57. At one time it was very difficult for independent booksellers to carry all the books from the different
publishers. Book ordering was time-consuming and frustrating when orders did not arrive in a timely
fashion. Returning unsold books was an equally miserable experience. The creation of Ingram
Distribution allowed the booksellers to streamline the ordering and return procedures. Ingram made all
the books bookstore owners wanted to carry available in one centralized warehouse. Many new
bookstore owners would be unwilling and/or unable to return to the method of ordering books from the
individual publishers. This is an example of the creation of:
a.
buyer dependence
b.
pure competition
c.
transactional freedom
d.
supplier dependence
e.
resource scarcity
58. Small manufacturers often are successful because Wal-Mart agrees to carry their products. If Wal-Mart
does not like a price increase, it often will refuse to do business with the manufacturer. At this point,
many small manufacturers will offer price reductions because they fear failure if they lose the
Wal-Mart account. The relationship between these small manufacturers and Wal-Mart can be
described as:
a.
buyer dependent
b.
relationship based
c.
transformational
d.
supplier dependent
e.
none of these
59. An emphasis on __________ is likely to decrease opportunistic behavior but will never completely
eliminate it.
a.
buyer dependence
b.
supplier dependence
c.
industry regulation
d.
relationship behavior
e.
competitive advocacy
60. An organization called 85 Broads is sponsoring a “no purchase day” on October 19th to bring attention
to the gap between women’s purchasing power and their representation in boardrooms and executive
positions. 85 Broads is an example of a(n):
a.
lobbyist
b.
advocacy group
c.
boycott
d.
cause marketer
e.
social management
61. The Rainforest Alliance works to conserve biodiversity and ensure sustainable livelihoods by
transforming land-use practices, business practices, and consumer behavior. The Rainforest Alliance
Certified Seal of Approval makes it easy for consumers to know they are buying a sustainably
produced product. This nonprofit _____ has convinced McDonald’s restaurants in Europe to use its
certified coffee beans.
a.
advocacy group
b.
industry regulatory agency
c.
World Trade Organization
d.
green marketer
e.
humanist organization
62. An ad paid for by Franklin Mutual Insurance Company encourages people to be proud of their country
and its military. The ad was not designed to sell any product of the company—rather it is designed to
counter efforts by some to malign U.S. actions in the Middle East. This ad would be an example of:
a.
narrowcasting
b.
institutional communications
c.
media advocacy
d.
a product boycott
e.
lobbying
63. The National Rifle Association used a _____ approach to counter Democratic efforts to ban private
gun ownership in 2004. It created an advertising campaign to convince people to vote against the
Democrats and their platform.
a.
media boycott
b.
narrowcasting
c.
media advocacy
d.
cause marketing
e.
lobbying
64. Which of the following is the LEAST aggressive approach likely to be used by an advocacy group?
a.
public communications
b.
media advocacy
c.
product boycotts
d.
class action lawsuits
e.
picketing
65. __________ is a tactic in which an advocacy group actively tries to convince consumers not to
purchase a company’s product or service.
a.
Lobbying
b.
Public communications
c.
Media advocacy
d.
Product boycott
e.
Market denigration
66. To influence companies, advocacy groups typically use:
a.
opportunistic behavior
b.
telemessaging
c.
product boycotts
d.
narrowcasting
e.
keystoning
67. An organization called 85 Broads is sponsoring a “no purchase day” on October 19th to bring attention
to the gap between women’s purchasing power and their representation in boardrooms and executive
positions. They are asking consumers to engage in:
a.
social responsibility
b.
cause management
c.
lobbying
d.
countertrading
e.
a product boycott
68. The first step managers use to make sense of their changing environments is:
a.
environmental scanning
b.
perceptual re-engagement
c.
modifying budgets
d.
downsizing
e.
benchmarking
69. An organization engaged in __________ is searching the environment for important events or issues
that might affect an organization.
a.
a competitive assessment
b.
environmental scanning
c.
environmental advocacy
d.
an internal situational analysis
e.
a market audit
70. _____ could reveal to Callaway Golf why the number of golfers in the United States is declining.
a.
A competitive assessment
b.
Environmental scanning
c.
Environmental advocacy
d.
An internal situational analysis
e.
