42) Uri, a server in a popular family restaurant, is the most popular employee with both customers
and employees, and as a result, he usually earns the most in tips. He is always ready to lend a hand
when asked, and with his warm personality and supportive nature, people confide in him. Uri does
have a problem telling people no, and he has a tendency to avoid conflict because he is concerned
about hurting others or getting people mad. Uri likely has a(n) ________ decision-making style.
A) directive
B) conceptual
C) ambiguous
D) behavioral
E) analytical
43) Bradley was recently promoted to the production manager of a busy shoe factory. He was
chosen because prior to his promotion he had proven himself to be very efficient, and as a
department manager he had a logical and practical approach to solving problems. Bradley has a
reputation for being decisive and getting things done. Most of the factory’s employees like
Bradley, but they feel he exercises too much control over them. Bradley has a(n) ________ style.
A) directive
B) conceptual
C) ambiguous
D) behavioral
E) analytical
44) Evan has a Bachelor’s degree in ethics and human resources, and he has extensive experience
working with employees and managers regarding ethics, especially in the area of ethical dilemmas.
In his current position he has assisted extensively in determining if the company’s decisions are
both ethical and lawful. Which position in the company does Evan’s background make him ideally
suited for?
A) board of directors position
B) values specialist
C) ethical dilemma watchdog
D) decision tree manager
E) ethics officer
45) A decision tree is
A) a structure of problem-solving ideas, with its roots based on the organization’s mission.
B) the hierarchy that must be followed when getting decisions approved.
C) a graph of decisions and their possible consequences.
D) a location used by Chinese philosopher Confucius in times of intense pressure.
E) an organization’s decision network.
46) When confronted with a decision on an action, managers should utilize ________, which
includes these four questions: “Is the proposed action legal? If yes, does the proposed action
maximize shareholder value? If yes, is the proposed action ethical? If no, would it be ethical to
take the proposed action?”
A) Maslow’s hierarchy of needs
B) the stakeholder’s value statement
C) Frank Gilbreth’s code of ethical conduct
D) Bagley’s ethical decision tree
E) the Sarbanes–Oxley Act of 2002
47) Wendy, the CEO of an oil drilling company, and her top management team recently discovered
that their facilities are damaging a beach in Asia and the local wildlife. They understand that they
need to decide if temporarily closing or not closing the facility is unethical. To help them make
their decision, they consider the following four questions: “Is not temporarily closing the facility
legal? If yes, does this proposed action maximize shareholder value? If yes, is not temporarily
closing the facility ethical? If no, would it be ethical to take the proposed action?” Wendy and her
top managers are using ________ to help them make their decision.
A) Bagley’s ethical decision tree
B) Maslow’s hierarchy of needs
C) the stakeholder’s value statement
D) Frank Gilbreth’s code of ethical conduct
E) the Sarbanes–Oxley Act of 2002
48) When Sebastian wrote the contract with BP for over two billion dollars, he included targets for
performance that had to be met before a payment would be released. Sebastian was trying to avoid
________bias.
A) overconfidence
B) hindsight
C) framing
D) escalation of commitment
E) sunk-cost
49) It was brought to Dwight’s attention that one of his hotel employees had a substance abuse
problem. Without fully investigating the issue, Dwight decided to fire the employee. Dwight was
using
A) unemotional analysis.
B) satisficing.
C) immersion.
D) feasibility.
E) intuition.
50) Nikolai knows that what his boss has asked him to do is not in the best interest of the company.
He also knows that if he does not do what he was asked to do, he will be written up and put on
disciplinary action. He decides instead to do what his boss wants, just slower than his boss may
have liked. Nikolai is using the principle of
A) no brag, just the facts.
B) like everything else, you will need to sell it.
C) evidence-based management is not just for senior executives.
D) if all else fails, slow the spread of bad practice.
E) treat your organization as an unfinished prototype.
51) When Ford was slow to recall vehicles to fix a possible carbon monoxide leak, it was most
likely due to ________, because Ford was convinced that the modifications made by police
departments were the cause of the problem, not the manufacturing of the vehicle.
A) overconfidence bias
B) hindsight bias
C) framing bias
D) escalation of commitment bias
E) sunk-cost bias
52) Otis, the manager of a camera store, believes that his store may be closed by corporate in the
near future, so he cannot sleep well at night and he is dealing with severe anxiety and irritability,
and he has been ill several times this month. Several times Otis has missed important details in his
job, and he almost got in an automobile accident this morning. The district manager is coming
today to do his bimonthly evaluation of Otis’s store. Although Otis usually performs well, he is
worried about this one. His district manager may be influenced by ________ bias.
