun last year had not shown the results they
had hoped for. Something needed to be done in that department. Terry began to compile his report.
111) The quality of the company's personnel would be classified as which of the following? 111)
A) weakness B) threat
C) opportunity D) strength
______
112) There are many healthcare products manufacturers. Forrest Labs Drug Company manufactures only personal
hygiene products. It markets such products deodorant, body powder, body creams, and exfoliates. Because it only
stocks body care and personal hygiene products, it is using a(n) ________ strategy. 112) ______
A) emergent B) cost leadership
C) prospecting D) focus
113) A candy store that places its expensive chocolates only in fine hotels and restaurants frequented by the very
rich is using which of the following competitive advantage strategies? 113) ______
A) cost-leadership strategy B) focus strategy
C) retrenchment strategy D) differentiation strategy
114) Which of the following is an argument against formal planning? 114)
A) Planning focuses on the past.
B) Planning cannot replace creativity.
C) Planning may create rigidity.
D) all of the above.
115) The organizational formality of Apple Computer ultimately led to
A) hampered creativity. B) a successful organization.
C) increased vision. D) increased market share.
115)
______
______
116) The owner of a chain of supermarkets sets a goal of opening up ten new stores in new locations within the
next six years. This is a ________ plan? 116) ______
A) short-range B) long range
C) standing D) directional
117) Which of the following is an argument against formal planning? 117)
A) Planning focuses on the future.
B) Planning may create rigidity.
C) Planning ignores prior successes.
D) Planning replaces creativity.
______
118) The fact that The Nordstrom Company has a very strong culture that embraces service and customer
satisfaction makes it also difficult to create change; this is an example of the fact that culture can be ________.
118) ______
A) a core competency
B) critical resource
C) a source of competitive advantage
D) both a strength and a weakness
119) When objectives are not written down or rarely verbalized, and the planning is general and lacks continuity,
which of the following types of planning is used? 119) ______
A) environmental planning B) economic planning
C) formal planning D) informal planning
120) Which of the following is a nine-step process that involves strategic planning, implementation, and
evaluation? 120) ______
A) decision-making process B) tactical management process
C) strategic management process D) long-range planning process
Application of MBO
Kay was excited. She had just returned from a manager's retreat where MBO had been discussed. This had never
been used in her organization before, and she was enthusiastic about implementing the program in her department.
She received the OK from her manager, the division head, who vaguely remembered having heard of the program
several years earlier. Kay looked over the handout she had received. She was still somewhat confused on who was to
choose the goals for the employees. However, she knew that the goals once chosen needed to be specific and have
explicit time periods attached. Even though there was a lot of work to do in order to implement the program, Kay
was excited. She knew this would prove to be beneficial to the organization.
121) Kay knew she wanted her employees to view the objectives as which of the following? 121)
A) challenging and yet unrealistic
B) floors
C) ceilings
D) unobtainable in order to encourage stretching
______
122) When planning involves specific objectives (covering a period of years) that are then written down and made
available to organization members with specific action programs for achieving the goal, which of the following
types of planning was used? 122) ______
A) formal planning B) economic planning
C) environmental planning D) informal planning
Application of Porter's Competitive Strategy
Stacie sighed. Her general manager had just left after giving her the latest assignment-readdress the competitive
advantage of their company. By Friday's meeting, Stacie was to have developed three differing strategies the
business could use in order to maintain its competitive advantage. Its computer business was slowly losing market
share to its competitors, and everyone realized something needed to be done. Stacie glanced through the article by
Michael Porter that her manager had left with her. According to Porter, there were three differing types of strategies
they could choose from. Stacie began wondering if there was a way they could make their computers cheaper, which
would allow them to then sell at a lower price. If they could reduce price by $100 a machine, they would be the
industry leaders in price. Stacie wondered if they could find any lower-priced suppliers for the more expensive parts
of their computers. She knew that their computers appealed particularly to small business owners due in part to
price. They were able to offer the lower price because their computers were not as powerful or fast as some
machines, but did contain the necessary word processing, database, and spreadsheet capabilities necessary for a
typical small business owner. The lack of frills with the solid three program capabilities, plus their known reputation
for quality had worked for them in the past. Stacie wondered if perhaps they needed to look at a smaller segment of
the market, maybe small businesses with large accounts receivables that would fully utilize their specific database.
She knew that would cut their market by 1/8 but maybe achieving a definite market niche would help. Stacie began
compiling her report for Friday's meeting.
