1-21
30.
Which of the following describes organizational performance that results in a high-quality
product that customers do not want?
A.
Low efficiency and low effectiveness
B.
High efficiency and low effectiveness
C.
Low efficiency and high effectiveness
D.
High efficiency and high effectiveness
In a high efficiency and low effectiveness situation, the manager chooses inappropriate
goals, but makes good use of resources to pursue these goals. The result is a high-quality
product that customers do not want.
Refer: Figure 1.1
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 01-01 Describe what management is, why management is important, what managers do, and how
managers use organizational resources efficiently and effectively to achieve organizational goals.
Topic: Management
31.
The goals chosen by the management of Dino’s Cafe seemed inappropriate for the store,
but the management did make good use of the various resources in pursuing these goals.
Dino’s Cafe is said to have ________.
A.
low efficiency and high effectiveness
B.
high efficiency and high effectiveness
C.
low efficiency and low effectiveness
D.
high efficiency and low effectiveness
High efficiency/low effectiveness situations arise when managers choose inappropriate
goals, but make good use of resources to pursue these goals. It results in the production
of a high-quality product that customers do not want.
Refer: Figure 1.1
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 01-01 Describe what management is, why management is important, what managers do, and how
managers use organizational resources efficiently and effectively to achieve organizational goals.
Topic: Management
32.
In what order do managers typically perform the managerial functions?
A.
Organizing, planning, controlling, leading
B.
Organizing, leading, planning, controlling
C.
Planning, organizing, leading, controlling
D.
Planning, organizing, controlling, leading
Typically, the order in which managers perform the managerial functions is: (1) planning,
(2) organizing, (3) controlling, and (4) leading.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Fayol’s Division of Labor
33.
Who among the following has achieved the objectives of the essential managerial task of
organizing?
A.
John, who has chosen appropriate organizational goals
B.
Vince, who has set task and authority relationships that allow people to work together
C.
Benita, who has determined courses of action to achieve organizational goals
D.
Catherine, who has established systems to evaluate goal achievement
The essential managerial task of organizing involves establishing task and authority
relationships that allow people to work together to achieve organizational goals.
AACSB: Analytical Thinking
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Organizing
34.
What must one do to perform the essential managerial task of controlling in achieving
organizational goals?
A.
Motivate, coordinate, and energize individuals and groups to work together to achieve
organizational goals
B.
Choose appropriate organizational goals and courses of action to best achieve those
goals
C.
Establish task and authority relationships that allow people to work together to achieve
organizational goals
D.
Establish accurate measuring and monitoring systems to evaluate how well the
organization has achieved its goals
The essential managerial task of controlling involves establishing accurate measuring and
monitoring systems to evaluate how well the organization has achieved its goals.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Controlling
35.
Which of the following describes the essential managerial task of leading in achieving
organizational goals?
A.
Motivate, coordinate, and energize individuals and groups
B.
Evaluate how well the organization has achieved its goals
C.
Choose appropriate goals and courses of action
D.
Establish task and authority relationships allowing people to work together
The essential managerial task of leading involves motivating, coordinating, and energizing
individuals and groups to work together to achieve organizational goals.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Leading
36.
The essential managerial task of planning involves ________.
A.
establishing task and authority relationships such that people work together
B.
motivating individuals and groups to work together
C.
choosing appropriate goals and courses of action
D.
evaluating how well the organization has achieved its goals
The essential managerial task of planning involves choosing appropriate organizational
goals and courses of action to best achieve those goals.
AACSB: Analytical Thinking
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Planning
37.
Managers identify and select appropriate organizational goals and courses of action to
perform the ________ task.
A.
planning
B.
organizing
C.
leading
D.
controlling
To perform the planning task, managers identify and select appropriate organizational
goals and courses of action; they develop strategies for how to achieve high performance.
The three steps involved in planning are (1) deciding which goals the organization will
pursue, (2) deciding what strategies to adopt to attain those goals, and (3) deciding how
to allocate organizational resources to pursue the strategies that attain those goals.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Planning
38.
How to allocate organizational resources to pursue the strategies that attain set goals is a
question addressed during ________.
A.
regulating
B.
planning
C.
leading
D.
controlling
To perform the planning task, managers identify and select appropriate organizational
goals and courses of action; they develop strategies for how to achieve high performance.
The three steps involved in planning are (1) deciding which goals the organization will
pursue, (2) deciding what strategies to adopt to attain those goals, and (3) deciding how
to allocate organizational resources to pursue the strategies that attain those goals.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Planning
39.
Which of the four principal managerial tasks can help William understand his performance
in the other three tasks?
A.
Planning
B.
Organizing
C.
Controlling
D.
Leading
The controlling task also helps managers evaluate how well they themselves are
performing the other three tasks of management—planning, organizing, and leading—and
take corrective action.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Controlling
40.
The formal system of task and reporting relationships that coordinates and motivates
organizational members so they work together to achieve organizational goals is called
organizational ________.
A.
structure
B.
performance
C.
goals
D.
resources
Organizational structure is the formal system of task and reporting relationships that
coordinates and motivates organizational members so they work together to achieve
organizational goals.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Organizing
41.
