Fundamentals of Management
Fundamentals of Management
Fall 2004 Mid-Term
Chapters one through six
Name: __________________________ Date: _____________
|1. |Managers who select a course of action from among a set of rational alternatives are involved in decision making. |
|A) |True |
|B) |False |
|2. |Smucker's is known for its excellent relationship with its employees and quality product. Based on this information, Smucker's |
| |must be an efficient company. |
|A) |True |
|B) |False |
|3. |Chelsea is very concerned with worker morale, and she frequently surveys employees to determine their level of job satisfaction.|
| |She feels that people really want to work, to take more responsibility, and to make a contribution. Her approach reflects |
| |application of scientific management. |
|A) |True |
|B) |False |
|4. |The fundamental premise of the human relations movement is that the social aspects of the workplace are more important to |
| |increasing worker productivity than economic incentives. |
|A) |True |
|B) |False |
|5. |Which of the following involve management? |
|A) |Jill redesigns her company's management structure. |
|B) |Anita plans her division's annual budget. |
|C) |Jorge delivers a motivational speech to his sales associates. |
|D) |Su-Lin regulates and enforces her company's policies regarding personal use of the Internet. |
|E) |All of these. |
|6. |The internal environment of an organization consists of the organization's general environment and task environment. |
|A) |True |
|B) |False |
|7. |Unpleasant outcomes will not occur as long as an individual makes ethical choices. |
|A) |True |
|B) |False |
|8. |Toyota Motors owns factories in the US, which manufacture Toyota-brand cars for sale to US customers. Toyota is making a direct |
| |investment. |
|A) |True |
|B) |False |
|9. |Mergers often lead to culture conflicts within organizations. |
|A) |True |
|B) |False |
|10. |BMW and Mercedes are best described as |
|A) |strategic allies. |
|B) |competitors. |
|C) |customers. |
|D) |regulators. |
|E) |suppliers. |
|11. |Small businesses employed the most Americans until the year 2000, when big business took the lead. |
|A) |True |
|B) |False |
|12. |Tactical goals are built upon the foundation provided by the organization's mission statement. |
|A) |True |
|B) |False |
|13. |A firm that manufactures only one product and sells it in many distinct geographical markets is pursuing a single-product |
| |strategy. |
|A) |True |
|B) |False |
|14. |Identifying alternative courses of action that the organization might follow if various conditions arise is called operational |
| |planning. |
|A) |True |
|B) |False |
|15. |Goals set with and by line-managers are called |
|A) |strategic. |
|B) |tactical. |
|C) |developmental. |
|D) |imposed. |
|E) |operational. |
|16. |If an organization invests large amounts of cash in an SBU classified as a question mark and it subsequently becomes the market|
| |leader, the SBU will |
|A) |still be a question mark. |
|B) |become a dog. |
|C) |become a cash cow. |
|D) |become a star. |
|E) |None of these. |
|17. |Programmed decisions are most likely to be made under conditions that are certain. |
|A) |True |
|B) |False |
|18. |In general, the more important the decision, the more attention a manager should pay to developing alternative solutions. |
|A) |True |
|B) |False |
|19. |The pressure that the members of the group feel to reach consensus is a major advantage of groupthink. |
|A) |True |
|B) |False |
|20. |Bar code scanning computers at check out have greatly simplified the inventory _____ decisions. |
|A) |nonprogrammed |
|B) |certainty |
|C) |risk |
|D) |programmed |
|E) |need |
|21. |If you were asked to help a manager establish a nominal group, which of the following would you recommend? |
|A) |Alternatives are listed on a flip chart |
|B) |The alternative with the most votes is the solution |
|C) |Members are permitted to ask questions only for clarification |
|D) |All of these. |
|E) |Only “alternatives are listed on a flip chart” and “The alternative with the most votes is the solution.” |
|22. |All of the following are advantages of group decision making EXCEPT |
|A) |groupthink may occur. |
|B) |better decisions generally emerge. |
|C) |enhanced communication may result. |
|D) |more information and knowledge are available. |
|E) |None of these. |
|23. |Which of the following is a disadvantage of group decision making? |
|A) |More alternatives are likely to be generated. |
|B) |More information will be brought to bear on the problem. |
|C) |More time will be needed to make the decision. |
|D) |More communication about the decision will result. |
|E) |All of these. |
|24. |Which of the following decision-making models is based on the belief that human behavior is often imperfect? |
|A) |Rational |
|B) |Emotional |
|C) |Classical |
|D) |Behavioral |
|E) |Sequential |
|25. |A business owner hires a professional manager so that she, as owner, can focus her attention on developing new ideas. The owner |
| |is an entrepreneur. |
|A) |True |
|B) |False |
|26. |The retailing industry has more very small businesses, with fewer than 20 employees, than any other industry. |
|A) |True |
|B) |False |
|27. |As opportunities for women have expanded in the corporate world, the number of women starting their own businesses has declined |
| |significantly. |
|A) |True |
|B) |False |
|28. |Wen-Yih would like to start a small business. He is considering buying plastic picture frames from manufacturers in his home |
| |country of Taiwan, and selling them to discount and craft stores in the United States. Which industry is Wen-Yih considering? |
|A) |Transportation |
|B) |Manufacturing |
|C) |Retailing |
|D) |Services |
|E) |Wholesaling |
|29. |Which of the following is an advantage of group decision making when compared to individual decision making? |
|A) |The group process is less expensive. |
|B) |Groupthink may occur. |
|C) |Compromise decisions resulting from indecisiveness may emerge. |
|D) |More alternatives are likely to be generated. |
|E) |One person may dominate the group. |
|30. |A benefit of job specialization is that transfer time between tasks decreases. |
|A) |True |
|B) |False |
|31. |Michaela's lawn care business is organized so that each employee reports to one and only one supervisor. This fulfills the |
| |requirements of the scalar principle. |
|A) |True |
|B) |False |
|32. |The starting point for all job design activities is determining the level of desired job |
|A) |specialization. |
|B) |rotation. |
|C) |enlargement. |
|D) |enrichment. |
|E) |characteristics approach. |
|33. |George works in acquisitions for the Department of Defense. He knows that it will take years before the projects he works on |
| |will be acquired. He often states that having this job gives him great satisfaction in mowing his yard |
| |because then he sees a task completed. His job has low |
|A) |autonomy. |
|B) |compensation. |
|C) |evaluation. |
|D) |task identity. |
|E) |rotation. |
|34. |The major advantage of the H-form structure is the simplicity associated with the similarity of the businesses that make up the |
| |organization. |
|A) |True |
|B) |False |
|35. |Actions of peer managers, top managers, and the organization's culture all contribute to the ethical atmosphere of the |
| |organization. |
|A) |True |
|B) |False |
Answer Key
|1. |A |
|2. |B |
|3. |B |
|4. |A |
|5. |E |
|6. |B |
|7. |B |
|8. |A |
|9. |A |
|10. |B |
|11. |A |
|12. |B |
|13. |B |
|14. |B |
|15. |E |
|16. |D |
|17. |A |
|18. |A |
|19. |B |
|20. |D |
|21. |D |
|22. |A |
|23. |C |
|24. |D |
|25. |B |
|26. |B |
|27. |B |
|28. |E |
|29. |D |
|30. |A |
|31. |B |
|32. |A |
|33. |D |
|34. |B |
|35. |A |
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