123) Stacie knew that in order to keep its competitive advantage, her company would have to do which of the
following? 123) ______
A) take constant action B) lower price
C) hire new management D) remain profitable
124) The Hummer television ads frequently show the company's SUVs being driven under very challenging
off-road conditions and over difficult terrain in order to impress consumers with how well built the vehicles are and
to create the impression that the Hummer Volvos are among the most rugged cars on the market. What type of
competitive business strategy is Hummer using? 124) ______
A) Differentiation B) Growth
C) Overall cost leadership D) Focus
125) Porter's term for an organization that cannot use one of his three strategies is 125)
A) derailed. B) stuck in the middle.
C) noncompeting. D) on a limb.
______
126) Which of following is not one of the reasons why managers should engage in planning as that was stated in
the text? 126) ______
A) Planning provides direction.
B) Planning reduces cost.
C) Planning minimizes waste and redundancy.
D) Planning facilitates control.
127) Which of the following is not an ingredient in MBO programs? 127)
A) participative decision making B) performance feedback
C) goal specificity D) general time period
128) Once a plan is established, it should always be 128)
A) followed. B) long term. C) flexible. D) changed.
______
______
129) Krispy Kreme has a distribution network that allows fresh doughnuts to be transported to convenience stores,
and supermarkets. Krispy Kreme outlets before dawn so that consumers can enjoy them. This is a unique source of
competitive advantage for Krispy Kreme known as a(n) ________. 129) ______
A) strategic opportunity B) organizational capability
C) organizational strength D) core competency
130) Each MBO objective must have 130) ______
A) a percentage change specified. B) a specified dollar amount.
C) a concise time period. D) a reference to quality.
131) Managers can overcome the criticisms of management by objectives by 131)
A) rewarding employees for setting easy goals.
B) treating MBO as a single-event activity.
C) punishing employees who fail to achieve goals.
______
D) ensuring that employees have multiple goals.
Application of MBO
Kay was excited. She had just returned from a manager's retreat where MBO had been discussed. This had never
been used in her organization before, and she was enthusiastic about implementing the program in her department.
She received the OK from her manager, the division head, who vaguely remembered having heard of the program
several years earlier. Kay looked over the handout she had received. She was still somewhat confused on who was to
choose the goals for the employees. However, she knew that the goals once chosen needed to be specific and have
explicit time periods attached. Even though there was a lot of work to do in order to implement the program, Kay
was excited. She knew this would prove to be beneficial to the organization.
132) Who should develop the employee goals for the MBO program? 132)
A) Kay's manager B) Kay and the employees
C) employees D) Kay
______
133) The greater the uncertainty, the more plans should be of the ________ variety. 133)
A) long-term B) intermediate in length
C) rigid D) short-term
______
Application of MBO
Kay was excited. She had just returned from a manager's retreat where MBO had been discussed. This had never
been used in her organization before, and she was enthusiastic about implementing the program in her department.
She received the OK from her manager, the division head, who vaguely remembered having heard of the program
several years earlier. Kay looked over the handout she had received. She was still somewhat confused on who was to
choose the goals for the employees. However, she knew that the goals once chosen needed to be specific and have
explicit time periods attached. Even though there was a lot of work to do in order to implement the program, Kay
was excited. She knew this would prove to be beneficial to the organization.
134) Kay knew that the research showed that MBO allows which of the following? 134)
A) increased sales
B) decreased employee performance
C) increased profits
D) increased employee performance
______
Application of SWOT Analysis
Terry had been told to reexamine the strategic niche their company held in the cosmetic industry. Top management
did not want the company caught unaware of any changes occurring. Terry began reviewing a list of factors in his
mind. There had been some negative publicity lately due to cosmetic testing on animals. The animals were well
treated, but they were used to test new products. Positively, sales industry-wide was up 10%. Women were buying
more cosmetics in general, which was nothing but good for the company. Another positive factor was their
personnel. They had good people working in the company, particularly in research and development. The only other
negative Terry could find was that the advertising campaign that was begun last year had not shown the results they
had hoped for. Something needed to be done in that department. Terry began to compile his report.