A market audit
71. Which of the following is one of the steps in the process that managers use to make sense of their
changing environments?
a.
perceptual re-engagement
b.
environmental laddering
c.
acting on threats and opportunities
d.
creating strategic windows
e.
behavioristic relations
72. Managers should NOT use environmental scanning to:
a.
reduce uncertainty
b.
stay up-to-date on factors in their industry
c.
develop and implement their organizational strategies
d.
develop and sustain their organizational culture
e.
improve organizational performance
73. Kodak makes both camera equipment and paper for printing pictures. Kodak would view the growing
popularity of digital cameras as a(n) __________ in its external environment if it considered how
digital cameras affect sales of cameras that use film. On the other hand, Kodak would view the
growing popularity of digital cameras as a(n) __________ in its external environment if it considered
the amount of Kodak processing paper used in printing pictures made by digital cameras.
a.
strength; weakness
b.
risk; certainty
c.
opportunity; threat
d.
certainty; risk
e.
threat; opportunity
74. __________ is designed to aid decision making under conditions of uncertainty.
a.
Cognitive mapping
b.
Media advocacy
c.
A narrow span of management
d.
A Gantt chart
e.
An internal audit
75. Which of the following statements about cognitive maps is true?
a.
Cognitive maps are simplified models of how consumers approach decision making.
b.
Cognitive maps summarize the perceived relationships between current customers and
potential customers.
c.
Cognitive maps are designed to be used only under conditions of very low uncertainty.
d.
Cognitive maps may help managers make more effective decisions regarding actions on
threats or opportunities.
e.
Cognitive maps are often referred to as perceptual maps.
76. The term __________ refers to the events and trends inside an organization that affect management,
employees, and the organizational culture.
a.
managerial environment
b.
internal environment
c.
company environment
d.
general environment
e.
organizational structure
77. The __________ is the set of key values, beliefs, and attitudes shared by organizational members.
a.
industry code of ethics
b.
internal environment
c.
organizational culture
d.
organizational strategy
e.
organizational vision
78. According to the text, which of the following is NOT a component of the internal environment of an
organization?
a.
management
b.
employees
c.
organizational culture
d.
organizational strategy
e.
customers
79. When Ivory started work at Henderson Textile Co., she was amazed at its employees who would take
thirty-minute restroom breaks, leave for the day at 2 p.m., and generally belittle the company’s
management. Such employees’ actions most likely developed as a result of a faulty:
a.
general environment
b.
benchmark
c.
response to an opportunity
d.
organizational culture
e.
formalization strategy
80. Many police agencies experience difficulties when trying to motivate officers to enthusiastically
embrace a community policing philosophy. Agencies often start costly community policing programs
only to find that few officers actually partake in the transformation while most continue to operate
under traditional reactionary modes of law enforcement. This reluctance to change would reflect the
_____ of the police departments.
a.
managerial environment
b.
internal environment
c.
company environment
d.
general environment
e.
organizational structure
81. A McDonald’s restaurant executive was asked if he thought McDonald’s has suffered because of its
slow adaptation to changing consumer tastes. He responded, “It’s been such a successful business
model that you’re always bouncing between ‘let’s do it because it works’ and ‘if it’s not broken, don’t
fix it.’” This dichotomy of how its management thinks about change would be part of McDonald’s:
a.
internal environment
b.
consumer environment
c.
sociocultural environment
d.
general environment
e.
environmental differentiation
82. When IBM acquired Lotus, a meeting was held between IBM senior vice president John Thompson
and a group of Lotus senior managers. In preparing for the meeting, the Lotus crew had donned the
conservative suits and ties they thought were expected in the traditionally buttoned-down IBM. They
were shocked when Thompson showed up for the meeting in a T-shirt and jeans because he was trying
to look like a Lotus employee. This anecdote illustrates:
a.
the importance of visionary thinking
b.
extrinsic motivation
c.
differing organizational cultures
d.
changing sociocultural environments
e.
how changes in the general environment can lead to uncertainty
83. __________ is/are a primary source of organizational culture.
a.
The company’s founder
b.
The organization’s competitive strategy
c.
The industry in which the organization operates
d.
Employees
e.
