A firm’s suppliers are not part of its value chain.
When a manager has many employees reporting directly to her, she has a narrow span
of control.
Measuring quality against established standards after production is known as quality
assurance.
Texas Motors, a car manufacturing company, groups its departments around the three
lines of cars it manufactures. Each product division encompasses all the major
functional resources required to achieve its goals. This indicates that Texas Motors has
a functional structure.
Board of directors has the responsibility for the overall direction of the company and
the selection of top executives.
Mark, who works for a toy-manufacturing firm, is responsible for creating a branding
and marketing strategy. He is most likely to be a part of the firm’s operations
management team.
A benefit corporation must pursue a stated non-financial goal.
Movement along the supply curve typically slopes upward.
Intrapreneurship refers to ________.
A) entrepreneurial efforts within a larger organization
B) starting a business by buying into a franchise system
C) starting a business by buying an existing independent business
D) individuals who are responsible for strategic corporate social responsibility activities
within an organization
E) the processes, customs, policies, laws, and institutions, which have an effect on the
way a company is controlled
________ Act was formed in 1932 to limit companies’ ability to obtain injunctions
against union strikes, picketing, membership drives, and other activities.
A) Labor-Management Reporting
B) Landrum-Griffin
C) National Labor Relations
D) Norris-La Guardia
E) Labor-Management Relations
A leading pharmaceutical company found that a newly launched, over-the-counter drug
might have certain negative side effects such as mood changes, which were not
identified during the clinical trials. To avoid unnecessary losses, the company does not
inform the public about the probable side effects. In this example, the company
________.
A) was involved in insider trading
B) lacked transparency
C) had a consumerist approach
D) had a utilitarian approach
E) failed to take affirmative action
A top executive reads summaries of vital performance variables in the organization
using the executive dashboard. The executive is performing the ________ role in this
case.
A) interpersonal
B) instructional
C) directional
D) decisional
E) informational
Multinational corporations are companies that ________.
A) export to multiple countries from a central location
B) have formed strategic alliances with companies across the world
C) have formed operational alliances with companies across the world
D) procure supplies from multiple countries to improve their production
E) establish a physical presence in multiple countries through FDI
Which of the following is the best example of a good?
A) e-learning storyboard
B) digital music
C) air travel
D) life insurance
E) a pair of shoes
In systems view, an organizational department is viewed as a(n) ________.
A) serial milestone of a process
B) system without outputs
C) independent entity
D) interconnected element
E) system without inputs
FunLearning, Inc. is an American manufacturer of science kits and build-it toys for
children between 3 and 12 years of age. The firm uses organic and eco-friendly policies.
It invests a lot of money in advertisements aimed at increasing its brand awareness. The
advertisements encourage customers to ask local retailers for FunLearning toys. In this
example, FunLearning, Inc. uses which of the following promotional strategies?
A) operations strategy
B) digital strategy
C) pull strategy
D) push strategy
E) pricing strategy
The Dodd-Frank Act of 2010 is a legislation aimed at ________.
A) promoting subprime mortgages
B) reforming the banking industry
C) outlawing financial insurance
D) outlawing loan foreclosures
E) establishing more credit-rating agencies
________ rate is the rate a bank charges its best loan customers.
A) Federal funds
B) Discount
C) Prime
D) Paper
E) Overnight
________ refer to brands that have been given legal protection so that their owners
have exclusive rights to their use.
A) Brand equities
B) Prototypes
C) Licenses
D) Trademarks
E) Brand marks
Which of the following statements is TRUE of the order in which assets are listed in the
balance sheet?
A) Assets such as property and plant are mentioned first in a balance sheet.
B) Fixed assets are listed before current assets in a balance sheet.
C) Current assets are not generally mentioned in a balance sheet.
D) Assets are listed in descending order by liquidity in the balance sheet.
E) Current and fixed assets are listed in no particular order in a balance sheet.
The price at which the stock is actually selling is referred to as its ________ value.
A) face
B) par
C) book
D) intrinsic
E) market
Before a company can sell shares to the public in the United States, it must ________.
A) generate a profit of $1 billion
B) have a turnover of $1 billion
C) register with the SEC
D) have fifty or more shareholders
E) have a hundred or more shareholders
Independently-owned businesses that buy from producers, take legal title to the goods,
and then resell them to retailers or to organizational buyers, are called ________.
A) agents
B) brokers
C) merchant wholesalers
D) department stores
E) manufacturers’ representatives
Which of the following is TRUE about creating a new, independent business?
A) The possibility for borrowing start-up capital or getting investors is more, compared
to buying an existing business.
B) The owner’s freedom is less, compared to buying an existing business.
C) The business processes and systems are usually already in place.
D) The workforce is usually already in place.
E) The customer base must be built from the ground up.
Buxus Auto is a U.S. manufacturer of automobiles. The company used to procure car
accessories from a firm based in China. The quality of the parts the firm was receiving
from China was below par and the firm decides to stop the purchase from China and
procure the accessories from a U.S. based firm. This is an example of ________.
A) offshoring
B) outsourcing
C) leveraging
D) reshoring
E) external valuation
________ refers to a supposed effect of organizational research, in which employees
change their behavior because they are being studied and given special treatment.
A) Herzberg’s two-factor theory
B) Maslow’s hierarchy
C) Theory X
D) Hawthorne effect
E) Theory Y
________ refers to a stage at which buyers will not accept a substitute for the product.
A) Brand insistence
B) Brand preference
C) Brand saturation
D) Brand awareness
E) Brand knowledge
The ________ measures price at the producer or wholesaler level, reflecting what
businesses are paying for the products they need.
A) gross domestic product (GDP)
B) producer price index (PPI)
C) inflationary stability index (ISI)
D) consumer price index (CPI)
E) economic stimulus index (ESI)
IBM established executive-led task forces to represent women, Asian Americans,
African Americans, Hispanic Americans, Native Americans, people with disabilities,
and individuals who are gay, lesbian, bisexual, and transgender. This is an example of
________.
A) diversity initiatives
B) horizontal integration
C) ethnocentric policies
D) decentralization
E) deregulation
Which of the following is TRUE regarding high-growth ventures?
A) They are usually run by one individual rather than a team.
B) They refer to businesses such as a self-employed consultant, a corner florist, or a
small e-commerce venture.
C) They are mostly family businesses.
D) They are built around the personal and financial needs of an individual.
E) They expand rapidly by obtaining a sizable supply of investment capital.
Explain how private accountants function.
Choose a company of your choice and clearly depict the company’s value chain.
Mention the actual transformation process in the value chain that you have created.
Define span of management. How does the span of management in flat organizations
differ from that in tall organizations.
Compare and contrast stock market and bond markets.
Compare and contrast job description with job specification.
Compare and contrast options and futures.
Describe how products are classified according to their intended use.
What is a product line?