135) Which analysis would assist Terry to identify a strategic niche that the company could exploit? 135)
______
A) MBWA B) SWAT analysis
C) SWOT analysis D) MBO
Application of Porter's Competitive Strategy
Stacie sighed. Her general manager had just left after giving her the latest assignment-readdress the competitive
advantage of their company. By Friday's meeting, Stacie was to have developed three differing strategies the
business could use in order to maintain its competitive advantage. Its computer business was slowly losing market
share to its competitors, and everyone realized something needed to be done. Stacie glanced through the article by
Michael Porter that her manager had left with her. According to Porter, there were three differing types of strategies
they could choose from. Stacie began wondering if there was a way they could make their computers cheaper, which
would allow them to then sell at a lower price. If they could reduce price by $100 a machine, they would be the
industry leaders in price. Stacie wondered if they could find any lower-priced suppliers for the more expensive parts
of their computers. She knew that their computers appealed particularly to small business owners due in part to
price. They were able to offer the lower price because their computers were not as powerful or fast as some
machines, but did contain the necessary word processing, database, and spreadsheet capabilities necessary for a
typical small business owner. The lack of frills with the solid three program capabilities, plus their known reputation
for quality had worked for them in the past. Stacie wondered if perhaps they needed to look at a smaller segment of
the market, maybe small businesses with large accounts receivables that would fully utilize their specific database.
She knew that would cut their market by 1/8 but maybe achieving a definite market niche would help. Stacie began
compiling her report for Friday's meeting.
136) The competitive advantage focusing on a lower price would be a
A) differentiation strategy. B) retrenchment strategy.
C) cost-leadership strategy. D) focus strategy.
136)
______
137) Peter Drucker, a well-known management author, believes that entrepreneurs can find opportunities in
________. 137) ______
A) the unexpected B) the process need
C) the incongruous D) all of the above
138) In those organizations where formal planning did not lead to higher performance, the culprit was which of the
following? 138) ______
A) management B) competition
C) environment D) marketing plan
139) Larry's Company is in the process of buying a smaller competitor and incorporating that company's resources
into his business. This is an example of which of the following types of strategies? 139) ______
A) merger B) acquisition
C) stability D) retrenchment
Application of MBO
Kay was excited. She had just returned from a manager's retreat where MBO had been discussed. This had never
been used in her organization before, and she was enthusiastic about implementing the program in her department.
She received the OK from her manager, the division head, who vaguely remembered having heard of the program
several years earlier. Kay looked over the handout she had received. She was still somewhat confused on who was to
choose the goals for the employees. However, she knew that the goals once chosen needed to be specific and have
explicit time periods attached. Even though there was a lot of work to do in order to implement the program, Kay
was excited. She knew this would prove to be beneficial to the organization.
140) In order for MBO to work most effectively in Kay's department, which level of support does she still need to
receive? 140) ______
A) first-line managers
B) top managers
C) middle managers
D) She does not need the support of management.
Application of Management Skills
Shawna had spent the day "tagging" her uncle. He is the CEO of a large firm that manufactures cereal and related
products. Shawna was a management major at a local college, and one of her class assignments was to interview a
business manager. When she approached her uncle about the assignment, he told her that he felt she would get a
better feel for management if she would "shadow" him for a day. So, over fall break, she had spent the day with him.
He had spent his day dealing with a variety of issues. The first agenda item for the day had been a meeting with the
division manager who was having difficulties meeting his target amount due to his inability to motivate his
employees. Then it had been off to the assembly line floor to inspect a new procedure for filling cereal boxes. Lunch
had been with a group of local CEOs where everything from the new hiring laws to the latest economic reports had
been discussed. After lunch, Shawna had sat in on a meeting where the five-year strategic plan for the company was
being evaluated. All in all, it had been a day full of information Shawna could use for her class assignment.
141) The meeting with the division manager concerning his inability to motivate his employees is a demonstration
of 141) ______
A) political skills. B) technical skills.
C) conceptual skills. D) interpersonal skills.
142) Managers in both small and large organizations perform essentially the same activities; only ________ and
the ________ is/are different. 142) ______
A) length of time they spend on each; professionalism used
B) how they go about them; company budgets
C) the proportion of time they spend on each; number of employees
D) how they go about them; proportion of time they spend on each
Application of Mintzberg's Roles to Size of Organization
John is the CEO of a large manufacturing firm that produces construction equipment. George is the owner and
operator of a small business that produces one of the key engine components for John's manufacturing firm. Both
are managers; however, George has noticed some differences between his activities and the activities John performs.
George spends much of his time in outwardly directed activities such as meeting with customers and potential
investors. John seems to spend more of his time on activities that are directed internally, such as allocating resources
to appropriate departments. George wonders what accounts for this difference, and he goes to a management
consultant for input.
