An adhocracy culture is characterized by a pyramidal structure in which leaders are
considered all-important.
Managers who have progressed to Donaldson’s “unconscious competence” stage will be
most effective in managing a diverse workforce.
GASSP’s equity principle states that management shall respect the rights of all
employees when setting policy regarding security measures.
Use of punishment, although effective, may have undesirable side effects.
Bank financing occurs when an entrepreneur obtains financing from a financial
institution in the form of a loan.
JIT is based on the management philosophy that products should be manufactured only
in the quantities customers require.
Planning is the process of determining how the organization will achieve its objectives.
Capital resources in an organization are ________.
A) the net profits the organization generates at the end of the financial year
B) the ingredients used directly in the manufacturing of products
C) the machines used during the manufacturing process
D) all the financial assets that the organization possesses
E) the amounts of money that managers use to purchase goods and services for the
organization
Organizations that operate globally find that ________ are the least expensive to
employ.
A) host-country nationals
B) expatriates
C) third-country nationals
D) repatriates
E) migrant workers
Which of the following is a characteristic specific to an organization with a market
structure?
A) commitment to employees
B) shared values and goals among members
C) simple organization structure
D) focus on outpacing the competition
E) cohesion among members
Which of the following statements is true about the social responsiveness approach?
A) It sees business as having societal goals, but lacking economic goals.
B) It considers business as having both societal and economic goals as well as the
obligation to anticipate potential social problems and work actively toward preventing
their occurrence.
C) It sees business as having societal goals and the obligation to anticipate potential
social problems, but lacking economic goals.
D) It considers business as having primarily economic purposes and confines social
responsibility activity mainly to existing legislation.
E) It sees business as having both economic and societal goals.
One of the general principles of management explained by Fayol is “unity of
command.” What does this principle mean?
A) The entire organization should be moving toward a common objective.
B) The interests of one person should take priority over the interests of the organization.
C) Workers should receive orders from only one manager.
D) All workers should be given the same orders by managers.
E) All employees should be treated as equally as possible.
According to ______, the feedback on the functioning of the informal group can give
managers ideas about how to modify the formal group so as to increase the probability
that informal group members will achieve the satisfaction and growth they desire.
A) Bernard Bass
B) the sociometric framework
C) Maslow’s heirarchy
D) Homans model
E) the group communication framework
Which of the following statements is consistent with the trait approach to leadership?
A) Good leaders change their behaviors based on the situation.
B) Emotional maturity and stability are important characteristics of leaders.
C) Leaders should be reactive rather than proactive.
D) People who have the skill to participate socially become ineffective leaders.
E) Past achievements are not significant determinants of leadership.
Which of the following is the first step in the process of brainstorming?
A) members comment on ideas
B) group leader chooses members
C) ideas are evaluated
D) group members state ideas
E) ideas are recorded
________ resources refer to the ingredients used directly in the manufacturing of
products.
A) Hardware
B) Capital
C) Technology
D) Raw material
E) Monetary
The ________ attitude reflects the belief that because foreign managers are closer to
foreign organizational units, they understand them better, and therefore foreign
management practices are more insightful than home-country management practices.
A) ethnocentric
B) polycentric
C) egocentric
D) geocentric
E) gynocentric
A ________ is a sign that a problem exists.
A) standard
B) symptom
C) yardstick
D) correction
E) benchmark
Rick and Jose gain new market information regarding a potential entrepreneurial
opportunity. Despite the fact that both of them have gained access to this new
information, only one of these individuals has access to additional information
suggesting that other competitors are already moving to exploit this opportunity. What
is this an example of?
A) information asset
B) information assurance
C) social networking
D) information asymmetry
E) information reliability
________ consists of the right to give orders within a segment of the organization in
which this right is normally nonexistent.
A) Staff authority
B) Line authority
C) Decentralization
D) Functional authority
E) Informal authority
The tendency to search for information that supports one’s preconceived beliefs and to
ignore information that contradicts those beliefs is known as ________.
A) confirmation bias
B) loss aversion
C) the bandwagon effect
D) overconfidence
E) unrealistic optimism
Which of the following is an observable symptom of undesirably high stress levels?
A) low to moderate levels of anxiety
B) higher energy levels
C) reduced work hours
D) working without many breaks
E) increased aggression
Which of the following is NOT one of the key areas in which Drucker advised
managers to set management system objectives?
A) market standing
B) profitability
C) government regulation
D) innovation
E) public responsibility