BUSI 310 TEST 2 CHAPTER 3 AND 5

1.Which of the following organizational cultures is strongly characterized by cohesiveness, participation, and sense of family?

A. adhocracy

B. clan

C. hierarchy

D. market

E. rational

2.If an organization’s mission statement describes the organization as it currently operates then its strategic vision points to the

A. past.

B. production numbers.

C. future.

D. expectations.

E. profits.

3. A centralized, bureaucratic approach with standardized work processes for managing uncertainty is ideal for which of the following environments? 

A. stable and complex

B. complex and dynamic

C. dynamic and simple

D. simple and stable

E. stable and dynamic

4. ______ planning is the process of identifying the specific procedures and processes required at lower levels of an organization. 

A. Strategic

B. Operational

C. Tactical

D. Contingency

E. Acquisition

5.A decentralized, organic approach with mutual adjustment for managing uncertainty is ideal for which of the following environments? 

A. stable and complex

B. complex and dynamic

C. simple and stable

D. dynamic and simple

E. stable and dynamic

6._____ includes searching for and sorting through information about the environment. 

A. Environmental scanning

B. Forecasting

C. Predictions

D. Competitive intelligence

E. Minimization

7. A customer who purchases products in their finished form is a(n) _____ consumer. 

A. immediate

B. final

C. alpha

D. complete

E. suave

8. Which of the following is a way of adapting to the external environment?

A. competitive aggression

B. public relations

C. cooptation

D. domain selection

E. buffering

9.Lindsay Pharmacy Corp. and Allman Medicines Corp. have joined forces with one another to fight for health care reform. This action of the two companies is referred to as 

A. merger.

B. coalition.

C. domain selection.

D. benchmarking.

E. competitive aggression

10.Which of the following approaches should an organization adopt for managing uncertainty in a simple and stable environment? 

A. centralized and organic approach, with direct supervision

B. decentralized and bureaucratic approach, with standardized skills

C. decentralized and organic approach, with mutual adjustment

D. centralized and bureaucratic approach, with standardized work processes

E. centralized and organic approach, with mutual adjustment

11.Which one of the following is not a way that a manager can influence their environment, according to Exhibit 3.5? 

A. with political action

B. with legal action

C. through public relations

D. with automatic, involuntary actions

E. with competitive aggression

12._____ are approaches that an organization that acts on its own uses to change some aspect of its current environment. 

A. Flexible processes

B. Forecasting methods

C. Independent strategies

D. Benchmarking procedures

E. Buffering techniques

13.During the holiday season, Maria’s Department Store works with a contracted employment agency to bring extra workers on board to handle overflow business, and extra duties such as wrapping presents. Maria’s is using ________ during these rush times.  

A. smoothing

B. buffering

C. independent strategies

D. flexible strategies

E. lift coefficient

14.The psychological bias known as illusion of control refers to 

A. a decision bias influenced by the way in which a problem or decision alternative is phrased or presented.

B. a belief that one can influence events even when one has no influence over what will happen.

C. a bias weighting short-term costs and benefits more heavily than longer-term costs and benefits.

D. a condition that occurs when a decision-making group loses sight of its original goal and a new, less important goal emerges.

E. a phenomenon that occurs in decision making when group members avoid disagreement as they strive for consensus

15._____ are the strongly held and taken-for-granted beliefs that guide behavior in a firm.

A. Values

B. Organizational divestitures

C. Prospectors

D. Unconscious assumptions

E. Buffers

16.Pat has to select the right paper clips to purchase for her office. She looks at the office supply catalog and picks the first one that is priced reasonably. Which method of making a decision does she use? 

A. forecasting

B. optimizing

C. satisficing

D. maximizing

E. brainstorming

17.A university has just formed a board of trustees and invited 25 of its wealthiest alumni to join the board. Which of the following is being adopted by the university? 

A. smoothing

B. cooptation

C. competitive intelligence

D. divestiture

E. scaffolding

18.In the context of the levels of planning, the formal planning model is _____, with top-level strategies flowing down through the levels of the organization into more specific goals and plans. 

A. horizontal

B. hierarchical

C. tactical

D. concentrated

E. uncertain

19.The level of planning involving the longest time horizon, usually ranging from three to seven years, is 

A. operational planning.

B. missionary planning.

C. tactical planning.

D. departmental planning.

E. strategic planning

20.To be effective, an organization’s strategic plans should focus on

 A. goals that are different from those of its tactical plans and operational plans.

B. goals that are different from those of its tactical plans yet the same as the operational plans.

C. goals that are aligned with its tactical plans and operational plans.

D. goals that are aligned with its tactical plans yet different from the operational plans.

E. goals that are strategic yet differ from the operational plans

21.If an organization’s culture is externally oriented and focused on control with its primary objectives as productivity, planning, and efficiency, it could best be described as a(n) _____ culture. 