143) The consultant informs George that the most important role of a small business manager is which of the
following? 143) ______
A) negotiator B) disseminator
C) monitor D) spokesperson
144) Doing a job in a way that achieves results without wasting any resources is referred to as being ________.
144) ______
A) efficient B) effective
C) conservative D) both A and B
145) The skill that centers on a manager's ability to build a power base and establish the "right" connections is
known as ________ skill. 145) ______
A) technical B) interpersonal
C) conceptual D) political
146) When the VP for Marketing from Wal Mart establishes a good relationship with the Executive Director of the
Senior Citizens Center, he helps create a positive image among the senior citizens who are protesting high prices at
the local store. He is performing the ________ role. 146) ______
A) negotiator B) figurehead
C) spokesperson D) leader
147) Jennifer assigns George a project to be completed by the end of the month and then holds periodic meetings
with him to review his progress. Which of the management functions is Jennifer performing? 147) ______
A) controlling B) planning C) organizing D) leading
148) An organization interested in changing demographics that alter customer and employment markets could
benefit from topics taught in a(n) ________ course. 148) ______
A) psychology B) sociology
C) anthropology D) economics
Application of Mintzberg's Management Roles
Suzanne was amazed. She had just spent the day with the CEO of a major manufacturing firm through a "Visit with
a Manager Program" developed by the college she attends. She was exhausted and wondered how the CEO managed
the hectic pace. Suzanne was amazed by the number of "hats" that the CEO was wearing throughout the day. The
day had started with a general manager's meeting where, the latest news concerning the competition had been
announced by the CEO. Then Suzanne and the CEO had spent an hour completing a report to be given the following
day to the board of directors. Lunch, where Suzanne had hoped to have time to ask questions, was an informal
meeting with a group of suppliers who were concerned about their increasing costs. As soon as they had returned to
the office, the CEO received a message of a fire in one of the major warehouses. They were immediately off to the
location to assess the damage. Then that evening, there was a formal dinner sponsored by the local Chamber of
Commerce, which the CEO had invited Suzanne to attend. Suzanne had declined, because she was exhausted.
149) When the General Managers meet annually to approve the business unit strategies and new acquisitions, they
are performing the ________ role. 149) ______
A) entrepreneur B) leader
C) disturbance handler D) planner
150) According to Mintzberg, which management category includes the roles of figurehead, leader, and liaison?
150) ______
A) interpersonal B) informational
C) planning D) decisional
151) Mintzberg grouped the ten managerial roles into three primary headings. Which of the following is not one of
these headings? 151) ______
A) planning B) transfer of information
C) decision making D) interpersonal relationships
152) The importance of managerial roles varies depending on the ________. 152)
A) manager's salary
B) manager's level in the organization
C) manager's acceptance by the employees
D) length of time the manager has worked in the organization
153) Which of the following roles is categorized as a decisional role? 153)
A) Monitor B) Resource allocator
C) Disseminator D) Leader
154) ________ is not an example of a title of a middle manager. 154)
A) First-line B) Dean
C) Division manager D) District manager
______
______
______
155) All of the following are primary management functions except ________. 155)
A) hiring employees B) monitoring activities
C) setting goals D) motivating employees
______
156) Defining goals, establishing an overall strategy, and developing a comprehensive hierarchy of plans is known
as which of the following processes of management? 156) ______
A) leading B) organizing C) controlling D) planning
157) Conceptual skills relate to a manager's ability to 157) ______
A) understand and interact effectively with others in the organization.
B) correctly evaluate organizational problems.
C) take a strategic view of how the part of the organization function.
D) solve detailed problems in groups.
158) Which of the following is not a managerial role identified in Mintzberg's Model? 158)
A) Interpersonal B) Functional
C) Decisional D) Informational
______
159) Managers in not-for-profit organizations, as opposed to profit-seeking organizations, do not face a(n)
________ test for performance. 159) ______
A) evaluation B) employee accountability
C) management by objectives D) profit-maximizing
Application of Mintzberg's Management Roles
Suzanne was amazed. She had just spent the day with the CEO of a major manufacturing firm through a "Visit with
a Manager Program" developed by the college she attends. She was exhausted and wondered how the CEO managed
the hectic pace. Suzanne was amazed by the number of "hats" that the CEO was wearing throughout the day. The
day had started with a general manager's meeting where, the latest news concerning the competition had been
announced by the CEO. Then Suzanne and the CEO had spent an hour completing a report to be given the following
day to the board of directors. Lunch, where Suzanne had hoped to have time to ask questions, was an informal
meeting with a group of suppliers who were concerned about their increasing costs. As soon as they had returned to
the office, the CEO received a message of a fire in one of the major warehouses. They were immediately off to the
location to assess the damage. Then that evening, there was a formal dinner sponsored by the local Chamber of
Commerce, which the CEO had invited Suzanne to attend. Suzanne had declined, because she was exhausted.