A) availability
B) hindsight
C) framing
D) overconfidence
E) sunk-cost
53) Bill is the new CEO at World’s Fair, a nationwide store that specializes in unique items from
around the world. At his first managers meeting, he told them he likes to think of his management
style as practical, efficient, logical, and systematic. Which style of decision maker is Bill?
A) analytical style
B) conceptual style
C) value style
D) behavioral style
E) directive style
54) Micah was talking with Aaron, his assistant manager, saying, “When I make a decision on
which employees will do a project, I use three simple factors. I consider their attitude, knowledge,
and how hard they work.” Micah uses ________ when making a decision.
A) thought steps
B) decision steps
C) planning model
D) the domino effect
E) heuristics
55) Readily available information may not present a complete picture of a situation due to
A) availability bias.
B) information bias.
C) the representativeness effect.
D) anchoring and adjustment bias.
E) confirmation bias.
56) When Damien, the sales manager, is deciding on who will train the new sales trainee, he tries
not to look at just the recent sales numbers but also checks past sales reports to determine who is
the most productive salesperson. By using this method he is not affected by the ________ bias.
A) sunk-cost
B) adjustment
C) representativeness
D) availability
E) escalation of commitment
57) Wes, the store manager, recently had to fire Andrea, an employee who graduated from
Southern College. He felt that Andrea was not well trained at her school. So, when Zeke, also a
graduate from Southern College, applied for Andrea’s old position, he did not want to consider
hiring him, feeling Zeke also probably did not receive the proper training. Wes was affected by
________ bias.
A) blind
B) training
C) confirmation
D) representativeness
E) adjustment
58) When people seek information to support their point of view and discount data that do not, they
are subject to ________ bias. For example, Rick uses the fact that his commute is now shorter to
confirm his belief that there are fewer cars on the road. However, Rick is not accounting for the
fact that he recently took over the graveyard shift, and that traffic is always lighter at night and in
the wee hours of the morning.
A) blind
B) overconfidence
C) confirmation
D) representativeness
E) framing
59) Pablo and his managers spent a large sum of money on the new training program, and they feel
that there has been little improvement as a result of the investment. The training is scheduled to
continue for two more months, and Pablo feels that the company has already spent too much
money on the training to simply abandon it. Pablo is experiencing
A) blind bias.
B) a training trap.
C) confirmation bias.
D) sunk-cost bias.
E) a catch-22 effect.
60) Luke and Mia are selling their home. They listed their house three months ago at an extremely
high selling price, a price they randomly chose. They do not want to reduce the price to reflect
what the marketplace shows their home is really worth. Luke and Mia are participants in ________
bias.
A) blind
B) ego
C) confirmation
D) sunk-cost
E) anchoring and adjustment
61) ________ occurs when people’s subjective confidence in their decision-making is greater than
their objective accuracy. For example, Penelope thinks she is a superb writer and editor, but her
reports are always filled with typos, grammatical errors, and sentence fragments.
A) Confidence bias
B) Overconfidence bias
C) Hindsight bias
D) Predisposition bias
E) The tunnel vision effect
62) Republican advertisements about Representative Adam Johnson, the Democratic candidate,
portray him as lazy, dishonest, and poor at his job. At the same time, the Democratic ads for Adam
Johnson describe him as a caring, honest, hard worker. The sponsors of these advertisements know
that ads can affect whom voters choose on Election Day. The tendency of decision makers (the
voters in this example) to be influenced by how a situation or problem is presented to them is an
example of
A) framing bias.
B) stirring the waters.
C) goal displacement.
D) overconfidence bias.
E) the fog effect.
63) Dale, the owner of a local real estate agency, is even more committed to making the used
copier, which he recently purchased, work even though it keeps jamming, and his employees have
been telling him about other problems they have been having with the copier. The ________
affects Dale’s decision making.
A) framing effect
B) narrow focus bias
C) anchoring and commitment bias
D) escalation of commitment bias
E) fog effect
64) ________ causes people to view events as being more predictable than they really are.
A) Framing bias
B) Hindsight bias
C) Sunk-cost bias
D) Narrow focus bias
E) The fog effect
65) The advantages of ________ are having a greater pool of knowledge, gaining different
perspectives, gaining intellectual stimulation, having a better understanding of decision rationale,
and having a deeper commitment to the decision.