Organizational structure is the formal system of ________.
A.
financial management
B.
reporting relationships
C.
vision articulation
D.
goal selection
Organizational structure is the formal system of task and reporting relationships that
coordinates and motivates organizational members so they work together to achieve
organizational goals.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Organizing
42.
Which of the following refers to a cluster of decisions concerning what organizational
goals to pursue, what actions to take, and how to use resources to achieve these goals?
A.
Strategy
B.
Value
C.
Synergy
D.
Mission
“Strategy” refers to a cluster of decisions concerning what organizational goals to pursue,
what actions to take, and how to use resources to achieve these goals.
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Planning
43.
In order to ensure that it has a competitive advantage over its competitors, a company
decides to acquire a much smaller local company. The move is an example of a ________.
A.
vision
B.
business model
C.
strategy
D.
mission
“Strategy” refers to a cluster of decisions concerning what organizational goals to pursue,
what actions to take, and how to use resources to achieve these goals.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Planning
44.
Which of the following strategies helps an organization to obtain customers by making
decisions that allow it to produce goods or services more cheaply than its competitors?
A.
Disintermediation strategy
B.
Low-cost strategy
C.
Centralization strategy
D.
Differentiation strategy
A low-cost strategy is a way of obtaining customers by making decisions that allow an
organization to produce goods or services more cheaply than its competitors so it can
charge lower prices than they do.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Planning
45.
If Lucas has opted for a differentiation strategy, which of the following courses of action is
he taking?
A.
Selling goods at lower prices than rivals
B.
Reaping benefits from economies of scale
C.
Innovating products for different consumers
D.
Opting for low-cost country sourcing
With a differentiation strategy organizations seek to create highly innovative products that
appeal to different types of consumers.
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Planning
46.
Who among the following has opted for a low-cost strategy?
A.
Nivon Flights in their first year are offering tickets cheaper than their competitors.
B.
Klaus Ltd. is creating highly innovative products that appeal to different consumers.
C.
Baron Blakes has ruled out achievement of economies of scale for its product range.
D.
Cantaloupe Farms has decided to invest fewer resources into its marketing ventures.
A low-cost strategy is a way of obtaining customers by making decisions that allow an
organization to produce goods or services more cheaply than its competitors so it can
charge lower prices than they do.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Planning
47.
The strategy of delivering new, exciting, and unique products to the customers is known as
a ________ strategy.
A.
low-cost
B.
differentiation
C.
centralization
D.
penetration
The strategy of delivering new, exciting, and unique products to the customers is known as
a differentiation strategy.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Planning
48.
The process of structuring working relationships so that organizational members interact
and cooperate to achieve organizational goals is known as ________.
A.
planning
B.
leading
C.
controlling
D.
organizing
Organizing is structuring working relationships so organizational members interact and
cooperate to achieve organizational goals. Organizing people into departments according
to the kinds of job-specific tasks they perform lays out the lines of authority and
responsibility among different individuals and groups.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Organizing
49.
When a manager lays out the lines of authority and responsibility among different
individuals and groups, the manager is ________.
A.
organizing
B.
leading
C.
controlling
D.
planning
Organizing is structuring working relationships so organizational members interact and
cooperate to achieve organizational goals. Organizing people into departments according
to the kinds of job-specific tasks they perform lays out the lines of authority and
responsibility among different individuals and groups.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Organizing
50.
A formal system of reporting relationships that coordinates and motivates organizational
members so that they work together to achieve organizational goals is called an
organizational ________.
A.
culture
B.
structure
C.
assimilation
D.
chart
Organizing is structuring working relationships so organizational members interact and
cooperate to achieve organizational goals. Organizing people into departments according
to the kinds of job-specific tasks they perform lays out the lines of authority and
responsibility among different individuals and groups.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Organizing
51.
A short, succinct, and inspiring statement of what the organization intends to become is
an organization’s ________.
A.
goal
B.
strategy
C.
vision
D.
mission
An organization’s vision is a short, succinct, and inspiring statement of what the
organization intends to become and the goals it is seeking to achieve—its desired future
state. In leading, managers articulate a clear organizational vision for the organization’s
members to accomplish, and they energize and enable employees so everyone
understands the part he/she plays in achieving organizational goals.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Leading
52.
During which managerial task does a manager articulate a clear organizational vision for
the organization’s members to accomplish?
A.
Planning
B.
Organizing
C.
Controlling
D.
Leading
In leading, managers articulate a clear organizational vision for the organization’s
members to accomplish, and they energize and enable employees so that everyone
understands the part he/she plays in achieving organizational goals.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Leading
53.
Which of the managerial functions involves managers using their power, personality,
influence, persuasion, and communication skills to coordinate people and groups so that
their activities and efforts are in harmony?
A.
Leading
B.
Planning
C.
Organizing
D.
Controlling
Leadership involves managers using their power, personality, influence, persuasion, and
communication skills to coordinate people and groups so their activities and efforts are in
harmony. It revolves around encouraging all employees to perform at a high level to help
the organization achieve its vision and goals.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Leading