160) At the General Manager's Meeting, the budget for new fire alarms sensors were approved along with a
program for training all employees in first aid, what role(s) were the General Managers performing at the meeting?
160) ______
A) Resource allocator and negotiator
B) Disturbance handler and leader
C) Disturbance handler and resource allocator
D) Leader and resource allocator
161) Telecommuting will change the relationship between managers and employees. Managers can expect
______
A) that employees need greater managerial time.
B) greater employee involvement in decision making.
C) employees will be less productive.
D) that tighter controls are needed.
162) Decision making in transnational corporations occurs at the ________ level. 162)
A) continental B) home office
C) regional D) local
161)
______
Application of Contemporary Management Practices
Jenny had been reading several management periodicals for her class assignment. She was confused by all the terms
she had come across in her search for changes that were reshaping contemporary organizations. The first article had
described a new business owner who had taken a large calculated risk to initiate his new business venture where he
had become quite successful at the age of 26. The next article dealt with a process that managers were using for
quality control at a local cheese producing plant. The company was constantly monitoring the cheese-making
process and little by little improving the quality of its cheese. The next article was in direct contrast. This roller
blade manufacturer had decided that its product needed to be completely remade in order to keep up with the
competition. So it had basically started from scratch and developed a new revised product. Several of the articles
Jenny had read talked about companies laying off numerous employees, and the practice was not limited to the
United States. It was occurring worldwide. Finally, several articles had also mentioned that businesses were hiring
fewer core employees and using more contingent workers. Many larger businesses were hiring people to fill in for
those employees off for an extended time period, such as for a new dad off for 12 weeks after the birth of a child.
163) The roller blade company was using which of the following techniques? 163)
A) total quality management B) entrepreneurship
C) rightsizing D) intrapreneurship
______
Application of Corporate Social Responsibility
Kerri was confused. Her management class was focusing on social responsibility, and her assignment was to find
business cases demonstrating social responsibility. She had several examples, but now she was not sure which case
was an example of which concept. Her first business dealt with the tuna industry, which in response to pressure from
environmentalists, had stated dolphins would no longer be caught with the tuna. Her second business dealt with a
company whose primary focus was on profit maximization for its stockholders. The primary focus of this company
was legal compliance and profit maximization. Her third business was in the tobacco industry that each year gives
thousands of dollars to the arts. Her fourth business also dealt with the tobacco companies and the fact they were no
longer advertising near local schools. Legislation had been enacted in order to prevent cigarettes from being
promoted in locations where children under the age of 18 would be likely to see the advertisements.
164) The third business believes it has 164) ______
A) social responsiveness. B) social obligation.
C) moral obligation. D) social responsibility.
165) Linking staffing levels to organizational goals is known as 165)
A) downsizing. B) work process engineering.
C) outsourcing. D) rightsizing.
______
166) A(n) ________ business transcends national boundaries and decentralizes decision making in each operation
to the local level. 166) ______
A) transnational B) multinational
C) international D) domestic
167) Which of the following is not a component of the Continuous Improvement Process? 167)
A) accurate measurement process
B) reward for performance
C) concern for continuous improvement
D) intense customer focus
______
168) A society where there is relatively little job mobility and widely practiced lifetime employment would be an
example of which of the following dimensions of national culture? 168) ______
A) individualism versus collectivism
B) power distance
C) quality of life
D) uncertainty avoidance
169) The utilitarian view of ethical behavior is that which provides ________. 169) ______
A) the greatest good for the greatest number of people
B) fair and impartial enforcement of rules
C) respect and protects the individual's fundamental rights
D) protection of individual rights to free speech, privacy, religion and due process interests
170) The belief that a firm's obligation goes beyond that required by law and economics, and includes a pursuit of
long-term goals that are good for society is known as 170) ______
A) social responsiveness. B) social responsibility.
C) social obligation. D) ethical responsibility.
171) In France, status is often the result of all the following factors except
A) organizational factors. B) education.
C) personal accomplishment. D) seniority.
