The SWOT matrix is widely used as an organizational tool and, if used appropriately,
does not have any limitations.
Measuring organizational performance requires making changes to reposition a firm
competitively for the future.
The acquisition of security-software company McAfee by Intel Corp. is an example of
related diversification.
Most quantitative evaluation criteria are geared to long-term objectives rather than
annual objectives.
In the context of conflict management and resolution, ignoring the problem in the hopes
that the conflict will resolve itself is classified as a defusion technique.
A leveraged buyout occurs when a firm’s management and other private investors use
borrowed funds to buy out the firm’s shareholders.
Competitive intelligence is not considered corporate espionage because 95 percent of
the information a company needs to make strategic decisions is available and accessible
to the public.
All of the following situations are conducive to market development EXCEPT
A) when new channels of distribution are expensive and unreliable
B) when an organization is very successful at what it does
C) when new untapped or unsaturated markets exist
D) when an organization has excess production capacity
E) when an organization’s basic industry is becoming rapidly global in scope
Which of the following illustrates the self-concept component of a mission statement?
A) To earn our customer’s loyalty, we listen to them, anticipate their needs, and act to
create value in their eyes.
B) We are committed to leapfrogging ongoing competition within 1,000 days by
unleashing the constructive and creative abilities and energies of each of our
employees.
C) Our emphasis is on North American markets, although global opportunities will be
explored.
D) To compensate its employees with remuneration and fringe benefits competitive
with other employment opportunities in its geographical area and commensurate with
their contributions toward efficient corporate operations.
E) In this respect, the company will conduct its operations prudently and will provide
the profits and growth which will assure our ultimate success.
Americans were on the move in a population shift to _______, but the recession and
housing bust nationwide has slowed migration throughout the United States.
A) the Frostbelt
B) the South and West
C) the Northeast and Midwest
D) the Midwest and South
E) Canada
The process of developing a vision and mission statement often includes which of these
as the first activity?
A) Requesting that managers modify the current document
B) Asking managers to read selected articles about mission statements
C) Asking managers to prepare a mission statement for the organization
D) Having a brainstorming session on whether the organization should have a mission
statement
E) Merging several mission statements into one document
Resistance to change can manifest itself through
A) absenteeism.
B) sabotaging production machines.
C) filing unfounded grievances.
D) unwillingness to cooperate.
E) all of the above
Rumelt’s criteria of consonance refers to the need for strategists to examine
A) inconsistent goals.
B) sets of trends.
C) impractical objectives.
D) competitive advantages.
E) the costs associated with particular strategies.
Bankruptcy
A) should never be used as a strategy.
B) should be used only when one is legally forced to do so.
C) can be an effective type of retrenchment strategy.
D) should only be used for large firms.
E) should only be used for small, private firms.
The U.S. government’s OPIC
A) offers insurance to offset some risks of doing business internationally.
B) provides insurance to eliminate all of the risks of doing business internationally.
C) gives informational seminars about the risks associated with doing business
internationally.
D) requires that paperwork be filed by American companies desiring to do business
internationally.
E) discourages foreign companies from doing business in the United States.
Which of the following is NOT a typical characteristic of most Japanese managers?
A) Reserved
B) Quiet
C) Distant
D) Impulsive
E) Introspective
The form of bankruptcy in which all the organization’s assets are sold in parts for their
tangible worth is
A) Chapter 7.
B) Chapter 8.
C) Chapter 9.
D) Chapter 11.
E) Chapter 13.