Customers
84. After an organization’s founders are gone, the organization can use __________ to sustain its
organizational culture.
a.
industry associations
b.
organizational heroes
c.
organizational structure
d.
organizational maps
e.
reciprocal formalization
85. Which of the following is an example of a mechanism used to sustain organizational culture after an
organization’s founders are gone?
a.
recruiting practices
b.
employee turnover
c.
cultural myths
d.
organizational policies
e.
none of these
86. The Edmonton Oilers ice hockey team developed a sense of history for its current players by raising
banners showing successful seasons (five Stanley Cups!) and the retired numbers of great players from
the past in its stadium and locker room. What tactics for maintaining organizational culture are the
Edmonton Oilers using?
a.
organizational complexity and consistency
b.
organizational benchmarking
c.
cultural laddering
d.
organizational stories and organizational heroes
e.
behavioral addition and behavioral substitution
87. When IBM acquired Lotus, a meeting was held between IBM senior vice president John Thompson
and a group of Lotus senior managers. In preparing for the meeting, the Lotus crew had donned the
conservative suits and ties they thought were expected in the traditionally buttoned-down IBM. They
were shocked when Thompson showed up for the meeting in a T-shirt and jeans because he was trying
to look like a Lotus employee. Now that Lotus and IBM are intertwined, this meeting is often
described as a way to emphasize that both groups now have consistent values. This would be an
example of a(n):
a.
corporate narrative
b.
human resources anecdote
c.
anecdotal evidence of success
d.
organizational story
e.
scenario
88. William McKnight became CEO of 3M in 1929. He did what no CEO had ever done before when he
merged innovation and system building. He created a company that to this day treats innovation as a
systematic, repeatable process. When deciding who is responsible for the success of 3M, its
employees know it is McKnight. He is a(n):
a.
change-conqueror
b.
organizational hero
c.
change gatekeeper
d.
idea champion
e.
change ombudsman
89. When IBM acquired Lotus, a meeting was held between IBM senior vice president John Thompson
and a group of Lotus senior managers. In preparing for the meeting, the Lotus crew had donned the
conservative suits and ties they thought were expected in the traditionally buttoned-down IBM. They
were shocked when Thompson showed up for the meeting in a T-shirt and jeans because he was trying
to look like a Lotus employee. Both merging companies were trying to show their organizational
culture had a high degree of:
a.
adaptability
b.
employee involvement
c.
consistency
d.
reliability
e.
autonomy
90. Which of the following is a characteristic of successful organizational cultures?
a.
adaptability
b.
consistency
c.
involvement
d.
a clear mission
e.
all of these
91. The purpose of the Maine Organic Farmers and Gardeners Association (MOFGA) is to promote the
production of safe, high-quality food in a manner that does not harm the environment and that
preserves or improves soil fertility, soil structure, and farm sustainability. This is the organization’s:
a.
visible statement of vision
b.
point of competitive advantage
c.
mission
d.
organizational rationale
e.
principle of existence
92. The purpose of an organization’s mission is to:
a.
guides the decisions and behaviors of the people who are members of the organization
b.
is periodically changed in response to external environmental changes
c.
responds well to behavioral addition and subtraction
d.
creates a framework for industry-wide comparisons
e.
allows it to compete internationally
93. EDUN is a socially conscious clothing company launched in 2005 by Ali Hewson and Bono with New
York clothing designer Rogan Gregory. The company’s _____is to help increase trade and create
sustainable employment for developing areas of the world with an emphasis on Africa, while
providing a business model for others to follow.
a.
visible statement of purpose
b.
point of competitive advantage
c.
mission
d.
organizational rationale
e.
principle of existence
94. Hooters’ is a chain of more than 2,000 restaurants. Its employees cheerfully admit that the restaurants
are “delightfully tacky, yet unrefined.” The reason the company exists is apparent to all of its
employees—its purpose is fun. The concept of making eating out consistently fun for men is an
example of its:
a.
adaptability
b.
responsiveness
c.
involvement
d.
consistency
e.
mission
95. One of the difficulties encountered in recent mergers has been the inability of employees in the two
existing organizational cultures to operate harmoniously. In other words, both merging organizational
cultures lacked the __________ that would have increased the likelihood of the merger’s success.
a.
responsiveness
b.
adaptability
c.
involvement
d.
consistency
e.
validity
96. According to a book by a Harvard Business School professor, some organizational cultures simply
cannot meet the challenges posed by innovation and must respond to threats from new technologies by
building outside ventures. Digital Equipment is described as having one of those organizational
cultures that did not have __________. The company squandered the opportunities presented by the
PC revolution even though it was well equipped to build cheap PCs.
a.
adaptability
b.
synergy
c.
a formula for success laddering
d.
knowledge management
e.
comprehension
97. Employees tend to feel a greater sense of ownership and responsibility in companies with
organizational cultures characterized by:
a.
delegation
b.
adaptability
c.
employee involvement
d.
consistency
e.
managerial empathy
98. Which of the following statements about a company’s mission is (are) true?
a.