171)
______
172) _________ is the cultural belief that the group is more important and takes priority over the interests of the
individual. 172) ______
A) Humane Orientation B) Assertiveness
C) Collectivism D) Individualism
173) A narrow focus where managers see things solely through their own eyes and within their own perspective is
known as 173) ______
A) a global view. B) a world view.
C) an ethnocentric view. D) parochialism.
174) When Maria Murdock assists her employees with setting objectives, she establishes specific and challenging
goals for each key task. Which of the following would she not advise employees to do? 174) ______
A) Identify the level of performance expected of each employee.
B) Specify the deadlines for each goal.
C) Specify the target for the employee to hit.
D) Specify the goal when the employee cannot think of anything.
175) Which of the following is not included in the definition of planning? 175)
A) Allocate resources and develop a chain of communication.
B) Establish an overall strategy for achieving these objectives or goals.
C) Define the organization's objectives or goals.
D) Develop a hierarchy of plans to integrate and coordinate activities.
______
Application of SWOT Analysis
Terry had been told to reexamine the strategic niche their company held in the cosmetic industry. Top management
did not want the company caught unaware of any changes occurring. Terry began reviewing a list of factors in his
mind. There had been some negative publicity lately due to cosmetic testing on animals. The animals were well
treated, but they were used to test new products. Positively, sales industry-wide was up 10%. Women were buying
more cosmetics in general, which was nothing but good for the company. Another positive factor was their
personnel. They had good people working in the company, particularly in research and development. The only other
negative Terry could find was that the advertising campaign that was begun last year had not shown the results they
had hoped for. Something needed to be done in that department. Terry began to compile his report.
176) Having a good research and development department is a real ________ for the company. 176)
A) opportunity B) strength
C) asset D) money maker
177) ________ specify how overall objectives are to be achieved. 177)
A) Tactical plans B) Operational plans
C) Strategic plans D) Single-use plans
178) MBO links objectives at one level to which of the following? 178)
A) middle management B) first-line management
C) top management D) the next level
179) ________ plans are differentiated by their breadth. 179)
A) Strategic and tactical B) Single use and standing
C) Long-term and short-term D) Directional and specific
______
______
______
______
Application of Porter's Competitive Strategy
Stacie sighed. Her general manager had just left after giving her the latest assignment-readdress the competitive
advantage of their company. By Friday's meeting, Stacie was to have developed three differing strategies the
business could use in order to maintain its competitive advantage. Its computer business was slowly losing market
share to its competitors, and everyone realized something needed to be done. Stacie glanced through the article by
Michael Porter that her manager had left with her. According to Porter, there were three differing types of strategies
they could choose from. Stacie began wondering if there was a way they could make their computers cheaper, which
would allow them to then sell at a lower price. If they could reduce price by $100 a machine, they would be the
industry leaders in price. Stacie wondered if they could find any lower-priced suppliers for the more expensive parts
of their computers. She knew that their computers appealed particularly to small business owners due in part to
price. They were able to offer the lower price because their computers were not as powerful or fast as some
machines, but did contain the necessary word processing, database, and spreadsheet capabilities necessary for a
typical small business owner. The lack of frills with the solid three program capabilities, plus their known reputation
for quality had worked for them in the past. Stacie wondered if perhaps they needed to look at a smaller segment of
the market, maybe small businesses with large accounts receivables that would fully utilize their specific database.
She knew that would cut their market by 1/8 but maybe achieving a definite market niche would help. Stacie began
compiling her report for Friday's meeting.
180) The source of competitive advantage that makes the focused strategy possible by creating unique features for
a growing market segment is referred to as a 180) ______
A) core capability B) core competency
C) strategic opportunity D) strategic resource
181) When Northwest Airlines began serving its own in-flight meals, which of the following strategies was it
pursuing? 181) ______
A) combination B) stability
C) retrenchment D) growth
182) All of the following involve increasing a companies' size, markets, assets, or products except a(n) ________.
182) ______
A) merger B) growth
C) retrenchment D) acquisition
183) According to Mintzberg, which management role includes entrepreneur, disturbance handler, resource
allocator, and negotiator? 183) ______
A) decisional B) informational
C) interpersonal D) planning
184) The managers who work most closely with the operatives are known as 184)
A) first-line managers. B) top management.
C) middle management. D) operative managers.
______
Application of Mintzberg's Roles to Size of Organization
John is the CEO of a large manufacturing firm that produces construction equipment. George is the owner and
operator of a small business that produces one of the key engine components for John's manufacturing firm. Both
are managers; however, George has noticed some differences between his activities and the activities John performs.