A) group decision-making
B) a deeper commitment to the decision
C) the less-thought required decision
D) a quicker decision
E) more flexibility in the final decision
66) Goal displacement, satisficing, and groupthink are
A) some advantages of group decision making.
B) the disadvantages of individual decision making.
C) the disadvantages of group decision making.
D) problems with synergy.
E) a normal aspect of all groups.
67) Henry, Bekah, and Marcella are on the five-member Benefits Task Force that is researching
options for the new benefits package. Over lunch, Henry suggests that going with the Members’
Choice HMO is the best course of action, and Bekah and Marcella agree with Henry for the sake of
unanimity, without ever researching and accurately assessing the decision. Henry, Bekah, and
Marcella are engaged in
A) groupthink.
B) heuristics.
C) the Delphi technique.
D) group marketing.
E) goal displacement.
68) Satisficing is the tendency of
A) people to view events as being more predictable than they really are.
B) decision makers to be influenced by the way a situation or problem is presented to them.
C) a group to settle on a decision that is “good enough.”
D) people to see events based on what has happened in the past.
E) group members to agree for the sake of unanimity and thus avoid accurately assessing the
decision situation.
69) The Safety Committee at Washington Bakers was formed to help make the store a safer place,
and some of the committee’s suggestions are going to be costly. During the committee meeting, the
vice president of accounting announced that company profits were much lower than expected, and
she suggested that profits are more important than safety. The profit goal is now outweighing the
committee’s safety goal, which is an example of
A) goal bumping.
B) groupthink.
C) secondary placement.
D) satisficing.
E) goal displacement.
70) In regard to decision making, which of the following statements reflects what research has
found?
A) Individuals acting alone always make better decisions than groups.
B) Group decisions are seldom better than individual decisions.
C) Groups tend to be less productive than the best individuals working on any specific project.
D) Groups make better decisions than most individuals acting alone.
E) There has not been any research showing that either individuals acting alone or groups make
better-quality decisions.
71) With regard to decision making, it is accurate to say that groups
A) take less time to make decisions, and their decision-making accuracy is higher.
B) take less time to make decisions, and the larger the group, lower the quality of the decision.
C) have higher decision-making accuracy when group members know a good deal about the
relevant issues.
D) that are larger make higher-quality decisions.
E) take less time to make decisions, and are more confident about their choices than individuals
are.
72) Katia, the computer department manager at Tech Enterprises, is considering whether to use a
group to develop a plan to help employees sell extended warranties on technology sales. Katia
should consider having the group make this decision if
A) time is of the essence.
B) it will increase acceptance of the plan.
C) group members are not knowledgeable and need to learn more.
D) group members are overly confident about decision making.
E) the decision-making group is exceptionally large.
73) ________ is a technique used to help groups generate multiple ideas and alternatives for
solving problems.
A) Groupthink
B) Big Data
C) MBO
D) Brainstorming
E) Framing
74) Which of the following is NOT an advantage of group decision making?
A) different perspectives
B) satisficing
C) intellectual stimulation
D) better understanding of decision rationale
E) deeper commitment to the decision
75) Ashante was telling a friend about her new job. She commented, “We work in groups all the
time and everyone is able to share ideas. I am so new I just listen, but if I wanted to, I know they
would listen to me too. Ashante is suffering from
A) rationalization.
B) the wisdom of crowds.
C) sense of invulnerability.
D) illusion of unanimity and peer pressure.
E) greater pool of knowledge.
76) Which of the following reasons makes it hard to be evidence-based?
A) Downplay risks and continue on a path.
B) Share results with others.
C) Try to not be trapped by preconceived notions.
D) Ignore orders and delay their implementation.
E) The evidence doesn’t quite apply.
77) What is a sign that a group is suffering from groupthink?
A) Peer pressure makes members agree with the ideas of the other people in the group.
B) Minority dissent is allowed, even encouraged.
C) All ideas and conclusions must be backed up with data.
D) The group would rather take the time to come to the right decision rather than agree too quickly
on what may be the wrong decision.
E) The group actively considers new ideas, even if these ideas challenge underlying assumptions.
78) Which of the following is NOT a guideline that can lead to effective brainstorming?
A) Encourage wild ideas.
B) Eliminate ideas that will be too costly.
C) Go for quantity over quality.
D) Be visual.
E) Build on the ideas of others.
79) What is the role of the devil’s advocate in the decision-making process?
A) to encourage wild ideas
B) to be the cheerleader
C) to identify the truths
D) to be the critic
E) to explore opposite positions