A company’s mission refers to the company’s purpose or reason for existing.
b.
A company’s mission can make the organization’s strategic purpose and direction
apparent to everyone.
c.
A company’s mission can help to guide decision making under conditions of
environmental uncertainty.
d.
A company’s mission strengthens the organizational culture.
e.
All of these statements about a company’s mission are true.
99. William McKnight became CEO of 3M in 1929. He did what no CEO had ever done before when he
merged innovation and system building. He created a company that to this day treats innovation as a
systematic, repeatable process. From this information, you know that 3M has a(n) _____
organizational culture.
a.
adaptable
b.
reliable
c.
consistent
d.
autonomous
e.
reciprocal
100. One of the problems with many of the dot.com companies that failed was a lower and middle
management adherence to innovation and an expectation that work would be fun while top
management envisioned the company being profitable and eliminating of unnecessary expenses. These
companies lacked __________ in their organizational cultures.
a.
empathy
b.
formalization
c.
consistency
d.
broad spans of management
e.
responsiveness
101. David Cowell, an editor for Reuters News Service, admits that his attitude had created an
uncomfortable work environment for his employees and led to a conflict-based organizational culture.
As a result, Reuters had its employees from Cowell’s office work together to build a new home for a
family in need. The project forced the employees to work in an unfamiliar environment, and because
no one person was more skilled than another at construction, they were able to gain a new respect for
each other and find new ways of interacting. This is an example of:
a.
behavioral iteration
b.
behavioral substitution
c.
behavioral subtraction
d.
organizational rationale
e.
principle existence
102. Organizations use behavioral addition, behavioral substitution, and __________ to change their
organizational culture.
a.
media advocacy
b.
visible artifacts
c.
counseling
d.
affective stores
e.
incremental valences
103. __________ is the process of having managers and employees perform new behaviors that are central
to and symbolic of the new organizational culture that a company wants to create.
a.
Relationship transformation
b.
Behavioral substitution
c.
Partnering
d.
Attitudinal modification
e.
Behavioral addition
104. When Time-Warner and AOL merged, they had two different organizational cultures. One of the
actions taken to make the transition smoother was to abandon dress codes. This elimination of dress
codes is an example of how _____ can be used to change organizational cultures.
a.
behavioral substitutes
b.
behavioral additions
c.
affective additions
d.
visible artifacts
e.
behavioral subtractions
105. When using __________ to change organizational culture, the key to success is to choose behaviors
that are central to and symbolic of the “old” culture you’re changing and the “new” culture you want to
create.
a.
attitudinal motivation and conditioned learning
b.
behavioral substitution and behavioral addition
c.
conditioned and classical learning
d.
negative and positive reinforcements
e.
organizational stories and heroes
106. Which of the following approaches will guarantee the successful change of an organizational culture?
a.
employee munificence
b.
perceptual substitution
c.
the recognition of new organizational heroes
d.
new organizational stories
e.
none of these
107. Managers can use behavioral addition and behavioral substitution to:
a.
create benchmarks
b.
assess the threats and opportunities in the internal environment
c.
develop new products
d.
locate new markets for existing products
e.
modify corporate culture
108. In order to change an organizational culture, top management can persuade other managers and
employees to perform a new behavior in place of an older one. This technique is called:
a.
behavioral iteration
b.
behavioral substitution
c.
behavioral subtraction
d.
organizational acculturation
e.
replacement behavior
109. When Samsonite purchased American Tourister, one of the first things the new management did was
to eliminate the gorilla (which had appeared in all American Tourister ads for years and which
represented the quality construction of American Tourister luggage). For American Tourister
employees, the gorilla had been a symbol of quality and commitment. The executive order to remove
the gorilla posters from the walls of offices and factories was one of the means Samsonite used to
change the organizational culture at American Tourister. The gorilla posters were an example of:
a.
visible artifacts
b.
iconic representations
c.
organizational metaphors
d.
organizational allegories
e.
imbued artifacts