George spends much of his time in outwardly directed activities such as meeting with customers and potential
investors. John seems to spend more of his time on activities that are directed internally, such as allocating resources
to appropriate departments. George wonders what accounts for this difference, and he goes to a management
consultant for input.
185) The consultant tells George that the major difference between managers of large organizations and small
business owners is which of the following? 185) ______
A) There is no difference between manager roles.
B) The roles that are played by the managers are different.
C) The proportion of time spent on each function is different.
D) The manager of a large organization is more likely to be a generalist.
186) Joe Gleason is the supervisor of the machine shop, where he has the most experience of any employee using
the tool and die making equipment; he shows his people how to complete tasks using the most practical and efficient
methods. Joe demonstrates a high level of ________ skills. 186) ______
A) supervisory B) decision-making
C) technical D) both A and B
187) Ann is the CEO of a large manufacturing plant. She has spent her day trying to ensure that the light bulbs
coming off the assembly line light 99.4% of the time. She has spent her day performing the management process of
187) ______
A) controlling. B) leading. C) planning. D) organizing.
188) All of the following are included in the four components of the management process except
A) organizing. B) leading. C) delegating. D) planning.
188)
______
Application of Corporate Social Responsibility
Kerri was confused. Her management class was focusing on social responsibility, and her assignment was to find
business cases demonstrating social responsibility. She had several examples, but now she was not sure which case
was an example of which concept. Her first business dealt with the tuna industry, which in response to pressure from
environmentalists, had stated dolphins would no longer be caught with the tuna. Her second business dealt with a
company whose primary focus was on profit maximization for its stockholders. The primary focus of this company
was legal compliance and profit maximization. Her third business was in the tobacco industry that each year gives
thousands of dollars to the arts. Her fourth business also dealt with the tobacco companies and the fact they were no
longer advertising near local schools. Legislation had been enacted in order to prevent cigarettes from being
promoted in locations where children under the age of 18 would be likely to see the advertisements.
189) The first business is an example of a business that has
A) moral obligation. B) social obligation.
C) social responsiveness. D) social responsibility.
189)
______
Application of Hofstede's Cultural Dimensions
Kevin knew that it was likely his corporation was going to ask him to go abroad and manage the new chemical
factory they were building. He was excited about the prospects but also apprehensive. He had never traveled before
and, as far as he was concerned, there was only one way to do anything-the "American way." He decided some
research was in order to at least get an idea about other countries. In his reading, he learned that some cultures place
a high priority on a loose social framework, where they feel primarily responsible for themselves and their
immediate family. He also learned that in some societies, employees show a great deal of respect for those in
authority, and titles and rank carry much weight. Some countries have little job mobility and practice lifetime
employment. He also learned that some countries are characterized by assertiveness and materialism. Now he
wondered if there was any framework to help organize his thoughts.
190) The value dimension that Kevin did not consider is ________. 190)
A) separation of business and government
B) long-term versus short-term orientation
C) individualism versus collectivism
D) the role of women and the elderly
______
191) According to the GLOBE leadership study which country had among the highest ratings of assertiveness?
191) ______
A) Spain B) Switzerland
C) Germany D) Sweden
Application of Corporate Social Responsibility
Kerri was confused. Her management class was focusing on social responsibility, and her assignment was to find
business cases demonstrating social responsibility. She had several examples, but now she was not sure which case
was an example of which concept. Her first business dealt with the tuna industry, which in response to pressure from
environmentalists, had stated dolphins would no longer be caught with the tuna. Her second business dealt with a
company whose primary focus was on profit maximization for its stockholders. The primary focus of this company
was legal compliance and profit maximization. Her third business was in the tobacco industry that each year gives
thousands of dollars to the arts. Her fourth business also dealt with the tobacco companies and the fact they were no
longer advertising near local schools. Legislation had been enacted in order to prevent cigarettes from being
promoted in locations where children under the age of 18 would be likely to see the advertisements.
192) The second business is an example of a business that has 192)
A) social responsibility. B) social responsiveness.
C) social obligation. D) moral obligation.