A. group

B. hierarchical

C. rational

D. adhocratic

E. values-oriented

22.In the context of the planning process, which of the following statements is true of the step that involves monitoring and controlling performance?

A. It identifies the priorities and trade-offs among the goals and plans.

B. Managers must continually monitor the performance of their work units against the unit’s goals and plans.

C. It is the first step taken by managers in the planning process.

D. Managers need to restart the planning process after plans are implemented improperly.

E. Managers consider monitoring and controlling performance as the most important step in the planning process

23.When Carousel Corp. advertises its soap products as better than the soap products of Rhye Corp., Carousel is demonstrating 

A. competitive aggression.

B. competitive pacification.

C. benchmarking.

D. smoothing.

E. co-optation

24.________ is a technique that helps managers summarize relevant and important facts from the internal and external analyses of an organization in order to formulate strategy. 

A. The BCG matrix

B. A SWOT analysis

C. Benchmarking

D. Diversification

E. A functional strategy

25.In the context of formal decision making, which of the following is indicated by negative feedback? 

A. Too much time has been dedicated in implementing the decision.

B. Implementation of the decision may need more resources.

C. The decision has been made under undue pressure from top management.

D. The problem has been incorrectly diagnosed.

E. The decision has been unfairly beaten down by competitors.

26.A centralized, organic approach with direct supervision for managing uncertainty is ideal for which of the following environments? 

A. stable and complex

B. complex and dynamic

C. dynamic and simple

D. simple and stable

E. stable and dynamic

27.In _____ planning, frontline managers usually focus on routine tasks such as production runs, delivery schedules, and human resource requirements. 

A. acquisition

B. feasibility

C. tactical

D. operational

E. strategic

28.Which stage of the planning process is Jekyll Corp. involved in if it is assessing how well alternative plans meet high-priority goals while considering the cost of each initiative and the likely investment return? 

A. implementing goals and plans

B. selecting goals and plans

C. analyzing the situation

D. monitoring and controlling performance

E. evaluating goals and plans

29.A decentralized, bureaucratic approach with standardized skills for managing uncertainty is ideal for which of the following environments?

A. stable and complex

B. complex and dynamic

C. simple and stable

D. dynamic and simple

E. stable and dynamic

30.Functional strategies are implemented

 A. only at the top levels of management.

B. by each appropriate area or unit.

C. only at the employee level.

D. at one time by the organization as a whole.

E. by the stakeholders

31.The _____ step in the formal planning process, monitoring and controlling performance, identifies the priorities and trade-offs among the goals and plans.

 A. second

B. third

C. fourth

D. fifth

E. sixth

32.Discounting the future refers to 

A. focusing on gains in the long run.

B. failing to consider inflationary costs.

C. underestimating the short-term effects of a decision.

D. valuing short-term benefits more heavily than long-term benefits.

E. failing to consider the effects of new entrants into the industry.

33.Which of the following is a final consumer? 

A. Customer

B. retailer

C. broker

D. distributor

E. supplier

34.Which of the following leadership styles is associated with a hierarchical culture? 

A. coordinator, organizer

B. production, and achievement, oriented

C. risk taker

D. innovator, entrepreneur

E. mentor, facilitator, and parent figure

35.A hierarchical organizational structure values _____ and assumes that individuals will comply with the organizational mandates when roles are stated formally and enforced through rules and procedures. 

A. change

B. stablity

C. flexibility

D. external control

E. business acumen

36._____ is independent action to improve relations with competitors. 

A. Competitive intelligence

B. Coalition

C. Cooptation

D. Competitive aggression

E. Competitive pacification

37.A popular low-cost airline, Parson Corp., has gone out of business. Although the service and price provided by the airline was what customers wanted, the larger airlines were able to drive the low-cost airline out of business through an aggressive price war. Which component of the competitive environment does this illustrate? 

A. customers

B. competitors

C. regulators

D. economic factors

E. threat of new entrants

38.Which of the following is the deepest level of organizational culture? 

A. unconscious assumptions

B. values

C. desirable behaviors

D. individual talents

E. ancillary activities

39.The first step in an ideal decision-making process is to 

A. make a choice.

B. evaluate alternatives.

C. implement the decision.

D. generate alternative solutions.

E. identify the problem

40.According to the _____ plan of Neon Inc., if expansion to new markets in Australia does not materialize, the company will strive for expansion in Asia.

A. operations

B. internal

C. contingency

D. standing

E. start-up