Multiple choice questions:
Question 1.1. Which of the following perspectives assumes that industry structure is the primary influence on firm performance?
Industrial organization theory
Resource-based theory
Contingency theory
None of the above
Question 2.2. The strategy actually implemented by management is known as the
intended strategy.
emergent strategy.
realized strategy.
effective strategy.
Question 3.3. Which of the following distinctions is not associated with strategic decision-making?
It represents a systematic, comprehensive analysis.
It involves choices.
It is both short-term and long-term oriented.
It is distinctively opportunistic.
Question 4.4. The concept of strategic management includes
top management's analysis of the environment in which the organization operate
the plan for strategy execution
strategic control efforts.
All of the above
Question 5.5. Top management teams
tend to include fewer managers in centralized organizations.
usually include mostly top level managers.
may include non-managers.
All of the above.
Question 6.6. According to the scientific perspective of strategic planning,
strategy formulation is not as critical as strategy execution.
the business environment is seen as largely objective, analyzable, and at least somewhat predictable.
creativity is vital and can only be generated when flexibility is applied to the strategy process.
All of the above.
Question 7.7. Top management teams
usually make better decisions as a group than the CEO could make alone.
may include middle managers.
may include members of the board of directors.
All of the above.
Question 8.8. Which of the following is not a factor usually associated with an effective strategy?
Top managers rely on outside strategic planners for creativity and analysis.
Plans for putting the strategy into action are designed with specificity before it is implemented.
Strategic managers understand how the organization's resources translate into strengths and weaknesses.
Possible future changes in the proposed strategy are evaluated before the strategy is adopted.
Question 9.9. A(n) _____ is a story of how a firm will create value for its customers and how it will do so profitably.
design specification
business model
process model
administrative linkage
process architecture
Question 10.10. When an organization develops integrated manufacturing systems such as advanced manufacturing technology and just-in-time inventory control, strategic human resource management has the responsibility of _____.
assessing the employee skills required to run these systems
inputting the necessary information to run these systems
testing the functionalities of these systems
testing these systems based on customer feedback
documenting the use of these systems within the organization
Question 11.11. A _____ workforce describes the former workers to whom a firm still owes financial obligations.
contingent
consultant
temporary
legacy
contract
Question 12.12. _____ costs are incurred regardless of the number of units produced.
Acquisition
Procurement
Fixed
Variable
Marginal
Question 13.13. The costs that change directly with the units produced are known as _____ costs.
concrete
sunk
outlay
variable
fixed
Question 14.14. _____ is a pattern of planned human resource deployments and activities intended to enable an organization to achieve its goals.
Human resource optimization
Systemic talent management
Strategic human resource management
Transactional talent management
Transactional human resource management
Question 15.15. Which of the following examines the organization's operating environment to identify the strategic opportunities and threats?
Job modeling
Internal analysis
External analysis
Value chain analysis
Job analysis
Question 16.16. Which is the level of integration at which the human resource management engages in day-to-day activities unrelated to the company's core business needs?
Administrative linkage
One-way linkage
Two-way linkage
Integrative linkage
Central linkage
Question 17.17. A recession occurs when GDP declines for
one quarter.
two consecutive quarters.
three consecutive quarters.
four consecutive quarters.
Question 18.18. Outcomes of elections, legislation, and judicial court decisions are considered to be
political-legal forces.
economic forces.
arbitrary forces.
None of the above
Question 19.19. Since the 1990s, the Chinese economy has
become more regulated.
adopted a more free market approach.
has remained stagnant.
None of the above.
Question 20.20. Which of the following is not an element within the macroenvironment?
industry forces
social forces
economic forces
political-legal forces
Question 21.21. A nation's economy is considered to be in a recession when
The number of unemployed workers does not decline for three consecutive quarters.
the Chairman of the Federal Reserve makes the distinction.
GDP declines for two consecutive quarters.
All of the above
Question 22.22. When the U.S. dollar is strong,
U.S. manufacturers tend to make more purchases from foreign sources.
U.S. manufacturers tend to limit purchases from foreign sources.
U.S. manufacturers are more likely to close plants abroad.
None of the above
Question 23.23. Macroenvironmental analysis considers effects of forces on
a single firm.
industry leaders.
an entire industry.
None of the above.
Question 24.24. A recession
hurts all industries, but some more than others.
hurts all industries equally.
may actually help some industries.
None of the above.
Question 25.25. Which of the following is not a strategic dimension of the Internet?
focus on interactivity
potential for cost reductions and cost shifting
movement toward information asymmetry
None of the above.
Question 26.26. The country accounting for the greatest piece of the U.S. trade deficit is
Mexico.
China.
India.
None of the above.
Question 27.27. The decline in unit costs of a product or service that occurs as the absolute volume of production increases is known as
economies of scale.
mass customization.
specialization.
None of the above.
Question 28.28. Which of the following is not a strategic dimension of the Internet?
movement toward information symmetry
increased emphasis on speed
potential for cost reductions and cost shifting
None of the above.
Question 29.29. Which of the following is not a reason that the outsourcing/offshoring debate is difficult to resolve?
lack of key data
differences in regulations
complex firm relationships across borders
All of the above are reasons.
Question 30.30. Which of the following is the largest form of electronic commerce?
business-to-business (B2B)
business-to-consumer (B2C)
consumer-to-business (C2B)
consumer-to-consumer (C2C)
Question 31.31. One of Friedman's primary arguments in The World is Flat is that
organizations must restructure every five years or so.
global business has become more regionalized.
recent changes have "leveled the playing field" between firms in developed nations and those in developing nations.
None of the above.
Question 32.32. Outsourcing efforts can fail because
of hidden costs.
of loss of control of the outsourced activity.
a firm might outsource an activity that should not be outsourced.
All of the above.
Question 33.33. A common suggestion to align the goals of managers with those of the stockholders is to pursue
stock options.
liberal vacation leave.
lower salaries.
None of the above.
Question 34.34. The attractiveness of diversification is consistent with which agency perspective?
Management serves its own interests.
Management and stockholders share the same interests.
Management pursues the interests of the stakeholders.
None of the above.
Question 35.35. The preoccupation with firm growth is consistent with which agency perspective?
Management serves its own interests.
Management and stockholders share the same interests.
Management pursues the interests of the stakeholders.
None of the above.
Question 36.36. The attractiveness of downsizing is consistent with which agency perspective?
Management serves its own interests.
Management and stockholders share the same interests.
Management pursues the interests of the stakeholders.
None of the above.
Question 37.37. Which group of investors typically wields the greatest influence on the management of firms?
blockholders
institutional investors
private shareholders
the CEO
Question 38.38. Corporate takeovers
often receive substantial criticism.
are widely supported as necessary.
can increase debt for a firm.
All of the above.
Question 39.39. Which of the following might represent the goals of customers?
The company should provide high quality products and services at the most reasonable prices possible.
The company should maintain a healthy financial posture and a policy of on-time payment of debt
The company should produce a higher-than-average return on equity.
The company should provide goods and services with minimum environmental costs, increase employment opportunities, and contributing to social and charitable causes.
Question 40.40. Which view of ethics suggests that decisions should be based on existing norms of behavior, including cultural, community, or industry factors?
rights view
cultural view
religious view
None of the above.