______
193) Entenmann's Baking Company produces cakes, pies, and other prepared foods. It is one of the largest
producers of baked goods in the Northeastern United states yet, it spends less than $2000.00 a year on advertising,
and sells its product in large supermarkets and grocery stores for 1/2-1/3 the cost of its competitors. This company
pursues a(n) ________ strategy. 193) ______
A) differentiation B) overall cost leadership
C) combination D) focus
194) Michael Porter proposed that management must select a(n) ________, which will give its unit a distinct
advantage by capitalizing on the strengths of the organization and the industry it is in. 194) ______
A) competitive strategy B) organizational chart
C) growth opportunity D) vision
195) Which of the following roles is most important for managers in small firms? 195)
A) leader B) figurehead
C) spokesperson D) disseminator
______
196) In addition to the percent of time spent in each of the four major management activities, as a manager moves
up the ranks, the ________ of the managerial activities also changes. 196) ______
A) content B) context
C) synergy D) responsibilities
Application of Hofstede's Cultural Dimensions
Kevin knew that it was likely his corporation was going to ask him to go abroad and manage the new chemical
factory they were building. He was excited about the prospects but also apprehensive. He had never traveled before
and, as far as he was concerned, there was only one way to do anything-the "American way." He decided some
research was in order to at least get an idea about other countries. In his reading, he learned that some cultures place
a high priority on a loose social framework, where they feel primarily responsible for themselves and their
immediate family. He also learned that in some societies, employees show a great deal of respect for those in
authority, and titles and rank carry much weight. Some countries have little job mobility and practice lifetime
employment. He also learned that some countries are characterized by assertiveness and materialism. Now he
wondered if there was any framework to help organize his thoughts.
197) Kevin could be said to have which of the following points of view? 197)
A) focused view B) parochialism
C) ethnocentric view D) world view
______
198) Which type of plan is used to meet a particular or unique situation? 198)
______
A) tactical plan B) standing plan
C) single-use plan D) operational plan
Application of Mintzberg's Roles to Size of Organization
John is the CEO of a large manufacturing firm that produces construction equipment. George is the owner and
operator of a small business that produces one of the key engine components for John's manufacturing firm. Both
are managers; however, George has noticed some differences between his activities and the activities John performs.
George spends much of his time in outwardly directed activities such as meeting with customers and potential
investors. John seems to spend more of his time on activities that are directed internally, such as allocating resources
to appropriate departments. George wonders what accounts for this difference, and he goes to a management
consultant for input.
199) The least important role of the manager of a large organization is which of the following? 199)
A) spokesperson B) negotiator
C) disseminator D) monitor
______
200) In general, entrepreneurs are better able than managers in a traditional hierarchical organization to 200)
______
A) respond to a changing environment.
B) respond to a static environment.
C) lead.
D) organize.
201)
201)
______
1) A
2) C
3) B
4) C
5) D
6) A
7) D
8) D
9) B
10) D
11) C
12) D
13) A
14) B
15) B
16) C
17) D
18) D
19) B
20) A
21) A
22) B
23) C
24) C
25) A
26) D
27) A
28) A
29) C
30) C
31) A
32) D
33) A
34) D
35) A
36) A
37) A
38) B
39) B
40) A
41) A
42) C
43) B
44) D
45) B
46) C
47) A
48) B
49) B
50) D
51) D
52) D
53) B
54) B
55) C
56) B
57) C
58) A
59) B
60) C
61) C
62) C
63) D
64) A
65) B
66) B
67) A
68) A
69) A
70) C
71) A
72) A
73) D
74) C
75) C
76) A
77) C
78) B
79) B
80) C
81) A
82) B
83) B
84) A
85) C
86) C
87) D
88) B
89) B
90) D
91) A
92) D
93) D
94) A
95) A
96) B
97) A
98) C
99) A
100) A
101) B
102) A
103) C
104) D
105) A
106) D
107) A
108) D
109) D
110) C
111) D
112) D
113) B
114) D
115) A
116) B
117) B
118) D
119) D
120) C
121) B
122) A
123) A
124) A
125) B
126) B
127) D
128) C
129) D
130) C
131) D
132) B
133) D
134) D
135) C
136) C
137) D
138) C
139) B
140) B
141) D
142) D
143) D
144) D
145) D
146) B
147) A
148) B
149) A
150) A
151) A
152) B
153) B
154) A
155) A
156) D
157) C
158) B
159) D
160) D
161) B
162) D
163) D
164) D
165) D
166) A
167) B
168) D
169) A
170) B
171) C
172) B
173) D
174) D
175) A
176) B
177) A
178) D
179) A
180) B
181) D
182) C
183) A
184) A
185) C
186) D
187) A
188) C
189) C
190) B
191) A
192) C
193) B
194) A
195) C
196) A
197) C
198) C
199) C
200) A
201) No Correct Answer Was Provided.